
	March 31, 2026
	Assets				Liabilities				Net Fair Value
in millions	Current		Noncurrent(1)		Current		Noncurrent(1)		Assets/(Liabilities)
Derivatives designated as hedging instruments:
Cash flow hedges
Metal contracts	$	5	$	1	$	(445)	$	(2)	$	(441)
Currency exchange contracts	10		1		(22)		—		(11)
Energy contracts	8		—		(3)		—		5
Interest rate swap contracts	—		—		(3)		—		(3)
Net investment hedges
Currency exchange contracts	—		4		—		—		4
Total derivatives designated as hedging instruments	$	23	$	6	$	(473)	$	(2)	$	(446)
Derivatives not designated as hedging instruments:
Metal contracts	$	187	$	4	$	(320)	$	—	$	(129)
Currency exchange contracts	15		1		(31)		(4)		(19)
Energy contracts	9		—		—		—		9
Total derivatives not designated as hedging instruments	$	211	$	5	$	(351)	$	(4)	$	(139)
Total derivative fair value	$	234	$	11	$	(824)	$	(6)	$	(585)


	March 31, 2025
	Assets				Liabilities				Net Fair Value
	Current		Noncurrent(1)		Current		Noncurrent(1)		Assets/(Liabilities)
Derivatives designated as hedging instruments:
Cash flow hedges
Metal contracts	$	89	$	4	$	(5)	$	—	$	88
Currency exchange contracts	6		—		(27)		(1)		(22)
Energy contracts	6		—		(1)		—		5
Interest rate swap contracts	—		—		—		(5)		(5)
Net investment hedges
Currency exchange contracts	5		—		—		—		5
Total derivatives designated as hedging instruments	$	106	$	4	$	(33)	$	(6)	$	71
Derivatives not designated as hedging instruments:
Metal contracts	$	58	$	1	$	(56)	$	(1)	$	2
Currency exchange contracts	12		—		(17)		—		(5)

Total derivatives not designated as hedging instruments	$	70	$	1	$	(73)	$	(1)	$	(3)
Total derivative fair value	$	176	$	5	$	(106)	$	(7)	$	68

We use derivative instruments to preserve our conversion margins and manage the timing differences associated with metal price lag. We use over-the-counter derivatives indexed to the LME (referred to as our "aluminum derivative forward contracts") to reduce our exposure to fluctuating metal prices associated with the period of time between the pricing of our purchases of inventory and the pricing of the sale of that inventory to our customers, which is known as "metal price lag." We also purchase forward LME aluminum contracts simultaneously with our sales contracts with customers that contain fixed metal prices. These LME aluminum forward contracts directly hedge the economic risk of future metal price fluctuations to better match the selling price of the metal with the purchase price of the metal. The volatility in local market premiums also results in metal price lag.

Price risk arises due to fluctuating aluminum prices between the time the sales order is committed and the time the order is shipped. We enter into LME aluminum forward purchase contracts as cash flow hedges of the metal price risk associated with our future metal purchases that vary based on changes in the price of aluminum. The average duration of those contracts is less than one year. As of March 31, 2026 and March 31, 2025 there are none designated.

Price risk exposure arises due to the timing lag between the LME based pricing of raw material aluminum purchases and the LME based pricing of finished product sales. We identify and designate certain LME aluminum forward sales contracts as cash flow hedges of the metal price risk associated with our future metal sales that vary based on changes in the price of aluminum. Generally, such exposures do not extend beyond three years in length. The average duration of those contracts is less than one year.

In addition to aluminum, we enter into LME copper and zinc forward contracts. As of March 31, 2026, we had a notional of 6 kt, the fair value of these contracts represented an asset of less than $1 million. As of March 31, 2025, we had a notional of 4 kt and the fair value of these contracts represented an asset of less than $1 million. These contracts are undesignated, with an average duration of less than one year.

We also use LMP forward contracts to manage our exposure to fluctuating LMP. Currently, we enter into Midwest Premium ("MWP") contracts in North America and South America and Europe Duty Premium contracts in Europe. As of March 31, 2026, we had a notional of 12 kt MWP hedges not designated, representing a liability of $14 million. As of March 31, 2025, we had a notional not designated of 29 kt, representing a liability of $9 million. The average duration of these not designated contracts is less than one year. We identify and designate certain MWP sales contracts as cashflow hedges of LMP risk associated with future sales. As of March 31, 2026, the notional designated was 105 kt, representing a liability of $69 million. As of March 31, 2025 we had no notional designated. The average duration of these contracts is less than one year. For Europe Premium Duty Paid ("ECDP"), as of March 31, 2026, we had a notional of 53 kt not designated, representing a liability of $12 million. As of March 31, 2025, we had no notional outstanding. The average duration of these not designated contracts is less than one year. We identify and designate certain ECDP sales contracts as cashflow hedges of LMP risk associated with future sales. As of March 31, 2026, the notional designated was 47 kt, representing a liability of $8 million. The average duration of these contracts is less than one year

We use foreign exchange forward contracts and cross-currency swaps to manage our exposure to changes in exchange rates. These exposures arise from recorded assets and liabilities, firm commitments, and forecasted cash flows denominated in currencies other than the functional currency of certain operations.

We use foreign currency contracts to hedge expected future foreign currency transactions, which include capital expenditures. These contracts cover the same periods as known or expected exposures. We had total notional amounts of $1.1 billion in outstanding foreign currency forwards designated as cash flow hedges as of March 31, 2026 and 2025.

We entered into forward contracts to hedge our investments in our European operations. The effective portion of changes in the fair value of the derivative is included in Other comprehensive (loss) income under Currency translation adjustments. The excluded portion of gain or loss on derivatives is included in other expenses, net. We had a total notional amounts of $128 million and $261 million in outstanding foreign currency forwards designated as net investment hedges as of March 31, 2026 and March 31, 2025, respectively.

As of March 31, 2026, and 2025, we had outstanding foreign currency exchange contracts with a total notional amount of $1.6 billion and $1.5 billion, respectively, to primarily hedge balance sheet remeasurement risk, which were not designated as hedges. Contracts representing the majority of this notional amount will mature by the first quarter of fiscal 2027 and offset the remeasurement impact.

We use interest rate swaps to partially manage our exposure to changes in the SOFR interest rate, which impacts our variable-rate debt. As of March 31, 2026, and March 31, 2025, we had interest rate swaps in place to convert $400 million of our variable rate exposure to a weighted average fixed rate of 4.4%. These interest rate swaps, designated as cash flow hedges, are effective from September 2023 through March 31, 2027.

We use diesel fuel forward purchase contracts to manage our exposure to fluctuating fuel prices in North America and Europe. In North America, we had a notional of 6 million gallons designated as cash flow hedges as of March 31, 2026, and the fair value was an asset of $7 million. There was a notional of 7 million gallons designated as cash flow hedges as of March 31, 2025, and the fair value was a liability of less than $1 million. In Europe, as of March 31, 2026, and 2025 we had notional of less than 1 million MT of forward contracts that were not designated as hedges. The fair value of forward contracts not designated as hedges as of March 31, 2026 and 2025, was an asset of $9 million and an asset of less than $1 million, respectively. The average duration of all diesel fuel forward purchase contracts is less than one year in length.

We use natural gas forward purchase contracts to manage our exposure to fluctuating energy prices in North America and South America. In North America, we had a notional of 6 million MMBtu designated as cash flow hedges as of March 31, 2026, and the fair value was a liability of $2 million. There was a notional of 5 million MMBtu of natural gas forward purchase contracts designated as cash flow hedges as of March 31, 2025, and the fair value was an asset of $5 million. As of March 31, 2026 and 2025, we had notional of less than 1 million MMBtu of forward contracts that were not designated as hedges. The fair value of forward contracts not designated as hedges as of March 31, 2026, and 2025 was a liability and an asset, respectively, of less than $1 million. In South America, we started trading and designating energy forward contracts in fiscal 2026. As of March 31, 2026, we had no barrels undesignated. We had a notional of 60,000 barrels of forward contracts that were designated as cashflow hedges, representing an asset of $1 million as of March 31, 2026. We had no undesignated notional of natural gas forward purchase contracts as of March 31, 2026. The average duration of all natural gas forward contracts is less than one year in length.

The following table summarizes the (gains) losses associated with the change in fair value of derivative instruments not designated as hedges and the excluded portion of designated derivatives recognized in other expenses (income), net. (Gains) losses recognized in other line items in the consolidated statement of operations are separately disclosed within this footnote.


in millions	Fiscal 2026		Fiscal 2025		Fiscal 2024
Derivative instruments not designated as hedges
Metal contracts	$	118	$	40	$	(42)
Currency exchange contracts	17		30		8
Energy contracts(1)	(12)		3		(2)
Loss (gain) recognized in other expenses (income), net	$	123	$	73	$	(36)

Derivative instruments designated as hedges
Gain recognized in other expenses (income), net(2)	$	(2)	$	(3)	$	(1)
Total loss (gain) recognized in other expenses (income), net	$	121	$	70	$	(37)

Losses recognized on balance sheet remeasurement currency exchange contracts, net	$	9	$	30	$	7
Realized losses (gains), net	35		97		(80)
Unrealized losses (gains) on other derivative instruments, net	77		(57)		36
Total loss (gain) recognized in other expenses (income), net	$	121	$	70	$	(37)

The following table summarizes the impact on accumulated other comprehensive loss and earnings of derivative instruments designated as cash flow hedges. Within the next twelve months, we expect to reclassify $508 million of losses from accumulated other comprehensive loss to earnings, before taxes.


	Amount of Gain (Loss) Recognized in Other comprehensive (loss) income (Effective Portion)						Amount of Gain (Loss) Recognized in Other expenses (income), net (Ineffective and Excluded Portion)
in millions	Fiscal 2026		Fiscal 2025		Fiscal 2024		Fiscal 2026		Fiscal 2025		Fiscal 2024
Cash flow hedging derivatives
Metal contracts	$	(827)	$	(48)	$	119	$	(4)	$	—	$	—
Currency exchange contracts	31		(77)		(12)		2		—		1
Energy contracts	—		4		(8)		—		—		—
Interest rate swap contracts	1		(1)		—		—		—		—
Total cash flow hedging derivatives	(795)		(122)		99		(2)		—		1
Net investment derivatives
Currency exchange contracts	(16)		1		—		4		4		—
Total	$	(811)	$	(121)	$	99	$	2	$	4	$	1


	Amount of Gain (Loss) Reclassified from Accumulated other comprehensive loss into Income/(Expense) (Effective Portion)						Location of Gain (Loss) Reclassified from Accumulated other comprehensive loss into Earnings
in millions	Fiscal 2026		Fiscal 2025		Fiscal 2024
Cash flow hedging derivatives

Energy contracts(1)	$	—	$	(8)	$	(5)	Cost of goods sold (exclusive of depreciation and amortization)
Metal contracts	—		(1)		5		Cost of goods sold (exclusive of depreciation and amortization)
Metal contracts	(245)		(185)		181		Net sales
Currency exchange contracts	8		(9)		17		Cost of goods sold (exclusive of depreciation and amortization)

Currency exchange contracts	4		(21)		(19)		Net sales
Currency exchange contracts	(3)		(3)		(3)		Depreciation and amortization
Interest rate swap contracts	(1)		2		2		Interest expense and amortization of debt issuance costs
Total	(237)		(225)		178		Income before income tax provision
	60		58		(47)		Income tax provision
	$	(177)	$	(167)	$	131	Net income from continuing operations

The entire change in the fair value of the hedging instrument included in the assessment of hedge effectiveness is included in other comprehensive (loss) income and reclassified to earnings in the period in which earnings are impacted by the hedged items or in the period that the transaction becomes probable of not occurring. The exception to this however, is our Net Investment, Capital Expenditures and Mid West Premium hedge programs in which forward points are excluded from assessment of effectiveness. See AOCI table above for amounts excluded from assessment of effectiveness.