DOW CHEMICAL CO /DE/

NOTE 6 –SUPPLEMENTARY INFORMATION

1. The year ended December 31, 2025 includes pretax pension settlement charges of $323 million related to the termination of certain benefit plans. The year ended December 31, 2023, includes pretax pension settlement charges of $642 million related to the transfer of certain plan benefit obligations to insurance companies. See Note 19 for additional information about the Company's pension and other postretirement plans, including pension settlement charges.

2. Foreign exchange gains in 2025 relate primarily to the euro, partially offset by losses in exposures to the Argentine peso, while losses in 2024 relate primarily to exposures in the Argentine peso and Egyptian pound, and 2023 relate primarily to exposures in the Argentine peso. In addition, 2023 includes a loss of $109 million related to the devaluation of the Argentine peso by the Argentina government in December 2023.

3. The year ended December 31, 2024, includes a gain of $25 million associated with a warehouse sale. The year ended December 31, 2023, includes gains associated with the sale of shares of a previously impaired equity method investment.

4. See Note 4 for additional information.

5. See Note 14 for additional information.

6. Primarily related to charges and credits associated with agreements entered into with DuPont de Nemours, Inc. ("DuPont") and Corteva, Inc. ("Corteva") as part of the separation and distribution.

7. The year ended December 31, 2024 and 2023, includes certain obligations and subsequent reversals associated with a previously impaired equity method investment.

8. See Note 15 for additional information.

9. See Notes 21 and 22 for additional information.

Sundry income (expense) - net for TDCC for the years ended December 31, 2025, 2024 and 2023, is substantially the same as that of Dow Inc., with the primary difference related to indemnification and other transaction related costs recorded on Dow Inc. Therefore, Sundry income (expense) - net for TDCC is not disclosed separately.

Other Investments

The Company has investments in company-owned life insurance policies ("COLI"), which are recorded at their cash surrender value as of each balance sheet date, as provided below:

1. Classified as "Proceeds from sales and maturities of investments" in the consolidated statements of cash flows.

2. Included in "Sundry income (expense) - net" in the consolidated statements of income.

3. Classified as "Other investments" in the consolidated balance sheets.

The Company has the ability to monetize its investment in its COLI policies as an additional source of liquidity. At December 31, 2025, the Company had $197 million outstanding monetization of its existing COLI policies' surrender value (zero at December 31, 2024).

Supplier Finance Program

The Company facilitates a supply chain financing (“SCF”) program in the ordinary course of business in order to extend payment terms with vendors. Under the terms of this program, a vendor can voluntarily enter into an agreement with a participating financial intermediary to sell its receivables due from the Company. The vendor receives payment from the financial intermediary, and the Company pays the financial intermediary on the terms originally negotiated with the vendor, which generally range from 90 to 120 days. The vendor negotiates the terms of the agreements directly with the financial intermediary and the Company is not a party to that agreement. The financial intermediary may allow the participating vendor to utilize the Company’s creditworthiness in establishing credit spreads and associated costs, which may provide the vendor with more favorable terms than they would be able to secure on their own. The Company does not provide guarantees related to the SCF program. At December 31, 2025, outstanding obligations confirmed as valid under the SCF program were $239 million ($291 million at December 31, 2024), included in “Accounts payable – Trade” in the consolidated balance sheets.

The following table summarizes the activity of the SCF program for the years ended December 31, 2025 and 2024:

Government Assistance

The following table summarizes the government incentives recorded in the years ended December 31, 2025, 2024 and 2023:

The incentives related to capital expenditures associated with the construction of the Company’s Fort Saskatchewan Path2Zero project are subject to clawback if the Company does not meet certain obligations, which include the completion of the project by the target completion date, continued operation of the facility through a specified duration period as well as other certain benefit commitments, including employment levels and emissions reductions. These incentives are recorded as a reduction to construction in progress and reflected in “Property” in the consolidated balance sheets and will lower depreciation expense over the useful lives of the related energy assets through a reduction to “Cost of sales” in the consolidated statements of income.

The incentives related to the cost of energy used in the Company’s production processes, from various governments, are typically based on level of energy consumption and are recorded as a reduction to "Cost of sales" in the consolidated statements of income and as "Accounts and notes receivable - Other" until received or as a reduction to "Accounts payable - Trade" in the consolidated balance sheets.

The incentives received for the construction of certain energy assets in the United States in 2024 are recorded as a reduction of “Property” in the consolidated balance sheets and will lower depreciation expense over the useful lives of the related energy assets through a reduction to “Cost of sales” in the consolidated statements of income.

Other forms of government assistance received by the Company in 2025, 2024 and 2023 were not material.

Supplemental Cash Flow Information

Required supplementary cash flow information is presented in the following tables:

1. Disaggregated in accordance with ASU 2023-09, which was adopted prospectively in 2025.