Temporary investments with an original maturity of three months or less and money market funds with greater than three month maturities but with the right to redeem without notices are treated as cash equivalents and stated at cost which approximates fair value. Temporary investments totaled $253 million and $477 million at June 30, 2026 and December 31, 2025, respectively.


In millions	June 30, 2026		December 31, 2025
Trade (less allowances of $71 and $70, respectively)	$	3,773	$	3,355
Other	480		436
Total	$	4,253	$	3,791

As a result of the DS Smith acquisition, IP has a trade receivable factoring program that allows the Company to sell trade receivables without recourse.


In millions	June 30, 2026		December 31, 2025
Raw materials	$	407	$	447
Finished packaging products	729		792
Operating supplies	712		691
Other	113		82
Total	$	1,961	$	2,012

Accumulated depreciation was $19.0 billion and $18.4 billion at June 30, 2026 and December 31, 2025, respectively. Depreciation expense was $418 million and $363 million for the three months ended June 30, 2026 and 2025, respectively, and $828 million and $835 million for the six months ended June 30, 2026 and 2025, respectively. Depreciation expense for the six months ended June 30, 2026 and 2025 includes $39 million and $197 million, respectively, of accelerated depreciation related to mill and plant closures.

Non-cash additions to plants, properties and equipment included within accounts payable were $230 million and $240 million at June 30, 2026 and December 31, 2025, respectively.

Under supplier finance programs, International Paper agrees to pay the relevant banks the stated amount of confirmed invoices from its designated suppliers on the original maturity dates of the invoices. International Paper or the relevant banks may terminate the agreement on notice periods from 28 to 90 days. The supplier invoices that have been confirmed as valid under the program require payment in full on the due date with no terms exceeding 180 days. The accounts payable balance included $437 million and $368 million of supplier finance program liabilities as of June 30, 2026 and December 31, 2025, respectively.


	Three Months Ended June 30				Six Months Ended June 30
In millions	2026		2025		2026		2025
Interest expense	$	131	$	143	$	263	$	278
Interest income	44		35		100		86
Capitalized interest costs	10		6		20		11

The Company recorded liabilities in Other Liabilities in the accompanying condensed consolidated balance sheet of $189 million and $193 million related to asset retirement obligations at June 30, 2026 and December 31, 2025, respectively.