COCA COLA CO - Quarter Report: 2025 March (Form 10-Q)

)

Inventories$ $ Property, plant and equipment — net Assets held for sale$ $ Accounts payable and accrued expenses$ $ Other noncurrent liabilities Liabilities held for sale$ $

NOTE 3:

$ $ Finished product operations Total $ $ $ Three Months Ended March 29, 2024Concentrate operations$ $ $ Finished product operations Total $ $ $

Refer to Note 17 for disclosures of net operating revenues by operating segment and Corporate.

NOTE 4:

$ Other noncurrent assets Total equity securities$ $ December 31, 2024Marketable securities$ $ Other noncurrent assets Total equity securities$ $ )$

Less: Net gains (losses) recognized during the period related to equity securities sold

during the period

Net unrealized gains (losses) recognized during the period related to equity securities

still held at the end of the period

$()$

$ $ $

Available-for-sale securities

()

Total debt securities

$ $ $()$ December 31, 2024

Trading securities

$ $ $()$

Available-for-sale securities

()

Total debt securities

$ $ $()$ $ $ $

Other noncurrent assets

Total debt securities$ $ $ $ $ After 1 year through 5 years After 5 years through 10 years After 10 years Total$ $ )

Captive Insurance Companies

In accordance with local insurance regulations, our consolidated captive insurance companies are required to meet and maintain minimum solvency capital requirements. The Company elected to invest a majority of its solvency capital in a portfolio of marketable equity and debt securities. These securities are included in the disclosures above. The Company uses one of our consolidated captive insurance companies to reinsure group annuity insurance contracts that cover the obligations of certain of our European and Canadian pension plans. This captive’s solvency capital funds included total equity and debt securities of $ million and $ million as of March 28, 2025 and December 31, 2024, respectively, which were classified in the line item other noncurrent assets in our consolidated balance sheets because the assets were not available to satisfy our current obligations.

NOTE 5:

$ Finished goods Other Total inventories $ $

NOTE 6:

$ Foreign currency contractsOther noncurrent assets Commodity contractsPrepaid expenses and other current assets Interest rate contractsOther noncurrent assets Total assets $ $ Liabilities: Foreign currency contractsAccounts payable and accrued expenses$ $ Foreign currency contractsOther noncurrent liabilities Interest rate contractsAccounts payable and accrued expenses Interest rate contractsOther noncurrent liabilities Total liabilities $ $

1All of the Company’s derivative instruments are carried at fair value in our consolidated balance sheets after considering the impact of legally enforceable master netting agreements and cash collateral held or placed with the same counterparties, as applicable. Current disclosure requirements mandate that derivatives must also be disclosed without reflecting the impact of master netting agreements and cash collateral. Refer to Note 16 for the net presentation of the Company’s derivative instruments.

2Refer to Note 16 for additional information related to the estimated fair value.

$ Foreign currency contractsOther noncurrent assets Commodity contractsPrepaid expenses and other current assets Other derivative instrumentsPrepaid expenses and other current assets Total assets $ $ Liabilities: Foreign currency contractsAccounts payable and accrued expenses$ $ Foreign currency contractsOther noncurrent liabilities Commodity contractsAccounts payable and accrued expenses Other derivative instrumentsAccounts payable and accrued expenses Total liabilities $ $

2Refer to Note 16 for additional information related to the estimated fair value.

Credit Risk Associated with Derivatives

We have established strict counterparty credit guidelines and enter into transactions only with financial institutions of investment grade or better. We monitor counterparty exposures regularly and review any downgrade in credit rating immediately. If a downgrade in the credit rating of a counterparty were to occur, we have provisions requiring collateral for substantially all of our transactions. To mitigate pre-settlement risk, minimum credit standards become more stringent as the duration of the derivative financial instrument increases. In addition, the Company’s master netting agreements reduce credit risk by permitting the Company to net settle for transactions with the same counterparty. To minimize the concentration of credit risk, we enter into derivative transactions with a portfolio of financial institutions. Furthermore, for certain derivative financial instruments, the Company has agreements with counterparties that require collateral to be exchanged based on changes in the fair value of the instruments. The Company classifies collateral payments and receipts as investing cash flows when the collateral account is in an asset position and as financing cash flows when the collateral account is in a liability position. As a result of these factors, we consider the risk of counterparty default to be minimal.

Cash Flow Hedging Strategy

The Company uses cash flow hedges to minimize the variability in cash flows of assets or liabilities or forecasted transactions caused by fluctuations in foreign currency exchange rates, commodity prices or interest rates. The changes in the fair values of derivatives designated as cash flow hedges are recorded in accumulated other comprehensive income (loss) (“AOCI”) and are reclassified into the line item in our consolidated statement of income in which the hedged items are recorded in the same period the hedged items affect earnings. The changes in the fair values of hedges that are determined to be ineffective are immediately reclassified from AOCI into earnings. The maximum length of time for which the Company hedges its exposure to the variability in future cash flows is typically .

The Company maintains a foreign currency cash flow hedging program to reduce the risk that our U.S. dollar net cash inflows from sales outside the United States and U.S. dollar net cash outflows from procurement activities will be adversely affected by fluctuations in foreign currency exchange rates. We enter into forward contracts and purchase foreign currency options and collars (principally euro, British pound and Japanese yen) to hedge certain portions of forecasted cash flows denominated in foreign currencies. When the U.S. dollar strengthens against the foreign currencies, the decline in the present value of future foreign currency cash flows is partially offset by gains in the fair value of the derivative instruments. Conversely, when the U.S. dollar weakens, the increase in the present value of future foreign currency cash flows is partially offset by losses in the fair value of the derivative instruments. The total notional values of derivatives that were designated and qualified for the Company’s foreign currency cash flow hedging program were $ million and $ million as of March 28, 2025 and December 31, 2024, respectively.

million as of both March 28, 2025 and December 31, 2024.

The Company has entered into commodity futures contracts and other derivative instruments on various commodities to mitigate the price risk associated with forecasted purchases of materials used in our manufacturing process. These derivative instruments were designated as part of the Company’s commodity cash flow hedging program. The objective of this hedging program is to reduce the variability of cash flows associated with future purchases of certain commodities. The total notional values of derivatives that were designated and qualified for this program were $ million and $ million as of March 28, 2025 and December 31, 2024, respectively.

Our Company monitors our mix of short-term debt and long-term debt regularly. We manage our risk related to interest rate fluctuations through the use of derivative financial instruments. From time to time, the Company has entered into interest rate swap agreements and has designated these instruments as part of the Company’s interest rate cash flow hedging program. The objective of this hedging program is to mitigate the risk of adverse changes in benchmark interest rates on the Company’s future interest payments. The total notional value of derivatives that were designated and qualified for this program was $ million as of March 28, 2025. There were no derivatives that were designated as part of the Company’s interest rate cash flow hedging program as of December 31, 2024.

)Net operating revenues$ Foreign currency contracts()Cost of goods sold Foreign currency contracts Interest expense()Foreign currency contracts()Other income (loss) — net Commodity contracts Cost of goods sold Interest rate contracts Interest expense()Total$()$ Three Months Ended March 29, 2024Foreign currency contracts$ Net operating revenues$()Foreign currency contracts Cost of goods sold Foreign currency contracts Interest expense()Foreign currency contracts()Other income (loss) — net()Commodity contracts Cost of goods sold()Interest rate contracts Interest expense

Total

$ $()

As of March 28, 2025, the Company estimates that it will reclassify into earnings during the next 12 months net gains of $ million from the pretax amount recorded in AOCI as the anticipated cash flows occur.

Fair Value Hedging Strategy

The Company uses interest rate swap agreements designated as fair value hedges to minimize exposure to changes in the fair value of fixed-rate debt that result from fluctuations in benchmark interest rates. The Company also uses cross-currency interest rate swaps to hedge the changes in the fair value of foreign currency denominated debt relating to fluctuations in foreign currency exchange rates and benchmark interest rates. The changes in the fair values of derivatives designated as fair value hedges and the offsetting changes in the fair values of the hedged items are recognized in earnings. As a result, any difference is reflected in earnings as ineffectiveness. When a derivative is no longer designated as a fair value hedge for any reason, including termination and maturity, the remaining unamortized difference between the carrying value of the hedged item at that time and the face value of the hedged item is amortized to earnings over the remaining life of the hedged item, or immediately

million and $ million as of March 28, 2025 and December 31, 2024, respectively. $()Fixed-rate debtInterest expense() Net impact of fair value hedging instruments$ $

The following table summarizes the amounts recorded in our consolidated balance sheets related to hedged items in fair value hedging relationships (in millions):

)

Cumulative Amount of Fair Value Hedging Adjustments1

Carrying Values of
Hedged Items

Included in the Carrying Values of Hedged Items

Remaining for Which Hedge Accounting Has Been Discontinued

Balance Sheet Location of Hedged Items

March 28,
2025

December 31,
2024

March 28,
2025

December 31,
2024

March 28,
2025

December 31,
2024

March 28,
2025

December 31,
2024

()

The Company reclassified a gain of $ million related to net investment hedges from AOCI into earnings during the three months ended March 29, 2024. The Company did not reclassify any gains or losses during the three months ended March 28, 2025. In addition, the Company did not have any ineffectiveness related to net investment hedges during the three months ended March 28, 2025 and March 29, 2024. The cash inflows and outflows associated with the Company’s derivative contracts designated as net investment hedges are classified in the line item other investing activities in our consolidated statement of cash flows.

million and $ million as of March 28, 2025 and December 31, 2024, respectively.

The Company also uses certain derivatives as economic hedges to mitigate the price risk associated with the purchase of materials used in the manufacturing process and vehicle fuel. The changes in the fair values of these economic hedges are immediately recognized in earnings in the line items net operating revenues, cost of goods sold, or selling, general and administrative expenses in our consolidated statement of income, as applicable. The total notional values of derivatives related to our economic hedges of this type were $ million and $ million as of March 28, 2025 and December 31, 2024, respectively.

)$ Foreign currency contractsCost of goods sold Foreign currency contractsOther income (loss) — net Commodity contractsCost of goods sold ()Other derivative instrumentsSelling, general and administrative expenses Total $()$

NOTE 7:

million and $ million, respectively.

NOTE 8:

million and $ million, respectively, in outstanding commercial paper borrowings.

million of current maturities of long-term debt into long-term debt.

NOTE 9:

million, of which $ million was related to variable interest entities. Our guarantees are primarily related to third-party customers, bottlers and vendors and have arisen through the normal course of business. These guarantees have various terms, and none of these guarantees is individually significant. These amounts represent the maximum potential future payments that we could be required to make under the guarantees. However, management has concluded that the likelihood of any significant amounts being paid by our Company under these guarantees is remote.

Concentrations of Credit Risk

We believe our exposure to concentrations of credit risk is limited due to the diverse geographic areas covered by our operations.

Legal Contingencies

The Company is involved in various legal proceedings. We establish reserves for specific legal proceedings when we determine that the likelihood of an unfavorable outcome is probable and the amount of loss can be reasonably estimated. Management has also identified certain other legal matters where we believe an unfavorable outcome is reasonably possible and/or for which no estimate of possible losses can be made. Management believes that the total liabilities of the Company that may arise as a result of currently pending legal proceedings (excluding tax audit claims) will not have a material adverse effect on the Company taken as a whole.

Tax Audits

The Company is involved in various tax matters, with respect to some of which the outcome is uncertain. These uncertain tax matters may result in the assessment of additional taxes.

On September 17, 2015, the Company received a Statutory Notice of Deficiency (“Notice”) from the United States Internal Revenue Service (“IRS”) seeking approximately $ billion of additional federal income tax for years 2007 through 2009. In the Notice, the IRS stated its intent to reallocate over $ billion of income to the U.S. parent company from certain of its foreign affiliates that the U.S. parent company licensed to manufacture, distribute, sell, market and promote its products in certain non-U.S. markets.

The Notice concerned the Company’s transfer pricing between its U.S. parent company and certain of its foreign affiliates. IRS rules governing transfer pricing require arm’s-length pricing of transactions between related parties such as the Company’s U.S. parent and its foreign affiliates.

To resolve the same transfer pricing issue for the tax years 1987 through 1995, the Company and the IRS had agreed in 1996 on an arm’s-length methodology for determining the amount of U.S. taxable income that the U.S. parent company would report as compensation from its foreign licensees. The Company and the IRS memorialized this accord in a closing agreement resolving that dispute (“Closing Agreement”). The Closing Agreement provided that, absent a change in material facts or circumstances or relevant federal tax law, in calculating the Company’s income taxes going forward, the Company would not be assessed penalties by the IRS for using the agreed-upon tax calculation methodology that the Company and the IRS agreed would be used for the 1987 through 1995 tax years.

The IRS audited and confirmed the Company’s compliance with the agreed-upon Closing Agreement methodology in five successive audit cycles for tax years 1996 through 2006.

The September 17, 2015 Notice from the IRS retroactively rejected the previously agreed-upon methodology for the 2007 through 2009 tax years in favor of an entirely different methodology, without prior notice to the Company. Using the new tax calculation methodology, the IRS reallocated over $ billion of income to the U.S. parent company from its foreign licensees for tax years 2007 through 2009. Consistent with the Closing Agreement, the IRS did not assert penalties, and it has yet to do so.

The IRS designated the Company’s matter for litigation on October 15, 2015. Litigation designation is an IRS determination that forecloses to a company any and all alternative means for resolution of a tax dispute. As a result of the IRS’ designation of

million, resulting in an additional tax adjustment of $ million. The Company obtained a summary judgment in its favor on a different matter related to Mexican foreign tax credits, which thereafter effectively reduced the IRS’ potential tax adjustment by $ million.

The trial was held in the Tax Court from March through May 2018, and final post-trial briefs were filed and exchanged in April 2019.

On November 18, 2020, the Tax Court issued an opinion (“Opinion”) in which it predominantly sided with the IRS but agreed with the Company that dividends previously paid by the foreign licensees to the U.S. parent company in reliance upon the Closing Agreement should continue to be allowed to offset royalties, including those that would become payable to the Company in accordance with the Opinion. On November 8, 2023, the Tax Court issued a supplemental opinion (together with the original Tax Court opinion, “Opinions”), siding with the IRS in concluding both that certain U.S. tax regulations (known as the blocked-income regulations) that address the effect of certain Brazilian legal restrictions on royalty payments by the Company’s licensee in Brazil apply to the Company’s operations and that the Tax Court opinion in 3M Co. & Subs. v. Commissioner (February 9, 2023) controlled as to the validity of those regulations.

The Company believes that the IRS and the Tax Court misinterpreted and misapplied the applicable regulations in reallocating income earned by the Company’s foreign licensees to increase the Company’s U.S. tax. Moreover, the Company believes that the retroactive imposition of such tax liability using a calculation methodology different from that previously agreed upon by the IRS and the Company, and audited by the IRS for over a decade, is unconstitutional. The Company intends to assert its claims on appeal and vigorously defend its positions. In addition, for its litigation with the IRS and for purposes of its appeal of the Tax Court decision, the Company continues to evaluate the implications of several significant administrative law cases recently decided by the U.S. Supreme Court, most notably Loper Bright v. Raimondo, which overruled Chevron U.S.A., Inc. v. NRDC (“Chevron case”). Since 1984, the Chevron case had required that courts defer to agency interpretations of statutes and agency action. In Ohio v. EPA and Garland v. Cargill, two of the recent decisions, the U.S. Supreme Court demonstrated how courts are to rule on agency interpretations and actions without the deference previously required by the Chevron case.

On August 2, 2024, the Tax Court entered a decision reflecting additional federal income tax of $ billion for the 2007 through 2009 tax years. With applicable interest, the total liability for the 2007 through 2009 tax years resulting from the Tax Court’s decision is $ billion, for which the IRS issued the Company invoices on September 3, 2024. The Company paid those invoices (“IRS Tax Litigation Deposit”) on September 10, 2024, which stopped interest from accruing on the additional tax due for the 2007 through 2009 tax years. That amount, plus interest earned, would be refunded in full or in part if the Company’s tax positions are ultimately sustained on appeal. For the three months ended March 28, 2025, the Company recorded net interest income of $ million related to this tax payment in the line item income taxes in our consolidated statement of income, in accordance with our accounting policy. The payment of the IRS invoices and the related accrued interest were recorded in the line item other noncurrent assets in our consolidated balance sheets as of March 28, 2025 and December 31, 2024. On October 22, 2024, the Company appealed the Tax Court’s decision to the U.S. Court of Appeals for the Eleventh Circuit. The Company filed its principal appellate brief with the U.S. Court of Appeals for the Eleventh Circuit on March 12, 2025.

In determining the amount of tax reserve to be recorded as of December 31, 2020, the Company completed the required two-step evaluation process prescribed by Accounting Standards Codification 740, Accounting for Income Taxes. In doing so, we consulted with outside advisors, and we reviewed and considered relevant laws, rules, and regulations, including, but not limited to, the Opinions and relevant caselaw. We also considered our intention to vigorously defend our positions and assert our various well-founded legal claims via every available avenue of appeal. We concluded, based on the technical and legal merits of the Company’s tax positions, that it is more likely than not the Company’s tax positions will ultimately be sustained on appeal. In addition, we considered a number of alternative transfer pricing methodologies, including the methodology asserted by the IRS and affirmed in the Opinions (“Tax Court Methodology”), that could be applied by the courts upon final resolution of the litigation. Based on the required probability analysis, we determined the methodologies we believe the federal courts could ultimately order to be used in calculating the Company’s tax. As a result of this analysis, we recorded a tax reserve of $ million during the year ended December 31, 2020 related to the application of the resulting methodologies as well as the different tax treatment applicable to dividends originally paid to the U.S. parent company by its foreign licensees, in reliance upon the Closing Agreement, that would be recharacterized as royalties in accordance with the Opinions and the Company’s analysis.

million.

While the Company strongly disagrees with the IRS’ positions and the portions of the Opinions affirming such positions, it is possible that some portion or all of the adjustments proposed by the IRS and sustained by the Tax Court could ultimately be upheld. In that event, the Company would not receive a refund of the applicable portion or all of the $ billion it paid in response to the IRS invoices issued in September 2024 and the related accrued interest receivable of $ million as of March 28, 2025. Additionally, the Company would likely be subject to significant additional liabilities for subsequent years, which could have a material adverse impact on the Company’s financial position, results of operations and cash flows.

The Company calculated the potential impact of applying the Tax Court Methodology to reallocate income from foreign licensees potentially covered within the scope of the Opinions for the 2010 through 2024 tax years, assuming such methodology were to be ultimately upheld by the courts, and the IRS were to decide to apply that methodology to subsequent years, with consent of the federal courts. This impact would include taxes and interest accrued through December 31, 2024. The calculations incorporated the estimated impact of correlative adjustments to the previously accrued transition tax payable under the 2017 Tax Cuts and Jobs Act. The Company estimates that the potential aggregate remaining incremental tax and interest liability for the tax years 2010 through 2024 could be approximately $ billion as of December 31, 2024. Additional income tax and interest on any unpaid potential liabilities for the 2010 through 2024 tax years would continue to accrue until the time any such potential liability, or portion thereof, were to be paid. The Company estimates the impact of the continued application of the Tax Court Methodology for the three months ended March 28, 2025 would increase the potential aggregate incremental tax and interest liability by approximately $ million. We currently project the continued application of the Tax Court Methodology in 2025, assuming similar facts and circumstances as of December 31, 2024, would result in an incremental annual tax liability that would increase the Company’s effective tax rate by approximately %.

Risk Management Programs

million as of both March 28, 2025 and December 31, 2024.

NOTE 10:

)$()Accumulated net gains (losses) on derivatives() Unrealized net gains (losses) on available-for-sale debt securities()()Adjustments to pension and other postretirement benefit liabilities()()Accumulated other comprehensive income (loss)$()$()

$ $ Other comprehensive income:Net foreign currency translation adjustments

Net gains (losses) on derivatives1

() ()

Net change in unrealized gains (losses) on available-for-sale debt securities2

Net change in pension and other postretirement benefit liabilities Total comprehensive income (loss)$ $ $

1Refer to Note 6 for additional information related to the net gains or losses on derivative instruments.

2Refer to Note 4 for additional information related to the net unrealized gains or losses on available-for-sale debt securities.

$()$()Reclassification adjustments recognized in net income () Gains (losses) on intra-entity transactions that are of a long-term investment nature

Gains (losses) on net investment hedges arising during the period1

() ()Net foreign currency translation adjustments$ $ $ Derivatives:Gains (losses) arising during the period$()$ $()Reclassification adjustments recognized in net income() ()

Net gains (losses) on derivatives1

$()$ $()Available-for-sale debt securities:Unrealized gains (losses) arising during the period$ $()$ Reclassification adjustments recognized in net income

Net change in unrealized gains (losses) on available-for-sale debt securities2

$ $()$ Pension and other postretirement benefit liabilities:Net pension and other postretirement benefit liabilities arising during the period$()$ $()Reclassification adjustments recognized in net income () Net change in pension and other postretirement benefit liabilities$ $ $ Other comprehensive income (loss) attributable to shareowners of The Coca-Cola
Company$ $ $

1 Refer to Note 6 for additional information related to the net gains or losses on derivative instruments.

2 Refer to Note 4 for additional information related to the net unrealized gains or losses on available-for-sale debt securities.

)$()$()Reclassification adjustments recognized in net income Gains (losses) on intra-entity transactions that are of a long-term investment nature() ()

Gains (losses) on net investment hedges arising during the period1

() Net foreign currency translation adjustments$()$()$()Derivatives:Gains (losses) arising during the period$ $()$ Reclassification adjustments recognized in net income ()

Net gains (losses) on derivatives1

$ $()$ Available-for-sale debt securities: )) )) () ) )

1 Related to the sale of a portion of our ownership interest in CCEP. Refer to Note 2.

NOTE 11:

$ $ $()$ $ $()$ Comprehensive income (loss)— — — —

Dividends paid/payable to

shareowners of The Coca-Cola

Company ($ per share)

— ()()— — — — —

Dividends paid to noncontrolling

interests

— ()— — — — — ()Purchases of treasury stock()()— — — — ()— Impact related to stock-based
compensation plans — — — — March 28, 2025 $ $ $()$ $ $()$

Shareowners of The Coca-Cola Company

Three Months Ended March 29, 2024

Common Shares Outstanding

Total

Reinvested Earnings

Accumulated Other Comprehensive Income (Loss)

Common Stock

Capital Surplus

Treasury Stock

Non-controlling Interests

December 31, 2023

()

Comprehensive income (loss)

—

()

—

()

Dividends paid/payable to

shareowners of The Coca-Cola

Company ($ per share)

—

()

—

Dividends paid to noncontrolling
interests

—

()

—

()

Divestitures

—

()

—

()

Purchases of treasury stock

()

—

()

—

Impact related to stock-based
compensation plans

—

March 29, 2024

()

NOTE 12:

million. These charges consisted of $ million related to the remeasurement of our contingent consideration liability to fair value in conjunction with our acquisition of fairlife, LLC (“fairlife”) in 2020, which brought the total liability to $ million and was paid in March 2025. Additionally, other operating charges included $ million related to the Company’s productivity and reinvestment program, $ million related to an indemnification agreement entered into as a part of the refranchising of certain of our bottling operations, $ million for the amortization of noncompete agreements related to the BA Sports Nutrition, LLC (“BodyArmor”) acquisition in 2021 and $ million related to tax litigation expense.

During the three months ended March 29, 2024, the Company recorded other operating charges of $ million. These charges consisted of $ million related to the remeasurement of our contingent consideration liability to fair value in conjunction with the fairlife acquisition, $ million related to the impairment of our BodyArmor trademark and $ million related to the Company’s productivity and reinvestment program. In addition, other operating charges included $ million for transaction costs related to the refranchising of our bottling operations in certain territories in India, $ million for the amortization of noncompete agreements related to the BodyArmor acquisition and $ million related to tax litigation expense.

million and $ million, respectively. These amounts represent the Company’s proportionate share of significant operating and nonoperating items recorded by certain of our equity method investees.

Other Income (Loss) — Net

During the three months ended March 28, 2025, the Company recognized a net gain of $ million related to the sale of a portion of our ownership interest in CCEP, an impairment charge of $ million related to an equity method investee in Latin America and a net loss of $ million related to realized and unrealized gains and losses on equity securities and trading debt securities as well as realized gains and losses on available-for-sale debt securities. The Company also recorded charges of $ million and $ million for special termination benefits and a curtailment loss, respectively, related to non-U.S. pension activity.

During the three months ended March 29, 2024, the Company recognized net gains of $ million and $ million related to the refranchising of our bottling operations in the Philippines and certain territories in India, respectively. The Company also recognized a net gain of $ million related to the sale of our ownership interest in an equity method investee in Thailand. Additionally, the Company recognized a net gain of $ million related to realized and unrealized gains and losses on equity securities and trading debt securities as well as realized gains and losses on available-for-sale debt securities.

Refer to Note 2 for additional information on the sale of our ownership interest in CCEP, the sale of our ownership interest in an equity method investee in Thailand and the refranchising of our bottling operations. Refer to Note 4 for additional information on equity and debt securities. Refer to Note 14 for additional information on the non-U.S. pension curtailment and special termination benefits. Refer to Note 16 for additional information on the impairment charge.

NOTE 13:

million and $ million, respectively, related to our productivity and reinvestment program. These expenses primarily included internal and external costs associated with the implementation of the program’s initiatives and were recorded in the line item other operating charges in our consolidated statements of income. Refer to Note 17 for the impact these expenses had on our operating segments and Corporate. The Company has incurred total pretax expenses of $ million related to this program since it commenced.

NOTE 14:

$ $ $ Interest cost

Expected return on plan assets1

()()()()Amortization of prior service cost (credit) ()()Amortization of net actuarial loss (gain) ()

Curtailment loss (gain)2

Special termination benefits2

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


		THE COCA-COLA COMPANY (Registrant)

		/s/ ERIN L. MAY
Date:	May 1, 2025	Erin L. May Senior Vice President, Controller and Chief Accounting Officer (Principal Accounting Officer)

COCA COLA CO - Quarter Report: 2025 March (Form 10-Q)

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