Quarterly report pursuant to Section 13 or 15(d)

Derivative Financial Instruments (Tables)

v3.22.1
Derivative Financial Instruments (Tables)
3 Months Ended
Apr. 02, 2022
Derivative [Line Items]  
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block]
Total gross notional amounts for outstanding derivatives at the end of each period were as follows: 
(In Millions)
Apr 2, 2022 Dec 25, 2021
Foreign currency contracts
$ 43,494  $ 38,024 
Interest rate contracts
15,785  15,209 
Other
2,317  2,517 
Total $ 61,596  $ 55,750 
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]
Fair Value of Derivative Instruments
 
Apr 2, 2022 Dec 25, 2021
(In Millions)
Assets1
Liabilities2
Assets1
Liabilities2
Derivatives designated as hedging instruments:
Foreign currency contracts3
$ 87  $ 218  $ 80  $ 163 
Interest rate contracts
185  121  774  — 
Total derivatives designated as hedging instruments
272  339  854  163 
Derivatives not designated as hedging instruments:
Foreign currency contracts3
701  355  475  297 
Interest rate contracts
113  39  26  65 
Equity contracts
88  18  80 
Total derivatives not designated as hedging instruments 902  412  581  366 
Total derivatives $ 1,174  $ 751  $ 1,435  $ 529 
1Derivative assets are recorded as other assets, current and non-current.
2Derivative liabilities are recorded as other liabilities, current and non-current.
3The majority of these instruments mature within 12 months.
The amounts recorded on the Consolidated Condensed Balance Sheets related to cumulative basis adjustments for fair value hedges for each period were as follows:
Line Item in the Consolidated Condensed Balance Sheet in Which the Hedged Item is Included Carrying Amount of the Hedged Item Asset/(Liabilities) Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount Assets/(Liabilities)
(In Millions)
Apr 2, 2022 Dec 25, 2021 Apr 2, 2022 Dec 25, 2021
Long-term debt $ (12,061) $ (12,772) $ (64) $ (775)
Offsetting Assets [Table Text Block]
The gross amounts of our derivative instruments and reverse repurchase agreements subject to master netting arrangements with various counterparties, and cash and non-cash collateral posted under such agreements at the end of each period were as follows:
Apr 2, 2022
Gross Amounts Not Offset in the Balance Sheet
(In Millions)
Gross Amounts Recognized
Gross Amounts Offset in the Balance Sheet
Net Amounts Presented in the Balance Sheet
Financial Instruments Cash and Non-Cash Collateral Received or Pledged Net Amount
Assets:
Derivative assets subject to master netting arrangements $ 1,153  $ —  $ 1,153  $ (472) $ (519) $ 162 
Reverse repurchase agreements
2,095  —  2,095  —  (2,095) — 
Total assets 3,248    3,248  (472) (2,614) 162 
Liabilities:
Derivative liabilities subject to master netting arrangements 618  —  618  (472) (122) 24 
Total liabilities $ 618  $   $ 618  $ (472) $ (122) $ 24 
Dec 25, 2021
Gross Amounts Not Offset in the Balance Sheet
(In Millions) Gross Amounts Recognized Gross Amounts Offset in the Balance Sheet Net Amounts Presented in the Balance Sheet Financial Instruments Cash and Non-Cash Collateral Received or Pledged Net Amount
Assets:
Derivative assets subject to master netting arrangements $ 1,427  $ —  $ 1,427  $ (332) $ (986) $ 109 
Reverse repurchase agreements 1,595  —  1,595  —  (1,595) — 
Total assets 3,022    3,022  (332) (2,581) 109 
Liabilities:
Derivative liabilities subject to master netting arrangements 392  —  392  (332) (60) — 
Total liabilities $ 392  $   $ 392  $ (332) $ (60) $  
Offsetting Liabilities [Table Text Block]
The gross amounts of our derivative instruments and reverse repurchase agreements subject to master netting arrangements with various counterparties, and cash and non-cash collateral posted under such agreements at the end of each period were as follows:
Apr 2, 2022
Gross Amounts Not Offset in the Balance Sheet
(In Millions)
Gross Amounts Recognized
Gross Amounts Offset in the Balance Sheet
Net Amounts Presented in the Balance Sheet
Financial Instruments Cash and Non-Cash Collateral Received or Pledged Net Amount
Assets:
Derivative assets subject to master netting arrangements $ 1,153  $ —  $ 1,153  $ (472) $ (519) $ 162 
Reverse repurchase agreements
2,095  —  2,095  —  (2,095) — 
Total assets 3,248    3,248  (472) (2,614) 162 
Liabilities:
Derivative liabilities subject to master netting arrangements 618  —  618  (472) (122) 24 
Total liabilities $ 618  $   $ 618  $ (472) $ (122) $ 24 
Dec 25, 2021
Gross Amounts Not Offset in the Balance Sheet
(In Millions) Gross Amounts Recognized Gross Amounts Offset in the Balance Sheet Net Amounts Presented in the Balance Sheet Financial Instruments Cash and Non-Cash Collateral Received or Pledged Net Amount
Assets:
Derivative assets subject to master netting arrangements $ 1,427  $ —  $ 1,427  $ (332) $ (986) $ 109 
Reverse repurchase agreements 1,595  —  1,595  —  (1,595) — 
Total assets 3,022    3,022  (332) (2,581) 109 
Liabilities:
Derivative liabilities subject to master netting arrangements 392  —  392  (332) (60) — 
Total liabilities $ 392  $   $ 392  $ (332) $ (60) $  
Not Designated as Hedging Instrument [Member]  
Derivative [Line Items]  
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 Condensed Statements of Income for each period were as follows:
 
Three Months Ended
(In Millions)
Location of Gains (Losses)
Recognized in Income on Derivatives
Apr 2, 2022 Mar 27, 2021
Foreign currency contracts
Interest and other, net
$ 158  $ 234 
Interest rate contracts
Interest and other, net
94  23 
Other
Various
(134) 55 
Total $ 118  $ 312 
Interest and other, net [Member] | Fair Value Hedging  
Derivative [Line Items]  
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block]
The effects of derivative instruments designated as fair value hedges, recognized in interest and other, net for each period were as follows:
Gains (Losses) Recognized in Consolidated Condensed Statements of Income on Derivatives
Three Months Ended
(In Millions)
Apr 2, 2022 Mar 27, 2021
Interest rate contracts
$ (711) $ (512)
Hedged items
711  512 
Total $   $