v3.25.2
Financial Instruments
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Financial Instruments Financial Instruments
The following table summarizes the notional amounts and respective fair values of Corning’s derivative financial instruments on a gross basis (in millions):
June 30, 2025December 31, 2024
Notional amount
Fair value asset (1)
Fair value liability (1)
Notional amount
Fair value asset (1)
Fair value liability (1)
Derivatives designated as hedging instruments (2):
Foreign exchange and precious metals lease contracts (3)
$1,417 $63 $(15)$928 $106 $(69)
Derivatives not designated as hedging instruments:     
Foreign exchange contracts3,578 96 (18)2,339 14 (77)
Translated earnings contracts (4)
12,331 702 (247)9,817 859 (327)
Cross currency swap contracts571 (156)439 (148)
Total derivatives$17,897 $861 $(436)$13,523 $979 $(621)
Current$531 $(162)$619 $(348)
Non-current330 (274)360 (273)
Total derivatives$861 $(436) $979 $(621)
(1)All of the Company’s derivative contracts are measured at fair value and are classified as Level 2 within the fair value hierarchy. Derivative assets are presented in other current assets or other assets in the consolidated balance sheets. Derivative liabilities are presented in other accrued liabilities or other liabilities in the consolidated balance sheets.
(2)The amounts above do not include €750 million ($873 million equivalent) and €850 million ($879 million equivalent) of euro-denominated debt as of June 30, 2025 and December 31, 2024, respectively, which is a non-derivative financial instrument designated as a net investment hedge.
(3)As of June 30, 2025 and December 31, 2024, derivatives designated as hedging instruments include foreign exchange cash flow hedges and net investment hedges with gross notional amounts of $1.4 billion and $928 million, respectively, and fair value hedges of leased precious metals with gross notional amounts of 9,319 troy ounces and 12,694 troy ounces, respectively. Fair value assets include designated derivatives pertaining to precious metals lease contracts in the amounts of $23 million and $104 million as of June 30, 2025 and December 31, 2024, respectively. Fair value liabilities include designated derivatives pertaining to precious metals lease contracts in the amounts of $1 million as of June 30, 2025.
(4)The Company has deferred payments associated with its purchased option contracts that are classified as non-derivative liabilities and will be settled by the end of the option contract term. As of June 30, 2025 and December 31, 2024, the Company has $160 million and $141 million recorded in other accrued liabilities and $90 million and $172 million recorded in other liabilities, respectively, in the consolidated balance sheets.
The following table summarizes the total gross notional coverage for translated earnings contracts (in millions):
June 30,
2025		December 31,
2024
Forward contracts:
Japanese yen-denominated$1,239 $259 
South Korean won-denominated2,306 1,151 
Chinese yuan-denominated1,247 864 
New Taiwan dollar-denominated598 503 
Mexican peso-denominated1,696 320 
Euro-denominated1,701 1,538 
Option contracts: 
Japanese yen-denominated3,451 4,997 
Euro-denominated93 185 
Total gross notional amount for translated earnings contracts$12,331 $9,817 
The following tables summarize the effect in the consolidated statements of income relating to Corning’s derivative and non-derivative financial instruments (in millions). The accumulated loss included in accumulated other comprehensive loss on the consolidated balance sheets as of June 30, 2025 and December 31, 2024 is $31 million and $11 million, respectively.
Three months ended June 30,
Loss recognized
in other comprehensive
income (loss) (OCI) (1)
Location of (loss) gain
reclassified from
accumulated
OCI into income
effective (ineffective)		(Loss) gain reclassified
from accumulated
OCI into income
2025202420252024
Hedging relationships for cash flow, net investment and fair value hedges:
Foreign exchange and precious metals lease contracts $(27)$(24)Cost of sales$(3)$15 
Other (expense) income, net2 (1)
Total designated$(27)$(24) $(1)$14 
(1)Amount includes a loss of $68 million and gain of $8 million during the three months ended June 30, 2025 and 2024, respectively, relating to non-derivative financial instruments designated as a net investment hedge.
Six months ended June 30,
(Loss) gain recognized
in other comprehensive
income (loss) (OCI) (1)
Location of (loss) gain
reclassified from
accumulated
OCI into income
effective (ineffective)		(Loss) gain reclassified
from accumulated
OCI into income
2025202420252024
Hedging relationships for cash flow, net investment and fair value hedges:
Foreign exchange and precious metals lease contracts $(27)$9 Cost of sales$(10)$21 
Other (expense) income, net3 (1)
Total designated$(27)$9 $(7)$20 
(1)Amount includes a loss of $101 million and gain of $30 million during the six months ended June 30, 2025 and 2024, respectively, relating to non-derivative financial instruments designated as a net investment hedge.
Gain (loss) recognized in incomeLocation of gain (loss) recognized in income
Three months ended
June 30,		Six months ended
June 30,
Undesignated derivatives2025202420252024
Foreign exchange contracts$82 $(13)$120 $(35)Other (expense) income, net
Translated earnings contracts131 27 30 66 Translated earnings contract gain, net
Cross currency swap contracts9 (7)9 (7)Other (expense) income, net
Total undesignated$222 $7 $159 $24 
Cross Currency Swap Contracts
Since inception of the Company’s Japanese yen-denominated debt, the Japanese yen has weakened and the U.S. dollar value of these liabilities has decreased, generating unrealized foreign exchange gains that have been recognized over time in the consolidated statements of income. During 2025 and 2024, the Company entered into various cross currency swap contracts relating to a portion of the Company’s Japanese yen-denominated debt in order to economically lock in unrealized foreign exchange gains. At inception of these instruments, Corning receives a net amount from the counterparties, representing an exchange of the notional amounts at a fixed foreign exchange rate of Japanese yen to U.S. dollar and initially records this amount as a derivative liability. During the six months ended June 30, 2025 and 2024, Corning received net payments of $24 million and $68 million, respectively. As of June 30, 2025 and December 31, 2024, the fair value of the derivative liability associated with these contracts is $156 million and $148 million, respectively.
Net Investment Hedges
In May 2023, the Company issued €300 million ($351 million equivalent as of June 30, 2025) 3.875% Notes due 2026 (“2026 Notes”) and €550 million ($644 million equivalent as of June 30, 2025) 4.125% Notes due 2031 (“2031 Notes”). The proceeds from the 2026 Notes and 2031 Notes were received in euros and converted to U.S. dollars on the date of issuance. In 2023, the Company designated the full amount of its euro-denominated 2026 Notes and 2031 Notes with a total notional amount of €850 million ($995 million equivalent as of June 30, 2025), which are non-derivative financial instruments, as net investment hedges against its investments in certain European subsidiaries with euro functional currencies. During the first quarter of 2025, the Company de-designated €100 million ($117 million equivalent as of June 30, 2025) notional of the 2026 Notes as a net investment hedge.
During the first quarter of 2025, the Company entered into various foreign exchange forward contracts with notional amounts totaling €110 million ($129 million equivalent as of June 30, 2025) and ¥40.2 billion ($277 million equivalent as of June 30, 2025) and designated these forward contracts as net investment hedges against its investments in certain European subsidiaries with euro functional currencies and its Taiwanese subsidiary with Japanese yen functional currency, respectively.
During the second quarter of 2025, the Company entered into various foreign exchange forward contracts with notional amounts totaling €270 million ($316 million equivalent as of June 30, 2025) and ¥34.4 billion ($237 million equivalent as of June 30, 2025) and designated these forward contracts as net investment hedges against its investments in certain European subsidiaries with euro functional currencies and its Taiwanese subsidiary with Japanese yen functional currency, respectively. Additionally, the Company de-designated €180 million ($211 million equivalent as of June 30, 2025) and ¥34.4 billion ($237 million equivalent as of June 30, 2025) of existing net investment hedges.
As of June 30, 2025, these net investment hedges are deemed to be effective.

Leased Precious Metals Contracts
The carrying amount of the leased precious metals pool, which is included within property, plant and equipment, net of accumulated depreciation in the consolidated balance sheets, is $52 million and $58 million as of June 30, 2025 and December 31, 2024, respectively. The carrying amount of the leased precious metals pool includes cumulative fair value losses of $25 million and $108 million as of June 30, 2025 and December 31, 2024, respectively. These losses are offset by changes in the fair value of hedges.