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Hedges and Derivative Financial Instruments (Tables)
 3 Months Ended 6 Months Ended
Jun. 30, 2011
Jun. 30, 2011
General Discussion of Derivative Instruments and Hedging Activities [Abstract]    
Schedule of Derivative Instruments [Table Text Block]  
 
 
 
 
Fair Value of
 
Type of
Hedge  (1)
 
 
Millions of dollars
 
Notional Amount
 
Hedge Assets
 
Hedge Liabilities
 
Maximum Term (Months)
 
 
2011
 
2010
 
2011
 
2010
 
2011
 
2010
 
 
 
2011
 
2010
Derivatives accounted for as hedges
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign exchange forwards/options
 
$
1,132


 
$
909


 
$
17


 
$
13


 
$
36


 
$
31


 
(CF/FV)
 
21
 
15
Commodity swaps/options
 
375


 
539


 
76


 
129


 
3


 
2


 
(CF/FV)
 
18
 
24
Total derivatives accounted for as hedges
 
 
 
 
 
$
93


 
$
142


 
$
39


 
$
33


 
 
 
 
 
 
Derivatives not accounted for as hedges
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign exchange forwards/options
 
$
1,419


 
$
990


 
$
27


 
$
11


 
$
3


 
$
3


 
 
 
7
 
10
Commodity swaps/options
 
5


 
13


 
3


 
11


 
1


 
3


 
 
 
6
 
12
Total derivatives not accounted for as hedges
 
 
 
 
 
30


 
22


 
4


 
6


 
 
 
 
 
 
Total derivatives
 
 
 
 
 
$
123


 
$
164


 
$
43


 
$
39


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Current
 
 
 
 
 
$
107


 
$
135


 
$
41


 
$
39


 
 
 
 
 
 
Noncurrent
 
 
 
 
 
16


 
29


 
2


 
—


 
 
 
 
 
 
Total derivatives
 
 
 
 
 
$
123


 
$
164


 
$
43


 
$
39


 
 
 
 
 
 
_________________
(1)
Derivatives accounted for as hedges are either considered cash flow (CF) or fair value (FV) hedges.
Schedule of Effects of Derivative Instruments on Consolidated Statements of Income


 
 
Six months ended June 30,
 
 
 
Six months ended June 30,
Cash Flow Hedges - Millions of dollars
 
Gain (Loss)
Recognized in OCI
(Effective Portion)
 
Gain (Loss)
Reclassified from
OCI into  Income
(Effective Portion) (1)
 
 
 
Gain (Loss)
Recognized in Income
(Ineffective Portion) (2)
 
 
2011
 
2010
 
2011
 
2010
 
 
 
2011
 
2010
Foreign exchange forwards/options
 
$
(11
)
 
$
(21
)
 
$
(11
)
 
$
(16
)
 
(a)(b)
 
$
—


 
$
2


Commodity swaps/options
 
4


 
(48
)
 
63


 
34


 
(b)
 
—


 
2


 
 
$
(7
)
 
$
(69
)
 
$
52


 
$
18


 
 
 
$
—


 
$
4


 
 
Six months ended June 30,
 
 
Fair Value Hedges - Millions of dollars
 
Gain (Loss) Recognized
on Derivatives(3)
 
Gain (Loss) Recognized
on Related
Hedged Items (3)
 
Hedged Item
 
 
2011
 
2010
 
2011
 
2010
 
 
Foreign exchange forwards/options
 
$
1


 
$
(7
)
 
$
(1
)
 
$
7


 
Non-functional
currency assets and
liabilities
 
 
Six months ended June 30,
Derivatives not Accounted for as Hedges - Millions of dollars
 
Gain (Loss)
Recognized  on
Derivatives not
Accounted for  as
Hedges(4)
 
 
2011
 
2010
Foreign exchange forwards/options
 
$
44


 
$
(5
)
Commodity swaps
 
—


 
1


 
 
$
44


 
$
(4
)
_________________  
(1)
Gains and losses reclassified from accumulated OCI and recognized in income are recorded in (a) interest and sundry income (expense) or (b) cost of products sold.
(2)
Gains and losses recognized in income related to the ineffective portion of hedges are recorded in interest and sundry income (expense).
(3)
Gains and losses recognized in income are recorded in interest and sundry income (expense).
(4)
Mark to market gains and losses recognized in income are recorded in interest and sundry income (expense).