EQUITY (Tables)

3 Months Ended

Mar. 31, 2026

The following table summarizes changes in equity during the three months ended March 31, 2026:


	Common Stock			Capital in Excess of Par Value of Stock		Accumulated Other Comprehensive Loss		Retained Earnings		Treasury Stock			Noncontrolling Interest
Dollars and shares in millions	Shares	Par Value								Shares	Cost
Balance at December 31, 2025	2,923	$	292	$	46,387	$	(1,524)	$	16,896	887	$	(43,579)	$	33
Net earnings/(loss)	—	—		—		—		2,677		—	—		1
Other comprehensive income/(loss)	—	—		—		155		—		—	—		—
Cash dividends declared $0.63 per share	—	—		—		—		(1,286)		—	—		—

Stock compensation	—	—		(13)		—		—		(6)	64		—
Balance at March 31, 2026	2,923	$	292	$	46,374	$	(1,370)	$	18,287	881	$	(43,515)	$	34

The following table summarizes changes in equity during the three months ended March 31, 2025:


	Common Stock			Capital in Excess of Par Value of Stock		Accumulated Other Comprehensive Loss		Retained Earnings		Treasury Stock			Noncontrolling Interest
Dollars and shares in millions	Shares	Par Value								Shares	Cost
Balance at December 31, 2024	2,923	$	292	$	46,024	$	(1,238)	$	14,912	894	$	(43,655)	$	53
Net earnings/(loss)	—	—		—		—		2,456		—	—		6
Other comprehensive income/(loss)	—	—		—		(185)		—		—	—		—
Cash dividends declared $0.62 per share	—	—		—		—		(1,262)		—	—		—

Stock compensation	—	—		(13)		—		—		(6)	59		—

Balance at March 31, 2025	2,923	$	292	$	46,011	$	(1,424)	$	16,106	888	$	(43,597)	$	59

Schedule of Comprehensive Income Loss

The components of Other comprehensive income/(loss) were as follows:


	Three Months Ended March 31, 2026						Three Months Ended March 31, 2025
Dollars in millions	Pretax		Tax		After Tax		Pretax		Tax		After Tax
Derivatives qualifying as cash flow hedges:
Recognized in other comprehensive income/(loss)	$	54	$	(15)	$	39	$	(191)	$	37	$	(154)
Reclassified to net earnings(a)	29		(8)		22		(77)		16		(61)
Derivatives qualifying as cash flow hedges	83		(23)		60		(268)		53		(215)

Pension and postretirement benefits
Actuarial gains/(losses)	2		—		2		—		—		—
Amortization(b)	2		(1)		1		2		(1)		1
Settlements(b)	5		(1)		4		—		—		—
Pension and postretirement benefits	9		(2)		6		2		(1)		1

Marketable debt securities
Unrealized gains/(losses)	(4)		1		(3)		1		—		1

Foreign currency translation	93		(2)		91		9		19		28

Other comprehensive income/(loss)	$	181	$	(27)	$	155	$	(256)	$	71	$	(185)

(a)Included in Alliance and other revenues, Cost of products sold and Other (income)/expense, net. Refer to "—Note 9. Financial Instruments and Fair Value Measurements" for further information.

(b)Included in Other (income)/expense, net.

Schedule of Accumulated Other Comprehensive Income Loss

The accumulated balances related to each component of Other comprehensive income/(loss), net of taxes, were as follows:


Dollars in millions	March 31, 2026		December 31, 2025
Derivatives qualifying as cash flow hedges	$	97	$	37
Pension and postretirement benefits	(560)		(566)
Marketable debt securities	—		3
Foreign currency translation(a)	(906)		(997)
Accumulated other comprehensive loss	$	(1,370)	$	(1,524)

(a)Includes net investment hedge gains of $112 million and $105 million as of March 31, 2026 and December 31, 2025, respectively.