Item 16. Form 10-K Summary.

None.

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Signatures

Pursuant to the requirements of Section 13 or 15(d) of the Securities and Exchange Act of 1934, the Registrant has duly caused his report to be signed on its behalf by the undersigned, thereunto duly authorized.

			Corning Incorporated
Date: February 12, 2026			By:			/s/ Wendell P. Weeks
						Wendell P. Weeks
						Chairman of the Board of Directors,
						Chief Executive Officer & President

Power of Attorney

KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below constitutes and appoints Edward A. Schlesinger, Lewis A. Steverson and Stefan Becker, jointly and severally, his or her attorneys-in-fact, each with the power of substitution, for him or her in any and all capacities, to sign any amendments to this Annual Report on Form 10-K, and to file the same, with exhibits thereto and other documents in connection therewith, with the Securities and Exchange Commission, hereby ratifying and confirming all that each of said attorneys-in-fact, or his substitute or substitutes, may do or cause to be done by virtue hereof.

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the Registrant and in the capacities as indicated and on the 12th day of February, 2026.

Signature						Capacity
/s/ Wendell P. Weeks						Chairman of the Board of Directors, Chief Executive Officer & President
Wendell P. Weeks						(Principal Executive Officer)
/s/ Edward A. Schlesinger						Executive Vice President and Chief Financial Officer (Principal Financial Officer)
Edward A. Schlesinger
/s/ Stefan Becker						Senior Vice President and Corporate Controller (Principal Accounting Officer)
Stefan Becker
/s/ Ami Badani						Director
Ami Badani
/s/ Leslie A. Brun						Director
Leslie A. Brun
/s/ Stephanie A. Burns						Director
Stephanie A. Burns
/s/ Pamela J. Craig						Director
Pamela J. Craig
/s/ Robert F. Cummings, Jr.						Director
Robert F. Cummings, Jr.

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Signature						Capacity
/s/ Roger W. Ferguson Jr.						Director
Roger W. Ferguson Jr.
/s/ Thomas D. French						Director
Thomas D. French
/s/Daniel P. Huttenlocher						Director
Daniel P. Huttenlocher
/s/ Kevin J. Martin						Director
Kevin J. Martin

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Corning Incorporated

2025 Annual Report

Index to Financial Statements

						Page
Report of Independent Registered Public Accounting Firm (PCAOB ID 238)						54
Consolidated Statements of Income						56
Consolidated Statements of Comprehensive Income						57
Consolidated Balance Sheets						58
Consolidated Statements of Cash Flows						59
Consolidated Statements of Changes in Shareholders’ Equity						60
Notes to Consolidated Financial Statements
			1. Summary of Significant Accounting Policies			61
			2. Restructuring, Impairment and Other Charges and Credits			70
			3. Acquisition			71
			4. Revenue			72
			5. Inventories			73
			6. Property, Plant and Equipment, Net of Accumulated Depreciation			73
			7. Goodwill and Other Intangible Assets			73
			8. Leases			74
			9. Other Assets and Other Liabilities			77
			10. Debt			78
			11. Employee Retirement Plans			79
			12. Commitments, Contingencies and Guarantees			85
			13. Financial Instruments			86
			14. Share-Based Compensation			87
			15. Income Taxes			89
			16. Shareholders’ Equity			94
			17. Earnings Per Common Share			98
			18. Reportable Segments			99

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Report of Independent Registered Public Accounting Firm

To the Board of Directors and Shareholders of Corning Incorporated

Opinions on the Financial Statements and Internal Control over Financial Reporting

We have audited the accompanying consolidated balance sheets of Corning Incorporated and its subsidiaries (the “Company”) as of December 31, 2025 and 2024, and the related consolidated statements of income, comprehensive income, changes in shareholders’ equity and cash flows for each of the three years in the period ended December 31, 2025, including the related notes (collectively referred to as the “consolidated financial statements”). We also have audited the Company’s internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2025 in conformity with accounting principles generally accepted in the United States of America. Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control - Integrated Framework (2013) issued by the COSO.

Basis for Opinions

The Company’s management is responsible for these consolidated financial statements, for maintaining effective internal control over financial reporting, and for its assessment of the effectiveness of internal control over financial reporting, included in Management’s Annual Report on Internal Control Over Financial Reporting appearing under Item 9A. Our responsibility is to express opinions on the Company’s consolidated financial statements and on the Company’s internal control over financial reporting based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement, whether due to error or fraud, and whether effective internal control over financial reporting was maintained in all material respects.

Our audits of the consolidated financial statements included performing procedures to assess the risks of material misstatement of the consolidated financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audits also included performing such other procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions.

Definition and Limitations of Internal Control over Financial Reporting

A company’s internal control over financial reporting is a process designed 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. A company’s internal control over financial reporting includes those policies and procedures that (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

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Critical Audit Matters

The critical audit matter communicated below is a matter arising from the current period audit of the consolidated financial statements that was communicated or required to be communicated to the audit committee and that (i) relates to accounts or disclosures that are material to the consolidated financial statements and (ii) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates.

Receivable for South Korean Tax Disputes

As described in Notes 1 and 15 to the consolidated financial statements, in evaluating the tax benefits associated with the Company’s various tax filing positions, management records a tax benefit for uncertain tax positions using the highest cumulative tax benefit that is more likely than not to be realized. Adjustments are made to the asset or liability for unrecognized tax benefits in the period in which the Company files the return containing the tax position or when new information becomes available. The Company is currently appealing certain South Korean tax assessments and tax refund claims for tax years 2010 through 2019. The Company was required to deposit the disputed tax amounts with the South Korean government as a condition of its appeal of any tax assessment. As a result, the Company recorded a non-current receivable of $248 million as of December 31, 2025.

The principal considerations for our determination that performing procedures relating to the receivable for the South Korean tax disputes is a critical audit matter are (i) the significant judgment by management when determining the receivable for the South Korean tax disputes and (ii) a high degree of auditor judgment, subjectivity, and effort in performing procedures and evaluating audit evidence relating to management’s identification of new or changes in information impacting the measurement of the receivable.

Addressing the matter involved performing procedures and evaluating audit evidence in connection with forming our overall opinion on the consolidated financial statements. These procedures included testing the effectiveness of controls relating to the identification of new or changes in information impacting the measurement of the receivable for the South Korean tax disputes. These procedures also included, among others, (i) testing the completeness and accuracy of the underlying data used in the calculation of the receivable for the South Korean tax disputes; (ii) testing the measurement of the receivable for the South Korean tax disputes by recalculating the receivable; and (iii) assessing management’s identification of new or changes in information impacting the measurement of the receivable and evaluating the possible outcome for the tax benefit.

/s/ PricewaterhouseCoopers LLP

New York, New York

February 12, 2026

We have served as the Company’s auditor since 1944.

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Consolidated Statements of Income			Corning Incorporated and Subsidiary Companies

			Year ended December 31,
(in millions, except per share amounts)			2025						2024						2023
Net sales			$	15,629					$	13,118					$	12,588
Cost of sales			10,008						8,842						8,657
Gross margin			5,621						4,276						3,931
Operating expenses:
Selling, general and administrative expenses			2,122						1,931						1,843
Research, development and engineering expenses			1,110						1,089						1,076
Amortization of purchased intangibles			110						121						122
Operating income			2,279						1,135						890
Interest income			38						47						38
Interest expense			(336)						(329)						(329)
Translated earnings contract gain, net (Note 13)			150						83						161
Other (expense) income, net			(79)						(123)						56
Income before income taxes			2,052						813						816
Provision for income taxes (Note 15)			(310)						(221)						(168)
Net income			1,742						592						648
Net income attributable to non-controlling interest			(146)						(86)						(67)
Net income attributable to Corning Incorporated			$	1,596					$	506					$	581
Earnings per common share available to common shareholders:
Basic (Note 17)			$	1.87					$	0.59					$	0.69
Diluted (Note 17)			$	1.83					$	0.58					$	0.68

The accompanying notes are an integral part of these consolidated financial statements.

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Consolidated Statements of Comprehensive Income			Corning Incorporated and Subsidiary Companies

			Year ended December 31,
(in millions)			2025						2024						2023
Net income			$	1,742					$	592					$	648
Foreign currency translation adjustments and other (Note 16)			383						(588)						(230)
Unamortized (losses) gains and prior service (costs) credits for postretirement benefit plans			(49)						184						(24)
Realized and unrealized gains (losses) on derivatives			104						(91)						36
Other comprehensive income (loss), net of tax			438						(495)						(218)
Comprehensive income			2,180						97						430
Comprehensive income attributable to non-controlling interest			(146)						(86)						(67)
Comprehensive income attributable to Corning Incorporated			$	2,034					$	11					$	363

The accompanying notes are an integral part of these consolidated financial statements.

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Consolidated Balance Sheets			Corning Incorporated and Subsidiary Companies

			December 31,
(in millions, except share and per share amounts)			2025						2024
Assets
Current assets:
Cash and cash equivalents			$	1,526					$	1,768
Trade accounts receivable, net of doubtful accounts - $27 and $33			2,779						2,053
Inventories (Note 5)			3,077						2,724
Other current assets (Note 9)			1,554						1,447
Total current assets			8,936						7,992
Property, plant and equipment, net of accumulated depreciation - $15,229 and $14,492 (Note 6)			14,825						13,359
Goodwill (Note 7)			2,489						2,363
Other intangible assets, net (Note 7)			657						752
Deferred income taxes (Note 15)			1,515						1,130
Other assets (Note 9)			2,554						2,139
Total Assets			$	30,976					$	27,735
Liabilities and Equity
Current liabilities:
Current portion of long-term debt and short-term borrowings (Note 10)			$	804					$	326
Accounts payable			1,979						1,472
Other accrued liabilities (Notes 9 and 12)			2,845						3,121
Total current liabilities			5,628						4,919
Long-term debt (Note 10)			7,630						6,885
Postretirement benefits other than pensions (Note 11)			314						336
Other liabilities (Notes 9 and 12)			5,097						4,525
Total liabilities			18,669						16,665
Commitments and contingencies (Note 12)
Shareholders’ equity: (Note 16)
Common stock – Par value $0.50 per share; Shares authorized 3.8 billion; Shares issued: 1.8 billion and 1.8 billion			924						921
Additional paid-in capital – common stock			17,580						17,264
Retained earnings			16,551						15,926
Treasury stock, at cost; Shares held: 992 million and 987 million			(21,143)						(20,882)
Accumulated other comprehensive loss			(2,105)						(2,543)
Total Corning Incorporated shareholders’ equity			11,807						10,686
Non-controlling interest			500						384
Total equity			12,307						11,070
Total Liabilities and Equity			$	30,976					$	27,735

The accompanying notes are an integral part of these consolidated financial statements.

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Consolidated Statements of Cash Flows			Corning Incorporated and Subsidiary Companies

			Year ended December 31,
(in millions)			2025						2024						2023
Cash Flows from Operating Activities:
Net income			$	1,742					$	592					$	648
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation			1,237						1,229						1,247
Amortization of purchased intangibles			110						121						122
Loss on disposal of assets, net			27						143						155
Share-based compensation expense			286						273						218
Translation loss (gain) on foreign denominated debt, net			52						(104)						(100)
Deferred tax benefit			(355)						(33)						(75)
Translated earnings contract gain, net			(150)						(83)						(161)
Pension contributions			(68)						(9)						(25)
Release of cumulative translation losses									145
Tax deposit refund															99
Changes in assets and liabilities:
Trade accounts receivable			(749)						(717)						50
Inventories			(243)						(171)						157
Other current assets			(262)						(107)						(80)
Accounts payable and other current liabilities			584						470						(173)
Customer deposits and government incentives			268						(6)						(42)
Deferred income			(58)						(27)						(5)
Other, net			274						223						(30)
Net cash provided by operating activities			2,695						1,939						2,005
Cash Flows from Investing Activities:
Capital expenditures			(1,282)						(965)						(1,390)
Proceeds from sale of equipment to related party															67
Investments in unconsolidated entities			(134)						(7)						(17)
Proceeds from sale of assets			11						80						22
Realized gains on translated earnings contracts and other			304						279						326
Premiums paid on hedging contracts			(122)						(98)						(9)
Other, net			(20)						(33)						1
Net cash used in investing activities			(1,243)						(744)						(1,000)
Cash Flows from Financing Activities:
Repayments of debt			(298)						(267)						(284)
Proceeds from issuance of debt			294						153						82
Proceeds from issuance of euro bonds															918
Repayment of acquisition related debt			(75)
Proceeds from cross currency swap			24						134
Principal payments on finance leases			(346)						(30)						(36)
Payment for redemption of preferred stock															(507)
Payments of employee withholding tax on stock awards			(98)						(81)						(106)
Proceeds from exercise of stock options			41						76						42
Purchases of common stock for treasury			(163)						(165)
Dividends paid			(999)						(986)						(989)
Other, net			(52)						2						(3)
Net cash used in financing activities			(1,672)						(1,164)						(883)
Effect of exchange rates on cash			18						(42)						(14)
Net (decrease) increase in cash and cash equivalents and restricted cash			(202)						(11)						108
Cash and cash equivalents and restricted cash at beginning of year			1,768						1,779						1,671
Cash and cash equivalents and restricted cash at end of year			$	1,566					$	1,768					$	1,779
Restricted cash included in other current assets			40
Cash and cash equivalents at end of year			$	1,526					$	1,768					$	1,779

The accompanying notes are an integral part of these consolidated financial statements.

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Consolidated Statements of Changes in Shareholders’ Equity			Corning Incorporated and Subsidiary Companies

(in millions)									Common stock						Additional paid-in capital common						Retained earnings						Treasury stock						Accumulated other comprehensive loss						Total Corning Incorporated shareholders’ equity						Non- controlling interest						Total
Balance as of December 31, 2022									$	910					$	16,682					$	16,778					$	(20,532)					$	(1,830)					$	12,008					$	267					$	12,275
Net income																					581																		581						67						648
Other comprehensive loss																																	(218)						(218)						(1)						(219)
Shares issued to benefit plans and for option exercises									6						247																								253												253
Common dividends ($1.12 per share)																					(968)																		(968)												(968)
Other, net (1)																											(105)												(105)						(16)						(121)
Balance as of December 31, 2023									$	916					$	16,929					$	16,391					$	(20,637)					$	(2,048)					$	11,551					$	317					$	11,868
Net income																					506																		506						86						592
Other comprehensive loss																																	(495)						(495)						(1)						(496)
Purchase of common stock for treasury, net																											(163)												(163)												(163)
Shares issued to benefit plans and for option exercises									5						335																								340												340
Common dividends ($1.12 per share)																					(971)																		(971)												(971)
Other, net (1)																											(82)												(82)						(18)						(100)
Balance as of December 31, 2024									$	921					$	17,264					$	15,926					$	(20,882)					$	(2,543)					$	10,686					$	384					$	11,070
Net income																					1,596																		1,596						146						1,742
Other comprehensive income																																	438						438												438
Purchase of common stock for treasury, net																											(163)												(163)												(163)
Shares issued to benefit plans and for option exercises									3						316																								319												319
Common dividends ($1.12 per share)																					(971)																		(971)												(971)
Other, net (1)																											(98)												(98)						(30)						(128)
Balance as of December 31, 2025									$	924					$	17,580					$	16,551					$	(21,143)					$	(2,105)					$	11,807					$	500					$	12,307

(1)Treasury stock includes the deemed surrender to the Company of common stock to satisfy employee tax withholding obligations.

The accompanying notes are an integral part of these consolidated financial statements.

Corning Incorporated and Subsidiary Companies

Notes to Consolidated Financial Statements

1. Summary of Significant Accounting Policies

Organization

Corning Incorporated is a provider of carrier network and enterprise network products for the telecommunications industry; high-performance glass for notebook computers, flat panel desktop monitors, display televisions and other information display applications; advanced optical materials for the semiconductor industry and the scientific community; ceramic substrates for gasoline and diesel engines in automotive and heavy-duty vehicle markets; glass products and solutions for the interior and exterior of vehicles; laboratory products for the scientific community and specialized polymer products for biotechnology applications; polycrystalline silicon products and other technologies. In these notes, the terms “Corning,” “Company,” “we,” “us,” or “our” mean Corning Incorporated and subsidiary companies.

Basis of Presentation and Principles of Consolidation

The consolidated financial statements include the accounts of Corning Incorporated and its consolidated subsidiaries (collectively, the “Company”), consisting of its wholly-owned subsidiaries and those entities in which we have a variable interest and of which we are the primary beneficiary, and are consolidated in conformity with accounting principles generally accepted in the United States of America (“GAAP”). All intercompany balances, transactions and profits have been eliminated.

The results of businesses acquired in business combinations are included in the Company’s consolidated financial statements from the date of acquisition. Refer to Note 3 (Acquisition) for additional information.

The non-controlling interest as recorded on the consolidated financial statements represents amounts attributable to the minority shareholders of less-than-wholly-owned consolidated subsidiaries, including Hemlock Semiconductor Group (“HSG”) and other subsidiaries primarily within our Optical Communications segment.

Certain prior year amounts have been reclassified to conform to the current year presentation, including the recast of the Company’s segment related disclosures to align with the new reportable segments as of January 1, 2025. Refer to Note 18 (Reportable Segments) for additional information. These reclassifications had no impact on the results of operations, financial position, or changes in shareholders’ equity.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses and related disclosures of contingent assets and liabilities on the consolidated financial statements and accompanying notes. Estimates are used for, but not limited to, revenue recognition, restructuring charges, valuation of acquired assets and liabilities, valuation and impairment of goodwill and long-lived assets, valuation of investments and equity interests, environmental and legal liabilities, commitments and contingencies, income taxes and deferred tax valuation allowances and valuation of pension and other postretirement employee benefit obligations. Due to the inherent uncertainty involved in making estimates, actual results could differ materially from these estimates.

Revenue Recognition

Most of the Company’s revenue is generated by delivery of products to customers and recognized at a point in time based on evaluation of when the customer obtains control of the products. Revenue is recognized when all performance obligations under the terms of a contract are satisfied and control of the product has been transferred to the customer. If customer acceptance clauses are present and it cannot be objectively determined that control has been transferred, revenue is only recorded when customer acceptance is received and all performance obligations have been satisfied. Sales of goods typically do not include multiple product and/or service elements. Shipping and handling fees are treated as fulfillment costs and not as separate performance obligations under the terms of revenue contracts due to the perfunctory nature of the shipping and handling obligations.

Revenue is measured as the amount of consideration expected in exchange for transferring goods or providing services. Sales tax, value-added tax and other taxes are collected concurrently with revenue-producing activities and excluded from revenue. Incidental contract costs that are not material in the context of the delivery of goods and services are recognized as an expense.

1. Summary of Significant Accounting Policies (Continued)

At the time revenue is recognized, allowances are recorded with the related reduction to revenue for estimated product returns, allowances and price discounts based upon historical experience and related terms of customer arrangements. Where product warranties are offered, liabilities are established for estimated warranty costs based upon historical experience and specific warranty provisions. Warranty liabilities are adjusted when experience indicates the expected outcome will differ from initial estimates of the liability. Product warranty liabilities were not material as of December 31, 2025 and 2024.

In addition, the Company has contractual arrangements with certain customers, mainly related to telecommunications products and comprised of design, installation, training and software maintenance services, in which revenue is recognized over time. The performance obligations under these contracts generally require services to be performed over time, resulting in either a straight-line amortization method or an input method using incurred and forecasted expense to predict revenue recognition patterns which follows satisfaction of the performance obligation. Corning’s other revenue was not material for the years ended December 31, 2025, 2024 and 2023.

Contract Assets and Liabilities

Contract assets, such as incremental costs to obtain or fulfill contracts, are an insignificant component of Corning’s revenue recognition process. Most of Corning’s fulfillment costs as a manufacturer of products are classified as inventory, fixed assets and intangible assets, which are accounted for under the respective guidance for those asset types. Other fulfillment costs are immaterial due to the nature of the products and their respective manufacturing processes.

Contract liabilities include customer deposits, deferred revenue and other advanced payments. Customer deposits are primarily related to Display products and Optical Communications products and deferred revenue is primarily related to HSG. Other advanced payments are not significant to operations and are recorded within other accrued liabilities on the consolidated balance sheets.

Research and Development Costs

Research and development costs are charged to expense as incurred. Research and development costs totaled $0.8 billion, $0.8 billion and $0.9 billion for the years ended December 31, 2025, 2024 and 2023, respectively.

Foreign Currency Translation and Transactions

The determination of the functional currency for Corning’s foreign subsidiaries is made based on the appropriate economic factors. For most foreign operations, the local currencies are generally considered to be the functional currencies. Corning’s most significant exception is a Taiwanese subsidiary, which uses the Japanese yen as its functional currency. For all transactions denominated in a currency other than a subsidiary’s functional currency, foreign currency revaluation and remeasurement gains and losses are included in income for the period in which the exchange rates changed. A net foreign currency revaluation and remeasurement loss of $80 million, gain of $165 million and gain of $59 million was recorded within other (expense) income, net on the consolidated statements of income for the years ended December 31, 2025, 2024 and 2023, respectively.

Foreign subsidiary functional currency balance sheet accounts have been translated at period-end exchange rates, and statement of operations accounts have been translated using average exchange rates for the period. Translation gains and losses are recorded as a separate component of accumulated other comprehensive loss in shareholders’ equity. The effects of remeasuring non-functional currency assets and liabilities into the functional currency are included in current earnings, except for those related to intra-entity foreign currency transactions of a long-term investment nature which are recorded together with translation gains and losses in accumulated other comprehensive loss in shareholders’ equity. Upon sale or substantially complete liquidation of an investment in a foreign entity, the amount of net translation gains or losses that have been accumulated in other comprehensive loss attributable to that investment are reported as a gain or loss for the period in which the sale or liquidation occurs. During the year ended December 31, 2024, Corning recognized $145 million of non-cash cumulative foreign currency translation losses related to the substantial liquidation and disposition of certain foreign entities, which was recorded in other (expense) income, net on the consolidated statements of income.

1. Summary of Significant Accounting Policies (Continued)

Share-Based Compensation

Corning maintains long-term incentive plans (the “Plans”) for employees and non-employee members of its Board of Directors. The Plans are established to grant equity-based compensation awards, including time-based restricted stock and restricted stock units, performance-based restricted stock units, stock options, stock appreciation rights or a combination of awards (collectively, “share-based awards”).

Share-based compensation cost is allocated to cost of sales, selling, general and administrative expenses and research, development and engineering expenses on the consolidated statements of income.

The cost of share-based compensation awards is equal to the fair value of the award at the grant date and compensation cost is recognized for awards expected to ultimately vest. The number of awards expected to vest equals the total awards granted less an estimation of the number of forfeitures expected to occur prior to vesting. The Company reassesses the probability of vesting annually and adjusts share-based compensation cost based on its probability assessment.

The forfeiture assumption is ultimately adjusted to the actual forfeiture rate. The effect of any change in estimated forfeitures would be recognized through a cumulative adjustment that would be included in compensation cost in the period of the change in estimate. As a result, changes in the forfeiture assumptions do not impact the total amount of expense ultimately recognized over the service period. Rather, different forfeiture assumptions would only impact the timing of expense recognition over the service period.

For awards granted to non-employee members of the Company’s Board of Directors, the Company recognizes compensation cost over the service period for awards with vesting terms and immediately for awards with no vesting terms. For awards granted to employees, the Company recognizes compensation cost over the service period. For awards containing retirement provisions that are granted to retirement eligible employees, compensation cost is recognized over the period in which the required service is expected to be met.

During the requisite service period, the Company also recognizes a deferred income tax benefit for the expense recognized. At the time of subsequent vesting, exercise, forfeiture, or expiration of an award, the difference between the Company’s actual income tax deduction, if any, and the previously accrued income tax benefit is recognized in current income tax expense/benefit during the current period.

Time-Based Restricted Stock and Restricted Stock Units

Time-based restricted stock and restricted stock units are issued by the Company on a discretionary basis and are payable in shares of the Company’s common stock upon vesting. The fair value is based on the closing market price of the Company’s stock on the grant date.

Performance-Based Restricted Stock Units

Performance-based restricted stock units are issued by the Company on a discretionary basis, earned upon the achievement of certain targets and are payable in shares of the Company’s common stock upon vesting, typically over a three-year period. The fair value is based on the closing market price of the Company’s common stock on the grant date and assumes that the target payout level will be achieved.

Stock Options

Corning’s stock option plans provide non-qualified and incentive stock options to purchase authorized but unissued common shares, or treasury shares, at the closing market price on the grant date and generally become exercisable in tranches from one year to five years from the grant date. The maximum term of non-qualified and incentive stock options is 10 years from the grant date. An award is considered vested when the employee’s retention of the award is no longer contingent on providing subsequent service (the “non-substantive vesting period approach”).

1. Summary of Significant Accounting Policies (Continued)

Cash and Cash Equivalents

Cash equivalents consist of highly liquid investments that are readily convertible into cash. Securities with contractual maturities of three months or less, when purchased, are considered cash equivalents. The carrying amount of these securities approximates fair value because of the short-term maturity of these instruments.

The following table presents supplemental disclosures of cash flow information (in millions):

			Year ended December 31,
			2025						2024						2023
Non-cash transactions:
Accruals for capital expenditures			$	241					$	149					$	217
Earnings translation hedge contracts (1)			$	95					$	58
Cash paid for interest and income taxes:
Interest (2)			$	311					$	310					$	274
Income taxes, net of refunds received (Note 15)			$	283					$	263					$	213

(1)During the years ended December 31, 2025 and 2024, the Company executed earnings translation hedge instruments obtained through a non-cash exchange of proceeds from certain cross currency swap contracts or other assets and the loss recognized as a result of this non-cash exchange was not material.

(2)Includes approximately $36 million, $31 million and $40 million of interest costs that were capitalized as part of property, plant and equipment during the years ended December 31, 2025, 2024 and 2023, respectively.

Trade Accounts Receivable, net of Doubtful Accounts

The allowance for doubtful accounts is based on the best estimate of the amount of probable lifetime credit losses in existing accounts receivable. The Company determines the allowance based on historical write-off experience and expected future default rate by industry. In addition, in circumstances where the Company is made aware of a specific customer’s inability to meet its financial obligations, a specific allowance is established. The Company does not have any significant off balance sheet credit exposure related to its customers.

The Company participates in accounts receivable management programs, including factoring arrangements to sell certain accounts receivable to third-party financial institutions. The agreements transfer effective control over and risk related to the receivables to the buyers and the Company does not service any factored accounts after the factoring has occurred. These transactions are treated as a sale and are reflected as a reduction of accounts receivable on the consolidated balance sheets, and the proceeds are included in cash flows from operating activities on the consolidated statements of cash flows. During the years ended December 31, 2025 and 2024, we accelerated the collection of $1.1 billion and $1.2 billion, respectively, in accounts receivable. Related servicing fees for the period were not material.

Inventories

Inventories are stated at the lower of cost or net realizable value using the first-in, first-out method.

Property, Plant and Equipment, Net of Accumulated Depreciation

Land, buildings and equipment, including precious metals, are recorded at cost. Depreciation is based on the estimated useful life of the respective assets using the straight-line method. The estimated useful lives generally range from 10 to 40 years for buildings and improvements and 2 to 20 years for equipment, excluding precious metals as discussed below. Interest on borrowings is capitalized during the active construction period of major capital projects, added to the cost of the underlying assets and amortized over the useful life of the assets.

Included in the subcategory of equipment are the following types of assets (excluding precious metals):

Asset type			Range of useful life (in years)
Computer hardware and software			3 to 7
Manufacturing equipment			2 to 15
Furniture and fixtures			5 to 10
Transportation equipment			3 to 20

1. Summary of Significant Accounting Policies (Continued)

Manufacturing equipment includes certain components of production equipment that are constructed of precious metals. These assets are not depreciated because they have very low physical losses and are repeatedly reclaimed and reused in the Company’s manufacturing processes over a very long useful life. The physical loss of precious metals in the manufacturing and reclamation process is treated as depletion and these losses are accounted for as a period expense based on actual units lost. Precious metals are integral to many glass production processes and are only acquired to support operations. These metals are not held for trading purposes.

Leases

Corning leases certain buildings and real estate, vehicles and equipment from third parties, which are classified as operating or finance leases. Right-of-use assets and the corresponding lease liabilities are recognized at the commencement date based on the present value of lease payments for all leases with terms longer than twelve months. To determine the present value of lease payments, the Company uses its incremental borrowing rate based on information available on the lease commencement date or the implicit rate if it is readily determinable. The Company has elected to combine lease and non-lease components of a contract for its leases.

Renewal and termination options are included in the calculation of the right-of-use assets and lease liabilities when considered to be reasonably certain to be exercised.

Lease expense is recognized on a straight-line basis over the lease term for operating leases. Interest expense and amortization of the right-of-use assets relating to finance leases are calculated and recognized using the effective interest and straight-line methods, respectively.

Corning does not have any significant agreements as a lessor.

Impairment of Long-Lived Assets

The recoverability of long-lived assets, such as property, plant and equipment and intangible assets, is reviewed when events or changes in circumstances occur that indicate the carrying value of the asset or asset group may not be recoverable. The Company is required to assess the recoverability of the carrying value of long-lived assets when an indicator of impairment has been identified. The Company performs this review each quarter and exercises judgment in assessing whether impairment indicators are present. When impairment indicators are present, the estimated undiscounted future cash flows, including the eventual disposition of the asset group at market value, is compared to the assets’ carrying value to determine if the asset group is recoverable. For an asset group that fails the test of recoverability, the estimated fair value of long-lived assets is determined using an income approach that starts with the forecast of all the expected future net cash flows, including the eventual disposition at market value of long-lived assets, and considers the fair market value of all precious metals, if applicable. The recoverability of the carrying value of long-lived assets is assessed at the lowest level for which identifiable cash flows are largely independent of the cash flows of other assets and liabilities. If there is an impairment, a loss is recorded to reflect the difference between the assets’ fair value and carrying value.

Goodwill

Goodwill reflects the purchase consideration of a business acquisition in excess of the fair values assigned to identifiable assets acquired and liabilities assumed. The Company’s goodwill relates, and is assigned directly, to one of our reporting units.

Goodwill is tested for impairment at the reporting unit level, annually, or more frequently if events or changes in circumstances indicate that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, by performing a qualitative assessment before performing a quantitative assessment. If the Company determines, based on the qualitative factors considered, that it is more likely than not that the fair value of a reporting unit is greater than its carrying amount, the Company will not need to proceed to the quantitative goodwill impairment process, except that the Company performs a detailed quantitative assessment at least every three years. The Company’s qualitative assessment is performed by assessing various factors including, but not limited to, expectations for the long-term growth of the business, forecasted future cash flows, changes in macroeconomic conditions, industry and market considerations, cost factors, overall financial performance, other relevant entity-specific events, or a sustained decrease in share price.

If a quantitative impairment analysis is required to estimate the fair value of any of our reporting units, then the Company will use an income approach using a discounted cash flow model. The estimates and key assumptions and inputs used in the model include management’s internal projections of future cash flows, the weighted-average cost of capital and the long-term growth rate. The fair value measurement is classified as Level 3 within the fair value hierarchy due to the unobservable inputs used. Estimates are based upon historical experience, current knowledge from commercial relationships and available external information about future trends. If the fair value were less than the carrying value, the difference between the implied fair value and the carrying amount would be

1. Summary of Significant Accounting Policies (Continued)

recorded as an impairment to goodwill. Changes in these estimates and key assumptions could affect the determination of fair value. The most recent quantitative impairment test was performed as of October 1, 2023 and the implied fair value for each of the Company’s reporting units significantly exceeded the reporting unit’s carrying amount.

Government Incentives

Government grants are transfers of a monetary asset or a tangible non-monetary asset from a government entity to a business entity. The Company receives government grants, typically in the form of cash incentives or tax credits (collectively, “government incentives”), primarily for capital expansion projects or for production related operating expenses. Tax credits, such as those awarded under the Inflation Reduction Act of 2022 and incentives awarded under the CHIPS and Science Act of 2022, each as amended by the One Big Beautiful Bill Act (“OBBBA”), are accounted for as government grants given these credits are either refundable, which allows the Company to utilize the credit against current or future tax liabilities, or the Company can elect to have a direct cash payment. The amendments under OBBBA did not materially impact the Company’s ability to qualify for or realize benefits from the credits during the periods presented.

Government incentives are recognized when it is probable that the Company will comply with any contractual conditions and that the government incentives will be received or utilized to reduce current or future tax liabilities. Government incentives relating to property, plant and equipment are deducted from the carrying value of the relevant asset and are recognized against depreciation over the useful life of the asset. Government incentives relating to production or project costs are recognized on the consolidated statements of income as an offset to the related expense. Government incentives are classified as an asset when they are recognized but have not been received and as a liability when they are received but have not been recognized.

As of December 31, 2025 and 2024, the Company has $163 million and $83 million, respectively, recorded in other current assets and $330 million and $33 million, respectively, recorded in other assets within the consolidated balance sheets relating to government incentives that have been recognized but not yet received or utilized as a reduction of tax liabilities and $11 million and $12 million recorded in other accrued liabilities and $85 million and $132 million recorded in other liabilities within the consolidated balance sheets as of December 31, 2025 and 2024, respectively, relating to government incentives that have been received but not yet recognized.

Inflation Reduction Act Credits

The Inflation Reduction Act of 2022, as amended under OBBBA, (“IRA”) introduced various clean energy incentives, including investment and production tax credits that are either utilized to reduce current or future tax liabilities or settled by a direct cash payment to the Company (“IRA credits”). The IRA credits, which primarily benefit HSG and our solar-related businesses, relating to property, plant and equipment (“48C credits”) are deducted from the carrying value of the relevant asset; the IRA credits relating to production costs (“45X credits”) are recognized as a reduction of cost of sales. Certain of these credits, are non-taxable for income tax purposes.

During the year ended December 31, 2025, the Company earned $172 million in 45X credits and $84 million in 48C credits. During the year ended December 31, 2024, the Company earned $83 million in 45X credits. During the year ended December 31, 2025, the Company received a direct cash payment of $83 million and, in addition, applied $127 million as a reduction of the Company’s current and future tax liabilities.

CHIPS Act Advanced Manufacturing Investment Credits

The CHIPS and Science Act of 2022 includes an Advanced Manufacturing Investment Credit under Section 48D of the Internal Revenue Code, as amended under OBBBA, (“48D credits”). These credits provide a tax credit relating to qualified property placed in service during the taxable year, which primarily benefits our advanced optics and solar-related businesses. These credits are subject to a five year recapture period, where a portion of the credit would be recaptured if the qualified property is sold, disposed of, or a change in its use such that the property no longer qualifies as an investment credit property. As of December 31, 2025, the Company is in compliance with all conditions and no recapture liability was recorded.

During the year ended December 31, 2025, the Company placed in service qualified property, resulting in the recognition of $323 million of 48D credits that reduced the carrying value of the related asset and $87 million of 48D credits that were recognized as a reduction of operating expenses. These credits primarily related to leased assets placed in service during the year ended December 31, 2025. Refer to Note 8 (Leases) for additional information. In addition, during the year ended December 31, 2025, the Company applied $68 million of 48D credits as a reduction of the Company’s current and future tax liabilities and received a direct cash payment of $15 million. Credits recognized during the year ended December 31, 2024 were not material.

1. Summary of Significant Accounting Policies (Continued)

Environmental Liabilities

The Company accrues for its environmental investigation, remediation, operating and maintenance costs when it is probable that a liability has been incurred and the amount can be reasonably estimated. For environmental matters, the most likely cost to be incurred is accrued based on an evaluation of currently available facts with respect to each individual site, current laws and regulations and prior remediation experience. For sites with multiple potentially responsible parties, the Company considers its likely proportionate share of the anticipated remediation costs and the ability of the other parties to fulfill obligations in establishing a provision for those costs. Where no amount within a range of estimates is more likely to occur than another, the minimum undiscounted amount is accrued. When future liabilities are determined to be reimbursable by insurance coverage, an accrual is recorded for the potential liability and a receivable is recorded related to the insurance reimbursement when reimbursement is virtually certain.

The uncertain nature inherent in such remediation and the possibility that initial estimates may not reflect the outcome could result in additional costs being recognized by the Company in future periods.

Equity Method Investments

Investments in partially-owned affiliates are accounted for using the equity method of accounting, or at fair value when the fair value option is elected, if the investment gives the Company the ability to exercise significant influence, but not control, over an affiliated company. Under the equity method of accounting, the Company records its initial investment at cost and subsequently adjusts the carrying amount to reflect its share of the investee’s earnings or losses. The equity earnings or losses from associated companies are recorded within other (expense) income, net on the consolidated statements of income. Equity method investments are reviewed for impairment on a periodic basis or if an event occurs or circumstances change that indicate the carrying amount may be impaired. If it is probable that the carrying amount of the investment cannot be recovered, the impairment is considered other-than-temporary and recorded in earnings, and the equity investment balance is reduced to its fair value.

As of December 31, 2025 and 2024, Corning had investments in affiliated companies accounted for by the equity method totaling $302 million and $290 million, respectively. During the years ended December 31, 2025, 2024 and 2023 Corning had sales to affiliated companies of $239 million, $224 million and $211 million, respectively.

All equity investments that do not result in consolidation and are not accounted for under the equity method are measured at fair value with changes therein recorded in net income. The Company utilizes the measurement alternative for equity investments that do not have readily determinable fair values and measures these investments at cost less impairment, plus or minus observable price changes in orderly transactions. The aggregate value of these investments were $210 million and $104 million, as of December 31, 2025 and 2024, respectively.

Employee Retirement Plans

Corning offers employee retirement plans consisting of defined benefit pension plans covering certain domestic and international employees and postretirement plans that provide health care and life insurance benefits for eligible retirees and dependents. The costs and obligations related to these benefits reflect the Company’s assumptions related to general economic conditions, particularly interest rates, expected return on plan assets, rate of compensation increase for employees and health care cost trend rates. The cost of providing plan benefits depends on demographic assumptions including retirements, mortality, turnover and plan participation.

Costs for defined benefit pension plans consist of two elements: (1) on-going costs recognized quarterly, which are comprised of service and interest costs, expected return on plan assets and amortization of prior service costs; and (2) mark-to-market gains and losses outside of the corridor, where the corridor is equal to 10% of the greater of the benefit obligation or the market-related value of plan assets at the beginning of the year, which are recognized annually in the fourth quarter of each year. These gains and losses result from changes in actuarial assumptions and the differences between actual and expected return on plan assets. Any interim remeasurement, triggered by a curtailment, settlement or significant plan change, as well as any true-up to the annual valuation, is recognized as a mark-to-market adjustment in the quarter in which such event occurs. Special termination benefit costs are recorded in the quarter in which the event occurs.

Costs for postretirement benefit plans consist of on-going costs recognized quarterly, and are comprised of service and interest costs, amortization of prior service costs and amortization of actuarial gains and losses. Actuarial gains and losses resulting from changes in actuarial assumptions are recognized as a component of accumulated other comprehensive loss in shareholders’ equity on an annual basis and amortized into operating results over the average remaining service period of employees expected to receive benefits under the plans, to the extent such gains and losses are outside the corridor.

1. Summary of Significant Accounting Policies (Continued)

Income Taxes

The Company accounts for income taxes using the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to operating loss and tax credit carryforwards and for differences between the carrying amounts of existing assets and liabilities and their respective tax bases. Valuation allowances are established when management is unable to conclude that it is more likely than not that some portion, or all, of the deferred tax asset will ultimately be realized based upon the available evidence, including consideration of tax planning strategies.

The effective tax rate reflects the assessment of the ultimate outcome of tax audits. In evaluating the tax benefits associated with the Company’s various tax filing positions, a tax benefit for uncertain tax positions is recorded using the highest cumulative tax benefit that is more likely than not to be realized. Adjustments are made to the asset or liability for unrecognized tax benefits in the period in which the return containing the tax position is filed or when new information becomes available. The liability for unrecognized tax benefits, including accrued penalties and interest, is included in other accrued liabilities and other long-term liabilities on the consolidated balance sheets and within income tax expense on the consolidated statements of income.

Discrete events such as audit settlements or changes in tax laws are recognized in the period in which they occur.

Generally, Corning will indefinitely reinvest the foreign earnings of: (1) any subsidiary that lacks sufficient local statutory earnings from which to make a distribution or otherwise lacks the ability to repatriate its earnings, (2) any subsidiary where Corning’s intention is to reinvest those earnings in operations, (3) legal entities for which Corning holds a non-controlling interest, (4) any subsidiary with an accumulated deficit in earnings and profits, or (5) any subsidiary where a future distribution would trigger a significant net cost.

Fair Value Measurements

Major categories of financial assets and liabilities, including certain investments and derivatives, are measured at fair value on a recurring basis. Certain assets and liabilities are measured at fair value on a nonrecurring basis when impaired, which include long-lived assets, goodwill, equity method investments, other investments and asset retirement obligations. Other than the contingent consideration as discussed in Note 3 (Acquisition), non-financial assets and liabilities or financial assets and liabilities other than derivatives measured at fair value either on a recurring or nonrecurring basis were not significant as of December 31, 2025 and 2024.

Fair value is the price that would be received from selling an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required to be recorded at fair value, the principal, or most advantageous, market in which Corning would transact is analyzed. Assumptions that market participants would use when pricing the asset or liability, such as inherent risk, transfer restrictions and risk of non-performance, are considered.

A three-level valuation hierarchy, based upon the observable and unobservable inputs, is used for fair value measurements. Observable inputs are based on market data or independent sources while unobservable inputs are based on the Company’s own market assumptions. Once inputs have been characterized, the inputs are prioritized into one of three broad levels used to measure fair value: Level 1, quoted prices in active markets for identical instruments; Level 2, quoted prices in active markets for similar instruments, quoted prices for identical or similar instruments in markets that are not active, or inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and Level 3, unobservable inputs where there is little or no market data, which requires the Company to develop its own assumptions.

Derivative Instruments

The Company enters into a variety of foreign exchange forward contracts and foreign exchange option contracts to manage the exposure to fluctuations in foreign exchange rates. Financial exposure is managed in accordance with corporate policies and procedures. The Company also utilizes derivatives that are bifurcated from its precious metals lease contracts to manage the exposure of its separate accounting pool of leased precious metals to changes in market prices.

The most significant foreign currency exposures relate to the Japanese yen, South Korean won, Chinese yuan, New Taiwan dollar, Mexican peso and euro. Corning seeks to mitigate the impact of exchange rate movements on the consolidated statements of income by using over-the-counter (“OTC”) derivative instruments including foreign exchange forward and option contracts. In general, the expirations of these contracts coincide with the timing of the underlying foreign currency commitments and transactions.

1. Summary of Significant Accounting Policies (Continued)

Corning is exposed to potential losses in the event of non-performance by counterparties to these derivative contracts. However, this risk is minimized by maintaining a portfolio with a diverse group of highly-rated major financial institutions. The Company does not expect to record any losses due to counterparty default. Neither the Company nor its counterparties are required to post collateral for these financial instruments.

All derivatives are recorded at fair value on the consolidated balance sheets. The fair values of these derivative contracts are recorded as either assets (gain position) or liabilities (loss position) on the consolidated balance sheets. Changes in the fair value of derivatives designated as cash flow hedges and net investment hedges are not recognized in current operating results but are recorded in accumulated other comprehensive loss. Amounts related to cash flow hedges and net investment hedges are reclassified from accumulated other comprehensive loss when the underlying hedged item impacts earnings. This reclassification for cash flow hedges is recorded within the same line item of the consolidated statements of income where the underlying hedged transaction was recorded, typically cost of sales. Changes in the fair value, excluding the time value component, of derivatives designated as fair value hedges are recognized in current operating results within other (expense) income, net on the consolidated statements of income. Changes in the fair value of derivatives not designated as hedging instruments are recognized within translated earnings contract gain, net and other (expense) income, net on the consolidated statements of income.

Designated Hedges - Cash Flow Hedge

Corning uses OTC foreign exchange forward contracts designated as cash flow hedges, with maturities through 2029, to reduce the risk that movements in exchange rates will adversely affect the net cash flows resulting from the purchases from suppliers. Corning defers gains and losses related to the cash flow hedges into accumulated other comprehensive loss on the consolidated balance sheets until the hedged item impacts earnings. As of December 31, 2025, the amount expected to be reclassified into earnings within the next 12 months is a pre-tax gain of $39 million.

Designated Hedges - Fair Value Hedge

Corning has entered into leases of precious metals, with maturities through 2026. To offset the risk of changes in the fair value of the Company’s separate accounting pool of leased precious metals due to adverse changes in the respective market prices, Corning designated the bifurcated embedded derivatives included in these leases as fair value hedges. The gain or loss on the derivatives, as well as the offsetting loss or gain on the hedged item attributable to the hedged risk, are recognized in current earnings. The amounts representing the time value component of the derivatives are excluded from the assessment of effectiveness and amortized in earnings. The impact of the excluded component is not material.

Corning uses regression analysis or the critical term match method to assess initial hedge effectiveness. Following the inception of a hedging relationship, hedge effectiveness is assessed quarterly based on qualitative factors.

Designated Hedges - Net Investment Hedges

From time to time, Corning utilizes derivative and non-derivative net investment hedges to offset risk against investments in foreign subsidiaries with non-USD functional currencies. Non-derivative net investment hedges include our foreign-denominated debt. Changes in the value of these hedging instruments due to foreign currency gains or losses are deferred into accumulated other comprehensive loss on the consolidated balance sheets, within the foreign currency translation adjustments and other line, and will remain in accumulated other comprehensive loss until the hedged investment is sold or substantially liquidated. We evaluate the effectiveness of the net investment hedges each quarter using the critical terms match method.

Undesignated Hedges

Corning uses OTC foreign exchange forward and option contracts not designated as hedging instruments for accounting purposes to offset foreign currency risks. The undesignated hedges limit exposure to foreign functional currency fluctuations related to certain subsidiaries’ monetary assets, monetary liabilities and net earnings in foreign currencies.

A significant portion of the Company’s non-U.S. revenue and expenses are denominated in Japanese yen, South Korean won, Chinese yuan, New Taiwan dollar, Mexican peso and euro. When this revenue and these expenses are translated back to U.S. dollars, the Company is exposed to foreign exchange rate movements. To protect translated earnings against movements in these currencies, the Company has entered into a series of average rate forwards and option contracts. Most of these contracts hedge a significant portion of the Company’s exposure to the Japanese yen, South Korean won, Chinese yuan, New Taiwan dollar, Mexican peso and euro. The Company hedges a significant portion of its near-term foreign exchange exposure, with derivative contracts extending to 2030.

1. Summary of Significant Accounting Policies (Continued)

Since inception of the Company’s Japanese yen-denominated debt, the Japanese yen has weakened and the U.S. dollar value of these liabilities has decreased, generating unrealized foreign exchange gains that have been recognized over time on the consolidated statements of income. Beginning in 2024, the Company has entered into various cross currency swap contracts relating to a portion of the Company’s Japanese yen-denominated debt in order to economically lock in unrealized foreign exchange gains. At the effective date of these instruments, Corning typically receives a net amount from the counterparties, representing an exchange of the notional amounts at a fixed foreign exchange rate of Japanese yen to U.S. dollar and initially records this amount as a derivative liability. During the year ended December 31, 2025 and 2024, Corning received net cash payments of $24 million and $134 million, respectively. In addition, during the year ended December 31, 2025, the Company executed earnings translation hedge instruments obtained through a non-cash exchange of proceeds from cross currency swap contracts.

Adoption of New Accounting Standards

Accounting Standards Update (“ASU”), 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. We adopted the new standard and applied the amendments prospectively in the consolidated financial statements. The standard enhances the transparency and decision usefulness of income tax disclosures. Adoption of the new standard did not impact the consolidated balance sheets or consolidated statements of income. Refer to Note 15 (Income Taxes) for the incremental disclosures required under the standard.

ASU 2025-10, Government Grants (Topic 832): Accounting for Government Grants Received by Business Entities. In December 2025, the FASB issued ASU 2025-10 to establish recognition, measurement, presentation and disclosure guidance for government grants received by business entities. The Company early adopted the new standard effective in the year ended December 31, 2025 and there was no impact to the consolidated financial statements and the incremental disclosures required under the standard are included herein.

Accounting Standards Issued But Not Yet Adopted

ASU 2024-03, Income Statement - Reporting Comprehensive Income (Topic 220): Disaggregation of Income Statement Expenses (“ASU 2024-03”). In November 2024, the FASB issued ASU 2024-03 to improve the disclosures about an entity’s expenses and requires additional disclosure of the nature of expenses included in the income statement. ASU 2024-03 is effective for annual periods beginning after December 15, 2026 and interim periods within annual reporting periods beginning after December 15, 2027. Early adoption is permitted and application may be applied prospectively or retrospectively. We are assessing the effect that ASU 2024-03 will have on our consolidated financial statements; however, adoption will not impact our consolidated balance sheets or consolidated statements of income.

All other ASUs issued but not yet adopted were assessed and determined to be not applicable or are not expected to have a material impact on our consolidated financial statements or financial statement disclosures.

2. Restructuring, Impairment and Other Charges and Credits

Corning periodically assesses the operating efficiency and cost structure of the Company’s asset base and global workforce and takes appropriate actions to align corporate resources with the business environment.

The following table presents restructuring, impairment and other charges and credits (in millions):

			Year ended December 31,
			2025						2024						2023
Severance (1)			$	26					$	45					$	187
Capacity optimization			23						128						176
Other charges and credits (2)									234						108
Total restructuring, impairment and other charges and credits (3)			$	49					$	407					$	471

(1)Severance charges in the years ended December 31, 2025, 2024 and 2023 include $1 million, $6 million and $20 million, respectively, in curtailment and special termination benefit charges.

(2)Other charges and credits primarily include disposal costs and inventory write-downs. For the year ended December 31, 2024, other charges and credits include $131 million related to the recognition of non-cash cumulative foreign currency translation losses for the substantial liquidation and disposition of foreign entities.

(3)Amounts impacting gross margin on the consolidated statements of income were $3 million, $211 million and $283 million for the years ended December 31, 2025, 2024 and 2023, respectively.

During the year ended December 31, 2025, Corning recorded $49 million in severance and asset write-offs. As of December 31, 2025, the severance accrual of $25 million was reflected within other accrued liabilities on the consolidated balance sheet and is expected to be substantially paid within the next twelve months.

2. Restructuring, Impairment and Other Charges and Credits (Continued)

During the year ended December 31, 2024, Corning recorded $45 million in severance related charges and $128 million in non-cash asset write-offs, primarily associated with the closure of a display manufacturing plant. In addition, the Company recorded $234 million in other charges and credits primarily related to $131 million of non-cash cumulative foreign currency translation losses required to be recognized upon the substantial liquidation or disposition of foreign entities, which was recorded in other (expense) income, net on the consolidated statements of income, and $49 million of non-cash charges in one of our Emerging Growth Businesses relating to a customer that recently entered into a multi-jurisdictional restructuring effort including insolvency filings in certain countries. These charges primarily relate to the full write-down of upfront payments made to the customer, which were determined to be nonrecoverable, and recorded as a charge to net sales on the consolidated statements of income. Remaining activity relates to disposal costs and inventory write-offs associated with the exit of certain facilities and product lines. As of December 31, 2024, the severance accrual of $34 million was reflected within other accrued liabilities on the consolidated balance sheet.

During the year ended December 31, 2023, Corning recorded $471 million in severance, asset write-offs and other related charges. Capacity optimization charges include asset write-offs associated with the exit of certain facilities, product lines and other exit activities primarily within Optical Communications, Specialty Materials and Life Sciences. Severance charges were recorded across all segments.

3. Acquisition

In April 2025, the Company acquired 100% of the equity interests in a U.S. solar module manufacturing facility. The total fair value of purchase consideration was $278 million, consisting of $17 million in cash paid at closing, $111 million in notes payable due within 2025, and $150 million in potential contingent consideration. Of the $111 million in notes payable, payments of $33 million and $42 million were made in the third quarter and fourth quarter, respectively, and the remaining amount is expected to be paid in 2026. The contingent consideration is comprised of annual earn-out payments with a final payment due in the sixth post-closing year. Earn-out payments are based on cumulative free cash flow, with no limitation on the total amount, and the final payment is the lesser of $98 million or an amount based on the net liquidation value of the acquired entity at the time payment is due.

The contingent payments are classified as liabilities and measured on a recurring basis at fair value, utilizing the income approach with Level 3 inputs, with changes in the fair value reflected within selling, general and administrative expenses on the consolidated statements of income. Fair value at the acquisition date and as of December 31, 2025 was $104 million and $88 million, respectively, for the annual earn-out payments, with the change in fair value due to changes in key assumptions. Fair value of the final payment at the acquisition date and as of December 31, 2025 was $46 million and $48 million, respectively, with the increase due to interest accretion. Key assumptions include projections for revenue, margins, market prices and discount rates.

The total purchase consideration of $278 million was allocated to the identifiable assets acquired and liabilities assumed based on their estimated fair values at the acquisition date and consisted of the following (in millions):

Inventories			$	41
Property, plant and equipment			167
Accounts payable			(36)
Other net assets (1)			8
Total identified net assets			180
Fair value of purchase consideration			278
Goodwill (2)			$	98

(1)Includes approximately $52 million in other assets and $52 million in other liabilities relating to acquired operating leases for the manufacturing facility.

(2)Goodwill reflects the expected synergies, expanded market opportunities and other benefits from vertically integrating the acquired solar module business into the Company’s operations. The goodwill is not deductible for tax purposes and has been assigned to a reporting unit within the Hemlock and Emerging Growth Business.

For the year ended December 31, 2025, net sales and net loss before tax relating to the acquired business was $258 million and $13 million, respectively. Transaction-related costs were not material to the Company’s consolidated financial results for the year ended December 31, 2025.

4. Revenue

Disaggregated Revenue

The following table shows revenue by major product category, similar to the Company’s reportable segment disclosure. Within each product category, contract terms, conditions and economic factors affecting the nature, amount, timing and uncertainty around revenue recognition and cash flows are substantially similar. The commercial markets and selling channels are also similar. Except for an insignificant number of telecommunications products, product category revenues are recognized at the point in time when control transfers to the customer.

The following table presents revenues by product category (in millions):

			Year ended December 31,
			2025						2024						2023
Optical communications products			$	6,274					$	4,657					$	4,012
Display products			2,965						2,727						2,694
Specialty material products			2,194						2,000						1,854
Automotive products			1,777						1,704						1,787
Life science products			959						933						922
Polycrystalline silicon products			955						865						1,014
All other products			505						232						305
Total Revenue			$	15,629					$	13,118					$	12,588

Customer Deposits

As of December 31, 2025 and 2024, Corning had customer deposits of approximately $1.5 billion and $1.1 billion, respectively. Most of these customer deposits were non-refundable and allowed customers to secure rights to products produced by Corning under long-term supply agreements, generally over a period of up to 10 years. As products are delivered to customers, Corning will recognize revenue and reduce the amount of the customer deposit liability.

For the years ended December 31, 2025, 2024 and 2023, customer deposits recognized were $142 million, $195 million and $103 million, respectively. For the year ended December 31, 2025, the Company received $490 million relating to new customer contracts. The amounts received in the years ended December 31, 2024 and 2023 were not material.

Refer to Note 9 (Other Assets and Other Liabilities) for additional information.

Deferred Revenue

As of December 31, 2025 and 2024, Corning had deferred revenue of approximately $775 million and $833 million, respectively. Deferred revenue was primarily related to the performance obligations of non-refundable consideration previously received by HSG from its customers under long term supply agreements.

Deferred revenue is tracked on a per-customer contract-unit basis. As customers take delivery of the committed volumes under the terms of the contract, a per-unit amount of deferred revenue is recognized when control of the promised goods is transferred to the customer based upon the units delivered compared to the remaining contractual units. For the year ended December 31, 2025, the Company received $119 million relating to new customer contracts and recognized $177 million of deferred revenue. The amounts recognized or received during the years ended December 31, 2024 and 2023 were not material.

Refer to Note 9 (Other Assets and Other Liabilities) for additional information.

5. Inventories

Inventories consisted of the following (in millions):

			December 31,
			2025						2024
Finished goods			$	1,383					$	1,323
Work in process			618						547
Raw materials and accessories			564						413
Supplies and packing materials			512						441
Inventories			$	3,077					$	2,724

6. Property, Plant and Equipment, Net of Accumulated Depreciation

Property, plant and equipment, net of accumulated depreciation consisted of the following (in millions):

			December 31,
			2025						2024
Land			$	383					$	375
Buildings			6,256						5,650
Equipment (1)			21,701						20,007
Construction in progress			1,714						1,819
Subtotal			30,054						27,851
Accumulated depreciation			(15,229)						(14,492)
Property, plant and equipment, net of accumulated depreciation (2)			$	14,825					$	13,359

(1)Manufacturing equipment includes certain components of production equipment that are constructed of precious metals. As of December 31, 2025 and 2024, the carrying value of precious metals was $2.8 billion and significantly lower than the fair market value. Depletion expense for precious metals for the years ended December 31, 2025, 2024 and 2023 was $31 million, $29 million and $35 million, respectively.

(2)Approximately $36 million, $31 million and $40 million of interest costs were capitalized as part of property, plant and equipment during the years ended December 31, 2025, 2024 and 2023, respectively.

7. Goodwill and Other Intangible Assets

The following table presents the changes in the carrying amount of goodwill (in millions):

			Optical Communications						Display						Specialty Materials						Life Sciences						Hemlock and Emerging Growth Businesses												Total
Balance as of December 31, 2023			$	904					$	119					$	151					$	607					$	599											$	2,380
Acquired goodwill									11																														11
Foreign currency translation adjustment and other			(14)						(9)						(14)						(1)						10												(28)
Balance as of December 31, 2024			$	890					$	121					$	137					$	606					$	609											$	2,363
Acquired goodwill (1)																											98												98
Foreign currency translation adjustment and other			17						2												3						6												28
Balance as of December 31, 2025			$	907					$	123					$	137					$	609					$	713											$	2,489

(1)The Company acquired a U.S. solar module manufacturing facility. Refer to Note 3 (Acquisition) to the consolidated financial statements for additional information.

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7. Goodwill and Other Intangible Assets (Continued)

As of December 31, 2025 and 2024, Corning’s gross goodwill balance was $9.0 billion and $8.9 billion, respectively, and accumulated impairment losses were $6.5 billion. Accumulated impairment losses were generated primarily through goodwill impairments related to the Optical Communications segment.

Other Intangible Assets, Net

Other intangible assets, net consisted of the following (in millions):

			December 31,
			2025																		2024
			Gross						Accumulated amortization						Net						Gross						Accumulated amortization						Net
Amortized intangible assets:
Patents, trademarks & trade names			$	449					$	319					$	130					$	407					$	266					$	141
Customer lists and other (1)			1,411						884						527						1,391						780						611
Other intangible assets, net			$	1,860					$	1,203					$	657					$	1,798					$	1,046					$	752

(1)Other consists of intangible assets related to developed technologies and intellectual know-how.

Corning’s amortized intangible assets are primarily related to Optical Communications, Life Sciences and certain businesses within Hemlock and Emerging Growth Businesses. The net carrying amount of intangible assets decreased during the year, primarily driven by amortization of $110 million.

Annual amortization expense is expected to be approximately $93 million, $92 million, $85 million, $73 million and $66 million for years 2026 through 2030, respectively.

8. Leases

The following table presents the components of lease cost (in millions):

			Year ended December 31,
			2025						2024						2023
Operating lease cost			$	165					$	170					$	171
Variable lease cost			55						55						57
Short-term lease cost			4						3						2
Finance lease cost
Amortization of right-of-use assets			45						34						35
Interest on lease liabilities			21						7						8
Total lease cost			$	290					$	269					$	273

The following table presents the supplemental cash flow information for amounts included in the measurement of lease liabilities (in millions):

			December 31,
			2025						2024						2023
Cash paid for amounts included in the measurement of lease liabilities
Operating cash outflows from operating leases			$	147					$	139					$	153
Operating cash outflows from interest on finance leases			$	8					$	7					$	8
Financing cash outflows from finance leases			$	346					$	30					$	36
Right-of-use assets obtained in exchange for lease liabilities
Operating leases			$	140					$	11					$	156
Finance leases			$	1,389					$	21					$	30

8. Leases (Continued)

The following table presents the weighted-average remaining lease term and weighted-average discount rate:

						December 31,
						2025						2024
Weighted-average remaining lease term (in years)
Operating leases						12.6						13.2
Finance leases						6.1						11.6
Weighted-average discount rate
Operating leases						4.5		%				4.5		%
Finance leases						5.9		%				4.5		%

The following table presents supplemental consolidated balance sheet information (in millions):

									December 31,
									2025						2024
Operating leases
Other assets									$	860					$	796
Other accrued liabilities									$	97					$	95
Other liabilities									$	846					$	785
Total operating lease liabilities									$	943					$	880
Finance leases
Property, plant and equipment (1)									$	1,279					$	265
Accumulated depreciation									$	(147)					$	(118)
Property, plant and equipment, net									$	1,132					$	147
Current portion of long-term debt and short-term borrowings									$	84					$	30
Long-term debt									$	1,148					$	144
Total finance lease liabilities (1)									$	1,232					$	174

(1)During the year ended December 31, 2025, the Company recognized $1.4 billion in right-of-use assets and lease liabilities primarily associated with recently commenced leases, as discussed below. In addition, the Company recognized $318 million in 48D credits, which reduced the right-of-use asset, and repaid $346 million in principal payments, primarily driven by a $315 million payment made in December 2025 on the Facility Lease as discussed below, which reduced the lease liability.

As of December 31, 2025, future minimum lease payments are as follows (in millions) (1):

			Operating Leases			Finance Leases
2026			$	129		$	126
2027			$	115		$	213
2028			$	102		$	176
2029			$	99		$	168
2030			$	91		$	166
After 2030			$	711		$	718
Total payments			$	1,247		$	1,567
Less: imputed discount			$	304		$	335
Present value of lease payments			$	943		$	1,232

(1)Amounts exclude estimated lease payments for various leases commencing in future periods, as described below.

8. Leases (Continued)

Recently commenced leases

Facility Lease - On March 12, 2024, the Company entered into a lease (“Facility Lease”) for a solar manufacturing facility in Hemlock, Michigan and fully commenced this lease during the fourth quarter of 2025. The Company recognized $797 million of right-of-use assets and lease liabilities. Related to these assets, the Company recognized $189 million in 48D credits, which reduced the carrying value of these right-of-use assets.

The Facility Lease was classified as a finance lease, with a lease term of approximately five years and a residual value guarantee at the end of the lease term. During the fourth quarter of 2025, the Company amended the payment terms of the Facility Lease, resulting in the principal payment of $315 million in December 2025. The remaining lease payments over the lease term are interest-only with the residual value guarantee of approximately $495 million at the end of the lease term.

Equipment Leases - During 2025, the Company commenced and recognized $541 million of right-of use assets and lease liabilities under various leases for equipment placed in service within the solar manufacturing facility in Hemlock, Michigan. These leases were classified as finance leases, with lease terms ranging from five to eight years. Related to these assets, the Company recognized $129 million in 48D credits, which reduced the carrying value of these right-of-use assets.

Leases not yet commenced

The Company has entered into various leases that have not yet commenced in an aggregate amount of approximately $527 million, on an undiscounted basis, primarily for production-related equipment associated with the solar manufacturing facility in Hemlock, Michigan. The leases are expected to commence in 2026 with lease terms ranging from five to 16 years. The leases are expected to be classified as finance leases and the amount of right-of-use assets and lease liabilities will be determined and recorded upon lease commencement. Once placed in service, the Company will reduce the amount of right-of-use assets by any 48D credits, which is estimated to be approximately $126 million.

9. Other Assets and Other Liabilities

Other assets consisted of the following (in millions):

			December 31,
			2025						2024
Current assets:
Derivative instruments (Note 13)			$	533					$	619
Government incentives (Note 1)			163						83
Other current assets			858						745
Other current assets			$	1,554					$	1,447
Non-current assets:
Derivative instruments (Note 13)			$	272					$	360
Government incentives (Note 1)			330						33
South Korean tax deposits (Note 15)			248						253
Operating leases (Note 8)			860						796
Investments (Note 1)			512						394
Other non-current assets			332						303
Other assets			$	2,554					$	2,139

Other liabilities consisted of the following (in millions):

			December 31,
			2025						2024
Current liabilities:
Wages and employee benefits			$	866					$	883
Income taxes (Note 15)			98						109
Derivative instruments (Note 13)			159						348
Deferred revenue (Note 4)			226						190
Customer deposits (Note 4)			160						127
Short-term operating leases (Note 8)			97						95
Other current liabilities			1,239						1,369
Other accrued liabilities			$	2,845					$	3,121
Non-current liabilities:
Defined benefit pension plan liabilities (Note 11)			$	587					$	529
Derivative instruments (Note 13)			307						273
Deferred revenue (Note 4)			549						643
Customer deposits (Note 4)			1,335						983
Contingent consideration (Note 3)			136
Deferred tax liabilities (Note 15)			149						137
Long-term operating leases (Note 8)			846						785
Other non-current liabilities			1,188						1,175
Other liabilities			$	5,097					$	4,525

10. Debt

Debt consisted of the following (in millions):

			December 31,
			2025						2024
Current portion of long-term debt			$	795					$	326
Short-term borrowings, average rate 3.25%			9
Current portion of long-term debt and short-term borrowings			$	804					$	326
Long-term debt
Debentures, 6.85%, due 2029			$	150					$	156
Debentures, 7.25%, due 2036			249						249
Debentures, 4.70%, due 2037			297						297
Debentures, 5.75%, due 2040			401						397
Debentures, 4.75%, due 2042			497						497
Debentures, 5.35%, due 2048			545						545
Debentures, 3.90%, due 2049			396						396
Debentures, 4.375%, due 2057			744						743
Debentures, 5.85%, due 2068			297						297
Debentures, 5.45%, due 2079			1,087						1,087
Yen-denominated debentures, 0.722%, due 2025									64
Yen-denominated debentures, 0.992%, due 2027			237						236
Yen-denominated debentures, 1.043%, due 2028			163						163
Yen-denominated debentures, 1.219%, due 2030			159						159
Yen-denominated debentures, 1.153%, due 2031			199						198
Yen-denominated debentures, 1.583%, due 2037			63						63
Yen-denominated debentures, 1.513%, due 2039			38						37
Euro-denominated notes, 3.875%, due 2026			352						311
Euro-denominated notes, 4.125%, due 2031			642						568
Financing Leases, average discount rate 5.86%, due through 2045 (Note 8)			1,232						174
Other, average rate 3.86%, due through 2042			677						574
Total long-term debt, including current portion			8,425						7,211
Less current portion of long-term debt			795						326
Long-term debt			$	7,630					$	6,885

Based on borrowing rates currently available to us for loans with similar terms and maturities, the fair value of long-term debt was $7.3 billion and $6.4 billion compared to recorded book values of $7.6 billion and $6.9 billion as of December 31, 2025 and 2024, respectively. The Company measures the fair value of its long-term debt using Level 2 inputs based primarily on current market yields for its existing debt traded in the secondary market.

Corning did not have outstanding commercial paper as of December 31, 2025 and 2024.

On July 28, 2025, the Company entered into an agreement for a new revolving credit facility (the “Revolving Credit Facility”), which replaced the Company’s existing $1.5 billion credit agreement dated June 6, 2022. The Revolving Credit Facility provides a committed $1.5 billion unsecured multi-currency line of credit and expires July 28, 2030. As of December 31, 2025, there were no outstanding amounts under the Revolving Credit Facility.

Table of Contents

10. Debt (Continued)

Corning is the obligor to Chinese yuan-denominated unsecured variable rate loan facilities, whose proceeds are used for capital investment and general corporate purposes. During the year ended December 31, 2025, the Company repaid $229 million of its existing loan amounts outstanding. In addition, the Company entered into new Chinese yuan-denominated variable rate loan facilities and incurred $285 million in borrowings under these facilities during the year ended December 31, 2025. As of December 31, 2025 and 2024, amounts outstanding under these facilities totaled $384 million and $314 million, respectively, and these facilities had variable interest rates ranging from 2.2% to 2.9% and 2.8% to 3.9%, respectively, and maturities ranging from 2026 to 2032. As of December 31, 2025, Corning had ¥0.2 billion Chinese yuan of unused capacity, equivalent to approximately $23 million.

The following table presents debt maturities by year as of December 31, 2025 (in millions) (1):

2026						2027						2028						2029						2030						Thereafter
$	804					$	401					$	296					$	302					$	298					$	6,379

(1)Excludes impact of bond discounts and deferred expenses and includes obligations relating to finance leases that have commenced. For the estimated undiscounted lease payments associated with leases entered into but not yet commenced, refer to Note 8 (Leases) for additional information.

Debt Issuances and Redemptions

During the year ended December 31, 2025, Corning repaid ¥10.0 billion (equivalent to $69.6 million) aggregate principal amount of its 0.722% debentures due 2025.

During the year ended December 31, 2024, Corning repaid ¥21.0 billion (equivalent to $143 million) aggregate principal amount of its 0.698% debentures due 2024.

11. Employee Retirement Plans

Defined Benefit Plans

Corning has defined benefit pension plans covering certain domestic and international employees. The Company may contribute, as necessary, an amount exceeding the minimum requirements to achieve the Company’s long-term funding targets. During the year ended December 31, 2025, $50 million of voluntary cash contributions were made to our domestic defined benefit pension plan and cash contributions of $18 million were made to international pension plans. During the year ended December 31, 2024, no voluntary cash contributions were made to domestic plans and $9 million were made to international pension plans. In 2026, the Company plans to make voluntary cash contributions of $40 million to our domestic defined benefit pension plan and $12 million to international pension plans.

Corning offers postretirement plans that provide health care and life insurance benefits for retirees and eligible dependents. Certain employees may become eligible for such postretirement benefits upon reaching retirement age and service requirements. In 2025 and 2024, no voluntary cash contributions were made to domestic postretirement plans. For current retirees (including surviving spouses) and active employees eligible for the salaried retiree medical program, Corning has placed a “cap” on the amount to be contributed toward retiree medical coverage in the future. The cap is equal to 120% of the 2005 contributions toward retiree medical benefits. Once contributions toward salaried retiree medical costs reach this cap, impacted retirees will have to pay the excess amount in addition to their regular contributions for coverage. This cap was attained for post-65 retirees in 2008 and attained for pre-65 retirees in 2010. Furthermore, employees hired or rehired on or after January 1, 2007 will be eligible for Corning retiree medical benefits upon retirement; however, these employees will pay 100% of the cost.

11. Employee Retirement Plans (Continued)

Obligations and Funded Status

The following table presents the change in benefit obligation and the funded status of the defined benefit pension and post-retirement benefit plans (in millions):

			Domestic pension benefits												International pension benefits												Postretirement benefits
			2025						2024						2025						2024						2025						2024
Change in benefit obligation
Benefit obligation at beginning of year			$	3,220					$	3,311					$	525					$	578					$	362					$	425
Service cost			77						79						19						20						2						3
Interest cost			172						165						20						20						17						19
Plan participants’ contributions																											10						9
Plan amendments																																	(26)
Actuarial loss (gain)			153						(100)						(8)						(17)						(18)						(32)
Divestiture																					(1)												(3)
Other (1)			2						6						(18)						(8)
Benefits paid			(237)						(241)						(20)						(31)						(34)						(33)
Foreign currency translation															36						(36)
Benefit obligation at end of year			$	3,387					$	3,220					$	554					$	525					$	339					$	362
Change in plan assets
Fair value of plan assets at beginning of year			$	2,842					$	2,760					$	362					$	405					$	—					$	—
Actual gain (loss) on plan assets			282						303						14						(6)
Employer contributions			72						20						27						17						9						24
Plan participants’ contributions																											10						9
Benefits paid			(237)						(241)						(34)						(28)						(12)						(33)
Foreign currency translation															18						(26)
Fair value of plan assets at end of year			$	2,959					$	2,842					$	387					$	362					$	7					$	—
Funded status at end of year
Fair value of plan assets			$	2,959					$	2,842					$	387					$	362					$	7					$	—
Benefit obligations			(3,387)						(3,220)						(554)						(525)						(339)						(362)
Funded status of plans			$	(428)					$	(378)					$	(167)					$	(163)					$	(332)					$	(362)
Amounts recognized on the consolidated balance sheets consist of:
Noncurrent asset															$	23					$	16
Current liability			$	(20)					$	(18)					(12)						(7)						$	(18)					$	(27)
Noncurrent liability			(408)						(360)						(178)						(172)						(314)						(335)
Recognized liability			$	(428)					$	(378)					$	(167)					$	(163)					$	(332)					$	(362)
Amounts recognized in accumulated other comprehensive loss consist of:
Net actuarial loss (gain)			$	118					$	64					$	13					$	12					$	(208)					$	(220)
Prior service cost (credit)			25						29																		(22)						(29)
Amounts recognized at end of year			$	143					$	93					$	13					$	12					$	(230)					$	(249)

(1)Other consists of domestic plan special termination benefits charge and curtailment and international plan settlements. Refer to Note 2 (Restructuring, Impairment and Other Charges and Credits) in the notes to the consolidated financial statements for more information.

11. Employee Retirement Plans (Continued)

Across total pension benefits, an actuarial loss of $0.1 billion was recognized in 2025 primarily due to decreases in bond yields during the year, leading to domestic plan weighted-average discount rates that were 28 basis points lower than 2024, partially offset by international plan weighted-average discount rates that were 15 basis points higher than 2024. In 2024, an actuarial gain of $0.1 billion was recognized primarily due to increases in bond yields during the year, leading to domestic plan weighted-average discount rates that were 51 basis points higher than 2023, partially offset by international plan weighted-average discount rates that were 20 basis points lower than 2023. The accumulated benefit obligation for defined benefit pension plans was $3.7 billion and $3.6 billion as of December 31, 2025 and 2024, respectively.

For the years ended December 31, 2025 and 2024, postretirement benefits actuarial gains of $18 million and $32 million, respectively, were recognized. The increase in actuarial gain recognized is primarily due to changes in weighted-average discount rates in response to bond yields during the year. For the years ended December 31, 2025 and 2024, the changes in weighted-average discount rates were a decrease of 31 basis points and an increase of 42 basis points, respectively.

The following table presents information for the domestic and international pension plans where the projected benefit obligation or the accumulated benefit obligation exceeded the fair value of plan assets (in millions):

			December 31,
			2025						2024
Projected benefit obligation			$	3,613					$	3,432
Fair value of plan assets			$	2,995					$	2,875
Accumulated benefit obligation			$	542					$	494
Fair value of plan assets			$	36					$	33

The following table presents the components of net periodic benefit expense (income) for employee retirement plans, which other than the service cost component is recorded in other (expense) income, net on the consolidated statements of income (in millions):

			Domestic pension benefits																		International pension benefits																		Postretirement benefits
			2025						2024						2023						2025						2024						2023						2025						2024						2023
Service cost			$	77					$	79					$	80					$	19					$	20					$	18					$	2					$	3					$	5
Interest cost			172						165						168						20						20						20						17						19						23
Expected return on plan assets			(184)						(179)						(176)						(17)						(16)						(13)
Amortization of prior service cost (credit)			4						6						6																								(7)						(7)						(5)
Amortization of actuarial gain																																							(31)						(24)						(22)
Recognition of actuarial (gain) loss									(31)						(16)						(8)						6						1
Total net periodic benefit expense (income)			$	69					$	40					$	62					$	14					$	30					$	26					$	(19)					$	(9)					$	1
Curtailment charge															$	3					$	1
Special termination benefit charge			$	2					$	6					15																																				$	1
Total expense (income)			$	71					$	46					$	80					$	15					$	30					$	26					$	(19)					$	(9)					$	2
Other changes in plan assets and benefit obligations recognized in other comprehensive loss:
Curtailment effects									$	(1)					$	(4)
Settlements																					$	(1)
Current year actuarial loss (gain)			$	55					(225)						(16)						(4)						$	5					$	14					$	(19)					$	(32)					$	(8)
Amortization of actuarial (loss) gain																											(9)												31						24						22
Recognition of actuarial gain									31						16						7						2						1
Current year prior service credit																																													(26)
Amortization of prior service (cost) credit			(4)						(6)						(6)																								7						7						5
Total recognized in other comprehensive income (loss)			$	51					$	(201)					$	(10)					$	2					$	(2)					$	15					$	19					$	(27)					$	19

11. Employee Retirement Plans (Continued)

Corning uses a hypothetical yield curve and associated spot rate curve to discount the plan’s projected benefit payments. Once the present value of projected benefit payments is calculated, the suggested discount rate is equal to the level rate that results in the same present value. The yield curve is based on actual high-quality corporate bonds across the full maturity spectrum, which also includes private placements and eurobonds that are denominated in U.S. currency. The curve is developed from yields on hundreds of bonds from four grading sources, Moody’s, S&P, Fitch and the Dominion Bond Rating Service. A bond will be included if at least half of the grades from these sources are Aa, non-callable bonds. The very highest 10% yields and the lowest 40% yields are excluded from the curve to eliminate outliers in the bond population.

Mortality is one of the key assumptions used in valuing liabilities of retirement plans. It is used to assign a probability of payment for benefits that are contingent upon participants’ survival. To make this assumption, benefit plan sponsors typically use a base mortality table and an improvement scale to mortality rates for future anticipated changes to historical death rates.

Corning uses the base mortality assumption (PRI-2012 white collar table and PRI-2012 blue collar table for non-union and union participants, respectively) to value its U.S. benefit plan obligation. In addition, Corning uses the MP-2020 projection scale and the mortality assumption applied to disabled participants (PRI-2012 disabled mortality base table with future improvements using MP-2020). As the Society of Actuaries publishes additional mortality improvement scales and base mortality tables, Corning considers these revised schedules in setting its mortality assumptions.

Measurement of postretirement benefit expense is based on assumptions used to value the postretirement benefit obligation at the beginning of the year.

The following table presents the weighted-average assumptions used to determine benefit obligations:

			Pension benefits
			Domestic																		International																		Postretirement benefits
			2025						2024						2023						2025						2024						2023						2025						2024						2023
Discount rate			5.39		%				5.67		%				5.16		%				2.25		%				2.10		%				2.30		%				5.35		%				5.66		%				5.24		%
Rate of compensation increase			3.50		%				3.50		%				3.97		%				2.64		%				2.61		%				3.74		%
Cash balance crediting rate			4.43		%				4.44		%				4.22		%				0.93		%				0.93		%				0.82		%
Employee contributions crediting rate			5.04		%				5.10		%				5.25		%

The following table presents the weighted-average assumptions used to determine net periodic benefit expense (income):

			Pension benefits
			Domestic																		International																		Postretirement benefits
			2025						2024						2023						2025						2024						2023						2025						2024						2023
Discount rate			5.67		%				5.16		%				5.50		%				2.10		%				2.30		%				2.46		%				4.66		%				5.24		%				5.58		%
Expected return on plan assets			6.75		%				6.75		%				6.75		%				4.90		%				4.34		%				3.85		%
Rate of compensation increase			3.50		%				3.98		%				3.87		%				2.61		%				3.74		%				3.73		%
Cash balance crediting rate			4.44		%				4.21		%				3.86		%				0.93		%				0.82		%				0.82		%
Employee contributions crediting rate			5.04		%				5.25		%				4.62		%

The following table presents the assumed health care trend rates:

Assumed health care trend rates as of December 31			2025						2024
Health care cost trend rate assumed for next year (pre-65 / post-65 retirees)			7.50% / 7.50%						7.00% / 7.00%
Ultimate health care trend rate			5		%				5		%
Year that the rate reaches the ultimate trend rate			2036						2033

11. Employee Retirement Plans (Continued)

Plan Assets

The Company’s primary objective is to ensure the plan has sufficient return on assets to fund the plan’s current and future obligations as they become due. Investments are primarily made in public securities to ensure adequate liquidity to support benefit payments. Corning has a diversification to the portfolio through the investment in domestic stocks. The target allocation range for equity investment is 50% which includes large, mid and small-cap companies. The target allocation for bond investments is 50% in a diversified portfolio, which includes corporate bonds.

The following table presents the fair values of domestic defined benefit and post-retirement benefit plan assets, by asset category (in millions):

			December 31, 2025																								December 31, 2024
			Total						Level 1						Level 2						Level 3						Total						Level 1						Level 2						Level 3
Equity securities:
U.S. companies			$	1,610					$	222					$	1,388											$	1,261											$	1,261
International companies
Fixed income:
U.S. treasury bonds			223						223																		294						$	294
U.S. corporate bonds			911												911												876												876
Real estate (1)			1																		$	1					2																		$	2
Cash equivalents			221						221																		409						357						52
Total			$	2,966					$	666					$	2,299					$	1					$	2,842					$	651					$	2,189					$	2

(1)This category includes industrial, office, apartments, hotels, infrastructure and retail investments which are limited partnerships predominately in the U.S. The inputs are valued by discounted cash flow analysis; comparable sale analysis and periodic external appraisals.

The following table presents the fair values of international defined benefit plan assets, by asset category (in millions):

			December 31, 2025																								December 31, 2024
			Total						Level 1						Level 2						Level 3						Total						Level 1						Level 2						Level 3
Fixed income:
International fixed income			$	102					$	102																	$	94					$	94
Insurance contracts			174																		$	174					167																		$	167
Mortgages			52																		52						33																		33
Cash equivalents			42						42																		52						52
Other			17						1												16						16																		16
Total			$	387					$	145					$	—					$	242					$	362					$	146					$	—					$	216

11. Employee Retirement Plans (Continued)

The following table presents the changes in the fair value of the Level 3 assets relating to the Company’s international defined benefit plans (in millions):

									International
															Mortgages						Insurance contracts						Other
Balance as of December 31, 2023															$	43					$	195					$	12
Actual return on plan assets relating to assets still held at the reporting date															2
Asset (sales) purchases															(12)						(1)						4
Change in insurance contract valuation																					(27)
Balance as of December 31, 2024															$	33					$	167					$	16
Actual return on plan assets relating to assets still held at the reporting date															2
Asset purchases															17						1
Change in insurance contract valuation																					6
Balance as of December 31, 2025															$	52					$	174					$	16

Credit Risk

38% of domestic plan assets are invested in bonds with an average credit rating of AA-. These bonds are subject to both credit and default risk and changes in the risk could lead to a decline in the value of these bonds.

Liquidity Risk

Less than 1% of the domestic securities are invested in Level 3 securities. These are long-term investments in private equity and private real estate investments that may not mature or be sellable in the near-term without significant loss.

As of December 31, 2025 and 2024, the amount of Corning common stock included in equity securities was not significant.

Cash Flow Data

The following table presents the gross benefit payments expected to be paid for domestic and international defined benefit pension plans and the postretirement medical and life plans (in millions):

			Expected benefit payments
			Domestic pension benefits						International pension benefits						Postretirement benefits
2026			$	259					$	32					$	25
2027			$	267					$	40					$	26
2028			$	270					$	39					$	26
2029			$	276					$	40					$	26
2030			$	274					$	42					$	26
2031-2035			$	1,406					$	225					$	131

Other Benefit Plans

Corning offers defined contribution plans covering employees meeting certain eligibility requirements. Total consolidated defined contribution plan expense was $128 million, $110 million and $118 million for the years ended December 31, 2025, 2024 and 2023, respectively.

12. Commitments, Contingencies and Guarantees

Guarantees

The Company is required, at the time a guarantee is issued, to recognize a liability for the fair value or market value of the obligation it assumes. In the normal course of business, the Company does not routinely provide significant third-party guarantees. Generally, third-party guarantees provided by Corning are limited to certain financial guarantees, including stand-by letters of credit and performance bonds, and the incurrence of contingent liabilities in the form of purchase consideration adjustments related to attainment of milestones. These guarantees have various terms and none of these guarantees are individually significant. The Company believes a significant majority of these guarantees and contingent liabilities will expire without being funded.

Purchase Commitments

Purchase obligations are enforceable and legally binding obligations. The Company has purchase commitments primarily for raw materials and energy-related take-or-pay contracts. Commitments made under these obligations as of December 31, 2025 are as follows (in millions):

			Amount of commitment expiration per period
			Less than 1 year						1 to 3 years						3 to 5 years						5 years and thereafter
Purchase obligations			$	283					$	181					$	103					$	332

Litigation, Environmental and Indemnifications

Corning is a defendant in various lawsuits and is subject to various claims that arise in the normal course of business, the most significant of which are summarized below. In the opinion of management, the likelihood that the ultimate disposition of these matters will have a material adverse effect on Corning’s consolidated financial position, liquidity, or results of operations, is remote.

Dow Corning Environmental Claims

Beginning in September 2019, The Dow Chemical Company (“Dow”) formally notified Corning of certain environmental matters for which Dow asserts that it has or will experience losses arising from remediation and response at a number of sites. Subject to certain conditions and limits, Corning may have been required to indemnify Dow for up to 50% of such losses. In September 2025, Corning entered into a settlement agreement with Dow to fully resolve all outstanding environmental matters previously asserted under historical indemnification provisions. The resolution did not have a material impact on the Company’s consolidated financial statements for the periods presented. No further obligation remains under the settlement agreement.

Environmental Claims

Corning has been designated by federal or state governments under environmental laws, including Superfund, as a potentially responsible party that may be liable for cleanup costs associated with 20 hazardous waste sites. It is Corning’s policy to accrue for its estimated liability related to such hazardous waste sites and other environmental liabilities related to property owned by Corning based on expert analysis and continual monitoring by both internal and external consultants. As of December 31, 2025 and 2024, Corning had accrued approximately $89 million and $78 million, respectively, for the estimated undiscounted liability for environmental cleanup and related litigation. Based upon the information developed to date, management believes that the accrued reserve is a reasonable estimate of the Company’s liability.

13. Financial Instruments

The following table summarizes the notional amounts and respective fair values of Corning’s derivative financial instruments on a gross basis as of December 31, 2025 and 2024 (in millions):

			December 31, 2025																		December 31, 2024
			Notional amount						Fair value asset (1)						Fair value liability (1)						Notional amount						Fair value asset (1)						Fair value liability (1)
Derivatives designated as hedging instruments (2):
Foreign exchange and precious metals lease contracts (3)			$	1,116					$	95					$	(19)					$	928					$	106					$	(69)
Derivatives not designated as hedging instruments:
Foreign exchange contracts			4,333						29						(29)						2,339						14						(77)
Translated earnings contracts (4)			10,816						681						(224)						9,817						859						(327)
Cross currency swap contracts			798												(194)						439												(148)
Total derivatives			$	17,063					$	805					$	(466)					$	13,523					$	979					$	(621)
Current									$	533					$	(159)											$	619					$	(348)
Non-current									272						(307)												360						(273)
Total derivatives									$	805					$	(466)											$	979					$	(621)

(1)All of the Company’s derivative contracts are measured at fair value using Level 2 inputs within the fair value hierarchy, primarily based on quoted prices in active markets for similar instruments. Derivative assets are presented in other current assets or other assets on the consolidated balance sheets. Derivative liabilities are presented in other accrued liabilities or other liabilities on the consolidated balance sheets.

(2)The amounts as of December 31, 2025 and 2024 do not include total notional amounts of €750 million ($881 million equivalent) and €850 million ($884 million equivalent), respectively, of euro-denominated debt, which is a non-derivative financial instrument designated as a net investment hedge.

(3)As of December 31, 2025 and 2024, derivatives designated as hedging instruments include foreign exchange cash flow hedges and net investment hedges with gross notional amounts of $1,116 million and $928 million, respectively, and fair value hedges of leased precious metals with a gross notional amount of 4,090 troy ounces and 12,694 troy ounces, respectively. Fair value liabilities include designated derivatives pertaining to precious metals lease contracts in the amount of $16 million as of December 31, 2025. Fair value assets include designated derivatives pertaining to precious metals lease contracts in the amount of $104 million as of December 31, 2024.

(4)The Company has deferred payments associated with its purchased option contracts that are classified as non-derivative liabilities and will be settled by the end of the option contract term. As of December 31, 2025 and 2024, the Company has $229 million and $141 million, respectively, recorded in other accrued liabilities and $172 million recorded in other liabilities as of December 31, 2024 on the consolidated balance sheets.

The following table summarizes the total gross notional value for translated earnings contracts as of December 31, 2025 and 2024 (in millions):

			Year ended December 31,
			2025						2024
Forward contracts:
Japanese yen-denominated			$	1,712					$	259
South Korean won-denominated			2,413						1,151
Chinese yuan-denominated			1,179						864
New Taiwan dollar-denominated			483						503
Mexican peso-denominated			1,264						320
Euro-denominated			1,595						1,538
Option contracts:
Japanese yen-denominated			2,170						4,997
Euro-denominated									185
Total gross notional amount for translated earning contracts			$	10,816					$	9,817

13. Financial Instruments (Continued)

The following tables summarize the effect on the consolidated statements of income relating to Corning’s derivative financial instruments (in millions). The accumulated gain or loss included in accumulated other comprehensive loss on the consolidated balance sheets as of December 31, 2025 and 2024 is a gain $37 million and a loss of $11 million, respectively.

			Gain (loss) recognized in other comprehensive income (loss) (OCI) (1)																		Location of gain (loss) reclassified from accumulated OCI into income effective (ineffective)						Gain (loss) reclassified from accumulated OCI into income
			2025						2024						2023									2025						2024						2023
Hedging relationships for cash flow, net investment and fair value hedges:
Foreign exchange and precious metals lease contracts			$	56					$	(18)					$	81					Cost of sales						$	(5)					$	47					$	49
																					Other (expense) income, net						13						(1)						(3)
Total designated			$	56					$	(18)					$	81											$	8					$	46					$	46

(1)Amount includes a loss of $104 million, gain of $55 million and loss of $5 million during the years ended December 31, 2025, 2024 and 2023, respectively, relating to non-derivative financial instruments designated as a net investment hedge.

			Gain (loss) recognized in income
Undesignated derivatives			2025						2024						2023						Location of gain (loss) recognized in income
Foreign exchange contracts			$	69					$	(80)					$	26					Other (expense) income, net
Translated earnings contracts (1)			150						83						161						Translated earnings contract gain, net
Cross currency swap contracts			(42)						(15)												Other (expense) income, net
Total undesignated			$	177					$	(12)					$	187

(1)For the years ended December 31, 2025, 2024 and 2023, amount includes non-cash pre-tax realized losses of $295 million, $85 million and $53 million, respectively, related to the premiums of expired option contracts.

Leased Precious Metals Contracts

The carrying amount of the leased precious metals pool, which is included within property, plant and equipment, net of accumulated depreciation on the consolidated balance sheets, is $38 million and $58 million, respectively, as of December 31, 2025 and 2024. The carrying amount of the leased precious metals pool includes a cumulative fair value gain of $15 million and loss of $108 million as of December 31, 2025 and 2024, respectively. These gains and losses are offset by changes in the fair value of the hedges.

14. Share-Based Compensation

The following table presents share-based compensation cost and the unrecognized compensation cost by award type (in millions):

			Amount of share-based compensation cost recognized																		Unrecognized compensation cost						Weighted-average remaining term (in years)
			Year ended December 31,																		December 31,
			2025						2024						2023						2025
Time-based restricted stock and restricted stock units			$	117					$	141					$	172					$	53					1.7
Performance-based restricted stock units			161						123						36						41						1.5
Stock Options															2
Other			8						9						8
Total share-based compensation cost (1)			$	286					$	273					$	218

(1)The income tax benefit realized from share-based compensation was $42 million, $9 million and $17 million, respectively, for the years ended December 31, 2025, 2024 and 2023.

As of December 31, 2025, there were approximately 17 million unissued common shares available for future grants authorized under the Plans.

14. Share-Based Compensation (Continued)

Incentive Stock Plans

Time-Based Restricted Stock and Restricted Stock Units

The following table summarizes the changes in non-vested time-based restricted stock and restricted stock units during the year ended December 31, 2025:

			Number of shares (in thousands)						Weighted-average grant-date fair value
Non-vested as of December 31, 2024			8,456						$	32.94
Granted			1,159						52.02
Vested			(4,083)						32.81
Forfeited			(167)						37.10
Non-vested as of December 31, 2025			5,365						$	37.03

The total fair value of time-based restricted stock and restricted stock units that vested during the years ended December 31, 2025, 2024 and 2023 was approximately $134 million, $208 million and $118 million, respectively.

Performance-Based Restricted Stock Units

The following table summarizes the changes in non-vested performance-based restricted stock units during the year ended December 31, 2025:

			Number of shares (in thousands)						Weighted-average grant-date fair value
Non-vested as of December 31, 2024			4,040						$	33.28
Granted			1,507						50.27
Vested			(1,632)						33.70
Performance adjustments			1,003						47.71
Forfeited			(71)						47.16
Non-vested as of December 31, 2025			4,847						$	41.24

The total fair value of performance-based restricted stock units that vested during the years ended December 31, 2025, 2024 and 2023 was approximately $55 million, $47 million and $120 million, respectively.

Stock Options

During the year ended December 31, 2025, 1.7 million options were exercised and 9 thousand options were forfeited and expired with a weighted-average exercise price of $24.35 and $21.35, respectively. As of December 31, 2025, 2.5 million options were outstanding, vested and exercisable, with a weighted-average exercise price of $24.07, weighted average remaining contractual term of 3.4 years and aggregate intrinsic value of $161 million. As of December 31, 2024, 4.2 million options were outstanding, vested and exercisable, with a weighted-average exercise price of $24.18.

The aggregate intrinsic value (market value of stock less option exercise price) represents the total pre-tax intrinsic value, based on the Company’s closing stock price as of December 31, 2025, which would have been received by the option holders had all option holders exercised their “in-the-money” options as of that date.

There were no options granted in 2025, 2024 or 2023. There were no options that vested during the years ended December 31, 2025 and 2024. The total fair value of options that vested during the year ended December 31, 2023 was approximately $6 million.

Proceeds received from the exercise of stock options were $41 million, with a corresponding realized tax benefit of $12 million, for the year ended December 31, 2025. The total intrinsic value of options exercised for the years ended December 31, 2025, 2024 and 2023 was approximately $70 million, $56 million and $29 million, respectively.

15. Income Taxes

The following table presents the components of income before income taxes (in millions):

			Year ended December 31,
			2025						2024						2023
U.S. companies			$	1,390					$	303					$	105
Non-U.S. companies			662						510						711
Income before income taxes			$	2,052					$	813					$	816

The following table presents the current and deferred amounts of the provision for income taxes, based on the location of the taxing authority (in millions):

			Year ended December 31,
			2025						2024						2023
Current:
Federal			$	(339)					$	(6)					$	(8)
State and municipal			(26)						(6)						(13)
Foreign			(300)						(242)						(222)
Deferred:
Federal			324						63						76
State and municipal			19						6						7
Foreign			12						(36)						(8)
Provision for income taxes			$	(310)					$	(221)					$	(168)

15. Income Taxes (Continued)

The following table presents the reconciliation of the statutory U.S. federal income tax rate to the effective tax rate (in millions):

						Year ended December 31, 2025
U.S. federal statutory tax rate						$	431					21.0		%
State and local income tax, net of federal (national) income tax effect (1)						1						—		%
Foreign tax effects:
China:
Withholding taxes						87						4.2		%
Other						0						—		%
Other foreign jurisdictions						36						1.8		%
Effect of changes in tax laws or rates enacted in the current period						0						—		%
Effect of cross-border tax laws:
Foreign derived intangible income						(79)						(3.8		%)
Other						9						0.4		%
Tax credits:
Foreign tax credits						(113)						(5.5		%)
Other						(19)						(0.9		%)
Changes in valuation allowances						0						—		%
Nontaxable or nondeductible items:
Share-based compensation						(36)						(1.8		%)
Government incentives (IRA credits)						(32)						(1.6		%)
Other						17						0.8		%
Changes in unrecognized tax benefits						29						1.4		%
Other adjustments						(21)						(1.0		%)
Effective tax rate						$	310					15.1		%

(1)State tax predominantly relates to Pennsylvania, California, New Jersey, Illinois, Iowa and Georgia.

15. Income Taxes (Continued)

The following table presents the reconciliation of the statutory U.S. federal income tax rate to the effective tax rate:

									Year ended December 31,
									2024						2023
Statutory U.S. federal income tax rate									21.0		%				21.0		%
State income tax provision (benefit), net of federal effect									0.2						(0.3)
Non-deductible Items									9.1						5.2
Release of cumulative translation losses									6.0
Audit settlements & change in reserve									4.8						4.8
Differential arising from foreign earnings (1)									1.6						0.3
Remeasurement of deferred tax assets and liabilities									(0.8)						(0.3)
Stock compensation									(0.9)						(2.1)
Valuation allowance									(2.3)						5.7
Foreign derived intangible income									(2.7)						(2.3)
Tax credits									(3.9)						(6.9)
Non-Taxable Items									(5.6)						(4.0)
Other items, net									0.7						(0.5)
Effective tax rate									27.2		%				20.6		%

(1)Includes impact of intercompany asset sales.

During the year ended December 31, 2025, the Company distributed $896 million from foreign subsidiaries to their respective U.S. parent companies. As of December 31, 2025, Corning has approximately $1.9 billion of indefinitely reinvested foreign earnings. It remains impracticable to calculate the tax cost of repatriating unremitted earnings which are considered indefinitely reinvested.

Income taxes paid, net of refunds, for the years ended December 31, 2024 and 2023 were $263 million and $213 million, respectively. The following table summarizes income tax payments, net of refunds by jurisdiction for the year ended December 31, 2025 (in millions):

			Year ended December 31, 2025
U.S. - Federal (1)			$	24
U.S. - State and municipal
Other (2)			9
Foreign
China			142
South Korea			42
Germany			17
Taiwan			17
Other (2)			32
Income taxes paid, net of refunds			$	283

(1)The Company’s U.S. federal tax liabilities are substantially reduced by the use of tax credits and government incentives, which were primarily generated by Corning’s investments as discussed in Note 1 (Significant Accounting Policies).

(2)No single jurisdiction meets the separate reporting requirement for the 5% threshold.

15. Income Taxes (Continued)

The following table presents the tax effects of temporary differences and carryforwards that gave rise to significant portions of the deferred tax assets and liabilities (in millions):

			December 31,
			2025						2024
Loss and tax credit carryforwards			$	6,323					$	218
Other assets			322						246
Research and development capitalization			518						428
Asset impairments and restructuring reserves			31						32
Postretirement medical and life benefits			83						90
Other accrued liabilities			428						375
Other employee benefits			326						291
Gross deferred tax assets			8,031						1,680
Valuation allowances			(6,202)						(173)
Total deferred tax assets			1,829						1,507
Intangible and other assets			(101)						(110)
Fixed assets			(158)						(212)
Finance leases			(204)						(192)
Total deferred tax liabilities			(463)						(514)
Net deferred tax assets			$	1,366					$	993

Previously, Luxembourg deferred tax assets from net operating losses were not recognized because their utilization was considered remote. As of December 31, 2025, the likelihood is now no longer remote but not more-likely-than-not, so the Company recognized $6.0 billion of deferred tax assets, fully offset by a valuation allowance.

Net deferred tax assets on the consolidated balance sheets consisted of the following (in millions):

			December 31,
			2025						2024
Deferred tax assets			$	1,515					$	1,130
Other liabilities			(149)						(137)
Net deferred tax assets			$	1,366					$	993

The following table presents details of the deferred tax assets for loss and tax credit carryforwards (in millions):

									Expiration
			Total						2026-2030						2031-2035						2036-2045						Indefinite
Net operating losses			$	6,239					$	44					$	349					$	1,439					$	4,407
Tax credits			84												2						82
Balance as of December 31, 2025			$	6,323					$	44					$	351					$	1,521					$	4,407

The following table presents the changes in the deferred tax valuation allowance (in millions):

			2025						2024						2023
Balance as of January 1			$	173					$	207					$	166
Additions			6,047						26						66
Reductions			(18)						(60)						(25)
Balance as of December 31			$	6,202					$	173					$	207

15. Income Taxes (Continued)

The following table presents the reconciliation of the beginning and ending amount of unrecognized tax benefits (in millions):

			2025						2024						2023
Balance as of January 1			$	411					$	373					$	206
Additions based on tax positions related to the current year			125						41						54
Additions for tax positions of prior years			22						6						127
Reductions for tax positions of prior years			(24)						(6)						(3)
Settlements and lapse of statute of limitations			(9)						(3)						(11)
Balance as of December 31			$	525					$	411					$	373

The additions for tax positions of prior years were primarily due to tax audits, development of tax court cases and tax law changes in various jurisdictions.

As of December 31, 2025, unrecognized tax benefits that would impact the Company’s effective tax rate if recognized were $244 million.

Interest and penalties associated with uncertain tax positions are recognized as part of tax expense. For the years ended December 31, 2025, 2024 and 2023, the amount recognized was not material.

Corning Incorporated, as the common parent company, and all 80%-or-more-owned of its U.S. subsidiaries join in the filing of consolidated U.S. federal income tax returns. The statute of limitations is closed for all periods ending through December 31, 2013. All returns for periods ended through December 31, 2014, have been audited by and settled with the Internal Revenue Service (“IRS”).

The IRS is currently conducting examinations of the Company’s U.S. federal income tax returns for the years 2015 through 2018 and 2019 through 2020, including the one-time transition tax enacted under the Tax Cuts and Jobs Act of 2017. If challenged, Corning believes that it is more likely than not to sustain its position relating to these matters. However, if the Company is ultimately unsuccessful in defending its position, the impact could be material to its consolidated financial statements.

Corning Incorporated and its U.S. subsidiaries file income tax returns on a combined, unitary or stand-alone basis in multiple state and local jurisdictions, which generally have statutes of limitations ranging from 3 to 5 years. Various state income tax returns are currently in the process of examination or administrative appeal. The Company does not expect any material proposed adjustments from any of these audits.

Corning’s foreign subsidiaries file income tax returns in the countries where their operations are located. Generally, these countries have statutes of limitations ranging from 3 to 10 years. The statute of limitations is closed through the following years in these major jurisdictions: China (2016), Japan (2014), Taiwan (2020) and South Korea (2009).

Corning Precision Materials, a South Korean subsidiary, is currently appealing certain tax assessments and tax refund claims for tax years 2010 through 2019. The Company was required to deposit the disputed tax amounts with the South Korean government as a condition of its appeal of any tax assessment. During 2023, $99 million was no longer under dispute and was refunded to the Company. The non-current receivable balance was $248 million and $253 million as of December 31, 2025 and December 31, 2024, respectively, for the amount on deposit with the South Korean government. Subsequently, on February 11, 2026, the Company received a final unfavorable ruling relating to a tax dispute for the tax years 2010-2012. As a result, the Company will reduce its receivable balance by approximately $92 million through a noncash charge to the income tax provision in the first quarter of 2026. Despite this ruling, Corning continues to believe that it is more likely than not that the Company will prevail in the appeals process relating to the remaining matters.

16. Shareholders’ Equity

Common Stock Dividends

On February 11, 2026, Corning’s Board of Directors declared a quarterly dividend of $0.28 per share common stock, which will be payable on March 30, 2026.

On February 12, 2025, May 1, 2025, June 25, 2025 and October 8, 2025, Corning’s Board of Directors declared a quarterly dividend of $0.28 per share of common stock, which was paid on March 28, 2025, June 27, 2025, September 29, 2025 and December 12, 2025.

Fixed Rate Cumulative Convertible Preferred Stock, Series A

The Company had 2,300 outstanding shares of Fixed Rate Cumulative Convertible Preferred Stock, Series A (the “Preferred Stock”) as of December 31, 2020 held by Samsung Display Co., Ltd. (“SDC”). On January 16, 2021, the Preferred Stock became convertible into 115 million common shares. On April 5, 2021 Corning and SDC executed the Share Repurchase Agreement (“SRA”), and the Preferred Stock was fully converted as of April 8, 2021. Immediately following the conversion, Corning repurchased and retired 35 million of the common shares held by SDC for an aggregate purchase price of approximately $1.5 billion, of which approximately $507 million was paid in April in each of 2023, 2022 and 2021.

Pursuant to the SRA, with respect to the remaining 80 million common shares outstanding held by SDC, 58 million common shares are subject to a seven-year lock-up period expiring in 2027. The remaining 22 million common shares can be offered to be sold to Corning in specified tranches from time to time in calendar years 2024 through 2027. Corning may, at its sole discretion, elect to repurchase such common shares. If Corning elects not to repurchase the common shares and SDC sells the common shares on the open market, Corning is required to pay SDC a make-whole payment, subject to a 5% cap of the repurchase proceeds that otherwise would have been paid by Corning. As of December 31, 2025 and 2024, the fair value of the liability associated with this option, measured using Level 2 significant other observable inputs, was not material.

Share Repurchases

In 2019, the Board authorized the repurchase of up to $5.0 billion of additional common stock (“2019 Authorization”), which does not have an expiration date and may be amended or terminated by the Board of Directors at any time without prior notice. As of December 31, 2025, approximately $3.0 billion remains available under the Company’s 2019 Authorization.

During the years ended December 31, 2025 and 2024, the Company repurchased 3.2 million and 4.4 million shares of common stock for approximately $163 million and $165 million, respectively. No shares were repurchased during the year ended December 31, 2023.

16. Shareholders’ Equity (Continued)

The following table presents changes in capital stock (in millions):

			Common stock												Treasury stock
			Shares						Par value						Shares						Cost
Balance as of December 31, 2022			1,820						$	910					(977)						$	(20,532)
Shares issued to benefit plans and for option exercises			11						6
Other, net (1)															(3)						(105)
Balance as of December 31, 2023			1,831						$	916					(980)						$	(20,637)
Shares issued to benefit plans and for option exercises			10						5
Shares purchased for treasury, net															(4)						(163)
Other, net (1)															(3)						(82)
Balance as of December 31, 2024			1,841						$	921					(987)						$	(20,882)
Shares issued to benefit plans and for option exercises			8						3
Shares purchased for treasury															(3)						(163)
Other, net (1)															(2)						(98)
Balance as of December 31, 2025			1,849						$	924					(992)						$	(21,143)

(1)Includes the deemed surrender to the Company of common stock to satisfy employee tax withholding obligations.

16. Shareholders’ Equity (Continued)

Accumulated Other Comprehensive Loss

The following table presents the changes in the components of accumulated other comprehensive loss, including the proportionate share of equity method investees’ accumulated other comprehensive loss (in millions) (1):

			Foreign currency translation adjustments and other						Unamortized actuarial gains (losses) and prior service (costs) credits						Net unrealized losses on investments						Realized and unrealized gains (losses) on derivatives						Accumulated other comprehensive loss
Balance as of December 31, 2022			$	(1,712)					$	(118)					$	(3)					$	3					$	(1,830)
Other comprehensive (loss) income before reclassifications (2)			$	(235)					$	1											$	71					$	(163)
Amounts reclassified from accumulated other comprehensive loss (5)									(25)												(35)						(60)
Equity method affiliates (6)			5																								5
Net current-period other comprehensive (loss) income			(230)						(24)						—						36						(218)
Balance as of December 31, 2023			$	(1,942)					$	(142)					$	(3)					$	39					$	(2,048)
Other comprehensive (loss) income before reclassifications (3)			$	(713)					$	192											$	(45)					$	(566)
Amounts reclassified from accumulated other comprehensive loss (5)			145						(8)												(46)						91
Equity method affiliates (6)			(20)																								(20)
Net current-period other comprehensive (loss) income			(588)						184						—						(91)						(495)
Balance as of December 31, 2024			$	(2,530)					$	42					$	(3)					$	(52)					$	(2,543)
Other comprehensive income (loss) before reclassifications (4)			$	361					$	(18)											$	112					$	455
Amounts reclassified from accumulated other comprehensive loss (5)									(31)												(8)						(39)
Equity method affiliates (6)			22																								22
Net current-period other comprehensive (loss) income			383						(49)						—						104						438
Balance as of December 31, 2025			$	(2,147)					$	(7)					$	(3)					$	52					$	(2,105)

(1)All amounts are after tax. Amounts in parentheses indicate debits to accumulated other comprehensive loss.

(2)Amounts are net of total tax benefit of $19 million, primarily driven by $12 million and $8 million related to foreign currency translation adjustments and the hedging component, respectively, offset by negative impacts of $1 million related to retirement plans.

(3)Amounts are net of total tax benefit of $21 million, primarily driven by $50 million and $29 million related to foreign currency translation adjustments and the hedging component, respectively, offset by negative impacts of $58 million related to retirement plans.

(4)Amounts are net of total tax provision of $13 million, primarily driven by $35 million related to hedging component, offset by positive impacts of $17 million and $5 million related to foreign currency translation adjustments and retirement plans, respectively.

(5)Tax effects of reclassifications are disclosed in the following table.

(6)Tax effects related to equity method affiliates are not significant in the reported periods.

16. Shareholders’ Equity (Continued)

The following table presents reclassifications out of accumulated other comprehensive loss (“AOCI”) by component (in millions) (1):

			Amount reclassified from AOCI																		Affected line item on the consolidated statements of income
			Year ended December 31
Details about AOCI Components			2025						2024						2023
Release of cumulative translation losses (2)									$	(145)											Other (expense) income, net
																					Provision for income taxes
			$	—					$	(145)					$	—
Amortization of net actuarial gains (3)			$	38					$	48					$	39					Other (expense) income, net
Amortization of prior service credit (cost) (3)			3						(38)						(1)						Other (expense) income, net
			41						10						38
			(10)						(2)						(13)						Provision for income taxes
			$	31					$	8					$	25
Realized gains on designated hedges			$	(5)					$	47					$	49					Cost of sales
			13						(1)						(3)						Other (expense) income, net
			8						46						46
			—						—						(11)						Provision for income taxes
			$	8					$	46					$	35
Total reclassifications for the period			$	39					$	(91)					$	60

(1)Amounts in parentheses indicate debits to the consolidated statements of income.

(2)For the year ended December 31, 2024, amount relates to the recognition of non-cash cumulative foreign currency translation losses related to the substantial liquidation and disposition of foreign entities, which was recorded in other (expense) income, net on the consolidated statements of income.

(3)These accumulated other comprehensive loss components are included in net periodic pension cost. Refer to Note 11 (Employee Retirement Plans) in the notes to the consolidated financial statements for additional details.

17. Earnings Per Common Share

Basic earnings per common share are computed by dividing net income attributable to Corning Incorporated by the weighted-average number of common shares outstanding for the period. Diluted earnings per common share assumes the issuance of common shares for all potentially dilutive securities outstanding.

The following table presents the reconciliation of the amounts used to compute basic and diluted earnings per common share (in millions, except per share amounts):

			Year ended December 31,
			2025						2024						2023
Net income attributable to Corning Incorporated			$	1,596					$	506					$	581
Weighted-average common shares outstanding - basic			855						853						848
Effect of dilutive securities:
Stock options and other awards			16						16						11
Weighted-average common shares outstanding - diluted			871						869						859
Basic earnings per common share			$	1.87					$	0.59					$	0.69
Diluted earnings per common share			$	1.83					$	0.58					$	0.68
Anti-dilutive potential shares excluded from diluted earnings per common share:
Stock options and other awards			0						0						2
Total			0						0						2

18. Reportable Segments

As of January 1, 2025, the Company began managing its Automotive Glass Solutions business together with its Environmental Technologies business, forming its Automotive segment, and its Display Technologies segment was renamed to “Display.”

The segment information presented below has been recast for the comparative periods presented for the Automotive segment.

The Company has determined that it has five reportable segments for financial reporting purposes, organized primarily based on product offerings, as follows:

• Optical Communications – manufactures carrier network and enterprise network components for the telecommunications industry; the carrier network group consists primarily of products and solutions for optical-based communications infrastructure for services such as video, data and voice communications; the enterprise network group consists primarily of optical-based communication networks, including hyperscale data centers, sold to businesses, governments and individuals for their own use.

• Display – manufactures high quality glass substrates for flat panel displays, including liquid crystal displays and organic light-emitting diodes that are used primarily in televisions, notebook computers, desktop monitors, tablets and handheld devices.

• Specialty Materials – manufactures products that provide material formulations for glass, glass ceramics and crystals, as well as precision metrology instruments and software to meet demand for unique customer needs across a wide variety of commercial and industrial markets, including materials optimized for mobile consumer electronics, semiconductor equipment optics and consumables, aerospace and defense optics, radiation shielding products, sunglasses and telecommunications components.

• Automotive – manufactures ceramic substrates and filter products for emissions control systems in mobile applications; as well as technical glass and optic products and solutions for the interior and exterior of vehicles.

• Life Sciences – develops, manufactures, and supplies laboratory products, including labware, equipment, media, serum and reagents, enabling workflow solutions for drug discovery and bioproduction.

All other businesses that do not meet the quantitative threshold for separate reporting have been grouped as Hemlock and Emerging Growth Businesses. This group is primarily comprised of the results of HSG, a leading provider of high-purity polysilicon products for the solar power and electronics industries, and our businesses that transform polysilicon into solar wafers and solar modules. Additionally, this group includes Pharmaceutical Technologies, the Emerging Innovations Group, and other businesses and certain corporate investments.

The chief operating decision maker (“CODM”) of the Company is the Company’s chief executive officer. The CODM assesses performance and decides how to allocate resources, including employees, financial or capital resources, based on segment net income (loss), which includes certain corporate overhead allocations directly attributable to each of the segments. The CODM considers actual-to-actual variances on a quarterly basis when making decisions about allocating capital and other resources to the segments and to assess the performance for each segment.

Financial results for the reportable segments and Hemlock and Emerging Growth Businesses are prepared on a basis consistent with the internal disaggregation of financial information to assist the CODM in making internal operating decisions. As a significant portion of segment revenues and expenses are denominated in currencies other than the U.S. dollar, management believes it is important to understand the impact on segment net sales and segment net income of translating these currencies into U.S. dollars. Therefore, the Company utilizes constant-currency reporting for the Optical Communications, Display, Specialty Materials, Automotive and Life Sciences segments to exclude the impact on segment sales and segment net income from the Japanese yen, South Korean won, Chinese yuan, New Taiwan dollar, Mexican peso and euro, as applicable to the segment. The Company believes that the use of constant-currency reporting allows management to understand our results without the volatility of currency fluctuation, analyze underlying trends in the businesses and establish operational goals and forecasts. The most significant constant-currency adjustment relates to the Japanese yen exposure within the Display segment.

The constant-currency rates established for core performance measures are long-term management-determined rates, which are closely aligned with the Company’s hedging instrument rates. These hedging instruments may include, but are not limited to, foreign exchange forward or option contracts and foreign-denominated debt. Effective January 1, 2025, management updated the constant-currency rates and the updated rates were applied prospectively beginning with reporting periods in 2025. Comparative results were not recast and are reported based on the 2024 and 2023 rates.

18. Reportable Segments (Continued)

Constant-currency rates used are as follows and are applied to the respective periods presented and to all foreign exchange exposures during the period, even though the Company may be less than 100% hedged:

Currency						Japanese yen						South Korean won						Chinese yuan						New Taiwan dollar						Mexican peso						Euro
2023 - 2024 Rate						¥107						₩1,175						¥6.7						NT$31						MX$20						€0.81
2025 Rate						¥120						₩1,250						¥6.9						NT$31						MX$21						€0.88

In addition, certain income and expenses are excluded from segment net income (loss) and included in the unallocated amounts in the reconciliation of reportable segment net income to net income. These items are not used by the CODM in allocating resources or evaluating the results of the segments and include the following: the impact of translating foreign denominated debt, the impact of the translated earnings contracts, acquisition-related costs, certain discrete tax items and other tax-related adjustments, restructuring, impairment and other charges and credits, certain litigation, regulatory and other legal matters, pension mark-to-market adjustments and other items which do not reflect the ongoing operating results of the segment. Although these amounts are excluded from segment results, they are included in reported consolidated results.

Corning’s administrative and staff functions are performed on a centralized basis and such costs and expenses are allocated among the segments differently than they would be for stand-alone financial reporting purposes. These include certain costs and expenses of shared services, such as information technology, human resources, legal, finance and supply chain management. Expenses that are not allocated to the segments are included in the reconciliation of reportable segment net income (loss) to net income. Segment net income (loss) may not be consistent with measures used by other companies.

18. Reportable Segments (Continued)

The following provides selected segment information as described above:

Segment Information (in millions)

			Optical Communications						Display						Specialty Materials						Automotive						Life Sciences						Hemlock and Emerging Growth Businesses						Total
For the year ended December 31, 2025
Segment net sales			$	6,274					$	3,697					$	2,211					$	1,794					$	972					$	1,460					$	16,408
Less:
Research, development and engineering expenses (1)			308						97						277						146						25						92						945
Depreciation (2)			271						421						159						163						61						150						1,225
Other segment items (3)			4,343						1,927						1,310						1,133						809						1,237						10,759
Income tax provision (4)			304						259						98						74						16						7						758
Segment net income (loss)			$	1,048					$	993					$	367					$	278					$	61					$	(26)					$	2,721
Investment in affiliated companies, at equity			$	5					$	99					$	15					$	—					$	—					$	183					$	302
Segment assets (5)			$	4,029					$	6,685					$	2,551					$	2,395					$	795					$	3,409					$	19,864
Capital expenditures			$	459					$	302					$	192					$	76					$	24					$	234					$	1,287
For the year ended December 31, 2024
Segment net sales			$	4,657					$	3,872					$	2,018					$	1,846					$	979					$	1,097					$	14,469
Less:
Research, development and engineering expenses (1)			274						110						253						163						22						105						927
Depreciation (2)			267						446						153						174						67						112						1,219
Other segment items (3)			3,330						2,047						1,283						1,178						810						815						9,463
Income tax provision (4)			174						263						69						70						17						23						616
Segment net income			$	612					$	1,006					$	260					$	261					$	63					$	42					$	2,244
Investment in affiliated companies, at equity			$	4					$	90					$	15					$	—					$	—					$	181					$	290
Segment assets (5)			$	3,506					$	6,596					$	2,489					$	2,366					$	800					$	1,869					$	17,626
Capital expenditures			$	193					$	256					$	107					$	65					$	15					$	161					$	797
For the year ended December 31, 2023
Segment net sales			$	4,012					$	3,532					$	1,865					$	1,893					$	959					$	1,319					$	13,580
Less:
Research, development and engineering expenses (1)			238						102						229						157						33						104						863
Depreciation (2)			263						481						149						164						69						109						1,235
Other segment items (3)			2,903						1,887						1,232						1,205						794						947						8,968
Income tax provision (4)			130						220						53						77						13						48						541
Segment net income			$	478					$	842					$	202					$	290					$	50					$	111					$	1,973
Investment in affiliated companies, at equity			$	3					$	105					$	11					$	—					$	3					$	174					$	296
Segment assets (5)			$	3,241					$	7,899					$	2,476					$	2,480					$	782					$	1,700					$	18,578
Capital expenditures			$	176					$	363					$	175					$	79					$	41					$	255					$	1,089

(1)Research, development and engineering expenses include direct project spending that is identifiable to a segment.

(2)Depreciation expense includes an allocation of depreciation or corporate property not specifically identifiable to a segment.

(3)Other segment items for each reportable segment and Hemlock and Emerging Growth Businesses primarily include the cost of materials, salaries, wages and benefits, including variable compensation, and selling, general and administrative expenses.

(4)Income tax provision reflects a tax rate of 21%.

(5)Segment assets include inventory, accounts receivable, property, plant and equipment, net of accumulated depreciation, and associated equity companies.

18. Reportable Segments (Continued)

The following table presents a reconciliation of net sales of reportable segments to consolidated net sales (in millions):

			Year ended December 31,
			2025						2024						2023
Net sales of reportable segments			$	14,948					$	13,372					$	12,261
Net sales of Hemlock and Emerging Growth Businesses			1,460						1,097						1,319
Impact of constant-currency reporting (1)			(779)						(1,309)						(992)
Impairment of upfront fees to a customer (2)									(42)
Consolidated net sales			$	15,629					$	13,118					$	12,588

(1)This amount primarily represents the impact of foreign currency adjustments in the Display segment.

(2)Amount represents non-cash charges to write-down upfront payments made to a customer. Refer to Note 2 (Restructuring, Impairment and Other Charges and Credits) to the consolidated financial statements for additional information.

The following table presents a reconciliation of net income of reportable segments to consolidated net income (in millions):

			Year ended December 31,
			2025						2024						2023
Net income of reportable segments			$	2,747					$	2,202					$	1,862
Net (loss) income of Hemlock and Emerging Growth Businesses			(26)						42						111
Unallocated amounts:
Impact of constant-currency reporting			(665)						(989)						(744)
Translated earnings contract gain, net			150						83						161
Translation (loss) gain on foreign denominated debt, net			(52)						104						100
Litigation, regulatory and other legal matters			(63)						(12)						(61)
Research, development, and engineering expense (1)(2)			(159)						(151)						(162)
Amortization of intangibles			(110)						(121)						(122)
Interest expense, net			(260)						(248)						(244)
Income tax benefit			448						395						373
Pension mark-to-market			(33)						(3)						(15)
Severance charges (2)			(26)						(45)						(187)
Capacity optimization and other charges and credits (3)			(23)						(362)						(284)
Loss on sale of business			(11)						(31)
Other corporate items			(175)						(272)						(140)
Net income			$	1,742					$	592					$	648

(1)Amount does not include research, development and engineering expense related to restructuring, impairment and other charges and credits and pension mark-to-market.

(2)Refer to Note 2 (Restructuring, Impairment and Other Charges and Credits) for additional information.

(3)Amount includes charges associated with impairment losses, asset write-offs, accelerated depreciation, disposal costs, inventory write-downs and non-cash charges to write-down upfront payments made to a customer. Refer to Note 2 (Restructuring, Impairment and Other Charges and Credits) for additional information.

18. Reportable Segments (Continued)

The following table presents a reconciliation of total assets of reportable segments to consolidated total assets (in millions):

			December 31,
			2025						2024						2023
Total assets of reportable segments			$	16,455					$	15,757					$	16,878
Total assets of Hemlock and Emerging Growth Businesses			3,409						1,869						1,700
Unallocated amounts:
Current assets (1)			3,060						2,881						2,522
Investments (2)			210						104						119
Property, plant and equipment, net (3)			1,139						1,133						1,038
Other non-current assets (4)			6,703						5,991						6,243
Total assets			$	30,976					$	27,735					$	28,500

(1)Includes cash, other receivables, prepaid expenses and current portion of long-term derivative assets.

(2)Represents other corporate investments.

(3)Represents corporate property not specifically identifiable to an operating segment.

(4)Includes goodwill, other intangible assets, pension assets, long-term derivative assets, right of use assets and deferred income taxes.

18. Reportable Segments (Continued)

The following table presents selected financial information about the Company’s product lines and reportable segments (in millions):

			Year ended December 31,
Revenue from external customers			2025						2024						2023
Optical Communications
Carrier network			$	3,079					$	2,678					$	2,686
Enterprise network			3,195						1,979						1,326
Total Optical Communications			6,274						4,657						4,012
Display			3,697						3,872						3,532
Specialty Materials
Corning® Gorilla® Glass			1,386						1,224						1,136
Advanced optics and other specialty glass			825						794						729
Total Specialty Materials			2,211						2,018						1,865
Automotive
Auto, Glass and other			1,266						1,279						1,250
Diesel			528						567						643
Total Automotive			1,794						1,846						1,893
Life Sciences
Labware			469						490						487
Cell culture products			503						489						472
Total Life Science			972						979						959
Hemlock and Emerging Growth Businesses
Polycrystalline Silicon			955						865						1,014
Other			505						232						305
Total Hemlock and Emerging Growth Businesses			1,460						1,097						1,319
Net sales of reportable segments			14,948						13,372						12,261
Net sales of Hemlock and Emerging Growth Businesses			1,460						1,097						1,319
Impact of constant-currency reporting (1)			(779)						(1,309)						(992)
Impairment of upfront fees to a customer (2)									(42)
Consolidated net sales			$	15,629					$	13,118					$	12,588

(1)This amount primarily represents the impact of foreign currency adjustments in the Display segment.

(2)Amount represents non-cash charges to write-down upfront payments made to a customer. Refer to Note 2 (Restructuring, Impairment and Other Charges and Credits) for additional information.

18. Reportable Segments (Continued)

The following table presents information relating to the Company’s operations by geographic area (in millions):

			2025												2024												2023
			Net sales (1)						Long-lived assets (2)						Net sales (1)						Long-lived assets (2)						Net sales (1)						Long-lived assets (2)
North America:
United States			$	6,760					$	10,242					$	5,172					$	8,617					$	4,439					$	8,698
Canada			236						86						256						83						317						95
Mexico			109						216						127						203						84						211
Total North America			7,105						10,544						5,555						8,903						4,840						9,004
Asia Pacific:
Japan			682						26						688						125						667						388
Taiwan			1,032						1,322						1,019						1,281						855						1,515
China			4,971						4,422						4,694						4,291						4,439						4,575
Korea			420						2,806						486						2,671						418						3,092
Other			541						83						424						88						620						88
Total Asia Pacific			7,646						8,659						7,311						8,456						6,999						9,658
Europe:
Germany			463						419						494						400						535						464
Other			949						881						926						827						998						956
Total Europe			1,412						1,300						1,420						1,227						1,533						1,420
All Other			245						22						183						27						208						53
Total			$	16,408					$	20,525					$	14,469					$	18,613					$	13,580					$	20,135

(1)Net sales are attributed to countries based on location of customer.

(2)Long-lived assets primarily include investments, plant and equipment, goodwill and other intangible assets.