Guarantees, Commitments and Contingencies

3 Months Ended

Jan. 25, 2026

Commitments and Contingencies Disclosure [Abstract]

Guarantees, Commitments and Contingencies

Guarantees, Commitments and Contingencies    

Guarantees

In the ordinary course of business, we provide standby letters of credit or other guarantee instruments to third parties as required for certain transactions initiated by either us or our subsidiaries. As of January 25, 2026, the maximum potential amount of future payments that we could be required to make under these guarantee agreements was approximately $341 million. We have not recorded any liability in connection with these guarantee agreements beyond that required to appropriately account for the underlying transaction being guaranteed. We do not believe, based on historical experience and information currently available, that it is probable that any amounts will be required to be paid under these guarantee agreements.

We also have agreements with various banks to facilitate subsidiary banking operations worldwide, including overdraft arrangements, issuance of bank guarantees, and letters of credit. As of January 25, 2026, we have provided parent guarantees to banks for approximately $291 million to cover these arrangements.

Legal Matters

From time to time, we receive notification from third parties, including customers and suppliers, seeking indemnification, litigation support, payment of money or other actions by us in connection with claims made against them. In addition, from time to time, we receive notification from third parties claiming that we may be or are infringing or misusing their intellectual property or other rights. We also are subject to various legal proceedings, government investigations or inquiries, and claims, both asserted and unasserted, that arise in the ordinary course of business. These matters are subject to uncertainties, and we cannot predict the outcome of these matters, or governmental inquiries or proceedings that may occur. Although the outcome of the above-described matters, claims and proceedings cannot be predicted with certainty, we do not believe at this time that any of the above-described matters will have a material effect on our consolidated financial condition or results of operations.

As we have previously disclosed, we have been cooperating with the U.S. Department of Justice (DOJ), the U.S. Securities and Exchange Commission (SEC), and the U.S. Commerce Department Bureau of Industry and Security (BIS) after receiving subpoenas from those agencies. During our first quarter of fiscal 2026, the DOJ and the SEC informed us that they have closed their respective inquiries, and no enforcement action has been taken by either agency. On February 11, 2026, subsequent to the end of our fiscal quarter, we entered into a settlement agreement with BIS to resolve its inquiry relating to certain China customer shipments and export controls compliance and agreed to pay BIS an amount of $253 million. The settlement agreement with BIS requires us to conduct internal audits of our export controls compliance program and maintain export compliance training and reporting mechanisms. The settlement agreement also includes a denial order that is suspended and will be waived three years after the date of the order issued under the settlement agreement, provided that we have made full and timely payments under the settlement agreement and timely completed the audit requirements. We recorded a charge in the amount of $253 million during our first quarter of fiscal 2026 within legal settlement on our Consolidated Condensed Statements of Operations and accrued a corresponding liability within accounts payable and accrued expenses on our Consolidated Condensed Balance Sheets.