Cash flow hedge loss to be reclassified within the next twelve months

[Table of Contents](#ifce71646d6a145519f2ac4db7d9b12ca_7) The impact of derivative and non-derivative instruments designated as hedges to the Consolidated Statements of Income and Comprehensive Income is as follows:

|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Gain (loss) recognized inother comprehensive(loss) income |  | Location of gain (loss)reclassified fromAccumulated othercomprehensive loss  |  | Gain (loss) reclassifiedfrom Accumulated othercomprehensive loss |
|  | Three months endedSeptember 30 |  |  |  | Three months endedSeptember 30 |
| (In millions) | 2022 |  | 2021 |  |  |  | 2022 |  | 2021 |
| Derivatives designated as    cash flow hedges |  |  |  |  |  |  |  |  |  |
| Forward starting floating-to-fixed interest rate swaps | $ | (36) |  |  | $ | 1  |  |  | Interest expense - net |  | $ | 1  |  |  | $ | —  |  |
|  |  |  |  |  |  |  |  |  |  |
| Currency exchange contracts | (8) |  |  | (6) |  |  | Net sales and Cost of products sold |  | (1) |  |  | 3  |  |
| Commodity contracts | (3) |  |  | (3) |  |  | Cost of products sold |  | (3) |  |  | 2  |  |
| Non-derivative designated as net   investment hedges |  |  |  |  |  |  |  |  |  |
| Foreign currency denominated debt | 164  |  |  | 74  |  |  | Interest expense - net |  | —  |  |  | —  |  |
| Total | $ | 117  |  |  | $ | 66  |  |  |  |  | $ | (3) |  |  | $ | 5  |  |
|  |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  |
|  | Gain (loss) recognized inother comprehensive(loss) income |  | Location of gain (loss)reclassified fromAccumulated othercomprehensive loss  |  | Gain (loss) reclassifiedfrom Accumulated othercomprehensive loss |
|  | Nine months ended September 30 |  |  |  | Nine months ended September 30 |
| (In millions) | 2022 |  | 2021 |  |  |  | 2022 |  | 2021 |
| Derivatives designated as cash    flow hedges |  |  |  |  |  |  |  |  |  |
| Forward starting floating-to-fixedinterest rate swaps | $ | 202  |  |  | $ | 62  |  |  | Interest expense - net |  | $ | 1  |  |  | $ | —  |  |
|  |  |  |  |  |  |  |  |  |  |
| Currency exchange contracts | (18) |  |  | (11) |  |  | Net sales and Cost of products sold |  | 3  |  |  | (2) |  |
| Commodity contracts | (11) |  |  | 2  |  |  | Cost of products sold |  | —  |  |  | 7  |  |
| Non-derivative designated as net   investment hedges |  |  |  |  |  |  |  |  |  |
| Foreign currency denominated debt | 405  |  |  | 178  |  |  | Interest expense - net |  | —  |  |  | —  |  |
| Total | $ | 577  |  |  | $ | 231  |  |  |  |  | $ | 4  |  |  | $ | 5  |  |

At September 30, 2022, a loss of $5 million of estimated unrealized net gains or losses associated with our cash flow hedges were expected to be reclassified to income from Accumulated other comprehensive loss within the next twelve months. These reclassifications relate to our designated foreign currency and commodity hedges that will mature in the next 12 months.  
  
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