| Schedule Of Fair Value Assets And Liabilities Measured On Recurring Basis Table |
The following table sets forth the Company’s financial assets and liabilities as of December 31, 2013 and June 30, 2013 that are measured at fair value on a recurring basis during the period, segregated by level within the fair value hierarchy: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Level 1 | | Level 2 | | Level 3 | | Total | | December 31, 2013 | | June 30, 2013 | | December 31, 2013 | | June 30, 2013 | | December 31, 2013 | | June 30, 2013 | | December 31, 2013 | | June 30, 2013 | Assets recorded at fair value: | | | | | | | | | | | | | | | | Investments: | | | | | | | | | | | | | | | | U.S. government securities | $ | — |
| | $ | — |
| | $ | 1,574 |
| | $ | 1,571 |
| | $ | — |
| | $ | — |
| | $ | 1,574 |
| | $ | 1,571 |
| Other investments | 8 |
| | 23 |
| | — |
| | — |
| | 25 |
| | 24 |
| | 33 |
| | 47 |
| Derivatives relating to: | | | | | | | | | | | | | | | | Foreign currency hedges | — |
| | — |
| | 219 |
| | 168 |
| | — |
| | — |
| | 219 |
| | 168 |
| Other foreign currency instruments (1) | — |
| | — |
| | 31 |
| | 19 |
| | — |
| | — |
| | 31 |
| | 19 |
| Interest rates | — |
| | — |
| | 136 |
| | 191 |
| | — |
| | — |
| | 136 |
| | 191 |
| Net investment hedges | — |
| | — |
| | 133 |
| | 233 |
| | — |
| | — |
| | 133 |
| | 233 |
| Total assets recorded at fair value (2) | 8 |
| | 23 |
| | 2,093 |
| | 2,182 |
| | 25 |
| | 24 |
| | 2,126 |
| | 2,229 |
| Liabilities recorded at fair value: | | | | | | | | | | | | | | | | Derivatives relating to: | | | | | | | | | | | | | | | | Foreign currency hedges | — |
| | — |
| | — |
| | — |
| | — |
| | — |
| | — |
| | — |
| Other foreign currency instruments (1) | — |
| | — |
| | 76 |
| | 90 |
| | — |
| | — |
| | 76 |
| | 90 |
| Interest rates | — |
| | — |
| | 117 |
| | 59 |
| | — |
| | — |
| | 117 |
| | 59 |
| Net investment hedges | — |
| | — |
| | — |
| | — |
| | — |
| | — |
| | — |
| | — |
| Liabilities recorded at fair value (3) | — |
| | — |
| | 193 |
| | 149 |
| | — |
| | — |
| | 193 |
| | 149 |
| Liabilities not recorded at fair value: | | | | | | | | | | | | | | | | Long-term debt (4) | 26,275 |
| | 22,671 |
| | 3,626 |
| | 3,022 |
| | — |
| | — |
| | 29,901 |
| | 25,693 |
| Total liabilities recorded and not recorded at fair value | $ | 26,275 |
| | $ | 22,671 |
| | $ | 3,819 |
| | $ | 3,171 |
| | $ | — |
| | $ | — |
| | $ | 30,094 |
| | $ | 25,842 |
|
| | (1) | Other foreign currency instruments are comprised of foreign currency financial instruments that do not qualify as hedges. |
| | (2) | All derivative assets are presented in prepaid expenses and other current assets and other noncurrent assets. Investment securities are presented in available-for-sale investment securities and other noncurrent assets. The U.S government securities are included in other noncurrent assets in our Consolidated Balance Sheet at June 30, 2013. The amortized cost of the U.S. government securities was $1,604 as of December 31, 2013 and June 30, 2013. All U.S. government securities have contractual maturities between one and five years. Fair values are generally estimated based upon quoted market prices for similar instruments. |
| | (3) | All liabilities are presented in accrued and other liabilities or other noncurrent liabilities. |
| | (4) | Long-term debt includes the current portion ($6,521 and $4,540 as of December 31, 2013 and June 30, 2013, respectively) of debt instruments. Long-term debt is not recorded at fair value on a recurring basis, but is measured at fair value for disclosure purposes. Fair values are generally estimated based on quoted market prices for identical or similar instruments. |
|
| Schedule of Derivative Instruments |
The notional amounts and fair values of qualifying and non-qualifying financial instruments used in hedging transactions as of December 31, 2013 and June 30, 2013 are as follows: | | | | | | | | | | | | | | | | | | Notional Amount | | Fair Value Asset/(Liability) | | December 31, 2013 | | June 30, 2013 | | December 31, 2013 | | June 30, 2013 | Derivatives in Cash Flow Hedging Relationships | | | | | | | | Foreign currency contracts | $ | 951 |
| | $ | 951 |
| | $ | 219 |
| | $ | 168 |
| Derivatives in Fair Value Hedging Relationships | | | | | | | | Interest rate contracts | $ | 11,833 |
| | $ | 9,117 |
| | $ | 19 |
| | $ | 132 |
| Derivatives in Net Investment Hedging Relationships | | | | | | | | Net investment hedges | $ | 1,125 |
| | $ | 1,303 |
| | $ | 133 |
| | $ | 233 |
| Derivatives Not Designated as Hedging Instruments | | | | | | | | Foreign currency contracts | $ | 6,824 |
| | $ | 7,080 |
| | $ | (45 | ) | | $ | (71 | ) |
|
| Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance |
The amounts of gains and losses on qualifying and non-qualifying financial instruments used in hedging transactions for the three and six months ended December 31, 2013 and 2012 are as follows: | | | | | | | | | | | | | | | | | | Amount of Gain/(Loss) Reclassified from Accumulated OCI into Income (1) | | Three Months Ended December 31 | | Six Months Ended December 31 | | 2013 | | 2012 | | 2013 | | 2012 | Derivatives in Cash Flow Hedging Relationships | | | | | | | | Interest rate contracts | $ | 1 |
| | $ | 1 |
| | $ | 3 |
| | $ | 3 |
| Foreign currency contracts | 58 |
| | 106 |
| | 56 |
| | 88 |
| Total | $ | 59 |
| | $ | 107 |
| | $ | 59 |
| | $ | 91 |
| | | | | | | | | | Amount of Gain/(Loss) Recognized in Income | | Three Months Ended December 31 | | Six Months Ended December 31 | | 2013 | | 2012 | | 2013 | | 2012 | Derivatives in Fair Value Hedging Relationships (2)
| | | | | | | | Interest rate contracts | $ | (84 | ) | | $ | (15 | ) | | (113 | ) | | 25 |
| Debt | 84 |
| | 17 |
| | 113 |
| | (21 | ) | Total | — |
| | 2 |
| | — |
| | 4 |
| Derivatives in Net Investment Hedging Relationships (2) | | | | | | | | Net investment hedges | $ | — |
| | $ | (1 | ) | | $ | — |
| | $ | (1 | ) | Derivatives Not Designated as Hedging Instruments (3) | | | | | | | | Foreign currency contracts (4) | $ | (26 | ) | | $ | (53 | ) | | $ | 83 |
| | $ | 226 |
| Commodity contracts | — |
| | (2 | ) | | — |
| | — |
| Total | $ | (26 | ) | | $ | (55 | ) | | $ | 83 |
| | $ | 226 |
|
| | (1) | The gain or loss on the effective portion of cash flow hedging relationships is reclassified from AOCI into net income in the same period during which the related item affects earnings. Such amounts are included in the Consolidated Statements of Earnings as follows: interest rate contracts in interest expense, foreign currency contracts in selling, general and administrative expense (SG&A) and interest expense and commodity contracts in cost of products sold. |
| | (2) | The gain or loss on the ineffective portion of interest rate contracts and net investment hedges, if any, is included in the Consolidated Statements of Earnings in interest expense. |
| | (3) | The gain or loss on contracts not designated as hedging instruments is included in the Consolidated Statements of Earnings as follows: foreign currency contracts in SG&A and commodity contracts in cost of products sold. |
| | (4) | The gain or loss on non-qualifying foreign currency contracts substantially offsets the foreign currency mark-to-market impact of the related exposure. |
|