Restricted cash primarily relates to escrow cash deposits made in Brazil associated with ongoing litigation. As discussed in Note 21 - Contingencies and Litigation, various litigation matters in Brazil require us to make cash deposits to escrow as a condition of the continuing litigation. Restricted cash amounts are classified in our Condensed Consolidated Balance Sheets based on when the cash will be contractually or judicially released.

Cash, cash equivalents and restricted cash amounts are as follows:


	June 30, 2026		December 31, 2025
Cash and cash equivalents	$	495	$	512
Restricted cash

Litigation deposits in Brazil	23		21

Other restricted cash	34		32
Total Restricted cash	57		53
Cash, cash equivalents and restricted cash	$	552	$	565


Source/(Use)	Location in Statement of Cash Flows	Six Months Ended June 30,
			2026		2025
Provision for receivables	Operating		$	17	$	27
Provision for inventory	Operating		19		21
Depreciation of buildings and equipment	Operating		43		27
Depreciation and obsolescence of equipment on operating leases	Operating		80		59
Amortization of internal use software	Operating		18		11

Amortization of acquired intangible assets	Operating		60		20

Amortization of customer contract costs(1)	Operating		36		33

Cost of additions to land, buildings and equipment	Investing		(26)		(9)
Cost of additions to internal use software	Investing		(21)		(30)
Payments to acquire noncontrolling interests - Xerox Holdings	Investing		(13)		(4)
Common stock dividends - Xerox Holdings	Financing		(9)		(51)
Preferred stock dividends - Xerox Holdings	Financing		(7)		(7)





Commitment fees	Financing		—		(15)

(1)Amortization of customer contract costs is reported in (Increase) decrease in other current and long-term assets in the Condensed Consolidated Statements of Cash Flows. Refer to Note 3 - Revenue - Contract Costs for additional information.

We have a program through a financial institution that enables vendors and suppliers, at their option, to receive early payment for their invoices. All outstanding amounts related to the program are recorded within Accounts payable in our Condensed Consolidated Balance Sheets, and the associated payments are included in operating activities within our Condensed Consolidated Statements of Cash Flows. The program operates in a similar manner to a purchasing card program, however with this program we directly receive invoices associated with those vendors and suppliers participating in the program and confirm and validate those invoices and the amounts due before submitting the invoices to the financial institution for early payment at a discounted amount. The financial institution subsequently invoices us for the stated or full amount of the invoices paid early and we are required to make payment within 45 days of the statement date. The overall impact of the program generally results in paying our supplier and vendor invoices consistent with their original terms. This program is generally available to all non-inventory vendors and suppliers.