As of September 30, 2021 and 2020, the aggregate notional amount of the Company’s derivative contracts outstanding in its hedge program was $11.2 billion and $10.7 billion, respectively. As of September 30, 2021 and 2020, the aggregate notional amount of the derivative contracts not designated as hedging instruments was $0.8 billion and $1.6 billion, respectively.


		September 30,
	Balance Sheet Location	2021		2020
		(in millions)
Assets
Designated as Hedging Instrument:
Foreign exchange contracts	Prepaid expenses and other current assets and other assets	$	270	$	257
Interest rate swap	Other assets	$	138	$	248
Not Designated as Hedging Instrument:
Foreign exchange contracts	Prepaid expenses and other current assets	$	2	$	7
Liabilities
Designated as Hedging Instrument:
Foreign exchange contracts	Accrued liabilities	$	13	$	39
Cross-currency swap	Other liabilities	$	90	$	137
Not Designated as Hedging Instrument:
Foreign exchange contracts	Accrued liabilities	$	6	$	5

For fiscal 2021, 2020 and 2019, the Company recognized pre-tax net gains (losses) in other comprehensive income (loss) related to net investment hedges of $20 million, ($318) million and $234 million, respectively. For fiscal 2021, 2020 and 2019, the Company recognized an increase in earnings of $156 million, $150 million and $95 million, respectively, related to excluded forward points and interest differentials from forward contracts and swap agreements.

Credit and market risks. The Company’s derivative financial instruments are subject to both credit and market risk. The Company monitors the credit-worthiness of the financial institutions that are counterparties to its derivative financial instruments and does not consider the risks of counterparty nonperformance to be significant. The Company mitigates this risk by entering into master netting agreements, and such agreements require each party to post collateral against its net liability position with the respective counterparty. As of September 30, 2021, the Company has received collateral of $35 million from counterparties, which is included in accrued liabilities in the consolidated balance sheets, and posted collateral of $9 million, which is included in prepaid expenses and other current assets in the consolidated balance sheets. Notwithstanding the Company’s efforts to manage foreign exchange risk, there can be no absolute assurance that its hedging activities will adequately protect against the risks associated with foreign currency fluctuations. As of September 30, 2021, credit and market risks related to derivative instruments were not considered significant.