Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2012

Financial Instruments [Abstract]

Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location

The following table presents the consolidated fair values of our derivatives that are not designated as hedging instruments:

	Asset Derivatives(1)				Liability Derivatives(2)
Derivatives Not Designated as Hedging Instruments	September 30, 2012		December 31, 2011		September 30, 2012		December 31, 2011
	(in millions)
Equity contracts	$	—	$	3	$	383	$	42
Foreign exchange contracts	—		3		6		—
Commodity contracts	—		—		116		—
Sub-total	—		6		505		42
Netting across contract types(3)	—		—		—		—
Total(3)	$	—	$	6	$	505	$	42

⁽¹⁾  Net asset derivatives are located within other assets in our consolidated balance sheets.

⁽²⁾  Net liability derivatives are located within accrued expenses and other liabilities in our consolidated balance sheets.

⁽³⁾  Excludes netting of cash collateral received and posted.  The total collateral posted at September 30, 2012 and December 31, 2011 was $382 million and $257 million, respectively, across all counterparties.

The following table presents the effects of our derivative instruments not designated as hedging instruments on the statements of operations for the three and nine months ended September 30, 2012 and 2011:

	Gain (Loss) Recognized in Income(1)
	Three Months Ended September 30,						Nine Months Ended September 30,
Derivatives Not Designated as Hedging Instruments	2012			2011			2012			2011
	(in millions)
Equity contracts	$	(680	)	$	28		$	(1,141	)	$	37
Foreign exchange contracts	(44		)	11			(19		)	(2		)
Credit contracts	1			—			1			19
Futures index spread	—			(7		)	—			16
Commodity contracts	(170		)	—			(172		)	—
	$	(893	)	$	32		$	(1,331	)	$	70

⁽¹⁾  Gains (losses) recognized on derivatives are classified in net gain from investment activities in our consolidated statements of operations.

Schedule of Notional Amounts of Outstanding Derivative Positions

At September 30, 2012, the volume of our derivative activities based on their notional exposure, categorized by primary underlying risk, are as follows:

	Long Notional Exposure		Short Notional Exposure
Primary underlying risk:	(in millions)
Equity swaps	$	4	$	11,453
Foreign currency forwards	181		2,146
Interest rate swap contracts	1,253		—
Commodity contracts	62		13

Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location

The following table presents the fair values of our derivative instruments that are designated as cash flow hedging instruments:

	Asset Derivatives(1)						Liability Derivatives(2)
Derivatives Designated as Cash Flow Hedging Instruments	September 30, 2012			December 31, 2011			September 30, 2012			December 31, 2011
	(in millions)
Interest rate swap contracts	$	—		$	—		$	22		$	44
Commodity contracts	2			—			2			16
Foreign currency contracts	—			3			—			—
Sub-total	2			3			24			60
Netting across contract types	(2		)	(3		)	(2		)	(3		)
Total	$	—		$	—		$	22		$	57

⁽¹⁾  Located within other assets in our consolidated balance sheets.

⁽²⁾  Located within accrued expenses and other liabilities in our consolidated balance sheets.

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance

The following tables present the effect of our derivative instruments that are designated as cash flow hedging instruments on our consolidated financial statements for the three and nine months ended September 30, 2012 and 2011:

Three Months Ended September 30, 2012
Derivatives Designated as Hedging Instruments	Amount of (Loss) Gain Recognized in OCI on Derivatives (Effective Portion)			Amount of (Loss) Gain Reclassified from AOCI into Income (Effective Portion)			Location of (Loss) Gain Reclassified from AOCI into Income (Effective Portion)	Amount of Loss Recognized in Income on Derivatives (Ineffective Portion)		Location of Loss Recognized in Income on Derivatives (Ineffective Portion)
	(in millions)			(in millions)
Interest rate swap contracts	$	(1	)	$	(10	)	Interest expense	$	—
Commodity contracts	4			(3		)	Cost of goods sold	—
Foreign currency contracts	—			1			Cost of goods sold	—
	$	3		$	(12	)		$	—

Three Months Ended September 30, 2011
Derivatives Designated as Hedging Instruments	Amount of (Loss) Gain Recognized in OCI on Derivatives (Effective Portion)			Amount of (Loss) Gain Reclassified from AOCI into Income (Effective Portion)			Location of (Loss) Gain Reclassified from AOCI into Income (Effective Portion)	Amount of Loss Recognized in Income on Derivatives (Ineffective Portion)			Location of Loss Recognized in Income on Derivatives (Ineffective Portion)
	(in millions)			(in millions)
Interest rate swap contracts	$	(2	)	$	(10	)	Interest expense	$	—
Commodity contracts	(21		)	2			Cost of goods sold	(1		)	Other income, net
Foreign currency contracts	4			—			Cost of goods sold	—
	$	(19	)	$	(8	)		$	(1	)

Nine Months Ended September 30, 2012
Derivatives Designated as Hedging Instruments	Amount of (Loss) Gain Recognized in OCI on Derivatives (Effective Portion)			Amount of (Loss) Gain Reclassified from AOCI into Income (Effective Portion)			Location of (Loss) Gain Reclassified from AOCI into Income (Effective Portion)	Amount of Loss Recognized in Income on Derivatives (Ineffective Portion)		Location of Loss Recognized in Income on Derivatives (Ineffective Portion)
	(in millions)			(in millions)
Interest rate swap contracts	$	(4	)	$	(29	)	Interest expense	$	—
Commodity contracts	7			(9		)	Cost of goods sold	—
Foreign currency contracts	(2		)	1			Cost of goods sold	—
	$	1		$	(37	)		$	—

Nine Months Ended September 30, 2011
Derivatives Designated as Hedging Instruments	Amount of (Loss) Gain Recognized in OCI on Derivatives (Effective Portion)			Amount of (Loss) Gain Reclassified from AOCI into Income (Effective Portion)			Location of (Loss) Gain Reclassified from AOCI into Income (Effective Portion)	Amount of Loss Recognized in Income on Derivatives (Ineffective Portion)			Location of Loss Recognized in Income on Derivatives (Ineffective Portion)
	(in millions)			(in millions)
Interest rate swap contracts	$	(12	)	$	(29	)	Interest expense	$	—
Commodity contracts	(26		)	8			Cost of goods sold	(1		)	Other income, net
Foreign currency contracts	2			(1		)	Cost of goods sold	—
	$	(36	)	$	(22	)		$	(1	)