NOTE 15. EQUITY The following tables present reclassifications and taxes related to items of other comprehensive income (loss) for the years ended March 31, 2026, 2025 and 2024: | | | | | | | | | | (Dollars in millions) | | Pretax | | Tax (Expense) | | Net-of-Tax | For the year ended March 31, 2026 | | Amount | | Benefit | | Amount | Foreign currency translation adjustments: | | | | | | | | | | Foreign currency translation adjustments | | $ | 127 | | $ | — | | $ | 127 | Unrealized gains (losses) on net investment hedges | | | (75) | | | 2 | | | (73) | Total foreign currency translation adjustments | | $ | 53 | | $ | 2 | | $ | 55 | Unrealized gains (losses) on cash flow hedges: | | | | | | | | | | Unrealized gains (losses) arising during the period | | $ | 2 | | $ | — | | $ | 2 | Reclassification of (gains) losses to net income | | | (8) | | | (1) | | | (9) | Total unrealized gains (losses) on cash flow hedges | | $ | (6) | | $ | (1) | | $ | (7) | Retirement-related benefit plans: | | | | | | | | | | Prior service (costs) credits | | $ | (34) | | $ | 9 | | $ | (25) | Net gains (losses) arising during the period | | | 64 | | | (18) | | | 46 | Curtailments and settlements | | | 10 | | | (3) | | | 8 | Amortization of prior service costs (credits) | | | 2 | | | (1) | | | 2 | Amortization of net (gains) losses | | | 10 | | | (3) | | | 7 | Total retirement-related benefit plans | | $ | 53 | | $ | (16) | | $ | 38 | Other comprehensive income (loss) | | $ | 100 | | $ | (14) | | $ | 86 |
| | | | | | | | | | (Dollars in millions) | | Pretax | | Tax (Expense) | | Net-of-Tax | For the year ended March 31, 2025 | | Amount | | Benefit | | Amount | Foreign currency translation adjustments: | | | | | | | | | | Foreign currency translation adjustments | | $ | (50) | | $ | — | | $ | (50) | Unrealized gains (losses) on net investment hedges | | | 4 | | | (2) | | | 2 | Total foreign currency translation adjustments | | $ | (46) | | $ | (2) | | $ | (48) | Unrealized gains (losses) on cash flow hedges: | | | | | | | | | | Unrealized gains (losses) arising during the period | | $ | (14) | | $ | 3 | | $ | (11) | Reclassification of (gains) losses to net income | | | 11 | | | — | | | 11 | Total unrealized gains (losses) on cash flow hedges | | $ | (2) | | $ | 3 | | $ | — | Retirement-related benefit plans: | | | | | | | | | | Prior service (costs) credits | | $ | 2 | | $ | (1) | | $ | 1 | Net gains (losses) arising during the period | | | 17 | | | (4) | | | 13 | Curtailments and settlements | | | 7 | | | (2) | | | 5 | Amortization of net (gains) losses | | | 16 | | | (4) | | | 12 | Total retirement-related benefit plans | | $ | 42 | | $ | (10) | | $ | 32 | Other comprehensive income (loss) | | $ | (6) | | $ | (10) | | $ | (16) |
| | | | | | | | | | (Dollars in millions) | | Pretax | | Tax (Expense) | | Net-of-Tax | For the year ended March 31, 2024 | | Amount | | Benefit | | Amount | Foreign currency translation adjustments: | | | | | | | | | | Foreign currency translation adjustments | | $ | (36) | | $ | — | | $ | (36) | Unrealized losses on net investment hedges | | | (11) | | | — | | | (11) | Total foreign currency translation adjustments | | $ | (47) | | $ | — | | $ | (47) | Unrealized gains (losses) on cash flow hedges: | | | | | | | | | | Unrealized gains (losses) arising during the period | | $ | 22 | | $ | (1) | | $ | 21 | Reclassification of (gains) losses to net income | | | (21) | | | — | | | (21) | Total unrealized gains (losses) on cash flow hedges | | $ | 1 | | $ | (1) | | $ | — | Retirement-related benefit plans: | | | | | | | | | | Prior service (costs) credits | | $ | (3) | | $ | 1 | | $ | (2) | Net gains (losses) arising during the period | | | (56) | | | 10 | | | (45) | Curtailments and settlements | | | 10 | | | (2) | | | 8 | Amortization of prior service (credits) costs | | | 1 | | | — | | | 1 | Amortization of net (gains) losses | | | 5 | | | (2) | | | 3 | Total retirement-related benefit plans | | $ | (42) | | $ | 7 | | $ | (36) | Other comprehensive income (loss) | | $ | (88) | | $ | 6 | | $ | (82) |
The following table presents the components of accumulated other comprehensive income (loss), net of taxes: | | | | | | | | | | | | | | | Net Unrealized | | Foreign Currency | | Net Change in | | Accumulated Other | | | Gains (Losses) | | Translation | | Retirement-Related | | Comprehensive | (Dollars in millions) | | on Cash Flow Hedges | | Adjustments* | | Benefit Plans | | Income (Loss) | March 31, 2023 | | $ | — | | $ | (921) | | $ | (142) | | $ | (1,062) | Other comprehensive income (loss) | | | — | | | (47) | | | (36) | | | (82) | March 31, 2024 | | $ | — | | $ | (967) | | $ | (178) | | $ | (1,145) | Other comprehensive income (loss) | | | — | | | (48) | | | 32 | | | (16) | March 31, 2025 | | $ | 1 | | $ | (1,016) | | $ | (145) | | $ | (1,160) | Other comprehensive income (loss) | | | (7) | | | 55 | | | 38 | | | 86 | March 31, 2026 | | $ | (6) | | $ | (961) | | $ | (108) | | $ | (1,074) |
* | Foreign currency translation adjustments are presented gross except for any associated hedges, which are presented net of tax. |
Share Repurchase Program In November 2024, the Company’s Board of Directors authorized a share repurchase program of up to $300 million of the Company’s common stock, and in November 2025, the Company announced that the Board of Directors authorized an additional $400 million of repurchase capacity under this program (the “Share Repurchase Program”). Under the Share Repurchase Program, the Company may repurchase shares of its common stock from time to time in open market transactions and may also repurchase shares in accelerated share buyback programs, tender offers, privately negotiated transactions or by other means. Repurchases may also be made under a Rule 10b5-1 trading plan. The timing and amount of repurchase transactions will be determined by the Company’s management based on its evaluation of market conditions, share price, legal requirements and other factors. The program does not have a set expiration date and may be suspended, modified or discontinued at any time without prior notice. During the years ended March 31, 2026 and March 31, 2025, the Company repurchased 11.6 million and 2.6 million shares of its common stock, respectively, at an aggregate cost of $304 million and $94 million under the Share Repurchase Program, respectively. As of March 31, 2026, approximately $302 million of capacity remained available under the Share Repurchase Program.
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