Accumulated Other Comprehensive Income (Loss) (Tables)

3 Months Ended

Mar. 31, 2021

Components of Accumulated Other Comprehensive Loss

The following table displays the changes in Accumulated Other Comprehensive Income (Loss) (“AOCL”) by component, net of tax, for the three months ended March 31, 2021 (in millions):


	Cumulative Translation Adjustment		Pension and Postretirement Costs		Derivative Financial Instruments		AOCL
Balance at December 31, 2020	$	(481)	$	(356)	$	(43)	$	(880)
Other comprehensive income (loss) before reclassifications	(44)		1		2		(41)
Amounts reclassified to earnings	—		4		3		7
Net current period other comprehensive income (loss)	(44)		5		5		(34)
Balance at March 31, 2021	$	(525)	$	(351)	$	(38)	$	(914)

Reclassification from AOCL to Results of Operations

Reclassifications from AOCL to the results of operations for the three months ended March 31, 2021 and 2020 were pre-tax expense of (in millions):


	Three Months Ended March 31,
		2021		2020
Pension and postretirement benefit plans (1)		$	5	$	6
Derivative financial instruments for effective cash flow hedges (2)		4		1

(1)Primarily represents the amortization of net actuarial losses and plan settlements recorded in cost of products sold, selling, general and administrative expenses (“SG&A”) and other (income) expense, net in the Consolidated Statements of Operations. See Footnote 10 for further information.

(2)See Footnote 9 for further information.

Schedule of Income Tax (Provision) Benefit Allocated to Components of OCI

The income tax provision (benefit) allocated to the components of AOCL for the periods indicated are as follows (in millions):


	Three Months Ended March 31,
		2021		2020
Foreign currency translation adjustments		$	12	$	7
Pension and postretirement benefit costs		1		(3)
Derivative financial instruments		2		9
Income tax provision related to AOCL		$	15	$	13