Quarterly report pursuant to Section 13 or 15(d)

Comprehensive Income (Tables)

v3.21.2
Comprehensive Income (Tables)
 9 Months Ended
Oct. 01, 2021
Comprehensive Income  
AOCI attributable to the shareowners of The Coca Cola Company
AOCI attributable to shareowners of The Coca-Cola Company consisted of the following, net of tax (in millions):
October 1,
2021		 December 31, 2020
Net foreign currency translation adjustments $ (12,147) $ (12,028)
Accumulated net gains (losses) on derivatives (10) (194)
Unrealized net gains (losses) on available-for-sale debt securities (55) 28 
Adjustments to pension and other postretirement benefit liabilities (2,038) (2,407)
Accumulated other comprehensive income (loss) $ (14,250) $ (14,601)
Comprehensive Income (Loss), Apportioned between Shareowners of the Coca-Cola Company and Noncontrolling Interests [Text Block]
The following table summarizes the allocation of total comprehensive income between shareowners of The Coca-Cola Company and noncontrolling interests (in millions):
Nine Months Ended October 1, 2021
Shareowners of
The Coca-Cola Company		 Noncontrolling
Interests		 Total
Consolidated net income $ 7,357  $ (3) $ 7,354 
Other comprehensive income:      
Net foreign currency translation adjustments (119) (12) (131)
Net gains (losses) on derivatives1
184  —  184 
Net change in unrealized gains (losses) on available-for-sale debt
   securities2
(83) —  (83)
Net change in pension and other postretirement benefit liabilities 369  (1) 368 
Total comprehensive income (loss) $ 7,708  $ (16) $ 7,692 
1 Refer to Note 6 for additional information related to the net gains or losses on derivative instruments.
2 Refer to Note 4 for additional information related to the net unrealized gains or losses on available-for-sale debt securities.
OCI attributable to the shareowners of The Coca-Cola Company
The following tables present OCI attributable to shareowners of The Coca-Cola Company, including our proportionate share of equity method investees’ OCI (in millions):
Three Months Ended October 1, 2021 Before-Tax Amount Income Tax After-Tax Amount
Foreign currency translation adjustments:
Translation adjustments arising during the period $ (636) $ 39  $ (597)
Reclassification adjustments recognized in net income 13  —  13 
Gains (losses) on intra-entity transactions that are of a long-term investment nature (575) —  (575)
Gains (losses) on net investment hedges arising during the period1
310  (77) 233 
Net foreign currency translation adjustments $ (888) $ (38) $ (926)
Derivatives:
Gains (losses) arising during the period $ (26) $ 7  $ (19)
Reclassification adjustments recognized in net income 63  (16) 47 
Net gains (losses) on derivatives1
$ 37  $ (9) $ 28 
Available-for-sale debt securities:
Unrealized gains (losses) arising during the period $ (28) $ 8  $ (20)
Reclassification adjustments recognized in net income (2) —  (2)
Net change in unrealized gains (losses) on available-for-sale debt securities2
$ (30) $ 8  $ (22)
Pension and other postretirement benefit liabilities:
Net pension and other postretirement benefit liabilities arising during the period $ (102) $ 29  $ (73)
Reclassification adjustments recognized in net income 56  (14) 42 
Net change in pension and other postretirement benefit liabilities $ (46) $ 15  $ (31)
Other comprehensive income (loss) attributable to shareowners of The Coca-Cola
   Company		 $ (927) $ (24) $ (951)
1Refer to Note 6 for additional information related to the net gains or losses on derivative instruments.
2Refer to Note 4 for additional information related to the net unrealized gains or losses on available-for-sale debt securities.
Nine Months Ended October 1, 2021 Before-Tax Amount Income Tax After-Tax Amount
Foreign currency translation adjustments:
Translation adjustments arising during the period $ 505  $ (8) $ 497 
Reclassification adjustments recognized in net income 193  —  193 
Gains (losses) on intra-entity transactions that are of a long-term investment nature (1,317) —  (1,317)
Gains (losses) on net investment hedges arising during the period1
672  (168) 504 
Reclassification adjustments for net investment hedges recognized in net income1
4  —  4 
Net foreign currency translation adjustments $ 57  $ (176) $ (119)
Derivatives:
Gains (losses) arising during the period $ 108  $ (30) $ 78 
Reclassification adjustments recognized in net income 139  (33) 106 
Net gains (losses) on derivatives1
$ 247  $ (63) $ 184 
Available-for-sale debt securities:
Unrealized gains (losses) arising during the period $ (131) $ 45  $ (86)
Reclassification adjustments recognized in net income 4  (1) 3 
Net change in unrealized gains (losses) on available-for-sale debt securities2
$ (127) $ 44  $ (83)
Pension and other postretirement benefit liabilities:
Net pension and other postretirement benefit liabilities arising during the period $ 251  $ (46) $ 205 
Reclassification adjustments recognized in net income 218  (54) 164 
Net change in pension and other postretirement benefit liabilities $ 469  $ (100) $ 369 
Other comprehensive income (loss) attributable to shareowners of The Coca-Cola
   Company		 $ 646  $ (295) $ 351 
1Refer to Note 6 for additional information related to the net gains or losses on derivative instruments.
2Refer to Note 4 for additional information related to the net unrealized gains or losses on available-for-sale debt securities.
Three Months Ended September 25, 2020 Before-Tax Amount Income Tax After-Tax Amount
Foreign currency translation adjustments:
Translation adjustments arising during the period $ 548  $ (30) $ 518 
Reclassification adjustments recognized in net income —  —  — 
Gains (losses) on intra-entity transactions that are of a long-term investment nature 883  —  883 
Gains (losses) on net investment hedges arising during the period1
(468) 117  (351)
Net foreign currency translation adjustments $ 963  $ 87  $ 1,050 
Derivatives:
Gains (losses) arising during the period $ 41  $ (9) $ 32 
Reclassification adjustments recognized in net income (60) 15  (45)
Net gains (losses) on derivatives1
$ (19) $ 6  $ (13)
Available-for-sale debt securities:
Unrealized gains (losses) arising during the period $ (32) $ 10  $ (22)
Reclassification adjustments recognized in net income 1  —  1 
Net change in unrealized gains (losses) on available-for-sale debt securities2
$ (31) $ 10  $ (21)
Pension and other postretirement benefit liabilities:
Net pension and other postretirement benefit liabilities arising during the period $ (44) $ 9  $ (35)
Reclassification adjustments recognized in net income 44  (11) 33 
Net change in pension and other postretirement benefit liabilities $ —  $ (2) $ (2)
Other comprehensive income (loss) attributable to shareowners of The Coca-Cola
   Company		 $ 913  $ 101  $ 1,014 
1Refer to Note 6 for additional information related to the net gains or losses on derivative instruments.
2Refer to Note 4 for additional information related to the net unrealized gains or losses on available-for-sale debt securities.
Nine Months Ended September 25, 2020 Before-Tax Amount Income Tax After-Tax Amount
Foreign currency translation adjustments:
Translation adjustments arising during the period $ (2,627) $ 196  $ (2,431)
Reclassification adjustments recognized in net income 3  —  3 
Gains (losses) on intra-entity transactions that are of a long-term investment nature 886  —  886 
Gains (losses) on net investment hedges arising during the period1
(456) 114  (342)
Net foreign currency translation adjustments $ (2,194) $ 310  $ (1,884)
Derivatives:
Gains (losses) arising during the period $ (24) $ 8  $ (16)
Reclassification adjustments recognized in net income (10) 3  (7)
Net gains (losses) on derivatives1
$ (34) $ 11  $ (23)
Available-for-sale debt securities:
Unrealized gains (losses) arising during the period $ (54) $ 20  $ (34)
Reclassification adjustments recognized in net income (8) 2  (6)
Net change in unrealized gains (losses) on available-for-sale debt securities2
$ (62) $ 22  $ (40)
Pension and other postretirement benefit liabilities:
Net pension and other postretirement benefit liabilities arising during the period $ (68) $ 15  $ (53)
Reclassification adjustments recognized in net income 130  (32) 98 
Net change in pension and other postretirement benefit liabilities $ 62  $ (17) $ 45 
Other comprehensive income (loss) attributable to shareowners of The Coca-Cola
   Company		 $ (2,228) $ 326  $ (1,902)
1Refer to Note 6 for additional information related to the net gains or losses on derivative instruments.
2Refer to Note 4 for additional information related to the net unrealized gains or losses on available-for-sale debt securities.
Reclassification out of Accumulated Other Comprehensive Income
The following table presents the amounts and line items in our condensed consolidated statements of income where adjustments reclassified from AOCI into income were recorded (in millions):
Amount Reclassified from AOCI
into Income
Description of AOCI Component Financial Statement Line Item Three Months Ended October 1, 2021 Nine Months Ended October 1, 2021
Foreign currency translation adjustments:
Divestitures, deconsolidations and other1
Other income (loss) — net $ 13  $ 197 
Income before income taxes 13  197 
Income taxes —  — 
Consolidated net income $ 13  $ 197 
Derivatives:
Foreign currency contracts Net operating revenues $ 21  $ 71 
Foreign currency contracts Cost of goods sold 6  9 
Foreign currency contracts Other income (loss) — net 35  (49)
Divestitures, deconsolidations and other1
Other income (loss) — net —  6 
Foreign currency and interest rate contracts Interest expense 1  102 
Income before income taxes 63  139 
Income taxes (16) (33)
Consolidated net income $ 47  $ 106 
Available-for-sale debt securities:
Sale of debt securities Other income (loss) — net $ (2) $ 4 
Income before income taxes (2) 4 
Income taxes —  (1)
Consolidated net income $ (2) $ 3 
Pension and other postretirement benefit liabilities:
Settlement charges2
Other income (loss) — net $ 21  $ 104 
Recognized net actuarial loss Other income (loss) — net 34  115 
Recognized prior service cost (credit) Other income (loss) — net (1) (2)
Divestitures, deconsolidations and other1
Other income (loss) — net 2  1 
Income before income taxes 56  218 
Income taxes (14) (54)
Consolidated net income $ 42  $ 164 
1 Refer to Note 2.
2 The settlement charges were related to our strategic realignment initiatives. Refer to Note 12.