Quarterly report pursuant to Section 13 or 15(d)

Comprehensive Income

v2.4.0.8
Comprehensive Income
 6 Months Ended
Jun. 27, 2014
Comprehensive Income  
Comprehensive Income
COMPREHENSIVE INCOME
The following table summarizes the allocation of total comprehensive income between shareowners of The Coca-Cola Company and noncontrolling interests (in millions):
 
Six Months Ended June 27, 2014
 
Shareowners of
The Coca-Cola Company

Noncontrolling
Interests

Total

Consolidated net income
$
4,214

$
17

$
4,231

Other comprehensive income:
 
 
 
Net foreign currency translation adjustment
(47
)
(5
)
(52
)
Net gain (loss) on derivatives1
(180
)
—

(180
)
Net unrealized gain (loss) on available-for-sale securities2
649

—

649

Net change in pension and other benefit liabilities
24

—

24

Total comprehensive income
$
4,660

$
12

$
4,672

1 Refer to Note 5 for additional information related to the net gain or loss on derivative instruments designated and qualifying as cash flow hedging instruments.
2 Refer to Note 3 for information related to the net unrealized gain or loss on available-for-sale securities.
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 June 27, 2014
Before-Tax Amount

 
Income Tax

 
After-Tax Amount

Foreign currency translation adjustments:
 
 
 
 
 
Translation adjustment arising during the period
$
364

 
$
(26
)
 
$
338

Reclassification adjustments recognized in net income
—

 
—

 
—

Net foreign currency translation adjustments
364

 
(26
)
 
338

Derivatives:
 
 
 
 
 
Unrealized gains (losses) arising during the period
(102
)
 
36

 
(66
)
Reclassification adjustments recognized in net income
(25
)
 
10

 
(15
)
Net gain (loss) on derivatives1
(127
)
 
46

 
(81
)
Available-for-sale securities:
 
 
 
 
 
Unrealized gains (losses) arising during the period
488

 
(150
)
 
338

Reclassification adjustments recognized in net income
(4
)
 
—

 
(4
)
Net change in unrealized gain (loss) on available-for-sale securities2
484

 
(150
)
 
334

Pension and other benefit liabilities:
 
 
 
 
 
Net pension and other benefits arising during the period
11

 
(3
)
 
8

Reclassification adjustments recognized in net income
15

 
(6
)
 
9

Net change in pension and other benefit liabilities3
26

 
(9
)
 
17

Other comprehensive income (loss) attributable to The Coca-Cola Company
$
747

 
$
(139
)
 
$
608

1 
Refer to Note 5 for additional information related to the net gain or loss on derivative instruments designated and qualifying as cash flow hedging instruments.
2 
Includes reclassification adjustments related to divestitures of certain available-for-sale securities. Refer to Note 3 for additional information related to these divestitures.
3 
Refer to Note 12 for additional information related to the Company's pension and other postretirement benefit liabilities.
Six Months Ended June 27, 2014
Before-Tax Amount

 
Income Tax

 
After-Tax Amount

Foreign currency translation adjustments:


 


 


Translation adjustment arising during the period
$
(120
)
 
$
73

 
$
(47
)
Reclassification adjustments recognized in net income
—

 
—

 
—

Net foreign currency translation adjustments
(120
)
 
73

 
(47
)
Derivatives:

 

 

Unrealized gains (losses) arising during the period
(225
)
 
84

 
(141
)
Reclassification adjustments recognized in net income
(64
)
 
25

 
(39
)
Net gain (loss) on derivatives1
(289
)
 
109

 
(180
)
Available-for-sale securities:

 

 

Unrealized gains (losses) arising during the period
968

 
(316
)
 
652

Reclassification adjustments recognized in net income
(3
)
 
—

 
(3
)
Net change in unrealized gain (loss) on available-for-sale securities2
965

 
(316
)
 
649

Pension and other benefit liabilities:

 

 

Net pension and other benefits arising during the period
8

 
(2
)
 
6

Reclassification adjustments recognized in net income
29

 
(11
)
 
18

Net change in pension and other benefit liabilities3
37

 
(13
)
 
24

Other comprehensive income (loss) attributable to The Coca-Cola Company
$
593

 
$
(147
)
 
$
446

1 
Refer to Note 5 for additional information related to the net gain or loss on derivative instruments designated and qualifying as cash flow hedging instruments.
2 
Includes reclassification adjustments related to divestitures of certain available-for-sale securities. Refer to Note 3 for additional information related to these divestitures.
3 
Refer to Note 12 for additional information related to the Company's pension and other postretirement benefit liabilities.
Three Months Ended June 28, 2013
Before-Tax Amount

 
Income Tax

 
After-Tax Amount

Foreign currency translation adjustments:
 
 
 
 
 
Translation adjustment arising during the period
$
(1,004
)
 
$
(47
)
 
$
(1,051
)
Reclassification adjustments recognized in net income
(2
)
 
—

 
(2
)
Net foreign currency translation adjustments
(1,006
)
 
(47
)
 
(1,053
)
Derivatives:
 
 
 
 
 
Unrealized gains (losses) arising during the period
240

 
(89
)
 
151

Reclassification adjustments recognized in net income
(55
)
 
21

 
(34
)
Net gain (loss) on derivatives1
185

 
(68
)
 
117

Available-for-sale securities:
 
 
 
 
 
Unrealized gains (losses) arising during the period
39

 
(23
)
 
16

Reclassification adjustments recognized in net income
2

 
—

 
2

Net change in unrealized gain (loss) on available-for-sale securities2
41

 
(23
)
 
18

Pension and other benefit liabilities:
 
 
 
 
 
Net pension and other benefits arising during the period
18

 
(4
)
 
14

Reclassification adjustments recognized in net income
50

 
(18
)
 
32

Net change in pension and other benefit liabilities3
68

 
(22
)
 
46

Other comprehensive income (loss) attributable to The Coca-Cola Company
$
(712
)
 
$
(160
)
 
$
(872
)
1 
Refer to Note 5 for additional information related to the net gain or loss on derivative instruments designated and qualifying as cash flow hedging instruments.
2 
Includes reclassification adjustments related to divestitures of certain available-for-sale securities. Refer to Note 3 for additional information related to these divestitures.
3 
Refer to Note 12 for additional information related to the Company's pension and other postretirement benefit liabilities.
Six Months Ended June 28, 2013
Before-Tax Amount

 
Income Tax

 
After-Tax Amount

Foreign currency translation adjustments:
 
 
 
 
 
Translation adjustment arising during the period
$
(679
)
 
$
(107
)
 
$
(786
)
Reclassification adjustments recognized in net income
(220
)
 
—

 
(220
)
Net foreign currency translation adjustments
(899
)
 
(107
)
 
(1,006
)
Derivatives:

 

 

Unrealized gains (losses) arising during the period
402

 
(153
)
 
249

Reclassification adjustments recognized in net income
(73
)
 
28

 
(45
)
Net gain (loss) on derivatives1
329

 
(125
)
 
204

Available-for-sale securities:

 

 

Unrealized gains (losses) arising during the period
44

 
(20
)
 
24

Reclassification adjustments recognized in net income
2

 
—

 
2

Net change in unrealized gain (loss) on available-for-sale securities2
46

 
(20
)
 
26

Pension and other benefit liabilities:

 

 

Net pension and other benefits arising during the period
25

 
(9
)
 
16

Reclassification adjustments recognized in net income
98

 
(36
)
 
62

Net change in pension and other benefit liabilities3
123

 
(45
)
 
78

Other comprehensive income (loss) attributable to The Coca-Cola Company
$
(401
)
 
$
(297
)
 
$
(698
)

1 
Refer to Note 5 for additional information related to the net gain or loss on derivative instruments designated and qualifying as cash flow hedging instruments.
2 
Includes reclassification adjustments related to divestitures of certain available-for-sale securities. Refer to Note 3 for additional information related to these divestitures.
3 
Refer to Note 12 for additional information related to the Company's pension and other postretirement benefit liabilities.
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 during the three and six months ended June 27, 2014 (in millions):
 
 
Amount Reclassified from
AOCI into Income
 
Description of AOCI Component
Location of Gain (Loss)
Recognized in Income
Three Months Ended June 27, 2014
Six Months Ended June 27, 2014

 
Derivatives:
 
 
 
 
Foreign currency contracts
Net operating revenues
$
(18
)
$
(43
)
 
Foreign currency and commodity contracts
Cost of goods sold
(7
)
(21
)
 
 
Income before income taxes
$
(25
)
$
(64
)
 
 
Income taxes
10

25

 
 
Consolidated net income
$
(15
)
$
(39
)
 
Available-for-sale securities:
 
 
 
 
Sale of securities
Other income (loss) — net
$
(4
)
$
(3
)
 
 
Income before income taxes
$
(4
)
$
(3
)
 
 
Income taxes
—

—

 
 
Consolidated net income
$
(4
)
$
(3
)
 
Pension and other benefit liabilities:
 
 
 
 
Amortization of net actuarial loss
*
$
19

$
38

 
Amortization of prior service cost (credit)
*
(4
)
(9
)
 
 
Income before income taxes
$
15

$
29

 
 
Income taxes
(6
)
(11
)
 
 
Consolidated net income
$
9

$
18

 
*
This component of AOCI is included in the Company's computation of net periodic benefit cost and is not reclassified out of AOCI into a single line item in our condensed consolidated statements of income in its entirety. Refer to Note 12 for additional information.