14. Accumulated Other Comprehensive Income
The changes in the balances of each component of accumulated other comprehensive income, net of tax, which is included as a component of Waste Management, Inc. stockholders’ equity, are as follows (in millions, with amounts in parentheses representing debits to accumulated other comprehensive income):
| Gains
and Losses on Derivative Instruments |
Unrealized Gains and Losses on Available- for-Sale Securities |
Foreign Currency Translation Adjustments |
Post- Retirement Benefit Plans |
Total | ||||||||||||||||
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Balance, December 31, 2010 |
$ | (33 | ) | $ | 5 | $ | 261 | $ | (3 | ) | $ | 230 | ||||||||
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Other comprehensive income (loss) before reclassifications |
(30 | ) | (3 | ) | (18 | ) | (8 | ) | (59 | ) | ||||||||||
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Amounts reclassified from accumulated other comprehensive income |
1 | — | — | — | 1 | |||||||||||||||
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Net current period other comprehensive income (loss) |
(29 | ) | (3 | ) | (18 | ) | (8 | ) | (58 | ) | ||||||||||
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Balance, December 31, 2011 |
$ | (62 | ) | $ | 2 | $ | 243 | $ | (11 | ) | $ | 172 | ||||||||
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Other comprehensive income (loss) before reclassifications |
(22 | ) | 2 | 33 | (2 | ) | 11 | |||||||||||||
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Amounts reclassified from accumulated other comprehensive income |
10 | — | — | — | 10 | |||||||||||||||
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Net current period other comprehensive income (loss) |
(12 | ) | 2 | 33 | (2 | ) | 21 | |||||||||||||
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Balance, December 31, 2012 |
$ | (74 | ) | $ | 4 | $ | 276 | $ | (13 | ) | $ | 193 | ||||||||
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Other comprehensive income (loss) before reclassifications |
14 | 2 | (68 | ) | 15 | (37 | ) | |||||||||||||
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Amounts reclassified from accumulated other comprehensive income |
(2 | ) | — | — | — | (2 | ) | |||||||||||||
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Net current period other comprehensive income (loss) |
12 | 2 | (68 | ) | 15 | (39 | ) | |||||||||||||
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Balance, December 31, 2013 |
$ | (62 | ) | $ | 6 | $ | 208 | $ | 2 | $ | 154 | |||||||||
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The amounts of other comprehensive income (loss) before reclassifications associated with our cash flow derivative instruments are as follows (in millions):
| Amount of Derivative Gain (Loss) Recognized in OCI (Effective Portion) |
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| Years Ended December 31, | ||||||||||||
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Derivatives Designated as Cash Flow Hedges |
2013 | 2012 | 2011 | |||||||||
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Forward-starting interest rate swaps |
$ | 14 | $ | (27 | ) | $ | (59 | ) | ||||
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Foreign currency derivatives |
17 | (9 | ) | 1 | ||||||||
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Electricity commodity derivatives |
(8 | ) | — | 8 | ||||||||
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Total before tax |
23 | (36 | ) | (50 | ) | |||||||
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Tax (expense) benefit |
(9 | ) | 14 | 20 | ||||||||
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Net of tax |
$ | 14 | $ | (22 | ) | $ | (30 | ) | ||||
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The significant amounts reclassified out of each component of accumulated other comprehensive income are as follows (in millions):
| Amount Reclassified from Accumulated Other Comprehensive Income(a) |
Statement of Operations Classification |
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| Years Ended December 31, | ||||||||||||||
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Details about Accumulated Other Comprehensive Income Components |
2013 | 2012 | 2011 | |||||||||||
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Gains and losses on cash flow hedges: |
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Forward-starting interest rate swaps |
$ | (7 | ) | $ | (3 | ) | $ | (1 | ) | Interest expense | ||||
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Treasury rate locks |
(2 | ) | (7 | ) | (7 | ) | Interest expense | |||||||
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Foreign currency derivatives |
21 | (15 | ) | 4 | Other, net | |||||||||
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Electricity commodity derivatives |
(9 | ) | 10 | 2 | Operating revenues | |||||||||
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| 3 | (15 | ) | (2 | ) | Total before tax | |||||||||
| (1 | ) | 5 | 1 | Tax (expense) benefit | ||||||||||
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Total reclassifications for the period |
$ | 2 | $ | (10 | ) | $ | (1 | ) | Net of tax | |||||
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| (a) | Amounts in parentheses represent debits to the statement of operations classification. |