Quarterly report pursuant to Section 13 or 15(d)

INVESTMENTS AND RESTRICTED CASH (Tables)

v3.10.0.1
INVESTMENTS AND RESTRICTED CASH (Tables)
6 Months Ended
Jun. 30, 2018
Marketable Securities [Abstract]  
Available-for-sale Securities
The following is a summary of marketable securities classified as trading and available-for-sale as of June 30, 2018 and December 31, 2017 (in millions):
 
Cost
 
Unrealized
Gains
 
Unrealized
Losses
 
Estimated
Fair Value
June 30, 2018:
 
 
 
 
 
 
 
Current trading marketable securities:
 
 
 
 
 
 
 
Corporate debt securities
$
75

 
$

 
$

 
$
75

Equity securities
2

 

 

 
2

Total trading marketable securities
77

 

 

 
77

 
 
 
 
 
 
 
 
Current available-for-sale securities:
 
 
 
 
 
 
 
U.S. government and agency debt securities
306

 
1

 
(4
)
 
303

Mortgage and asset-backed debt securities
86

 

 
(1
)
 
85

Corporate debt securities
243

 

 
(2
)
 
241

Non-U.S. government debt securities
14

 

 

 
14

Total available-for-sale marketable securities
649

 
1

 
(7
)
 
643

 
 
 
 
 
 
 
 
Total current marketable securities
$
726

 
$
1

 
$
(7
)
 
$
720

 
 
 
 
 
 
 
 
 
Cost
 
Unrealized
Gains
 
Unrealized
Losses
 
Estimated
Fair Value
December 31, 2017:
 
 
 
 
 
 
 
Current trading marketable securities:
 
 
 
 
 
 
 
Corporate debt securities
$
75

 
$

 
$

 
$
75

Carbon credit investments (1)
77

 
16

 

 
93

Total trading marketable securities
152

 
16

 

 
168

 
 
 
 
 
 
 
 
Current available-for-sale securities:
 
 
 
 
 
 
 
U.S. government and agency debt securities
286

 

 
(3
)
 
283

Mortgage and asset-backed debt securities
86

 

 

 
86

Corporate debt securities
201

 
1

 
(1
)
 
201

Equity securities
2

 

 

 
2

Non-U.S. government debt securities
9

 

 

 
9

Total available-for-sale marketable securities
584

 
1

 
(4
)
 
581

 
 
 
 
 
 
 
 
Total current marketable securities
$
736

 
$
17

 
$
(4
)
 
$
749

(1) These investments are hedged with forward contracts that are not designated in hedging relationships. See Note 14 for offsetting statement of consolidated income impact.
Investments Classified by Contractual Maturity Date
The amortized cost and estimated fair value of marketable securities at June 30, 2018, by contractual maturity, are shown below (in millions). Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties.
 
Cost
 
Estimated
Fair Value
Due in one year or less
$
193

 
$
193

Due after one year through three years
434

 
430

Due after three years through five years
24

 
23

Due after five years
73

 
72

 
724

 
718

Equity securities
2

 
2

 
$
726

 
$
720

Cash and Cash Equivalents and Restricted Cash
A reconciliation of cash and cash equivalents and restricted cash from the consolidated balance sheets to the statements of consolidated cash flows is shown below (in millions):
 
 
June 30, 2018
 
December 31, 2017
 
June 30, 2017
Cash and cash equivalents
 
$
4,214

 
$
3,320

 
$
3,544

Restricted cash
 
277

 
449

 
447

Total cash, cash equivalents and restricted cash
 
$
4,491

 
$
3,769

 
$
3,991

Fair Value, Assets Measured on Recurring Basis
The following table presents information about our investments measured at fair value on a recurring basis as of June 30, 2018 and December 31, 2017, and indicates the fair value hierarchy of the valuation techniques utilized to determine such fair value (in millions):
 
Quoted Prices
in Active
Markets for
Identical Assets
(Level 1)
 
Significant Other
Observable Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
Balance 
June 30, 2018:
 
 
 
 
 
 
 
Marketable Securities:
 
 
 
 
 
 
 
U.S. government and agency debt securities
$
303

 
$

 
$

 
$
303

Mortgage and asset-backed debt securities

 
85

 

 
85

Corporate debt securities

 
316

 

 
316

Equity securities

 
2

 

 
2

Non-U.S. government debt securities

 
14

 

 
14

Total marketable securities
303

 
417

 

 
720

Other non-current investments
19

 

 
2

 
21

Total
$
322

 
$
417

 
$
2

 
$
741

December 31, 2017:
 
 
 
 
 
 
 
Marketable Securities:
 
 
 
 
 
 
 
U.S. government and agency debt securities
$
283

 
$

 
$

 
$
283

Mortgage and asset-backed debt securities


 
86

 

 
86

Corporate debt securities

 
276

 

 
276

Equity securities

 
2

 

 
2

Non-U.S. government debt securities

 
9

 

 
9

Carbon credit investments
93

 

 

 
93

Total marketable securities
376

 
373

 

 
749

Other non-current investments
19

 

 
6

 
25

Total
$
395

 
$
373

 
$
6

 
$
774

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
There were no transfers of investments between Level 1 and Level 2 during the three and six months ended June 30, 2018 and 2017.