v3.26.1
SUPPLEMENTAL FINANCIAL INFORMATION
 12 Months Ended
Dec. 31, 2025
Additional Financial Information Disclosure [Abstract]  
SUPPLEMENTAL FINANCIAL INFORMATION SUPPLEMENTAL FINANCIAL INFORMATION
The following table presents the components of “Other items, net” on the Consolidated Statements of Operations.
SuccessorPredecessor
Period From August 7 - December 31,Period From January 1 - August 6,Year Ended December 31,
2025202520242023
Pension and postretirement benefit costs$(35)$(80)$(139)$(153)
Foreign exchange losses(5)(11)(47)(66)
Other1 (1)4 3 
Other items, net$(39)$(92)$(182)$(216)
Supplemental Cash Flow Information
SuccessorPredecessor
Period From August 7 - December 31,Period From January 1 - August 6,Year Ended December 31,
2025202520242023
Cash paid for interest$296 $524 $833 $901 
Cash paid for income taxes:
Continued operations$70 $201 $184 $22 
Discontinued operations— — — 85 
Total cash paid for income taxes$70 $201 $184 $107 
The cash balance on August 6, 2025 (Predecessor) was $2.46 billion. The cash balance on August 7, 2025 (Successor) was $3.85 billion. The difference reflects the proceeds received from the PIPE Transaction (see Note 1) and cash received from Skydance’s opening balance sheet, offset by cash paid for transaction-related costs incurred prior to the Closing Date.

In connection with the closing of the Transactions, on August 7, 2025 (Successor), borrowings outstanding of $720 million under Skydance’s revolving credit facility were repaid in full.
Discontinued Operations (Predecessor)
On October 30, 2023, we completed the sale of Simon & Schuster to affiliates of Kohlberg Kravis Roberts & Co. for $1.62 billion. As a result, we recognized a pretax gain during the fourth quarter of 2023 of $695 million. During 2024, as a result of working capital adjustments we recorded additional pretax gains on the sale totaling $19 million ($14 million, net of tax).

The following table sets forth details of net earnings from discontinued operations for the year ended December 31, 2023, which primarily relates to Simon & Schuster.
Year Ended December 31, 2023
Simon & Schuster
Other (a)
Total
Revenues$958 $— $958 
Costs and expenses:
Operating 580 (12)568 
Selling, general and administrative 149 — 149 
Restructuring charges2 — 2 
Total costs and expenses731 (12)719 
Operating income227 12 239 
Other items, net(9)— (9)
Earnings from discontinued operations218 12 230 
Benefit from (provision for) income taxes12 (3)9 
Earnings from discontinued operations, net of tax230 9 239 
Gain on sale (net of tax of $258 million) (b)
437 — 437 
Net earnings from discontinued operations, net of tax$667 $9 $676 
(a) Primarily relates to indemnification obligations for leases associated with the previously discontinued operations of Famous Players Inc.
(b) The tax provision on the gain on sale differs from the amount that would be expected at the U.S. federal statutory income tax rate primarily because the goodwill was not deductible for tax purposes.