Quarterly report pursuant to Section 13 or 15(d)

SHAREOWNERS' EQUITY (Tables)

v3.19.3
SHAREOWNERS' EQUITY (Tables)
 9 Months Ended
Sep. 30, 2019
Accumulated Other Comprehensive Income (Loss) [Line Items]  
Schedule of Stockholders Equity [Table Text Block]
Three Months Ended September 30:
2019
 
2018
 
Shares
 
Dollars
 
Shares
 
Dollars
Class A Common Stock
 
 
 
 
 
 
 
Balance at beginning of period
161

 
$
2

 
168

 
$
2

Common stock purchases
(1
)
 
—

 
(1
)
 
—

Stock award plans
—

 
—

 
1

 
—

Common stock issuances
1

 
—

 
1

 
—

Conversions of class A to class B common stock
(4
)
 
—

 
(4
)
 
—

Class A shares issued at end of period
157

 
$
2

 
165

 
$
2

Class B Common Stock
 
 
 
 
 
 
 
Balance at beginning of period
698

 
$
7

 
693

 
$
7

Common stock purchases
(1
)
 
—

 
(2
)
 
—

Conversions of class A to class B common stock
4

 
—

 
4

 
—

Class B shares issued at end of period
701

 
7

 
695

 
7

Additional Paid-In Capital
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
102

 
 
 
$
—

Stock award plans
 
 
202

 
 
 
137

Common stock purchases
 
 
(251
)
 
 
 
(249
)
Common stock issuances
 
 
56

 
 
 
80

Option premiums received (paid)
 
 
20

 
 
 
32

Balance at end of period
 
 
$
129

 
 
 
$
—

Retained Earnings
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
9,109

 
 
 
7,665

Net income attributable to common shareowners
 
 
1,750

 
 
 
1,508

Dividends ($0.96 and $0.91 per share) (1)
 
 
(825
)
 
 
 
(784
)
Common stock purchases
 
 
—

 
 
 
4

Other
 
 
3

 
 
 
(16
)
Balance at end of period
 
 
$
10,037

 
 
 
$
8,377

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

 
 
 
$
28

Change in non-controlling minority interest
 
 
(2
)
 
 
 
—

Balance at end of period
 
 
$
16

 
 
 
$
28

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


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

 
$
2

 
173

 
$
2

Common stock purchases
(3
)
 


 
(3
)
 
—

Stock award plans
4

 
—

 
4

 
—

Common stock issuances
2

 
—

 
3

 
—

Conversions of class A to class B common stock
(9
)
 
—

 
(12
)
 
—

Class A shares issued at end of period
157

 
$
2

 
165

 
$
2

Class B Common Stock
 
 
 
 
 
 
 
Balance at beginning of period
696

 
$
7

 
687

 
$
7

Common stock purchases
(4
)
 
—

 
(4
)
 
—

Conversions of class A to class B common stock
9

 
—

 
12

 
—

Class B shares issued at end of period
701

 
7

 
695

 
7

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

 
 
 
$
—

Stock award plans
 
 
584

 
 
 
307

Common stock purchases
 
 
(753
)
 
 
 
(632
)
Common stock issuances
 
 
277

 
 
 
312

Option premiums received (paid)
 
 
21

 
 
 
13

Balance at end of period
 
 
$
129

 
 
 
$
—

Retained Earnings
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
8,006

 
 
 
$
5,852

Net income attributable to common shareowners
 
 
4,546

 
 
 
4,338

Dividends ($2.88 and $2.73 per share) (1)
 
 
(2,518
)
 
 
 
(2,408
)
Common stock purchases
 
 
—

 
 
 
(124
)
Reclassification from AOCI pursuant to the early adoption of ASU 2018-02
 
 
—

 
 
 
735

Other
 
 
3

 
 
 
(16
)
Balance at end of period
 
 
$
10,037

 
 
 
$
8,377

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

 
 
 
$
30

Change in non-controlling minority interest
 
 
—

 
 
 
(2
)
Balance at end of period
 
 
$
16

 
 
 
$
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 nine months ended September 30, 2019 and 2018 is as follows (in millions):
Three Months Ended September 30:
2019
 
2018
 
Shares
 
Dollars
 
Shares
 
Dollars
Deferred Compensation Obligations:
 
 
 
 
 
 
 
Balance at beginning of period
 
 
$
25

 
 
 
$
31

Reinvested dividends
 
 
—

 
 
 
1

Benefit payments
 
 
—

 
 
 
—

Balance at end of period
 
 
$
25

 
 
 
$
32

Treasury Stock:
 
 
 
 
 
 
 
Balance at beginning of period
—

 
$
(25
)
 
(1
)
 
$
(31
)
Reinvested dividends
—

 
—

 
—

 
(1
)
Benefit payments
—

 
—

 
—

 
—

Balance at end of period
—

 
(25
)
 
(1
)
 
(32
)



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

 
 
 
$
37

Reinvested dividends
 
 
1

 
 
 
2

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

 
 
 
$
32

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

 
(1
)
 
—

 
(2
)
Benefit payments
1

 
8

 
—

 
7

Balance at end of period
—

 
(25
)
 
(1
)
 
(32
)


Schedule of Accumulated Other Comprehensive Income (Loss) The activity in AOCI for the three and nine months ended September 30, 2019 and 2018 is as follows (in millions):
Three Months Ended September 30:
2019
 
2018
Foreign currency translation gain (loss), net of tax:
 
 
 
Balance at beginning of period
$
(1,106
)
 
$
(1,061
)
Translation adjustment (net of tax effect of $41 and $1)
(48
)
 
(28
)
Balance at end of period
(1,154
)
 
(1,089
)
Unrealized gain (loss) on marketable securities, net of tax:
 
 
 
Balance at beginning of period
7

 
(5
)
Current period changes in fair value (net of tax effect of $1 and $(1))
2

 
(2
)
Reclassification to earnings (net of tax effect of $(1) and $0)
(5
)
 
1

Balance at end of period
4

 
(6
)
Unrealized gain (loss) on cash flow hedges, net of tax:
 
 
 
Balance at beginning of period
104

 
(179
)
Current period changes in fair value (net of tax effect of $79 and $14)
251

 
44

Reclassification to earnings (net of tax effect of $(14) and $1)
(45
)
 
5

Balance at end of period
310

 
(130
)
Unrecognized pension and postretirement benefit costs, net of tax:
 
 
 
Balance at beginning of period
(3,820
)
 
(4,101
)
Reclassification to earnings (net of tax effect of $14 and $12)
43

 
38

Balance at end of period
(3,777
)
 
(4,063
)
Accumulated other comprehensive income (loss) at end of period
$
(4,617
)
 
$
(5,288
)

Nine Months Ended September 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 $43 and $26)
(28
)
 
(112
)
Reclassification to retained earnings pursuant to the early adoption of ASU 2018-02
—

 
(47
)
Balance at end of period
(1,154
)
 
(1,089
)
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 $4 and $(2))
11

 
(6
)
Reclassification to earnings (net of tax effect of $(1) and $1)
(5
)
 
2

Balance at end of period
4

 
(6
)
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 $112 and $81)
355

 
254

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

 
(79
)
Reclassification to earnings (net of tax effect of $(27) and $19)
(85
)
 
61

Balance at end of period
310

 
(130
)
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 $41 and $36)
129

 
115

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

 
(609
)
Balance at end of period
(3,777
)
 
(4,063
)
Accumulated other comprehensive income (loss) at end of period
$
(4,617
)
 
$
(5,288
)

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 nine months ended September 30, 2019 and 2018 is as follows (in millions):
Three Months Ended September 30:
 
 
 
 
 
 
Amount Reclassified from AOCI
 
Affected Line Item in the Income Statement
 
2019
 
2018
 
Unrealized gain (loss) on marketable securities:
 
 
 
 
 
Realized gain (loss) on sale of securities
$
6

 
$
(1
)
 
Investment income and other
Income tax (expense) benefit
(1
)
 
—

 
Income tax expense
Impact on net income
5

 
(1
)
 
Net income
Unrealized gain (loss) on cash flow hedges:
 
 
 
 
 
Interest rate contracts
(3
)
 
(6
)
 
Interest expense
Foreign exchange contracts
62

 
—

 
Revenue
Income tax (expense) benefit
(14
)
 
1

 
Income tax expense
Impact on net income
45

 
(5
)
 
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
$
7

 
$
(44
)
 
Net income

Nine Months Ended September 30:
 
 
 
 
 
 
Amount Reclassified from AOCI
 
Affected Line Item in the Income Statement
 
2019
 
2018
 
Unrealized gain (loss) on marketable securities:
 
 
 
 
 
Realized gain (loss) on sale of securities
$
6

 
$
(3
)
 
Investment income and other
Income tax (expense) benefit
(1
)
 
1

 
Income tax expense
Impact on net income
5

 
(2
)
 
Net income
Unrealized gain (loss) on cash flow hedges:
 
 
 
 
 
Interest rate contracts
(12
)
 
(18
)
 
Interest expense
Foreign exchange contracts
124

 
(62
)
 
Revenue
Income tax (expense) benefit
(27
)
 
19

 
Income tax expense
Impact on net income
85

 
(61
)
 
Net income
Unrecognized pension and postretirement benefit costs:
 
 
 
 
 
Prior service costs
(170
)
 
(151
)
 
Investment income and other
Income tax (expense) benefit
41

 
36

 
Income tax expense
Impact on net income
(129
)
 
(115
)
 
Net income
 
 
 
 
 
 
Total amount reclassified for the period
$
(39
)
 
$
(178
)
 
Net income