Quarterly report [Sections 13 or 15(d)]

Fair Value

v3.25.1
Fair Value
 3 Months Ended
Mar. 29, 2025
Fair Value Disclosures [Abstract]  
Fair Value
Note 11 : Fair Value
Assets and Liabilities Measured and Recorded at Fair Value on a Recurring Basis
Mar 29, 2025 Dec 28, 2024
Fair Value Measured and Recorded at Reporting Date Using
 
 Fair Value Measured and Recorded at Reporting Date Using  
(In Millions)
 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total
Assets
Cash equivalents:
Corporate debt $ —  $ 306  $ —  $ 306  $ —  $ —  $ —  $ — 
Financial institution instruments¹ 3,687  1,244  —  4,931  4,121  743  —  4,864 
Reverse repurchase agreements —  2,599  —  2,599  —  2,654  —  2,654 
Short-term investments:
Corporate debt —  6,101  —  6,101  —  5,365  —  5,365 
Financial institution instruments¹ 160  3,486  —  3,646  195  3,356  —  3,551 
Government debt² 44  2,310  —  2,354  33  4,864  —  4,897 
Other current assets:
Derivative assets 2  471  —  473  348  733  —  1,081 
Marketable equity investments 541  —  —  541  848  —  —  848 
Other long-term assets:
Derivative assets —  3  —  3  —  1  —  1 
Total assets measured and recorded at fair value $ 4,434  $ 16,520  $ —  $ 20,954  $ 5,545  $ 17,716  $ —  $ 23,261 
Liabilities
Other accrued liabilities:
Derivative liabilities $ 88  $ 298  $ 129  $ 515  $ —  $ 562  $ 134  $ 696 
Other long-term liabilities:
Derivative liabilities³ —  291  755  1,046  —  416  755  1,171 
Total liabilities measured and recorded at fair value $ 88  $ 589  $ 884  $ 1,561  $ —  $ 978  $ 889  $ 1,867 
1Level 1 investments consist of money market funds. Level 2 investments consist primarily of time deposits, notes, and bonds issued by financial institutions.
2Level 1 investments consist primarily of US Treasury securities. Level 2 investments consist primarily of non-US government debt.
3Level 3 derivative liabilities include liquidated damage provisions related to our Ireland SCIP arrangement.
Assets Measured and Recorded at Fair Value on a Non-Recurring Basis
Our non-marketable equity investments, equity method investments, and certain non-financial assets—such as intangible assets, goodwill, and property, plant, and equipment—are recorded at fair value only if an impairment or observable price adjustment is recognized in the current period. If an observable price adjustment or impairment is recognized on our non-marketable equity investments during the period, we classify these assets as Level 3. Similarly, impairments recognized on our goodwill, intangible assets, and property, plant, and equipment are categorized as Level 3 within the fair value hierarchy as we utilize unobservable inputs such as prospective financial information, market segment growth rates, and discount rates in the fair value measurement process.

Financial Instruments Not Recorded at Fair Value on a Recurring Basis
Financial instruments not recorded at fair value on a recurring basis include non-marketable equity investments and equity method investments that have not been remeasured or impaired in the current period, grants receivable, and issued debt.
We classify the fair value of grants receivable as Level 2. The estimated fair value of these financial assets approximates their carrying value. The aggregate carrying value of grants receivable as of March 29, 2025, was $757 million (the aggregate carrying value of grants receivable as of December 28, 2024, was $1.7 billion).
We classify the fair value of issued debt (excluding any commercial paper) as Level 2. The fair value of these instruments was $42.7 billion as of March 29, 2025 ($43.5 billion as of December 28, 2024).