Crown Cork & Seal Company, Inc. (Issuer), a 100% owned subsidiary of the Company, has $350 principal amount of 7.375% senior notes due 2026 and $45 principal amount of 7.5% senior notes due 2096 outstanding that are fully and unconditionally guaranteed by Crown Holdings, Inc. (Parent). No other subsidiary guarantees the debt.

The following condensed combining financial statements:

•statements of comprehensive income for the three and six months ended June 30, 2016 and 2015,

•balance sheets as of June 30, 2016 and December 31, 2015, and

•statements of cash flows for the six months ended June 30, 2016 and 2015

are presented on the following pages to comply with the Company’s requirements under Rule 3-10 of Regulation S-X.

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the three months ended June 30, 2016

(in millions)



	Parent		Issuer			Non- Guarantors			Eliminations			Total Company
Net sales						$	2,142					$	2,142
Cost of products sold, excluding depreciation and amortization						1,691						1,691
Depreciation and amortization						65						65
Selling and administrative expense			$	3		91						94
Restructuring and other						(3		)				(3		)
Income from operations			(3		)	298						295
Net interest expense			25			31						56
Foreign exchange						(11		)				(11		)
Income/(loss) before income taxes			(28		)	278						250
Provision for / (benefit from) income taxes			(14		)	79						65
Equity earnings / (loss) in affiliates	$	169	145						$	(314	)	—
Net income	169		131			199			(314		)	185
Net income attributable to noncontrolling interests						(16		)				(16		)
Net income attributable to Crown Holdings	$	169	$	131		$	183		$	(314	)	$	169

Comprehensive income	$	65	$	41		$	118		$	(141	)	$	83
Comprehensive income attributable to noncontrolling interests						(18		)				(18		)
Comprehensive income attributable to Crown Holdings	$	65	$	41		$	100		$	(141	)	$	65

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the three months ended June 30, 2015

(in millions)



	Parent		Issuer			Non- Guarantors			Eliminations			Total Company
Net sales						$	2,278					$	2,278
Cost of products sold, excluding depreciation and amortization						1,843						1,843
Depreciation and amortization						62						62
Selling and administrative expense			$	3		96						99
Restructuring and other						(3		)				(3		)
Income from operations			(3		)	280						277
Loss from early extinguishment of debt						9						9
Net interest expense			25			42						67
Foreign exchange						(1		)				(1		)
Income/(loss) before income taxes			(28		)	230						202
Provision for / (benefit from) income taxes			(8		)	57						49
Equity earnings / (loss) in affiliates	$	142	131						$	(273	)	—
Net income	142		111			173			(273		)	153
Net income attributable to noncontrolling interests						(11		)				(11		)
Net income attributable to Crown Holdings	$	142	$	111		$	162		$	(273	)	$	142

Comprehensive income	$	150	$	116		$	181		$	(286	)	$	161
Comprehensive income attributable to noncontrolling interests						(11		)				(11		)
Comprehensive income attributable to Crown Holdings	$	150	$	116		$	170		$	(286	)	$	150

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the six months ended June 30, 2016

(in millions)



	Parent		Issuer			Non- Guarantors			Eliminations			Total Company
Net sales						$	4,035					$	4,035
Cost of products sold, excluding depreciation and amortization						3,212						3,212
Depreciation and amortization						125						125
Selling and administrative expense			$	5		180						185
Restructuring and other						(1		)				(1		)
Income from operations			(5		)	519						514
Loss from early extinguishment of debt						27						27
Net interest expense			52			65						117
Foreign exchange						(17		)				(17		)
Income/(loss) before income taxes			(57		)	444						387
Provision for / (benefit from) income taxes			(21		)	124						103
Equity earnings / (loss) in affiliates	$	248	222						$	(470	)	—
Net income	248		186			320			(470		)	284
Net income attributable to noncontrolling interests						(36		)				(36		)
Net income attributable to Crown Holdings	$	248	$	186		$	284		$	(470	)	$	248

Comprehensive income	$	167	$	186		$	263		$	(410	)	$	206
Comprehensive income attributable to noncontrolling interests						(39		)				(39		)
Comprehensive income attributable to Crown Holdings	$	167	$	186		$	224		$	(410	)	$	167

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the six months ended June 30, 2015

(in millions)



	Parent			Issuer			Non- Guarantors			Eliminations			Total Company
Net sales							$	4,275					$	4,275
Cost of products sold, excluding depreciation and amortization							3,503						3,503
Depreciation and amortization							113						113
Selling and administrative expense				$	5		192						197
Restructuring and other							17						17
Income from operations				(5		)	450						445
Loss from early extinguishment of debt							9						9
Net interest expense				51			79						130
Foreign exchange							5						5
Income/(loss) before income taxes				(56		)	357						301
Provision for / (benefit from) income taxes				(9		)	95						86
Equity earnings / (loss) in affiliates	$	186		188						$	(374	)	—
Net income	186			141			262			(374		)	215
Net income attributable to noncontrolling interests							(29		)				(29		)
Net income attributable to Crown Holdings	$	186		$	141		$	233		$	(374	)	$	186

Comprehensive Income	$	(6	)	$	38		$	68		$	(79	)	$	21
Comprehensive income attributable to noncontrolling interests							(27		)				(27		)
Comprehensive income attributable to Crown Holdings	$	(6	)	$	38		$	41		$	(79	)	$	(6	)

CONDENSED COMBINING BALANCE SHEET

As of June 30, 2016

(in millions)



	Parent		Issuer		Non- Guarantors		Eliminations			Total Company
Assets
Current assets
Cash and cash equivalents					$	370				$	370
Receivables, net					929					929
Inventories					1,419					1,419
Prepaid expenses and other current assets	$	1			239					240
Total current assets	1		—		2,957					2,958

Intercompany debt receivables					3,563		$	(3,563	)	—
Investments	2,955		$	2,708			(5,663		)	—
Goodwill and intangible assets					3,472					3,472
Property, plant and equipment, net					2,700					2,700
Other non-current assets			430		216					646
Total	$	2,956	$	3,138	$	12,908	$	(9,226	)	$	9,776

Liabilities and equity
Current liabilities
Short-term debt					$	37				$	37
Current maturities of long-term debt					236					236
Accounts payable and accrued liabilities	$	12	$	35	2,507					2,554
Total current liabilities	12		35		2,780					2,827

Long-term debt, excluding current maturities			391		4,620					5,011
Long-term intercompany debt	2,626		937				$	(3,563	)	—
Postretirement and pension liabilities					672					672
Other non-current liabilities			292		351					643
Commitments and contingent liabilities
Noncontrolling interests					305					305
Crown Holdings shareholders’ equity/(deficit)	318		1,483		4,180		(5,663		)	318
Total equity/(deficit)	318		1,483		4,485		(5,663		)	623
Total	$	2,956	$	3,138	$	12,908	$	(9,226	)	$	9,776

CONDENSED COMBINING BALANCE SHEET

As of December 31, 2015

(in millions)



	Parent		Issuer		Non- Guarantors		Eliminations			Total Company
Assets
Current assets
Cash and cash equivalents					$	717				$	717
Receivables, net					912					912
Inventories					1,213					1,213
Prepaid expenses and other current assets			$	2	205					207
Total current assets	—		2		3,047					3,049

Intercompany debt receivables					3,654		$	(3,654	)	—
Investments	$	2,937	2,490				(5,427		)	—
Goodwill and intangible assets					3,580					3,580
Property, plant and equipment, net					2,699					2,699
Other non-current assets			430		262					692
Total	$	2,937	$	2,922	$	13,242	$	(9,081	)	$	10,020

Liabilities and equity
Current liabilities
Short-term debt					$	54				$	54
Current maturities of long-term debt					209					209
Accounts payable and accrued liabilities	$	24	$	41	2,580					2,645
Total current liabilities	24		41		2,843					2,908

Long-term debt, excluding current maturities			391		4,864					5,255
Long-term intercompany debt	2,769		885				$	(3,654	)	—
Postretirement and pension liabilities					767					767
Other non-current liabilities			309		346					655
Commitments and contingent liabilities
Noncontrolling interests					291					291
Crown Holdings shareholders’ equity/(deficit)	144		1,296		4,131		(5,427		)	144
Total equity/(deficit)	144		1,296		4,422		(5,427		)	435
Total	$	2,937	$	2,922	$	13,242	$	(9,081	)	$	10,020

CONDENSED COMBINING STATEMENT OF CASH FLOWS

For the six months ended June 30, 2016

(in millions)



	Parent			Issuer			Non- Guarantors			Eliminations			Total Company
Net cash provided by/(used for) operating activities	$	(4	)	$	(52	)	$	124		(5		)	$	63
Cash flows from investing activities
Capital expenditures							(143		)				(143		)
Intercompany investing activities	150									$	(150	)	—
Other							18						18
Net cash provided by/(used for) investing activities	150			—			(125		)	(150		)	(125		)
Cash flows from financing activities
Proceeds from long-term debt							304						304
Payments of long-term debt							(725		)				(725		)
Net change in revolving credit facility and short-term debt							138						138
Net change in long-term intercompany balances	(143		)	52			91						—
Debt issue costs							(2		)				(2		)
Common stock issued	5												5
Common stock repurchased	(8		)										(8		)
Dividends paid							(155		)	155			—
Contributions from noncontrolling interests							1						1
Dividend paid to noncontrolling interests							(26		)				(26		)
Foreign exchange derivatives related to debt							32						32
Net cash provided by/(used for) financing activities	(146		)	52			(342		)	155			(281		)
Effect of exchange rate changes on cash and cash equivalents							(4		)				(4		)
Net change in cash and cash equivalents	—			—			(347		)	—			(347		)
Cash and cash equivalents at January 1							717						717
Cash and cash equivalents at June 30	$	—		$	—		$	370		$	—		$	370

CONDENSED COMBINING STATEMENT OF CASH FLOWS

For the six months ended June 30, 2015

(in millions)



	Parent			Issuer			Non- Guarantors			Eliminations			Total Company
Net cash provided by/(used for) operating activities	$	10		$	(56	)	$	31					$	(15	)
Cash flows from investing activities
Capital expenditures							(111		)				(111		)
Purchase of business							(1,207		)				(1,207		)
Proceeds from sale of business							30						30
Intercompany investing activities	(862		)	5			862			$	(5	)	—
Other							(14		)				(14		)
Net cash provided by/(used for) investing activities	(862		)	5			(440		)	(5		)	(1,302		)
Cash flows from financing activities
Proceeds from long-term debt							1,421						1,421
Payments of long-term debt							(752		)				(752		)
Net change in revolving credit facility and short-term debt							96						96
Net change in long-term intercompany balances	856			51			(907		)				—
Debt issue costs							(17		)				(17		)
Common stock issued	5												5
Common stock repurchased	(9		)										(9		)
Dividends paid							(5		)	5			—
Dividend paid to noncontrolling interests							(17		)				(17		)
Foreign exchange derivatives related to debt							(48		)				(48		)
Net cash provided by/(used for) financing activities	852			51			(229		)	5			679
Effect of exchange rate changes on cash and cash equivalents							(39		)				(39		)
Net change in cash and cash equivalents	—			—			(677		)	—			(677		)
Cash and cash equivalents at January 1							965						965
Cash and cash equivalents at June 30	$	—		$	—		$	288		$	—		$	288

Crown Americas, LLC, Crown Americas Capital Corp. II and Crown Americas Capital Corp. III (collectively, the Issuer), 100% owned subsidiaries of the Company, have outstanding $1,000 principal amount of 4.5% senior notes due 2023, which are fully and unconditionally guaranteed by Crown Holdings, Inc. (Parent) and substantially all subsidiaries in the United States. The guarantors are 100% owned by the Company and the guarantees are made on a joint and several basis.

The following condensed combining financial statements:


•	statements of comprehensive income for the three and six months ended June 30, 2016 and 2015,


•	balance sheets as of June 30, 2016 and December 31, 2015, and


•	statements of cash flows for the six months ended June 30, 2016 and 2015

are presented on the following pages to comply with the Company’s requirements under Rule 3-10 of Regulation S-X.

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the three months ended June 30, 2016

(in millions)



	Parent		Issuer			Guarantors			Non- Guarantors			Eliminations			Total Company
Net sales						$	508		$	1,634					$	2,142
Cost of products sold, excluding depreciation and amortization						407			1,284						1,691
Depreciation and amortization						8			57						65
Selling and administrative expense			$	2		33			59						94
Restructuring and other			(5		)				2						(3		)
Income from operations			3			60			232						295
Net interest expense			15			21			20						56
Technology royalty						(10		)	10						—
Foreign exchange			(17		)				(11		)	$	17		(11		)
Income/(loss) before income taxes			5			49			213			(17		)	250
Provision for / (benefit from) income taxes			2			15			54			(6		)	65
Equity earnings / (loss) in affiliates	$	169	33			97						(299		)	—
Net income	169		36			131			159			(310		)	185
Net income attributable to noncontrolling interests									(16		)				(16		)
Net income attributable to Crown Holdings	$	169	$	36		$	131		$	143		$	(310	)	$	169

Comprehensive income	$	65	$	39		$	41		$	37		$	(99	)	$	83
Comprehensive income attributable to noncontrolling interests									(18		)				(18		)
Comprehensive income attributable to Crown Holdings	$	65	$	39		$	41		$	19		$	(99	)	$	65

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the three months ended June 30, 2015

(in millions)



	Parent		Issuer			Guarantors			Non- Guarantors			Eliminations			Total Company
Net sales						$	542		$	1,736					$	2,278
Cost of products sold, excluding depreciation and amortization						433			1,410						1,843
Depreciation and amortization						8			54						62
Selling and administrative expense			$	3		36			60						99
Restructuring and other						2			(5		)				(3		)
Income from operations			(3		)	63			217						277
Loss from early extinguishment of debt			9												9
Net interest expense			24			23			20						67
Technology royalty						(10		)	10						—
Foreign exchange			8						(1		)	(8		)	(1		)
Income/(loss) before income taxes			(44		)	50			188			8			202
Provision for / (benefit from) income taxes			(17		)	23			40			3			49
Equity earnings / (loss) in affiliates	$	142	38			84						$	(264	)	—
Net income	142		11			111			148			(259		)	153
Net income attributable to noncontrolling interests									(11		)				(11		)
Net income attributable to Crown Holdings	$	142	$	11		$	111		$	137		$	(259	)	$	142

Comprehensive income	$	150	$	13		$	116		$	162		$	(280	)	$	161
Comprehensive income attributable to noncontrolling interests									(11		)				(11		)
Comprehensive income attributable to Crown Holdings	$	150	$	13		$	116		$	151		$	(280	)	$	150

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the six months ended June 30, 2016

(in millions)



	Parent		Issuer			Guarantors			Non- Guarantors			Eliminations			Total Company
Net sales						$	955		$	3,080					$	4,035
Cost of products sold, excluding depreciation and amortization						770			2,442						3,212
Depreciation and amortization						16			109						125
Selling and administrative expense			$	5		68			112						185
Restructuring and other			(5		)	4									(1		)
Income from operations			—			97			417						514
Loss from early extinguishment of debt			27												27
Net interest expense			35			43			39						117
Technology royalty						(19		)	19						—
Foreign exchange			15						(17		)	$	(15	)	(17		)
Income/(loss) before income taxes			(77		)	73			376			15			387
Provision for / (benefit from) income taxes			(29		)	29			98			5			103
Equity earnings / (loss) in affiliates	$	248	97			142						(487		)	—
Net income	248		49			186			278			(477		)	284
Net income attributable to noncontrolling interests									(36		)				(36		)
Net income attributable to Crown Holdings	$	248	$	49		$	186		$	242		$	(477	)	$	248

Comprehensive Income	$	167	$	55		$	186		$	209		$	(411	)	$	206
Comprehensive income attributable to noncontrolling interests									(39		)				(39		)
Comprehensive income attributable to Crown Holdings	$	167	$	55		$	186		$	170		$	(411	)	$	167

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the six months ended June 30, 2015

(in millions)



	Parent			Issuer			Guarantors			Non- Guarantors			Eliminations			Total Company
Net sales							$	1,028		$	3,247					$	4,275
Cost of products sold, excluding depreciation and amortization							820			2,683						3,503
Depreciation and amortization							16			97						113
Selling and administrative expense				$	5		78			114						197
Restructuring and other							2			15						17
Income from operations				(5		)	112			338						445
Loss from early extinguishment of debt				9												9
Net interest expense				44			46			40						130
Technology royalty							(19		)	19						—
Foreign exchange				8						5			$	(8	)	5
Income/(loss) before income taxes				(66		)	85			274			8			301
Provision for / (benefit from) income taxes				(25		)	46			62			3			86
Equity earnings / (loss) in affiliates	$	186		88			102						(376		)	—
Net income	186			47			141			212			(371		)	215
Net income attributable to noncontrolling interests										(29		)				(29		)
Net income attributable to Crown Holdings	$	186		$	47		$	141		$	183		$	(371	)	$	186

Comprehensive income	$	(6	)	$	53		$	38		$	20		$	(84	)	$	21
Comprehensive income attributable to noncontrolling interests										(27		)				(27		)
Comprehensive income attirbutable to Crown Holdings	$	(6	)	$	53		$	38		$	(7	)	$	(84	)	$	(6	)

CONDENSED COMBINING BALANCE SHEET

As of June 30, 2016

(in millions)



	Parent		Issuer		Guarantors		Non- Guarantors		Eliminations			Total Company
Assets
Current assets
Cash and cash equivalents			$	69			$	301				$	370
Receivables, net			4		$	9	916					929
Intercompany receivables					19		8		$	(27	)	—
Inventories					316		1,103					1,419
Prepaid expenses and other current assets	$	1	1		10		228					240
Total current assets	1		74		354		2,556		(27		)	2,958

Intercompany debt receivables			2,800		3,401		682		(6,883		)	—
Investments	2,955		2,293		787				(6,035		)	—
Goodwill and intangible assets					469		3,003					3,472
Property, plant and equipment, net			1		415		2,284					2,700
Other non-current assets			5		445		196					646
Total	$	2,956	$	5,173	$	5,871	$	8,721	$	(12,945	)	$	9,776

Liabilities and equity
Current liabilities
Short-term debt							$	37				$	37
Current maturities of long-term debt			$	122			114					236
Accounts payable and accrued liabilities	$	12	29		$	578	1,935					2,554
Intercompany payables					8		19		$	(27	)	—
Total current liabilities	12		151		586		2,105		(27		)	2,827

Long-term debt, excluding current maturities			2,410		391		2,210					5,011
Long-term intercompany debt	2,626		1,298		2,769		190		(6,883		)	—
Postretirement and pension liabilities					341		331					672
Other non-current liabilities					301		342					643
Commitments and contingent liabilities
Noncontrolling interests							305					305
Crown Holdings shareholders’ equity/(deficit)	318		1,314		1,483		3,238		(6,035		)	318
Total equity/(deficit)	318		1,314		1,483		3,543		(6,035		)	623
Total	$	2,956	$	5,173	$	5,871	$	8,721	$	(12,945	)	$	9,776

CONDENSED COMBINING BALANCE SHEET

As of December 31, 2015

(in millions)



	Parent		Issuer		Guarantors		Non- Guarantors		Eliminations			Total Company
Assets
Current assets
Cash and cash equivalents			$	104			$	613				$	717
Receivables, net					$	23	889					912
Intercompany receivables					30		2		$	(32	)	—
Inventories					291		922					1,213
Prepaid expenses and other current assets			2		7		198					207
Total current assets			106		351		2,624		(32		)	3,049

Intercompany debt receivables			3,111		3,471		681		(7,263		)	—
Investments	$	2,937	2,199		804				(5,940		)	—
Goodwill and intangible assets					471		3,109					3,580
Property, plant and equipment, net			1		390		2,308					2,699
Other non-current assets			6		457		229					692
Total	$	2,937	$	5,423	$	5,944	$	8,951	$	(13,235	)	$	10,020

Liabilities and equity
Current liabilities
Short-term debt							$	54				$	54
Current maturities of long-term debt			$	90			119					209
Accounts payable and accrued liabilities	$	24	47		$	526	2,048					2,645
Intercompany payables					2		30		$	(32	)	—
Total current liabilities	24		137		528		2,251		(32		)	2,908

Long-term debt, excluding current maturities			2,759		391		2,105					5,255
Long-term intercompany debt	2,769		1,268		3,041		185		(7,263		)	—
Postretirement and pension liabilities					377		390					767
Other non-current liabilities					311		344					655
Commitments and contingent liabilities
Noncontrolling interests							291					291
Crown Holdings shareholders’ equity/(deficit)	144		1,259		1,296		3,385		(5,940		)	144
Total equity/(deficit)	144		1,259		1,296		3,676		(5,940		)	435
Total	$	2,937	$	5,423	$	5,944	$	8,951	$	(13,235	)	$	10,020

CONDENSED COMBINING STATEMENT OF CASH FLOWS

For the six months ended June 30, 2016

(in millions)



	Parent			Issuer			Guarantors			Non- Guarantors			Eliminations			Total Company
Net provided by/(used for) operating activities	$	(4	)	$	(49	)	$	92		$	38		$	(14	)	$	63
Cash flows from investing activities
Capital expenditures							(50		)	(93		)				(143		)
Intercompany investing activities	150						150						(300		)	—
Other							10			8						18
Net cash provided by/(used for) investing activities	150			—			110			(85		)	(300		)	(125		)
Cash flows from financing activities
Proceeds from long-term debt				300						4						304
Payments of long-term debt				(700		)				(25		)				(725		)
Net change in revolving credit facility and short-term debt				75						63						138
Net change in long-term intercompany balances	(143		)	341			(202		)	4						—
Debt issue costs				(2		)										(2		)
Common stock issued	5															5
Common stock repurchased	(8		)													(8		)
Dividends paid										(314		)	314			—
Contributions from noncontrolling interests										1						1
Dividends paid to noncontrolling interests										(26		)				(26		)
Foreign exchange derivatives related to debt										32						32
Net cash provided by/(used for) financing activities	(146		)	14			(202		)	(261		)	314			(281		)
Effect of exchange rate changes on cash and cash equivalents										(4		)				(4		)
Net change in cash and cash equivalents	—			(35		)	—			(312		)	—			(347		)
Cash and cash equivalents at January 1				104						613						717
Cash and cash equivalents at June 30	$	—		$	69		$	—		$	301		$	—		$	370

CONDENSED COMBINING STATEMENT OF CASH FLOWS

For the six months ended June 30, 2015

(in millions)



	Parent			Issuer			Guarantors			Non- Guarantors			Eliminations			Total Company
Net provided by/(used for) operating activities	$	10		$	(29	)	$	64		$	(60	)				$	(15	)
Cash flows from investing activities
Capital expenditures							(21		)	(90		)				(111		)
Purchase of business										(1,207		)				(1,207		)
Proceeds from sale of business										30						30
Intercompany investing activities	(862		)	2			9			862			$	(11	)	—
Other							(10		)	(4		)				(14		)
Net cash provided by/(used for) investing activities	(862		)	2			(22		)	(409		)	(11		)	(1,302		)
Cash flows from financing activities
Proceeds from long-term debt				750						671						1,421
Payments of long-term debt				(675		)				(77		)				(752		)
Net change in revolving credit facility and short-term debt				40						56						96
Net change in long-term intercompany balances	856			(150		)	(42		)	(664		)				—
Debt issue costs				(9		)				(8		)				(17		)
Common stock issued	5															5
Common stock repurchased	(9		)													(9		)
Dividends paid										(11		)	11			—
Dividends paid to noncontrolling interests										(17		)				(17		)
Foreign exchange derivatives related to debt										(48		)				(48		)
Net cash provided by/(used for) financing activities	852			(44		)	(42		)	(98		)	11			679
Effect of exchange rate changes on cash and cash equivalents										(39		)				(39		)
Net change in cash and cash equivalents	—			(71		)	—			(606		)	—			(677		)
Cash and cash equivalents at January 1				128						837						965
Cash and cash equivalents at June 30	$	—		$	57		$	—		$	231		$	—		$	288