Annual report pursuant to Section 13 and 15(d)

SHAREOWNERS' EQUITY (Tables)

v3.22.4
SHAREOWNERS' EQUITY (Tables)
 12 Months Ended
Dec. 31, 2022
Stockholders' Equity Note [Abstract]  
Roll-forward of Common Stock, Additional Paid-in Capital, and Retained Earnings Accounts
The following is a rollforward of our common stock, additional paid-in capital, retained earnings and non-controlling minority interests accounts for the years ended December 31, 2022, 2021 and 2020 (in millions, except per share amounts):
2022 2021 2020
  Shares Dollars Shares Dollars Shares Dollars
Class A Common Stock:
Balance at beginning of year 138  $ 2  147  $ 2  156  $ 2 
Stock award plans 5  —  6  —  6  — 
Common stock issuances 3  —  2  —  4  — 
Conversions of class A to class B common stock (12) —  (17) —  (19) — 
Class A shares issued at end of year 134  $ 2  138  $ 2  147  $ 2 
Class B Common Stock:
Balance at beginning of year 732  $ 7  718  $ 7  701  $ 7 
Common stock purchases (19) —  (3) —  (2) — 
Conversions of class A to class B common stock 12  —  17  —  19  — 
Class B shares issued at end of year 725  $ 7  732  $ 7  718  $ 7 
Additional Paid-In Capital:
Balance at beginning of year $ 1,343  $ 865  $ 150 
Stock award plans 624  574  498 
Common stock purchases (2,462) (500) (217)
Common stock issuances 495  404  434 
Balance at end of year $ —  $ 1,343  $ 865 
Retained Earnings:
Balance at beginning of year $ 16,179  $ 6,896  $ 9,105 
Net income attributable to controlling interests 11,548  12,890  1,343 
Dividends ($6.08, $4.08, and $4.04 per share) (1)
(5,363) (3,604) (3,552)
Common stock purchases (1,038) —  — 
Other —  (3) — 
Balance at end of year $ 21,326  $ 16,179  $ 6,896 
Non-Controlling Interests:
Balance at beginning of year $ 16  $ 12  $ 16 
Change in non-controlling interests 1  4  (4)
Balance at end of year $ 17  $ 16  $ 12 
(1) The dividend per share amount is the same for both class A and class B common stock. Dividends include $249, $167 and $178 million for 2022, 2021 and 2020, respectively, that were settled in shares of class A common stock.
Activity in Accumulated Other Comprehensive Income (Loss) The activity in accumulated other comprehensive income for the years ended December 31, 2022, 2021 and 2020 is as follows (in millions):
2022 2021 2020
Foreign Currency Translation Gain (Loss), Net of Tax:
Balance at beginning of year $ (1,162) $ (981) $ (1,078)
Translation adjustment (net of tax effect of $(17), $42 and $(36))
 (315) (181) 97 
Reclassification to earnings (net of tax effect of $2, $0 and $0)
 31  —  — 
Balance at end of year $ (1,446) $ (1,162) $ (981)
Unrealized Gain (Loss) on Marketable Securities, Net of Tax:
Balance at beginning of year $ (1) $ 6  $ 4 
Current period changes in fair value (net of tax effect of $(3), $0 and $1)
 (12) (2) 6 
Reclassification to earnings (net of tax effect of $1, $0 and $(1))
 2  (5) (4)
Balance at end of year $ (11) $ (1) $ 6 
Unrealized Gain (Loss) on Cash Flow Hedges, Net of Tax:
Balance at beginning of year $ (17) $ (223) $ 112 
Current period changes in fair value (net of tax effect of $128, $82 and $(61))
 407  261  (192)
Reclassification to earnings (net of tax effect of $(70), $(17) and $(45))
 (223) (55) (143)
Balance at end of year $ 167  $ (17) $ (223)
Unrecognized Pension and Postretirement Benefit Costs, Net of Tax:
Balance at beginning of year $ (2,098) $ (5,915) $ (5,035)
Net actuarial gain (loss) and prior service cost resulting from remeasurements of plan assets and liabilities (net of tax effect of $810, $1,956 and $(1,885))
 2,576  6,195  (5,984)
Reclassification to earnings (net of tax effect of $(230), $(749) and $1,607)
 (737) (2,378) 5,104 
Balance at end of year $ (259) $ (2,098) $ (5,915)
Accumulated other comprehensive income (loss) at end of year $ (1,549) $ (3,278) $ (7,113)
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block]
Detail of the gains (losses) reclassified from AOCI to the statements of consolidated income for the years ended December 31, 2022, 2021 and 2020 is as follows (in millions):
Amount Reclassified from AOCI Affected Line Item in the Income Statement
2022 2021 2020
Unrealized Gain (Loss) on Foreign Currency Translation:
Realized gain (loss) on business wind-down (33) —  —  Other expenses
Income tax (expense) benefit 2  —  —  Income tax expense
Impact on net income (31) —  —  Net income
Unrealized Gain (Loss) on Marketable Securities:
Realized gain (loss) on sale of securities (3) 5  5  Investment income (expense) and other
Income tax (expense) benefit 1  —  (1) Income tax expense
Impact on net income (2) 5  4  Net income
Unrealized Gain (Loss) on Cash Flow Hedges:
Interest rate contracts (10) (11) (8) Interest expense
Foreign currency exchange contracts 304  83  196  Revenue
Foreign currency exchange contracts (1) —  —  Investment income (expense) and other
Income tax (expense) benefit (70) (17) (45) Income tax expense
Impact on net income 223  55  143  Net income
Unrecognized Pension and Postretirement Benefit Costs:
Prior service costs (94) (148) (227) Investment income (expense) and other
Prior service credit for divested business —  69  —  Other expenses
Plan amendments for divested business —  (66) —  Other expenses
Remeasurement of benefit obligation 1,027  3,272  (6,484) Investment income (expense) and other
Curtailment of benefit obligation 34  —  —  Investment income (expense) and other
Income tax (expense) benefit (230) (749) 1,607  Income tax expense
Impact on net income 737  2,378  (5,104) Net income
Total amount reclassified for the year $ 927  $ 2,438  $ (4,957) Net income
Activity in Deferred Compensation Program
Activity in the deferred compensation program for the years ended December 31, 2022, 2021 and 2020 was as follows (in millions):
2022 2021 2020
  Shares Dollars Shares Dollars Shares Dollars
Deferred Compensation Obligations:
Balance at beginning of year $ 16  $ 20  $ 26 
Reinvested dividends 2  1  1 
Benefit payments (5) (5) (7)
Balance at end of year $ 13  $ 16  $ 20 
Treasury Stock:
Balance at beginning of year —  $ (16) —  $ (20) —  $ (26)
Reinvested dividends —  (2) —  (1) —  (1)
Benefit payments —  5  —  5  —  7 
Balance at end of year —  $ (13) —  $ (16) —  $ (20)