Accumulated Other Comprehensive Income (Loss)

6 Months Ended

Jun. 30, 2023

Accumulated Other Comprehensive Income (Loss)

The following table displays the changes in Accumulated Other Comprehensive Income (Loss) (“AOCL”) by component, net of tax, for the six months ended June 30, 2023 (in millions):


	Cumulative Translation Adjustment		Pension and Postretirement Costs		Derivative Financial Instruments		AOCL
Balance at December 31, 2022	$	(688)	$	(309)	$	(14)	$	(1,011)
Other comprehensive income (loss) before reclassifications	8		(6)		(11)		(9)
Amounts reclassified to earnings	—		5		(6)		(1)
Net current period other comprehensive income (loss)	8		(1)		(17)		(10)
Balance at June 30, 2023	$	(680)	$	(310)	$	(31)	$	(1,021)

Reclassifications from AOCL to the results of operations for the three and six months ended June 30, 2023 and 2022 were pretax (income) expense of (in millions):


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Cumulative translation adjustment (1)	$	—	$	—	$	—	$	6
Pension and postretirement benefit plans (2)	5		3		5		7
Derivative financial instruments (3)	1		(4)		(8)		(3)

(1)See Footnote 2 for further information.

(2)See Footnote 11 for further information.

(3)See Footnote 10 for further information.

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


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Foreign currency translation adjustments	$	(12)	$	19	$	(18)	$	20
Pension and postretirement benefit costs	1		1		1		1
Derivative financial instruments	(2)		4		(5)		3
Income tax provision (benefit) related to AOCL	$	(13)	$	24	$	(22)	$	24