Item 1. Financial Statements (unaudited)

Amcor plc and Subsidiaries

Condensed Consolidated Statements of Income

(Unaudited)

						Three Months Ended March 31,												Nine Months Ended March 31,
($ in millions, except per share data)						2022						2021						2022						2021
Net sales						$	3,708					$	3,207					$	10,635					$	9,407
Cost of sales						(2,977)						(2,525)						(8,609)						(7,420)
Gross profit						731						682						2,026						1,987
Operating expenses:
Selling, general, and administrative expenses						(326)						(325)						(942)						(962)
Research and development expenses						(24)						(25)						(72)						(74)
Restructuring and related expenses, net						(9)						24						(27)						(22)
Other income/(expense), net						(3)						17						2						27
Operating income						369						373						987						956
Interest income						5						3						15						10
Interest expense						(36)						(36)						(115)						(113)
Other non-operating income, net						5						1						12						7
Income before income taxes and equity in income of affiliated companies						343						341						899						860
Income tax expense						(72)						(71)						(196)						(187)
Equity in income of affiliated companies, net of tax						—						—						—						19
Net income						$	271					$	270					$	703					$	692
Net income attributable to non-controlling interests						(2)						(3)						(7)						(8)
Net income attributable to Amcor plc						$	269					$	267					$	696					$	684
Basic earnings per share:						$	0.178					$	0.173					$	0.457					$	0.439
Diluted earnings per share:						$	0.178					$	0.173					$	0.456					$	0.438

Note: Per share amounts may not add due to rounding. See accompanying notes to condensed consolidated financial statements.

Amcor plc and Subsidiaries

Condensed Consolidated Statements of Comprehensive Income

(Unaudited)

						Three Months Ended March 31,												Nine Months Ended March 31,
($ in millions)						2022						2021						2022						2021
Net income						$	271					$	270					$	703					$	692
Other comprehensive income/(loss):
Net gains/(losses) on cash flow hedges, net of tax (a)						4						7						(3)						19
Foreign currency translation adjustments, net of tax (b)						76						(25)						(40)						127
Pension, net of tax (c)						—						2						3						4
Other comprehensive income/(loss)						80						(16)						(40)						150
Total comprehensive income						351						254						663						842
Comprehensive income attributable to non-controlling interests						(4)						(2)						(8)						(8)
Comprehensive income attributable to Amcor plc						$	347					$	252					$	655					$	834
(a) Tax benefit/(expense) related to cash flow hedges						$	—					$	(2)					$	1					$	(4)
(b) Tax benefit related to foreign currency translation adjustments						$	2					$	—					$	—					$	8
(c) Tax benefit related to pension adjustments						$	—					$	—					$	—					$	—

See accompanying notes to condensed consolidated financial statements.

Amcor plc and Subsidiaries

Condensed Consolidated Balance Sheets

(Unaudited)

($ in millions, except share and per share data)						March 31, 2022						June 30, 2021
Assets
Current assets:
Cash and cash equivalents						$	1,077					$	850
Trade receivables, net of allowance for doubtful accounts of $26 and $28, respectively						2,090						1,864
Inventories, net						2,420						1,991
Prepaid expenses and other current assets						583						561
Total current assets						6,170						5,266
Non-current assets:
Property, plant, and equipment, net						3,772						3,761
Operating lease assets						539						532
Deferred tax assets						139						139
Other intangible assets, net						1,709						1,835
Goodwill						5,379						5,419
Employee benefit assets						52						52
Other non-current assets						227						184
Total non-current assets						11,817						11,922
Total assets						$	17,987					$	17,188
Liabilities
Current liabilities:
Current portion of long-term debt						$	15					$	5
Short-term debt						57						98
Trade payables						2,816						2,574
Accrued employee costs						412						523
Other current liabilities						1,124						1,145
Total current liabilities						4,424						4,345
Non-current liabilities:
Long-term debt, less current portion						7,177						6,186
Operating lease liabilities						470						462
Deferred tax liabilities						651						696
Employee benefit obligations						270						307
Other non-current liabilities						418						371
Total non-current liabilities						8,986						8,022
Total liabilities						13,410						12,367
Commitments and contingencies (See Note 14)
Shareholders' Equity
Amcor plc shareholders’ equity:
Ordinary shares ($0.01 par value)
Authorized (9,000 million shares)
Issued (1,503 and 1,538 million shares, respectively)						$	15					$	15
Additional paid-in capital						4,740						5,092
Retained earnings						604						452
Accumulated other comprehensive loss						(807)						(766)
Treasury shares (3 and 3 million shares, respectively)						(35)						(29)
Total Amcor plc shareholders' equity						4,517						4,764
Non-controlling interests						60						57
Total shareholders' equity						4,577						4,821
Total liabilities and shareholders' equity						$	17,987					$	17,188

See accompanying notes to condensed consolidated financial statements.

Amcor plc and Subsidiaries

Condensed Consolidated Statements of Cash Flows

(Unaudited)

						Nine Months Ended March 31,
($ in millions)						2022						2021
Cash flows from operating activities:
Net income						$	703					$	692
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization, and impairment						479						426
Net periodic benefit cost						5						9
Amortization of debt discount and deferred financing costs						2						7
Net gain on disposal of property, plant, and equipment						—						(2)
Net gain on disposal of businesses						—						(46)
Equity in income of affiliated companies						—						(19)
Net foreign exchange (gain)/loss						(3)						23
Share-based compensation						47						44
Other, net						114						(25)
Loss from hyperinflationary accounting for Argentine subsidiaries						14						25
Deferred income taxes, net						(44)						(7)
Dividends received from affiliated companies						—						4
Changes in operating assets and liabilities, excluding effect of acquisitions, divestitures, and currency						(728)						(514)
Net cash provided by operating activities						589						617
Cash flows from investing activities:
Issuance of loans to affiliated companies						(5)						—
Investments in affiliated companies						(11)						—
Purchase of property, plant, and equipment, and other intangible assets						(373)						(335)
(Payments)/proceeds from divestitures						(1)						214
Proceeds from sales of property, plant, and equipment, and other intangible assets						7						6
Net cash used in investing activities						(383)						(115)
Cash flows from financing activities:
Proceeds from issuance of shares						92						11
Purchase of treasury shares						(133)						—
Purchase of non-controlling interests						—						(7)
Proceeds from issuance of long-term debt						570						2
Repayment of long-term debt						(678)						(121)
Net borrowing of commercial paper						1,248						503
Net repayment of short-term debt						(72)						(122)
Repayment of lease liabilities						(2)						(3)
Share buyback/cancellations						(423)						(308)
Dividends paid						(550)						(556)
Net cash (used in)/provided by financing activities						52						(601)
Effect of exchange rates on cash and cash equivalents						(31)						46
Net increase/(decrease) in cash and cash equivalents						227						(53)
Cash and cash equivalents balance at beginning of year						850						743
Cash and cash equivalents balance at end of period						$	1,077					$	690
Supplemental cash flow information:
Interest paid, net of amounts capitalized						$	99					$	90
Income taxes paid						$	163					$	218
Supplemental non-cash disclosures relating to investing and financing activities:
Purchase of property and equipment, accrued but unpaid						$	85					$	62

See accompanying notes to condensed consolidated financial statements.

Amcor plc and Subsidiaries

Condensed Consolidated Statements of Equity

(Unaudited)

($ in millions, except per share data)						Ordinary Shares						Additional Paid-In Capital						Retained Earnings						Accumulated Other Comprehensive Loss						Treasury Shares						Non-controlling Interest						Total
Balance as of December 31, 2020						$	16					$	5,412					$	293					$	(884)					$	(45)					$	56					$	4,848
Net income																		267																		3						270
Other comprehensive loss																								(15)												(1)						(16)
Share buyback/cancellations						(1)						(232)																														(233)
Dividends declared ($0.1175 per share)																		(182)																		—						(182)
Options exercised and shares vested												(3)																		5												2
Share-based compensation expense												16																														16
Change in non-controlling interests												—																								—						—
Balance as of March 31, 2021						$	15					$	5,193					$	378					$	(899)					$	(40)					$	58					$	4,705
Balance as of June 30, 2020						$	16					$	5,480					$	246					$	(1,049)					$	(67)					$	61					$	4,687
Net income																		684																		8						692
Other comprehensive income																								150												—						150
Share buyback/cancellations						(1)						(307)																														(308)
Dividends declared ($0.3500 per share)																		(547)																		(9)						(556)
Options exercised and shares vested												(16)																		27												11
Share-based compensation expense												44																														44
Change in non-controlling interests												(8)																								(2)						(10)
Cumulative adjustment related to the adoption of ASC 326																		(5)																								(5)
Balance as of March 31, 2021						$	15					$	5,193					$	378					$	(899)					$	(40)					$	58					$	4,705
Balance as of December 31, 2021						$	15					$	4,854					$	515					$	(885)					$	(37)					$	57					$	4,519
Net income																		269																		2						271
Other comprehensive income																								78												2						80
Share buyback/cancellations						—						(128)																														(128)
Dividends declared ($0.1200 per share)																		(180)																		(2)						(182)
Options exercised and shares vested												(2)																		2												—
Settlement of forward contracts to purchase equity to meet share-based incentive plans, net of tax												—																														—
Purchase of treasury shares																														—												—
Share-based compensation expense												16																														16
Change in non-controlling interests																																				1						1
Balance as of March 31, 2022						$	15					$	4,740					$	604					$	(807)					$	(35)					$	60					$	4,577
Balance as of June 30, 2021						$	15					$	5,092					$	452					$	(766)					$	(29)					$	57					$	4,821
Net income																		696																		7						703
Other comprehensive income/(loss)																								(41)												1						(40)
Share buyback/cancellations						—						(423)																														(423)
Dividends declared ($0.3575 per share)																		(544)																		(6)						(550)
Options exercised and shares vested												(35)																		127												92
Settlement of forward contracts to purchase equity to meet share-based incentive plans, net of tax												59																														59
Purchase of treasury shares																														(133)												(133)
Share-based compensation expense												47																														47
Change in non-controlling interests																																				1						1
Balance as of March 31, 2022						$	15					$	4,740					$	604					$	(807)					$	(35)					$	60					$	4,577

See accompanying notes to condensed consolidated financial statements.

Amcor plc and Subsidiaries

Notes to Condensed Consolidated Financial Statements

Note 1 - Nature of Operations and Basis of Presentation

Amcor plc ("Amcor" or the "Company") is a global packaging company that develops and produces a broad range of packaging products including flexible packaging, rigid packaging containers, specialty cartons, and closures.

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") for interim financial information. Consistent with these requirements, this Form 10-Q does not include all the information required by U.S. GAAP for complete financial statements. Further, the year-end Condensed Consolidated Balance Sheet data as of June 30, 2021 was derived from audited financial statements but does not include all disclosures required by U.S. GAAP. It is management's opinion, however, that all material and recurring adjustments have been made that are necessary for a fair statement of its interim financial position, results of operations, and cash flows. For further information, this Form 10-Q should be read in conjunction with the audited Consolidated Financial Statements and accompanying Notes in the Company's Annual Report on Form 10-K for the fiscal year ended June 30, 2021. There have been no material changes to the accounting policies followed by the Company during the current fiscal year.

Certain amounts in the Company's notes to unaudited condensed consolidated financial statements may not add or recalculate due to rounding.

Note 2 - New Accounting Guidance

Recently Adopted Accounting Standards

In December 2019, the FASB issued updated guidance to simplify the accounting for income taxes by removing certain exceptions and improving the consistent application of U.S. GAAP in other tax accounting areas. This guidance is effective for annual reporting periods, and any interim periods within those annual periods, that begin after December 15, 2020 with early adoption permitted. The guidance became effective for the Company on July 1, 2021 and the adoption did not have a material impact on the Company's unaudited condensed consolidated financial statements.

Accounting Standards Not Yet Adopted

In November 2021, the FASB issued an Accounting Standards Update ("ASU") 2021-10 that adds certain disclosure requirements for entities that receive government assistance. The standard is effective for annual periods beginning after December 15, 2021 with early application permitted. The Company will adopt this guidance in fiscal year 2023 and does not expect the adoption to have a material impact on its results of operation, financial position, and disclosures.

The Company considers the applicability and impact of all ASUs issued by the FASB. The Company determined at this time that all other ASUs not yet adopted are either not applicable or are expected to have minimal impact on its results of operation, financial position, and disclosures.

Note 3 - Restructuring

2019 Bemis Integration Plan

In connection with the acquisition of Bemis Company, Inc. ("Bemis"), the Company initiated restructuring activities in the fourth quarter of fiscal year 2019 aimed at integrating and optimizing the combined organization. The Company is on track to exceed the original target of $180 million of pre-tax synergies driven by procurement, supply chain, and general and administrative savings by the end of fiscal year 2022 by at least 10%.

The Company's total 2019 Bemis Integration Plan pre-tax integration costs are expected to be approximately $250 million. The total 2019 Bemis Integration Plan costs include approximately $210 million of restructuring and related expenses, net, and $40 million of general integration expenses. The Company estimates that net cash expenditures including disposal proceeds will be approximately $170 million, of which $40 million relates to general integration expenses. As of March 31, 2022, the Company has incurred $143 million in employee related expenses, $39 million in fixed asset related expenses, $35 million in other restructuring and $36 million in restructuring related expenses, partially offset by a gain on disposal of a business of $51 million. The nine months ended March 31, 2022 resulted in net cash outflows of $38 million, of which $36 million were payments related to restructuring and related expenditures. Cash payments of approximately $30 million are expected for the balance of the fiscal year for restructuring and related expenses. The 2019 Bemis Integration Plan relates to the Flexibles segment and Corporate and is expected to be substantially completed by the end of fiscal year 2022.

Restructuring related costs are directly attributable to restructuring activities; however, they do not qualify for special accounting treatment as exit or disposal activities. General integration costs are not linked to restructuring. The Company believes the disclosure of restructuring related costs provides more information on the total cost of the 2019 Bemis Integration Plan. The restructuring related costs relate primarily to the closure of facilities and include costs to replace graphics, train new employees on relocated equipment, and anticipated losses on sale of closed facilities.

Other Restructuring Plans

The Company has entered into other individually immaterial restructuring plans ("Other Restructuring Plans"). The Company's restructuring charges related to these plans were zero and a gain of $4 million for the three months ended March 31, 2022 and 2021, and charges of $1 million and $5 million for the nine months ended March 31, 2022 and 2021, respectively. The Company's total incurred restructuring charges for Other Restructuring Plans primarily relate to the Flexibles reporting segment.

Consolidated Amcor Restructuring Plans

The total costs incurred from the beginning of the Company's 2019 Bemis Integration Plan and Other Restructuring Plans are as follows:

($ in millions)												2019 Bemis Integration Plan (1)						Other Restructuring Plans						Total Restructuring and Related Expenses, Net (1)
Fiscal year 2019 net charges to earnings												$	48					$	19					$	67
Fiscal year 2020 net charges to earnings												60						18						78
Fiscal year 2021 net charges to earnings												68						6						74
Fiscal year 2022 first quarter net charges to earnings												7						1						8
Fiscal year 2022 second quarter net charges to earnings												10						—						10
Fiscal year 2022 third quarter net charges to earnings												9						—						9
Expense incurred to date												$	202					$	44					$	246

(1)Total restructuring and related expenses, net, include restructuring related costs from the 2019 Bemis Integration Plan of $2 million, $15 million, $13 million, $3 million, $2 million, and $3 million for fiscal year 2019, fiscal year 2020, fiscal year 2021, first quarter of fiscal year 2022, second quarter of fiscal year 2022, and third quarter of fiscal year 2022, respectively.

An analysis of the restructuring charges by type incurred follows:

						Three Months Ended March 31,												Nine Months Ended March 31,
($ in millions)						2022						2021						2022						2021
Employee costs						$	6					$	8					$	9					$	33
Fixed asset related costs						—						10						—						13
Other costs						—						5						10						18
Gain on sale of business						—						(52)						—						(52)
Total restructuring costs, net						$	6					$	(29)					$	19					$	12

An analysis of the Company's restructuring plan liability follows:

($ in millions)						Employee Costs						Fixed Asset Related Costs						Other Costs						Total Restructuring Costs
Liability balance at June 30, 2021						$	78					$	—					$	17					$	95
Net charges to earnings						9						—						10						19
Cash (paid) / received						(22)						2						(11)						(31)
Other non-cash						—						(2)						—						(2)
Foreign currency translation						(7)						—						(2)						(9)
Liability balance at March 31, 2022						$	58					$	—					$	14					$	72

The costs related to restructuring activities have been presented on the unaudited condensed consolidated statements of income as restructuring and related expenses, net. The accruals related to restructuring activities have been recorded on the unaudited condensed consolidated balance sheets under other current liabilities.

Note 4 - Inventories, Net

Inventories, net are summarized as follows:

($ in millions)						March 31, 2022						June 30, 2021
Raw materials and supplies						$	1,154					$	905
Work in process and finished goods						1,396						1,193
Less: inventory reserves						(130)						(107)
Total inventories, net						$	2,420					$	1,991

Note 5 - Goodwill and Other Intangible Assets, Net

Goodwill

Changes in the carrying amount of goodwill attributable to each reportable segment were as follows:

($ in millions)						Flexibles Segment						Rigid Packaging Segment						Total
Balance as of June 30, 2021						$	4,437					$	982					$	5,419
Foreign currency translation						(40)						—						(40)
Balance as of March 31, 2022						$	4,397					$	982					$	5,379

Goodwill is not amortized but is tested for impairment annually in the fourth quarter of the fiscal year, or during interim periods if events or circumstances arise which indicate that goodwill may be impaired. During the third quarter of fiscal year 2022, the Company evaluated the need to perform an interim impairment test of goodwill given the Russia-Ukraine conflict. The Company’s analysis concluded that it is more likely than not that the fair value of the Company’s reporting units with operations in Russia and Ukraine exceeds the carrying value and therefore a triggering event for an interim impairment test had not occurred. The Company will continue to monitor the impacts of the Russia-Ukraine conflict on its business which may indicate the need to perform future impairment analyses of goodwill.

Other Intangible Assets, Net

Other intangible assets, net comprised the following:

						March 31, 2022
($ in millions)						Gross Carrying Amount						Accumulated Amortization and Impairment (1)						Net Carrying Amount
Customer relationships						$	1,981					$	(502)					$	1,479
Computer software						242						(165)						77
Other (2)						327						(174)						153
Total other intangible assets						$	2,550					$	(841)					$	1,709

						June 30, 2021
($ in millions)						Gross Carrying Amount						Accumulated Amortization and Impairment (1)						Net Carrying Amount
Customer relationships						$	1,986					$	(405)					$	1,581
Computer software						233						(156)						77
Other (2)						321						(144)						177
Total other intangible assets						$	2,540					$	(705)					$	1,835

(1)Accumulated amortization and impairment included $34 million for March 31, 2022 and June 30, 2021, respectively, of accumulated impairment in the Other category.

(2)Other included $17 million for March 31, 2022 and June 30, 2021, respectively, of acquired intellectual property assets not yet being amortized as the related R&D projects have not yet been completed.

Amortization expenses for intangible assets were $45 million and $44 million during the three months ended March 31, 2022 and 2021, respectively, and $135 million and $134 million during the nine months ended March 31, 2022 and 2021, respectively.

Note 6 - Fair Value Measurements

The fair values of the Company’s financial assets and financial liabilities listed below reflect the amounts that would be received to sell the assets or paid to transfer the liabilities in an orderly transaction between market participants at the measurement date (exit price).

The Company’s non-derivative financial instruments primarily include cash and cash equivalents, trade receivables, trade payables, short-term debt, and long-term debt. As of March 31, 2022 and June 30, 2021, the carrying value of these financial instruments, excluding long-term debt, approximated fair value because of the short-term nature of these instruments.

The carrying value of long-term debt with variable interest rates approximates its fair value. The fair value of the Company’s long-term debt with fixed interest rates is based on market prices, if available, or expected future cash flows discounted at the current interest rate for financial liabilities with similar risk profiles.

The carrying value and estimated fair value of long-term debt with fixed interest rates (excluding commercial paper and finance leases) were as follows:

						March 31, 2022												June 30, 2021
						Carrying Value						Fair Value						Carrying Value						Fair Value
($ in millions)									(Level 2)									(Level 2)
Total long-term debt with fixed interest rates (excluding commercial paper and finance leases)						$	3,539					$	3,512					$	4,325					$	4,558

Assets and Liabilities Measured and Recorded at Fair Value on a Recurring Basis

Additionally, the Company measures and records certain assets and liabilities, including derivative instruments and contingent purchase consideration liabilities, at fair value. The following table summarizes the fair value of these instruments, which are measured at fair value on a recurring basis, by level, within the fair value hierarchy:

						March 31, 2022
($ in millions)						Level 1						Level 2						Level 3						Total
Assets
Commodity contracts						$	—					$	12					$	—					$	12
Forward exchange contracts						—						4						—						4
Total assets measured at fair value						$	—					$	16					$	—					$	16
Liabilities
Contingent purchase consideration liabilities						$	—					$	—					$	16					$	16
Forward exchange contracts						—						11						—						11
Interest rate swaps						—						43						—						43
Total liabilities measured at fair value						$	—					$	54					$	16					$	70

						June 30, 2021
($ in millions)						Level 1						Level 2						Level 3						Total
Assets
Commodity contracts						$	—					$	14					$	—					$	14
Forward exchange contracts						—						7						—						7
Interest rate swaps						—						19						—						19
Total assets measured at fair value						$	—					$	40					$	—					$	40
Liabilities
Contingent purchase consideration liabilities						$	—					$	—					$	18					$	18
Forward exchange contracts						—						4						—						4
Total liabilities measured at fair value						$	—					$	4					$	18					$	22

The fair value of the commodity contracts was determined using a discounted cash flow analysis based on the terms of the contracts and observed market forward prices discounted at a currency-specific rate. Forward exchange contract fair values were determined based on quoted prices for similar assets and liabilities in active markets using inputs, such as currency rates and forward points. The fair value of the interest rate swaps was determined using a discounted cash flow method based on market-based swap yield curves, taking into account current interest rates.

Contingent purchase consideration liabilities arise from business acquisitions. As of March 31, 2022, the Company's contingent purchase consideration liabilities consist of a $10 million liability that is contingent on future royalty income generated by Discma AG, a subsidiary acquired in March 2017, and a $6 million balance relating to consideration for small business acquisitions where payments are contingent on the Company vacating a certain property or performance criteria. The fair value of the contingent purchase consideration liabilities was determined for each arrangement individually. The fair value was determined using the income approach with significant inputs that are not observable in the market. Key assumptions include the discount rates consistent with the level of risk of achievement and probability adjusted financial projections. The expected outcomes are recorded at net present value, which requires adjustment over the life for changes in risks and probabilities. Changes arising from modifications in forecasts related to contingent consideration are expected to be immaterial.

The fair value of contingent purchase consideration liabilities is included in other current liabilities and other non-current liabilities in the unaudited condensed consolidated balance sheets.

Assets and Liabilities Measured and Recorded at Fair Value on a Nonrecurring Basis

In addition to assets and liabilities that are recorded at fair value on a recurring basis, the Company records assets and liabilities at fair value on a nonrecurring basis. The Company measures certain assets, including technology intangible assets, equity method and other investments, and other long-lived and intangible assets at fair value on a nonrecurring basis when they are deemed to be other than temporarily impaired. The fair values of these assets are determined, when applicable, based on valuation techniques using the best information available, and may include quoted market prices, market comparables, and discounted cash flow projections.

Resulting from the disposal of non-core assets during the nine months ended March 31, 2022, the Company has recorded an expense of $9 million, predominantly to adjust the long-lived assets to their fair value less cost to sell as determined in reference to the selling price in the signed sale and purchase agreement. During the nine months ended March 31, 2022, long-lived assets with a carrying value of $12 million were written down to a fair value of zero as the Company's Durban, South Africa, manufacturing facility was destroyed in a fire as the result of general civil unrest. In addition, other long-lived assets in South Africa, with a carrying amount of $8 million, were written down to their estimated fair value of $4 million using level 3 inputs. These expenses are included within other income/(expense), net in the accompanying unaudited condensed consolidated statements of income. The Company sold its equity method investment in AMVIG Holdings Limited ("AMVIG") on September 30, 2020. Refer to Note 15, "Disposals."

The Company tests indefinite-lived intangibles for impairment when facts and circumstances indicate the carrying value may not be recoverable from their undiscounted cash flows. During the nine months ended March 31, 2022, and 2021, there were no indefinite-lived intangible impairment charges recorded. Refer to Note 5, "Goodwill and Other Intangible Assets, Net," for information on interim impairment assessments.

Note 7 - Derivative Instruments

The Company periodically uses derivatives and other financial instruments to hedge exposures to interest rate, commodity price, and currency risks. The Company does not hold or issue financial instruments for speculative or trading purposes. For hedges that meet the hedge accounting criteria, the Company, at inception, formally designates and documents the instrument as a fair value hedge or a cash flow hedge of a specific underlying exposure. On an ongoing basis, the Company assesses and documents that its hedges have been and are expected to continue to be highly effective.

Interest Rate Risk

The Company’s policy is to manage exposure to interest rate risk by maintaining a mixture of fixed-rate and variable-rate debt, monitoring global interest rates and, where appropriate, hedging floating interest rate exposure or debt at fixed interest rates through various interest rate derivative instruments, including, but not limited to, interest rate swaps, cross-currency interest rate swaps, and interest rate locks. For interest rate swaps that are accounted for as fair value hedges, the gains and losses related to the changes in the fair value of the interest rate swaps are included in interest expense and offset changes in the fair value of the hedged portion of the underlying debt that are attributable to the changes in market interest rates. Changes in the fair value of interest rate swaps that have not been designated as hedging instruments are reported in the accompanying unaudited condensed consolidated statements of income under other non-operating income, net.

In December 2021, the Company entered into an aggregate $250 million notional amount of receive-fixed/pay-variable interest rate swaps, which will mature on May 15, 2028. These swaps were designated as a fair value hedge against 50% of $500 million of principal on the 4.50% U.S. dollar notes due in May 2028. Also during December 2021, the Company settled $100 million of a receive-fixed/pay-variable interest rate swap as a result of the full redemption of $275 million 5.95% U.S. private placement notes at maturity. This interest rate swap was designated as a fair value hedge at inception.

In July 2021, the Company terminated $400 million of its receive-fixed/pay-variable interest rate swaps that were designated as fair value hedges and received $2 million in net proceeds. This termination was in association with the full redemption of the $400 million 4.50% U.S. dollar notes due October 2021, completed on July 15, 2021. In July 2021, the Company also terminated an aggregate amount of €300 million (equivalent of $357 million) receive-fixed/pay-variable interest rate swaps and received €13 million (equivalent of $15 million) in net proceeds. These interest rate swaps, which were to mature in March 2023, were designated as fair value hedges against €300 million of principal on the 2.75% Euro bonds due March 2023. The gain on the termination of the aforementioned swaps is deferred and is being amortized to interest income over the remaining contractual term of the 2.75% Euro bonds due March 2023.

As of March 31, 2022, and June 30, 2021, the total notional amount of the Company’s receive-fixed/pay-variable interest rate swaps accounted for as fair value hedges was $650 million and $1,257 million, respectively.

Foreign Currency Risk

The Company manufactures and sells its products and finances its operations in a number of countries throughout the world and, as a result, is exposed to movements in foreign currency exchange rates. The purpose of the Company’s foreign currency hedging program is to manage the volatility associated with the changes in exchange rates.

To manage this exchange rate risk, the Company utilizes forward contracts. Contracts that qualify for hedge accounting are designated as cash flow hedges of certain forecasted transactions denominated in foreign currencies. The effective portion of the changes in fair value of these instruments is reported in accumulated other comprehensive loss ("AOCI") and reclassified into earnings in the same financial statement line item and in the same period or periods during which the related hedged transactions affect earnings. The ineffective portion is recognized in earnings over the life of the hedging relationship in the same unaudited condensed consolidated statements of income line item as the underlying hedged item. Changes in the fair value of forward contracts that have not been designated as hedging instruments are reported in the accompanying unaudited condensed consolidated statements of income.

As of March 31, 2022, and June 30, 2021, the notional amount of the outstanding forward contracts was $1.0 billion and $1.1 billion, respectively.

Commodity Risk

Certain raw materials used in the Company's production processes are subject to price volatility caused by weather, supply conditions, political and economic variables, and other unpredictable factors. The Company's policy is to minimize exposure to price volatility by passing through the commodity price risk to customers, including through the use of fixed price

swaps. The Company purchases on behalf of customers fixed price commodity swaps to offset the exposure of price volatility on the underlying sales contracts. These instruments are cash closed out on maturity and the related cost or benefit is passed through to customers. Information about commodity price exposure is derived from supply forecasts submitted by customers and these exposures are hedged by a central treasury unit. Changes in the fair value of commodity hedges are recognized in AOCI. The cumulative amount of the hedge is recognized in the unaudited condensed consolidated statements of income when the forecasted transaction is realized.

The Company had the following outstanding commodity contracts to hedge forecasted purchases:

						March 31, 2022						June 30, 2021
Commodity						Volume						Volume
Aluminum						12,299 tons						22,629 tons
PET resin						23,629,780 lbs.						6,312,764 lbs.

The following table provides the location of derivative instruments in the unaudited condensed consolidated balance sheets:

($ in millions)						Balance Sheet Location						March 31, 2022						June 30, 2021
Assets
Derivatives in cash flow hedging relationships:
Commodity contracts						Other current assets						$	11					$	14
Forward exchange contracts						Other current assets						2						3
Derivatives in fair value hedging relationships:
Interest rate swaps						Other current assets						—						15
Derivatives not designated as hedging instruments:
Forward exchange contracts						Other current assets						2						4
Total current derivative contracts												15						36
Derivatives in cash flow hedging relationships:
Commodity contracts						Other non-current assets						1						—
Derivatives in fair value hedging relationships:
Interest rate swaps						Other non-current assets						—						4
Total non-current derivative contracts												1						4
Total derivative asset contracts												$	16					$	40
Liabilities
Derivatives in cash flow hedging relationships:
Forward exchange contracts						Other current liabilities						$	5					$	2
Derivatives not designated as hedging instruments:
Forward exchange contracts						Other current liabilities						6						2
Total current derivative contracts												11						4
Derivatives in fair value hedging relationships:
Interest rate swaps						Other non-current liabilities						43						—
Total non-current derivative contracts												43						—
Total derivative liability contracts												$	54					$	4

Certain derivative financial instruments are subject to master netting arrangements and are eligible for offset. The Company has made an accounting policy election not to offset the fair values of these instruments within the unaudited condensed consolidated balance sheets.

The following tables provide the effects of derivative instruments on AOCI and in the unaudited condensed consolidated statements of income:

						Location of Gain / (Loss) Reclassified from AOCI into Income (Effective Portion)						Gain / (Loss) Reclassified from AOCI into Income (Effective Portion)
									Three Months Ended March 31,												Nine Months Ended March 31,
($ in millions)									2022						2021						2022						2021
Derivatives in cash flow hedging relationships
Commodity contracts						Cost of sales						$	3					$	1					$	15					$	(3)
Forward exchange contracts						Net sales						1						—						1						—
Treasury locks						Interest expense						(1)						(1)						(2)						(2)
Total												$	3					$	—					$	14					$	(5)

						Location of Gain / (Loss) Recognized in the Unaudited Condensed Consolidated Statements of Income						Gain / (Loss) Recognized in Income for Derivatives Not Designated as Hedging Instruments
									Three Months Ended March 31,												Nine Months Ended March 31,
($ in millions)									2022						2021						2022						2021
Derivatives not designated as hedging instruments
Forward exchange contracts						Other income/(expense), net						$	(9)					$	3					$	(42)					$	16
Cross-currency interest rate swaps						Other income/(expense), net						—						—						—						(4)
Total												$	(9)					$	3					$	(42)					$	12

						Location of Loss Recognized in the Unaudited Condensed Consolidated Statements of Income						Loss Recognized in Income for Derivatives in Fair Value Hedging Relationships
									Three Months Ended March 31,												Nine Months Ended March 31,
($ in millions)									2022						2021						2022						2021
Derivatives in fair value hedging relationships
Interest rate swaps						Interest expense						$	(42)					$	(5)					$	(49)					$	(14)
Forward exchange contracts						Other income/(expense), net						(12)						—						(12)						—
Total												$	(54)					$	(5)					$	(61)					$	(14)

Note 8 - Components of Net Periodic Benefit Cost

Net periodic benefit cost for benefit plans included the following components:

						Three Months Ended March 31,												Nine Months Ended March 31,
($ in millions)						2022						2021						2022						2021
Service cost						$	6					$	7					$	18					$	19
Interest cost						9						9						30						29
Expected return on plan assets						(14)						(14)						(47)						(44)
Amortization of actuarial loss						1						2						4						6
Amortization of prior service credit						(1)						(1)						(3)						(1)
Settlement costs						—						—						3						—
Net periodic benefit cost						$	1					$	3					$	5					$	9

Service cost is included in operating income. All other components of net periodic benefit cost other than service cost are recorded within other non-operating income, net.

On October 12, 2021, the Company contracted with Pacific Life Insurance Company to purchase a group annuity contract and to transfer $186 million of its pension plan assets and related benefit obligations. This transaction required a remeasurement of the pension plan assets and obligations and resulted in the recognition of a $3 million non-cash pension settlement loss in the nine months ended March 31, 2022.

Note 9 - Debt

On December 15, 2021, the Company redeemed U.S. private placement notes of a principal amount of $275 million at maturity using the proceeds from the commercial paper program. The notes carried an interest rate of 5.95%.

On July 15, 2021, the Company redeemed U.S. dollar notes of a principal amount of $400 million. The notes had a contractual maturity of October 15, 2021 and carried an interest rate of 4.50%.

Note 10 - Income Taxes

The provision for income taxes for the three and nine months ended March 31, 2022 and 2021 is based on the Company’s estimated annual effective tax rate for the respective fiscal years, and is applied on income before income taxes and equity in income of affiliated companies, and adjusted for specific items that are required to be recognized in the period in which they are incurred.

The effective tax rate for the three months ended March 31, 2022 increased by 0.2 percentage points compared to the three months ended March 31, 2021 from 20.8% to 21.0% primarily due to timing of discrete events in the corresponding periods, including benefits on integration and restructuring costs in the prior period and changes to the taxability of certain items. For the nine months ended March 31, 2022 and 2021, the effective tax rates were 21.8% and 21.7%, respectively.

Note 11 - Shareholders' Equity

The changes in ordinary and treasury shares during the nine months ended March 31, 2022 and 2021 were as follows:

						Ordinary Shares												Treasury Shares
(shares and $ in millions)						Number of Shares						Amount						Number of Shares						Amount
Balance as of June 30, 2020						1,569						$	16					7						$	(67)
Share buy-back / cancellations						(27)						(1)
Options exercised and shares vested																		(3)						27
Balance as of March 31, 2021						1,542						$	15					4						$	(40)
Balance as of June 30, 2021						1,538						$	15					3						$	(29)
Share buyback / cancellations						(36)						—
Options exercised and shares vested																		(11)						127
Purchase of treasury shares																		11						(133)
Balance as of March 31, 2022						1,503						$	15					3						$	(35)

The changes in the components of accumulated other comprehensive loss during the nine months ended March 31, 2022 and 2021 were as follows:

						Foreign Currency Translation						Net Investment Hedge						Pension						Effective Derivatives						Total Accumulated Other Comprehensive Loss
($ in millions)						(Net of Tax)						(Net of Tax)						(Net of Tax)						(Net of Tax)
Balance as of June 30, 2020						$	(896)					$	(14)					$	(106)					$	(34)					$	(1,049)
Other comprehensive income / (loss) before reclassifications						101						—						(1)						15						115
Amounts reclassified from accumulated other comprehensive loss						26						—						5						4						35
Net current period other comprehensive income						127						—						4						19						150
Balance as of March 31, 2021						$	(769)					$	(14)					$	(102)					$	(15)					$	(899)
Balance as of June 30, 2021						$	(691)					$	(13)					$	(54)					$	(8)					$	(766)
Other comprehensive income / (loss) before reclassifications						(41)						—						(1)						8						(34)
Amounts reclassified from accumulated other comprehensive loss						—						—						4						(11)						(7)
Net current period other comprehensive income / (loss)						(41)						—						3						(3)						(41)
Balance as of March 31, 2022						$	(732)					$	(13)					$	(51)					$	(11)					$	(807)

The following tables provide details of amounts reclassified from accumulated other comprehensive loss:

						Three Months Ended March 31,												Nine Months Ended March 31,
($ in millions)						2022						2021						2022						2021
Amortization of pension:
Amortization of prior service credit						$	(1)					$	(1)					$	(3)					$	(1)
Amortization of actuarial loss						1						2						4						6
Effect of pension settlement / curtailment						—						—						3						—
Total before tax effect						—						1						4						5
Tax effect on amounts reclassified into earnings						—						—						—						—
Total net of tax						$	—					$	1					$	4					$	5
(Gains) / losses on cash flow hedges:
Commodity contracts						$	(3)					$	(1)					$	(15)					$	3
Forward exchange contracts						(1)						—						(1)						—
Treasury locks						1						1						2						2
Total before tax effect						(3)						—						(14)						5
Tax effect on amounts reclassified into earnings						1						—						3						(1)
Total net of tax						$	(2)					$	—					$	(11)					$	4
Losses on foreign currency translation:
Foreign currency translation adjustment (1)						$	—					$	1					$	—					$	26
Total before tax effect						—						1						—						26
Tax effect on amounts reclassified into earnings						—						—						—						—
Total net of tax						$	—					$	1					$	—					$	26

(1)During the nine months ended March 31, 2021, the Company recorded a gain on disposal of AMVIG and other non-core businesses. Upon completion of the disposals, $26 million of accumulated foreign currency translation was transferred from accumulated other comprehensive loss to earnings. Refer to Note 15, "Disposals," for more information on disposals.

Note 12 - Segments

The Company's business is organized and presented in the two reportable segments outlined below:

Flexibles: Consists of operations that manufacture flexible and film packaging in the food and beverage, medical and pharmaceutical, fresh produce, snack food, personal care, and other industries.

Rigid Packaging: Consists of operations that manufacture rigid containers for a broad range of predominantly beverage and food products, including carbonated soft drinks, water, juices, sports drinks, milk-based beverages, spirits and beer, sauces, dressings, spreads, and personal care items, and plastic caps for a wide variety of applications.

Other consists of the Company's undistributed corporate expenses including executive and functional compensation costs, equity method and other investments, intercompany eliminations, and other business activities.

The accounting policies of the reportable segments are the same as those in the unaudited condensed consolidated financial statements.

The following table presents information about reportable segments:

						Three Months Ended March 31,												Nine Months Ended March 31,
($ in millions)						2022						2021						2022						2021
Sales including intersegment sales
Flexibles						$	2,837					$	2,500					$	8,184					$	7,350
Rigid Packaging						871						707						2,451						2,059
Other						—						—						—						—
Total sales including intersegment sales						3,708						3,207						10,635						9,409
Intersegment sales
Flexibles						—						—						—						2
Rigid Packaging						—						—						—						—
Other						—						—						—						—
Total intersegment sales						—						—						—						2
Net sales						$	3,708					$	3,207					$	10,635					$	9,407
Adjusted earnings before interest and taxes ("Adjusted EBIT")
Flexibles						$	378					$	352					$	1,069					$	1,005
Rigid Packaging						77						75						194						209
Other						(28)						(25)						(67)						(70)
Adjusted EBIT						427						402						1,196						1,144
Add/(Less): Material restructuring programs (1)						(9)						23						(26)						(16)
Less: Material acquisition costs and other (2)						(2)						(4)						(4)						(17)
Less: Amortization of acquired intangible assets from business combinations (3)						(40)						(40)						(122)						(121)
Less: Impact of hyperinflation (4)						(6)						(7)						(10)						(17)
Add/(Less): Net gain/(loss) on disposals (5)						—						—						(9)						9
Add/(Less): Property and other gains/(losses), net (6)						4						—						(23)						—
Less: Pension settlement (7)						—						—						(3)						—
Earnings before interest and taxes ("EBIT")						374						374						999						982
Interest income						5						3						15						10
Interest expense						(36)						(36)						(115)						(113)
Equity in income of affiliated companies, net of tax						—						—						—						(19)
Income before income taxes and equity in income of affiliated companies						$	343					$	341					$	899					$	860

(1)Material restructuring programs includes restructuring and related expenses for the 2019 Bemis Integration Plan for the three and nine months ended March 31, 2022 and for the 2018 Rigid Packaging Restructuring Plan and the 2019 Bemis Integration Plan for the three and nine months ended March 31, 2021. Refer to Note 3, "Restructuring," for more information about the Company's restructuring activities.

(2)Includes costs associated with the Bemis transaction.

(3)Amortization of acquired intangible assets from business combinations includes amortization expenses related to all acquired intangible assets from past acquisitions.

(4)Impact of hyperinflation includes the adverse impact of highly inflationary accounting for subsidiaries in Argentina where the functional currency was the Argentine Peso.

(5)Net gain/(loss) on disposals for the nine months ended March 31, 2022 includes an expense of $9 million from the disposal of non-core assets. Refer to Note 6, "Fair Value Measurements," for more information. The nine months ended March 31, 2021 includes the gain realized upon the disposal of AMVIG and the loss upon disposal of other non-core businesses not part of material restructuring programs. Refer to Note 15, "Disposals," for more information about the Company's disposals.

(6)Property and other gains/(losses), net, includes property and related business losses primarily associated with the destruction of the Company's Durban, South Africa, facility during general civil unrest in July 2021, net of insurance recovery.

(7)Pension settlement for the nine months ended March 31, 2022 relates to the purchase of a group annuity contract and transfer of pension plan assets and related benefit obligations. Refer to Note 8, "Components of Net Periodic Benefit Cost," for more information.

The following tables disaggregate net sales, excluding intersegment sales, by geography in which the Company operates based on manufacturing or selling operations:

						Three Months Ended March 31,
						2022																		2021
($ in millions)						Flexibles						Rigid Packaging						Total						Flexibles						Rigid Packaging						Total
North America						$	1,103					$	677					$	1,780					$	933					$	575					$	1,508
Latin America						262						194						456						222						132						354
Europe						1,049						—						1,049						953						—						953
Asia Pacific						423						—						423						392						—						392
Net sales						$	2,837					$	871					$	3,708					$	2,500					$	707					$	3,207
						Nine Months Ended March 31,
						2022																		2021
($ in millions)						Flexibles						Rigid Packaging						Total						Flexibles						Rigid Packaging						Total
North America						$	3,152					$	1,915					$	5,067					$	2,727					$	1,685					$	4,412
Latin America						769						536						1,305						668						374						1,042
Europe						2,972						—						2,972						2,785						—						2,785
Asia Pacific						1,291						—						1,291						1,168						—						1,168
Net sales						$	8,184					$	2,451					$	10,635					$	7,348					$	2,059					$	9,407

Note 13 - Earnings Per Share Computations

The Company applies the two-class method when computing its earnings per share ("EPS"), which requires that net income per share for each class of share be calculated assuming all of the Company's net income is distributed as dividends to each class of share based on their contractual rights.

Basic EPS is computed by dividing net income available to ordinary shareholders by the weighted-average number of ordinary shares outstanding, after excluding the ordinary shares to be repurchased using forward contracts. Diluted EPS includes the effects of share options, restricted shares, performance rights, performance shares, and share rights, if dilutive.

						Three Months Ended March 31,												Nine Months Ended March 31,
(in millions, except per share amounts)						2022						2021						2022						2021
Numerator
Net income attributable to Amcor plc						$	269					$	267					$	696					$	684
Distributed and undistributed earnings attributable to shares to be repurchased						(1)						—						(2)						(1)
Net income available to ordinary shareholders of Amcor plc—basic and diluted						$	268					$	267					$	694					$	683
Denominator
Weighted-average ordinary shares outstanding						1,506						1,551						1,521						1,558
Weighted-average ordinary shares to be repurchased by Amcor plc						(3)						(2)						(4)						(2)
Weighted-average ordinary shares outstanding for EPS—basic						1,503						1,549						1,517						1,556
Effect of dilutive shares						4						2						4						5
Weighted-average ordinary shares outstanding for EPS—diluted						1,507						1,550						1,521						1,562
Per ordinary share income
Basic earnings per ordinary share						$	0.178					$	0.173					$	0.457					$	0.439
Diluted earnings per ordinary share						$	0.178					$	0.173					$	0.456					$	0.438

Note: Per share amounts are computed independently for each of the quarters presented. The sum of the quarters may not equal the total year amount due to the impact of changes in average quarterly shares outstanding and all other quarterly amounts may not equal the total year due to rounding.

Certain outstanding share options were excluded from the diluted earnings per share calculation because they were anti-dilutive. The excluded share options for the three and nine months ended March 31, 2022 represented an aggregate of 9 million and 6 million shares, respectively. The excluded share options for three and nine months ended March 31, 2021 represented an aggregate of 2 million and 8 million shares, respectively.

Note 14 - Contingencies and Legal Proceedings

Contingencies - Brazil

The Company's operations in Brazil are involved in various governmental assessments and litigation, principally related to claims for excise and income taxes. The Company vigorously defends its positions and believes it will prevail on most, if not all, of these matters. The Company does not believe that the ultimate resolution of these matters will materially impact the Company's consolidated results of operations, financial position, or cash flows. Under customary local regulations, the Company's Brazilian subsidiaries may need to post cash or other collateral, if a challenge to any administrative assessment proceeds to the Brazilian court system. However, the level of cash or collateral already pledged or potentially required to be pledged would not significantly impact the Company's liquidity. At March 31, 2022 and June 30, 2021, the Company had recorded accruals of $13 million and $11 million, respectively, included in other non-current liabilities. The Company has estimated a reasonably possible loss exposure in excess of the accrual of $22 million and $17 million at March 31, 2022 and June 30, 2021, respectively. The litigation process is subject to many uncertainties and the outcome of individual matters cannot be accurately predicted. The Company routinely assesses these matters as to probability of ultimately incurring a liability and records the best estimate of the ultimate loss in situations where the likelihood of an ultimate loss is probable. The Company's assessments are based on its knowledge and experience, but the ultimate outcome of any of these matters may differ from the Company's estimates.

As of March 31, 2022, the Company has provided letters of credit of $39 million, judicial insurance of $1 million, and deposited cash of $12 million with the courts to continue to defend the cases.

Contingencies - Environmental Matters

The Company, along with others, has been identified as a potentially responsible party ("PRP") at several waste disposal sites under U.S. federal and related state environmental statutes and regulations and may face potentially material environmental remediation obligations. While the Company benefits from various forms of insurance policies, actual coverage may not, or may only partially, cover the total potential exposures. The Company has recorded aggregate accruals of $17 million for its share of estimated future remediation costs at these sites.

In addition to the matters described above, the Company has also recorded aggregate accruals of $47 million for potential liabilities for remediation obligations at various worldwide locations that are owned or operated by the Company, or were formerly owned or operated.

While the Company believes that its accruals are adequate to cover its future obligations, there can be no assurance that the ultimate payments will not exceed the accrued amounts. Nevertheless, based on the available information, the Company does not believe that its potential environmental obligations will have a material adverse effect upon its liquidity, results of operations, or financial condition.

Other Matters

In the normal course of business, the Company is subject to legal proceedings, lawsuits, and other claims. While the potential financial impact of these matters is subject to many factors and uncertainties, the outcome of these matters, individually and in the aggregate, is not expected to have a material adverse effect on the Company's financial position or results of operation.

Note 15 - Disposals

During the third quarter of fiscal year 2022, the Company completed the disposal of non-core assets in the Flexibles reporting segment. The Company recorded an expense of $9 million during the nine months ended March 31, 2022 to adjust the long-lived assets to their fair value, refer to Note 6, "Fair Value Measurements."

During the first quarter of fiscal year 2021, the Company disposed of an equity method investment and other non-core businesses. The Company completed the sale of the equity method investment in AMVIG on September 30, 2020, realizing a net gain of $15 million, which was recorded in the line equity in income of affiliated companies, net of tax. The Company also completed the disposal of two non-core businesses in India and Argentina in the Flexibles segment during the first quarter of fiscal 2021, recording a loss on sale of $6 million, which was primarily driven by the reclassification of cumulative translation adjustments through the income statements that had previously been recorded in other comprehensive income. During the three and nine months ended March 31, 2021, as part of optimizing its portfolio under the Bemis Integration restructuring plan, the Company completed the disposal of a non-core European hospital supplies business which was part of the Flexibles reporting segment. The resulting gain from the sale has been recorded in the line restructuring and related expenses, net. Refer to Note 3, "Restructuring."

Note 16 - Subsequent Events

On May 3, 2022, the Company's Board of Directors declared a quarterly cash dividend of $0.12 per share to be paid on June 14, 2022 to shareholders of record as of May 25, 2022. Amcor has received a waiver from the Australian Securities Exchange ("ASX") settlement operating rules, which will allow Amcor to defer processing conversions between ordinary share and CHESS Depositary Instrument ("CDI") registers from May 24, 2022 to May 25, 2022, inclusive.

On April 26, 2022, the Company terminated the three-, four-, and five-year syndicated facility agreements. The three facility agreements provided collectively $3.8 billion of credit facilities. On the same day, the Company entered into three- and five-year syndicated facility agreements that each provide for a revolving credit facility in an aggregate committed amount of $1.9 billion, $3.8 billion in total. The three- and five-year agreements are unsecured and have contractual maturities in April, 2025 and April, 2027, respectively. The Company has an option to extend both facilities by one year, subject to certain conditions set forth in the agreements. Further information can be found in the related Current Report on Form 8-K, filed with the SEC on April 28, 2022.