Fair Value Measurements
 9 Months Ended
Sep. 30, 2016
Fair Value Disclosures [Abstract]  
Fair Value Disclosures [Text Block]
Fair Value Measurements
In accordance with the provisions of ASC 820, the following tables provide the valuation hierarchy classification of assets and liabilities that are carried at fair value and measured on a recurring and nonrecurring basis in our Condensed Consolidated Balance Sheet as of September 30, 2016 and December 31, 2015: 
September 30, 2016 (Dollars in millions)
Total
 
Level 1
 
Level 2
 
Level 3
Recurring fair value measurements:
 
 
 
 
 
 
 
Available-for-sale securities
$
1,005

 
$
1,005

 
$
—

 
$
—

Derivative assets
101

 
—

 
101

 
—

Derivative liabilities
(181
)
 
—

 
(181
)
 
—


December 31, 2015 (Dollars in millions)
Total
 
Level 1
 
Level 2
 
Level 3
Recurring fair value measurements:
 
 
 
 
 
 
 
Available-for-sale securities
$
951

 
$
951

 
$
—

 
$
—

Derivative assets
101

 
—

 
101

 
—

Derivative liabilities
(533
)
 
—

 
(533
)
 
—


Valuation Techniques. Our available-for-sale securities include equity investments that are traded in active markets, either domestically or internationally, and are measured at fair value using closing stock prices from active markets. Our derivative assets and liabilities include foreign exchange contracts and commodity derivatives that are measured at fair value using internal models based on observable market inputs such as forward rates, interest rates, our own credit risk and our counterparties' credit risks. As of September 30, 2016, there were no significant transfers in and out of Level 1 and Level 2.
As of September 30, 2016, there has not been any significant impact to the fair value of our derivative liabilities due to our own credit risk. Similarly, there has not been any significant adverse impact to our derivative assets based on our evaluation of our counterparties' credit risks.
The following table provides carrying amounts and fair values of financial instruments that are not carried at fair value in our Condensed Consolidated Balance Sheet at September 30, 2016 and December 31, 2015:
 
September 30, 2016
 
December 31, 2015
(Dollars in millions)
Carrying
Amount
 
Fair
Value
 
Carrying
Amount
 
Fair
Value
Long-term receivables
$
136

 
$
129

 
$
122

 
$
107

Customer financing notes receivable
459

 
430

 
403

 
403

Short-term borrowings
(871
)
 
(871
)
 
(926
)
 
(926
)
Long-term debt (excluding capitalized leases)
(21,774
)
 
(24,938
)
 
(19,476
)
 
(21,198
)
Long-term liabilities
(427
)
 
(397
)
 
(458
)
 
(419
)

The following table provides the valuation hierarchy classification of assets and liabilities that are not carried at fair value in our Condensed Consolidated Balance Sheet as of September 30, 2016:
(Dollars in millions)
Total
 
Level 1
 
Level 2
 
Level 3
Long-term receivables
$
129

 
$
—

 
$
129

 
$
—

Customer financing notes receivable
430

 
—

 
430

 
—

Short-term borrowings
(871
)
 
—

 
(780
)
 
(91
)
Long-term debt (excluding capitalized leases)
(24,938
)
 
—

 
(24,752
)
 
(186
)
Long-term liabilities
(397
)
 
—

 
(397
)
 
—


We had commercial aerospace financing and other contractual commitments totaling approximately $14.5 billion and $14.6 billion as of September 30, 2016 and December 31, 2015, respectively, related to commercial aircraft and certain contractual rights to provide product on new aircraft platforms. Risks associated with changes in interest rates on these commitments are mitigated by the fact that interest rates are variable during the commitment term, and are set at the date of funding based on current market conditions, the fair value of the underlying collateral and the credit worthiness of the customers. As a result, the fair value of these financings is expected to equal the amounts funded.