DERIVATIVE INSTRUMENTS (Tables)

12 Months Ended

Oct. 30, 2022

DERIVATIVE INSTRUMENTS

Amounts Recorded in the Balance Sheet Related to Borrowings Designated in Fair Value Hedging Relationships

The amounts recorded, at October 30, 2022 and October 31, 2021, in the consolidated balance sheets related to borrowings designated in fair value hedging relationships were as follows in millions of dollars. Fair value hedging adjustments are included in the carrying amount of the hedged item.

	Active Hedging				Discontinued Hedging
	Relationships				Relationships
	Carrying		Cumulative		Carrying		Cumulative
	Amount of		Fair Value		Amount of		Fair Value
	Hedged		Hedging		Formerly		Hedging
	Item		Amount		Hedged Item		Amount
2022
Short-term borrowings					$	2,515	$	15
Long-term borrowings	$	9,060	$	(1,006)		5,520		(19)
2021
Short-term borrowings	$	191	$	3	$	1,997	$	(2)
Long-term borrowings		7,847		29		6,287		223

Fair Value of Derivative Instruments in Consolidated Balance Sheet

Fair values of derivative instruments in the consolidated balance sheets at October 30, 2022 and October 31, 2021 in millions of dollars follow:

	2022		2021
Other Assets
Designated as hedging instruments:
Interest rate contracts	$	87	$	166
Not designated as hedging instruments:
Interest rate contracts		212		73
Foreign exchange contracts		66		31
Cross-currency interest rate contracts		8		5
Total not designated		286		109
Total derivative assets	$	373	$	275
Accounts Payable and Accrued Expenses
Designated as hedging instruments:
Interest rate contracts	$	1,004	$	99
Not designated as hedging instruments:
Interest rate contracts		107		33
Foreign exchange contracts		118		94
Cross-currency interest rate contracts		2		2
Total not designated		227		129
Total derivative liabilities	$	1,231	$	228

Gains (Losses) Related to Derivative Instruments on Statement of Consolidated Income

The classification and gains (losses), including accrued interest expense, related to derivative instruments on the statements of consolidated income consisted of the following in millions of dollars:

	2022		2021		2020
Fair Value Hedges
Interest rate contracts – Interest expense	$	(1,144)	$	(236)	$	496
Cash Flow Hedges
Recognized in OCI:
Interest rate contracts – OCI (pretax)		89		8		(18)
Reclassified from OCI:
Interest rate contracts – Interest expense		9		(13)		(21)
Not Designated as Hedges
Interest rate contracts – Net sales	$	53	$	13	$	(23)
Interest rate contracts – Interest expense*		81		14		(2)
Foreign exchange contracts – Net sales		(6)
Foreign exchange contracts – Cost of sales		(64)		(101)		93
Foreign exchange contracts – Other operating expenses*		402		(262)		122
Total not designated	$	466	$	(336)	$	190

*    Includes interest and foreign exchange gains (losses) from cross-currency

      interest rate contracts.

Impact on Derivative Assets and Liabilities Related to Netting Arrangements and Collateral

The impact on the derivative assets and liabilities related to netting arrangements and collateral at October 30, 2022 and October 31, 2021 in millions of dollars follows:

	Gross Amounts		Netting				Net
	Recognized		Arrangements		Collateral		Amount
2022
Assets	$	373	$	(179)	$	(54)	$	140
Liabilities		1,231		(179)		(701)		351
2021
Assets	$	275	$	(105)			$	170
Liabilities		228		(105)	$	(5)		118