Accumulated Other Comprehensive Loss
The following table provides a summary of changes in the balances of each component of AOCL, net of taxes, for the three months ended September 30, 2013 (in millions): | | | | | | | | | | | | | | | | | | Foreign Currency Translation | | Change in Pension Liability | | Cash Flow Hedges | | Accumulated Other Comprehensive Loss | Balance as of July 1, 2013 | $ | (16 | ) | | $ | (48 | ) | | $ | (40 | ) | | $ | (104 | ) | OCI before reclassifications | — |
| | — |
| | (1 | ) | | (1 | ) | Amounts reclassified from AOCL | — |
| | 1 |
| | 1 |
| | 2 |
| Net current period OCI | — |
| | 1 |
| | — |
| | 1 |
| Balance as of September 30, 2013 | $ | (16 | ) | | $ | (47 | ) | | $ | (40 | ) | | $ | (103 | ) |
The following table provides a summary of changes in the balances of each component of AOCL, net of taxes, for the nine months ended September 30, 2013 and the year ended December 31, 2012 (in millions): | | | | | | | | | | | | | | | | | | Foreign Currency Translation | | Change in Pension Liability | | Cash Flow Hedges | | Accumulated Other Comprehensive Loss | Balance as of January 1, 2012 | $ | (27 | ) | | $ | (48 | ) | | $ | (35 | ) | | $ | (110 | ) | Current year OCI | 19 |
| | (8 | ) | | (11 | ) | | — |
| Balance as of December 31, 2012 | (8 | ) | | (56 | ) | | (46 | ) | | (110 | ) | OCI before reclassifications | (8 | ) | | 5 |
| | 3 |
| | — |
| Amounts reclassified from AOCL | — |
| | 4 |
| | 3 |
| | 7 |
| Net current year OCI | (8 | ) | | 9 |
| | 6 |
| | 7 |
| Balance as of September 30, 2013 | $ | (16 | ) | | $ | (47 | ) | | $ | (40 | ) | | $ | (103 | ) |
The following table presents the amount of loss reclassified from AOCL into the unaudited Condensed Consolidated Statements of Income for the three and nine months ended September 30, 2013 (in millions): | | | | | | | | | | | | | | For the | | For the | | | | Three Months Ended | | Nine Months Ended | | Location of Loss Reclassified from AOCL into Income | | September 30, 2013 | | September 30, 2013 | Loss on cash flow hedges: | | | | | | Interest rate contracts | Interest expense | | $ | (2 | ) | | $ | (6 | ) | Foreign exchange forward contracts | Cost of sales | | (1 | ) | | (1 | ) | Total | | | (3 | ) | | (7 | ) | Income tax expense | | | (2 | ) | | (4 | ) | Total | | | $ | (1 | ) | | $ | (3 | ) | | | | | | | Defined benefit pension and postretirement plan items: | | | | | | Amortization of prior service costs | Selling, General and Administrative Expenses | | $ | — |
| | $ | 1 |
| Amortization of actuarial gains/(losses), net | Selling, General and Administrative Expenses | | (1 | ) | | (4 | ) | Settlement loss | Selling, General and Administrative Expenses | | (1 | ) | | (3 | ) | Total | | | (2 | ) | | (6 | ) | Income tax expense | | | (1 | ) | | (2 | ) | Total | | | $ | (1 | ) | | $ | (4 | ) | | | | | | | Total Reclassifications | | | $ | (2 | ) | | $ | (7 | ) |
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