Quarterly report pursuant to Section 13 or 15(d)

Comprehensive Income

v2.4.0.8
Comprehensive Income
 9 Months Ended
Sep. 26, 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):
 
Nine Months Ended September 26, 2014
 
Shareowners of
The Coca-Cola Company

Noncontrolling
Interests

Total

Consolidated net income
$
6,328

$
25

$
6,353

Other comprehensive income:
 
 
 
Net foreign currency translation adjustment
(1,280
)
(4
)
(1,284
)
Net gain (loss) on derivatives1
98

—

98

Net unrealized gain (loss) on available-for-sale securities2
723

—

723

Net change in pension and other benefit liabilities
48

—

48

Total comprehensive income
$
5,917

$
21

$
5,938

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 September 26, 2014
Before-Tax Amount

 
Income Tax

 
After-Tax Amount

Foreign currency translation adjustments:
 
 
 
 
 
Translation adjustment arising during the period
$
(1,166
)
 
$
(67
)
 
$
(1,233
)
Reclassification adjustments recognized in net income
—

 
—

 
—

Net foreign currency translation adjustments
(1,166
)
 
(67
)
 
(1,233
)
Derivatives:
 
 
 
 
 
Unrealized gains (losses) arising during the period
419

 
(157
)
 
262

Reclassification adjustments recognized in net income
27

 
(11
)
 
16

Net gain (loss) on derivatives1
446

 
(168
)
 
278

Available-for-sale securities:
 
 
 
 
 
Unrealized gains (losses) arising during the period
177

 
(99
)
 
78

Reclassification adjustments recognized in net income
(6
)
 
2

 
(4
)
Net change in unrealized gain (loss) on available-for-sale securities2
171

 
(97
)
 
74

Pension and other benefit liabilities:
 
 
 
 
 
Net pension and other benefits arising during the period
19

 
(4
)
 
15

Reclassification adjustments recognized in net income
14

 
(5
)
 
9

Net change in pension and other benefit liabilities3
33

 
(9
)
 
24

Other comprehensive income (loss) attributable to The Coca-Cola Company
$
(516
)
 
$
(341
)
 
$
(857
)
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.
Nine Months Ended September 26, 2014
Before-Tax Amount

 
Income Tax

 
After-Tax Amount

Foreign currency translation adjustments:


 


 


Translation adjustment arising during the period
$
(1,286
)
 
$
6

 
$
(1,280
)
Reclassification adjustments recognized in net income
—

 
—

 
—

Net foreign currency translation adjustments
(1,286
)
 
6

 
(1,280
)
Derivatives:

 

 

Unrealized gains (losses) arising during the period
194

 
(73
)
 
121

Reclassification adjustments recognized in net income
(37
)
 
14

 
(23
)
Net gain (loss) on derivatives1
157

 
(59
)
 
98

Available-for-sale securities:

 

 

Unrealized gains (losses) arising during the period
1,145

 
(415
)
 
730

Reclassification adjustments recognized in net income
(9
)
 
2

 
(7
)
Net change in unrealized gain (loss) on available-for-sale securities2
1,136

 
(413
)
 
723

Pension and other benefit liabilities:

 

 

Net pension and other benefits arising during the period
27

 
(6
)
 
21

Reclassification adjustments recognized in net income
43

 
(16
)
 
27

Net change in pension and other benefit liabilities3
70

 
(22
)
 
48

Other comprehensive income (loss) attributable to The Coca-Cola Company
$
77

 
$
(488
)
 
$
(411
)
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 September 27, 2013
Before-Tax Amount

 
Income Tax

 
After-Tax Amount

Foreign currency translation adjustments:
 
 
 
 
 
Translation adjustment arising during the period
$
(639
)
 
$
144

 
$
(495
)
Reclassification adjustments recognized in net income
26

 
—

 
26

Net foreign currency translation adjustments
(613
)
 
144

 
(469
)
Derivatives:
 
 
 
 
 
Unrealized gains (losses) arising during the period
(69
)
 
25

 
(44
)
Reclassification adjustments recognized in net income
(60
)
 
22

 
(38
)
Net gain (loss) on derivatives1
(129
)
 
47

 
(82
)
Available-for-sale securities:
 
 
 
 
 
Unrealized gains (losses) arising during the period
(152
)
 
53

 
(99
)
Reclassification adjustments recognized in net income
7

 
—

 
7

Net change in unrealized gain (loss) on available-for-sale securities2
(145
)
 
53

 
(92
)
Pension and other benefit liabilities:
 
 
 
 
 
Net pension and other benefits arising during the period
(5
)
 
—

 
(5
)
Reclassification adjustments recognized in net income
49

 
(17
)
 
32

Net change in pension and other benefit liabilities3
44

 
(17
)
 
27

Other comprehensive income (loss) attributable to The Coca-Cola Company
$
(843
)
 
$
227

 
$
(616
)
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.
Nine Months Ended September 27, 2013
Before-Tax Amount

 
Income Tax

 
After-Tax Amount

Foreign currency translation adjustments:
 
 
 
 
 
Translation adjustment arising during the period
$
(1,318
)
 
$
37

 
$
(1,281
)
Reclassification adjustments recognized in net income
(194
)
 
—

 
(194
)
Net foreign currency translation adjustments
(1,512
)
 
37

 
(1,475
)
Derivatives:

 

 

Unrealized gains (losses) arising during the period
333

 
(128
)
 
205

Reclassification adjustments recognized in net income
(133
)
 
50

 
(83
)
Net gain (loss) on derivatives1
200

 
(78
)
 
122

Available-for-sale securities:

 

 

Unrealized gains (losses) arising during the period
(108
)
 
33

 
(75
)
Reclassification adjustments recognized in net income
9

 
—

 
9

Net change in unrealized gain (loss) on available-for-sale securities2
(99
)
 
33

 
(66
)
Pension and other benefit liabilities:

 

 

Net pension and other benefits arising during the period
20

 
(9
)
 
11

Reclassification adjustments recognized in net income
147

 
(53
)
 
94

Net change in pension and other benefit liabilities3
167

 
(62
)
 
105

Other comprehensive income (loss) attributable to The Coca-Cola Company
$
(1,244
)
 
$
(70
)
 
$
(1,314
)

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 nine months ended September 26, 2014 (in millions):
 
 
Amount Reclassified from
AOCI into Income
 
Description of AOCI Component
Location of Gain (Loss)
Recognized in Income
Three Months Ended September 26, 2014
Nine Months Ended September 26, 2014

 
Derivatives:
 
 
 
 
Foreign currency contracts
Net operating revenues
$
(19
)
$
(62
)
 
Foreign currency and commodity contracts
Cost of goods sold
(6
)
(27
)
 
Foreign currency contracts
Other income (loss) — net
52

52

 
 
Income before income taxes
27

(37
)
 
 
Income taxes
(11
)
14

 
 
Consolidated net income
$
16

$
(23
)
 
Available-for-sale securities:
 
 
 
 
Sale of securities
Other income (loss) — net
$
(6
)
$
(9
)
 
 
Income before income taxes
(6
)
(9
)
 
 
Income taxes
2

2

 
 
Consolidated net income
$
(4
)
$
(7
)
 
Pension and other benefit liabilities:
 
 
 
 
Amortization of net actuarial loss
*
$
18

$
56

 
Amortization of prior service cost (credit)
*
(4
)
(13
)
 
 
Income before income taxes
14

43

 
 
Income taxes
(5
)
(16
)
 
 
Consolidated net income
$
9

$
27

 
*
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.