Off-Balance Sheet Risk and Guarantees, Concentrations of Credit Risk and Fair Value of Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2015

Fair Value Disclosures [Abstract]

Fair value of financial instruments in the balance sheet

Following is a summary of the Company’s financial instruments which have been valued at fair value in the Company’s Consolidated Balance Sheets at December 31, 2015 and 2014:

	Fair Value Based on Quoted Prices in Active Markets for Identical Assets (Level 1)				Fair Value Based on Significant Other Observable Inputs (Level 2)						Total
(dollars in millions)	2015		2014		2015			2014			2015			2014
Cash and cash equivalents:
Cash	$	562	$	616	$	—		$	—		$	562		$	616
Money market funds	1,024		842		—			—			1,024			842
Commercial paper	—		—		105			13			105			13
U.S. treasury securities	—		5		—			—			—			5
U.S. corporate obligations	25		4		—			—			25			4
Non-U.S. bank and other obligations	59		33		—			—			59			33
Short-term investments:
Commercial paper	—		—		223			11			223			11
U.S. Treasury securities	84		51		—			—			84			51
U.S. corporate obligations	202		51		—			—			202			51
U.S. non-governmental agency asset-backed securities	—		—		75			—			75			—
Non-qualified plan assets:
Money market funds	1		1		—			—			1			1
Domestic bond funds	3		3		—			—			3			3
Domestic equity funds	6		5		—			—			6			5
International equity funds	3		3		—			—			3			3
Blended equity funds	6		5		—			—			6			5
Common stock	1		2		—			—			1			2
Derivatives, net asset (liability):
Foreign currency contracts	—		—		(34		)	(99		)	(34		)	(99		)
Total financial instruments	$	1,976	$	1,621	$	369		$	(75	)	$	2,345		$	1,546

Information relating to the contracts and estimated fair values recorded in the Company's Consolidated Balance Sheets

Total gross volume bought (sold) by notional currency and maturity date on open foreign currency forward contracts at December 31, 2015 was as follows:

	Notional Amount - Buy			Notional Amount - Sell
(in millions)	2016	2017	Total	2016		2017		2018		Total
Foreign exchange forward contracts -
Notional currency in:
Euro	89	37	126	(11	)	—		—		(11	)
Malaysian ringgit	175	—	175	(9	)	—		—		(9	)
Norwegian krone	604	31	635	(132	)	(4	)	—		(136	)
Pound Sterling	113	2	115	(5	)	—		—		(5	)
U.S. dollar	212	4	216	(440	)	(101	)	(1	)	(542	)

Schedule of fair values of derivative financial instruments of balance sheets

The fair values of derivative financial instruments recorded in the Company’s Consolidated Balance Sheets were as follows:

	December 31,
	2015				2014
(dollars in millions)	Assets		Liabilities		Assets		Liabilities
Derivatives designated as hedges:
Foreign exchange contracts –
Current	$	7	$	38	$	8	$	83
Non-current	1		2		1		12
Total derivatives designated as hedges	8		40		9		95
Derivatives not designated as hedges:
Foreign exchange contracts –
Current	1		3		1		14
Non-current	—		—		—		—
Total derivatives not designated as hedges	1		3		1		14
Total derivatives	$	9	$	43	$	10	$	109

Pre-tax gain (loss) from ineffective portion of derivatives

The amount of pre-tax gain (loss) from the ineffective portion of derivatives designated as hedging instruments and from derivatives not designated as hedging instruments was:

	Year Ended December 31,
(dollars in millions)	2015			2014			2013
Derivatives designated as hedging instruments:
Foreign currency contracts –
Cost of sales	$	6		$	(7	)	$	1
Derivatives not designated as hedging instruments:
Foreign currency contracts –
Cost of sales	(24		)	(11		)	7
Other costs	(11		)	(8		)	(1		)
Total pre-tax gain (loss)	$	(29	)	$	(26	)	$	7