EQUITY (Tables)

6 Months Ended

Sep. 30, 2023

EQUITY

Reclassifications and taxes related to items of other comprehensive income (loss)

	Pretax		Tax (Expense)		Net-of-Tax
(Dollars in millions)	Amount		Benefit		Amount
For the three months ended September 30, 2023:
Foreign currency translation adjustments	$	(109)	$	—	$	(109)
Unrealized gains (losses) on cash flow hedges:
Unrealized gains (losses) arising during the period	$	11	$	(4)	$	7
Reclassification of (gains) losses to net income		(4)		1		(3)
Total unrealized gains (losses) on cash flow hedges	$	7	$	(3)	$	4
Retirement-related benefit plans*:
Amortization of prior service (credits) costs	$	—	$	—	$	—
Amortization of net (gains) losses		1		—		1
Total retirement-related benefit plans	$	1	$	—	$	1
Other comprehensive income (loss)	$	(101)	$	(3)	$	(105)
For the three months ended September 30, 2022:
Foreign currency translation adjustments	$	(221)	$	—	$	(221)
Retirement-related benefit plans – amortization of net (gains) losses*	$	10	$	(3)	$	7
Other comprehensive income (loss)	$	(211)	$	(3)	$	(214)

	Pretax		Tax (Expense)		Net-of-Tax
(Dollars in millions)	Amount		Benefit		Amount
For the six months ended September 30, 2023:
Foreign currency translation adjustments	$	(125)	$	—	$	(125)
Unrealized gains (losses) on cash flow hedges:
Unrealized gains (losses) arising during the period	$	26	$	(5)	$	21
Reclassification of (gains) losses to net income		(5)		1		(4)
Total unrealized gains (losses) on cash flow hedges	$	21	$	(4)	$	17
Retirement-related benefit plans*:
Amortization of prior service (credits) costs	$	1	$	—	$	1
Amortization of net (gains) losses		3		(1)		2
Total retirement-related benefit plans	$	4	$	(1)	$	3
Other comprehensive income (loss)	$	(100)	$	(5)	$	(104)
For the six months ended September 30, 2022:
Foreign currency translation adjustments	$	(488)	$	—	$	(488)
Unrealized gains (losses) on cash flow hedges:
Unrealized gains (losses) arising during the period	$	(5)	$	2	$	(3)
Reclassification of (gains) losses to net income		(1)		—		(1)
Total unrealized gains (losses) on cash flow hedges	$	(6)	$	2	$	(4)
Retirement-related benefit plans – amortization of net (gains) losses*	$	20	$	(6)	$	14
Other comprehensive income (loss)	$	(474)	$	(4)	$	(478)

* These AOCI components are included in the computation of net periodic benefit cost. Refer to Note 12 – Retirement-Related Benefits for additional information.

Accumulated other comprehensive income (loss), net of taxes

	Net Unrealized		Foreign		Net Change		Accumulated
	Gain (Losses)		Currency		Retirement-		Other
	on Cash		Translation		Related		Comprehensive
(Dollars in millions)	Flow Hedges		Adjustments*		Benefit Plans		Income (Loss)
July 1, 2023	$	13	$	(936)	$	(140)	$	(1,062)
Other comprehensive income (loss)		4		(109)		1		(105)
September 30, 2023	$	17	$	(1,045)	$	(139)	$	(1,167)
July 1, 2022	$	(1)	$	(1,002)	$	(350)	$	(1,353)
Other comprehensive income (loss)		—		(221)		7		(214)
September 30, 2022	$	(1)	$	(1,223)	$	(343)	$	(1,567)

	Net Unrealized		Foreign		Net Change		Accumulated
	Gain (Losses)		Currency		Retirement-		Other
	on Cash		Translation		Related		Comprehensive
(Dollars in millions)	Flow Hedges		Adjustments*		Benefit Plans		Income (Loss)
April 1, 2023	$	—	$	(921)	$	(142)	$	(1,062)
Other comprehensive income (loss)		17		(125)		3		(104)
September 30, 2023	$	17	$	(1,045)	$	(139)	$	(1,167)
April 1, 2022	$	3	$	(735)	$	(357)	$	(1,089)
Other comprehensive income (loss)		(4)		(488)		14		(478)
September 30, 2022	$	(1)	$	(1,223)	$	(343)	$	(1,567)

* Foreign currency translation adjustments are presented gross.