Stockholders’ equity

Stock repurchase program

Activity under our stock repurchase program, on a trade date basis, was as follows (in millions):



	Years ended December 31,
	2018			2017			2016
	Shares *	Dollars		Shares	Dollars		Shares	Dollars
First quarter	56.4	$	10,787	3.4	$	555	4.7	$	690
Second quarter	18.2	3,190		6.2	1,006		3.9	591
Third quarter	8.7	1,713		4.4	769		4.4	747
Fourth quarter	11.1	2,165		4.5	796		6.7	999
Total stock repurchases	94.5	$	17,855	18.5	$	3,126	19.7	$	3,027

* Total shares do not add due to rounding.

In January, April and December 2018, our Board of Directors increased the amount authorized under our stock repurchase program by $10.0 billion, $5.0 billion and $3.6 billion, respectively. Repurchase activity for the year ended December 31, 2018, included 52.1 million shares of our common stock acquired under a tender offer at an aggregate cost of $10.0 billion. As of December 31, 2018, $5.1 billion remained available under our stock repurchase program.

Dividends

Our Board of Directors declared quarterly dividends per share of $1.32, $1.15 and $1.00, which were paid in each of the four quarters of 2018, 2017, and 2016, respectively.

Historically, we have declared dividends in December of each year, which were paid in the first quarter of the following fiscal year, and in March, July and October, which were paid in the second, third and fourth quarters, respectively, of the same fiscal year. Additionally, on December 7, 2018, the Board of Directors declared a quarterly cash dividend of $1.45 per share of common stock, which will be paid on March 8, 2019, to all stockholders of record as of the close of business on February 15, 2019.

Accumulated other comprehensive income (loss)

The components of AOCI were as follows (in millions):



	Foreign currency translation			Cash flow hedges			Available-for-sale securities			Other			AOCI
Balance as of December 31, 2015	$	(511	)	$	297		$	(260	)	$	(6	)	$	(480	)
Foreign currency translation adjustments	(93		)	—			—			—			(93		)
Unrealized (losses) gains	—			(176		)	63			—			(113		)
Reclassification adjustments to income	—			139			61			—			200
Other	—			—			—			1			1
Income taxes	(6		)	22			(2		)	—			14
Balance as of December 31, 2016	(610		)	282			(138		)	(5		)	(471		)
Foreign currency translation adjustments	77			—			—			—			77
Unrealized gains (losses)	—			192			(46		)	—			146
Reclassification adjustments to income	—			(638		)	41			—			(597		)
Other	—			—			—			5			5
Income taxes	4			158			(1		)	—			161
Balance as of December 31, 2017	(529		)	(6		)	(144		)	—			(679		)
Cumulative effect of change in accounting principle, net of tax⁽¹⁾	—			—			(9		)	—			(9		)
Foreign currency translation adjustments	(141		)	—			—			—			(141		)
Unrealized gains (losses)	—			61			(556		)	—			(495		)
Reclassification adjustments to income	—			262			365			—			627
Other	—			—			—			(2		)	(2		)
Income taxes	—			(76		)	6			—			(70		)
Balance as of December 31, 2018	$	(670	)	$	241		$	(338	)	$	(2	)	$	(769	)

^____________


⁽¹⁾	See Note 1, Summary of significant accounting policies, for additional information regarding the adoption on January 1, 2018, of the new accounting standard related to the classification and measurement of financial instruments and the related cumulative effect from the change in accounting principle.

With respect to the table above, income tax expenses or benefits for unrealized gains and losses and the related reclassification adjustments to income for cash flow hedges were a $21 million expense and $55 million expense in 2018, a $68 million expense and $226 million benefit in 2017 and a $68 million benefit and $46 million expense in 2016, respectively. Income tax expenses or benefits for unrealized gains and losses and the related reclassification adjustments to income for available-for-sale securities were a $9 million benefit and $3 million expense for 2018, a $9 million expense and $8 million benefit in 2017 and a $9 million benefit and $11 million expense in 2016, respectively.

Reclassifications out of AOCI and into earnings were as follows (in millions):



	Years ended December 31,
Components of AOCI	2018			2017			2016			Consolidated Statements of Income locations
Cash flow hedges:
Foreign currency contract (losses) gains	$	(21	)	$	65		$	308		Product sales
Cross-currency swap contract (losses) gains	(241		)	574			(446		)	Interest and other income, net
Forward interest rate contract losses	—			(1		)	(1		)	Interest expense, net
	(262		)	638			(139		)	Income before income taxes
	55			(226		)	46			Provision for income taxes
	$	(207	)	$	412		$	(93	)	Net income
Available-for-sale securities:
Net realized losses	$	(365	)	$	(41	)	$	(61	)	Interest and other income, net
	3			(8		)	11			Provision for income taxes
	$	(362	)	$	(49	)	$	(50	)	Net income

Other

In addition to common stock, our authorized capital includes 5 million shares of preferred stock, $0.0001 par value. As of December 31, 2018 and 2017, no shares of preferred stock were issued or outstanding.