Derivative instruments (Tables)

9 Months Ended

Sep. 30, 2012

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Notional Amounts and Interest Rates for Cross-Currency Swaps [Table Text Block]

The notional amounts and interest rates of our cross-currency swaps are as follows (notional amounts in millions):



	Foreign currency				U.S. dollars
Hedged notes	Notional Amount		Interest rate		Notional Amount		Interest rate
2.125% 2019 euro Notes	€	675	2.125	%	$	864	2.6	%
5.50% 2026 pound sterling Notes	£	475	5.50	%	$	748	5.8	%
4.00% 2029 pound sterling Notes	£	700	4.00	%	$	1,122	4.3	%

Effective portion of the unrealized gain (loss) recognized in Other Comprehensive Income for our derivative instruments designated as cash flow hedges

The effective portion of the unrealized gain/(loss) recognized in other comprehensive income for our derivative instruments designated as cash flow hedges was as follows (in millions):



	Three months ended					Nine months ended
	September 30,					September 30,
Derivatives in cash flow hedging relationships	2012			2011		2012			2011
Foreign currency contracts	$	(127	)	$	105	$	(25	)	$	(113	)
Cross-currency swap contracts	38			—		11			—
Forward interest rate contracts	—			—		(7		)	—
Total	$	(89	)	$	105	$	(21	)	$	(113	)

Location in the Condensed Consolidated Statements of Income and the effective portion of gain (loss) reclassified from Accumulated Other Comprehensive Income into earnings for our derivative instruments designated as cash flow hedges

The location in the Condensed Consolidated Statements of Income and the effective portion of the gain/(loss) reclassified from AOCI into earnings for our derivative instruments designated as cash flow hedges were as follows (in millions):



		Three months ended					Nine months ended
		September 30,					September 30,
Derivatives in cash flow hedging relationships	Statements of Income location	2012		2011			2012			2011
Foreign currency contracts	Product sales	$	38	$	(41	)	$	67		$	(82	)
Cross-currency swap contracts	Interest and other income, net	58		—			54			—
Forward interest rate contracts	Interest expense, net	—		(1		)	(1		)	(1		)
Total		$	96	$	(42	)	$	120		$	(83	)

Location in the Condensed Consolidated Statements of Income and the amount of gain (loss) recognized in earnings for the derivative instruments not designated as hedging instruments

The location in the Condensed Consolidated Statements of Income and the amount of gain/(loss) recognized in earnings for our derivative instruments not designated as hedging instruments were as follows (in millions):



		Three months ended				Nine months ended
		September 30,				September 30,
Derivatives not designated as hedging instruments	Statements of Income location	2012		2011		2012		2011
Foreign currency contracts	Interest and other income, net	$	3	$	50	$	13	$	(10	)

Fair values of derivatives included in the Condensed Consolidated Balance Sheets

The fair values of derivatives included in the Condensed Consolidated Balance Sheets were as follows (in millions):



	Derivative assets			Derivative liabilities
September 30, 2012	Balance Sheet location	Fair value		Balance Sheet location	Fair value
Derivatives designated as hedging instruments:
Cross-currency swap contracts	Other current assets/ Other noncurrent assets	$	12	Accrued liabilities/ Other noncurrent liabilities	$	27
Foreign currency contracts	Other current assets/ Other noncurrent assets	82		Accrued liabilities/ Other noncurrent liabilities	54
Total derivatives designated as hedging instruments		94			81
Derivatives not designated as hedging instruments:
Foreign currency contracts	Other current assets	5		Accrued liabilities	1
Total derivatives not designated as hedging instruments		5			1
Total derivatives		$	99		$	82



	Derivative assets			Derivative liabilities
December 31, 2011	Balance Sheet location	Fair value		Balance Sheet location	Fair value
Derivatives designated as hedging instruments:
Interest rate swap contracts	Other current assets/ Other noncurrent assets	$	377	Accrued liabilities/ Other noncurrent liabilities	$	—
Cross-currency swap contracts	Other current assets/ Other noncurrent assets	—		Accrued liabilities/ Other noncurrent liabilities	26
Foreign currency contracts	Other current assets/ Other noncurrent assets	172		Accrued liabilities/ Other noncurrent liabilities	48
Total derivatives designated as hedging instruments		549			74
Derivatives not designated as hedging instruments:
Foreign currency contracts	Other current assets	—		Accrued liabilities	—
Total derivatives not designated as hedging instruments		—			—
Total derivatives		$	549		$	74

- Definition

Tabular disclosure of the location and fair value amounts of derivative instruments (and nonderivative instruments that are designated and qualify as hedging instruments) reported in the statement of financial position.

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