There have been no material changes during the 36 weeks ended September 5, 2026 with respect to our risk management policies or strategies and valuation techniques used in measuring the fair value of the financial assets or liabilities disclosed in Note 9 to our consolidated financial statements in our 2025 Form 10-K.

Occasionally, we are exposed to fluctuation in market prices of certain of our equity investments. Subsequent to September 5, 2026, we manage this risk through the use of derivative or non-derivative instruments, including forward contracts. Derivative positions are marked to market each period with the resulting gains and losses offset by price changes in the underlying hedged investments. Cash flows associated with the settlement of these instruments are classified within investing activities.

Certain of our agreements with our counterparties require us to post full collateral on derivative instruments in a net liability position if our credit rating is at A2 (Moody’s Investors Service, Inc.) or A (S&P Global Ratings) and we have been placed on credit watch for possible downgrade or if our credit rating falls below either of these levels. The fair value of all derivative instruments with credit-risk-related contingent features that were in a net liability position as of September 5, 2026 was $156 million. We have posted no collateral under these contracts and no credit-risk-related contingent features were triggered as of September 5, 2026.

(b)During the 36 weeks ended September 5, 2026, we designated $4.5 billion of existing euro denominated debt and $2.9 billion of euro denominated debt issued in February 2026 as net investment hedges to partially offset the effects of foreign currency on our investments in certain of our foreign operations. During the 12 and 36 weeks ended September 5, 2026, we designated $580 million of foreign exchange contracts maturing in October 2026 as net investment hedges to partially offset the effects of foreign currency on our investments in certain of our foreign operations.

(c)During the 36 weeks ended September 5, 2026, U.S. dollar for euro cross-currency interest rate swaps with a total notional amount of $0.7 billion matured. During the 12 and 36 weeks ended September 5, 2026, we entered into Thai baht for U.S. dollar cross-currency interest rate swaps with a total notional amount of $0.3 billion and maturity dates ranging from May 2027 to May 2031. The cross-currency interest rate swaps are designated as net investment hedges to hedge the net assets of certain foreign operations with Thai baht functional currency.

Investments in debt securities that we have the positive intent and ability to hold until maturity are classified as held-to-maturity. As of September 5, 2026, we had $70 million of investments in U.S. municipal bonds held-to-maturity debt securities with $25 million recorded in short-term investments and $45 million recorded in other assets. As of December 27, 2025, our held-to-maturity debt securities were not material. Held-to-maturity debt securities are recorded at amortized cost, which approximates fair value, and realized gains or losses are reported in earnings. As of September 5, 2026 and December 27, 2025, gross unrecognized gains and losses and the allowance for expected credit losses were not material.

On August 28, 2025, as part of the Celsius Transaction described in Note 4, we acquired Series B convertible preferred shares, issued by Celsius, valued at $585 million upon acquisition, excluding acquisition-related charges. These Series B convertible preferred shares include certain conversion and redemption features and convert into Celsius common shares after six years from issuance if certain market-based conditions are met, or can be redeemed for cash after seven years from issuance. Shares underlying the transaction were priced at $51.75 per share, and the preferred shares are entitled to a 5% annual dividend, payable either in cash or in-kind. Given our redemption right, we classified our investment in the convertible preferred stock as a Level 3 investment in available-for-sale debt securities, consistent with the Series A convertible preferred shares issued by Celsius that we also hold. In addition, as part of this transaction, the conversion and redemption periods of the Series A convertible preferred



	12 Weeks Ended				36 Weeks Ended

	9/5/2026		9/6/2025		9/5/2026		9/6/2025
Celsius:
Balance, beginning of period	$	1,453	$	958	$	1,852	$	785
Acquired	—		590		—		590
Net unrealized gain/(loss)	43		535		(328)		722
Cash dividends received	(14)		(6)		(42)		(20)
Balance, end of period	1,482		2,077		1,482		2,077
Other:
Balance, beginning of period	259		261		275		256
Net unrealized gain	41		6		25		11
Balance, end of period (a)	300		267		300		267
Total Level 3 available-for-sale balance, end of period	$	1,782	$	2,344	$	1,782	$	2,344

(a)Subsequent to September 5, 2026, we converted this available-for-sale debt security into common shares of the issuer pursuant to the terms of the investment agreement. Additionally, we executed a forward sale contract to hedge the exposure to changes in market price of this investment, resulting in an expected pre-tax income of $50 million to be recognized in corporate unallocated expenses in the fourth quarter of 2026.

There were no impairment charges related to our investments in available-for-sale debt securities in both the 36 weeks ended September 5, 2026 and September 6, 2025. There were net unrealized gains of $557 million and $1,067 million as of September 5, 2026 and September 6, 2025, respectively, associated with our available-for-sale debt securities.


	Fair Value Hierarchy Levels(a)	9/5/2026				12/27/2025
		Assets(a)		Liabilities(a)		Assets(a)		Liabilities(a)

Available-for-sale debt securities (b)	3	$	1,782	$	—	$	2,127	$	—
Index funds (c)	1	382		—		341		—

Deferred compensation (d)	2	—		506		—		495
Contingent consideration (e)	3	—		12		—		278
Derivatives designated as fair value hedging instruments:
Interest rate swap contracts (f)	2	—		38		19		3

Derivatives designated as cash flow hedging instruments:
Foreign exchange contracts (g)	2	8		20		6		28
Cross-currency contracts (g)	2	—		—		—		102
Commodity contracts (h)	2	60		15		116		5
		68		35		122		135
Derivatives designated as net investment hedging instruments:
Foreign exchange contracts (g)	2	1		3		—		1
Cross-currency contracts (g)	2	1		132		—		34
		2		135		—		35
Derivatives not designated as hedging instruments:
Foreign exchange contracts (g)	2	1		23		6		32
Commodity contracts (h)	2	33		7		4		9
		34		30		10		41
Total derivatives at fair value (i)		104		238		151		214
Total		$	2,268	$	756	$	2,619	$	987

(a)Fair value hierarchy levels are categorized consistently by Level 1 (quoted prices in active markets for identical assets), Level 2 (significant other observable inputs) and Level 3 in both years. Unless otherwise noted, financial assets are classified on our balance sheet within prepaid expenses and other current assets and other assets. Financial liabilities are classified on our balance sheet within accounts payable and other current liabilities and other liabilities.

(b)Classified as other assets. The fair value of our investment in Celsius is estimated using probability-weighted discounted future cash flows based on a Monte Carlo simulation using significant unobservable inputs, such as an 80% probability that a certain market-based condition will be met and an average estimated discount rate of 8.9% and 8.5% as of September 5, 2026 and December 27, 2025, respectively. The fair value of the other investment is estimated using a lattice model primarily based on the underlying stock price, volatility and certain significant unobservable inputs, such as a discount rate of 8.3% based on an estimated synthetic credit rating. An increase in the probability that certain market-based conditions will be met or a decrease in the discount rate would result in a higher fair value measurement, while a decrease in the probability that certain market-based conditions will be met or an increase in the discount rate would result in a lower fair value measurement. Subsequent to September 5, 2026, we converted the other available-for-sale debt security into common shares of the issuer pursuant to the terms of the investment agreement. Additionally, we executed a forward sale contract to hedge the exposure to changes in market price of this investment, resulting in an expected pre-tax income of $50 million to be recognized in corporate unallocated expenses in the fourth quarter of 2026.

(e)In connection with our acquisition of VNGR Beverage, LLC (poppi), we recorded a contingent consideration liability measured at fair value. Under the terms of the arrangement, we will be required to make a payment of $300 million if certain performance milestones are achieved by the third quarter of 2027; otherwise, no payment will be made. The fair value of the liability is estimated using discounted future cash flows based on a Monte Carlo simulation using significant unobservable inputs such as forecasts of net revenue and margin. An increase in the net revenue and margin forecasts would result in a higher fair value measurement, while a decrease in the net revenue and margin forecasts would result in a lower fair value measurement. As of September 5, 2026, the fair value of the contingent consideration was $12 million, reflecting a fair value decrease of $105 million and $266 million in the 12 and 36 weeks ended September 5, 2026, respectively, recorded in selling, general and administrative expenses.

(i)Derivative assets and liabilities are presented on a gross basis on our balance sheet. Amounts subject to enforceable master netting arrangements or similar agreements which are not offset on our balance sheet as of September 5, 2026 and December 27, 2025 were not material. Collateral received or posted against our asset or liability positions was not material. Exchange-traded commodity futures are cash-settled on a daily basis and, therefore, not included in the table.

The carrying amounts of our cash and cash equivalents and short-term investments recorded at amortized cost approximate fair value (classified as Level 2 in the fair value hierarchy) due to their short-term maturity. The fair value of our debt obligations as of September 5, 2026 and December 27, 2025 was $47 billion and $46 billion, respectively, based upon prices of identical or similar instruments in the marketplace, which are considered Level 2 inputs.


	12 Weeks Ended
	Recognized in Accumulated Other Comprehensive Loss				Reclassified from Accumulated Other Comprehensive Loss into Income Statement(a)
	9/5/2026		9/6/2025		9/5/2026		9/6/2025
Foreign exchange contracts	$	16	$	8	$	7	$	13
Cross-currency contracts	—		(5)		—		(8)
Commodity contracts	1		(38)		(44)		(10)
Total	$	17	$	(35)	$	(37)	$	(5)


		36 Weeks Ended
	Recognized in Accumulated Other Comprehensive Loss			Reclassified from Accumulated Other Comprehensive Loss into Income Statement(a)
		9/5/2026		9/6/2025		9/5/2026		9/6/2025
Foreign exchange contracts		$	22	$	78	$	37	$	(11)
Cross-currency contracts		5		(60)		5		(63)
Commodity contracts		(211)		(138)		(168)		(15)
Total		$	(184)	$	(120)	$	(126)	$	(89)

(a)Foreign exchange derivative losses/(gains) are included in net revenue and cost of sales. Cross-currency interest rate swap derivative losses/(gains) are included in selling, general and administrative expenses. Commodity derivative losses/(gains) are included in either cost of sales or selling, general and administrative expenses, depending on the underlying commodity. See Note 10 for further information.


		12 Weeks Ended
	Recognized in Accumulated Other Comprehensive Loss			Recognized in Income Statement(a)
		9/5/2026		9/6/2025		9/5/2026		9/6/2025
Non-derivative debt instruments		$	39	$	27	$	—	$	—
Cross-currency contracts		27		4		(5)		(3)
Foreign exchange contracts		3		(13)		(1)		—
Total		$	69	$	18	$	(6)	$	(3)


		36 Weeks Ended
	Recognized in Accumulated Other Comprehensive Loss			Recognized in Income Statement(a)
		9/5/2026		9/6/2025		9/5/2026		9/6/2025
Non-derivative debt instruments		$	(120)	$	311	$	—	$	—
Cross-currency contracts		97		13		(13)		(7)
Foreign exchange contracts		(8)		(13)		(3)		—
Total		$	(31)	$	311	$	(16)	$	(7)


	12 Weeks Ended
	9/5/2026						9/6/2025
	Cost of sales		Selling, general and administrative expenses		Total		Cost of sales		Selling, general and administrative expenses		Total
Foreign exchange contracts	$	—	$	32	$	32	$	—	$	(3)	$	(3)
Commodity contracts	(20)		(102)		(122)		16		4		20
Total	$	(20)	$	(70)	$	(90)	$	16	$	1	$	17


	36 Weeks Ended
	9/5/2026						9/6/2025
	Cost of sales		Selling, general and administrative expenses		Total		Cost of sales		Selling, general and administrative expenses		Total
Foreign exchange contracts	$	—	$	19	$	19	$	1	$	51	$	52
Commodity contracts	(48)		(277)		(325)		12		(6)		6
Total	$	(48)	$	(258)	$	(306)	$	13	$	45	$	58