DERIVATIVES AND HEDGING TRANSACTIONS (Tables)

6 Months Ended

Jun. 30, 2023

DERIVATIVES AND HEDGING TRANSACTIONS

Gross fair value of the company's outstanding derivative assets and liabilities

	Derivative Assets				Derivative Liabilities
	June 30		December 31		June 30		December 31
(millions)	2023		2022		2023		2022
Derivatives designated as hedging instruments
Foreign currency forward contracts		$56.7		$78.6		$5.9		$9.2
Interest rate swap agreements		-		-		182.6		181.4
Cross-currency swap derivative contracts		42.7		58.7		19.6		14.5
Derivatives not designated as hedging instruments
Foreign currency forward contracts		28.6		40.3		17.6		74.1
Gross value of derivatives		128.0		177.6		225.7		279.2
Gross amounts offset in the Consolidated Balance Sheets		(32.6)		(75.6)		(32.6)		(75.6)
Net value of derivatives		$95.4		$102.0		$193.1		$203.6

Summary of notional values of outstanding derivatives

	Notional Values
		June 30	December 31
(millions)		2023	2022
Foreign currency forward contracts		$3,687		$5,745
Interest rate swap agreements		1,500		1,500
Cross-currency swap derivative contracts		682		650

Schedule of amounts on the Consolidated Balance Sheet related to cumulative basis adjustments for fair value hedges

	Carrying amount of the hedged liabilities				Cumulative amount of the fair value hedging adjustment included in the carrying amount of the hedged liabilities
	Second Quarter Ended				Second Quarter Ended
Line item in which the hedged item is included	June 30				June 30
(millions)	2023		2022		2023		2022
Long-term debt		$1,317.9		$1,376.4		($184.5)		($125.9)

Revaluation gains and losses on euro notes and cross-currency swap derivative

	Second Quarter Ended				Six Months Ended
	June 30				June 30
(millions)	2023		2022		2023		2022
Revaluation (loss) gain, net of tax:
Euronotes		($9.8)		$42.5		($24.9)		$52.8
Cross-currency swap derivative contracts		(14.0)		28.9		(15.6)		37.5
Total revaluation (loss) gain, net of tax		($23.8)		$71.4		($40.5)		$90.3

Impact on AOCI and earnings from derivative contracts qualified as cash flow hedges

	Second Quarter Ended
	June 30
	2023				2022
(millions)		COS	SG&A	Interest		COS	SG&A	Interest
Gain (loss) on derivatives in cash flow hedging relationship:
Foreign currency forward contracts
Amount of gain (loss) reclassified from AOCI to income		$2.8	($4.4)	$-		$0.8	$38.2	$-
Amount excluded from the assessment of effectiveness recognized in earnings based on changes in fair value		-	-	2.1		-	-	3.9
Interest rate swap agreements
Amount of (loss) gain reclassified from AOCI to income		-	-	(0.4)		-	-	(0.6)
(Loss) gain on derivatives not designated as hedging instruments:
Foreign currency forward contracts
Amount of (loss) gain recognized in income		-	(3.5)	-		-	34.2	-
Total gain (loss) of all derivative instruments		$2.8	($7.9)	$1.7		$0.8	$72.4	$3.3
	Six Months Ended
	June 30
	2023				2022
(millions)		COS	SG&A	Interest		COS	SG&A	Interest
Gain (loss) on derivatives in cash flow hedging relationship:
Foreign currency forward contracts
Amount of gain (loss) reclassified from AOCI to income		$8.1	($10.4)	$-		$0.8	$52.1	$-
Amount excluded from the assessment of effectiveness recognized in earnings based on changes in fair value		-	-	4.1		-	-	7.7
Interest rate swap agreements
Amount of (loss) gain reclassified from AOCI to income		-	-	(0.9)		-	-	(1.2)
(Loss) gain on derivatives not designated as hedging instruments:
Foreign currency forward contracts
Amount of (loss) gain recognized in income		-	(28.1)	-		-	48.4	-
Total gain (loss) of all derivative instruments		$8.1	($38.5)	$3.2		$0.8	$100.5	$6.5