Derivatives and Fair Value of Financial Instruments (Tables)

9 Months Ended

Oct. 01, 2022

Derivatives and Fair Value of Financial Instruments

Schedule of assets and liabilities measured at fair value on a recurring basis

	Balance
	October 1,
(Millions of dollars)	2022		Level 1		Level 2		Level 3
Assets:
Trading securities – short-term investments:
Domestic equity securities	$	413	$	413	$	—	$	—
Domestic debt securities		352		149		203		—
Foreign equity securities		134		134		—		—
Foreign debt securities		91		—		91		—
Money market funds held in trading accounts		20		20		—		—
Other trading securities		13		—		13		—
Trading securities – other current assets		25		24		1		—
Long-term investment - BDC		70		—		70		—
Derivatives		29		24		5		—
Total assets	$	1,147	$	764	$	383	$	—
Liabilities:
Contingent consideration	$	19	$	—	$	—	$	19
Derivatives		30		20		10		—
Total liabilities	$	49	$	20	$	10	$	19

	Balance
	December 31,
(Millions of dollars)	2021		Level 1		Level 2		Level 3
Assets:
Trading securities – short-term investments:
Domestic debt securities	$	542	$	247	$	295	$	—
Domestic equity securities		472		472		—		—
Foreign equity securities		193		193		—		—
Foreign debt securities		133		2		131		—
Money market funds held in trading accounts		59		59		—		—
Other trading securities		17		—		17		—
Trading securities – other current assets		29		28		1		—
Long-term investment - BDC		81		—		—		81
Derivatives		11		6		5		—
Total assets	$	1,537	$	1,007	$	449	$	81
Liabilities:
Contingent consideration	$	18	$	—	$	—	$	18
Derivatives		10		5		5		—
Total liabilities	$	28	$	5	$	5	$	18

Schedule of aggregated outstanding notional amounts related to derivative financial instruments

		October 1,	December 31,
(Millions)	Metric	2022	2021
Commodities:
Grain	Bushels	21	1
Soybean oil	Pounds	53	20
Heating oil	Gallons	—	15
Foreign currencies	U.S. dollar	54	95

Schedule of fair value of each type of derivative derivative held and where each derivative is included in the condensed consolidated balance sheets

		Asset Derivatives					Liability Derivatives
		October 1,		December 31,			October 1,		December 31,
(Millions of dollars)		2022		2021			2022		2021
Commodities	Other current assets	$	24	$	6	Other current liabilities	$	20	$	5
Foreign currencies	Other current assets		5		5	Other current liabilities		10		5

Schedule of gain or (loss) for each type of derivative and where it was recognized in the condensed consolidated statements of comprehensive income

		Three Months Ended				Nine Months Ended
		October 1,		October 2,		October 1,		October 2,
(Millions of dollars)		2022		2021		2022		2021
Commodities	Cost of sales	$	13	$	(12)	$	(45)	$	(32)
Foreign currencies	Cost of sales		(19)		6		(25)		9
Foreign currencies	Foreign currency gains (losses), net		9		1		18		4
Interest rate swaps	Interest expense		—		(1)		—		5
Equity futures	Other investment income (loss), net		—		(1)		—		(1)