Property, plant and equipment

Property, plant and equipment are recorded at historical cost, less accumulated amortization and impairment losses. Expenditures for additions and improvements are capitalized. Specific and general borrowing costs are capitalized when the asset construction period exceeds 12 months. Expenditures for maintenance and repairs are charged to earnings. Upon retirement, disposal, or destruction of an asset, the cost and related amortization are derecognized and any resulting gain or loss is included in earnings.

Property, plant and equipment are amortized on a straight-line basis over their estimated useful lives as follows:


Buildings			10 - 30 years
Manufacturing plant, equipment and machinery			6 - 25 years
Fixtures, mobile and other equipment			3 - 10 years
Roads and bridges			Not exceeding 40 years
Major maintenance shutdowns			1 - 2 years

Construction-in-progress includes the purchase price and any costs directly attributable to bringing the asset to the location and condition necessary for its intended use. Construction-in-progress is not depreciated. Once the asset is complete and available for use, the construction-in-progress balance is transferred to the appropriate category of property, plant and equipment and depreciation commences.

Supporting Information


	Manufacturing plant, equipment and machinery		Construction- in-progress		Roads and bridges		Other		Total
As at December 31, 2023	$	3,319	$	376	$	46	$	94	$	3,835
CPL agreement (note 3)	12		2		—		—		15

Additions	73		411		11		—		495
Amortization1	(462)		—		(7)		(1)		(470)
Impairment (note 16)	(15)		—		—		—		(15)

Foreign exchange	(11)		—		—		(5)		(16)
Disposals	(2)		—		—		—		(2)
Transfers	343		(343)		—		—		—
As at December 31, 2024	$	3,259	$	445	$	49	$	89	$	3,842


As at December 31, 2024
Cost	$	6,939	$	445	$	165	$	91	$	7,641
Accumulated amortization	(3,680)		—		(116)		(2)		(3,798)
Net	$	3,259	$	445	$	49	$	89	$	3,842


As at December 31, 2024	$	3,259	$	445	$	49	$	89	$	3,842

Additions	166		264		10		—		440
Amortization1	(469)		—		(8)		(2)		(478)
Impairment (note 16)	(227)		(13)		—		—		(241)

Foreign exchange	26		1		—		4		31
Disposals	—		—		—		(1)		(1)
Transfers	413		(414)		1		—		—
As at December 31, 2025	$	3,168	$	282	$	52	$	91	$	3,593


As at December 31, 2025
Cost	$	7,204	$	282	$	163	$	98	$	7,747
Accumulated amortization	(4,036)		—		(112)		(6)		(4,154)
Net	$	3,168	$	282	$	52	$	91	$	3,593

1.Amortization of $468 million relates to cost of products sold and $10 million relates to selling, general and administration expense (2024 - $462 million and $8 million respectively).