The Company’s financial assets and liabilities carried at fair value as of June 28, 2025, are classified below (in millions):


	Level 1		Level 2		Level 3		Total
Assets:


Investments related to the deferred compensation plan	$	45	$	—	$	—	$	45
Total Assets at fair value	$	45	$	—	$	—	$	45
Liabilities:
Foreign exchange contracts (1)	$	6	$	51	$	—	$	57

Liabilities related to the deferred compensation plan	45		—		—		45
Total Liabilities at fair value	$	51	$	51	$	—	$	102

The Company’s financial assets and liabilities carried at fair value as of December 31, 2024, are classified below (in millions):


	Level 1		Level 2		Level 3		Total
Assets:
Foreign exchange contracts (1)	$	1	$	30	$	—	$	31

Investments related to the deferred compensation plan	41		—		—		41
Total Assets at fair value	$	42	$	30	$	—	$	72
Liabilities:


Liabilities related to the deferred compensation plan	$	41	$	—	$	—	$	41
Total Liabilities at fair value	$	41	$	—	$	—	$	41

(1)The fair value of the foreign exchange contracts is calculated as follows:

•Fair value of forward contracts associated with forecasted sales hedges is calculated using the period-end exchange rate adjusted for current forward points (Level 2).

•Fair value of hedges against net assets denominated in foreign currencies is calculated at the period-end exchange rate adjusted for current forward points unless the hedge has been traded but not settled at period-end (Level 2). If this is the case, the fair value is calculated at the rate at which the hedge is being settled (Level 1).