Foreign Currency Exchange Rate Derivatives—The notional value of our outstanding foreign exchange rate derivative contracts totaled $700 million as of June 30, 2019, with maturities extending through August 2022. These instruments consist of contracts to purchase or sell foreign-denominated currencies. As of June 30, 2019, the fair value of these contracts was in a net liability position totaling approximately $6 million. The fair value of outstanding derivative instruments is determined using observable financial market inputs, such as quoted market prices, and is classified as Level 2 in nature.

As of June 30, 2019, we have approximately $9 million of unrealized net losses in AOCI in connection with foreign exchange rate derivatives designated as cash flow hedges, and we expect to reclassify approximately $3 million of deferred losses out of AOCI by June 30, 2020, as hedged items are recognized in earnings.

Interest Rate Derivatives—On May 8, 2018, we entered into a U.S. dollar interest rate swap arrangement to mitigate exposure associated with cash flow variability on the Term Facility in an aggregate notional value of $1.94 billion. The swap arrangement has been designated as a cash flow hedge as its critical terms matched those of the Term Facility at inception and through June 30, 2019. Accordingly, changes in the fair value of the swap arrangement are included in AOCI until the associated underlying exposure impacts our interest expense. As of June 30, 2019, the fair value of the swap arrangement was in a net liability position totaling approximately $71 million. The fair value of outstanding derivative instruments is determined using observable financial market inputs, such as quoted market prices, and is classified as Level 2 in nature.

As of June 30, 2019, in connection with the interest rate swap arrangement, we have approximately $71 million of unrealized net losses in AOCI, and we expect to reclassify approximately $18 million of deferred losses out of AOCI by June 30, 2020, as the hedged items are recognized in earnings.

The following table presents the total fair value of the derivatives by underlying risk and balance sheet classification:

	June 30, 2019				December 31, 2018
	Derivatives designated as cash flow hedges		Derivatives not designated as cash flow hedges		Derivatives designated as cash flow hedges		Derivatives not designated as cash flow hedges
	(In millions)
Other current assets	$	5	$	1	$	3	$	3
Other non-current assets		1		-		-		-
Total derivatives asset	$	6	$	1	$	3	$	3

Accrued liabilities	$	27	$	-	$	10	$	3
Other non-current liabilities		56		1		32		-
Total derivatives liability	$	83	$	1	$	42	$	3

The following table presents the total value, by underlying risk, recognized in other comprehensive income and reclassified from AOCI to our Statements of Operations, in connection with derivatives:

	Three Months Ended June 30,						Six Months Ended June 30,
	2019			2018			2019			2018
	(In millions)						(In millions)
Amount of gain (loss) recognized in other comprehensive income (loss)
Foreign exchange hedges	$	3		$	(5	)	$	(4	)	$	(5	)
Interest rate hedges		(28	)		(10	)		(43	)		(10	)
Gain (loss) recognized on derivatives designated as cash flow hedges
Foreign exchange hedges
Revenue		(4	)		-			(5	)		-
Cost of operations		2			-			1			-
Interest rate hedges
Interest expense		(2	)		-			(3	)		-
Gain (loss) recognized on derivatives not designated as cash flow hedges
Foreign exchange hedges
Revenue		1			-			2			-
Cost of operations		-			(10	)		-			(10	)