Annual report pursuant to Section 13 and 15(d)

Derivative Financial Instruments (Tables)

v2.4.0.6
Derivative Financial Instruments (Tables)
12 Months Ended
Dec. 29, 2012
Derivative Financial Instruments (Tables) [Abstract]  
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block]

Total gross notional amounts for outstanding derivatives (recorded at fair value) as of December 29, 2012, December 31, 2011, and December 25, 2010 were as follows:

(In Millions) 2012   2011   2010
Currency forwards $ 13,117   $ 11,203   $ 8,502
Currency interest rate swaps   2,711     1,650     2,259
Embedded debt derivatives   3,600     3,600     3,600
Equity options   17     54     496
Interest rate swaps   1,101     1,837     2,166
Total return swaps   807     761     627
Other   110     128     160
Total $ 21,463   $ 19,233   $ 17,810

The gross notional amounts for currency forwards and currency interest rate swaps (presented by currency) as of December 29, 2012, December 31, 2011, and December 25, 2010 were as follows:

(In Millions) 2012   2011   2010
British pound sterling $ 308   $ 459   $ 424
Chinese yuan   647     688     347
Euro   5,994     3,904     4,351
Israeli shekel   2,256     2,168     1,191
Japanese yen   4,389     3,477     3,440
Malaysian ringgit   442     805     382
Other   1,792     1,352     626
Total $ 15,828   $ 12,853   $ 10,761
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]

The fair value of our derivative instruments as of December 29, 2012 and December 31, 2011 was as follows:

    2012   2011
    Other   Other   Other   Other   Other   Other   Other   Other
    Current   Long-Term   Accrued   Long-Term   Current   Long-Term   Accrued   Long-Term
(In Millions) Assets   Assets   Liabilities   Liabilities   Assets   Assets   Liabilities   Liabilities
Derivatives designated as                                              
  hedging instruments                                              
Currency forwards $ 91   $ 2   $ 127   $   $ 61   $   $ 170   $ 7
Other                           1    
Total derivatives designated as                                              
  hedging instruments $ 91   $ 2   $ 127   $   $ 61   $   $ 171   $ 7
Derivatives not designated as                                              
  hedging instruments                                              
Currency forwards $ 85   $   $ 58   $   $ 54   $   $ 34   $
Currency interest rate swaps   33     18     72     14     41     33     11     10
Embedded debt derivatives               6                 10
Equity options   1     1     1             6     9    
Interest rate swaps           34         3         63    
Total return swaps   11                 7            
Other       17                 24        
Total derivatives not designated                                              
  as hedging instruments $ 130   $ 36   $ 165   $ 20   $ 105   $ 63   $ 117   $ 20
                                               
Total derivatives $ 221   $ 38   $ 292   $ 20   $ 166   $ 63   $ 288   $ 27
Schedule Of Derivative Instruments In Cash Flow Hedging Relationships [Table Text Block]

The before-tax effects of derivative instruments in cash flow hedging relationships for the three years ended December 29, 2012 were as follows:

  Gains (Losses) Recognized    
  in OCI on Derivatives   Gains (Losses) Reclassified from Accumulated OCI into
  (Effective Portion)   Income by Derivative Instrument Type (Effective Portion)
(In Millions) 2012   2011   2010   Location   2012   2011   2010
Currency forwards $ 4   $ 20   $ 66   Cost of sales   $ 11   $ 118   $ 49
                    Research and development     (63)     20     27
                    Marketing, general and administrative     (25)     19     4
Other   9         4   Cost of sales     (2)     4     (2)
Total $ 13   $ 20   $ 70       $ (79)   $ 161   $ 78
Not Designated as Hedging Instrument [Member]
 
Derivative Financial Instruments (Tables) [Abstract]  
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block]

The effects of derivative instruments not designated as hedging instruments on the consolidated statements of income for the three years ended December 29, 2012 were as follows:

  Location of Gains (Losses)            
(In Millions) Recognized in Income on Derivatives   2012   2011   2010
Currency forwards Interest and other, net   $ 3   $ 58   $ 72
Currency interest rate swaps Interest and other, net     (71)     (17)     74
Equity options Gains (losses) on equity investments, net     (1)     (67)     59
Interest rate swaps Interest and other, net     31     (26)     (59)
Total return swaps Various     77     (13)     70
Other Gains (losses) on equity investments, net     (7)     4     (2)
Other Interest and other, net     3         (1)
Total     $ 35   $ (61)   $ 213