Company: LIN
Filing Date: 2025-02-26
Form Type: 10-K
Source: 0001628280-25-007990
Chunk: 40

Company: LINDE PLC
Filing Date: 2025-02-26
Form: 10-K
Item: Item 8
Chunk 40
---
ional value of €1 billion to hedge the variability of future cash flows of forecasted transactions due to interest rate risk and had designated this as a cash flow hedge. The interest rate swaps were terminated during the first quarter of 2024 with the February debt issuance and the settlement values were immaterial.Derivatives Impact on Consolidated Statements of IncomeThe following table summarizes the impact of the company's derivatives on the consolidated statements of income:(Millions of dollars)    Amount of Pre-Tax Gain (Loss)    Recognized in Earnings *Year Ended December 31,202420232022Derivatives Not Designated as Hedging InstrumentsCurrency contracts:Balance sheet items:Debt-related$88 $91 $12 Other balance sheet items— (1)8 Total$88 $90 $20 * The gains (losses) on balance sheet items are offset by gains (losses) recorded on the underlying hedged assets and liabilities. Accordingly, the gains (losses) for the derivatives and the underlying hedged assets and liabilities related to debt items are recorded in the consolidated statements of income as interest expense-net. Other balance sheet items and anticipated net income gains (losses) are recorded in the consolidated statements of income as other income (expenses)-net.The amounts of gain or loss recognized in accumulated other comprehensive income (loss) and reclassified to the consolidated statements of income were not material for the years ended December 31, 2024, 2023, and 2022. Net impacts expected to be reclassified to earnings during the next twelve months are also not material.

NOTE 13. FAIR VALUE DISCLOSURES

The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels as follows:Level 1 – quoted prices in active markets for identical assets or liabilitiesLevel 2 – quoted prices for similar assets and liabilities in active markets or inputs that are observableLevel 3 – inputs that are unobservable (for example, cash flow modeling inputs based on assumptions)Assets and Liabilities Measured at Fair Value on a Recurring BasisThe following table summarizes assets and liabilities measured at fair value on a recurring basis at December 31, 2024 and 2023:  Fair Value Measurements Using(Millions of dollars)Level 1Level 2Level 3 202420232024202320242023AssetsDerivative assets$— $— $306 $81