Maturity period of primarily bank time deposits, maximum, classified as cash equivalents and money market funds (in days)

[Table of Contents](#ie64973d8440d48dda3b140796cb1bc77_7)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)Level 3: Unobservable inputs. The company does not use Level 3 inputs for any of its recurring fair value measurements. Level 3 inputs may be required for the determination of fair value associated with certain nonrecurring measurements of nonfinancial assets and liabilities. The fair value hierarchy for assets and liabilities measured at fair value at September 30, 2022, and December 31, 2021, is as follows:Assets and Liabilities Measured at Fair Value on a Recurring Basis(Millions of dollars)

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|   | At September 30, 2022 |  | At December 31, 2021 |
|   | Total |  | Level 1 |  | Level 2 |  | Level 3 |  | Total |  | Level 1 |  | Level 2 |  | Level 3 |
| Marketable Securities | $ | 267  |  |  | $ | 267  |  |  | $ | —  |  |  | $ | —  |  |  | $ | 35  |  |  | $ | 35  |  |  | $ | —  |  |  | $ | —  |  |
| Derivatives - not designated | 243  |  |  | 100  |  |  | 143  |  |  | —  |  |  | 313  |  |  | 285  |  |  | 28  |  |  | —  |  |
| Derivatives - designated | 49  |  |  | 49  |  |  | —  |  |  | —  |  |  | —  |  |  | —  |  |  | —  |  |  | —  |  |
| Total Assets at Fair Value  | $ | 559  |  |  | $ | 416  |  |  | $ | 143  |  |  | $ | —  |  |  | $ | 348  |  |  | $ | 320  |  |  | $ | 28  |  |  | $ | —  |  |
| Derivatives - not designated | 163  |  |  | 62  |  |  | 101  |  |  | —  |  |  | 72  |  |  | 24  |  |  | 48  |  |  | —  |  |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Total Liabilities at Fair Value | $ | 163  |  |  | $ | 62  |  |  | $ | 101  |  |  | $ | —  |  |  | $ | 72  |  |  | $ | 24  |  |  | $ | 48  |  |  | $ | —  |  |

Marketable Securities The company calculates fair value for its marketable securities based on quoted market prices for identical assets. The fair values reflect the cash that would have been received if the instruments were sold at September 30, 2022.Derivatives The company records most of its derivative instruments — other than any commodity derivative contracts that are accounted for as normal purchase and normal sale — on the Consolidated Balance Sheet at fair value, with the offsetting amount to the Consolidated Statement of Income. The company designates certain derivative instruments as cash flow hedges that, if applicable, are reflected in the table above. Derivatives classified as Level 1 include futures, swaps and options contracts valued using quoted prices from active markets such as the New York Mercantile Exchange. Derivatives classified as Level 2 include swaps, options and forward contracts, the fair values of which are obtained from third-party broker quotes, industry pricing services and exchanges. The company obtains multiple sources of pricing information for the Level 2 instruments. Since this pricing information is generated from observable market data, it has historically been very consistent. The company does not materially adjust this information. Assets and liabilities carried at fair value at September 30, 2022, and December 31, 2021, are as follows:Cash and Cash Equivalents The company holds cash equivalents in U.S. and non-U.S. portfolios. The instruments classified as cash equivalents are primarily bank time deposits with maturities of 90 days or less, and money market funds. “Cash and cash equivalents” had carrying/fair values of $15.2 billion and $5.6 billion at September 30, 2022, and December 31, 2021, respectively. The fair values of cash and cash equivalents are classified as Level 1 and reflect the cash that would have been received if the instruments were settled at September 30, 2022. Restricted Cash had a carrying/fair value of $1.5 billion and $1.2 billion at September 30, 2022 and December 31, 2021, respectively. At September 30, 2022, restricted cash is classified as Level 1 and includes restricted funds related to certain upstream decommissioning activities, tax payments and a financing program, which are reported in “Prepaid expenses and other current assets” and “Deferred charges and other assets” on the Consolidated Balance Sheet. Long-Term Debt had a net carrying value, excluding amounts reclassified from short-term debt, purchase price fair value adjustments and finance lease obligations, of $16.4 billion and $22.2 billion at September 30, 2022, and December 31, 2021, respectively. The fair value of long-term debt for the company was $14.9 billion and $23.7 billion at September 30, 2022 and December 31, 2021, respectively. Long-term debt primarily includes corporate issued bonds, classified as Level 1 and are $14.5 billion for the period. The fair value of other long-term debt classified as Level 2 is $0.4 billion. The carrying values of other short-term financial assets and liabilities on the Consolidated Balance Sheet approximate their fair values. Fair value remeasurements of other financial instruments at September 30, 2022, and December 31, 2021, were not material.18
