10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended May 31, 2024

or

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                      to                     

Commission File Number: 001-08495

CONSTELLATION BRANDS, INC.

(Exact name of registrant as specified in its charter)

Delaware	16-0716709
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

50 East Broad Street, Rochester, New York 14614

(Address of principal executive offices) (Zip code)

(585) 678-7100

(Registrant’s telephone number, including area code)

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class	Trading Symbol(s)	Name of Each Exchange on Which Registered
Class A Common Stock	STZ	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  ☒  Yes    ☐  No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).  ☒  Yes    ☐  No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.   ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes  ☐  No  ☒

There were 182,192,431 shares of Class A Common Stock and 25,541 shares of Class 1 Common Stock outstanding as of June 28, 2024.

TABLE OF CONTENTS

		Page
DEFINED TERMS		i
PART I – FINANCIAL INFORMATION
Item 1. Financial Statements
Consolidated Balance Sheets		1
Consolidated Statements of Comprehensive Income (Loss)		2
Consolidated Statements of Changes in Stockholders’ Equity		3
Consolidated Statements of Cash Flows		4
Notes to Consolidated Financial Statements
	1. Basis of Presentation	6
	2. Inventories	6
	3. Derivative Instruments	6
	4. Fair Value of Financial Instruments	8
	5. Goodwill	10
	6. Intangible Assets	11
	7. Other Assets	11
	8. Borrowings	12
	9. Income Taxes	14
	10. Stockholders' Equity	14
	11. Net Income (Loss) Per Common Share Attributable to CBI	15
	12. Comprehensive Income (Loss) Attributable to CBI	16
	13. Business Segment Information	17
	14. Accounting Guidance Not Yet Adopted	20
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations		21
Item 3. Quantitative and Qualitative Disclosures About Market Risk		38
Item 4. Controls and Procedures		39
PART II – OTHER INFORMATION
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds		40
Item 5. Other Information		40
Item 6. Exhibits		40
SIGNATURES		44

This Form 10-Q contains “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. These forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those set forth in, or implied by, such forward-looking statements. For further information regarding such forward-looking statements, risks, and uncertainties, please see “Information Regarding Forward-Looking Statements” under MD&A.

Defined Terms

Unless the context otherwise requires, the terms “Company,” “CBI,” “we,” “our,” or “us” refer to Constellation Brands, Inc. and its subsidiaries. We use terms in this Form 10-Q and in our Notes that are specific to us or are abbreviations that may not be commonly known or used.

Term	Meaning
$	U.S. dollars
2021 Authorization	authorization to repurchase up to $2.0 billion of our publicly traded common stock, approved by our Board of Directors in January 2021
2022 Credit Agreement	tenth amended and restated credit agreement, dated as of April 14, 2022, that provides for an aggregate revolving credit facility of $2.25 billion, inclusive of October 2022 Credit Agreement Amendment
2023 Authorization	authorization to repurchase up to $2.0 billion of our publicly traded common stock, approved by our Board of Directors in November 2023
2023 Canopy Promissory Note	C$100.0 million principal amount of 4.25% promissory note issued to us by Canopy in April 2023, exchanged, in part, for Exchangeable Shares in April 2024
2024 Annual Report	our Annual Report on Form 10-K for the fiscal year ended February 29, 2024
3.60% May 2022 Senior Notes	$550.0 million principal amount of 3.60% senior notes issued in May 2022, now repaid in full
3-tier	distribution channel where products are sold to a distributor (wholesaler) who then sells to a retailer; the retailer sells the products to a consumer
3-tier eCommerce	digital commerce experience for consumers to purchase beverage alcohol from retailers
ABA	alternative beverage alcohol
Administrative Agent	Bank of America, N.A., as administrative agent for the senior credit facility
Amended and Restated By-Laws	our amended and restated by-laws
AOCI	accumulated other comprehensive income (loss)
C$	Canadian dollars
Canopy	Canopy Growth Corporation, an Ontario, Canada-based public company in which we have an investment
Canopy Debt Securities	debt securities issued by Canopy in June 2018, no longer outstanding
Canopy Equity Method Investment	an investment in Canopy common shares, no longer applicable following conversion of Canopy common shares into Exchangeable Shares in April 2024
CB International	CB International Finance S.à r.l., a wholly-owned subsidiary of ours
Class 1 Stock	our Class 1 Convertible Common Stock, par value $0.01 per share
Class A Stock	our Class A Common Stock, par value $0.01 per share
CODM	chief operating decision maker, our President and Chief Executive Officer
Comparable Adjustments	certain items affecting comparability that have been excluded by management
CPG	consumer packaged goods
Craft Beer Divestitures	the Four Corners Divestiture and the Funky Buddha Divestiture, collectively
Daleville Facility	production facility located in Roanoke, Virginia, sold in May 2023
Depletions	represent U.S. distributor shipments of our respective branded products to retail customers, based on third-party data
Digital Business Acceleration	a multi-year initiative by the Company to create a cohesive digital strategy and build an advanced digital business
DTC	direct-to-consumer inclusive of (i) a digital commerce experience for consumers to purchase directly from brand websites with inventory coming straight from the supplier and (ii) consumer purchases at hospitality locations (tasting rooms and tap rooms) from the supplier
ESG	environmental, social, and governance

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Term	Meaning
Exchangeable Shares	new class of non-voting and non-participating exchangeable shares in Canopy which are convertible into common shares of Canopy on a one-for-one basis
Exchange Act	Securities Exchange Act of 1934, as amended
FASB	Financial Accounting Standards Board
Financial Statements	our consolidated financial statements and notes thereto included herein
First Quarter 2024	the Company’s three months ended May 31, 2023
First Quarter 2025	the Company’s three months ended May 31, 2024
Fiscal 2024	the Company’s fiscal year ended February 29, 2024
Fiscal 2025	the Company’s fiscal year ending February 28, 2025
Fiscal 2026	the Company’s fiscal year ending February 28, 2026
Fiscal 2027	the Company’s fiscal year ending February 28, 2027
Fiscal 2028	the Company’s fiscal year ending February 29, 2028
Fiscal 2029	the Company’s fiscal year ending February 28, 2029
Fiscal 2030	the Company’s fiscal year ending February 28, 2030
Form 10-Q	this Quarterly Report on Form 10-Q for the quarterly period ended May 31, 2024, unless otherwise specified
Four Corners Divestiture	sale of the Four Corners craft beer business
Funky Buddha Divestiture	sale of the Funky Buddha craft beer business
GHG	greenhouse gas
IRA	Inflation Reduction Act of 2022
IT	information technology
MD&A	Management’s Discussion and Analysis of Financial Condition and Results of Operations under Part I – Item 2. of this Form 10-Q
Mexicali Brewery	canceled brewery construction project located in Mexicali, Baja California, Mexico, closed on the sale of the remaining assets classified as held for sale in July 2024
Mexico Beer Projects	expansion, optimization, and/or construction activities at the Obregón Brewery, Nava Brewery, and Veracruz Brewery
M&T	Manufacturers and Traders Trust Company
NA	not applicable
Nava	Nava, Coahuila, Mexico
Nava Brewery	brewery located in Nava
Net sales	gross sales less promotions, returns and allowances, and excise taxes
NM	not meaningful
Note(s)	notes to the consolidated financial statements
Obregón	Obregón, Sonora, Mexico
Obregón Brewery	brewery located in Obregón
OCI	other comprehensive income (loss)
October 2022 Credit Agreement Amendment	amendment dated as of October 18, 2022, to the 2022 Credit Agreement, effective in April 2024
Pre-issuance hedge contracts	treasury lock and/or swap lock contracts designated as cash flow hedges entered into to hedge treasury rate volatility on future debt issuances

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Term	Meaning
Sands Family Stockholders	RES Master LLC, RES Business Holdings LP, SER Business Holdings LP, RHT 2015 Business Holdings LP, RSS Master LLC, RSS Business Holdings LP, SSR Business Holdings LP, RSS 2015 Business Holdings LP, RCT 2015 Business Holdings LP, RCT 2020 Investments LLC, NSDT 2009 STZ LLC, NSDT 2011 STZ LLC, RSS Business Management LLC, SSR Business Management LLC, LES Lauren Holdings LLC, MES Mackenzie Holdings LLC, Abigail Bennett, Zachary Stern, A&Z 2015 Business Holdings LP (subsequently liquidated), Marilyn Sands Master Trust, MAS Business Holdings LP, Sands Family Foundation, Richard Sands, Robert Sands, WildStar Partners LLC, Astra Legacy LLC, AJB Business Holdings LP, and ZMSS Business Holdings LP
Sea Smoke	Sea Smoke wine business, acquired by us
SEC	Securities and Exchange Commission
Securities Act	Securities Act of 1933, as amended
SOFR	secured overnight financing rate administered by the Federal Reserve Bank of New York
U.S.	United States of America
Veracruz	Heroica Veracruz, Veracruz, Mexico
Veracruz Brewery	a new brewery being constructed in Veracruz

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FINANCIAL STATEMENTS Table of Contents

PART I – FINANCIAL INFORMATION

Item 1.    Financial Statements.

CONSTELLATION BRANDS, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(in millions, except share and per share data)

(unaudited)

	May 31, 2024		February 29, 2024
ASSETS
Current assets:
Cash and cash equivalents	$	73.8	$	152.4
Accounts receivable	893.9		832.8
Inventories	2,127.0		2,078.3
Prepaid expenses and other	733.7		666.0
Total current assets	3,828.4		3,729.5
Property, plant, and equipment	8,298.0		8,055.2
Goodwill	7,985.4		7,980.3
Intangible assets	2,731.5		2,731.7
Deferred income taxes	2,020.3		2,055.0
Other assets	1,196.5		1,140.0
Total assets	$	26,060.1	$	25,691.7
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Short-term borrowings	$	793.2	$	241.4
Current maturities of long-term debt	406.2		956.8
Accounts payable	1,139.3		1,107.1
Other accrued expenses and liabilities	783.5		836.4
Total current liabilities	3,122.2		3,141.7
Long-term debt, less current maturities	10,682.9		10,681.1
Deferred income taxes and other liabilities	1,683.1		1,804.3
Total liabilities	15,488.2		15,627.1
Commitments and contingencies
CBI stockholders’ equity:
Class A Stock, $0.01 par value – Authorized, 322,000,000 shares; Issued, 212,698,298 shares and 212,698,298 shares, respectively	2.1		2.1
Additional paid-in capital	2,070.3		2,047.3
Retained earnings	14,109.5		13,417.2
Accumulated other comprehensive income (loss)	367.8		376.8
Class A Stock in treasury, at cost, 30,341,484 shares and 29,809,881 shares, respectively	(6,297.9)		(6,100.3)
Total CBI stockholders’ equity	10,251.8		9,743.1
Noncontrolling interests	320.1		321.5
Total stockholders’ equity	10,571.9		10,064.6
Total liabilities and stockholders’ equity	$	26,060.1	$	25,691.7

The accompanying notes are an integral part of these statements.

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FINANCIAL STATEMENTS Table of Contents

CONSTELLATION BRANDS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(in millions, except per share data)

(unaudited)

	For the Three Months Ended May 31,
	2024		2023
Sales	$	2,860.7	$	2,699.5
Excise taxes	(198.9)		(184.6)
Net sales	2,661.8		2,514.9
Cost of product sold	(1,258.0)		(1,257.1)
Gross profit	1,403.8		1,257.8
Selling, general, and administrative expenses	(462.2)		(493.1)
Operating income (loss)	941.6		764.7
Income (loss) from unconsolidated investments	82.0		(415.4)
Interest expense, net	(102.8)		(118.9)
Income (loss) before income taxes	920.8		230.4
(Provision for) benefit from income taxes	(28.0)		(91.2)
Net income (loss)	892.8		139.2
Net (income) loss attributable to noncontrolling interests	(15.8)		(3.3)
Net income (loss) attributable to CBI	$	877.0	$	135.9
Comprehensive income (loss)	$	884.1	$	364.5
Comprehensive (income) loss attributable to noncontrolling interests	(16.1)		(14.2)
Comprehensive income (loss) attributable to CBI	$	868.0	$	350.3
Class A Stock:
Net income (loss) per common share attributable to CBI – basic	$	4.80	$	0.74
Net income (loss) per common share attributable to CBI – diluted	$	4.78	$	0.74
Weighted average common shares outstanding – basic	182.766		183.270
Weighted average common shares outstanding – diluted	183.461		183.863
Cash dividends declared per common share	$	1.01	$	0.89

The accompanying notes are an integral part of these statements.

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FINANCIAL STATEMENTS Table of Contents

CONSTELLATION BRANDS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (in millions) (unaudited)
	Class A Stock		Additional Paid-in Capital		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Treasury Stock		Non-controlling Interests		Total
Balance at February 29, 2024	$	2.1	$	2,047.3	$	13,417.2	$	376.8	$	(6,100.3)	$	321.5	$	10,064.6
Comprehensive income (loss):
Net income (loss)	—		—		877.0		—		—		15.8		892.8
Other comprehensive income (loss), net of income tax effect	—		—		—		(9.0)		—		0.3		(8.7)
Comprehensive income (loss)													884.1
Repurchase of shares	—		—		—		—		(200.0)		—		(200.0)
Dividends declared	—		—		(184.7)		—		—		—		(184.7)
Non-controlling interest distributions	—		—		—		—		—		(17.5)		(17.5)
Shares issued under equity compensation plans	—		5.7		—		—		2.4		—		8.1
Stock-based compensation	—		17.3		—		—		—		—		17.3
Balance at May 31, 2024	$	2.1	$	2,070.3	$	14,109.5	$	367.8	$	(6,297.9)	$	320.1	$	10,571.9
Balance at February 28, 2023	$	2.1	$	1,903.0	$	12,343.9	$	28.5	$	(5,863.9)	$	320.3	$	8,733.9
Comprehensive income (loss):
Net income (loss)	—		—		135.9		—		—		3.3		139.2
Other comprehensive income (loss), net of income tax effect	—		—		—		214.4		—		10.9		225.3
Comprehensive income (loss)													364.5
Repurchase of shares	—		—		—		—		(35.0)		—		(35.0)
Dividends declared	—		—		(163.1)		—		—		—		(163.1)
Noncontrolling interest distributions	—		—		—		—		—		(11.3)		(11.3)
Shares issued under equity compensation plans	—		0.6		—		—		4.1		—		4.7
Stock-based compensation	—		14.5		—		—		—		—		14.5
Balance at May 31, 2023	$	2.1	$	1,918.1	$	12,316.7	$	242.9	$	(5,894.8)	$	323.2	$	8,908.2

The accompanying notes are an integral part of these statements.

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FINANCIAL STATEMENTS Table of Contents

CONSTELLATION BRANDS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in millions)

(unaudited)

	For the Three Months Ended May 31,
	2024		2023
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss)	$	892.8	$	139.2
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Unrealized net (gain) loss on securities measured at fair value	—		71.8
Deferred tax provision (benefit)	25.0		(0.3)
Depreciation	111.6		105.3
Stock-based compensation	17.3		14.5
Equity in (earnings) losses of equity method investees and related activities, net of distributed earnings	1.3		220.6
Noncash lease expense	29.1		22.0
Impairment of equity method investments	—		123.5
Net gain on conversion and exchange to Exchangeable Shares	(83.3)		—
Change in operating assets and liabilities, net of effects from purchase and sale of business:
Accounts receivable	(63.4)		(31.5)
Inventories	(47.3)		(57.6)
Prepaid expenses and other current assets	(61.4)		(17.9)
Accounts payable	62.7		34.2
Deferred revenue	15.6		24.3
Other accrued expenses and liabilities	(97.7)		(73.2)
Other	(111.8)		90.5
Total adjustments	(202.3)		526.2
Net cash provided by (used in) operating activities	690.5		665.4
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property, plant, and equipment	(375.3)		(277.0)
Investments in equity method investees and securities	(13.0)		(21.6)
Proceeds from sale of assets	12.9		—
Proceeds from sale of business	—		6.7
Other investing activities	(2.0)		—
Net cash provided by (used in) investing activities	(377.4)		(291.9)

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FINANCIAL STATEMENTS Table of Contents

CONSTELLATION BRANDS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in millions)

(unaudited)

	For the Three Months Ended May 31,
	2024		2023
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of long-term debt	—		744.8
Principal payments of long-term debt	(552.2)		(502.5)
Net proceeds from (repayments of) short-term borrowings	551.8		(346.3)
Dividends paid	(185.3)		(164.1)
Purchases of treasury stock	(200.0)		(35.0)
Proceeds from shares issued under equity compensation plans	24.7		15.9
Payments of minimum tax withholdings on stock-based payment awards	(13.8)		(11.2)
Payments of debt issuance, debt extinguishment, and other financing costs	—		(5.0)
Distributions to noncontrolling interests	(17.5)		(11.3)
Payment of contingent consideration	(0.7)		—
Net cash provided by (used in) financing activities	(393.0)		(314.7)
Effect of exchange rate changes on cash and cash equivalents	1.3		0.2
Net increase (decrease) in cash and cash equivalents	(78.6)		59.0
Cash and cash equivalents, beginning of period	152.4		133.5
Cash and cash equivalents, end of period	$	73.8	$	192.5
Supplemental disclosures of noncash investing and financing activities
Additions to property, plant, and equipment	$	195.2	$	142.2

The accompanying notes are an integral part of these statements.

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FINANCIAL STATEMENTS NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Table of Contents

CONSTELLATION BRANDS, INC. AND SUBSIDIARIES

MAY 31, 2024

(unaudited)

1.    BASIS OF PRESENTATION

We have prepared the Financial Statements, without audit, pursuant to the rules and regulations of the SEC applicable to quarterly reporting on Form 10-Q and reflect, in our opinion, all adjustments necessary to present fairly our financial information. All such adjustments are of a normal recurring nature. Certain information and footnote disclosures normally included in financial statements, prepared in accordance with generally accepted accounting principles, have been condensed or omitted as permitted by such rules and regulations. These Financial Statements should be read in conjunction with the consolidated financial statements and related notes included in the 2024 Annual Report. Results of operations for interim periods are not necessarily indicative of annual results.

Reclassification

We reclassified equity method investments to other assets on our consolidated balance sheet as of February 29, 2024, to conform with current year presentation.

2.    INVENTORIES

Inventories are stated at the lower of cost (primarily computed in accordance with the first-in, first-out method) or net realizable value. Elements of cost include materials, labor, and overhead and consist of the following:

	May 31, 2024		February 29, 2024
(in millions)
Raw materials and supplies	$	244.1	$	254.1
In-process inventories	1,109.5		1,096.0
Finished case goods	773.4		728.2
	$	2,127.0	$	2,078.3

3.    DERIVATIVE INSTRUMENTS

Overview

Our risk management and derivative accounting policies are presented in Notes 1 and 6 of our consolidated financial statements included in our 2024 Annual Report and have not changed significantly for the three months ended May 31, 2024.

The aggregate notional value of outstanding derivative instruments is as follows:

	May 31, 2024		February 29, 2024
(in millions)
Derivative instruments designated as hedging instruments
Foreign currency contracts	$	2,083.1	$	2,045.6
Derivative instruments not designated as hedging instruments
Foreign currency contracts	$	829.5	$	735.9
Commodity derivative contracts	$	351.5	$	397.5

Credit risk

We are exposed to credit-related losses if the counterparties to our derivative contracts default. This credit risk is limited to the fair value of the derivative contracts. To manage this risk, we contract only with major

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FINANCIAL STATEMENTS NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Table of Contents

financial institutions that have earned investment-grade credit ratings and with whom we have standard International Swaps and Derivatives Association agreements which allow for net settlement of the derivative contracts. We have also established counterparty credit guidelines that are regularly monitored. Because of these safeguards, we believe the risk of loss from counterparty default to be immaterial.

In addition, our derivative instruments are not subject to credit rating contingencies or collateral requirements. As of May 31, 2024, the estimated fair value of derivative instruments in a net liability position due to counterparties was $2.2 million. If we were required to settle the net liability position under these derivative instruments on May 31, 2024, we would have had sufficient available liquidity on hand to satisfy this obligation.

Results of period derivative activity

The estimated fair value and location of our derivative instruments on our balance sheets are as follows (see Note 4):

Assets					Liabilities
	May 31, 2024		February 29, 2024			May 31, 2024		February 29, 2024
(in millions)
Derivative instruments designated as hedging instruments
Foreign currency contracts:
Prepaid expenses and other	$	148.0	$	154.1	Other accrued expenses and liabilities	$	2.5	$	3.5
Other assets	$	141.0	$	153.5	Deferred income taxes and other liabilities	$	0.5	$	0.2
Derivative instruments not designated as hedging instruments
Foreign currency contracts:
Prepaid expenses and other	$	2.7	$	3.6	Other accrued expenses and liabilities	$	3.8	$	1.7
Commodity derivative contracts:
Prepaid expenses and other	$	11.2	$	4.8	Other accrued expenses and liabilities	$	19.1	$	27.9
Other assets	$	5.7	$	1.4	Deferred income taxes and other liabilities	$	4.5	$	8.1

The principal effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, as well as OCI, net of income tax effect, is as follows:

Derivative Instruments in Designated Cash Flow Hedging Relationships	Net Gain (Loss) Recognized in OCI		Location of Net Gain (Loss) Reclassified from AOCI to Income (Loss)	Net Gain (Loss) Reclassified from AOCI to Income (Loss)
(in millions)
For the Three Months Ended May 31, 2024
Foreign currency contracts	$	26.1	Sales	$	0.1
			Cost of product sold	39.1
	$	26.1		$	39.2
For the Three Months Ended May 31, 2023
Foreign currency contracts	$	79.3	Sales	$	—
			Cost of product sold	26.4
Pre-issuance hedge contracts	0.6		Interest expense, net	(0.2)
	$	79.9		$	26.2

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FINANCIAL STATEMENTS NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Table of Contents

We expect $128.3 million of net gains, net of income tax effect, to be reclassified from AOCI to our results of operations within the next 12 months.

The effect of our undesignated derivative instruments on our results of operations is as follows:

Derivative Instruments Not Designated as Hedging Instruments	Location of Net Gain (Loss) Recognized in Income (Loss)	Net Gain (Loss) Recognized in Income (Loss)
(in millions)
For the Three Months Ended May 31, 2024
Commodity derivative contracts	Cost of product sold	$	14.6
Foreign currency contracts	Selling, general, and administrative expenses	4.0
		$	18.6
For the Three Months Ended May 31, 2023
Commodity derivative contracts	Cost of product sold	$	(34.7)
Foreign currency contracts	Selling, general, and administrative expenses	12.7
		$	(22.0)

4.    FAIR VALUE OF FINANCIAL INSTRUMENTS

Authoritative guidance establishes a framework for measuring fair value, including a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. The hierarchy includes three levels:

•Level 1 inputs are quoted prices in active markets for identical assets or liabilities;

•Level 2 inputs include data points that are observable such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical assets or similar assets or liabilities in markets that are not active, and inputs (other than quoted prices) such as volatility, interest rates, and yield curves that are observable for the asset or liability, either directly or indirectly; and

•Level 3 inputs are unobservable data points for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability.

Fair value methodology

The following methods and assumptions are used to estimate the fair value of our financial instruments:

Foreign currency and commodity derivative contracts

The fair value is estimated using market-based inputs, obtained from independent pricing services, entered into valuation models. These valuation models require various inputs, including contractual terms, market foreign exchange prices, market commodity prices, interest-rate yield curves, and currency volatilities, as applicable (Level 2 fair value measurement).

Short-term borrowings

Our short-term borrowings consist of our commercial paper program and the revolving credit facility under our senior credit facility. The revolving credit facility is a variable interest rate bearing note with a fixed margin, adjustable based upon our debt rating (as defined in our senior credit facility). For these short-term borrowings, the carrying value approximates the fair value.

Long-term debt

The fair value of our fixed interest rate long-term debt is estimated by discounting cash flows using interest rates currently available for debt with similar terms and maturities (Level 2 fair value measurement). As of May 31, 2024, the carrying amount of long-term debt, including the current portion, was $11,089.1 million, compared with an estimated fair value of $10,176.1 million. As of February 29, 2024, the carrying amount of long-

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term debt, including the current portion, was $11,637.9 million, compared with an estimated fair value of $10,775.8 million.

The carrying amounts of certain of our financial instruments, including cash and cash equivalents, accounts receivable, and accounts payable, approximate fair value as of May 31, 2024, and February 29, 2024, due to the relatively short maturity of these instruments.

Recurring basis measurements

The following table presents our financial assets and liabilities measured at estimated fair value on a recurring basis:

	Fair Value Measurements Using
	Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
(in millions)
May 31, 2024
Assets:
Foreign currency contracts	$	—	$	291.7	$	—	$	291.7
Commodity derivative contracts	$	—	$	16.9	$	—	$	16.9
Liabilities:
Foreign currency contracts	$	—	$	6.8	$	—	$	6.8
Commodity derivative contracts	$	—	$	23.6	$	—	$	23.6
February 29, 2024
Assets:
Foreign currency contracts	$	—	$	311.2	$	—	$	311.2
Commodity derivative contracts	$	—	$	6.2	$	—	$	6.2
Liabilities:
Foreign currency contracts	$	—	$	5.4	$	—	$	5.4
Commodity derivative contracts	$	—	$	36.0	$	—	$	36.0

Nonrecurring basis measurements

The following table presents our assets and liabilities measured at estimated fair value on a nonrecurring basis for which an impairment assessment was performed for the periods presented:

	Fair Value Measurements Using
	Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Losses
(in millions)
For the Three Months Ended May 31, 2023
Equity method investments	$	142.7	$	—	$	—	$	123.5

Equity method investments

We evaluated the Canopy Equity Method Investment as of May 31, 2023, and determined there was an other-than-temporary impairment. Our conclusion was based on several contributing factors, including: (i) the fair value being less than the carrying value and the uncertainty surrounding Canopy’s stock price recovering in the near-term, (ii) Canopy recorded significant costs in its fourth quarter of fiscal 2023 results designed to align its

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Canadian cannabis operations and resources in response to continued unfavorable market trends, (iii) the substantial doubt about Canopy’s ability to continue as a going concern, as disclosed by Canopy, and (iv) Canopy’s identification of material misstatements in certain of its previously reported financial results related to sales in its BioSteel Sports Nutrition Inc. reporting unit that were accounted for incorrectly, including the recording of a goodwill impairment during its restated second quarter of fiscal 2023. As a result, the Canopy Equity Method Investment with a carrying value of $266.2 million was written down to its estimated fair value of $142.7 million, resulting in an impairment of $123.5 million. This loss from impairment was included in income (loss) from unconsolidated investments within our consolidated results for the three months ended May 31, 2023. The estimated fair value was determined based on the closing price of the underlying equity security as of May 31, 2023. We no longer apply the equity method to our investment in Canopy following the April 2024 conversion of our Canopy common shares to Exchangeable Shares. See Note 7 for further discussion.

5.    GOODWILL

The changes in the carrying amount of goodwill are as follows:

	Beer		Wine and Spirits		Consolidated
(in millions)
Balance, February 28, 2023	$	5,188.9	$	2,736.5	$	7,925.4
Purchase accounting allocations (1)	—		6.5		6.5
Foreign currency translation adjustments	49.3		(0.9)		48.4
Balance, February 29, 2024	5,238.2		2,742.1		7,980.3
Foreign currency translation adjustments	4.4		0.7		5.1
Balance, May 31, 2024	$	5,242.6	$	2,742.8	$	7,985.4

(1)Purchase accounting allocations associated with the June 2023 acquisition of the Domaine Curry wine business.

If broader industry and market conditions decline and/or our expectations of future performance as reflected in our current strategic operating plans are not fully realized, a future impairment of Wine and Spirits goodwill is reasonably possible.

Subsequent event

Sea Smoke acquisition

In June 2024, we acquired the Sea Smoke business, including a California-based luxury wine brand, vineyards, and a production facility for $170.0 million, subject to adjustments. This transaction also included the acquisition of a trademark, inventory, and goodwill. The results of operations of Sea Smoke will be reported in the Wine and Spirits segment and will be included in our consolidated results of operations from the date of acquisition.

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6.    INTANGIBLE ASSETS

The major components of intangible assets are as follows:

	May 31, 2024				February 29, 2024
	Gross Carrying Amount		Net Carrying Amount		Gross Carrying Amount		Net Carrying Amount
(in millions)
Amortizable intangible assets
Customer relationships	$	85.4	$	15.8	$	85.3	$	16.2
Other	20.8		0.3		20.8		0.3
Total	$	106.2	16.1		$	106.1	16.5
Nonamortizable intangible assets
Trademarks			2,715.4				2,715.2
Total intangible assets			$	2,731.5			$	2,731.7

We did not incur costs to renew or extend the term of acquired intangible assets for the three months ended May 31, 2024, and May 31, 2023. Net carrying amount represents the gross carrying value net of accumulated amortization.

7.    OTHER ASSETS

The major components of other assets are as follows:

	May 31, 2024		February 29, 2024
(in millions)
Operating lease right-of-use asset	$	606.2	$	615.3
Derivative assets	146.7		154.9
Equity method investments	126.9		170.6
Exchangeable Shares	97.3		—
Other investments in debt and equity securities	86.0		73.0
Assets held for sale	26.1		25.7
Other	107.3		100.5
	$	1,196.5	$	1,140.0

Equity method investments

The carrying value of our equity method investments are as follows:

	May 31, 2024		February 29, 2024
(in millions)
Canopy Equity Method Investment (1)	$	—	$	42.5
Other equity method investments	126.9		128.1
	$	126.9	$	170.6

(1)Following the April 2024 conversion to Exchangeable Shares we no longer apply the equity method.

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Exchangeable Shares

In April 2024, we elected to convert our 17.1 million Canopy common shares into Exchangeable Shares on a one-for-one basis. Additionally, in April 2024, we exchanged C$81.2 million of the principal amount of the C$100.0 million 4.25% promissory note issued to us by Canopy for 9.1 million Exchangeable Shares and forgave all accrued but unpaid interest together with the remaining principal amount of the note. As a result of these transactions, we (i) have 26.3 million Exchangeable Shares and (ii) recognized an $83.3 million net gain in income (loss) from unconsolidated investments within our consolidated results of operations for the three months ended May 31, 2024. The fair value of Exchangeable Shares on the date of the conversion and exchange was estimated using a valuation model based primarily on the following inputs: (i) Canopy’s common share price, (ii) the expected volatility of Canopy’s common shares, and (iii) the probability and timing of U.S. federal legalization of recreational cannabis. As the Exchangeable Shares are an equity security without a readily determinable fair value, we elected to account for the Exchangeable Shares under the measurement alternative method. Future impairments, if any, will also be reported in income (loss) from unconsolidated investments within our consolidated results.

Other investments in debt and equity securities

We have multiple investments through our corporate venture capital function in debt and equity securities.

Subsequent event

Mexicali Brewery

In July 2024, we closed on the sale of the remaining assets classified as held for sale at the canceled Mexicali Brewery. These net assets had met held for sale criteria as of May 31, 2024, and February 29, 2024.

8.    BORROWINGS

Borrowings consist of the following:

	May 31, 2024						February 29, 2024
	Current		Long-term		Total		Total
(in millions)
Short-term borrowings
Commercial paper	$	793.2					$	241.4
	$	793.2					$	241.4
Long-term debt
Senior notes	$	399.7	$	10,673.7	$	11,073.4	$	11,620.1
Other	6.5		9.2		15.7		17.8
	$	406.2	$	10,682.9	$	11,089.1	$	11,637.9

Bank facilities

The Company, CB International, the Administrative Agent, and certain other lenders are parties to the 2022 Credit Agreement. The October 2022 Credit Agreement Amendment revised certain defined terms and covenants in the 2022 Credit Agreement and became effective in April 2024 following (i) the amendment by Canopy of its Articles of Incorporation, (ii) the conversion of our Canopy common shares into Exchangeable Shares, and (iii) the resignation of our nominees from the board of directors of Canopy.

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Information with respect to borrowings under the 2022 Credit Agreement is as follows:

	Outstanding borrowings		Interest rate		SOFR margin		Outstanding letters of credit		Remaining borrowing capacity (1)
(in millions)
May 31, 2024
Revolving credit facility (2) (3)	$	—	—	%	—	%	$	11.4	$	1,443.1
February 29, 2024
Revolving credit facility (2) (3)	$	—	—	%	—	%	$	11.5	$	1,997.0

(1)Net of outstanding revolving credit facility borrowings and outstanding letters of credit under the 2022 Credit Agreement and outstanding borrowings under our commercial paper program of $795.5 million and $241.5 million (excluding unamortized discount) as of May 31, 2024 and February 29, 2024, respectively (see “Commercial paper program” below).

(2)Contractual interest rate varies based on our debt rating (as defined in the agreement) and is a function of SOFR plus a margin and a credit spread adjustment, or the base rate plus a margin, or, in certain circumstances where SOFR cannot be adequately ascertained or available, an alternative benchmark rate plus a margin.

(3)We and/or CB International are the borrower under the $2,250.0 million revolving credit facility with a maturity date of April 14, 2027. Includes a sub-facility for letters of credit of up to $200.0 million.

We and our subsidiaries are subject to covenants that are contained in the 2022 Credit Agreement, including those restricting the incurrence of additional subsidiary indebtedness, additional liens, mergers and consolidations, transactions with affiliates, and sale and leaseback transactions, in each case subject to numerous conditions, exceptions, and thresholds. The financial covenants are limited to a minimum interest coverage ratio and a maximum net leverage ratio.

Commercial paper program

We have a commercial paper program which provides for the issuance of up to an aggregate principal amount of $2.25 billion of commercial paper. Our commercial paper program is backed by unused commitments under our revolving credit facility under our 2022 Credit Agreement. Accordingly, outstanding borrowings under our commercial paper program reduce the amount available under our revolving credit facility. Information with respect to our outstanding commercial paper borrowings is as follows:

	May 31, 2024			February 29, 2024
(in millions)
Outstanding borrowings (1)	$	793.2		$	241.4
Weighted average annual interest rate	5.7		%	5.7		%
Weighted average remaining term	20 days			4 days

(1)Outstanding commercial paper borrowings are net of unamortized discount.

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Debt payments

As of May 31, 2024, the required principal repayments under long-term debt obligations (excluding unamortized debt issuance costs and unamortized discounts of $53.8 million and $22.8 million, respectively) for the remaining nine months of Fiscal 2025 and for each of the five succeeding fiscal years and thereafter are as follows:

(in millions)
Fiscal 2025	$	405.3
Fiscal 2026	1,404.9
Fiscal 2027	603.8
Fiscal 2028	1,801.5
Fiscal 2029	900.1
Fiscal 2030	800.0
Thereafter	5,250.1
	$	11,165.7

9.    INCOME TAXES

Our effective tax rate for the three months ended May 31, 2024, and May 31, 2023, was 3.0% and 39.6%, respectively.

For the three months ended May 31, 2024, our effective tax rate was lower than the federal statutory rate of 21% primarily due to (i) a net income tax benefit recognized as a result of the resolution of various tax examinations and assessments related to prior periods, (ii) the benefit of lower effective tax rates applicable to our foreign businesses, and (iii) a decrease in the valuation allowance related to our investment in Canopy.

For the three months ended May 31, 2023, our effective tax rate was higher than the federal statutory rate of 21% primarily due to an increase in the valuation allowance related to our investment in Canopy, partially offset by (i) a net income tax benefit recognized as a result of a change in tax entity classification and (ii) the benefit of lower effective tax rates applicable to our foreign businesses.

The Organization for Economic Cooperation and Development introduced a framework under Pillar Two which includes a global minimum tax rate of 15%. Many jurisdictions in which we do business have started to enact laws implementing Pillar Two. We are monitoring these developments and currently do not believe these rules will have a material impact on our financial condition and/or consolidated results.

10.    STOCKHOLDERS’ EQUITY

Common stock

The number of shares of common stock issued and treasury stock, and associated share activity, are as follows:

	Class A Stock	Class 1 Stock	Class A Stock in Treasury
Balance at February 29, 2024	212,698,298	23,661	29,809,881
Share repurchases	—	—	775,334
Exercise of stock options	—	1,880	(149,324)
Vesting of restricted stock units (1)	—	—	(85,650)
Vesting of performance share units (1)	—	—	(8,757)
Balance at May 31, 2024	212,698,298	25,541	30,341,484

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	Class A Stock	Class 1 Stock	Class A Stock in Treasury
Balance at February 28, 2023	212,697,428	22,705	29,498,426
Share repurchases	—	—	153,937
Conversion of shares	80	(80)	—
Exercise of stock options	—	800	(129,595)
Vesting of restricted stock units (1)	—	—	(71,189)
Vesting of performance share units (1)	—	—	(13,113)
Balance at May 31, 2023	212,697,508	23,425	29,438,466

(1)Net of the following shares withheld to satisfy tax withholding requirements:

	For the Three Months Ended May 31,
2024
Restricted Stock Units	48,501
Performance Share Units	5,728
2023
Restricted Stock Units	39,839
Performance Share Units	8,735

Stock repurchases

In each of January 2021 and November 2023, our Board of Directors authorized the repurchase of up to $2.0 billion of our publicly traded common stock. The Board of Directors did not specify a date upon which these authorizations would expire. Shares repurchased under these authorizations become treasury shares.

For the three months ended May 31, 2024, we repurchased 775,334 shares of Class A Stock pursuant to the 2021 Authorization through open market transactions at an aggregate cost of $200.0 million. Beginning May 31, 2024, we repurchased 187,843 shares of Class A Stock pursuant to the 2021 Authorization at an aggregate cost of $47.0 million through open market transactions made pursuant to a Rule 10b5-1 trading plan.

As of July 3, 2024, total shares repurchased under our board authorizations are as follows:

			Class A Stock
	Repurchase Authorization		Dollar Value of Shares Repurchased		Number of Shares Repurchased
(in millions, except share data)
2021 Authorization (1)	$	2,000.0	$	1,633.3	6,838,453
2023 Authorization (1)	$	2,000.0	$	—	—

(1)As of July 3, 2024, $2,366.7 million remains available for future share repurchases, excluding the impact of Federal excise tax owed pursuant to the IRA.

11.    NET INCOME (LOSS) PER COMMON SHARE ATTRIBUTABLE TO CBI

For the three months ended May 31, 2024, and May 31, 2023, net income (loss) per common share – basic for Class A Stock has been computed based on the weighted average shares of common stock outstanding during the period. Net income (loss) per common share – diluted for Class A Stock reflects the weighted average shares of common stock plus the effect of dilutive securities outstanding during the period using the treasury stock method.

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The effect of dilutive securities includes the impact of outstanding stock-based awards. The dilutive computation does not assume conversion, exercise, or contingent issuance of securities that would have an anti-dilutive effect on the net income (loss) per common share attributable to CBI. The computation of basic and diluted net income (loss) per common share for Class A Stock are as follows:

	For the Three Months Ended May 31,
	2024		2023
(in millions, except per share data)
Net income (loss) attributable to CBI	$	877.0	$	135.9
Weighted average common shares outstanding – basic	182.766		183.270
Stock-based awards, primarily stock options	0.695		0.593
Weighted average common shares outstanding – diluted	183.461		183.863
Net income (loss) per common share attributable to CBI – basic	$	4.80	$	0.74
Net income (loss) per common share attributable to CBI – diluted	$	4.78	$	0.74

12.    COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CBI

Comprehensive income (loss) consists of net income (loss), foreign currency translation adjustments, unrealized net gain (loss) on derivative instruments, pension/postretirement adjustments, and our share of OCI of equity method investments. The reconciliation of net income (loss) attributable to CBI to comprehensive income (loss) attributable to CBI is as follows:

	Before Tax Amount		Tax (Expense) Benefit		Net of Tax Amount
(in millions)
For the Three Months Ended May 31, 2024
Net income (loss) attributable to CBI					$	877.0
Other comprehensive income (loss) attributable to CBI:
Foreign currency translation adjustments:
Net gain (loss)	$	13.5	$	—	13.5
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	13.5		—		13.5
Unrealized gain (loss) on cash flow hedges:
Net derivative gain (loss)	28.2		(3.3)		24.9
Amounts reclassified	(42.1)		5.0		(37.1)
Net gain (loss) recognized in other comprehensive income (loss)	(13.9)		1.7		(12.2)
Share of OCI of equity method investments
Net gain (loss)	—		—		—
Amounts reclassified	(10.3)		—		(10.3)
Net gain (loss) recognized in other comprehensive income (loss)	(10.3)		—		(10.3)
Other comprehensive income (loss) attributable to CBI	$	(10.7)	$	1.7	(9.0)
Comprehensive income (loss) attributable to CBI					$	868.0

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	Before Tax Amount		Tax (Expense) Benefit		Net of Tax Amount
(in millions)
For the Three Months Ended May 31, 2023
Net income (loss) attributable to CBI					$	135.9
Other comprehensive income (loss) attributable to CBI:
Foreign currency translation adjustments:
Net gain (loss)	$	163.4	$	—	163.4
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	163.4		—		163.4
Unrealized gain (loss) on cash flow hedges:
Net derivative gain (loss)	86.4		(10.4)		76.0
Amounts reclassified	(27.8)		3.2		(24.6)
Net gain (loss) recognized in other comprehensive income (loss)	58.6		(7.2)		51.4
Pension/postretirement adjustments:
Net actuarial gain (loss)	(0.3)		0.1		(0.2)
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	(0.3)		0.1		(0.2)
Share of OCI of equity method investments
Net gain (loss)	(0.3)		0.1		(0.2)
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	(0.3)		0.1		(0.2)
Other comprehensive income (loss) attributable to CBI	$	221.4	$	(7.0)	214.4
Comprehensive income (loss) attributable to CBI					$	350.3

Accumulated other comprehensive income (loss), net of income tax effect, includes the following components:

	Foreign Currency Translation Adjustments		Unrealized Net Gain (Loss) on Derivative Instruments		Pension/ Postretirement Adjustments		Share of OCI of Equity Method Investments		Accumulated Other Comprehensive Income (Loss)
(in millions)
Balance, February 29, 2024	$	102.9	$	266.2	$	(2.6)	$	10.3	$	376.8
Other comprehensive income (loss):
Other comprehensive income (loss) before reclassification adjustments	13.5		24.9		—		—		38.4
Amounts reclassified from accumulated other comprehensive income (loss)	—		(37.1)		—		(10.3)		(47.4)
Other comprehensive income (loss)	13.5		(12.2)		—		(10.3)		(9.0)
Balance, May 31, 2024	$	116.4	$	254.0	$	(2.6)	$	—	$	367.8

13.    BUSINESS SEGMENT INFORMATION

Our internal management financial reporting consists of two business divisions: (i) Beer and (ii) Wine and Spirits and we report our operating results in three segments: (i) Beer, (ii) Wine and Spirits, and (iii) Corporate Operations and Other. In the Beer segment, our portfolio consists of high-end imported beer brands and ABAs. We have an exclusive perpetual brand license to produce our Mexican beer portfolio and to import, market, and sell such portfolio in the U.S. In the Wine and Spirits segment, we sell a portfolio that includes higher-end wine brands

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complemented by certain higher-end spirits brands. Amounts included in the Corporate Operations and Other segment consist of costs of corporate development, corporate finance, corporate strategy, executive management, growth, human resources, internal audit, investor relations, IT, legal, and public relations, as well as our Canopy investment and investments made through our corporate venture capital function. All costs included in the Corporate Operations and Other segment are general costs that are applicable to the consolidated group and are, therefore, not allocated to the other reportable segments. All costs reported within the Corporate Operations and Other segment are not included in our CODM’s evaluation of the operating income (loss) performance of the other reportable segments. The business segments reflect how our operations are managed, how resources are allocated, how operating performance is evaluated by senior management, and the structure of our internal financial reporting. Long-lived tangible assets and total asset information by segment is not provided to, or reviewed by, our CODM as it is not used to make strategic decisions, allocate resources, or assess performance.

In addition, management excludes Comparable Adjustments from its evaluation of the results of each operating segment as these Comparable Adjustments are not reflective of core operations of the segments. Segment operating performance and the incentive compensation of segment management are evaluated based on core segment operating income (loss) which does not include the impact of these Comparable Adjustments.

We evaluate segment operating performance based on operating income (loss) of the respective business units. Comparable Adjustments that impacted comparability in our segment operating income (loss) for each period are as follows:

	For the Three Months Ended May 31,
	2024		2023
(in millions)
Cost of product sold
Net gain (loss) on undesignated commodity derivative contracts	$	14.6	$	(34.7)
Settlements of undesignated commodity derivative contracts	8.5		0.6
Flow through of inventory step-up	(1.1)		(0.7)
Comparable Adjustments, Cost of product sold	22.0		(34.8)
Selling, general, and administrative expenses
Transition services agreements activity	(2.8)		(5.7)
Restructuring and other strategic business development costs	(1.8)		(14.9)
Transaction, integration, and other acquisition-related costs	(0.2)		(0.3)
Other gains (losses) (1)	0.4		(6.8)
Comparable Adjustments, Selling, general, and administrative expenses	(4.4)		(27.7)
Comparable Adjustments, Operating income (loss)	$	17.6	$	(62.5)

(1)	Primarily includes the following:
		For the Three Months Ended May 31,
		2024		2023
	(in millions)
	Gain (loss) on sale of business	$	—	$	(7.0)

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The accounting policies of the segments are the same as those described for the Company in Note 1 of our consolidated financial statements included in our 2024 Annual Report. Segment information is as follows:

	For the Three Months Ended May 31,
	2024		2023
(in millions)
Beer
Net sales	$	2,272.8	$	2,098.6
Segment operating income (loss)	$	923.0	$	797.8
Capital expenditures	$	314.4	$	205.6
Depreciation and amortization	$	86.4	$	78.8
Wine and Spirits
Net sales:
Wine	$	329.3	$	361.0
Spirits	59.7		55.3
Net sales	$	389.0	$	416.3
Segment operating income (loss)	$	59.7	$	79.3
Income (loss) from unconsolidated investments	$	0.4	$	2.3
Equity method investments	$	101.2	$	96.8
Capital expenditures	$	49.6	$	38.6
Depreciation and amortization	$	21.3	$	22.5
Corporate Operations and Other
Segment operating income (loss)	$	(58.7)	$	(49.9)
Income (loss) from unconsolidated investments	$	(1.7)	$	(33.3)
Equity method investments	$	25.7	$	194.5
Capital expenditures	$	11.3	$	32.8
Depreciation and amortization	$	4.2	$	4.4
Comparable Adjustments
Operating income (loss)	$	17.6	$	(62.5)
Income (loss) from unconsolidated investments	$	83.3	$	(384.4)
Consolidated
Net sales	$	2,661.8	$	2,514.9
Operating income (loss)	$	941.6	$	764.7
Income (loss) from unconsolidated investments (1)	$	82.0	$	(415.4)
Equity method investments	$	126.9	$	291.3
Capital expenditures	$	375.3	$	277.0
Depreciation and amortization	$	111.9	$	105.7

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FINANCIAL STATEMENTS NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Table of Contents

(1)	Income (loss) from unconsolidated investments consists of:
			For the Three Months Ended May 31,
			2024		2023
		(in millions)
		Net gain on conversion and exchange to Exchangeable Shares (i)	$	83.3	$	—
		Equity in earnings (losses) from other equity method investees and related activities	(1.3)		(0.3)
		Equity in earnings (losses) from Canopy and related activities	—		(219.8)
		Impairment of equity method investments	—		(123.5)
		Unrealized net gain (loss) on securities measured at fair value (i)	—		(71.8)
			$	82.0	$	(415.4)

(i)Effective as of May 31, 2023, we determined that the 2023 Canopy Promissory Note did not have future economic value given the substantial doubt about Canopy’s ability to continue as a going concern, as disclosed by Canopy, prior to the maturity of the note. Accordingly, the fair value of the remaining balance for this instrument was determined to be zero. In April 2024, we exchanged the 2023 Canopy Promissory Note for Exchangeable Shares.

14.    ACCOUNTING GUIDANCE NOT YET ADOPTED

Segment reporting

In November 2023, the FASB issued a standard requiring disclosures, on an annual and interim basis, of significant segment expenses and other segment items that are regularly provided to the CODM as well as the title and position of the CODM. We are required to adopt these disclosures for our annual period ending February 28, 2025, and interim periods beginning March 1, 2025, with early adoption permitted. The amendments in this standard will be applied retrospectively to all prior periods presented in the financial statements. We expect this standard to impact our disclosures with no material impacts to our results of operations, cash flows, or financial condition.

Income taxes

In December 2023, the FASB issued a standard aimed at improving tax disclosure requirements, primarily through enhanced disclosures related to the income tax rate reconciliation and income taxes paid. We are required to adopt these disclosures for our annual period ending February 28, 2026, with early adoption permitted and this standard may be applied retrospectively. We expect this standard to impact our disclosures with no material impacts to our results of operations, cash flows, or financial condition.

Climate

In March 2024, the SEC adopted final rules to require disclosures about certain climate-related information in registration statements and annual reports. In April 2024, the SEC issued an order to stay the rules pending the completion of judicial review of multiple petitions challenging the rules. The rules will require disclosure of, among other things, material climate-related risks, how the board of directors and management oversee and manage such risks, and the actual and potential material impacts of such risks on us. The rules also require disclosure about material climate-related targets and goals, Scope 1 and Scope 2 GHG emissions, and the financial impacts of severe weather events and other natural conditions. The SEC has indicated that it will publish a new effective date for the rules, if ultimately implemented, at the conclusion of the stay. These rules will be applied prospectively. We are currently assessing the impact of these rules on our SEC filings.

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MD&A Table of Contents

Item 2.    Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Introduction

This MD&A provides additional information on our businesses, current developments, financial condition, cash flows, and results of operations. It should be read in conjunction with our Financial Statements and with our consolidated financial statements and notes included in our 2024 Annual Report. This MD&A is organized as follows:

Overview.    This section provides a general description of our business, which we believe is important in understanding the results of our operations, financial condition, and potential future trends.

Strategy.    This section provides a description of our strategy and a discussion of recent developments and significant divestitures and investments.

Results of operations.    This section provides an analysis of our results of operations presented on a business segment basis for the three months ended May 31, 2024, and May 31, 2023. In addition, a brief description of significant transactions and other items that affect the comparability of the results is provided.

Liquidity and capital resources.    This section provides an analysis of our cash flows, outstanding debt, and liquidity position. Included in the analysis of outstanding debt is a discussion of the financial capacity available to fund our on-going operations and future commitments, as well as a discussion of other financing arrangements.

Overview

We are an international producer and marketer of beer, wine, and spirits with operations in the U.S., Mexico, New Zealand, and Italy with powerful, consumer-connected, high-quality brands like Corona Extra, Modelo Especial, Robert Mondavi Winery, Kim Crawford, Meiomi, The Prisoner Wine Company, High West, Casa Noble, and Mi CAMPO. In the U.S., we are one of the top growth contributors at retail among beverage alcohol suppliers. We are the second-largest beer company in the U.S. and continue to strengthen our leadership position as the #1 share gainer in the high-end beer segment and the overall U.S. beer market. In Fiscal 2024, Modelo Especial became the #1 beer brand in the U.S. beer market in dollar sales and continues to hold that position. Within wine and spirits, we have reshaped our brand portfolio to a higher-end focused business and continue to expand our supply channels through DTC and international markets. The strength of our brands makes us a supplier of choice to many of our consumers and our customers, which include wholesale distributors, retailers, and on-premise locations. We conduct our business through entities we wholly own as well as through a variety of joint ventures and other entities.

Our internal management financial reporting consists of two business divisions: (i) Beer and (ii) Wine and Spirits and we report our operating results in three segments: (i) Beer, (ii) Wine and Spirits, and (iii) Corporate

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MD&A Table of Contents

Operations and Other. In the Beer segment, our portfolio consists of high-end imported beer brands and ABAs. We have an exclusive perpetual brand license to produce our Mexican beer portfolio and to import, market, and sell such portfolio in the U.S. In the Wine and Spirits segment, we sell a portfolio that includes higher-end wine brands complemented by certain higher-end spirits brands. Amounts included in the Corporate Operations and Other segment consist of costs of corporate development, corporate finance, corporate strategy, executive management, growth, human resources, internal audit, investor relations, IT, legal, and public relations, as well as our Canopy investment and investments made through our corporate venture capital function. All costs included in the Corporate Operations and Other segment are general costs that are applicable to the consolidated group and are, therefore, not allocated to the other reportable segments. All costs reported within the Corporate Operations and Other segment are not included in our CODM’s evaluation of the operating income (loss) performance of the other reportable segments. The business segments reflect how our operations are managed, how resources are allocated, how operating performance is evaluated by senior management, and the structure of our internal financial reporting.

Strategy

Business strategy

Our overall strategic vision is to consistently deliver industry-leading total stockholder returns over the long-term through a focus on these key pillars:

•continue building strong brands people love with advantaged routes to market;

•build a culture that is consumer-obsessed and leverages robust innovation capabilities to stay on the forefront of consumer trends;

•deploy capital in line with disciplined and balanced priorities;

•deliver on impactful ESG initiatives that we believe are not only good business, but also good for the world; and

•empower the whole enterprise to achieve best-in-class operational efficiency.

We will continue to strive for success by ensuring consumer-led decision making drives all aspects of our business; building a diverse talent pipeline with best-in-class people development; investing in infrastructure that supports and enables our business, including data systems and architecture; and exemplifying intentional and proactive fiscal management. We place focus on positioning our portfolio on higher-margin, higher-growth categories of the beverage alcohol industry to align with consumer-led premiumization, product, and purchasing trends, which we believe will continue to drive faster growth rates across beer, wine, and spirits. To continue capitalizing on consumer-led premiumization trends, become more competitive, and grow our business, we have employed a strategy dedicated to organic growth and supplemented by targeted investments and acquisitions. We also believe a key component to driving faster growth rates is to invest and strengthen our position within the DTC and 3-tier eCommerce channels. We believe our multi-year Digital Business Acceleration initiative will enable us to drive results by enhancing our technology capabilities in key areas. In Fiscal 2025, we continue to focus on end-to-end digital supply chain planning, logistics, and procurement, as well as introducing a new focus area, revenue growth management. Additionally, we believe our continued focus on maintaining a strong balance sheet provides a solid financial foundation to support our broader strategic initiatives.

Our business strategy for the Beer segment focuses on upholding our leadership position in the U.S. beer market, including the high-end segment, and continuing to grow our high-end imported beer brands through maintenance of leading margins, enhancements to our results of operations and operating cash flow, and exploring new avenues for growth. This includes continued focus on growing our beer portfolio in the U.S. through expanding distribution for key brands, including within the 3-tier eCommerce channel, as well as investing in the next increment of modular capacity additions required to sustain our momentum. We continue to focus on consumer-led innovation by creating new line extensions behind celebrated, trusted brands and package formats, as well as new to world brands, that are intended to meet emerging needs.

Expansion, optimization, and/or construction activities continue under our Mexico Beer Projects to align with our anticipated future growth expectations.

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MD&A Table of Contents

Our business strategy for the Wine and Spirits segment continues to focus on higher-end brands, improving margins, and creating operating efficiencies. We have reshaped our portfolio primarily through an enhanced focus on higher-margin, higher-growth wine and spirits brands. Our business is now organized into three distinct category-based teams focused on (i) U.S. wine, (ii) international wine, and (iii) spirits. While each team has its own distinct brand execution strategy, all three remain aligned to the goal of accelerating performance by growing organic net sales and expanding margins. In addition, we are advancing our aim to become a global, omni-channel competitor in line with consumer preferences. Our business continues to progressively expand into DTC channels (including hospitality), 3-tier eCommerce, and international markets, while remaining a major supplier in U.S. 3-tier brick-and-mortar distribution. In markets where it is feasible, we entered into a contractual arrangement with Southern Glazer’s Wine and Spirits to consolidate our U.S. distribution in order to obtain dedicated distributor selling resources which focus on our U.S. wine and spirits portfolio to drive organic growth.

Marketing, sales, and distribution of our products are primarily managed on a geographic basis allowing us to leverage leading market positions. In addition, market dynamics and consumer trends vary across each of our markets. Within our primary market in the U.S., we offer a range of beverage alcohol products across the imported beer, ABA, and branded wine and spirits categories, with generally separate distribution networks utilized for (i) our beer portfolio and (ii) our wine and spirits portfolio. The environment for our products is competitive in each of our markets.

We remain committed to our long-term financial model of: growing sales, expanding margins, and increasing cash flow in order to achieve earnings per share growth as well as our target net leverage ratio and dividend payout ratio; investing to support the growth of our business; and delivering additional returns to stockholders through periodic share repurchases. Our results of operations and financial condition have been affected by inflation, changing prices, reductions in discretionary income of consumers available to purchase our products, and shifting consumer behaviors, as well as other unfavorable global and regional economic conditions, global supply chain disruptions and constraints, and geopolitical events. We expect some or all of these impacts to continue in Fiscal 2025 which could have a material impact on our results of operations. We intend to continue to monitor the inflationary environment and the impact on the consumer when we consider passing along rising costs through further selling price increases, subject to normal competitive conditions. In addition, we are continuing our commodity and foreign exchange hedging programs while also seeking to identify additional cost savings initiatives. However, there can be no assurance that we will be able to fully mitigate rising costs through increased selling prices and/or cost savings initiatives. Furthermore, to the extent climate-related severe weather events, such as droughts, floods, wildfires, extreme heat, and/or late frosts, continue to occur or accelerate in future periods, it could have a material impact on our results of operations and financial condition.

ESG strategy

During the course of our history, we have been committed to safeguarding our environment, making a positive difference in our communities, and advocating for responsible consumption of beverage alcohol products. We believe our ESG strategy enables us to better meet stakeholder expectations and create and protect value for our business, reflects our Company values, and directly address pressing environmental and societal needs that are important to our stockholders, communities, consumers, and employees.

Specifically, we have focused on areas where we believe we have the greatest opportunities to make meaningful, positive impacts for people and the planet in a manner that strengthens our Company, and we dedicate our resources towards:

Serving as good stewards of our environment and natural resources

Improving water availability and resilience for our communities where we operate; reducing GHG emissions through energy conservation and renewable energy initiatives; and reducing operational waste and enhancing our use of returnable, recyclable, or renewable packaging

Enhancing social equity within our industry and communities

Championing the professional development and advancement of women in the beverage alcohol industry and our communities; enhancing economic development and prosperity in disadvantaged communities; and championing an inclusive workplace culture, characterized by diversity in background and thought, which reflects our consumers and the communities where we live and work

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Promoting responsible beverage alcohol consumption

Ensuring the responsible promotion and marketing of our products; and empowering adults to make responsible choices in their alcohol (substance) consumption by supporting fact-based education, engagement programs, and policies

We developed targets in connection with our strategy to serve as good stewards of our environment and natural resources. During First Quarter 2025, our current breweries in Mexico obtained TRUE Certification for Zero Waste to Landfill, marking a significant milestone in meeting our waste reduction targets.

Recent Developments

Mexicali Brewery

In July 2024, we closed on the sale of the remaining assets classified as held for sale at the canceled Mexicali Brewery.

Sea Smoke acquisition

In June 2024, we acquired the Sea Smoke business, including a California-based luxury wine brand, vineyards, and a production facility. This transaction also included the acquisition of a trademark, inventory, and goodwill. The results of operations of Sea Smoke will be reported in the Wine and Spirits segment and will be included in our consolidated results of operations from the date of acquisition. This acquisition supports our strategic focus on consumer-led premiumization trends and meeting the evolving needs of our consumers.

Divestitures and Investments

Beer segment

Craft Beer Divestitures

In June 2023, we completed the Craft Beer Divestitures. Accordingly, our consolidated results of operations include the results of operations of such craft beer brands through the dates of these divestitures. The Craft Beer Divestitures are consistent with our strategic focus on continuing to grow our high-end imported beer brands through maintenance of leading margins and enhancements to our results of operations.

Daleville Facility

In May 2023, we sold the Daleville Facility in connection with our decision to exit the craft beer business.

Corporate Operations and Other segment

Canopy investment

We have an investment in Canopy, a North American cannabis and CPG company providing medical and adult-use cannabis products, which expands our portfolio into adjacent categories.

Exchangeable Shares —

In April 2024, we elected to convert our 17.1 million Canopy common shares into Exchangeable Shares on a one-for-one basis. Additionally, in April 2024, we exchanged C$81.2 million of the principal amount of our 2023 Canopy Promissory Note for 9.1 million Exchangeable Shares and forgave all accrued but unpaid interest together with the remaining principal amount of the note. As a result of these transactions, we (i) have 26.3 million Exchangeable Shares and (ii) recognized an $83.3 million net gain based on the fair value of Exchangeable Shares on the date of the conversion and exchange. This net gain is included in income (loss) from unconsolidated investments within our consolidated results of operations for First Quarter 2025. For additional information, refer to Note 7.

Canopy Equity Method Investment —

We evaluated the Canopy Equity Method Investment as of May 31, 2023, and determined there was an other-than-temporary impairment. Our conclusion was based on several contributing factors, including: (i) the fair value being less than the carrying value and the uncertainty surrounding Canopy’s stock price recovering in the near-term, (ii) Canopy recorded significant costs in its fourth quarter of fiscal 2023 results designed to align its

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MD&A Table of Contents

Canadian cannabis operations and resources in response to continued unfavorable market trends, (iii) the substantial doubt about Canopy’s ability to continue as a going concern, as disclosed by Canopy, and (iv) Canopy’s identification of material misstatements in certain of its previously reported financial results related to sales in its BioSteel Sports Nutrition Inc. reporting unit that were accounted for incorrectly, including the recording of a goodwill impairment during its restated second quarter of fiscal 2023. As a result, the Canopy Equity Method Investment with a carrying value of $266.2 million was written down to its estimated fair value of $142.7 million, resulting in an impairment of $123.5 million. This loss from impairment was included in income (loss) from unconsolidated investments within our consolidated results for First Quarter 2024. We no longer apply the equity method to our investment in Canopy following the April 2024 conversion of our Canopy common shares to Exchangeable Shares.

Other Canopy investments —

In April 2023, we extended the maturity of the remaining C$100.0 million principal amount of our then-existing Canopy Debt Securities by exchanging them for the 2023 Canopy Promissory Note. The fair value of the Canopy Debt Securities was $69.6 million as of February 28, 2023. As of May 31, 2023, we determined that the 2023 Canopy Promissory Note did not have future economic value and, accordingly, the fair value was reduced to zero.

For additional information on these divestitures and investments refer to Notes 4, 5, and 7.

Results of Operations

Financial Highlights

First Quarter 2025 compared with First Quarter 2024

•Our results of operations were positively impacted by Canopy-related activities, including (i) no longer recognizing equity losses from Canopy’s results following the conversion of our Canopy common shares to Exchangeable Shares, (ii) an impairment of our then-existing Canopy Equity Method Investment recognized in First Quarter 2024, (iii) a decrease in unrealized net losses from the changes in fair value of our investment in Canopy, and (iv) a net gain on the common shares conversion and 2023 Canopy Promissory Note exchange to Exchangeable Shares in First Quarter 2025, and improvements within the Beer segment driven by 7.6% shipment volume growth and a successful execution of cost savings initiatives.

•Net sales increased 6% largely due to an increase in Beer net sales driven primarily by shipment volume growth and favorable impact from pricing, partially offset by a decline in Wine and Spirits net sales driven primarily by a decrease in branded shipment volume.

•Operating income increased 23% largely due to the improvements within the Beer segment resulting from First Quarter 2025 shipment volume growth, favorable pricing, and lower cost of product sold, driven by the successful execution of cost savings initiatives. The operating income growth from the Beer segment was partially offset by declines in (i) the Wine and Spirits segment driven by higher cost of product sold and the decrease in branded shipment volume and (ii) the Corporate Operations and Other segment from higher compensation and benefits as compared to First Quarter 2024.

•Net income attributable to CBI and diluted net income per common share attributable to CBI increased largely due to the items discussed above and lower provision for income taxes.

Comparable Adjustments

Management excludes items that affect comparability from its evaluation of the results of each operating segment as these Comparable Adjustments are not reflective of core operations of the segments. Segment operating performance and the incentive compensation of segment management are evaluated based on core segment operating income (loss) which does not include the impact of these Comparable Adjustments.

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MD&A Table of Contents

As more fully described herein and in the related Notes, the Comparable Adjustments that impacted comparability in our segment results for each period are as follows:

	First Quarter 2025		First Quarter 2024
(in millions)
Cost of product sold
Net gain (loss) on undesignated commodity derivative contracts	$	14.6	$	(34.7)
Settlements of undesignated commodity derivative contracts	8.5		0.6
Flow through of inventory step-up	(1.1)		(0.7)
Comparable Adjustments, Cost of product sold	22.0		(34.8)
Selling, general, and administrative expenses
Transition services agreements activity	(2.8)		(5.7)
Restructuring and other strategic business development costs	(1.8)		(14.9)
Transaction, integration, and other acquisition-related costs	(0.2)		(0.3)
Other gains (losses)	0.4		(6.8)
Comparable Adjustments, Selling, general, and administrative expenses	(4.4)		(27.7)
Comparable Adjustments, Operating income (loss)	$	17.6	$	(62.5)
Comparable Adjustments, Income (loss) from unconsolidated investments	$	83.3	$	(384.4)

Cost of product sold

Undesignated commodity derivative contracts

Net gain (loss) on undesignated commodity derivative contracts represents a net gain (loss) from the changes in fair value of undesignated commodity derivative contracts. The net gain (loss) is reported outside of segment operating results until such time that the underlying exposure is recognized in the segment operating results. At settlement, the net gain (loss) from the changes in fair value of the undesignated commodity derivative contracts is reported in the appropriate operating segment, allowing the results of our operating segments to reflect the economic effects of the commodity derivative contracts without the resulting unrealized mark to fair value volatility.

Flow through of inventory step-up

In connection with acquisitions, the allocation of purchase price in excess of book value for certain inventories on hand at the date of acquisition is referred to as inventory step-up. Inventory step-up represents an assumed manufacturing profit attributable to the acquired business prior to acquisition.

Selling, general, and administrative expenses

Transition services agreements activity

We recognized costs in connection with transition services agreements related to the previous sale of a portion of our wine and spirits business.

Restructuring and other strategic business development costs

We recognized costs in connection with certain activities which are intended to streamline, increase efficiencies, and reduce our cost structure.

Transaction, integration, and other acquisition-related costs

We recognized costs in connection with our investments, acquisitions, and divestitures.

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MD&A Table of Contents

Other gains (losses)

We recognized other gains (losses) primarily from the sale of the Daleville Facility (First Quarter 2024).

Income (loss) from unconsolidated investments

We recognized income (loss) primarily from (i) a net gain on conversion and exchange to Exchangeable Shares (First Quarter 2025), (ii) comparable adjustments to equity in losses from Canopy’s results (First Quarter 2024), (iii) an impairment of our Canopy Equity Method Investment (First Quarter 2024), and (iv) unrealized net losses from the changes in fair value of our securities measured at fair value (First Quarter 2024). For additional information, refer to Notes 4 and 7.

Business Segments

First Quarter 2025 compared to First Quarter 2024

Net sales

	First Quarter 2025		First Quarter 2024		Dollar Change		Percent Change
(in millions)
Beer	$	2,272.8	$	2,098.6	$	174.2	8	%
Wine and Spirits:
Wine	329.3		361.0		(31.7)		(9	%)
Spirits	59.7		55.3		4.4		8	%
Total Wine and Spirits	389.0		416.3		(27.3)		(7	%)
Consolidated net sales	$	2,661.8	$	2,514.9	$	146.9	6	%

	Beer segment	First Quarter 2025		First Quarter 2024		Dollar Change		Percent Change
(in millions, branded product, 24-pack, 12-ounce case equivalents)
Net sales		$	2,272.8	$	2,098.6	$	174.2	8	%
Shipments		115.1		107.0				7.6	%
Depletions (1)								6.4	%

(1)Includes an adjustment to remove volumes associated with the Craft Beer Divestitures for the period March 1, 2023, through May 31, 2023.

The increase in Beer net sales is largely due to (i) $157.4 million of shipment volume growth, which benefited from continued consumer demand, and (ii) $33.4 million of favorable impact from pricing in select markets, partially offset by $16.6 million of unfavorable product mix primarily from a shift in package types.

	Wine and Spirits segment	First Quarter 2025		First Quarter 2024		Dollar Change		Percent Change
(in millions, branded product, 9-liter case equivalents)
Net sales		$	389.0	$	416.3	$	(27.3)	(7	%)
Shipments		5.6		5.9				(5.1	%)
U.S. Wholesale shipments		4.9		5.2				(5.8	%)
Depletions								(12.7	%)

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The decrease in Wine and Spirits net sales is driven by (i) a $23.6 million decrease in branded wine and spirits shipment volume and (ii) $8.1 million of unfavorable product mix, primarily driven by a decline in demand for certain of our mainstream and premium brands and an increase in lower-margin spirits brands, partially offset by $4.3 million from higher contractual distributor payments as compared to First Quarter 2024. The decrease in branded wine and spirits shipment volume is primarily attributable to our U.S. wholesale market, driven by declines in both the overall wine market and in our mainstream and premium wine brands. For First Quarter 2025, the depletions decline outpaced the U.S. Wholesale shipments decline largely driven by challenging U.S. market conditions. We expect U.S. Wholesale shipment volume to align with depletion volume for Fiscal 2025.

Gross profit

	First Quarter 2025		First Quarter 2024		Dollar Change		Percent Change
(in millions)
Beer	$	1,213.1	$	1,098.7	$	114.4	10	%
Wine and Spirits	168.7		193.9		(25.2)		(13	%)
Comparable Adjustments	22.0		(34.8)		56.8		NM
Consolidated gross profit	$	1,403.8	$	1,257.8	$	146.0	12	%

The increase in Beer gross profit is due to (i) $86.1 million of shipment volume growth, (ii) the $33.4 million favorable impact from pricing, and (iii) $8.9 million of reduced cost of product sold, partially offset by $14.0 million of unfavorable product mix. The reduced cost of product sold is primarily due to (i) $12.5 million of favorable fixed cost absorption related to increased production levels as compared to First Quarter 2024 and (ii) $10.8 million of decreased transportation costs and $9.5 million of lower material costs, including aluminum, glass, and lumber, each driven by efficiency initiatives, partially offset by (i) $7.5 million of foreign currency transactional losses, (ii) a $6.8 million increase in brewery costs, including compensation and benefits and IT expenses, and (iii) $5.0 million of higher depreciation resulting from the Mexico Beer Projects. To partially offset the expected increases in cost of product sold we are executing efficiency initiatives focused largely on logistics and procurement that resulted in nearly $50 million of cost savings for First Quarter 2025.

The decrease in Wine and Spirits gross profit is attributable to (i) $12.9 million of higher cost of product sold, (ii) a $12.1 million decrease in branded wine and spirits shipment volume, and (iii) $5.7 million of unfavorable product mix from lower-margin net sales, partially offset by the $4.3 million favorable impact from higher contractual distributor payments. The increase in cost of product sold was largely attributable to increased raw materials, including grapes, partially offset by decreased transportation and warehousing costs.

Gross profit as a percent of net sales increased to 52.7% for First Quarter 2025 compared with 50.0% for First Quarter 2024. This increase was largely due to (i) a favorable change of 215 basis points in Comparable Adjustments, (ii) approximately 60 basis points of favorable impact from Beer pricing in select markets, and (iii) approximately 35 basis points of rate growth from lower cost of product sold within the Beer segment, partially offset by approximately 50 basis points of rate decline resulting from higher cost of product sold within the Wine and Spirits segment.

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Selling, general, and administrative expenses

	First Quarter 2025		First Quarter 2024		Dollar Change		Percent Change
(in millions)
Beer	$	290.1	$	300.9	$	(10.8)	(4	%)
Wine and Spirits	109.0		114.6		(5.6)		(5	%)
Corporate Operations and Other	58.7		49.9		8.8		18	%
Comparable Adjustments	4.4		27.7		(23.3)		NM
Consolidated selling, general, and administrative expenses	$	462.2	$	493.1	$	(30.9)	(6	%)

The decrease in Beer selling, general, and administrative expenses is largely driven by $8.5 million of decreased marketing spend primarily driven by a planned timing shift of media investments to build awareness of our high-end imported beer brands as compared to First Quarter 2024.

The decrease in Wine and Spirits selling, general, and administrative expenses is largely due to $5.5 million of decreased general and administrative expenses primarily due to lower (i) legal expenses and (ii) compensation and benefits, primarily due to reduced headcount and stock-based compensation expense as compared to First Quarter 2024.

The increase in Corporate Operations and Other selling, general, and administrative expenses is largely due to an increase in compensation and benefits, driven by higher stock-based compensation expense as compared to First Quarter 2024 and increased legal and third-party expenses.

Selling, general, and administrative expenses as a percent of net sales decreased to 17.4% for First Quarter 2025 as compared to 19.6% for First Quarter 2024. The decrease is largely driven by (i) approximately 165 basis points of rate decline from Beer as the increase in Beer net sales significantly outpaced the decrease in selling, general, and administrative expenses and (ii) a favorable change in Comparable Adjustments, contributing approximately 90 basis points of rate decline, partially offset by approximately 35 basis points of rate growth from the increase in Corporate Operations and Other selling, general, and administrative expenses.

Operating income (loss)

	First Quarter 2025		First Quarter 2024		Dollar Change		Percent Change
(in millions)
Beer	$	923.0	$	797.8	$	125.2	16	%
Wine and Spirits	59.7		79.3		(19.6)		(25	%)
Corporate Operations and Other	(58.7)		(49.9)		(8.8)		(18	%)
Comparable Adjustments	17.6		(62.5)		80.1		NM
Consolidated operating income (loss)	$	941.6	$	764.7	$	176.9	23	%

The increase in Beer operating income is largely attributable to the shipment volume growth, cost savings initiatives, favorable pricing impact, and lower material costs, partially offset by the unfavorable product mix.

The decrease in Wine and Spirits operating income is largely attributable to the higher cost of product sold, decline in branded wine and spirits shipment volume, and unfavorable product mix, partially offset by the higher contractual distributor payments and decreased selling, general, and administrative expenses, as described above.

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As previously discussed, the increase in Corporate Operations and Other operating loss is largely due to the higher compensation and benefits expense as compared to First Quarter 2024.

Income (loss) from unconsolidated investments

	First Quarter 2025		First Quarter 2024		Dollar Change		Percent Change
(in millions)
Net gain on conversion and exchange to Exchangeable Shares	$	83.3	$	—	$	83.3	NM
Equity in earnings (losses) from other equity method investees and related activities	(1.3)		(0.3)		(1.0)		NM
Equity in earnings (losses) from Canopy and related activities	—		(219.8)		219.8		NM
Impairment of equity method investments	—		(123.5)		123.5		NM
Unrealized net gain (loss) on securities measured at fair value	—		(71.8)		71.8		NM
	$	82.0	$	(415.4)	$	497.4	NM

Interest expense, net

Interest expense, net decreased to $102.8 million for First Quarter 2025 as compared to $118.9 million for First Quarter 2024. This decrease of $16.1 million, or 14%, is due to (i) approximately $565 million of lower average borrowings driven by reduced commercial paper outstanding, (ii) approximately 10 basis points of lower weighted average interest rates, and (iii) an increase in capitalized interest in connection with the Mexico Beer Projects as compared to the First Quarter 2024. For additional information, refer to Note 8.

(Provision for) benefit from income taxes

The provision for income taxes decreased to $28.0 million for First Quarter 2025 from $91.2 million for First Quarter 2024. Our effective tax rate for First Quarter 2025 was 3.0% as compared with 39.6% for First Quarter 2024. In comparison to prior year, our income taxes were impacted primarily by:

• a decrease in the valuation allowance related to our investment in Canopy; and

•a First Quarter 2025 net income tax benefit recognized as a result of the resolution of various tax examinations and assessments related to prior periods; partially offset by

•a First Quarter 2024 net income tax benefit recognized as a result of a change in tax entity classification.

For additional information, refer to Note 9.

We expect our reported effective tax rate for Fiscal 2025 to be in the range of 11% to 13%. This range includes an expected net income tax benefit following the July 2024 closing on the sale of the remaining assets at the canceled Mexicali Brewery.

Net income (loss) attributable to CBI

Net income attributable to CBI increased to $877.0 million for First Quarter 2025 from $135.9 million for First Quarter 2024. This increase of $741.1 million is largely attributable to the (i) favorable impact from Canopy-related activities, (ii) the First Quarter 2025 improvements within the Beer segment driven by shipment volume growth and the successful execution of cost savings initiatives, and (iii) the lower provision from income taxes, partially offset by the decline in performance within the Wine and Spirits segment.

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Liquidity and Capital Resources

General

Our primary source of liquidity has been cash flow from operating activities. Our ability to consistently generate robust cash flow from our operations is one of our most significant financial strengths; it enables us to invest in our people and our brands, make capital investments and strategic acquisitions, provide a cash dividend program, and from time-to-time, repurchase shares of our common stock. Our largest use of cash in our operations is for purchasing and carrying inventories and carrying seasonal accounts receivable. Historically, we have used this cash flow to repay our short-term borrowings and fund capital expenditures. Additionally, our commercial paper program is used to fund our short-term borrowing requirements and to maintain our access to the capital markets. We use our short-term borrowings, including our commercial paper program, to support our working capital requirements and capital expenditures, among other things.

We seek to maintain adequate liquidity to meet working capital requirements, fund capital expenditures, and repay scheduled principal and interest payments on debt. Absent deterioration of market conditions, we believe that cash flows from operating and financing activities will provide adequate resources to satisfy our working capital, scheduled principal and interest payments on debt, anticipated dividend payments, periodic share repurchases, and anticipated capital expenditure requirements for both our short-term and long-term capital needs.

We have an agreement with a financial institution for payment services and to facilitate a voluntary supply chain finance program through this participating financial institution. The program is available to certain of our suppliers allowing them the option to manage their cash flow. We are not a party to the agreements between the participating financial institution and the suppliers in connection with the program. Our rights and obligations to our suppliers, including amounts due and scheduled payment terms, are not impacted. As of May 31, 2024 and February 29, 2024, the amount payable to this participating financial institution for suppliers who voluntarily participate in the supply chain finance program was $5.3 million and $7.3 million, respectively, and was included in accounts payable within our consolidated balance sheets. We account for payments made under the supply chain finance program the same as our other accounts payable, as a reduction to our cash flow from operating activities.

Cash Flows

	First Quarter 2025		First Quarter 2024		Dollar Change
(in millions)
Net cash provided by (used in):
Operating activities	$	690.5	$	665.4	$	25.1
Investing activities	(377.4)		(291.9)		(85.5)
Financing activities	(393.0)		(314.7)		(78.3)
Effect of exchange rate changes on cash and cash equivalents	1.3		0.2		1.1
Net increase (decrease) in cash and cash equivalents	$	(78.6)	$	59.0	$	(137.6)

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Operating activities

The increase in net cash provided by (used in) operating activities consists of:

	First Quarter 2025		First Quarter 2024		Dollar Change
(in millions)
Net income (loss)	$	892.8	$	139.2	$	753.6
Unrealized net (gain) loss on securities measured at fair value	—		71.8		(71.8)
Deferred tax provision (benefit)	25.0		(0.3)		25.3
Equity in (earnings) losses of equity method investees and related activities, net of distributed earnings	1.3		220.6		(219.3)
Impairment of equity method investments	—		123.5		(123.5)
Net gain on conversion and exchange to Exchangeable Shares	(83.3)		—		(83.3)
Other non-cash adjustments	46.2		232.3		(186.1)
Change in operating assets and liabilities, net of effects from purchase and sale of business	(191.5)		(121.7)		(69.8)
Net cash provided by (used in) operating activities	$	690.5	$	665.4	$	25.1

The $69.8 million net change in operating assets and liabilities was largely driven by higher (i) inventory levels for the Wine and Spirits segment and (ii) accounts receivable for the Beer segment resulting from net sales growth. These changes were offset by (i) a decrease in accounts receivable for the Wine and Spirits segment resulting from reduced net sales and (ii) changes in prepaid expenses and other current assets for the Beer segment driven by the timing of collections for recoverable value-added taxes. Additionally, net cash provided by operating activities was negatively impacted by higher First Quarter 2025 income tax payments following the resolution of various tax examinations and assessments as compared to First Quarter 2024.

Investing activities

Net cash used in investing activities increased to $377.4 million for First Quarter 2025 from $291.9 million for First Quarter 2024. This increase of $85.5 million, or 29%, was primarily due to $98.3 million of additional capital expenditures for First Quarter 2025 largely related to the Mexico Beer Projects, partially offset by $12.9 million in proceeds from the sale of assets for First Quarter 2025.

Financing activities

The increase in net cash provided by (used in) financing activities consists of:

	First Quarter 2025		First Quarter 2024		Dollar Change
(in millions)
Net proceeds from (payments of) debt, current and long-term, and related activities	$	(0.4)	$	(109.0)	$	108.6
Dividends paid	(185.3)		(164.1)		(21.2)
Purchases of treasury stock	(200.0)		(35.0)		(165.0)
Net cash provided by stock-based compensation activities	10.9		4.7		6.2
Distributions to noncontrolling interests	(17.5)		(11.3)		(6.2)
Payment of contingent consideration	(0.7)		—		(0.7)
Net cash provided by (used in) financing activities	$	(393.0)	$	(314.7)	$	(78.3)

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Debt

Total debt outstanding as of May 31, 2024, remained flat as compared to February 29, 2024. The issuances and repayments of debt for First Quarter 2025 were as follows:

Debt repayment Debt issuance

Bank facilities

The Company, CB International, the Administrative Agent, and certain other lenders are parties to the 2022 Credit Agreement. The October 2022 Credit Agreement Amendment revised certain defined terms and covenants in the 2022 Credit Agreement and became effective in April 2024 following (i) the amendment by Canopy of its Articles of Incorporation, (ii) the conversion of our Canopy common shares into Exchangeable Shares, and (iii) the resignation of our nominees from the board of directors of Canopy.

General

The majority of our outstanding borrowings as of May 31, 2024, consisted of fixed-rate senior unsecured notes, with maturities ranging from calendar 2024 to calendar 2050.

Additionally, we have a commercial paper program which provides for the issuance of up to an aggregate principal amount of $2.25 billion of commercial paper. Our commercial paper program is backed by unused commitments under our revolving credit facility under our 2022 Credit Agreement. Accordingly, outstanding borrowings under our commercial paper program reduce the amount available under our revolving credit facility.

We do not have purchase commitments from buyers for our commercial paper and, therefore, our ability to issue commercial paper is subject to market demand. If the commercial paper market is not available to us for any reason when commercial paper borrowings mature, we will utilize unused commitments under our revolving credit facility under our 2022 Credit Agreement to repay commercial paper borrowings. We do not expect that fluctuations in demand for commercial paper will affect our liquidity given our borrowing capacity available under our revolving credit facility.

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We had the following remaining borrowing capacity available under our 2022 Credit Agreement:

	May 31, 2024		June 28, 2024
(in millions)
Revolving credit facility (1)	$	1,443.1	$	1,492.2

(1)Net of outstanding revolving credit facility borrowings and outstanding letters of credit under our 2022 Credit Agreement and outstanding borrowings under our commercial paper program (excluding unamortized discount) of $795.5 million and $746.5 million as of May 31, 2024, and June 28, 2024, respectively.

The financial institutions participating in our 2022 Credit Agreement have complied with prior funding requests and we believe they will comply with any future funding requests. However, there can be no assurances that any particular financial institution will continue to do so.

As of May 31, 2024, we and our subsidiaries were subject to covenants that are contained in our 2022 Credit Agreement, including those restricting the incurrence of additional subsidiary indebtedness, additional liens, mergers and consolidations, transactions with affiliates, and sale and leaseback transactions, in each case subject to numerous conditions, exceptions, and thresholds. The financial covenants are limited to a minimum interest coverage ratio and a maximum net leverage ratio, both as defined in our 2022 Credit Agreement. As of May 31, 2024, under our 2022 Credit Agreement, the minimum interest coverage ratio was 2.5x and the maximum net leverage ratio was 4.0x.

Our indentures relating to our outstanding senior notes contain certain covenants, including, but not limited to: (i) a limitation on liens on certain assets, (ii) a limitation on certain sale and leaseback transactions, and (iii) restrictions on mergers, consolidations, and the transfer of all or substantially all of our assets to another person.

As of May 31, 2024, we were in compliance with our covenants under our 2022 Credit Agreement and our indentures, and have met all debt payment obligations.

For further discussion and presentation of our borrowings and available sources of borrowing, refer to Note 12 of our consolidated financial statements included in our 2024 Annual Report and Note 8.

Common Stock Dividends

On July 2, 2024, our Board of Directors declared a quarterly cash dividend of $1.01 per share of Class A Stock and $0.91 per share of Class 1 Stock payable on August 23, 2024, to stockholders of record of each class as of the close of business on August 14, 2024.

We currently expect to continue to pay a regular quarterly cash dividend to stockholders of our common stock in the future, but such payments are subject to approval of our Board of Directors and are dependent upon our financial condition, results of operations, capital requirements, and other factors, including those set forth under Item 1A. “Risk Factors” of our 2024 Annual Report.

Share Repurchase Program

Our Board of Directors authorized the repurchase of our publicly traded common stock of up to $2.0 billion under the 2021 Authorization and an additional repurchase of up to $2.0 billion under the 2023 Authorization.

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As of July 3, 2024, total shares repurchased under the 2021 Authorization and the 2023 Authorization are as follows:

			Class A Stock
	Repurchase Authorization		Dollar Value of Shares Repurchased		Number of Shares Repurchased
(in millions, except share data)
2021 Authorization	$	2,000.0	$	1,633.3	6,838,453
2023 Authorization	$	2,000.0	$	—	—

Share repurchases under the 2021 Authorization and 2023 Authorization may be accomplished at management’s discretion from time to time based on market conditions, our cash and debt position, and other factors as determined by management. Shares may be repurchased through open market or privately negotiated transactions. We may fund future share repurchases with cash generated from operations and/or proceeds from borrowings. Any repurchased shares will become treasury shares, including shares previously repurchased under the 2021 Authorization.

We currently expect to continue to repurchase shares in the future, but such repurchases are dependent upon our financial condition, results of operations, capital requirements, and other factors, including those set forth under Item 1A. “Risk Factors” of our 2024 Annual Report.

For additional information, refer to Note 17 of our consolidated financial statements included in our 2024 Annual Report and Note 10.

Accounting Guidance

Accounting guidance adopted for First Quarter 2025 did not have a material impact on our Financial Statements.

Information Regarding Forward-Looking Statements

This Form 10-Q contains “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. These forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those set forth in, or implied by, such forward-looking statements. All statements other than statements of historical fact included in this Form 10-Q are forward-looking statements, including without limitation:

•The statements under MD&A regarding:

◦our business strategy, strategic vision, growth plans, innovation and Digital Business Acceleration initiatives, new products, future operations, financial position, net sales, expenses, hedging programs, cost savings initiatives, capital expenditures, effective tax rates and anticipated tax liabilities, expected volume, inventory, supply, and demand levels, balance, and trends, long-term financial model, access to capital markets, liquidity and capital resources, and prospects, plans, and objectives of management;

◦our beer expansion, optimization, and/or construction activities, including anticipated scope, capacity, costs, capital expenditures, and timeframes for completion;

◦the expected tax benefits resulting from the closing on the sale of the remaining assets classified as held for sale at the Mexicali Brewery;

◦our ESG strategy, sustainability initiatives, and environmental stewardship targets;

◦anticipated inflationary pressures, changing prices, and reductions in consumer discretionary income as well as other unfavorable global and regional economic conditions, and geopolitical events, and our responses thereto;

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◦the potential impact to supply, production levels, and costs due to global supply chain disruptions and constraints and shifting consumer behaviors;

◦expected or potential actions of third parties, including possible changes to laws, rules, and regulations;

◦the potential impact of climate-related severe weather events;

◦the availability of a supply chain finance program;

◦the manner, timing, and duration of the share repurchase program and source of funds for share repurchases;

◦the amount and timing of future dividends and our target dividend payout ratio; and

◦our target net leverage ratio.

•The statements regarding the future reclassification of net gains from AOCI.

•The statements regarding potential future impairments of our Wine and Spirits goodwill or Canopy investment.

When used in this Form 10-Q, the words “anticipate,” “expect,” “intend,” “will,” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. All forward-looking statements speak only as of the date of this Form 10-Q. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. In addition to the risks and uncertainties of ordinary business operations and conditions in the general economy and markets in which we compete, our forward-looking statements contained in this Form 10-Q are also subject to the risk, uncertainty, and possible variance from our current expectations regarding:

•water, agricultural and other raw material, and packaging material supply, production, and/or shipment difficulties which could adversely affect our ability to supply our customers;

•the ability to respond to anticipated inflationary pressures, including reductions in consumer discretionary income and our ability to pass along rising costs through increased selling prices;

•the actual impact to supply, production levels, and costs from global supply chain disruptions and constraints, transportation challenges (including from labor strikes or other labor activities), shifting consumer behaviors, wildfires, and severe weather events;

•reliance on complex information systems and third‐party global networks as well as risks associated with cybersecurity and artificial intelligence;

•economic and other uncertainties associated with our international operations;

•dependence on limited facilities for production of our Mexican beer brands, including beer operations expansion, optimization, and/or construction activities, scope, capacity, supply, costs (including impairments), capital expenditures, and timing;

•results of the closing on the sale of the remaining assets classified as held for sale at the Mexicali Brewery inclusive of the expected tax benefits;

•operational disruptions or catastrophic loss to our breweries, wineries, other production facilities, or distribution systems;

•the impact of military conflicts, geopolitical tensions, and responses, including on inflation, supply chains, commodities, energy, and cybersecurity;

•climate change, ESG regulatory compliance and failure to meet emissions, stewardship, and other ESG targets, objectives, or ambitions;

•reliance on wholesale distributors, major retailers, and government agencies;

•contamination and degradation of product quality from diseases, pests, weather, and other conditions;

•communicable disease outbreaks, pandemics, or other widespread public health crises and associated governmental containment actions;

•effects of employee labor activities that could increase our costs;

•a potential decline in the consumption of products we sell and our dependence on sales of our Mexican beer brands;

•impacts of our acquisition, divestiture, investment, and new product innovation strategies and activities, including the Sea Smoke acquisition;

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•the success of operational and commercial execution initiatives for our wine and spirits business;

•dependence upon our trademarks and proprietary rights, including the failure to protect our intellectual property rights;

•potential damage to our reputation;

•competition in our industry and for talent;

•our indebtedness and interest rate fluctuations;

•our international operations, worldwide and regional economic trends and financial market conditions, geopolitical uncertainty, or other governmental rules and regulations;

•class action or other litigation we may face;

•potential write-downs of our intangible assets, such as goodwill and trademarks;

•changes to tax laws, fluctuations in our effective tax rate, accounting for tax positions, the resolution of tax disputes, changes to accounting standards, elections, assertions, or policies, and the impact of a global minimum tax rate;

•the amount, timing, and source of funds for any share repurchases;

•the amount and timing of future dividends; and

•ownership of our Class A Stock by the Sands Family Stockholders and their Board of Director nomination rights as well as the choice-of-forum provision in our Amended and Restated By-laws.

For additional information about risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by our forward-looking statements, please refer to Item 1A. “Risk Factors” of our 2024 Annual Report.

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OTHER KEY INFORMATION Table of Contents

Item 3.    Quantitative and Qualitative Disclosures About Market Risk.

As a result of our global operating, investment, acquisition, divestiture, and financing activities, we are exposed to market risk associated with changes in foreign currency exchange rates, commodity prices, and interest rates. To manage the volatility relating to these risks, we periodically purchase and/or sell derivative instruments including foreign currency forward and option contracts, commodity swap contracts, interest rate swap contracts, and Pre-issuance hedge contracts. We use derivative instruments to reduce earnings and cash flow volatility resulting from shifts in market rates, as well as to hedge economic exposures. We do not enter into derivative instruments for trading or speculative purposes.

Foreign currency and commodity price risk

Foreign currency derivative instruments are or may be used to hedge existing foreign currency denominated assets and liabilities, forecasted foreign currency denominated sales/purchases to/from third parties as well as intercompany sales/purchases, intercompany principal and interest payments, and in connection with investments, acquisitions, or divestitures outside the U.S. As of May 31, 2024, we had exposures to foreign currency risk primarily related to the Mexican peso, Canadian dollar, New Zealand dollar, and euro. Approximately 100% of our balance sheet exposures and 83% of our forecasted transactional exposures for the remaining nine months of Fiscal 2025 were hedged as of May 31, 2024.

Commodity derivative instruments are or may be used to hedge forecasted commodity purchases from third parties as either economic hedges or accounting hedges. As of May 31, 2024, exposures to commodity price risk which we are currently hedging include aluminum, corn, diesel fuel, and natural gas prices. Approximately 80% of our forecasted transactional exposures for the remaining nine months of Fiscal 2025 were hedged as of May 31, 2024.

We have performed a sensitivity analysis to estimate our exposure to market risk of foreign exchange rates and commodity prices reflecting the impact of a hypothetical 10% adverse change in the applicable market. The volatility of the applicable rates and prices is dependent on many factors which cannot be forecasted with reliable accuracy. Gains or losses from the revaluation or settlement of the related underlying positions would substantially offset such gains or losses on the derivative instruments. The aggregate notional value, estimated fair value, and sensitivity analysis for our open foreign currency and commodity derivative instruments are summarized as follows:

	Aggregate Notional Value				Fair Value, Net Asset (Liability)				Increase (Decrease) in Fair Value – Hypothetical 10% Adverse Change
	May 31, 2024		May 31, 2023		May 31, 2024		May 31, 2023		May 31, 2024		May 31, 2023
(in millions)
Foreign currency contracts	$	2,912.6	$	2,550.2	$	284.9	$	287.0	$	(181.6)	$	(172.9)
Commodity derivative contracts	$	351.5	$	392.1	$	(6.7)	$	(35.3)	$	29.3	$	30.0

Interest rate risk

The estimated fair value of our fixed interest rate debt is subject to interest rate risk, credit risk, and foreign currency risk. In addition, we also have variable interest rate debt outstanding (primarily SOFR-based), certain of which includes a fixed margin subject to the same risks identified for our fixed interest rate debt.

There were no cash flow designated or undesignated interest rate swap contracts or Pre-issuance hedge contracts outstanding as of May 31, 2024, or May 31, 2023.

We have performed a sensitivity analysis to estimate our exposure to market risk of interest rates reflecting the impact of a hypothetical 1% increase in the prevailing interest rates. The volatility of the applicable rates is dependent on many factors which cannot be forecasted with reliable accuracy.

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OTHER KEY INFORMATION Table of Contents

The aggregate notional value, estimated fair value, and sensitivity analysis for our outstanding fixed-rate debt, including current maturities, are summarized as follows:

	Aggregate Notional Value				Fair Value, Net Asset (Liability)				Increase (Decrease) in Fair Value – Hypothetical 1% Rate Increase
	May 31, 2024		May 31, 2023		May 31, 2024		May 31, 2023		May 31, 2024		May 31, 2023
(in millions)
Fixed interest rate debt	$	11,165.7	$	11,324.5	$	(10,176.1)	$	(10,435.9)	$	(577.7)	$	(642.5)

A 1% hypothetical change in the prevailing interest rates would have increased interest expense on our variable interest rate debt by $0.9 million and $4.2 million for the three months ended May 31, 2024, and May 31, 2023, respectively.

For additional discussion on our market risk, refer to Notes 3 and 4.

Item 4.    Controls and Procedures.

Disclosure controls and procedures

Our Chief Executive Officer and our Chief Financial Officer have concluded, based on their evaluation as of the end of the period covered by this report, that the Company’s “disclosure controls and procedures” (as defined in the Exchange Act Rules 13a-15(e) and 15d-15(e)) are effective to ensure that information required to be disclosed in the reports that we file or submit under the Exchange Act (i) is recorded, processed, summarized, and reported within the time periods specified in the SEC’s rules and forms, and (ii) is accumulated and communicated to our management, including our Chief Executive Officer and our Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosure.

Internal control over financial reporting

In connection with the foregoing evaluation by our Chief Executive Officer and our Chief Financial Officer, no changes were identified in the Company’s “internal control over financial reporting” (as defined in the Exchange Act Rules 13a-15(f) and 15d-15(f)) that occurred during our fiscal quarter ended May 31, 2024, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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OTHER KEY INFORMATION Table of Contents

PART II – OTHER INFORMATION

Item 2.    Unregistered Sales of Equity Securities and Use of Proceeds.

Issuer Purchases of Equity Securities

Period	Total Number of Shares Purchased	Average Price Paid Per Share		Total Number of Shares Purchased as Part of a Publicly Announced Program	Approximate Dollar Value of Shares that May Yet Be Purchased Under the Program (1)(2)(3)
(in millions, except share and per share data)
March 1 – 31, 2024	—	$	—	—	$	2,613.7
April 1 – 30, 2024	509,183	$	259.21	509,183	$	2,481.7
May 1 – 31, 2024	266,151	$	255.42	266,151	$	2,413.7
Total	775,334	$	257.91	775,334

(1)In January 2021, we announced that our Board of Directors authorized the repurchase of up to $2.0 billion of our publicly traded common stock under the 2021 Authorization. The Board of Directors did not specify a date upon which the 2021 Authorization would expire. Share repurchases for the periods included herein were effected through open market transactions and exclude the impact of Federal excise tax owed pursuant to the IRA.

(2)In November 2023, we announced that our Board of Directors authorized an additional repurchase of up to $2.0 billion of our publicly traded common stock under the 2023 Authorization. The Board of Directors did not specify a date upon which the 2023 Authorization would expire. No shares have been repurchased under the 2023 Authorization.

(3)Beginning May 31, 2024, we repurchased 187,843 shares of Class A Stock pursuant to the 2021 Authorization at an average cost of $250.51 per share through open market transactions made pursuant to a Rule 10b5-1 trading plan.

Item 5.    Other Information.

During the three months ended May 31, 2024, none of our directors or officers (as defined in Exchange Act Rule 16a-1(f)) adopted or terminated a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as each term is defined in Item 408 of Regulation S-K.

Item 6.    Exhibits.

		Incorporated by Reference
Exhibit No.	Exhibit Description	Form	Exhibit	Filing Date
3.1	Amended and Restated Certificate of Incorporation of the Company.	8-K	3.1	November 10, 2022
3.2	Amended and Restated By-Laws of the Company.	8-K	3.2	November 10, 2022
4.1	Indenture, dated as of April 17, 2012, by and among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.1	April 23, 2012
4.1.1	Supplemental Indenture No. 8, with respect to 4.750% Senior Notes due 2024, dated as of November 3, 2014, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.2	November 7, 2014

Constellation Brands, Inc. Q1 FY 2025 Form 10-Q #WORTHREACHINGFOR    I    40

OTHER KEY INFORMATION Table of Contents

		Incorporated by Reference
Exhibit No.	Exhibit Description	Form	Exhibit	Filing Date
4.1.2	Supplemental Indenture No. 9, with respect to 4.750% Senior Notes due 2025, dated as of December 4, 2015, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.1	December 8, 2015
4.1.3	Supplemental Indenture No. 10, dated as of January 15, 2016, among the Company, Home Brew Mart, Inc., and M&T, as Trustee.	10-K	4.26	April 25, 2016
4.1.4	Supplemental Indenture No. 11 with respect to 3.700% Senior Notes due 2026, dated as of December 6, 2016, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.1	December 6, 2016
4.1.5	Supplemental Indenture No. 13 with respect to 3.500% Senior Notes due 2027, dated as of May 9, 2017, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.2	May 9, 2017
4.1.6	Supplemental Indenture No. 14 with respect to 4.500% Senior Notes due 2047, dated as of May 9, 2017, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.3	May 9, 2017
4.1.7	Supplemental Indenture No. 19 with respect to 3.600% Senior Notes due 2028, dated as of February 7, 2018, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.2	February 7, 2018
4.1.8	Supplemental Indenture No. 20 with respect to 4.100% Senior Notes due 2048, dated as of February 7, 2018, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.3	February 7, 2018
4.1.9	Supplemental Indenture No. 22 with respect to 4.400% Senior Notes due 2025, dated as of October 29, 2018, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.2	October 29, 2018
4.1.10	Supplemental Indenture No. 23 with respect to 4.650% Senior Notes due 2028, dated as of October 29, 2018, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.3	October 29, 2018
4.1.11	Supplemental Indenture No. 24 with respect to 5.250% Senior Notes due 2048, dated as of October 29, 2018, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.4	October 29, 2018
4.1.12	Supplemental Indenture No. 25 with respect to 3.150% Senior Notes due 2029, dated as of July 29, 2019, among the Company, as Issuer, certain subsidiaries, as Guarantors, and M&T, as Trustee.	8-K	4.1	July 29, 2019
4.1.13	Supplemental Indenture No. 26 with respect to 2.875% Senior Notes due 2030, dated as of April 27, 2020, among the Company, as Issuer, and M&T, as Trustee.	8-K	4.1	April 27, 2020
4.1.14	Supplemental Indenture No. 27 with respect to 3.750% Senior Notes due 2050, dated as of April 27, 2020, among the Company, as Issuer, and M&T, as Trustee.	8-K	4.2	April 27, 2020
4.1.15	Supplemental Indenture No. 28 with respect to 2.250% Senior Notes due 2031, dated as of July 26, 2021, among the Company, as Issuer, and M&T, as Trustee.	8-K	4.1	July 26, 2021
4.1.16	Supplemental Indenture No. 30 with respect to 4.350% Senior Notes due 2027, dated as of May 9, 2022, among the Company, as Issuer, and M&T, as Trustee.	8-K	4.2	May 9, 2022

Constellation Brands, Inc. Q1 FY 2025 Form 10-Q #WORTHREACHINGFOR    I    41

OTHER KEY INFORMATION Table of Contents

		Incorporated by Reference
Exhibit No.	Exhibit Description	Form	Exhibit	Filing Date
4.1.17	Supplemental Indenture No. 31 with respect to 4.750% Senior Notes due 2032, dated as of May 9, 2022, among the Company, as Issuer, and M&T, as Trustee.	8-K	4.3	May 9, 2022
4.1.18	Supplemental Indenture No. 32 with respect to 5.000% Senior Notes due 2026, dated as of February 2, 2023, among the Company, as Issuer, and M&T, as Trustee.	8-K	4.1	February 2, 2023
4.1.19	Supplemental Indenture No. 33 with respect to 4.900% Senior Notes due 2033, dated as of May 1, 2023, among the Company, as Issuer, and M&T, as Trustee.	8-K	4.1	May 1, 2023
4.1.20	Supplemental Indenture No. 34 with respect to 4.800% Senior Notes due 2029, dated as of January 11, 2024, among the Company, as Issuer, and M&T, as Trustee.	8-K	4.1	January 11, 2024
4.2	Restatement Agreement, dated as of April 14, 2022, by and among the Company, CB International, Bank of America, N.A., as Administrative Agent, and the Lenders party thereto, including the Tenth Amended and Restated Credit Agreement dated as of April 14, 2022, by and among the Company, CB International, Bank of America, N.A., as Administrative Agent, and the Lenders party thereto. †	8-K	4.1	April 15, 2022
4.2.1	Amendment No. 1, dated as of October 18, 2022, to Tenth Amended and Restated Credit Agreement, dated as of April 14, 2022, by and among the Company, CB International Finance S.à r.l., Bank of America, N.A., as Administrative Agent, and the Lenders party thereto. †	8-K	4.2	October 26, 2022
10.1	Executive Employment Agreement made as of March 11, 2024, between the Company and Samuel J. Glaetzer. *	10-K	10.10	April 23, 2024
10.2	Form of Performance Share Unit Agreement with respect to the Company’s Long-Term Stock Incentive Plan (awards on or after April 25, 2024) (filed herewith). *†
31.1	Certification of Chief Executive Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Exchange Act (filed herewith).
31.2	Certification of Chief Financial Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Exchange Act (filed herewith).
32.1	Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350 (furnished herewith).
32.2	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350 (furnished herewith).
101.INS	XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document (filed herewith).
101.SCH	XBRL Taxonomy Extension Schema Document (filed herewith).
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document (filed herewith).
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document (filed herewith).
101.LAB	XBRL Taxonomy Extension Labels Linkbase Document (filed herewith).

Constellation Brands, Inc. Q1 FY 2025 Form 10-Q #WORTHREACHINGFOR    I    42

OTHER KEY INFORMATION Table of Contents

		Incorporated by Reference
Exhibit No.	Exhibit Description	Form	Exhibit	Filing Date
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document (filed herewith).
104	Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).

*	Designates management contract or compensatory plan or arrangement.
†	The exhibits, disclosure schedules, and other schedules, as applicable, have been omitted pursuant to Item 601(a)(5) of Regulation S-K. The Company agrees to furnish supplementally a copy of such exhibits, disclosure schedules, and other schedules, as applicable, or any section thereof, to the SEC upon request.

The Company agrees, upon request of the SEC, to furnish copies of each instrument that defines the rights of holders of long-term debt of the Company or its subsidiaries that is not filed herewith pursuant to Item 601(b)(4)(iii)(A) because the total amount of long-term debt authorized under such instrument does not exceed 10% of the total assets of the Company and its subsidiaries on a consolidated basis.

Constellation Brands, Inc. Q1 FY 2025 Form 10-Q #WORTHREACHINGFOR    I    43

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

		CONSTELLATION BRANDS, INC.
Date:	July 3, 2024	By:	/s/ Darrell Hearne
			Darrell Hearne, Senior Vice President and Controller
Date:	July 3, 2024	By:	/s/ Garth Hankinson
			Garth Hankinson, Executive Vice President and Chief Financial Officer (principal financial officer and principal accounting officer)

Constellation Brands, Inc. Q1 FY 2025 Form 10-Q #WORTHREACHINGFOR    I    44

EX-10.2

Exhibit 10.2

PERFORMANCE SHARE UNIT AGREEMENT

Pursuant to the

CONSTELLATION BRANDS, INC.

LONG-TERM STOCK INCENTIVE PLAN

Name of Participant:
Grant Date:
Target Number of Performance Share Units:
Service Vesting Date:
Earliest Retirement Date:	The first November 1st that is at least six months following the Date of Grant
PSU Payment Period	Within the two-week period following the Service Vesting Date

Constellation Brands, Inc. (the “Company”) hereby awards to the designated participant (the “Participant”), the opportunity to receive the Performance Share Units described herein under the Company's Long-Term Stock Incentive Plan, Amended and Restated as of July 18, 2017 (the “Plan”). The principal features of this Award are set forth above, including the date of grant of the Performance Share Units (the “Grant Date”). This Award shall be effective on the Grant Date. The Performance Share Units consist of the right to receive shares of Class A Common Stock, par value $.01 per share, of the Company (“Shares”). Generally, the Participant will not receive any Performance Share Units unless specified service and performance requirements are satisfied. This Performance Share Unit Agreement is subject to the provisions of the Terms and Conditions of Performance Share Unit Agreement and the Appendix, if any (together, this “Agreement”) and terms of the Plan.

PLEASE BE SURE TO READ ALL OF THE SPECIFIC TERMS AND CONDITIONS OF THIS AGREEMENT. TO THE EXTENT ANY CAPITALIZED TERMS USED IN THE TERMS AND CONDITIONS ARE NOT DEFINED HEREIN, THEY WILL HAVE THE MEANING ASCRIBED TO THEM IN THE PLAN.

BY MY ELECTRONIC ELECTION TO ACCEPT THE TERMS AND CONDITIONS OF THIS AWARD OF PERFORMANCE SHARE UNITS (WHICH SERVES AS MY ELECTRONIC SIGNATURE OF THIS AGREEMENT), I AGREE THAT MY PARTICIPATION IN THE PLAN IS GOVERNED BY THE PROVISIONS OF THE PLAN AND THIS AGREEMENT (INCLUDING ITS TERMS AND CONDITIONS AND THE APPENDIX, IF ANY, FOR MY COUNTRY OF RESIDENCE OR EMPLOYMENT, IF DIFFERENT). IF I FAIL TO ACCEPT THE TERMS AND CONDITIONS OF THIS AWARD WITHIN NINETY (90) DAYS OF THE GRANT DATE SET FORTH ABOVE, THE COMPANY MAY DETERMINE THAT THIS AWARD HAS BEEN FORFEITED.

TERMS AND CONDITIONS OF PERFORMANCE SHARE UNIT AGREEMENT

1.Award. The Company hereby grants to the Participant under the Plan as a separate incentive and not in lieu of any salary or other compensation for his or her services the opportunity to receive Performance Share Units as of the Grant Date specified above, subject to all of the terms and conditions in this Agreement and the Plan. Generally, the Participant will not receive any Performance Share Units unless the specified service and performance requirements set forth herein are satisfied.

2.Vesting in Performance Share Units. Any Performance Share Units that do not vest in accordance with this Section shall be forfeited and shall not be paid.

(a)Performance and service vesting requirements. Except as otherwise provided under this Agreement, both performance and service vesting requirements must be satisfied before the Participant can earn Performance Share Units under this Agreement. With certain exceptions noted below, the Participant will vest in his/her right to receive Performance Share Units under this Agreement if the Participant remains in Continuous Service with the Company, any of its Subsidiaries, or any other entity which is a Related Entity (the “Employer”) until the Service Vesting Date (as set forth on the first page of this Agreement) and the Company achieves the performance targets specified in Schedule A. The Participant ceases to be employed with the Employer on the date that the entity employing the Participant ceases to be a Subsidiary or an entity which is a Related Entity. For participants based outside of the United States, the Participant ceases to be employed by the Employer on the later of (i) the date that is the last day of any statutory notice of termination period applicable to the Participant pursuant to applicable employment standards legislation or (ii) the date that is designated by the Employer as the last date of the Participant's employment with the Employer, and the date the Participant's ceases to be employed by the Employer specifically does not mean the date on which any period of reasonable notice that the Employer may be required at law to provide to the Participant expires. If the Participant remains in Continuous Service with the Employer until the Service Vesting Date, the Participant shall vest in his/her right to receive a number of Performance Share Units based on the performance matrix set forth in Schedule A. Schedule A sets forth how the number of the Participant's vested Performance Share Units is calculated.

(b)Death or Disability. If the Participant dies or incurs a PSU Disability (as defined below) while employed by the Employer prior to the Service Vesting Date, the Participant shall vest in a number of Performance Share Units equal to the number of the Participant's Target Number of Performance Share Units, provided that such Performance Share Units were not previously forfeited. A “PSU Disability” means a disability as defined under Treasury regulation section 1.409A-3(i)(4)(i)(A) which generally means that the Participant is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than 12 months. Any Performance Share Units that do not vest under this provision shall be forfeited upon the Participant's death or PSU Disability.

(c)Retirement. If the Participant ceases to be in Continuous Service with the Employer prior to the Service Vesting Date as a result of the Participant's Retirement at any time on or after the Earliest Retirement Date (as set forth on the first page of this Agreement), the Participant shall be deemed to have met the service vesting requirements under this Agreement and shall be eligible to receive the full number of Performance Share Units to which the Participant would be entitled based on actual performance during the Valuation Period as described in the performance matrix set forth in Schedule A. For purposes of this Agreement:

(i)“Retirement” means the Participant ceases to be employed by the Employer for any reason other than Cause, death or disability (including but not limited to a PSU Disability) on or after the date the Participant attains Retirement Eligibility with respect to this Award;

(ii)“Retirement Eligibility” with respect to this Award means a Participant attaining age sixty (60) and completing five (5) Full Years of Continuous Service with the Employer; and

(iii)“Full Year” means a twelve-month period beginning on the date of the Participant's commencement of service for the Employer and each anniversary thereof.

The Participant's Continuous Service with the Employer shall be determined by the Committee in its sole discretion (subject to applicable requirements of Code Section 409A and the Treasury regulations and guidance issued thereunder (“Section 409A”), to the extent applicable).

(d)Leave of Absence. Unless otherwise determined by the Committee or required under Section 409A, an authorized leave of absence pursuant to a written agreement or other leave entitling the Participant to re-employment in a comparable position by law or Rule shall not constitute a termination of employment for purposes of the Plan and shall not interrupt the Participant's Continuous Service with the Employer unless the Participant does not return at or before the end of the authorized leave or within the period for which re-employment is guaranteed by law or Rule.

(e)Change in Control. If the successor or purchaser in the Change in Control has assumed the Company's obligations with respect to the Performance Share Units or provided a substitute award as contemplated by Section 22 of the Plan and, within 24 months following the occurrence of the Change in Control, the Participant's employment is terminated without Cause or the Participant terminates employment for Good Reason, the Participant shall become vested in the Participant's Target Number of Performance Share Units or if a substitute award has been provided, a number of units in the successor company (or a subsidiary or affiliate of such successor company, as applicable) that is equal in value to the Participant's Target Number of Performance Share Units as of the effective date of the Change in Control; provided that such Performance Share Units or substitute award units were not previously forfeited.

3.Restrictive Covenants.

(a)The Participant agrees that (i) during the period of employment with the Company, its Subsidiaries, and/or any other entity which is a Related Entity (and its successors) (“Constellation” for purpose of this Section) and (ii) during any period of continued vesting following Retirement in accordance with the terms of this Agreement, the Participant will not, without the written consent of the Company, seek or obtain a position with a Competitor (as defined below) in which the Participant will use or is likely to use any confidential information or trade secrets of Constellation, or in which the Participant has duties for such Competitor that involve Competitive Services (as defined below) and that are the same or similar to those services actually performed by the Participant for Constellation. The parties agree that the Participant may continue service on any boards of directors on which he or she is serving while employed by Constellation. If Participant's employment is terminated by the Participant for Good Reason or by Constellation for any reason other than Cause, then Constellation will not unreasonably withhold such consent provided Constellation receives information and assurances, satisfactory to Constellation, regarding the Participant's new position.

(b)The Participant understands and agrees that the relationship between Constellation and each of their respective employees constitutes a valuable asset of Constellation and may not be converted to the Participant's own use. Accordingly, the Participant hereby agrees that (i) during

the period of employment with Constellation and (ii) during any period of continued vesting following Retirement in accordance with the terms of this Agreement, the Participant shall not directly or indirectly, on his or her own behalf or on behalf of another person, solicit or induce any employee to terminate his or her employment relationship with Constellation or to enter into employment with another person. The foregoing shall not apply to employees who respond to solicitations of employment directed to the general public or who seek employment at their own initiative.

For the purposes of this Section, “Competitive Services” means the provision of goods or services that are competitive with any goods or services offered by Constellation including, but not limited to manufacturing, importing, exporting, distributing or selling cannabis, wine, beer, liquor or other alcoholic beverages in the United States, Canada, New Zealand, Italy and/or Mexico. The parties acknowledge that Constellation may from time to time during the term of this Agreement change or increase the line of goods or services it provides and its geographic markets, and the Participant agrees that this provision shall be deemed to be amended from time to time to include such different or additional goods, services, and geographic markets to the definition of “Competitive Services” for purposes of this Section. “Competitor” means any individual or any entity or enterprise engaged, wholly or in part, in Competitive Services.

(c)The Participant agrees that, due to his or her position of trust and confidence, the restrictions contained in this Section are reasonable, and the equity compensation conferred on the Participant in this Agreement is adequate consideration, and, since the nature of Constellation's collective business is international in scope, the geographic restriction herein is reasonable.

(d)The Participant acknowledges that a breach of this Section will cause irreparable injury and damage, which cannot be reasonably or adequately compensated by money damages. Accordingly, the Participant acknowledges that the remedies of injunction and specific performance shall be available in the event of such a breach, and the Company shall be entitled to money damages, costs and attorneys' fees, and other legal or equitable remedies, including an injunction pending trial, without the posting of bond or other security. Any period of restriction set forth in this Section shall be extended for a period of time equal to the duration of any breach or violation thereof.

(e)In the event of the Participant's breach of this Section, in addition to the injunctive relief described above, all unvested Performance Share Units held by the Participant shall be immediately forfeited on the date which the Participant breaches this Section unless terminated sooner by operation of another term or condition of this Agreement or the Plan, and any gain realized by the Participant from the vesting of any Performance Share Units, following such breach, shall be paid by the Participant to the Company.

(f)In the event that any provision of this Section is held to be in any respect an unreasonable restriction, then the court so holding may modify the terms thereof, including the period of time during which it operates or the geographic area to which it applies, or effect any other change to the extent necessary to render this Section enforceable, it being acknowledged by the parties that the representations and covenants set forth herein are of the essence of this Agreement. Notwithstanding anything in this Agreement to the contrary, the post-employment restrictive covenants described in this Section above will not apply to this Award to the extent required under California law or other applicable law, as determined by the Company.

(g)Trade Secrets and Confidential Information. The Participant agrees that unless duly authorized in writing by the Company, the Participant will neither during his or her employment by Constellation nor at any time thereafter divulge or use in connection with any business activity other than that of Constellation any trade secrets or confidential information first acquired by the Participant during and by virtue of employment with Constellation. Notwithstanding the foregoing, nothing in this

Agreement prohibits the Participant from reporting possible violations of federal law or regulation to any governmental agency or entity, including but not limited to the Securities and Exchange Commission, or making other disclosures that are protected under the whistleblower protections of federal law or regulation.

4.Committee Discretion. The Committee, in its absolute discretion, may accelerate the vesting of the balance, or some lesser portion of the balance, of the unvested Performance Share Units at any time; provided that, the time or schedule of any amount to be settled pursuant to the terms of this Agreement that provides for the deferral of compensation under Section 409A, may not be accelerated except as otherwise permitted under Section 409A. The Committee has complete and full discretionary authority to make all decisions and determinations under this Agreement, and all decisions and determinations by the Committee will be final and binding upon all persons, including, but not limited to, the Participant and his/her personal representatives, heirs and assigns.

5.Death of Participant. Any distribution or delivery to be made to the Participant under this Agreement shall, if the Participant is then deceased, be made to the Participant's designated beneficiary, or if no beneficiary survives the Participant, the Participant does not designate any beneficiary or the Committee does not permit beneficiary designations, to the administrator or executor of the Participant's estate. Any designation of a beneficiary by the Participant shall be effective only if such designation is made in a form and manner acceptable to the Committee. Any such permitted transferee upon the Participant's death must furnish the Company with (a) written notice of his or her status as transferee, and (b) evidence satisfactory to the Company to establish the validity of the transfer and compliance with any laws or regulations pertaining to said transfer.

6.Code Section 409A. Notwithstanding any provision of this Agreement to the contrary, in the event that any delivery of Shares to the Participant is made upon, or as a result of the Participant's termination of employment (other than as a result of death), and the Participant is a “specified employee” (as that term is defined under Section 409A) at the time the Participant becomes entitled to delivery of such Shares, and provided further that the delivery of such Shares does not otherwise qualify for an applicable exemption from Section 409A, then no such delivery of such Shares shall be made to the Participant under this Agreement until the date that is the earlier to occur of: (i) the Participant's death, or (ii) six (6) months and one (1) day following the Participant's termination of employment (the “Delay Period”). For purposes of this Agreement, to the extent the Performance Share Units (or equivalent units received following a Change in Control) are subject to the provision of Section 409A, the terms “ceases to be employed”, “termination of employment” and variations thereof, as used in this Agreement, are intended to mean a termination of employment that constitutes a “separation from service” under Section 409A.

Performance Share Units are generally intended to be exempt from Section 409A as short-term deferrals and, accordingly, the terms of this Agreement shall be construed to preserve such exemption. To the extent that Performance Share Units granted under this Agreement are subject to the requirements of Section 409A, this Agreement shall be interpreted and administered in accordance with the intent that the Participant not be subject to tax under Section 409A. Neither the Company, any of its Subsidiaries nor any entity which is a Related Entity shall be liable to any Participant (or any other individual claiming a benefit through the Participant) for any tax, interest, or penalties the Participant might owe as a result of participation in the Plan, and the Company, its Subsidiaries nor any other entity which is a Related Entity shall have no obligation to indemnify or otherwise protect the Participant from the obligation to pay any taxes pursuant to Section 409A, unless otherwise specified.

7.Settlement of Performance Share Units.

(a)Status as a Creditor. Unless and until Performance Share Units have vested and become payable, the Participant will have no settlement right with respect to any Performance Share Units. Prior to settlement of any vested Performance Share Units, the vested Performance Share Units will represent an unfunded and unsecured obligation of the Company, payable (if at all) only from the general assets of the Company. The Participant is an unsecured general creditor of the Company, and settlement of Performance Share Units is subject to the claims of the Company's creditors.

(b)Form and Timing of Settlement. Performance Share Units will be settled in the form of Shares of Class A Stock. Fractional Shares will not be issued upon the vesting of Performance Share Units. In the event that a fractional Share is owed to the Participant, the Company may (1) round up the Shares that are payable to the Participant to the nearest whole number, or (2) pay a cash payment equivalent in place of such fractional Share. Upon issuance, Shares will be electronically transferred to an account in the Participant's name at the provider then administering the Plan as it relates to the Performance Share Units. The Shares to be issued upon settlement will be issued as soon as practicable to the Participant following the Service Vesting Date; provided that:

(i)such Shares shall be paid during the PSU Payment Period (as set forth on the first page of this Agreement), but payment shall only be made after the Committee completes a written certification with respect to this Award;

(ii)if the Participant dies or incurs a PSU Disability while employed by the Employer prior to the Service Vesting Date, the Participant's vested Performance Share Units shall be paid within thirty (30) days following the date of the Participant's death or PSU Disability; or

(iii)if the Participant's employment is terminated within 24 months of a Change in Control which triggers accelerated vesting in accordance with the terms of this Agreement, the Participant shall receive payment within thirty (30) days following the date of the Participant's termination of employment.

(c)Clawback. Notwithstanding any provision to the contrary, any “clawback” or “recoupment” policy required under applicable law or provided for under Company policy shall automatically apply to this Award.

8.Dividend Equivalents. During the period beginning on the Grant Date and ending on the date that Shares are issued in settlement of vested Performance Share Units, the Participant will accrue dividend equivalents on the Performance Share Units equal to any cash dividend or cash distribution that would have been paid on the Performance Share Unit had that Performance Share Unit been an issued and outstanding Share of Class A Common Stock on the record date for the dividend or distribution. Such accrued dividend equivalents (i) will vest and become payable upon the same terms and at the same time of settlement as the Performance Share Unit to which they relate (and will be payable with respect to any Shares that are issued or that are withheld in order to satisfy Participant's Tax-Related Items), (ii) will be denominated and payable solely in cash and paid in such manner as the Company deems appropriate, and (iii) will not bear or accrue interest. Dividend equivalent payments, at settlement, will be net of applicable federal, state, local and foreign income and social insurance withholding taxes. Upon the forfeiture of the Performance Share Units, any accrued dividend equivalents attributable to such Performance Share Units will also be forfeited.

9.Responsibility for Taxes & Withholding. Regardless of any action the Company, any of its Subsidiaries or any other entity which is a Related Entity takes with respect to any or all income tax, social insurance or social security, payroll tax, payment on account or other tax-related items related to

the Participant's participation in the Plan and legally applicable to the Participant (“Tax-Related Items”), the Participant acknowledges that the ultimate liability for all Tax-Related Items is and remains the Participant's responsibility and may exceed the amount actually withheld by the Company, any of its Subsidiaries or any other entity which is a Related Entity, if any. The Participant further acknowledges that the Company, any of its Subsidiaries or any other entity which is a Related Entity (1) make no representations or undertakings regarding the treatment of any Tax-Related Items in connection with any aspect of the Performance Share Units, including, but not limited to, the grant, vesting or settlement of the Performance Share Units, the issuance of Shares upon settlement of the Performance Share Units, the subsequent sale of Shares acquired pursuant to such issuance and the receipt of any dividends and/or dividend equivalents; and (2) do not commit to and are under no obligation to structure the terms of any Award to reduce or eliminate Participant's liability for Tax-Related Items or achieve any particular tax result. Further, if the Participant becomes subject to tax in more than one jurisdiction between the Grant Date and the date of any relevant taxable event, the Participant acknowledges that Company, any of its Subsidiaries or any other entity which is a Related Entity may be required to withhold or account for Tax-Related Items in more than one jurisdiction.

The Participant agrees as a condition of his or her participation in the Plan to make arrangements satisfactory to the Company, any of its Subsidiaries or any other entity which is a Related Entity (including the employer) to satisfy all Tax-Related Items. In this regard, the Company, or their respective agents, will withhold Shares to be issued upon vesting/settlement of the Performance Share Units, unless the Company, or if different, the employer, at their discretion, permit the obligations to be satisfied with regard to all Tax-Related Items by one or a combination of the following:

(a)withholding from the Participant's wages/salary or other cash compensation paid to the Participant by the Company, or if different, the employer; or

(b)withholding from proceeds of the Shares acquired upon settlement of the Performance Share Units either through a voluntary sale or through a mandatory sale arranged by the Company (on Participant's behalf pursuant to this authorization).

Notwithstanding the above, if the Participant is a Section 16 officer of the Company under the U.S. Securities and Exchange Act of 1934, as amended, then the Company will withhold in Shares upon the relevant taxable or tax withholding event, as applicable, unless the use of such withholding method is problematic under applicable tax or securities law or has materially adverse accounting consequences, in which case, the obligation for Tax-Related Items may be satisfied by one or a combination of methods (a) and (b) above.

Notwithstanding anything to the contrary in the Plan, the Participant shall not be entitled to satisfy any Tax-Related Item or withholding obligation that arises as a result of the Agreement by delivering to the Company any shares of capital stock of the Company. To avoid negative accounting treatment, the Company, any of its Subsidiaries or any other entity which is a Related Entity may withhold or account for Tax-Related Items by considering applicable statutory withholding amounts or other applicable withholding rates (but not in excess of the maximum amount permitted for tax withholding under applicable law). If the obligation for Tax-Related Items is satisfied by withholding in Shares, for tax purposes, the Participant is deemed to have been issued the full number of Shares attributable to the vested Performance Share Units, notwithstanding that a number of Shares are held back solely for the purpose of paying the Tax-Related Items due as a result of any aspect of the Participant's participation in the Plan.

The Participant shall pay to the Company, or if different, the employer, any amount of Tax-Related Items that the Company, or if different, the employer, may be required to withhold or

account for as a result of the Participant's participation in the Plan that will not for any reason be satisfied by the means previously described. The Company may refuse to issue or deliver the Shares or the proceeds of the sale of Shares if the Participant fails to comply with the Participant's obligations in connection with the Tax-Related Items.

By accepting this grant of Performance Share Units, the Participant expressly consents to the methods of withholding Tax-Related Items by the Company, or if different, the employer as set forth herein, including the withholding of Shares and the withholding from the Participant's wages/salary or other amounts payable to the Participant. All other Tax-Related Items related to the Performance Share Units and any Shares delivered in satisfaction thereof are the Participant's sole responsibility.

10.Transferability. The Participant shall have no right to sell, assign, transfer, pledge or otherwise encumber the Performance Share Units in any manner until the Shares are issued to the Participant upon settlement. Following settlement and issuance of Shares, in the event the Company permits the Participant to arrange for a sale of Shares through a broker or another designated agent of the Company, the Participant acknowledges and agrees that the Company may block any such sale and/or cancel any order to sell placed by the Participant, in each case if the Participant is not then permitted under the Company's insider trading policy to engage in transactions with respect to securities of the Company. If the Committee determines that the ability of the Participant to sell or transfer Shares is restricted, then the Company may notify the Participant in accordance with the terms this Agreement. The Participant may only sell such Shares in compliance with such notification by the Company.

11.Rights as Stockholder. Neither the Participant nor any person claiming under or through the Participant shall have any of the rights or privileges of a stockholder of the Company in respect of any Performance Share Units (whether vested or unvested) or underlying Shares unless and until such Performance Share Units vest and the corresponding Shares are issued. After such issuance, the Participant shall have the rights of a stockholder of the Company with respect to voting such Shares and receipt of dividends and distributions on such Shares, if any.

12.Acknowledgments. The Participant acknowledges and agrees to the following:

(a)The Plan is discretionary in nature and the Committee may amend, suspend, or terminate it at any time, to the extent permitted by the Plan.

(b)The grant of the Performance Share Units is voluntary and occasional and does not create any contractual or other right to receive future grants of Performance Share Units, or benefits in lieu of the Performance Share Units, even if the Performance Share Units have been granted in the past.

(c)All determinations with respect to such future Performance Share Units, if any, including, but not limited to, the times when Performance Share Units shall be granted or when Performance Share Units shall vest, will be at the sole discretion of the Committee.

(d)The Participant's participation in the Plan is voluntary.

(e)The future value of the Shares is unknown, indeterminable and cannot be predicted with certainty.

(f)No claim or entitlement to compensation or damages arises from the termination or forfeiture of the Award, termination of the Plan, or diminution in value of the Performance Share Units

or Shares, and the Participant irrevocably releases the Company, any of its Subsidiaries or any other entity which is a Related Entity from any such claim that may arise.

(g)Neither the Plan nor the Performance Share Units shall be construed to create an employment relationship where any employment relationship did not otherwise already exist.

(h)Nothing in this Agreement or the Plan shall confer upon the Participant any right to continue to be employed by the Employer or shall interfere with or restrict in any way the rights of the Employer, which are hereby expressly reserved, to terminate the employment of the Participant under applicable law.

(i)The transfer of the employment of the Participant between the Company, any one of its Subsidiaries or any other entity which is a Related Entity (or between such entities) shall not be deemed a termination of service.

(j)Nothing in this Agreement shall affect the Participant's right to participate in and receive benefits under and in accordance with the then current provisions of any pension, insurance or other employee welfare plan or program of the Employer.

(k)The Company is not providing any tax, legal or financial advice, nor is the Company making any recommendations regarding the Participant's participation in the Plan, or the Participant's acquisition or sale of the underlying Shares. The Participant is hereby advised to consult with his or her own personal tax, legal and financial advisors regarding his or her participation in the Plan before taking any action related to the Plan.

(l)In addition, the following provisions apply if the Participant is providing services outside the United States:

(i)The value of the Performance Share Units is an extraordinary item of compensation, which is outside the scope of the Participant's employment contract (if any), except as may otherwise be explicitly provided in the Participant's employment contract (if any).

(ii)The Performance Share Units are not part of normal or expected compensation or salary for any purpose, including, but not limited to, calculating termination, severance, resignation, redundancy, dismissal, end of service, or similar payments, or bonuses, long-service awards, holiday pay, pension or retirement benefits or welfare or similar payments.

(iii)The Participant acknowledges and agrees that neither the Company, any Subsidiary nor any other entity which is a Related Entity shall be liable for any foreign exchange rate fluctuation between Participant's local currency and the United States Dollar that may affect the value of the Performance Share Units or of any amounts due to the Participant pursuant to the settlement of the Performance Share Units or the subsequent sale of any Shares acquired upon settlement.

(iv)The Company reserves the right to impose other requirements on participation in the Plan, on the Performance Share Units and on any Shares acquired under the Plan, to the extent the Company determines it is necessary or advisable in order to comply with local laws or other applicable Rule or facilitate the administration of the Plan, and to require the Participant to sign any additional agreements or undertakings that may be necessary to accomplish the foregoing.

13.Changes in Stock. In the event of a change in the capital stock of the Company as set forth in Section 16 of the Plan, the Performance Share Units shall be adjusted automatically consistent

with such change to prevent substantial dilution or enlargement of the rights granted to, or available for, the Participant hereunder.

14.Address for Notices. All notices to the Company shall be in writing and sent to the Company's General Counsel at the Company's corporate headquarters. Notices to the Participant shall be addressed to the Participant at the address as from time to time reflected in the Company's employment records as the Participant's address.

15.Binding Agreement. Subject to the limitation on the transferability of this Award contained herein, this Agreement shall be binding upon and inure to the benefit of the heirs, legatees, legal representatives, successors and assigns of the parties hereto.

16.Plan Governs. This Agreement is subject to all terms and provisions of the Plan. In the event of a conflict between one or more provisions of this Agreement and one or more provisions of the Plan, the provisions of the Plan shall govern.

17.Governing Law. This Agreement shall be construed in accordance with and governed by the laws of the State of Delaware, United States of America, regardless of the law that might be applied under principles of conflict of laws.

18.Captions. Captions provided herein are for convenience only and are not to serve as a basis for interpretation or construction of this Agreement.

19.Severability. In the event that any provision in this Agreement shall be held invalid or unenforceable, such provision shall be severable from, and such invalidity or unenforceability shall not be construed to have any effect on, the remaining provisions of this Agreement.

20.Modifications to this Agreement. This Agreement constitutes the entire understanding of the parties on the subjects covered. The Participant expressly warrants that he or she is not executing this Agreement in reliance on any promises, representations, or inducements other than those contained herein. Modifications to this Agreement can be made only in an express written contract executed by a duly authorized officer of the Company.

21.Amendment, Suspension or Termination of the Plan. By accepting this Award, the Participant expressly warrants that he or she has received a right to an equity based award under the Plan, and has received, read, and understood a description of the Plan. The Participant understands that the Plan is discretionary in nature and may be modified, suspended, or terminated by the Company at any time.

22.Compliance with Laws and Regulations; General Restrictions on Delivery of Shares. The Participant understands that the vesting of the Performance Share Units under the Plan and the issuance, transfer, assignment, sale, or other dealings of the Shares shall be subject to compliance by the Company, any of its Subsidiaries or any other entity which is a Related Entity and the Participant with all applicable requirements under the laws and Rules of the country of which the Participant is a resident. Furthermore, the Participant agrees that he or she will not acquire Shares pursuant to the Plan except in compliance with the laws and Rules of the country of which the Participant is a resident and/or employed.

The Company shall not be required to transfer or deliver any Shares, dividends, dividend equivalents or distributions relating to such Shares until it has been furnished with such opinions, representations or other documents as it may deem necessary or desirable, in its discretion, to ensure

compliance with any law or Rules of the Securities and Exchange Commission or any other governmental authority having jurisdiction under the Plan or over the Company, the Participant, or the Shares or any interests therein. The Award of Performance Share Units evidenced by this Agreement is also subject to the condition that, if at any time the Committee administering the Plan shall determine, in its discretion, that the listing, registration or qualification of the Shares (or any capital stock distributed with respect thereto) upon the New York Stock Exchange (or any other securities exchange or trading market) or under any United States state or federal law or other applicable Rule, or the consent or approval of any governmental regulatory body, is necessary or desirable as a condition of, or in connection with, the granting of the Performance Share Units evidenced by this Agreement or the issuance, transfer or delivery of the Shares (or the payment of any dividends, dividend equivalents or other distributions related to the Shares), the Company shall not be required to transfer or deliver any Shares, dividends, dividend equivalents or distributions relating to such Shares unless such listing, registration, qualification, consent or approval shall have been effected or obtained to the complete satisfaction of the Committee and free of any conditions not acceptable to the Committee.

23.Authorization to Release and Transfer Necessary Personal Information. The Participant hereby explicitly and unambiguously consents to the collection, use, processing, and transfer, in electronic or other form, of his or her personal data by and among, as applicable, the Company, any of its Subsidiaries or any other entity which is a Related Entity for the exclusive purpose of implementing, administering and managing the Participant's participation in the Plan. The Participant understands that the Company, any of its Subsidiaries or any other entity which is a Related Entity may hold certain personal information about the Participant including, but not limited to, the Participant's name, home address, email address and telephone number, date of birth, social security number (or any other social or national identification number), salary, nationality, job title, number of Performance Share Units and/or Shares held and the details of all Performance Share Units or any other entitlement to Shares awarded, cancelled, vested, unvested or outstanding for the purpose of implementing, administering and managing the Participant's participation in the Plan (the “Data”). The Participant understands that the Data may be transferred to the Company, any of its Subsidiaries or any other entity which is a Related Entity, or to any third parties assisting in the implementation, administration and management of the Plan, that these recipients may be located in the Participant's country or elsewhere, and that any recipient's country (e.g., the United States) may have different data privacy laws and protections than the Participant's country. The Participant understands that he or she may request a list with the names and addresses of any potential recipients of the Data by contacting the Company's Global Privacy Lead at privacy@cbrands.com. The Participant authorizes the recipients to receive, possess, use, retain and transfer the Data, in electronic or other form, for the sole purpose of implementing, administering and managing his or her participation in the Plan, including any requisite transfer of such Data to a broker or other third party assisting with the administration of Performance Share Units under the Plan or with whom Shares acquired pursuant to the vesting of the Performance Share Units or cash from the sale of such Shares may be deposited. Furthermore, the Participant acknowledges and understands that the transfer of the Data to the Company, any of its Subsidiaries or any other entity which is a Related Entity or to any third parties is necessary for his or her participation in the Plan. The Participant understands that the Data will be held only as long as is necessary to implement, administer and manage his or her participation in the Plan. The Participant understands that he or she may, at any time, view the Data, request additional information about the storage and processing of the Data, require any necessary amendments to the Data or refuse or withdraw the consents herein by contacting the Company's Global Privacy Lead at privacy@cbrands.com. The Participant further acknowledges that withdrawal of consent may affect his or her ability to vest in or realize benefits from the Performance Share Units, and his or her ability to participate in the Plan. For more information on the consequences of refusal to consent or withdrawal of consent, the Participant understands that he or she may contact the Company's Global Privacy Lead at privacy@cbrands.com.

Finally, upon request of the Employer, the Participant agrees to provide an executed data privacy consent form (or any other agreements or consents that may be required by the Employer) to the Employer that the Employer may deem necessary to obtain from the Participant for the purpose of administering the Participant's participation in the Plan in compliance with the data privacy laws in the Participant's country, either now or in the future. The Participant understands and agrees that the Participant will not be able to participate in the Plan if the Participant fails to provide any such consent or agreement requested by the Employer.

24.Electronic Delivery and Execution. The Participant hereby consents and agrees to electronic delivery of any documents that the Company may elect to deliver (including, but not limited to, plan documents, prospectus and prospectus supplements, grant or award notifications and agreements, account statements, annual and quarterly reports, and all other forms of communications) in connection with this and any other Award made or offered under the Plan. The Participant understands that, unless revoked by the Participant by giving written notice to the Company pursuant to the Plan, this consent will be effective for the duration of this Agreement. The Participant also understands that he or she will have the right at any time to request that the Company deliver written copies of any and all materials referred to above. The Participant hereby consents to any and all procedures the Company has established or may establish for an electronic signature system for delivery and acceptance of any such documents that the Company may elect to deliver, and agrees that his or her electronic signature is the same as, and will have the same force and effect as, his or her manual signature. The Participant consents and agrees that any such procedures and delivery may be affected by a third party engaged by the Company to provide administrative services related to the Plan.

25.English Language. If the Participant is employed in a country where English is not an official language, the Participant acknowledges that the Participant is sufficiently proficient in English to understand the terms and conditions of this Agreement or have had the ability to consult with an advisor who is sufficiently proficient in the English language. The Participant further acknowledges and agrees that it is the Participant's express intent that this Agreement, the Plan and all other documents, notices and legal proceedings entered into, given or instituted pursuant to the Plan be drawn up in English. If the Participant receives this Agreement, the Plan or any other documents related to the Plan translated into a language other than English, and if the meaning of the translated version is different than the English version, the English version will control.

26.Appendix. Notwithstanding any provision of the Agreement to the contrary, this Performance Share Unit Award and the Shares acquired under the Plan shall be subject to any and all special terms and provisions as set forth in the Appendix, if any, for the Participant's country of residence (and country of employment, if different). Further, if the Participant transfers his or her residence and/or employment to another country reflected in the Appendix to this Agreement, the special terms and conditions for such country will apply to the Participant to the extent the Company determines, in its sole discretion, that the application of such terms and conditions is necessary or advisable in order to comply with local laws or rules to facilitate the operation and administration of the Performance Share Units and the Plan (or the Company may establish alternative terms and conditions as may be necessary or advisable to accommodate the Participant's transfer). Any applicable Appendix shall constitute part of this Agreement.

EX-31.1

Exhibit 31.1

RULE 13a-14(a)/15d-14(a) CERTIFICATION

OF CHIEF EXECUTIVE OFFICER

Constellation Brands, Inc.

Form 10-Q for Fiscal Quarter Ended May 31, 2024

I, William A. Newlands, certify that:

1. I have reviewed this report on Form 10-Q of Constellation Brands, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: July 3, 2024

/s/ William A. Newlands

William A. Newlands

President and
Chief Executive Officer

EX-31.2

Exhibit 31.2

RULE 13a-14(a)/15d-14(a) CERTIFICATION

OF CHIEF FINANCIAL OFFICER

Constellation Brands, Inc.

Form 10-Q for Fiscal Quarter Ended May 31, 2024

I, Garth Hankinson, certify that:

1. I have reviewed this report on Form 10-Q of Constellation Brands, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: July 3, 2024

/s/ Garth Hankinson

Garth Hankinson

Executive Vice President and
Chief Financial Officer

EX-32.1

Exhibit 32.1

SECTION 1350 CERTIFICATION

OF CHIEF EXECUTIVE OFFICER

Constellation Brands, Inc.

Form 10-Q for Fiscal Quarter Ended May 31, 2024

In connection with the Constellation Brands, Inc. Quarterly Report on Form 10-Q for the Fiscal Quarter Ended May 31, 2024, I, William A. Newlands, certify pursuant to 18 U.S.C. Section 1350 that, to the best of my knowledge:

1.    The Quarterly Report on Form 10-Q for the Fiscal Quarter Ended May 31, 2024 of Constellation Brands, Inc. fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); and

2.    The information contained in the periodic report on Form 10-Q for the Fiscal Quarter Ended May 31, 2024 of Constellation Brands, Inc. fairly presents, in all material respects, the financial condition and results of operations of Constellation Brands, Inc.

Dated:	July 3, 2024	/s/ William A. Newlands
		William A. Newlands President and Chief Executive Officer

EX-32.2

Exhibit 32.2

SECTION 1350 CERTIFICATION

OF CHIEF FINANCIAL OFFICER

Constellation Brands, Inc.

Form 10-Q for Fiscal Quarter Ended May 31, 2024

In connection with the Constellation Brands, Inc. Quarterly Report on Form 10-Q for the Fiscal Quarter Ended May 31, 2024, I, Garth Hankinson, certify pursuant to 18 U.S.C. Section 1350 that, to the best of my knowledge:

1.    The Quarterly Report on Form 10-Q for the Fiscal Quarter Ended May 31, 2024 of Constellation Brands, Inc. fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); and

2.    The information contained in the periodic report on Form 10-Q for the Fiscal Quarter Ended May 31, 2024 of Constellation Brands, Inc. fairly presents, in all material respects, the financial condition and results of operations of Constellation Brands, Inc.

Dated:	July 3, 2024	/s/ Garth Hankinson
		Garth Hankinson Executive Vice President and Chief Financial Officer

XML

Cover Page - shares	3 Months Ended
	May 31, 2024	Jun. 28, 2024
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	May 31, 2024
Document Transition Report	false
Entity File Number	001-08495
Entity Registrant Name	CONSTELLATION BRANDS, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	16-0716709
Entity Address, Address Line One	50 East Broad Street
Entity Address, City or Town	Rochester
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	14614
City Area Code	585
Local Phone Number	678-7100
Title of 12(b) Security	Class A Common Stock
Trading Symbol	STZ
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0000016918
Amendment Flag	false
Document Fiscal Year Focus	2025
Document Fiscal Period Focus	Q1
Current Fiscal Year End Date	--02-28
Class A Stock
Entity Common Stock, Shares Outstanding		182,192,431
Class 1 Common Stock
Entity Common Stock, Shares Outstanding		25,541

XML

Consolidated Balance Sheets - USD ($) $ in Millions	May 31, 2024	Feb. 29, 2024
Current assets:
Cash and cash equivalents	$ 73.8	$ 152.4
Accounts receivable	893.9	832.8
Inventories	2,127.0	2,078.3
Prepaid expenses and other	733.7	666.0
Total current assets	3,828.4	3,729.5
Property, plant, and equipment	8,298.0	8,055.2
Goodwill	7,985.4	7,980.3
Intangible assets	2,731.5	2,731.7
Deferred income taxes	2,020.3	2,055.0
Other assets	1,196.5	1,140.0
Total assets	26,060.1	25,691.7
Current liabilities:
Short-term borrowings	793.2	241.4
Current maturities of long-term debt	406.2	956.8
Accounts payable	1,139.3	1,107.1
Other accrued expenses and liabilities	783.5	836.4
Total current liabilities	3,122.2	3,141.7
Long-term debt, less current maturities	10,682.9	10,681.1
Deferred income taxes and other liabilities	1,683.1	1,804.3
Total liabilities	15,488.2	15,627.1
Commitments and contingencies
CBI stockholders’ equity:
Additional paid-in capital	2,070.3	2,047.3
Retained earnings	14,109.5	13,417.2
Accumulated other comprehensive income (loss)	367.8	376.8
Total CBI stockholders’ equity	10,251.8	9,743.1
Noncontrolling interests	320.1	321.5
Total stockholders’ equity	10,571.9	10,064.6
Total liabilities and stockholders’ equity	26,060.1	25,691.7
Class A Stock
CBI stockholders’ equity:
Common stock, value	2.1	2.1
Class A Stock in treasury	$ (6,297.9)	$ (6,100.3)

XML

Consolidated Balance Sheets (Parenthetical) - Class A Stock - $ / shares	May 31, 2024	Feb. 29, 2024
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	322,000,000	322,000,000
Common stock, shares issued (in shares)	212,698,298	212,698,298
Treasury stock, at cost (in shares)	30,341,484	29,809,881

XML

Consolidated Statements of Comprehensive Income (Loss) - USD ($) shares in Thousands, $ in Millions	3 Months Ended
	May 31, 2024	May 31, 2023
Sales	$ 2,860.7	$ 2,699.5
Excise taxes	(198.9)	(184.6)
Net sales	2,661.8	2,514.9
Cost of product sold	(1,258.0)	(1,257.1)
Gross profit	1,403.8	1,257.8
Selling, general, and administrative expenses	(462.2)	(493.1)
Operating income (loss)	941.6	764.7
Income (loss) from unconsolidated investments	82.0	(415.4)
Interest expense, net	(102.8)	(118.9)
Income (loss) before income taxes	920.8	230.4
(Provision for) benefit from income taxes	(28.0)	(91.2)
Net income (loss)	892.8	139.2
Net (income) loss attributable to noncontrolling interests	(15.8)	(3.3)
Net income (loss) attributable to CBI	877.0	135.9
Comprehensive income (loss)	884.1	364.5
Comprehensive (income) loss attributable to noncontrolling interests	(16.1)	(14.2)
Comprehensive income (loss) attributable to CBI	868.0	350.3
Class A Stock
Net income (loss) attributable to CBI	$ 877.0	$ 135.9
Class A Stock:
Net income (loss) per common share attributable to CBI - basic (in dollars per share)	$ 4.80	$ 0.74
Net income (loss) per common share attributable to CBI - diluted (in dollars per share)	$ 4.78	$ 0.74
Weighted average common shares outstanding - basic (in shares)	182,766	183,270
Weighted average common shares outstanding - diluted (in shares)	183,461	183,863
Cash dividends declared per common share (in dollars per share)	$ 1.01	$ 0.89

XML

Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Millions	Total	Class A Stock	Common Stock Class A Stock	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Treasury Stock	Non-controlling Interests
Stockholders' equity, beginning of period at Feb. 28, 2023	$ 8,733.9		$ 2.1	$ 1,903.0	$ 12,343.9	$ 28.5	$ (5,863.9)	$ 320.3
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	139.2				135.9			3.3
Other comprehensive income (loss), net of income tax effect	225.3					214.4		10.9
Comprehensive income (loss)	364.5
Repurchase of shares	(35.0)						(35.0)
Dividends declared	(163.1)				(163.1)
Non-controlling interest distributions	(11.3)							(11.3)
Shares issued under equity compensation plans	4.7			0.6			4.1
Stock-based compensation	14.5			14.5
Stockholders' equity, end of period at May. 31, 2023	8,908.2		2.1	1,918.1	12,316.7	242.9	(5,894.8)	323.2
Stockholders' equity, beginning of period at Feb. 29, 2024	10,064.6		2.1	2,047.3	13,417.2	376.8	(6,100.3)	321.5
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	892.8				877.0			15.8
Other comprehensive income (loss), net of income tax effect	(8.7)					(9.0)		0.3
Comprehensive income (loss)	884.1
Repurchase of shares	(200.0)	$ (200.0)					(200.0)
Dividends declared	(184.7)				(184.7)
Non-controlling interest distributions	(17.5)							(17.5)
Shares issued under equity compensation plans	8.1			5.7			2.4
Stock-based compensation	17.3			17.3
Stockholders' equity, end of period at May. 31, 2024	$ 10,571.9		$ 2.1	$ 2,070.3	$ 14,109.5	$ 367.8	$ (6,297.9)	$ 320.1

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Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended
	May 31, 2024	May 31, 2023
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss)	$ 892.8	$ 139.2
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Unrealized net (gain) loss on securities measured at fair value	0.0	71.8
Deferred tax provision (benefit)	25.0	(0.3)
Depreciation	111.6	105.3
Stock-based compensation	17.3	14.5
Equity in (earnings) losses of equity method investees and related activities, net of distributed earnings	1.3	220.6
Noncash lease expense	29.1	22.0
Impairment of equity method investments	0.0	123.5
Net gain on conversion and exchange to Exchangeable Shares	(83.3)	0.0
Change in operating assets and liabilities, net of effects from purchase and sale of business:
Accounts receivable	(63.4)	(31.5)
Inventories	(47.3)	(57.6)
Prepaid expenses and other current assets	(61.4)	(17.9)
Accounts payable	62.7	34.2
Deferred revenue	15.6	24.3
Other accrued expenses and liabilities	(97.7)	(73.2)
Other	(111.8)	90.5
Total adjustments	(202.3)	526.2
Net cash provided by (used in) operating activities	690.5	665.4
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property, plant, and equipment	(375.3)	(277.0)
Investments in equity method investees and securities	(13.0)	(21.6)
Proceeds from sale of assets	12.9	0.0
Proceeds from sale of business	0.0	6.7
Other investing activities	(2.0)	0.0
Net cash provided by (used in) investing activities	(377.4)	(291.9)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of long-term debt	0.0	744.8
Principal payments of long-term debt	(552.2)	(502.5)
Net proceeds from (repayments of) short-term borrowings	551.8	(346.3)
Dividends paid	(185.3)	(164.1)
Purchases of treasury stock	(200.0)	(35.0)
Proceeds from shares issued under equity compensation plans	24.7	15.9
Payments of minimum tax withholdings on stock-based payment awards	(13.8)	(11.2)
Payments of debt issuance, debt extinguishment, and other financing costs	0.0	(5.0)
Distributions to noncontrolling interests	(17.5)	(11.3)
Payment of contingent consideration	(0.7)	0.0
Net cash provided by (used in) financing activities	(393.0)	(314.7)
Effect of exchange rate changes on cash and cash equivalents	1.3	0.2
Net increase (decrease) in cash and cash equivalents	(78.6)	59.0
Cash and cash equivalents, beginning of period	152.4	133.5
Cash and cash equivalents, end of period	73.8	192.5
Supplemental disclosures of noncash investing and financing activities
Additions to property, plant, and equipment	$ 195.2	$ 142.2

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Basis of Presentation

3 Months Ended

May 31, 2024

Organization, Consolidation and Presentation of Financial Statements [Abstract]

BASIS OF PRESENTATION

BASIS OF PRESENTATION

We have prepared the Financial Statements, without audit, pursuant to the rules and regulations of the SEC applicable to quarterly reporting on Form 10-Q and reflect, in our opinion, all adjustments necessary to present fairly our financial information. All such adjustments are of a normal recurring nature. Certain information and footnote disclosures normally included in financial statements, prepared in accordance with generally accepted accounting principles, have been condensed or omitted as permitted by such rules and regulations. These Financial Statements should be read in conjunction with the consolidated financial statements and related notes included in the 2024 Annual Report. Results of operations for interim periods are not necessarily indicative of annual results.

Reclassification

We reclassified equity method investments to other assets on our consolidated balance sheet as of February 29, 2024, to conform with current year presentation.

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Inventories

3 Months Ended

May 31, 2024

Inventory Disclosure [Abstract]

INVENTORIES

INVENTORIES

Inventories are stated at the lower of cost (primarily computed in accordance with the first-in, first-out method) or net realizable value. Elements of cost include materials, labor, and overhead and consist of the following:

	May 31, 2024		February 29, 2024
(in millions)
Raw materials and supplies	$	244.1	$	254.1
In-process inventories	1,109.5		1,096.0
Finished case goods	773.4		728.2
	$	2,127.0	$	2,078.3

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Derivative Instruments

3 Months Ended

May 31, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS

Overview

Our risk management and derivative accounting policies are presented in Notes 1 and 6 of our consolidated financial statements included in our 2024 Annual Report and have not changed significantly for the three months ended May 31, 2024.

The aggregate notional value of outstanding derivative instruments is as follows:

	May 31, 2024		February 29, 2024
(in millions)
Derivative instruments designated as hedging instruments
Foreign currency contracts	$	2,083.1	$	2,045.6
Derivative instruments not designated as hedging instruments
Foreign currency contracts	$	829.5	$	735.9
Commodity derivative contracts	$	351.5	$	397.5

Credit risk

We are exposed to credit-related losses if the counterparties to our derivative contracts default. This credit risk is limited to the fair value of the derivative contracts. To manage this risk, we contract only with major

financial institutions that have earned investment-grade credit ratings and with whom we have standard International Swaps and Derivatives Association agreements which allow for net settlement of the derivative contracts. We have also established counterparty credit guidelines that are regularly monitored. Because of these safeguards, we believe the risk of loss from counterparty default to be immaterial.

In addition, our derivative instruments are not subject to credit rating contingencies or collateral requirements. As of May 31, 2024, the estimated fair value of derivative instruments in a net liability position due to counterparties was $2.2 million. If we were required to settle the net liability position under these derivative instruments on May 31, 2024, we would have had sufficient available liquidity on hand to satisfy this obligation.

Results of period derivative activity

The estimated fair value and location of our derivative instruments on our balance sheets are as follows (see Note 4):

Assets					Liabilities
	May 31, 2024		February 29, 2024			May 31, 2024		February 29, 2024
(in millions)
Derivative instruments designated as hedging instruments
Foreign currency contracts:
Prepaid expenses and other	$	148.0	$	154.1	Other accrued expenses and liabilities	$	2.5	$	3.5
Other assets	$	141.0	$	153.5	Deferred income taxes and other liabilities	$	0.5	$	0.2
Derivative instruments not designated as hedging instruments
Foreign currency contracts:
Prepaid expenses and other	$	2.7	$	3.6	Other accrued expenses and liabilities	$	3.8	$	1.7
Commodity derivative contracts:
Prepaid expenses and other	$	11.2	$	4.8	Other accrued expenses and liabilities	$	19.1	$	27.9
Other assets	$	5.7	$	1.4	Deferred income taxes and other liabilities	$	4.5	$	8.1

The principal effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, as well as OCI, net of income tax effect, is as follows:

Derivative Instruments in Designated Cash Flow Hedging Relationships	Net Gain (Loss) Recognized in OCI		Location of Net Gain (Loss) Reclassified from AOCI to Income (Loss)	Net Gain (Loss) Reclassified from AOCI to Income (Loss)
(in millions)
For the Three Months Ended May 31, 2024
Foreign currency contracts	$	26.1	Sales	$	0.1
			Cost of product sold	39.1
	$	26.1		$	39.2
For the Three Months Ended May 31, 2023
Foreign currency contracts	$	79.3	Sales	$	—
			Cost of product sold	26.4
Pre-issuance hedge contracts	0.6		Interest expense, net	(0.2)
	$	79.9		$	26.2

We expect $128.3 million of net gains, net of income tax effect, to be reclassified from AOCI to our results of operations within the next 12 months.

The effect of our undesignated derivative instruments on our results of operations is as follows:

Derivative Instruments Not Designated as Hedging Instruments	Location of Net Gain (Loss) Recognized in Income (Loss)	Net Gain (Loss) Recognized in Income (Loss)
(in millions)
For the Three Months Ended May 31, 2024
Commodity derivative contracts	Cost of product sold	$	14.6
Foreign currency contracts	Selling, general, and administrative expenses	4.0
		$	18.6
For the Three Months Ended May 31, 2023
Commodity derivative contracts	Cost of product sold	$	(34.7)
Foreign currency contracts	Selling, general, and administrative expenses	12.7
		$	(22.0)

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Fair Value of Financial Instruments

3 Months Ended

May 31, 2024

Fair Value Disclosures [Abstract]

FAIR VALUE OF FINANCIAL INSTRUMENTS

FAIR VALUE OF FINANCIAL INSTRUMENTS

Authoritative guidance establishes a framework for measuring fair value, including a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. The hierarchy includes three levels:

•Level 1 inputs are quoted prices in active markets for identical assets or liabilities;

•Level 2 inputs include data points that are observable such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical assets or similar assets or liabilities in markets that are not active, and inputs (other than quoted prices) such as volatility, interest rates, and yield curves that are observable for the asset or liability, either directly or indirectly; and

•Level 3 inputs are unobservable data points for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability.

Fair value methodology

The following methods and assumptions are used to estimate the fair value of our financial instruments:

Foreign currency and commodity derivative contracts

The fair value is estimated using market-based inputs, obtained from independent pricing services, entered into valuation models. These valuation models require various inputs, including contractual terms, market foreign exchange prices, market commodity prices, interest-rate yield curves, and currency volatilities, as applicable (Level 2 fair value measurement).

Short-term borrowings

Our short-term borrowings consist of our commercial paper program and the revolving credit facility under our senior credit facility. The revolving credit facility is a variable interest rate bearing note with a fixed margin, adjustable based upon our debt rating (as defined in our senior credit facility). For these short-term borrowings, the carrying value approximates the fair value.

Long-term debt

The fair value of our fixed interest rate long-term debt is estimated by discounting cash flows using interest rates currently available for debt with similar terms and maturities (Level 2 fair value measurement). As of May 31, 2024, the carrying amount of long-term debt, including the current portion, was $11,089.1 million, compared with an estimated fair value of $10,176.1 million. As of February 29, 2024, the carrying amount of long-

term debt, including the current portion, was $11,637.9 million, compared with an estimated fair value of $10,775.8 million.

The carrying amounts of certain of our financial instruments, including cash and cash equivalents, accounts receivable, and accounts payable, approximate fair value as of May 31, 2024, and February 29, 2024, due to the relatively short maturity of these instruments.

Recurring basis measurements

The following table presents our financial assets and liabilities measured at estimated fair value on a recurring basis:

	Fair Value Measurements Using
	Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
(in millions)
May 31, 2024
Assets:
Foreign currency contracts	$	—	$	291.7	$	—	$	291.7
Commodity derivative contracts	$	—	$	16.9	$	—	$	16.9
Liabilities:
Foreign currency contracts	$	—	$	6.8	$	—	$	6.8
Commodity derivative contracts	$	—	$	23.6	$	—	$	23.6
February 29, 2024
Assets:
Foreign currency contracts	$	—	$	311.2	$	—	$	311.2
Commodity derivative contracts	$	—	$	6.2	$	—	$	6.2
Liabilities:
Foreign currency contracts	$	—	$	5.4	$	—	$	5.4
Commodity derivative contracts	$	—	$	36.0	$	—	$	36.0

Nonrecurring basis measurements

The following table presents our assets and liabilities measured at estimated fair value on a nonrecurring basis for which an impairment assessment was performed for the periods presented:

	Fair Value Measurements Using
	Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Losses
(in millions)
For the Three Months Ended May 31, 2023
Equity method investments	$	142.7	$	—	$	—	$	123.5

Equity method investments

We evaluated the Canopy Equity Method Investment as of May 31, 2023, and determined there was an other-than-temporary impairment. Our conclusion was based on several contributing factors, including: (i) the fair value being less than the carrying value and the uncertainty surrounding Canopy’s stock price recovering in the near-term, (ii) Canopy recorded significant costs in its fourth quarter of fiscal 2023 results designed to align its

Canadian cannabis operations and resources in response to continued unfavorable market trends, (iii) the substantial doubt about Canopy’s ability to continue as a going concern, as disclosed by Canopy, and (iv) Canopy’s identification of material misstatements in certain of its previously reported financial results related to sales in its BioSteel Sports Nutrition Inc. reporting unit that were accounted for incorrectly, including the recording of a goodwill impairment during its restated second quarter of fiscal 2023. As a result, the Canopy Equity Method Investment with a carrying value of $266.2 million was written down to its estimated fair value of $142.7 million, resulting in an impairment of $123.5 million. This loss from impairment was included in income (loss) from unconsolidated investments within our consolidated results for the three months ended May 31, 2023. The estimated fair value was determined based on the closing price of the underlying equity security as of May 31, 2023. We no longer apply the equity method to our investment in Canopy following the April 2024 conversion of our Canopy common shares to Exchangeable Shares. See Note 7 for further discussion.

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Goodwill

3 Months Ended

May 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL

GOODWILL

The changes in the carrying amount of goodwill are as follows:

	Beer		Wine and Spirits		Consolidated
(in millions)
Balance, February 28, 2023	$	5,188.9	$	2,736.5	$	7,925.4
Purchase accounting allocations (1)	—		6.5		6.5
Foreign currency translation adjustments	49.3		(0.9)		48.4
Balance, February 29, 2024	5,238.2		2,742.1		7,980.3
Foreign currency translation adjustments	4.4		0.7		5.1
Balance, May 31, 2024	$	5,242.6	$	2,742.8	$	7,985.4

(1)Purchase accounting allocations associated with the June 2023 acquisition of the Domaine Curry wine business.

If broader industry and market conditions decline and/or our expectations of future performance as reflected in our current strategic operating plans are not fully realized, a future impairment of Wine and Spirits goodwill is reasonably possible.

Subsequent event

Sea Smoke acquisition

In June 2024, we acquired the Sea Smoke business, including a California-based luxury wine brand, vineyards, and a production facility for $170.0 million, subject to adjustments. This transaction also included the acquisition of a trademark, inventory, and goodwill. The results of operations of Sea Smoke will be reported in the Wine and Spirits segment and will be included in our consolidated results of operations from the date of acquisition.

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Intangible Assets

3 Months Ended

May 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS

INTANGIBLE ASSETS

The major components of intangible assets are as follows:

	May 31, 2024				February 29, 2024
	Gross Carrying Amount		Net Carrying Amount		Gross Carrying Amount		Net Carrying Amount
(in millions)
Amortizable intangible assets
Customer relationships	$	85.4	$	15.8	$	85.3	$	16.2
Other	20.8		0.3		20.8		0.3
Total	$	106.2	16.1		$	106.1	16.5
Nonamortizable intangible assets
Trademarks			2,715.4				2,715.2
Total intangible assets			$	2,731.5			$	2,731.7

We did not incur costs to renew or extend the term of acquired intangible assets for the three months ended May 31, 2024, and May 31, 2023. Net carrying amount represents the gross carrying value net of accumulated amortization.

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Other Assets

3 Months Ended

May 31, 2024

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

OTHER ASSETS

OTHER ASSETS

The major components of other assets are as follows:

	May 31, 2024		February 29, 2024
(in millions)
Operating lease right-of-use asset	$	606.2	$	615.3
Derivative assets	146.7		154.9
Equity method investments	126.9		170.6
Exchangeable Shares	97.3		—
Other investments in debt and equity securities	86.0		73.0
Assets held for sale	26.1		25.7
Other	107.3		100.5
	$	1,196.5	$	1,140.0

Equity method investments

The carrying value of our equity method investments are as follows:

	May 31, 2024		February 29, 2024
(in millions)
Canopy Equity Method Investment (1)	$	—	$	42.5
Other equity method investments	126.9		128.1
	$	126.9	$	170.6

(1)Following the April 2024 conversion to Exchangeable Shares we no longer apply the equity method.

Exchangeable Shares

In April 2024, we elected to convert our 17.1 million Canopy common shares into Exchangeable Shares on a one-for-one basis. Additionally, in April 2024, we exchanged C$81.2 million of the principal amount of the C$100.0 million 4.25% promissory note issued to us by Canopy for 9.1 million Exchangeable Shares and forgave all accrued but unpaid interest together with the remaining principal amount of the note. As a result of these transactions, we (i) have 26.3 million Exchangeable Shares and (ii) recognized an $83.3 million net gain in income (loss) from unconsolidated investments within our consolidated results of operations for the three months ended May 31, 2024. The fair value of Exchangeable Shares on the date of the conversion and exchange was estimated using a valuation model based primarily on the following inputs: (i) Canopy’s common share price, (ii) the expected volatility of Canopy’s common shares, and (iii) the probability and timing of U.S. federal legalization of recreational cannabis. As the Exchangeable Shares are an equity security without a readily determinable fair value, we elected to account for the Exchangeable Shares under the measurement alternative method. Future impairments, if any, will also be reported in income (loss) from unconsolidated investments within our consolidated results.

Other investments in debt and equity securities

We have multiple investments through our corporate venture capital function in debt and equity securities.

Subsequent event

Mexicali Brewery

In July 2024, we closed on the sale of the remaining assets classified as held for sale at the canceled Mexicali Brewery. These net assets had met held for sale criteria as of May 31, 2024, and February 29, 2024.

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Borrowings

3 Months Ended

May 31, 2024

Debt Disclosure [Abstract]

BORROWINGS

BORROWINGS

Borrowings consist of the following:

	May 31, 2024						February 29, 2024
	Current		Long-term		Total		Total
(in millions)
Short-term borrowings
Commercial paper	$	793.2					$	241.4
	$	793.2					$	241.4
Long-term debt
Senior notes	$	399.7	$	10,673.7	$	11,073.4	$	11,620.1
Other	6.5		9.2		15.7		17.8
	$	406.2	$	10,682.9	$	11,089.1	$	11,637.9

Bank facilities

The Company, CB International, the Administrative Agent, and certain other lenders are parties to the 2022 Credit Agreement. The October 2022 Credit Agreement Amendment revised certain defined terms and covenants in the 2022 Credit Agreement and became effective in April 2024 following (i) the amendment by Canopy of its Articles of Incorporation, (ii) the conversion of our Canopy common shares into Exchangeable Shares, and (iii) the resignation of our nominees from the board of directors of Canopy.

Information with respect to borrowings under the 2022 Credit Agreement is as follows:

	Outstanding borrowings		Interest rate		SOFR margin		Outstanding letters of credit		Remaining borrowing capacity (1)
(in millions)
May 31, 2024
Revolving credit facility (2) (3)	$	—	—	%	—	%	$	11.4	$	1,443.1
February 29, 2024
Revolving credit facility (2) (3)	$	—	—	%	—	%	$	11.5	$	1,997.0

(1)Net of outstanding revolving credit facility borrowings and outstanding letters of credit under the 2022 Credit Agreement and outstanding borrowings under our commercial paper program of $795.5 million and $241.5 million (excluding unamortized discount) as of May 31, 2024 and February 29, 2024, respectively (see “Commercial paper program” below).

(2)Contractual interest rate varies based on our debt rating (as defined in the agreement) and is a function of SOFR plus a margin and a credit spread adjustment, or the base rate plus a margin, or, in certain circumstances where SOFR cannot be adequately ascertained or available, an alternative benchmark rate plus a margin.

(3)We and/or CB International are the borrower under the $2,250.0 million revolving credit facility with a maturity date of April 14, 2027. Includes a sub-facility for letters of credit of up to $200.0 million.

We and our subsidiaries are subject to covenants that are contained in the 2022 Credit Agreement, including those restricting the incurrence of additional subsidiary indebtedness, additional liens, mergers and consolidations, transactions with affiliates, and sale and leaseback transactions, in each case subject to numerous conditions, exceptions, and thresholds. The financial covenants are limited to a minimum interest coverage ratio and a maximum net leverage ratio.

Commercial paper program

We have a commercial paper program which provides for the issuance of up to an aggregate principal amount of $2.25 billion of commercial paper. Our commercial paper program is backed by unused commitments under our revolving credit facility under our 2022 Credit Agreement. Accordingly, outstanding borrowings under our commercial paper program reduce the amount available under our revolving credit facility. Information with respect to our outstanding commercial paper borrowings is as follows:

	May 31, 2024			February 29, 2024
(in millions)
Outstanding borrowings (1)	$	793.2		$	241.4
Weighted average annual interest rate	5.7		%	5.7		%
Weighted average remaining term	20 days			4 days

(1)Outstanding commercial paper borrowings are net of unamortized discount.

Debt payments

As of May 31, 2024, the required principal repayments under long-term debt obligations (excluding unamortized debt issuance costs and unamortized discounts of $53.8 million and $22.8 million, respectively) for the remaining nine months of Fiscal 2025 and for each of the five succeeding fiscal years and thereafter are as follows:

(in millions)
Fiscal 2025	$	405.3
Fiscal 2026	1,404.9
Fiscal 2027	603.8
Fiscal 2028	1,801.5
Fiscal 2029	900.1
Fiscal 2030	800.0
Thereafter	5,250.1
	$	11,165.7

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Income Taxes

3 Months Ended

May 31, 2024

Income Tax Disclosure [Abstract]

INCOME TAXES

INCOME TAXES

Our effective tax rate for the three months ended May 31, 2024, and May 31, 2023, was 3.0% and 39.6%, respectively.

For the three months ended May 31, 2024, our effective tax rate was lower than the federal statutory rate of 21% primarily due to (i) a net income tax benefit recognized as a result of the resolution of various tax examinations and assessments related to prior periods, (ii) the benefit of lower effective tax rates applicable to our foreign businesses, and (iii) a decrease in the valuation allowance related to our investment in Canopy.

For the three months ended May 31, 2023, our effective tax rate was higher than the federal statutory rate of 21% primarily due to an increase in the valuation allowance related to our investment in Canopy, partially offset by (i) a net income tax benefit recognized as a result of a change in tax entity classification and (ii) the benefit of lower effective tax rates applicable to our foreign businesses.

The Organization for Economic Cooperation and Development introduced a framework under Pillar Two which includes a global minimum tax rate of 15%. Many jurisdictions in which we do business have started to enact laws implementing Pillar Two. We are monitoring these developments and currently do not believe these rules will have a material impact on our financial condition and/or consolidated results.

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Stockholders' Equity

3 Months Ended

May 31, 2024

Equity [Abstract]

STOCKHOLDERS' EQUITY

STOCKHOLDERS’ EQUITY

Common stock

The number of shares of common stock issued and treasury stock, and associated share activity, are as follows:

	Class A Stock	Class 1 Stock	Class A Stock in Treasury
Balance at February 29, 2024	212,698,298	23,661	29,809,881
Share repurchases	—	—	775,334
Exercise of stock options	—	1,880	(149,324)
Vesting of restricted stock units (1)	—	—	(85,650)
Vesting of performance share units (1)	—	—	(8,757)
Balance at May 31, 2024	212,698,298	25,541	30,341,484

	Class A Stock	Class 1 Stock	Class A Stock in Treasury
Balance at February 28, 2023	212,697,428	22,705	29,498,426
Share repurchases	—	—	153,937
Conversion of shares	80	(80)	—
Exercise of stock options	—	800	(129,595)
Vesting of restricted stock units (1)	—	—	(71,189)
Vesting of performance share units (1)	—	—	(13,113)
Balance at May 31, 2023	212,697,508	23,425	29,438,466

(1)Net of the following shares withheld to satisfy tax withholding requirements:

	For the Three Months Ended May 31,
2024
Restricted Stock Units	48,501
Performance Share Units	5,728
2023
Restricted Stock Units	39,839
Performance Share Units	8,735

Stock repurchases

In each of January 2021 and November 2023, our Board of Directors authorized the repurchase of up to $2.0 billion of our publicly traded common stock. The Board of Directors did not specify a date upon which these authorizations would expire. Shares repurchased under these authorizations become treasury shares.

For the three months ended May 31, 2024, we repurchased 775,334 shares of Class A Stock pursuant to the 2021 Authorization through open market transactions at an aggregate cost of $200.0 million. Beginning May 31, 2024, we repurchased 187,843 shares of Class A Stock pursuant to the 2021 Authorization at an aggregate cost of $47.0 million through open market transactions made pursuant to a Rule 10b5-1 trading plan.

As of July 3, 2024, total shares repurchased under our board authorizations are as follows:

			Class A Stock
	Repurchase Authorization		Dollar Value of Shares Repurchased		Number of Shares Repurchased
(in millions, except share data)
2021 Authorization (1)	$	2,000.0	$	1,633.3	6,838,453
2023 Authorization (1)	$	2,000.0	$	—	—

(1)As of July 3, 2024, $2,366.7 million remains available for future share repurchases, excluding the impact of Federal excise tax owed pursuant to the IRA.

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Net Income (Loss) Per Common Share Attributable to CBI

3 Months Ended

May 31, 2024

Earnings Per Share [Abstract]

NET INCOME (LOSS) PER COMMON SHARE ATTRIBUTABLE TO CBI

NET INCOME (LOSS) PER COMMON SHARE ATTRIBUTABLE TO CBI

For the three months ended May 31, 2024, and May 31, 2023, net income (loss) per common share – basic for Class A Stock has been computed based on the weighted average shares of common stock outstanding during the period. Net income (loss) per common share – diluted for Class A Stock reflects the weighted average shares of common stock plus the effect of dilutive securities outstanding during the period using the treasury stock method.

The effect of dilutive securities includes the impact of outstanding stock-based awards. The dilutive computation does not assume conversion, exercise, or contingent issuance of securities that would have an anti-dilutive effect on the net income (loss) per common share attributable to CBI. The computation of basic and diluted net income (loss) per common share for Class A Stock are as follows:

	For the Three Months Ended May 31,
	2024		2023
(in millions, except per share data)
Net income (loss) attributable to CBI	$	877.0	$	135.9
Weighted average common shares outstanding – basic	182.766		183.270
Stock-based awards, primarily stock options	0.695		0.593
Weighted average common shares outstanding – diluted	183.461		183.863
Net income (loss) per common share attributable to CBI – basic	$	4.80	$	0.74
Net income (loss) per common share attributable to CBI – diluted	$	4.78	$	0.74

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Comprehensive Income (Loss) Attributable to CBI

3 Months Ended

May 31, 2024

Equity [Abstract]

COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CBI

COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CBI

Comprehensive income (loss) consists of net income (loss), foreign currency translation adjustments, unrealized net gain (loss) on derivative instruments, pension/postretirement adjustments, and our share of OCI of equity method investments. The reconciliation of net income (loss) attributable to CBI to comprehensive income (loss) attributable to CBI is as follows:

	Before Tax Amount		Tax (Expense) Benefit		Net of Tax Amount
(in millions)
For the Three Months Ended May 31, 2024
Net income (loss) attributable to CBI					$	877.0
Other comprehensive income (loss) attributable to CBI:
Foreign currency translation adjustments:
Net gain (loss)	$	13.5	$	—	13.5
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	13.5		—		13.5
Unrealized gain (loss) on cash flow hedges:
Net derivative gain (loss)	28.2		(3.3)		24.9
Amounts reclassified	(42.1)		5.0		(37.1)
Net gain (loss) recognized in other comprehensive income (loss)	(13.9)		1.7		(12.2)
Share of OCI of equity method investments
Net gain (loss)	—		—		—
Amounts reclassified	(10.3)		—		(10.3)
Net gain (loss) recognized in other comprehensive income (loss)	(10.3)		—		(10.3)
Other comprehensive income (loss) attributable to CBI	$	(10.7)	$	1.7	(9.0)
Comprehensive income (loss) attributable to CBI					$	868.0

	Before Tax Amount		Tax (Expense) Benefit		Net of Tax Amount
(in millions)
For the Three Months Ended May 31, 2023
Net income (loss) attributable to CBI					$	135.9
Other comprehensive income (loss) attributable to CBI:
Foreign currency translation adjustments:
Net gain (loss)	$	163.4	$	—	163.4
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	163.4		—		163.4
Unrealized gain (loss) on cash flow hedges:
Net derivative gain (loss)	86.4		(10.4)		76.0
Amounts reclassified	(27.8)		3.2		(24.6)
Net gain (loss) recognized in other comprehensive income (loss)	58.6		(7.2)		51.4
Pension/postretirement adjustments:
Net actuarial gain (loss)	(0.3)		0.1		(0.2)
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	(0.3)		0.1		(0.2)
Share of OCI of equity method investments
Net gain (loss)	(0.3)		0.1		(0.2)
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	(0.3)		0.1		(0.2)
Other comprehensive income (loss) attributable to CBI	$	221.4	$	(7.0)	214.4
Comprehensive income (loss) attributable to CBI					$	350.3

Accumulated other comprehensive income (loss), net of income tax effect, includes the following components:

	Foreign Currency Translation Adjustments		Unrealized Net Gain (Loss) on Derivative Instruments		Pension/ Postretirement Adjustments		Share of OCI of Equity Method Investments		Accumulated Other Comprehensive Income (Loss)
(in millions)
Balance, February 29, 2024	$	102.9	$	266.2	$	(2.6)	$	10.3	$	376.8
Other comprehensive income (loss):
Other comprehensive income (loss) before reclassification adjustments	13.5		24.9		—		—		38.4
Amounts reclassified from accumulated other comprehensive income (loss)	—		(37.1)		—		(10.3)		(47.4)
Other comprehensive income (loss)	13.5		(12.2)		—		(10.3)		(9.0)
Balance, May 31, 2024	$	116.4	$	254.0	$	(2.6)	$	—	$	367.8

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Business Segment Information

3 Months Ended

May 31, 2024

Segment Reporting [Abstract]

BUSINESS SEGMENT INFORMATION

BUSINESS SEGMENT INFORMATION

Our internal management financial reporting consists of two business divisions: (i) Beer and (ii) Wine and Spirits and we report our operating results in three segments: (i) Beer, (ii) Wine and Spirits, and (iii) Corporate Operations and Other. In the Beer segment, our portfolio consists of high-end imported beer brands and ABAs. We have an exclusive perpetual brand license to produce our Mexican beer portfolio and to import, market, and sell such portfolio in the U.S. In the Wine and Spirits segment, we sell a portfolio that includes higher-end wine brands

complemented by certain higher-end spirits brands. Amounts included in the Corporate Operations and Other segment consist of costs of corporate development, corporate finance, corporate strategy, executive management, growth, human resources, internal audit, investor relations, IT, legal, and public relations, as well as our Canopy investment and investments made through our corporate venture capital function. All costs included in the Corporate Operations and Other segment are general costs that are applicable to the consolidated group and are, therefore, not allocated to the other reportable segments. All costs reported within the Corporate Operations and Other segment are not included in our CODM’s evaluation of the operating income (loss) performance of the other reportable segments. The business segments reflect how our operations are managed, how resources are allocated, how operating performance is evaluated by senior management, and the structure of our internal financial reporting. Long-lived tangible assets and total asset information by segment is not provided to, or reviewed by, our CODM as it is not used to make strategic decisions, allocate resources, or assess performance.

In addition, management excludes Comparable Adjustments from its evaluation of the results of each operating segment as these Comparable Adjustments are not reflective of core operations of the segments. Segment operating performance and the incentive compensation of segment management are evaluated based on core segment operating income (loss) which does not include the impact of these Comparable Adjustments.

We evaluate segment operating performance based on operating income (loss) of the respective business units. Comparable Adjustments that impacted comparability in our segment operating income (loss) for each period are as follows:

	For the Three Months Ended May 31,
	2024		2023
(in millions)
Cost of product sold
Net gain (loss) on undesignated commodity derivative contracts	$	14.6	$	(34.7)
Settlements of undesignated commodity derivative contracts	8.5		0.6
Flow through of inventory step-up	(1.1)		(0.7)
Comparable Adjustments, Cost of product sold	22.0		(34.8)
Selling, general, and administrative expenses
Transition services agreements activity	(2.8)		(5.7)
Restructuring and other strategic business development costs	(1.8)		(14.9)
Transaction, integration, and other acquisition-related costs	(0.2)		(0.3)
Other gains (losses) (1)	0.4		(6.8)
Comparable Adjustments, Selling, general, and administrative expenses	(4.4)		(27.7)
Comparable Adjustments, Operating income (loss)	$	17.6	$	(62.5)

(1)	Primarily includes the following:
		For the Three Months Ended May 31,
		2024		2023
	(in millions)
	Gain (loss) on sale of business	$	—	$	(7.0)

The accounting policies of the segments are the same as those described for the Company in Note 1 of our consolidated financial statements included in our 2024 Annual Report. Segment information is as follows:

	For the Three Months Ended May 31,
	2024		2023
(in millions)
Beer
Net sales	$	2,272.8	$	2,098.6
Segment operating income (loss)	$	923.0	$	797.8
Capital expenditures	$	314.4	$	205.6
Depreciation and amortization	$	86.4	$	78.8
Wine and Spirits
Net sales:
Wine	$	329.3	$	361.0
Spirits	59.7		55.3
Net sales	$	389.0	$	416.3
Segment operating income (loss)	$	59.7	$	79.3
Income (loss) from unconsolidated investments	$	0.4	$	2.3
Equity method investments	$	101.2	$	96.8
Capital expenditures	$	49.6	$	38.6
Depreciation and amortization	$	21.3	$	22.5
Corporate Operations and Other
Segment operating income (loss)	$	(58.7)	$	(49.9)
Income (loss) from unconsolidated investments	$	(1.7)	$	(33.3)
Equity method investments	$	25.7	$	194.5
Capital expenditures	$	11.3	$	32.8
Depreciation and amortization	$	4.2	$	4.4
Comparable Adjustments
Operating income (loss)	$	17.6	$	(62.5)
Income (loss) from unconsolidated investments	$	83.3	$	(384.4)
Consolidated
Net sales	$	2,661.8	$	2,514.9
Operating income (loss)	$	941.6	$	764.7
Income (loss) from unconsolidated investments (1)	$	82.0	$	(415.4)
Equity method investments	$	126.9	$	291.3
Capital expenditures	$	375.3	$	277.0
Depreciation and amortization	$	111.9	$	105.7

(1)	Income (loss) from unconsolidated investments consists of:
			For the Three Months Ended May 31,
			2024		2023
		(in millions)
		Net gain on conversion and exchange to Exchangeable Shares (i)	$	83.3	$	—
		Equity in earnings (losses) from other equity method investees and related activities	(1.3)		(0.3)
		Equity in earnings (losses) from Canopy and related activities	—		(219.8)
		Impairment of equity method investments	—		(123.5)
		Unrealized net gain (loss) on securities measured at fair value (i)	—		(71.8)
			$	82.0	$	(415.4)

(i)Effective as of May 31, 2023, we determined that the 2023 Canopy Promissory Note did not have future economic value given the substantial doubt about Canopy’s ability to continue as a going concern, as disclosed by Canopy, prior to the maturity of the note. Accordingly, the fair value of the remaining balance for this instrument was determined to be zero. In April 2024, we exchanged the 2023 Canopy Promissory Note for Exchangeable Shares.

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Accounting Guidance Not Yet Adopted

3 Months Ended

May 31, 2024

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Accounting Guidance Not Yet Adopted

ACCOUNTING GUIDANCE NOT YET ADOPTED

Segment reporting

In November 2023, the FASB issued a standard requiring disclosures, on an annual and interim basis, of significant segment expenses and other segment items that are regularly provided to the CODM as well as the title and position of the CODM. We are required to adopt these disclosures for our annual period ending February 28, 2025, and interim periods beginning March 1, 2025, with early adoption permitted. The amendments in this standard will be applied retrospectively to all prior periods presented in the financial statements. We expect this standard to impact our disclosures with no material impacts to our results of operations, cash flows, or financial condition.

Income taxes

In December 2023, the FASB issued a standard aimed at improving tax disclosure requirements, primarily through enhanced disclosures related to the income tax rate reconciliation and income taxes paid. We are required to adopt these disclosures for our annual period ending February 28, 2026, with early adoption permitted and this standard may be applied retrospectively. We expect this standard to impact our disclosures with no material impacts to our results of operations, cash flows, or financial condition.

Climate

In March 2024, the SEC adopted final rules to require disclosures about certain climate-related information in registration statements and annual reports. In April 2024, the SEC issued an order to stay the rules pending the completion of judicial review of multiple petitions challenging the rules. The rules will require disclosure of, among other things, material climate-related risks, how the board of directors and management oversee and manage such risks, and the actual and potential material impacts of such risks on us. The rules also require disclosure about material climate-related targets and goals, Scope 1 and Scope 2 GHG emissions, and the financial impacts of severe weather events and other natural conditions. The SEC has indicated that it will publish a new effective date for the rules, if ultimately implemented, at the conclusion of the stay. These rules will be applied prospectively. We are currently assessing the impact of these rules on our SEC filings.

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Pay vs Performance Disclosure - USD ($) $ in Millions	3 Months Ended
	May 31, 2024	May 31, 2023
Pay vs Performance Disclosure
Net income (loss) attributable to CBI	$ 877.0	$ 135.9

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Insider Trading Arrangements	3 Months Ended
	May 31, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

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Basis of Presentation (Policies)

3 Months Ended

May 31, 2024

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of presentation

We have prepared the Financial Statements, without audit, pursuant to the rules and regulations of the SEC applicable to quarterly reporting on Form 10-Q and reflect, in our opinion, all adjustments necessary to present fairly our financial information. All such adjustments are of a normal recurring nature. Certain information and footnote disclosures normally included in financial statements, prepared in accordance with generally accepted accounting principles, have been condensed or omitted as permitted by such rules and regulations. These Financial Statements should be read in conjunction with the consolidated financial statements and related notes included in the 2024 Annual Report. Results of operations for interim periods are not necessarily indicative of annual results.

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Inventories (Tables)

3 Months Ended

May 31, 2024

Inventory Disclosure [Abstract]

Schedule of Components of Inventories

Elements of cost include materials, labor, and overhead and consist of the following:

	May 31, 2024		February 29, 2024
(in millions)
Raw materials and supplies	$	244.1	$	254.1
In-process inventories	1,109.5		1,096.0
Finished case goods	773.4		728.2
	$	2,127.0	$	2,078.3

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Derivative Instruments (Tables)

3 Months Ended

May 31, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Aggregate notional value of outstanding derivative instruments

The aggregate notional value of outstanding derivative instruments is as follows:

	May 31, 2024		February 29, 2024
(in millions)
Derivative instruments designated as hedging instruments
Foreign currency contracts	$	2,083.1	$	2,045.6
Derivative instruments not designated as hedging instruments
Foreign currency contracts	$	829.5	$	735.9
Commodity derivative contracts	$	351.5	$	397.5

Fair value and location of derivative instruments on our balance sheets

The estimated fair value and location of our derivative instruments on our balance sheets are as follows (see Note 4):

Assets					Liabilities
	May 31, 2024		February 29, 2024			May 31, 2024		February 29, 2024
(in millions)
Derivative instruments designated as hedging instruments
Foreign currency contracts:
Prepaid expenses and other	$	148.0	$	154.1	Other accrued expenses and liabilities	$	2.5	$	3.5
Other assets	$	141.0	$	153.5	Deferred income taxes and other liabilities	$	0.5	$	0.2
Derivative instruments not designated as hedging instruments
Foreign currency contracts:
Prepaid expenses and other	$	2.7	$	3.6	Other accrued expenses and liabilities	$	3.8	$	1.7
Commodity derivative contracts:
Prepaid expenses and other	$	11.2	$	4.8	Other accrued expenses and liabilities	$	19.1	$	27.9
Other assets	$	5.7	$	1.4	Deferred income taxes and other liabilities	$	4.5	$	8.1

Effect of derivative instruments on our results of operations and OCI

The principal effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, as well as OCI, net of income tax effect, is as follows:

Derivative Instruments in Designated Cash Flow Hedging Relationships	Net Gain (Loss) Recognized in OCI		Location of Net Gain (Loss) Reclassified from AOCI to Income (Loss)	Net Gain (Loss) Reclassified from AOCI to Income (Loss)
(in millions)
For the Three Months Ended May 31, 2024
Foreign currency contracts	$	26.1	Sales	$	0.1
			Cost of product sold	39.1
	$	26.1		$	39.2
For the Three Months Ended May 31, 2023
Foreign currency contracts	$	79.3	Sales	$	—
			Cost of product sold	26.4
Pre-issuance hedge contracts	0.6		Interest expense, net	(0.2)
	$	79.9		$	26.2

The effect of our undesignated derivative instruments on our results of operations is as follows:

Derivative Instruments Not Designated as Hedging Instruments	Location of Net Gain (Loss) Recognized in Income (Loss)	Net Gain (Loss) Recognized in Income (Loss)
(in millions)
For the Three Months Ended May 31, 2024
Commodity derivative contracts	Cost of product sold	$	14.6
Foreign currency contracts	Selling, general, and administrative expenses	4.0
		$	18.6
For the Three Months Ended May 31, 2023
Commodity derivative contracts	Cost of product sold	$	(34.7)
Foreign currency contracts	Selling, general, and administrative expenses	12.7
		$	(22.0)

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Fair Value of Financial Instruments (Tables)

3 Months Ended

May 31, 2024

Fair Value Disclosures [Abstract]

Financial assets and liabilities measured at estimated fair value on a recurring basis

The following table presents our financial assets and liabilities measured at estimated fair value on a recurring basis:

	Fair Value Measurements Using
	Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
(in millions)
May 31, 2024
Assets:
Foreign currency contracts	$	—	$	291.7	$	—	$	291.7
Commodity derivative contracts	$	—	$	16.9	$	—	$	16.9
Liabilities:
Foreign currency contracts	$	—	$	6.8	$	—	$	6.8
Commodity derivative contracts	$	—	$	23.6	$	—	$	23.6
February 29, 2024
Assets:
Foreign currency contracts	$	—	$	311.2	$	—	$	311.2
Commodity derivative contracts	$	—	$	6.2	$	—	$	6.2
Liabilities:
Foreign currency contracts	$	—	$	5.4	$	—	$	5.4
Commodity derivative contracts	$	—	$	36.0	$	—	$	36.0

Assets and liabilities measured at estimated fair value on a nonrecurring basis

The following table presents our assets and liabilities measured at estimated fair value on a nonrecurring basis for which an impairment assessment was performed for the periods presented:

	Fair Value Measurements Using
	Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Losses
(in millions)
For the Three Months Ended May 31, 2023
Equity method investments	$	142.7	$	—	$	—	$	123.5

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Goodwill (Tables)

3 Months Ended

May 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Changes in the carrying amount of goodwill

The changes in the carrying amount of goodwill are as follows:

	Beer		Wine and Spirits		Consolidated
(in millions)
Balance, February 28, 2023	$	5,188.9	$	2,736.5	$	7,925.4
Purchase accounting allocations (1)	—		6.5		6.5
Foreign currency translation adjustments	49.3		(0.9)		48.4
Balance, February 29, 2024	5,238.2		2,742.1		7,980.3
Foreign currency translation adjustments	4.4		0.7		5.1
Balance, May 31, 2024	$	5,242.6	$	2,742.8	$	7,985.4

(1)Purchase accounting allocations associated with the June 2023 acquisition of the Domaine Curry wine business.

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Intangible Assets (Tables)

3 Months Ended

May 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Major components of intangible assets, Amortizable intangible assets

The major components of intangible assets are as follows:

	May 31, 2024				February 29, 2024
	Gross Carrying Amount		Net Carrying Amount		Gross Carrying Amount		Net Carrying Amount
(in millions)
Amortizable intangible assets
Customer relationships	$	85.4	$	15.8	$	85.3	$	16.2
Other	20.8		0.3		20.8		0.3
Total	$	106.2	16.1		$	106.1	16.5
Nonamortizable intangible assets
Trademarks			2,715.4				2,715.2
Total intangible assets			$	2,731.5			$	2,731.7

Major components of intangible assets, Nonamortizable intangible assets

The major components of intangible assets are as follows:

	May 31, 2024				February 29, 2024
	Gross Carrying Amount		Net Carrying Amount		Gross Carrying Amount		Net Carrying Amount
(in millions)
Amortizable intangible assets
Customer relationships	$	85.4	$	15.8	$	85.3	$	16.2
Other	20.8		0.3		20.8		0.3
Total	$	106.2	16.1		$	106.1	16.5
Nonamortizable intangible assets
Trademarks			2,715.4				2,715.2
Total intangible assets			$	2,731.5			$	2,731.7

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Other Assets (Tables)

3 Months Ended

May 31, 2024

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Components of other assets

The major components of other assets are as follows:

	May 31, 2024		February 29, 2024
(in millions)
Operating lease right-of-use asset	$	606.2	$	615.3
Derivative assets	146.7		154.9
Equity method investments	126.9		170.6
Exchangeable Shares	97.3		—
Other investments in debt and equity securities	86.0		73.0
Assets held for sale	26.1		25.7
Other	107.3		100.5
	$	1,196.5	$	1,140.0

Equity method investments

The carrying value of our equity method investments are as follows:

	May 31, 2024		February 29, 2024
(in millions)
Canopy Equity Method Investment (1)	$	—	$	42.5
Other equity method investments	126.9		128.1
	$	126.9	$	170.6

(1)Following the April 2024 conversion to Exchangeable Shares we no longer apply the equity method.

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Borrowings (Tables)

3 Months Ended

May 31, 2024

Debt Disclosure [Abstract]

Borrowings

Borrowings consist of the following:

	May 31, 2024						February 29, 2024
	Current		Long-term		Total		Total
(in millions)
Short-term borrowings
Commercial paper	$	793.2					$	241.4
	$	793.2					$	241.4
Long-term debt
Senior notes	$	399.7	$	10,673.7	$	11,073.4	$	11,620.1
Other	6.5		9.2		15.7		17.8
	$	406.2	$	10,682.9	$	11,089.1	$	11,637.9

Information with respect to borrowings under the 2022 Credit Agreement is as follows:

	Outstanding borrowings		Interest rate		SOFR margin		Outstanding letters of credit		Remaining borrowing capacity (1)
(in millions)
May 31, 2024
Revolving credit facility (2) (3)	$	—	—	%	—	%	$	11.4	$	1,443.1
February 29, 2024
Revolving credit facility (2) (3)	$	—	—	%	—	%	$	11.5	$	1,997.0

(1)Net of outstanding revolving credit facility borrowings and outstanding letters of credit under the 2022 Credit Agreement and outstanding borrowings under our commercial paper program of $795.5 million and $241.5 million (excluding unamortized discount) as of May 31, 2024 and February 29, 2024, respectively (see “Commercial paper program” below).

(2)Contractual interest rate varies based on our debt rating (as defined in the agreement) and is a function of SOFR plus a margin and a credit spread adjustment, or the base rate plus a margin, or, in certain circumstances where SOFR cannot be adequately ascertained or available, an alternative benchmark rate plus a margin.

(3)We and/or CB International are the borrower under the $2,250.0 million revolving credit facility with a maturity date of April 14, 2027. Includes a sub-facility for letters of credit of up to $200.0 million.

Information with respect to our outstanding commercial paper borrowings is as follows:

	May 31, 2024			February 29, 2024
(in millions)
Outstanding borrowings (1)	$	793.2		$	241.4
Weighted average annual interest rate	5.7		%	5.7		%
Weighted average remaining term	20 days			4 days

(1)Outstanding commercial paper borrowings are net of unamortized discount.

Schedule of maturities of long-term debt

As of May 31, 2024, the required principal repayments under long-term debt obligations (excluding unamortized debt issuance costs and unamortized discounts of $53.8 million and $22.8 million, respectively) for the remaining nine months of Fiscal 2025 and for each of the five succeeding fiscal years and thereafter are as follows:

(in millions)
Fiscal 2025	$	405.3
Fiscal 2026	1,404.9
Fiscal 2027	603.8
Fiscal 2028	1,801.5
Fiscal 2029	900.1
Fiscal 2030	800.0
Thereafter	5,250.1
	$	11,165.7

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Stockholders' Equity (Tables)

3 Months Ended

May 31, 2024

Equity [Abstract]

Number of shares of common stock issued and treasury stock, and associated share activity

The number of shares of common stock issued and treasury stock, and associated share activity, are as follows:

	Class A Stock	Class 1 Stock	Class A Stock in Treasury
Balance at February 29, 2024	212,698,298	23,661	29,809,881
Share repurchases	—	—	775,334
Exercise of stock options	—	1,880	(149,324)
Vesting of restricted stock units (1)	—	—	(85,650)
Vesting of performance share units (1)	—	—	(8,757)
Balance at May 31, 2024	212,698,298	25,541	30,341,484

	Class A Stock	Class 1 Stock	Class A Stock in Treasury
Balance at February 28, 2023	212,697,428	22,705	29,498,426
Share repurchases	—	—	153,937
Conversion of shares	80	(80)	—
Exercise of stock options	—	800	(129,595)
Vesting of restricted stock units (1)	—	—	(71,189)
Vesting of performance share units (1)	—	—	(13,113)
Balance at May 31, 2023	212,697,508	23,425	29,438,466

(1)Net of the following shares withheld to satisfy tax withholding requirements:

	For the Three Months Ended May 31,
2024
Restricted Stock Units	48,501
Performance Share Units	5,728
2023
Restricted Stock Units	39,839
Performance Share Units	8,735

Summary of share repurchase activity

As of July 3, 2024, total shares repurchased under our board authorizations are as follows:

			Class A Stock
	Repurchase Authorization		Dollar Value of Shares Repurchased		Number of Shares Repurchased
(in millions, except share data)
2021 Authorization (1)	$	2,000.0	$	1,633.3	6,838,453
2023 Authorization (1)	$	2,000.0	$	—	—

(1)As of July 3, 2024, $2,366.7 million remains available for future share repurchases, excluding the impact of Federal excise tax owed pursuant to the IRA.

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Net Income (Loss) Per Common Share Attributable to CBI (Tables)

3 Months Ended

May 31, 2024

Earnings Per Share [Abstract]

Basic and diluted net income (loss) per common share attributable to CBI

The computation of basic and diluted net income (loss) per common share for Class A Stock are as follows:

	For the Three Months Ended May 31,
	2024		2023
(in millions, except per share data)
Net income (loss) attributable to CBI	$	877.0	$	135.9
Weighted average common shares outstanding – basic	182.766		183.270
Stock-based awards, primarily stock options	0.695		0.593
Weighted average common shares outstanding – diluted	183.461		183.863
Net income (loss) per common share attributable to CBI – basic	$	4.80	$	0.74
Net income (loss) per common share attributable to CBI – diluted	$	4.78	$	0.74

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Comprehensive Income (Loss) Attributable to CBI (Tables)

3 Months Ended

May 31, 2024

Equity [Abstract]

Reconciliation of net income (loss) attributable to CBI to comprehensive income (loss) attributable to CBI

The reconciliation of net income (loss) attributable to CBI to comprehensive income (loss) attributable to CBI is as follows:

	Before Tax Amount		Tax (Expense) Benefit		Net of Tax Amount
(in millions)
For the Three Months Ended May 31, 2024
Net income (loss) attributable to CBI					$	877.0
Other comprehensive income (loss) attributable to CBI:
Foreign currency translation adjustments:
Net gain (loss)	$	13.5	$	—	13.5
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	13.5		—		13.5
Unrealized gain (loss) on cash flow hedges:
Net derivative gain (loss)	28.2		(3.3)		24.9
Amounts reclassified	(42.1)		5.0		(37.1)
Net gain (loss) recognized in other comprehensive income (loss)	(13.9)		1.7		(12.2)
Share of OCI of equity method investments
Net gain (loss)	—		—		—
Amounts reclassified	(10.3)		—		(10.3)
Net gain (loss) recognized in other comprehensive income (loss)	(10.3)		—		(10.3)
Other comprehensive income (loss) attributable to CBI	$	(10.7)	$	1.7	(9.0)
Comprehensive income (loss) attributable to CBI					$	868.0

	Before Tax Amount		Tax (Expense) Benefit		Net of Tax Amount
(in millions)
For the Three Months Ended May 31, 2023
Net income (loss) attributable to CBI					$	135.9
Other comprehensive income (loss) attributable to CBI:
Foreign currency translation adjustments:
Net gain (loss)	$	163.4	$	—	163.4
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	163.4		—		163.4
Unrealized gain (loss) on cash flow hedges:
Net derivative gain (loss)	86.4		(10.4)		76.0
Amounts reclassified	(27.8)		3.2		(24.6)
Net gain (loss) recognized in other comprehensive income (loss)	58.6		(7.2)		51.4
Pension/postretirement adjustments:
Net actuarial gain (loss)	(0.3)		0.1		(0.2)
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	(0.3)		0.1		(0.2)
Share of OCI of equity method investments
Net gain (loss)	(0.3)		0.1		(0.2)
Amounts reclassified	—		—		—
Net gain (loss) recognized in other comprehensive income (loss)	(0.3)		0.1		(0.2)
Other comprehensive income (loss) attributable to CBI	$	221.4	$	(7.0)	214.4
Comprehensive income (loss) attributable to CBI					$	350.3

Accumulated other comprehensive income (loss), net of income tax effect

Accumulated other comprehensive income (loss), net of income tax effect, includes the following components:

	Foreign Currency Translation Adjustments		Unrealized Net Gain (Loss) on Derivative Instruments		Pension/ Postretirement Adjustments		Share of OCI of Equity Method Investments		Accumulated Other Comprehensive Income (Loss)
(in millions)
Balance, February 29, 2024	$	102.9	$	266.2	$	(2.6)	$	10.3	$	376.8
Other comprehensive income (loss):
Other comprehensive income (loss) before reclassification adjustments	13.5		24.9		—		—		38.4
Amounts reclassified from accumulated other comprehensive income (loss)	—		(37.1)		—		(10.3)		(47.4)
Other comprehensive income (loss)	13.5		(12.2)		—		(10.3)		(9.0)
Balance, May 31, 2024	$	116.4	$	254.0	$	(2.6)	$	—	$	367.8

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Business Segment Information (Tables)

3 Months Ended

May 31, 2024

Segment Reporting [Abstract]

Comparable adjustments

Comparable Adjustments that impacted comparability in our segment operating income (loss) for each period are as follows:

	For the Three Months Ended May 31,
	2024		2023
(in millions)
Cost of product sold
Net gain (loss) on undesignated commodity derivative contracts	$	14.6	$	(34.7)
Settlements of undesignated commodity derivative contracts	8.5		0.6
Flow through of inventory step-up	(1.1)		(0.7)
Comparable Adjustments, Cost of product sold	22.0		(34.8)
Selling, general, and administrative expenses
Transition services agreements activity	(2.8)		(5.7)
Restructuring and other strategic business development costs	(1.8)		(14.9)
Transaction, integration, and other acquisition-related costs	(0.2)		(0.3)
Other gains (losses) (1)	0.4		(6.8)
Comparable Adjustments, Selling, general, and administrative expenses	(4.4)		(27.7)
Comparable Adjustments, Operating income (loss)	$	17.6	$	(62.5)

(1)	Primarily includes the following:
		For the Three Months Ended May 31,
		2024		2023
	(in millions)
	Gain (loss) on sale of business	$	—	$	(7.0)

Segment information

Segment information is as follows:

	For the Three Months Ended May 31,
	2024		2023
(in millions)
Beer
Net sales	$	2,272.8	$	2,098.6
Segment operating income (loss)	$	923.0	$	797.8
Capital expenditures	$	314.4	$	205.6
Depreciation and amortization	$	86.4	$	78.8
Wine and Spirits
Net sales:
Wine	$	329.3	$	361.0
Spirits	59.7		55.3
Net sales	$	389.0	$	416.3
Segment operating income (loss)	$	59.7	$	79.3
Income (loss) from unconsolidated investments	$	0.4	$	2.3
Equity method investments	$	101.2	$	96.8
Capital expenditures	$	49.6	$	38.6
Depreciation and amortization	$	21.3	$	22.5
Corporate Operations and Other
Segment operating income (loss)	$	(58.7)	$	(49.9)
Income (loss) from unconsolidated investments	$	(1.7)	$	(33.3)
Equity method investments	$	25.7	$	194.5
Capital expenditures	$	11.3	$	32.8
Depreciation and amortization	$	4.2	$	4.4
Comparable Adjustments
Operating income (loss)	$	17.6	$	(62.5)
Income (loss) from unconsolidated investments	$	83.3	$	(384.4)
Consolidated
Net sales	$	2,661.8	$	2,514.9
Operating income (loss)	$	941.6	$	764.7
Income (loss) from unconsolidated investments (1)	$	82.0	$	(415.4)
Equity method investments	$	126.9	$	291.3
Capital expenditures	$	375.3	$	277.0
Depreciation and amortization	$	111.9	$	105.7

(1)	Income (loss) from unconsolidated investments consists of:
			For the Three Months Ended May 31,
			2024		2023
		(in millions)
		Net gain on conversion and exchange to Exchangeable Shares (i)	$	83.3	$	—
		Equity in earnings (losses) from other equity method investees and related activities	(1.3)		(0.3)
		Equity in earnings (losses) from Canopy and related activities	—		(219.8)
		Impairment of equity method investments	—		(123.5)
		Unrealized net gain (loss) on securities measured at fair value (i)	—		(71.8)
			$	82.0	$	(415.4)

(i)Effective as of May 31, 2023, we determined that the 2023 Canopy Promissory Note did not have future economic value given the substantial doubt about Canopy’s ability to continue as a going concern, as disclosed by Canopy, prior to the maturity of the note. Accordingly, the fair value of the remaining balance for this instrument was determined to be zero. In April 2024, we exchanged the 2023 Canopy Promissory Note for Exchangeable Shares.

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Inventories - Schedule of Costs of Inventory (Details) - USD ($) $ in Millions	May 31, 2024	Feb. 29, 2024
Inventory Disclosure [Abstract]
Raw materials and supplies	$ 244.1	$ 254.1
In-process inventories	1,109.5	1,096.0
Finished case goods	773.4	728.2
Inventories, Total	$ 2,127.0	$ 2,078.3

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Derivative Instruments - Aggregate Notional Value of Outstanding Derivative Instruments (Details) - USD ($) $ in Millions	May 31, 2024	Feb. 29, 2024
Derivative instruments designated as hedging instruments | Foreign currency contracts
Derivative [Line Items]
Aggregate notional value of derivative instruments	$ 2,083.1	$ 2,045.6
Derivative instruments not designated as hedging instruments | Foreign currency contracts
Derivative [Line Items]
Aggregate notional value of derivative instruments	829.5	735.9
Derivative instruments not designated as hedging instruments | Commodity derivative contracts
Derivative [Line Items]
Aggregate notional value of derivative instruments	$ 351.5	$ 397.5

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Derivative Instruments - Narrative (Details) $ in Millions	3 Months Ended
	May 31, 2024 USD ($)
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Fair value of derivative instruments in a net liability position due to counterparties	$ 2.2
Amount of net gains (losses), net of income tax effect, to be reclassified from AOCI to our results of operations within the next 12 months	$ 128.3

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Derivative Instruments - Estimated Fair Value and Location of Derivative Instruments (Details) - USD ($) $ in Millions	May 31, 2024	Feb. 29, 2024
Derivative instruments designated as hedging instruments | Foreign currency contracts | Prepaid expenses and other
Fair value and location of our derivative instruments on our balance sheets
Foreign currency contracts, Assets	$ 148.0	$ 154.1
Derivative instruments designated as hedging instruments | Foreign currency contracts | Other accrued expenses and liabilities
Fair value and location of our derivative instruments on our balance sheets
Foreign currency contracts, Liabilities	2.5	3.5
Derivative instruments designated as hedging instruments | Foreign currency contracts | Other assets
Fair value and location of our derivative instruments on our balance sheets
Foreign currency contracts, Assets	141.0	153.5
Derivative instruments designated as hedging instruments | Foreign currency contracts | Deferred income taxes and other liabilities
Fair value and location of our derivative instruments on our balance sheets
Foreign currency contracts, Liabilities	0.5	0.2
Derivative instruments not designated as hedging instruments | Foreign currency contracts | Prepaid expenses and other
Fair value and location of our derivative instruments on our balance sheets
Foreign currency contracts, Assets	2.7	3.6
Derivative instruments not designated as hedging instruments | Foreign currency contracts | Other accrued expenses and liabilities
Fair value and location of our derivative instruments on our balance sheets
Foreign currency contracts, Liabilities	3.8	1.7
Derivative instruments not designated as hedging instruments | Commodity derivative contracts | Prepaid expenses and other
Fair value and location of our derivative instruments on our balance sheets
Commodity derivative contracts, Assets	11.2	4.8
Derivative instruments not designated as hedging instruments | Commodity derivative contracts | Other accrued expenses and liabilities
Fair value and location of our derivative instruments on our balance sheets
Commodity derivative contracts, Liabilities	19.1	27.9
Derivative instruments not designated as hedging instruments | Commodity derivative contracts | Other assets
Fair value and location of our derivative instruments on our balance sheets
Commodity derivative contracts, Assets	5.7	1.4
Derivative instruments not designated as hedging instruments | Commodity derivative contracts | Deferred income taxes and other liabilities
Fair value and location of our derivative instruments on our balance sheets
Commodity derivative contracts, Liabilities	$ 4.5	$ 8.1

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Derivative Instruments - Effects of Designated and Undesignated Hedging Instruments (Details) - USD ($) $ in Millions	3 Months Ended
	May 31, 2024	May 31, 2023
Effect of our undesignated derivative instruments on our results of operations
Net Gain (Loss) Recognized in Income (Loss)	$ 18.6	$ (22.0)
Foreign currency contracts | Selling, general, and administrative expenses
Effect of our undesignated derivative instruments on our results of operations
Net Gain (Loss) Recognized in Income (Loss)	4.0	12.7
Commodity derivative contracts | Cost of product sold
Effect of our undesignated derivative instruments on our results of operations
Net Gain (Loss) Recognized in Income (Loss)	14.6	(34.7)
Cash flow hedging
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect
Net Gain (Loss) Recognized in OCI	26.1	79.9
Net Gain (Loss) Reclassified from AOCI to Income (Loss)	39.2	26.2
Cash flow hedging | Foreign currency contracts
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect
Net Gain (Loss) Recognized in OCI	26.1	79.3
Cash flow hedging | Foreign currency contracts | Sales
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect
Net Gain (Loss) Reclassified from AOCI to Income (Loss)	0.1	0.0
Cash flow hedging | Foreign currency contracts | Cost of product sold
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect
Net Gain (Loss) Reclassified from AOCI to Income (Loss)	$ 39.1	26.4
Cash flow hedging | Pre-issuance hedge contracts
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect
Net Gain (Loss) Recognized in OCI		0.6
Cash flow hedging | Pre-issuance hedge contracts | Interest expense, net
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect
Net Gain (Loss) Reclassified from AOCI to Income (Loss)		$ (0.2)

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Fair Value of Financial Instruments - Debt and Investments (Details) - USD ($) $ in Millions	May 31, 2024	Feb. 29, 2024
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, including current portion	$ 11,089.1	$ 11,637.9
Carrying amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, including current portion	11,089.1	11,637.9
Fair value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, including current portion	$ 10,176.1	$ 10,775.8

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Fair Value of Financial Instruments - Recurring Basis Measurements (Details) - Recurring - USD ($) $ in Millions	May 31, 2024	Feb. 29, 2024
Foreign currency contracts
Fair Value, Net Asset (Liability) [Abstract]
Derivative asset	$ 291.7	$ 311.2
Derivative liability	6.8	5.4
Commodity derivative contracts
Fair Value, Net Asset (Liability) [Abstract]
Derivative asset	16.9	6.2
Derivative liability	23.6	36.0
Quoted Prices in Active Markets (Level 1) | Foreign currency contracts
Fair Value, Net Asset (Liability) [Abstract]
Derivative asset	0.0	0.0
Derivative liability	0.0	0.0
Quoted Prices in Active Markets (Level 1) | Commodity derivative contracts
Fair Value, Net Asset (Liability) [Abstract]
Derivative asset	0.0	0.0
Derivative liability	0.0	0.0
Significant Other Observable Inputs (Level 2) | Foreign currency contracts
Fair Value, Net Asset (Liability) [Abstract]
Derivative asset	291.7	311.2
Derivative liability	6.8	5.4
Significant Other Observable Inputs (Level 2) | Commodity derivative contracts
Fair Value, Net Asset (Liability) [Abstract]
Derivative asset	16.9	6.2
Derivative liability	23.6	36.0
Significant Unobservable Inputs (Level 3) | Foreign currency contracts
Fair Value, Net Asset (Liability) [Abstract]
Derivative asset	0.0	0.0
Derivative liability	0.0	0.0
Significant Unobservable Inputs (Level 3) | Commodity derivative contracts
Fair Value, Net Asset (Liability) [Abstract]
Derivative asset	0.0	0.0
Derivative liability	$ 0.0	$ 0.0

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Fair Value of Financial Instruments - Nonrecurring Basis Measurements (Details) - USD ($) $ in Millions	3 Months Ended
	May 31, 2024	May 31, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity method investments, total losses	$ 0.0	$ 123.5
Nonrecurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity method investments, total losses		123.5
Nonrecurring | Quoted Prices in Active Markets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity method investments		142.7
Nonrecurring | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity method investments		0.0
Nonrecurring | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity method investments		$ 0.0

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Fair Value of Financial Instruments - Impairment of Equity Method Investments and Long-Lived Assets (Details) - USD ($) $ in Millions	3 Months Ended
	May 31, 2024	May 31, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity method investments, total losses	$ 0.0	$ 123.5
Canopy Equity Method Investment
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity method investments, carrying value		266.2
Equity method investments		142.7
Equity method investments, total losses		$ 123.5

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Goodwill (Details) - USD ($) $ in Millions	1 Months Ended	3 Months Ended	12 Months Ended
	Jun. 30, 2024	May 31, 2024	Feb. 29, 2024
Changes in the carrying amount of goodwill [Roll Forward]
Goodwill, beginning of period	$ 7,985.4	$ 7,980.3	$ 7,925.4
Purchase accounting allocations			6.5
Foreign currency translation adjustments		5.1	48.4
Goodwill, end of period		7,985.4	7,980.3
Operating Segments | Beer
Changes in the carrying amount of goodwill [Roll Forward]
Goodwill, beginning of period	5,242.6	5,238.2	5,188.9
Purchase accounting allocations			0.0
Foreign currency translation adjustments		4.4	49.3
Goodwill, end of period		5,242.6	5,238.2
Operating Segments | Wine and Spirits
Changes in the carrying amount of goodwill [Roll Forward]
Goodwill, beginning of period	2,742.8	2,742.1	2,736.5
Purchase accounting allocations			6.5
Foreign currency translation adjustments		0.7	(0.9)
Goodwill, end of period		$ 2,742.8	$ 2,742.1
Operating Segments | Wine and Spirits | Sea Smoke Business Acquisition | Subsequent Event
Changes in the carrying amount of goodwill [Roll Forward]
Purchase price	$ 170.0

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Intangible Assets - Component of Intangible Assets (Details) - USD ($) $ in Millions	May 31, 2024	Feb. 29, 2024
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets, Gross Carrying Amount	$ 106.2	$ 106.1
Amortizable intangible assets, Net Carrying Amount	16.1	16.5
Indefinite-lived Intangible Assets [Line Items]
Intangible assets	2,731.5	2,731.7
Trademarks
Indefinite-lived Intangible Assets [Line Items]
Nonamortizable intangible assets, Net Carrying Amount	2,715.4	2,715.2
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets, Gross Carrying Amount	85.4	85.3
Amortizable intangible assets, Net Carrying Amount	15.8	16.2
Other
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets, Gross Carrying Amount	20.8	20.8
Amortizable intangible assets, Net Carrying Amount	$ 0.3	$ 0.3

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Other Assets Components (Details) - USD ($) $ in Millions	May 31, 2024	Feb. 29, 2024	May 31, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Operating lease right-of-use asset	$ 606.2	$ 615.3
Derivative assets	146.7	154.9
Equity method investments	126.9	170.6	$ 291.3
Exchangeable Shares	97.3	0.0
Other investments in debt and equity securities	86.0	73.0
Assets held for sale	26.1	25.7
Other	107.3	100.5
Other assets	$ 1,196.5	$ 1,140.0

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Equity Method Investments Components (Details) - USD ($) $ in Millions	May 31, 2024	Feb. 29, 2024	May 31, 2023
Schedule of Equity Method Investments [Line Items]
Equity method investments	$ 126.9	$ 170.6	$ 291.3
Canopy Equity Method Investment
Schedule of Equity Method Investments [Line Items]
Equity method investments	0.0	42.5
Other equity method investments
Schedule of Equity Method Investments [Line Items]
Equity method investments	$ 126.9	$ 128.1

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Exchangeable Shares (Details) shares in Millions, $ in Millions	1 Months Ended	3 Months Ended
	Apr. 30, 2024 CAD ($) shares	May 31, 2024 USD ($) shares	May 31, 2023 USD ($)	Apr. 01, 2024 shares	Apr. 30, 2023 CAD ($)
Schedule of Equity Method Investments [Line Items]
Net gain on conversion and exchange to Exchangeable Shares		$ 83.3	$ 0.0
2023 Canopy Promissory Note | Unsecured debt
Schedule of Equity Method Investments [Line Items]
Principal amount converted to Exchangeable Shares	$ 81,200,000
Aggregate principal amount					$ 100,000,000
Interest rates of 2023 Canopy Promissory Note					4.25%
Canopy
Schedule of Equity Method Investments [Line Items]
Shares issued in promissory note exchange (in shares) | shares	9.1
Interest in Canopy (in shares) | shares		26.3
Net gain on conversion and exchange to Exchangeable Shares		$ 83.3	$ 0.0
Canopy Equity Method Investment
Schedule of Equity Method Investments [Line Items]
Equity method investment (in shares) | shares				17.1

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Borrowings - Schedule of Borrowings (Details) - USD ($) $ in Millions	May 31, 2024	Feb. 29, 2024
Schedule of Debt [Line Items]
Short-term borrowings	$ 793.2	$ 241.4
Long-term Debt
Other, current	6.5
Other, long-term	9.2
Other, total	15.7	17.8
Long-term debt, current	406.2	956.8
Long-term debt, long-term	10,682.9	10,681.1
Long-term debt, total	11,089.1	11,637.9
Unsecured debt | Senior notes
Long-term Debt
Unsecured debt, current	399.7
Unsecured debt, long-term	10,673.7
Unsecured debt, total	11,073.4	11,620.1
Commercial paper
Schedule of Debt [Line Items]
Short-term borrowings	$ 793.2	$ 241.4

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Borrowings - Credit Agreements (Details) - USD ($)	May 31, 2024	Feb. 29, 2024
Schedule of Debt [Line Items]
Short-term borrowings	$ 793,200,000	$ 241,400,000
Outstanding commercial paper	11,165,700,000
Revolving credit facility
Schedule of Debt [Line Items]
Short-term borrowings	$ 0	$ 0
Weighted average interest rate	0.00%	0.00%
Remaining borrowing capacity	$ 1,443,100,000	$ 1,997,000,000
Aggregate principal amount	$ 2,250,000,000
Revolving credit facility | SOFR
Schedule of Debt [Line Items]
SOFR margin	0.00%	0.00%
Letters of credit
Schedule of Debt [Line Items]
Outstanding letters of credit	$ 11,400,000	$ 11,500,000
Aggregate principal amount	200,000,000
Commercial paper
Schedule of Debt [Line Items]
Short-term borrowings	$ 793,200,000	$ 241,400,000
Weighted average interest rate	5.70%	5.70%
Outstanding commercial paper	$ 795,500,000	$ 241,500,000
Aggregate principal amount	$ 2,250,000,000

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Borrowings - Commercial Paper Program (Details) - USD ($)	3 Months Ended	12 Months Ended
	May 31, 2024	Feb. 29, 2024
Schedule of Debt [Line Items]
Outstanding borrowings	$ 793,200,000	$ 241,400,000
Commercial paper
Schedule of Debt [Line Items]
Aggregate principal amount	2,250,000,000
Outstanding borrowings	$ 793,200,000	$ 241,400,000
Weighted average interest rate	5.70%	5.70%
Weighted average remaining term	20 days	4 days

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Borrowings - Debt Payments (Details) $ in Millions	May 31, 2024 USD ($)
Debt Disclosure [Abstract]
Unamortized debt issuance costs, long-term debt obligations	$ 53.8
Unamortized discount, long-term debt obligations	22.8
Fiscal 2025	405.3
Fiscal 2026	1,404.9
Fiscal 2027	603.8
Fiscal 2028	1,801.5
Fiscal 2029	900.1
Fiscal 2030	800.0
Thereafter	5,250.1
Total long-term debt, gross	$ 11,165.7

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Income Taxes (Details)	3 Months Ended
	May 31, 2024	May 31, 2023
Income Tax Disclosure [Abstract]
Effective tax rate	3.00%	39.60%

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Stockholders' Equity - Summary of Common Stock and Treasury Stock Issued (Details) - shares	3 Months Ended
	May 31, 2024	May 31, 2023
Class A Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common Stock, beginning of period (in shares)	212,698,298
Treasury Stock, beginning of period (in shares)	29,809,881
Number of shares repurchased (in shares)	775,334
Common Stock, end of period (in shares)	212,698,298
Treasury Stock, end of period (in shares)	30,341,484
Common Stock | Class A Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common Stock, beginning of period (in shares)	212,698,298	212,697,428
Conversion of shares (in shares)		80
Common Stock, end of period (in shares)	212,698,298	212,697,508
Common Stock | Class 1 Common Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common Stock, beginning of period (in shares)	23,661	22,705
Exercise of stock options (in shares)	1,880	800
Conversion of shares (in shares)		80
Common Stock, end of period (in shares)	25,541	23,425
Class A Stock in Treasury | Class A Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Treasury Stock, beginning of period (in shares)	29,809,881	29,498,426
Number of shares repurchased (in shares)	775,334	153,937
Exercise of stock options (in shares)	149,324	129,595
Treasury Stock, end of period (in shares)	30,341,484	29,438,466
Class A Stock in Treasury | Class A Stock | Restricted stock units
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Vesting of stock units (in shares)	(85,650)	(71,189)
Shares withheld to satisfy tax withholding requirements (in shares)	48,501	39,839
Class A Stock in Treasury | Class A Stock | Performance share units
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Vesting of stock units (in shares)	(8,757)	(13,113)
Shares withheld to satisfy tax withholding requirements (in shares)	5,728	8,735

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Stockholders' Equity - Narrative (Details) - USD ($)	1 Months Ended	3 Months Ended		8 Months Ended	42 Months Ended
	Jul. 03, 2024	May 31, 2024	May 31, 2023	Jul. 03, 2024	Jul. 03, 2024	Nov. 30, 2023	Jan. 31, 2021
Equity, Class of Treasury Stock [Line Items]
Dollar Value of Shares Repurchased		$ 200,000,000.0	$ 35,000,000.0
2021 Authorization
Equity, Class of Treasury Stock [Line Items]
Repurchase Authorization							$ 2,000,000,000
2023 Authorization
Equity, Class of Treasury Stock [Line Items]
Repurchase Authorization						$ 2,000,000,000
Class A Stock
Equity, Class of Treasury Stock [Line Items]
Number of shares repurchased (in shares)		775,334
Dollar Value of Shares Repurchased		$ 200,000,000
Class A Stock | 2021 Authorization | Subsequent Event
Equity, Class of Treasury Stock [Line Items]
Number of shares repurchased (in shares)	187,843				6,838,453
Dollar Value of Shares Repurchased	$ 47,000,000				$ 1,633,300,000
Class A Stock | 2023 Authorization | Subsequent Event
Equity, Class of Treasury Stock [Line Items]
Number of shares repurchased (in shares)				0
Dollar Value of Shares Repurchased				$ 0

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Stockholders' Equity - Stock Repurchases (Details) - USD ($)	1 Months Ended	3 Months Ended		8 Months Ended	42 Months Ended
	Jul. 03, 2024	May 31, 2024	May 31, 2023	Jul. 03, 2024	Jul. 03, 2024	Nov. 30, 2023	Jan. 31, 2021
Equity, Class of Treasury Stock [Line Items]
Dollar Value of Shares Repurchased		$ 200,000,000.0	$ 35,000,000.0
2021 Authorization
Equity, Class of Treasury Stock [Line Items]
Repurchase Authorization							$ 2,000,000,000
2023 Authorization
Equity, Class of Treasury Stock [Line Items]
Repurchase Authorization						$ 2,000,000,000
Class A Stock
Equity, Class of Treasury Stock [Line Items]
Dollar Value of Shares Repurchased		$ 200,000,000
Number of shares repurchased (in shares)		775,334
Class A Stock | Subsequent Event
Equity, Class of Treasury Stock [Line Items]
Stock Repurchase Program, Remaining Authorized Repurchase Amount	$ 2,366,700,000			$ 2,366,700,000	$ 2,366,700,000
Class A Stock | 2021 Authorization | Subsequent Event
Equity, Class of Treasury Stock [Line Items]
Dollar Value of Shares Repurchased	$ 47,000,000				$ 1,633,300,000
Number of shares repurchased (in shares)	187,843				6,838,453
Class A Stock | 2023 Authorization | Subsequent Event
Equity, Class of Treasury Stock [Line Items]
Dollar Value of Shares Repurchased				$ 0
Number of shares repurchased (in shares)				0

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Net Income (Loss) Per Common Share Attributable to CBI (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	3 Months Ended
	May 31, 2024	May 31, 2023
Earnings per share reconciliation
Net income (loss) attributable to CBI	$ 877.0	$ 135.9
Class A Stock
Earnings per share reconciliation
Net income (loss) attributable to CBI	$ 877.0	$ 135.9
Weighted average number of shares outstanding reconciliation
Weighted average common shares outstanding - basic (in shares)	182,766	183,270
Stock-based awards, primarily stock options (in shares)	695	593
Weighted average common shares outstanding - diluted (in shares)	183,461	183,863
Basic and diluted net income (loss) per common share attributable to CBI
Net income (loss) per common share attributable to CBI - basic (in dollars per share)	$ 4.80	$ 0.74
Net income (loss) per common share attributable to CBI - diluted (in dollars per share)	$ 4.78	$ 0.74

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Comprehensive Income (Loss) Attributable to CBI - Reconciliation of Net Income (Loss) Attributable to CBI to Comprehensive Income (Loss) Attributable to CBI (Details) - USD ($) $ in Millions	3 Months Ended
	May 31, 2024	May 31, 2023
Accumulated Other Comprehensive Income (Loss) [Line Items]
Net income (loss) attributable to CBI	$ 877.0	$ 135.9
Other comprehensive income (loss) attributable to CBI
Other comprehensive income (loss) attributable to CBI, net of tax amount	(8.7)	225.3
Comprehensive income (loss) attributable to CBI	868.0	350.3
Accumulated Other Comprehensive Income (Loss)
Other comprehensive income (loss) attributable to CBI
Net gain (loss), net of tax amount	38.4
Reclassification adjustments, net of tax amount	(47.4)
Other comprehensive income (loss) attributable to CBI, before tax amount	(10.7)	221.4
Other comprehensive income (loss) attributable to CBI, tax (expense) benefit	1.7	(7.0)
Other comprehensive income (loss) attributable to CBI, net of tax amount	(9.0)	214.4
Accumulated Other Comprehensive Income (Loss) | Share of OCI of Equity Method Investments
Other comprehensive income (loss) attributable to CBI
Net gain (loss), before tax amount	0.0	(0.3)
Net gain (loss), tax (expense) benefit	0.0	0.1
Net gain (loss), net of tax amount	0.0	(0.2)
Reclassification adjustments, before tax amount	(10.3)	0.0
Reclassification adjustments, tax (expense) benefit	0.0	0.0
Reclassification adjustments, net of tax amount	(10.3)	0.0
Other comprehensive income (loss) attributable to CBI, before tax amount	(10.3)	(0.3)
Other comprehensive income (loss) attributable to CBI, tax (expense) benefit	0.0	0.1
Other comprehensive income (loss) attributable to CBI, net of tax amount	(10.3)	(0.2)
Foreign Currency Translation Adjustments
Other comprehensive income (loss) attributable to CBI
Net gain (loss), before tax amount	13.5	163.4
Net gain (loss), tax (expense) benefit	0.0	0.0
Net gain (loss), net of tax amount	13.5	163.4
Reclassification adjustments, before tax amount	0.0	0.0
Reclassification adjustments, tax (expense) benefit	0.0	0.0
Reclassification adjustments, net of tax amount	0.0	0.0
Other comprehensive income (loss) attributable to CBI, before tax amount	13.5	163.4
Other comprehensive income (loss) attributable to CBI, tax (expense) benefit	0.0	0.0
Other comprehensive income (loss) attributable to CBI, net of tax amount	13.5	163.4
Unrealized Net Gain (Loss) on Derivative Instruments
Other comprehensive income (loss) attributable to CBI
Net gain (loss), before tax amount	28.2	86.4
Net gain (loss), tax (expense) benefit	(3.3)	(10.4)
Net gain (loss), net of tax amount	24.9	76.0
Reclassification adjustments, before tax amount	(42.1)	(27.8)
Reclassification adjustments, tax (expense) benefit	5.0	3.2
Reclassification adjustments, net of tax amount	(37.1)	(24.6)
Other comprehensive income (loss) attributable to CBI, before tax amount	(13.9)	58.6
Other comprehensive income (loss) attributable to CBI, tax (expense) benefit	1.7	(7.2)
Other comprehensive income (loss) attributable to CBI, net of tax amount	(12.2)	51.4
Pension/ Postretirement Adjustments
Other comprehensive income (loss) attributable to CBI
Net gain (loss), before tax amount		(0.3)
Net gain (loss), tax (expense) benefit		0.1
Net gain (loss), net of tax amount	0.0	(0.2)
Reclassification adjustments, before tax amount		0.0
Reclassification adjustments, tax (expense) benefit		0.0
Reclassification adjustments, net of tax amount	0.0	0.0
Other comprehensive income (loss) attributable to CBI, before tax amount		(0.3)
Other comprehensive income (loss) attributable to CBI, tax (expense) benefit		0.1
Other comprehensive income (loss) attributable to CBI, net of tax amount	$ 0.0	$ (0.2)

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Comprehensive Income (Loss) Attributable to CBI - Accumulated Other Comprehensive Income (Loss), Net of Income Tax Effect (Details) - USD ($) $ in Millions	3 Months Ended
	May 31, 2024	May 31, 2023
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward]
Stockholders' equity, beginning of period	$ 9,743.1
Other comprehensive income (loss):
Other comprehensive income (loss) attributable to CBI, net of tax amount	(8.7)	$ 225.3
Stockholders' equity, period end	10,251.8
Accumulated Other Comprehensive Income (Loss)
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward]
Stockholders' equity, beginning of period	376.8
Other comprehensive income (loss):
Other comprehensive income (loss) before reclassification adjustments	38.4
Amounts reclassified from accumulated other comprehensive income (loss)	(47.4)
Other comprehensive income (loss) attributable to CBI, net of tax amount	(9.0)	214.4
Stockholders' equity, period end	367.8
Accumulated Other Comprehensive Income (Loss) | Share of OCI of Equity Method Investments
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward]
Stockholders' equity, beginning of period	10.3
Other comprehensive income (loss):
Other comprehensive income (loss) before reclassification adjustments	0.0	(0.2)
Amounts reclassified from accumulated other comprehensive income (loss)	(10.3)	0.0
Other comprehensive income (loss) attributable to CBI, net of tax amount	(10.3)	(0.2)
Stockholders' equity, period end	0.0
Foreign Currency Translation Adjustments
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward]
Stockholders' equity, beginning of period	102.9
Other comprehensive income (loss):
Other comprehensive income (loss) before reclassification adjustments	13.5	163.4
Amounts reclassified from accumulated other comprehensive income (loss)	0.0	0.0
Other comprehensive income (loss) attributable to CBI, net of tax amount	13.5	163.4
Stockholders' equity, period end	116.4
Unrealized Net Gain (Loss) on Derivative Instruments
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward]
Stockholders' equity, beginning of period	266.2
Other comprehensive income (loss):
Other comprehensive income (loss) before reclassification adjustments	24.9	76.0
Amounts reclassified from accumulated other comprehensive income (loss)	(37.1)	(24.6)
Other comprehensive income (loss) attributable to CBI, net of tax amount	(12.2)	51.4
Stockholders' equity, period end	254.0
Pension/ Postretirement Adjustments
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward]
Stockholders' equity, beginning of period	(2.6)
Other comprehensive income (loss):
Other comprehensive income (loss) before reclassification adjustments	0.0	(0.2)
Amounts reclassified from accumulated other comprehensive income (loss)	0.0	0.0
Other comprehensive income (loss) attributable to CBI, net of tax amount	0.0	$ (0.2)
Stockholders' equity, period end	$ (2.6)

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Business Segment Information - Narrative (Details)	3 Months Ended
	May 31, 2024 division segment
Segment Reporting [Abstract]
Number of business divisions | division	2
Number of reportable operating segments | segment	3

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Business Segment Information - Comparable Adjustments (Details) - USD ($) $ in Millions	3 Months Ended
	May 31, 2024	May 31, 2023
Cost of product sold
Net gain (loss) on undesignated commodity derivative contracts	$ 18.6	$ (22.0)
Comparable Adjustments, Cost of product sold	(1,258.0)	(1,257.1)
Selling, general, and administrative expenses
Comparable Adjustments, Selling, general, and administrative expenses	(462.2)	(493.1)
Comparable Adjustments
Cost of product sold
Flow through of inventory step-up	(1.1)	(0.7)
Comparable Adjustments, Cost of product sold	22.0	(34.8)
Selling, general, and administrative expenses
Transition services agreements activity	(2.8)	(5.7)
Restructuring and other strategic business development costs	(1.8)	(14.9)
Transaction, integration, and other acquisition-related costs	(0.2)	(0.3)
Other gains (losses)	0.4	(6.8)
Comparable Adjustments, Selling, general, and administrative expenses	(4.4)	(27.7)
Comparable Adjustments, Operating income (loss)	17.6	(62.5)
Gain (loss) on sale of business	0.0	(7.0)
Comparable Adjustments | Commodity derivative contracts
Cost of product sold
Net gain (loss) on undesignated commodity derivative contracts	14.6	(34.7)
Settlements of undesignated commodity derivative contracts	$ 8.5	$ 0.6

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Business Segment Information - Segment Information (Details) - USD ($)	3 Months Ended
	May 31, 2024	May 31, 2023	Feb. 29, 2024
Segment Reporting Information [Line Items]
Net sales	$ 2,661,800,000	$ 2,514,900,000
Segment operating income (loss)	941,600,000	764,700,000
Income (loss) from unconsolidated investments	82,000,000.0	(415,400,000)
Equity method investments	126,900,000	291,300,000	$ 170,600,000
Capital expenditures	375,300,000	277,000,000.0
Depreciation and amortization	111,900,000	105,700,000
Income (loss) from unconsolidated investments
Net gain on conversion and exchange to Exchangeable Shares	83,300,000	0
Impairment of equity method investments	0	(123,500,000)
Unrealized net (gain) loss on securities measured at fair value	0	(71,800,000)
Income (loss) from unconsolidated investments	82,000,000.0	(415,400,000)
2023 Canopy Promissory Note
Income (loss) from unconsolidated investments
Fair value of warrants		0
Other equity method investments
Segment Reporting Information [Line Items]
Equity method investments	126,900,000		128,100,000
Income (loss) from unconsolidated investments
Equity in earnings (losses) of equity method investees and related activities	(1,300,000)	(300,000)
Canopy Equity Method Investment
Segment Reporting Information [Line Items]
Equity method investments	0		$ 42,500,000
Income (loss) from unconsolidated investments
Equity in earnings (losses) of equity method investees and related activities	0	(219,800,000)
Impairment of equity method investments		(123,500,000)
Canopy
Income (loss) from unconsolidated investments
Net gain on conversion and exchange to Exchangeable Shares	83,300,000	0
Operating Segments | Beer
Segment Reporting Information [Line Items]
Net sales	2,272,800,000	2,098,600,000
Segment operating income (loss)	923,000,000.0	797,800,000
Capital expenditures	314,400,000	205,600,000
Depreciation and amortization	86,400,000	78,800,000
Operating Segments | Wine and Spirits
Segment Reporting Information [Line Items]
Net sales	389,000,000.0	416,300,000
Segment operating income (loss)	59,700,000	79,300,000
Income (loss) from unconsolidated investments	400,000	2,300,000
Equity method investments	101,200,000	96,800,000
Capital expenditures	49,600,000	38,600,000
Depreciation and amortization	21,300,000	22,500,000
Income (loss) from unconsolidated investments
Income (loss) from unconsolidated investments	400,000	2,300,000
Operating Segments | Wine and Spirits | Wine
Segment Reporting Information [Line Items]
Net sales	329,300,000	361,000,000.0
Operating Segments | Wine and Spirits | Spirits
Segment Reporting Information [Line Items]
Net sales	59,700,000	55,300,000
Operating Segments | Corporate Operations and Other
Segment Reporting Information [Line Items]
Segment operating income (loss)	(58,700,000)	(49,900,000)
Income (loss) from unconsolidated investments	(1,700,000)	(33,300,000)
Equity method investments	25,700,000	194,500,000
Capital expenditures	11,300,000	32,800,000
Depreciation and amortization	4,200,000	4,400,000
Income (loss) from unconsolidated investments
Income (loss) from unconsolidated investments	(1,700,000)	(33,300,000)
Comparable Adjustments
Segment Reporting Information [Line Items]
Segment operating income (loss)	17,600,000	(62,500,000)
Income (loss) from unconsolidated investments	83,300,000	(384,400,000)
Income (loss) from unconsolidated investments
Income (loss) from unconsolidated investments	$ 83,300,000	$ (384,400,000)