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Derivative Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments
The following table presents the fair value of derivative contracts by major product type on a gross basis. Gross fair values exclude the effects of both counterparty netting and collateral, and therefore are not representative of our exposure. The table below also presents the amounts of counterparty netting and cash collateral that have been offset in the consolidated balance sheet.
 
June 30, 2017
 
December 31, 2016
 
Derivative Financial Assets
 
Derivative Financial Liabilities
 
Derivative Financial Assets
 
Derivative Financial Liabilities
 
(in millions)
Derivatives(1)
 
 
 
 
 
 
 
Derivatives accounted for as cash flow hedges associated with debt:
 
 
 
 
 
 
 
Currency swaps
$
—

 
$
(47
)
 
$
—

 
$
(58
)
Cash flow hedges
—

 
(47
)
 
—

 
(58
)
 
 
 
 
 
 
 
 
Non-qualifying hedge activities:
 
 
 
 
 
 
 
Derivatives associated with debt carried at fair value:
 
 
 
 
 
 
 
Cross currency interest rate swaps
18

 
(16
)
 
15

 
(286
)
Derivatives associated with debt carried at fair value
18

 
(16
)
 
15

 
(286
)
Total derivatives
18

 
(63
)
 
15

 
(344
)
Less: Gross amounts offset in the balance sheet(2)
(18
)
 
63

 
(15
)
 
332

Net amounts of derivative financial assets and liabilities presented in the balance sheet(3)
$
—

 
$
—

 
$
—

 
$
(12
)
 
(1) 
All of our derivatives are bilateral over-the-counter derivatives.
(2) 
Represents the netting of derivative receivable and payable balances for the same counterparty under an enforceable netting agreement. Gross amounts offset in the balance sheet includes cash collateral paid of $50 million at June 30, 2017 and $317 million at December 31, 2016. At June 30, 2017 and December 31, 2016, we did not have any financial instrument collateral received/posted.
(3) 
At June 30, 2017 and December 31, 2016, we had not received any cash not subject to an enforceable master netting agreement.
Gain or Loss Recorded on Our Cash Flow Hedging Relationships
The following table provides the gain or loss recorded on our cash flow hedging relationships.
 
Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)
Location of Gain
(Loss) Reclassified
from AOCI into Income
(Effective Portion)
 
Gain (Loss) Reclassed From AOCI into Income (Effective Portion)
Location of Gain
(Loss) Recognized
in Income on the Derivative(Ineffective Portion)
 
Gain (Loss) Recognized In Income on Derivative (Ineffective Portion)
 
2017
 
2016
 
2017
 
2016
 
 
2017
 
2016
 
(in millions)
 
 
(in millions)
 
 
(in millions)
Three Months Ended June 30,
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate swaps
$
—

 
$
7

 
Interest expense
 
$
—

 
$
—

 
Derivative related income (expense)
 
$
—

 
$
—

Currency swaps
—

 
(1
)
 
Interest expense
 
—

 
(4
)
 
Derivative related income (expense)
 
1

 
1

Total
$
—

 
$
6

 
 
 
$
—

 
$
(4
)
 
 
 
$
1

 
$
1

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Six Months Ended June 30,
 
 
 
 
 
 
 
 
 
 
 
Interest rate swaps
$
—

 
$
18

 
Interest expense
 
$
—

 
$
—

 
Derivative related income (expense)
 
$
—

 
$
—

Currency swaps
—

 
(1
)
 
Interest expense
 
—

 
(7
)
 
Derivative related income (expense)
 
3

 
5

Total
$
—

 
$
17

 
 
 
$
—

 
$
(7
)
 
 
 
$
3

 
$
5
Gain or Loss Recorded on Derivatives Related to Fair Value Option Debt Primarily Due to Changes in Interest Rates
The following table provides the gain or loss recorded on the derivatives related to fair value option debt. See Note 5, "Fair Value Option," for further discussion.
 
Location of Gain (Loss)
Recognized in Income on Derivative
Amount of Gain (Loss) Recognized in Derivative Related Income (Expense)
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2017
 
2016
 
2017
 
2016
 
 
(in millions)
Cross currency interest rate contracts
Gain on debt designated at fair value and related derivatives
$
(4
)
 
$
(4
)
 
$
(10
)
 
$
3

Total
 
$
(4
)
 
$
(4
)
 
$
(10
)
 
$
3
Notional Values of Derivative Contracts
The following table provides the notional amounts of derivative contracts.
 
June 30, 2017
 
December 31, 2016
 
(in millions)
Derivatives designated as hedging instruments:
 
 
 
Currency swaps
$
203

 
$
203

Non-qualifying hedges:
 
 
 
Derivatives associated with debt carried at fair value:
 
 
 
Cross currency interest rate swaps
216

 
1,562

Total
$
419

 
$
1,765