v3.26.1
FAIR VALUE MEASUREMENTS
12 Months Ended
Dec. 31, 2025
North America 401(k) Savings Plan  
FAIR VALUE MEASUREMENTS  
FAIR VALUE MEASUREMENTS

5.          FAIR VALUE MEASUREMENTS

Under U.S. GAAP, fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A fair value hierarchy has been established under U.S. GAAP that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements).

The three levels of the fair value hierarchy are as follows:

Level 1

Observable inputs based on unadjusted quoted prices for identical assets or liabilities in active markets that the Plan has the ability to access.

Level 2

Inputs for assets or liabilities, other than quoted prices included in Level 1, which are either directly or indirectly observable as of the measurement date. Inputs include quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in inactive markets; and inputs derived principally from or corroborated by observable market data by correlation or other means.

Level 3

Unobservable inputs where there is little or no market activity for the assets or liabilities. These inputs reflect Plan management’s assumptions of the data market participants would use in pricing an asset or liability, based on the best information available in the circumstances.

Following is a description of the valuation methodologies used for Plan assets measured at fair value at December 31, 2025 and 2024.

Fresenius Medical Care AG ADRs - The Plan’s investment in American Depositary Receipts (ADRs) representing shares of Fresenius Medical Care AG (the parent company of the Plan sponsor), which trade on the New York Stock Exchange, is valued at the ADR’s closing price on the last business day of the Plan year.

Mutual Funds - Shares of mutual funds are valued at quoted market prices, which represent the net asset value (NAV) of the shares held by the Plan at year end.

Self-Directed Brokerage Accounts - Included in the self-directed brokerage accounts account are primarily common stocks, mutual funds, and corporate bonds. Common stocks are valued at end of year using quoted prices on the market on which the individual securities are traded. Certain corporate bonds are valued at the closing price on the market on which the bonds are traded. Corporate bonds traded in the over-the-counter market are valued at the average of the last reported bid and asked prices.

Interest-bearing Cash – This investment is valued at historical cost, which approximates fair value.

The methods described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, although the Plan believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.

5.          FAIR VALUE MEASUREMENTS (continued)

The following tables set forth by level, within the fair value hierarchy, the Plan’s investments at fair value as of December 31, 2025 and 2024:

December 31, 2025

  ​ ​ ​

Level 1

  ​ ​ ​

Level 2

  ​ ​ ​

Level 3

  ​ ​ ​

Total

Mutual Funds

$

305,689,698

$

-

$

-

$

305,689,698

Fresenius Medical Care AG Shares

 

14,236,904

 

-

 

-

 

14,236,904

Self-Directed Brokerage Accounts (a)

 

107,058,423

 

763,788

 

-

 

107,822,211

Interest-Bearing Cash

 

17,906,546

 

-

 

-

 

17,906,546

Total Investments at Fair Value

$

444,891,571

$

763,788

$

-

 

445,655,359

Total Investments at Net Asset Value*

 

3,193,820,709

Total Investments

$

3,639,476,068

  ​ ​ ​

December 31, 2024

  ​ ​ ​

Level 1

  ​ ​ ​

Level 2

  ​ ​ ​

Level 3

  ​ ​ ​

Total

Mutual Fund

$

30,397,222

$

-

$

-

$

30,397,222

Fresenius Medical Care AG Shares

 

15,861,109

 

-

 

-

 

15,861,109

Self-Directed Brokerage Accounts (a)

 

77,290,279

 

1,132,428

 

-

 

78,422,707

Interest-Bearing Cash

 

17,201,163

 

-

 

-

 

17,201,163

Total Investments at Fair Value

$

140,749,773

$

1,132,428

$

-

 

141,882,201

Total Investments at Net Asset Value*

 

3,034,545,303

Total Investments

$

3,176,427,504

* In accordance with subtopic 820-10, certain investments that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been categorized in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the statements of net assets available for benefits.

(a) - Investments in brokerage accounts of Plan participants choosing the “Self-Directed Brokerage Accounts” investment option. Such investments consist of a variety of classes of common stocks, mutual funds, corporate bonds and other investments as directed by Plan participants.

For the year ended December 31, 2025, there were no transfers among Levels 1, 2 or 3.

5.          FAIR VALUE MEASUREMENTS (continued)

The following table for December 31, 2025 and 2024 sets forth a summary of the Plan’s investments reported at NAV. There were no unfunded commitments related to these investments.

Other

Redemption

Fair Value

Fair Value

Redemption

Redemption

Notice

Investments

December 31, 2025*

December 31, 2024*

Frequency

Restrictions

Period

BlackRock Equity Index Fund

  ​ ​ ​

$

1,767,860,942

  ​ ​ ​

$

1,550,604,658

  ​ ​ ​

Daily

  ​ ​ ​

None

  ​ ​ ​

None

BlackRock Russell 2000 Index Fund

 

27,260,948

 

290,846,641

 

Daily

 

None

 

None

BlackRock Mid Capitalization Equity Index Fund

 

252,055,360

 

344,787,918

 

Daily

 

None

 

None

BlackRock U.S. Debt Index Fund

 

242,596,704

 

253,874,802

 

Daily

 

None

 

None

BlackRock MSCI ACWI EX U.S. Index Fund

 

492,346,514

 

441,356,082

 

Daily

 

None

 

None

BlackRock U.S. Treasury Inflation Protection Securities Fund

 

18,355,108

 

30,746,298

 

Daily

 

None

 

None

BlackRock Emerging Markets Index Non-Lendable Fund

 

-

 

122,328,904

 

Daily

 

None

 

None

T. Rowe Price International Discovery Administrative

94,738,348

-

Daily

None

None

Columbia Dividend Income Institutional

119,055,694

-

Daily

None

None

Schroder International Alpha Fund

67,582,951

-

Daily

None

None

Cohen & Steers U.S. Realty Fund Class A

514,697

-

Daily

None

None

Pioneer Bond Fund

56,789,004

-

Daily

None

None

GQG Partners Emerging Markets Equity CIT Fund

54,664,439

-

Daily

None

None

$

3,193,820,709

$

3,034,545,303

 

  ​

 

  ​

 

  ​

* The fair value of the investments has been estimated using the net asset value of the investment as a practical expedient.