INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2025

Income Tax Disclosure [Abstract]

Income (Loss) Before Income Tax Expense (Benefit) by Category

Income (Loss) Before Income Tax Expense (Benefit) by Category

years ended December 31 (in millions)	2025		2024		2023
United States	$	(1,345)	$	(1,499)	$	(1,057)
Foreign	840		1,210		1,299
Income (loss) from continuing operations before income taxes	$	(505)	$	(289)	$	242

Income Tax Expense (Benefit)

Income Tax Expense (Benefit)

years ended December 31 (in millions)	2025		2024		2023
Current
United States
Federal	$	118	$	19	$	1
State and local	29		21		9
Foreign	171		259		307
Current income tax expense (benefit)	318		299		317
Deferred
United States
Federal	(34)		(197)		(123)
State and local	37		(21)		(25)
Foreign	74		(44)		(108)
Deferred income tax expense (benefit)	77		(262)		(256)
Income tax expense (benefit)	$	395	$	37	$	61

Deferred Tax Assets and Liabilities

Deferred Tax Assets and Liabilities

as of December 31 (in millions)	2025		2024
Deferred tax assets
Accrued liabilities and other	$	403	$	310
Pension and other postretirement benefits	124		131
Tax credit and net operating loss carryforwards	433		750
Swiss tax reform net asset basis step-up	103		92
Operating lease liabilities	66		139
Valuation allowances	(543)		(536)
Total deferred tax assets	586		886
Deferred tax liabilities
Unremitted earnings of subsidiaries	33		21
Long-lived assets and other	536		632
Operating lease right-of-use assets	62		132
Total deferred tax liabilities	631		785
Net deferred tax asset (liability)	$	(45)	$	101

Summary of Valuation Allowance

The following table is a summary of changes in our deferred tax valuation allowance for the years ended December 31, 2025, 2024 and 2023.

years ended December 31 (in millions)	2025		2024		2023
Balance at beginning of period	$	536	$	584	$	631
Charged to income tax expense	309		48		87
Deductions	(349)		(73)		(139)
Currency translation adjustments	47		(23)		5
Balance at end of period	$	543	$	536	$	584

Income Tax Expense (Benefit) Reconciliation

Income Tax Expense (Benefit) Reconciliation

As discussed in Note 1, Summary of Significant Accounting Policies, we have elected to prospectively adopt the guidance in ASU 2023-09. The following table is a reconciliation of the income tax expense (benefit) at the U.S. statutory rate to our income tax expense (benefit) for the year ended December 31, 2025.

year ended December 31 (in millions)	2025		%
Income tax expense (benefit) at U.S. statutory rate	$	(106)	21.0	%
State and local income taxes, net of federal (national) income tax effect1	62		(12.3)	%
Foreign tax effects
Costa Rica
Local tax incentive rate	(23)		4.6	%
Other	10		(2.0)	%
Netherlands	26		(5.1)	%
Puerto Rico
Local tax incentive rate	(19)		3.8	%
Other	9		(1.8)	%
Switzerland
Changes in valuation allowances	54		(10.7)	%
Other	(5)		1.0	%
Other jurisdictions	37		(7.3)	%
Effect of cross-border tax laws
Global intangible low taxed income, net of tax credits	18		(3.6)	%
Effect of internal reorganization	(56)		11.1	%
Other	(8)		1.6	%
Tax credits
Foreign tax credits	(24)		4.8	%
Research and development tax credits	(18)		3.6	%
Changes in valuation allowances	88		(17.4)	%
Nontaxable or Non-deductible items
Non-deductible goodwill impairment	90		(17.8)	%
Other, net	15		(3.0)	%
Changes in unrecognized tax benefits	246		(48.7)	%
Other adjustments
Other, net	(1)		0.2	%
Income tax expense (benefit)	$	395	(78.2)	%

1 State taxes in IL, IN, CA, and PA made up the majority (greater than 50 percent) of the tax effect in this category.

The following table is a reconciliation of the income tax expense (benefit) at the U.S. statutory rate to our income tax expense (benefit) for the years ended December 31, 2024 and 2023 in accordance with the guidance prior to the adoption of ASU 2023-09.

years ended December 31 (in millions)	2024		2023
Income tax expense (benefit) at U.S. statutory rate	$	(61)	$	51
Tax incentives	(176)		(200)
State and local taxes, net of federal benefit	(9)		(2)
Impact of foreign taxes	137		190
Non-deductible goodwill impairments	86		—
Notional interest deduction expense (benefit)	(37)		31
Valuation allowances	(25)		(51)
Stock compensation (windfall) shortfall tax expense (benefit)	9		10
Research and development tax credits	(19)		(17)
Uncertain tax positions	9		6
Unutilized foreign tax credits	15		32
Subpart F income	18		26
Foreign tax credits	(5)		(7)
Pillar Two taxes	11		—
Revaluation of Swiss basis step-up deferred tax asset	58		—
Tax law changes on Section 987	17		—
Other, net	9		(8)
Income tax expense (benefit)	$	37	$	61

Reconciliation of Unrecognized Tax Benefits

The following table is a reconciliation of our unrecognized tax benefits for the years ended December 31, 2025, 2024 and 2023. 

as of and for the years ended (in millions)	2025		2024		2023
Balance at beginning of the year	$	96	$	89	$	87
Increase associated with tax positions taken during the current year	5		10		9
Increase (decrease) associated with tax positions taken during a prior year	258		5		3
Settlements	—		(1)		(2)
Decrease associated with lapses in statutes of limitations	(30)		(7)		(8)
Balance at end of the year	$	329	$	96	$	89