Quarterly report pursuant to Section 13 or 15(d)

SHAREOWNERS' EQUITY (Tables)

v3.19.2
SHAREOWNERS' EQUITY (Tables)
 6 Months Ended
Jun. 30, 2019
Accumulated Other Comprehensive Income (Loss) [Line Items]  
Schedule of Stockholders Equity [Table Text Block]
Three Months Ended June 30:
2019
 
2018
 
Shares
 
Dollars
 
Shares
 
Dollars
Class A Common Stock
 
 
 
 
 
 
 
Balance at beginning of period
164

 
$
2

 
174

 
$
2

Common stock purchases
(1
)
 
—

 
(1
)
 
—

Stock award plans
1

 
—

 
—

 
—

Common stock issuances
(1
)
 
—

 
—

 
—

Conversions of class A to class B common stock
(2
)
 
—

 
(5
)
 
—

Class A shares issued at end of period
161

 
$
2

 
168

 
$
2

Class B Common Stock
 
 
 
 
 
 
 
Balance at beginning of period
697

 
$
7

 
689

 
$
7

Common stock purchases
(1
)
 
—

 
(1
)
 
—

Conversions of class A to class B common stock
2

 
—

 
5

 
—

Class B shares issued at end of period
698

 
7

 
693

 
7

Additional Paid-In Capital
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
27

 
 
 
$
—

Stock award plans
 
 
213

 
 
 
150

Common stock purchases
 
 
(251
)
 
 
 
(247
)
Common stock issuances
 
 
107

 
 
 
77

Option premiums received (paid)
 
 
6

 
 
 
20

Unsettled portion of accelerated stock repurchase program
 
—

 
 
 
—

Balance at end of period
 
 
$
102

 
 
 
$
—

Retained Earnings
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
8,249

 
 
 
6,973

Net income attributable to common shareowners
 
 
1,685

 
 
 
1,485

Dividends ($0.96 and $0.91 per share) (1)
 
 
(826
)
 
 
 
(784
)
Common stock purchases
 
 
—

 
 
 
(9
)
Other
 
 
1

 
 
 
—

Balance at end of period
 
 
$
9,109

 
 
 
$
7,665

Non-Controlling Minority Interest
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
18

 
 
 
$
31

Change in non-controlling minority interest
 
 
—

 
 
 
(3
)
Balance at end of period
 
 
$
18

 
 
 
$
28

(1) The dividend per share amount is the same for both class A and class B common stock


Six Months Ended June 30:
2019
 
2018
 
Shares
 
Dollars
 
Shares
 
Dollars
Class A Common Stock
 
 
 
 
 
 
 
Balance at beginning of period
163

 
$
2

 
173

 
$
2

Common stock purchases
(2
)
 
—

 
(2
)
 
—

Stock award plans
4

 
—

 
3

 
—

Common stock issuances
1

 
—

 
2

 
—

Conversions of class A to class B common stock
(5
)
 
—

 
(8
)
 
—

Class A shares issued at end of period
161

 
$
2

 
168

 
$
2

Class B Common Stock
 
 
 
 
 
 
 
Balance at beginning of period
696

 
$
7

 
687

 
$
7

Common stock purchases
(3
)
 
—

 
(2
)
 
—

Conversions of class A to class B common stock
5

 
—

 
8

 
—

Class B shares issued at end of period
698

 
7

 
693

 
7

Additional Paid-In Capital
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
—

 
 
 
$
—

Stock award plans
 
 
382

 
 
 
170

Common stock purchases
 
 
(502
)
 
 
 
(383
)
Common stock issuances
 
 
221

 
 
 
232

Option premiums received (paid)
 
 
1

 
 
 
(19
)
Balance at end of period
 
 
$
102

 
 
 
$
—

Retained Earnings
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
8,006

 
 
 
$
5,852

Net income attributable to common shareowners
 
 
2,796

 
 
 
2,830

Dividends ($1.92 and $1.82 per share) (1)
 
 
(1,693
)
 
 
 
(1,624
)
Common stock purchases
 
 
—

 
 
 
(128
)
Reclassification from AOCI pursuant to the early adoption of ASU 2018-02
 
 
—

 
 
 
735

Balance at end of period
 
 
$
9,109

 
 
 
$
7,665

Non-Controlling Minority Interest
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
16

 
 
 
$
30

Change in non-controlling minority interest
 
 
2

 
 
 
(2
)
Balance at end of period
 
 
$
18

 
 
 
$
28

(1) The dividend per share amount is the same for both class A and class B common stock

Schedule of Deferred Compensation and Treasury Stock Activity [Table Text Block]
Activity in the deferred compensation program for the three and six months ended June 30, 2019 and 2018 is as follows (in millions):
Three Months Ended June 30:
2019
 
2018
 
Shares
 
Dollars
 
Shares
 
Dollars
Deferred Compensation Obligations:
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
25

 
 
 
$
31

Reinvested dividends
 
 
—

 
 
 
—

Benefit payments
 
 
—

 
 
 
—

Balance at end of period
 
 
$
25

 
 
 
$
31

Treasury Stock:
 
 
 
 
 
 
 
Balance at beginning of period
(1
)
 
$
(25
)
 
(1
)
 
$
(31
)
Reinvested dividends
—

 
—

 
—

 
—

Benefit payments
1

 
—

 
—

 
—

Balance at end of period
—

 
(25
)
 
(1
)
 
(31
)



Six Months Ended June 30:
2019
 
2018
 
Shares
 
Dollars
 
Shares
 
Dollars
Deferred Compensation Obligations:
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
32

 
 
 
$
37

Reinvested dividends
 
 
1

 
 
 
1

Benefit payments
 
 
(8
)
 
 
 
(7
)
Balance at end of period
 
 
$
25

 
 
 
$
31

Treasury Stock:
 
 
 
 
 
 
 
Balance at beginning of period
(1
)
 
$
(32
)
 
(1
)
 
$
(37
)
Reinvested dividends
—

 
(1
)
 
—

 
(1
)
Benefit payments
1

 
8

 
—

 
7

Balance at end of period
—

 
(25
)
 
(1
)
 
(31
)


Schedule of Accumulated Other Comprehensive Income (Loss) The activity in AOCI for the three and six months ended June 30, 2019 and 2018 is as follows (in millions):
Three Months Ended June 30:
2019
 
2018
Foreign currency translation gain (loss), net of tax:
 
 
 
Balance at beginning of period
$
(1,073
)
 
$
(983
)
Translation adjustment (net of tax effect of $(7) and $34)
(33
)
 
(78
)
Balance at end of period
(1,106
)
 
(1,061
)
Unrealized gain (loss) on marketable securities, net of tax:
 
 
 
Balance at beginning of period
2

 
(5
)
Current period changes in fair value (net of tax effect of $3 and $0)
5

 
—

Balance at end of period
7

 
(5
)
Unrealized gain (loss) on cash flow hedges, net of tax:
 
 
 
Balance at beginning of period
116

 
(511
)
Current period changes in fair value (net of tax effect of $5 and $100)
15

 
312

Reclassification to earnings (net of tax effect of $(9) and $6)
(27
)
 
20

Balance at end of period
104

 
(179
)
Unrecognized pension and postretirement benefit costs, net of tax:
 
 
 
Balance at beginning of period
(3,863
)
 
(4,139
)
Reclassification to earnings (net of tax effect of $14 and $12)
43

 
38

Balance at end of period
(3,820
)
 
(4,101
)
Accumulated other comprehensive income (loss) at end of period
$
(4,815
)
 
$
(5,346
)

Six Months Ended June 30:
2019
 
2018
Foreign currency translation gain (loss), net of tax:
 
 
 
Balance at beginning of period
$
(1,126
)
 
$
(930
)
Translation adjustment (net of tax effect of $2 and $25)
20

 
(84
)
Reclassification to retained earnings pursuant to the early adoption of ASU 2018-02
—

 
(47
)
Balance at end of period
(1,106
)
 
(1,061
)
Unrealized gain (loss) on marketable securities, net of tax:
 
 
 
Balance at beginning of period
(2
)
 
(2
)
Current period changes in fair value (net of tax effect of $3 and $(1))
9

 
(4
)
Reclassification to earnings (net of tax effect of $0 and $1)
—

 
1

Balance at end of period
7

 
(5
)
Unrealized gain (loss) on cash flow hedges, net of tax:
 
 
 
Balance at beginning of period
40

 
(366
)
Current period changes in fair value (net of tax effect of $33 and $67)
104

 
210

Reclassification to retained earnings pursuant to the early adoption of ASU 2018-02
—

 
(79
)
Reclassification to earnings (net of tax effect of $(13) and $18)
(40
)
 
56

Balance at end of period
104

 
(179
)
Unrecognized pension and postretirement benefit costs, net of tax:
 
 
 
Balance at beginning of period
(3,906
)
 
(3,569
)
Reclassification to earnings (net of tax effect of $27 and $24)
86

 
77

Reclassification to retained earnings pursuant to the early adoption of ASU 2018-02
—

 
(609
)
Balance at end of period
(3,820
)
 
(4,101
)
Accumulated other comprehensive income (loss) at end of period
$
(4,815
)
 
$
(5,346
)

Schedule of Reclassifications from Accumulated Other Comprehensive Income (Loss) to Earnings [Table Text Block]
Detail of the gains (losses) reclassified from AOCI to the statements of consolidated income for the three and six months ended June 30, 2019 and 2018 is as follows (in millions):
Three Months Ended June 30:
 
 
 
 
 
 
Amount Reclassified from AOCI
 
Affected Line Item in the Income Statement
 
2019
 
2018
 
Unrealized gain (loss) on marketable securities:
 
 
 
 
 
Realized loss on sale of securities
$
—

 
$
—

 
Investment income and other
Income tax (expense) benefit
—

 
—

 
Income tax expense
Impact on net income
—

 
—

 
Net income
Unrealized gain (loss) on cash flow hedges:
 
 
 
 
 
Interest rate contracts
(3
)
 
(6
)
 
Interest expense
Foreign exchange contracts
39

 
(20
)
 
Revenue
Income tax (expense) benefit
(9
)
 
6

 
Income tax expense
Impact on net income
27

 
(20
)
 
Net income
Unrecognized pension and postretirement benefit costs:
 
 
 
 
 
Prior service costs
(57
)
 
(50
)
 
Investment income and other
Income tax (expense) benefit
14

 
12

 
Income tax expense
Impact on net income
(43
)
 
(38
)
 
Net income
 
 
 
 
 
 
Total amount reclassified for the period
$
(16
)
 
$
(58
)
 
Net income

Six Months Ended June 30:
 
 
 
 
 
 
Amount Reclassified from AOCI
 
Affected Line Item in the Income Statement
 
2019
 
2018
 
Unrealized gain (loss) on marketable securities:
 
 
 
 
 
Realized loss on sale of securities
$
—

 
$
(2
)
 
Investment income and other
Income tax (expense) benefit
—

 
1

 
Income tax expense
Impact on net income
—

 
(1
)
 
Net income
Unrealized gain (loss) on cash flow hedges:
 
 
 
 
 
Interest rate contracts
(9
)
 
(12
)
 
Interest expense
Foreign exchange contracts
62

 
(62
)
 
Revenue
Income tax (expense) benefit
(13
)
 
18

 
Income tax expense
Impact on net income
40

 
(56
)
 
Net income
Unrecognized pension and postretirement benefit costs:
 
 
 
 
 
Prior service costs
(113
)
 
(101
)
 
Investment income and other
Income tax (expense) benefit
27

 
24

 
Income tax expense
Impact on net income
(86
)
 
(77
)
 
Net income
 
 
 
 
 
 
Total amount reclassified for the period
$
(46
)
 
$
(134
)
 
Net income