Textron (TXT) 10-K risk factor changes: FY2025 vs FY2024

During [removed: 2024,] [added: 2025,] we derived approximately [removed: 25%] [added: 27%] of our revenues from sales to a variety of U.S. Government entities.

Further uncertainty with respect to ongoing programs could also result in the event that the U.S. Government finances its operations through temporary funding measures such as “continuing resolutions” rather than full-year appropriations or [removed: if] [added: when] a government shutdown [removed: were to occur] [added: occurs] and [removed: were to continue] [added: continues] for an extended period of time.

[added: A loss of such revenues could materially] and adversely impact our results of operations and financial condition.

In the event of termination for the U.S. Government’s convenience, contractors are generally protected by provisions covering reimbursement for costs incurred on the contracts and profit on those [removed: costs but not the anticipated profit that would have been earned had the contract been completed.][added: costs.]

Additionally, fixed-price contracts generally require progress payments rather than performance-based payments which can delay our ability to recover a significant amount of costs [added: incurred on a contract and thus affect the timing of our cash flows.]

In particular, the success of [added: the business activities and research and development initiatives begun at] Textron eAviation depends in large part, on our ability to develop and certify new electric and hybrid electric aircraft products in order to achieve our long-term strategy of offering a family of sustainable aircraft for urban air mobility, general aviation, cargo and special mission roles.

We cannot be sure that our competitors will not develop competing technologies which gain superior market acceptance compared to our [added: products.]

In addition, changes in laws or policies governing the terms of foreign trade, [removed: and in particular] [added: including] increased trade restrictions, tariffs or taxes on imports from countries where we manufacture or sell our products or from where we import products or raw materials (either directly or through our suppliers) could adversely impact our competitive position, business operations [removed: and] [added: or] financial results.

Our information technology (IT) and related systems are critical to the efficient operation of our business and essential to our ability to perform [removed: day to day] [added: day-to-day] processes.

[removed: The] [added: These] threats [removed: we face vary] [added: include advanced, persistent threats] from [removed: those common to most industries, to attacks by more advanced and persistent,] highly organized adversaries, including [added: cybercrime syndicates,] nation state [removed: actors,] [added: actors and hacktivists,] which target us for the national security information in our possession, for our role in developing advanced technology systems or with the goal of committing fraudulent activity.

During [removed: 2024,] [added: 2025,] we derived approximately [removed: 29%] [added: 31%] of our revenues from international business, including U.S. exports.

[removed: Risks related to international operations include import, export, economic sanctions and other trade restrictions;] changing U.S. and foreign procurement policies and practices; changes in international trade policies, including higher tariffs on imported goods and materials and renegotiation of free trade agreements; potential retaliatory tariffs imposed by foreign countries against U.S. goods; impacts on our non-U.S. suppliers and customers due to acts of war or terrorism occurring internationally; restrictions on technology transfer; difficulties in protecting intellectual property; increasing complexity of employment and environmental, health and safety regulations; foreign investment laws; exchange controls; repatriation of earnings or cash settlement challenges; compliance with increasingly rigorous data privacy and protection laws; competition from foreign and multinational firms with home country advantages; economic and government instability; acts of industrial espionage, acts of war and terrorism and related safety concerns.

[added: The occurrence of any of] these events could materially increase our costs and expenses and have a material adverse effect on our business, financial condition and results of operations.

Under certain circumstances, the CPSC has in the past and could [removed: require] in the future [added: require] us to repair, replace or refund the purchase price of one or more of our products, or potentially even discontinue entire product lines.

Increased worldwide public awareness and concern regarding global climate change has resulted and is likely to continue to result in more legislative and regulatory efforts, in the U.S., the European Union and in other jurisdictions in which we operate, [removed: in an effort] to address the negative impacts of climate change.

Our competitors may develop these technologies and products before we do and they may be deemed by our customers to be superior to technologies and products we [removed: may develop, and they may otherwise gain industry acceptance in advance of, or instead of, our products.]

Approximately [removed: 7,400,] [added: 7,700,] or [removed: 28%,] [added: 29%,] of our U.S. employees are represented by labor unions under various collective bargaining agreements with varying durations and expiration dates, and many of our non-U.S. employees are represented by organized councils.

[removed: From time to time, our] [added: Our] collective bargaining agreements expire [added: in accordance with their terms] and are subject to renegotiation at that time.

If we [added: again] experience any extended interruption of operations at any of our facilities as a result of labor disputes, strikes or other work stoppages, our business, financial condition or results of operations could be adversely affected.

The MV-75 program at Bell represents a significant and growing portion of our U.S. Government revenues and backlog.

Bell has significantly increased and will continue to increase its investments in the resources, facilities and personnel applied to the MV-75 program.

In particular, a material reduction or delay in funding of the MV-75 program could have a material adverse effect on our cash flows, results of operations and financial condition.

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However, contractors are not automatically entitled to reimbursement for capital investments made for production facilities and other resources necessary to accommodate a large program such as the MV-75 or for the anticipated profit that would have been earned had the contract been completed.

New laws, regulations or procurement requirements or changes to current ones (including, for example, regulations related to cybersecurity and the recently issued Executive Order relating to underperformance of U.S. defense contracts, investment in defense production capacity and possible limitations on dividends and share buybacks) can significantly increase our costs, thereby reducing our profitability or otherwise adversely impacting our results of operations, financial condition, or shareholder returns.

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Artificial intelligence technologies have developed rapidly and our business may be adversely affected if we cannot successfully

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integrate the technology into our internal business processes and product and service offerings in a timely, cost-effective, compliant and responsible manner.

Global macroeconomic conditions could negatively impact our business.

Global macroeconomic conditions have negatively impacted our business in the past and could in the future negatively impact our business.

In particular, recent changes to global tariff policies have created significant uncertainty with respect to trade policies, treaties and tariffs.

Our aircraft products, subassemblies, parts and components manufactured in Canada and Mexico are largely qualified under the rules of the United States-Mexico-Canada Agreement (USMCA) for preferential treatment on tariffs imposed by the U.S. on imports from Canada and Mexico.

In 2026, the USMCA is subject to a mandatory six-year joint review, during which the United States, Canada, and Mexico will assess whether the agreement continues to serve their respective economic and strategic interests.

There can be no assurance that this review will conclude with the continuation of the trilateral agreement in its current form or at all.

The termination of the agreement or renegotiation of the agreement with terms less favorable to us could result in the loss or reduction of preferential tariff treatment which could increase our costs and create compliance and supply-chain disruption risks.

These developments could adversely impact us, our distributors, customers, subcontractors or suppliers, which could have a

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material adverse effect on our financial position, results of operations or cash flows.

See Management's Discussion and Analysis of Financial Condition and Results of Operations for further discussion of the impact of these tariffs.

The threats we face are continuous, evolving and vary in degree of severity and sophistication.

Some of these threats are related to the geopolitical environment and have, therefore, grown in number and changed in focus due to recent and evolving conflicts.

Risks related to international operations include import, export, economic sanctions and other trade restrictions;

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may develop, and they may otherwise gain industry acceptance in advance of, or instead of, our products.

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A loss of such revenues could materially

New laws, regulations or procurement requirements or changes to current ones (including, for example, regulations related to cybersecurity) can significantly increase our costs, reducing our profitability.

incurred on a contract and thus affect the timing of our cash flows.

products.

Risks arising from uncertainty in global macroeconomic conditions may harm our business.

We are sensitive to global macroeconomic conditions.

The occurrence of any of

Financial highlights for [removed: 2024] [added: 2025] also include:

- Generated [removed: $1.0] [added: $1.3] billion of net cash from operating activities from our manufacturing businesses.

- Invested [removed: $491] [added: $521] million in research and development projects and [removed: $364] [added: $383] million in capital expenditures.

- Returned [removed: $1.1 billion] [added: $822 million] to our shareholders through the repurchase of [removed: 12.9] [added: 10.7] million shares of our common stock.

A discussion of our financial condition and operating results for [removed: 2024] [added: 2025] compared with [removed: 2023] [added: 2024] is provided below, while a discussion of [removed: 2023] [added: 2024] compared with [removed: 2022] [added: 2023] can be found in Item 7.

Management’s Discussion and Analysis of Financial Condition and Results of Operations of our Annual Report on Form 10-K for the year ended December [removed: 30, 2023.][added: 28, 2024.]

| *(Dollars in millions)* | | | [removed: 2024] [added: 2025] | | | [removed: 2023] [added: 2024] | | | [removed: 2022] [added: 2023] | | | [removed: 2024] [added: 2025] | | | [removed: 2023] [added: 2024] | | |

| Revenues | | | $ | [removed: 13,702] [added: 14,799] | | $ | [removed: 13,683] [added: 13,702] | | $ | [removed: 12,869] [added: 13,683] | | [removed: —%] [added: 8%] | | | [removed: 6%] [added: —%] | | |

| Cost of sales | | | [removed: 11,200] [added: 12,104] | | | [removed: 10,835] [added: 11,200] | | | [removed: 10,199] [added: 10,835] | | | [removed: 3%] [added: 8%] | | | [removed: 6%] [added: 3%] | | |

| Gross margin as a [removed: percentage] [added: %] of Manufacturing revenues | | | [removed: 18.0%] [added: 17.8%] | | | [removed: 20.5%] [added: 18.0%] | | | [removed: 20.4%] [added: 20.5%] | | | | | | | | |

| Research and development costs | | | [removed: 491] [added: $] | [added: 521] | | [removed: 570] [added: $] | [added: 491] | | [removed: 601] [added: $] | [added: 570] | | [removed: (14)%] [added: 6%] | | | [removed: (5)%] [added: (14)%] | | |

| Selling and administrative expense | | | [removed: 1,156] [added: 1,173] | | | [removed: 1,225] [added: 1,156] | | | [removed: 1,186] [added: 1,225] | | | [removed: (6)%] [added: 1%] | | | [removed: 3%] [added: (6)%] | | |

| Interest expense, net | | | [removed: 97 | | | 77 | | | 107] [added: 18] | | | [removed: 26%] [added: 19] | | | [removed: (28)%] [added: 15] | | |

| Special charges | | | [removed: 78] [added: 4] | | | [removed: 126] [added: 78] | | | [removed: —] [added: 126] | | | [removed: (38)%] [added: (95)%] | | | [removed: 100%] [added: (38)%] | | |

| Non-service components of pension and postretirement income, net | | | [removed: 263] [added: 266] | | | [removed: 237] [added: 263] | | | [removed: 240] [added: 237] | | | [removed: 11%] [added: 1%] | | | [removed: (1)%] [added: 11%] | | |

Revenues increased [removed: $19 million] [added: $1.1 billion] in [removed: 2024,] [added: 2025,] compared with [removed: 2023,] [added: 2024,] largely due to the following factors:

[removed: - Higher Bell revenues of $432 million, largely reflecting higher] [added: Bell’s] military aircraft and support [added: programs] revenues [removed: of $347] [added: increased $570] million, [added: 28%, in 2025, compared with 2024,] primarily due to higher volume on the [removed: FLRAA program, partially offset by lower volume on the V-22 program.][added: MV-75 program and military sustainment programs.]

[removed: Research] [added: The higher research] and development costs [removed: decreased $79 million, 14%, in 2024, compared with 2023,] [added: included an increase of $56 million at Bell,] largely reflecting [added: lower costs in 2024 due to] the [removed: winddown] [added: wind down] of the Future Attack Reconnaissance Aircraft [removed: Program at the Bell segment,] [added: program,] partially offset by a [removed: $17] [added: decrease of $21] million [removed: increase] at the Textron eAviation segment, [removed: largely] due to [removed: development efforts] [added: a reduction in costs] on [removed: hybrid and electric propulsion aircraft.][added: certain development projects.]

In [removed: 2024,] [added: 2025,] interest expense, net increased [removed: $20] [added: $29] million, [removed: 26%,] [added: 30%,] compared with [removed: 2023,] [added: 2024,] primarily due to [removed: an increase in the weighted-average interest rate of our] [added: higher average] debt [added: outstanding] and [removed: $7 million in] lower interest income.

For [removed: 2024, 2023] [added: 2025, 2024] and [removed: 2022,] [added: 2023,] gross interest expense totaled [removed: $146] [added: $164] million, [removed: $133] [added: $146] million and [removed: $129] [added: $133] million, respectively.

Special charges of [added: $4 million,] $78 million and $126 million in [added: 2025,] 2024 and 2023, respectively, [added: largely] include restructuring activities and asset impairment charges as described in Note 15 to the Consolidated Financial Statements on page [removed: [62](#i39696783ec8f49feb6a31e192d6d4341_154).][added: [63](#i3c0d55fa8e084db6954ddb9936482ae9_151).]

Non-service components of pension and postretirement income, net increased by [removed: $26] [added: $3] million, [removed: 11%,] [added: 1%,] in [removed: 2024,] [added: 2025,] compared with [removed: 2023.][added: 2024.]

| | | | [removed: 2024] [added: 2025] | | | [removed: 2023] [added: 2024] | | | [removed: 2022] [added: 2023] | | |

| Effective tax rate | | | [removed: 12.5%] [added: 18.8%] | | | [removed: 15.2%] [added: 12.5%] | | | 15.2% | | |

In 2024, the effective tax rate of 12.5% was lower than the U.S. federal statutory tax rate of 21%, largely due to the favorable impact of research and development credits and the effective settlement of certain tax positions in the fourth quarter of 2024, which is discussed in Note 16 to the Consolidated Financial [removed: Statements on page [63](#i39696783ec8f49feb6a31e192d6d4341_157).][added: Statements.]

In [removed: 2023,] [added: 2025,] the effective tax rate of [removed: 15.2%] [added: 18.8%] was lower than the U.S. federal statutory tax rate of 21%, largely due to the favorable impact of research and development [removed: credits and tax deductions for foreign-derived intangible income.][added: credits.]

For a full reconciliation of our effective tax rate to the U.S. federal statutory tax rate, see Note 16 to the Consolidated Financial Statements on page [removed: [63](#i39696783ec8f49feb6a31e192d6d4341_157).][added: [64](#i3c0d55fa8e084db6954ddb9936482ae9_154).]

Approximately [removed: 25%] [added: 27%] of our [removed: 2024] [added: 2025] revenues were derived from contracts with the U.S. Government, including those under the U.S. Government-sponsored foreign military sales program.

Changes in segment profit for these contracts are typically expressed in terms of volume and mix and contract performance, which includes cumulative catch-up adjustments associated with a) revisions to the transaction price that may reflect contract modifications or changes in assumptions related to award fees and other variable consideration or b) changes in the total estimated costs at completion due to improved or deteriorated operating [removed: performance.][added: performance among other factors.]

| Aircraft | | | $ | [removed: 3,374] [added: 3,922] | | $ | [removed: 3,577] [added: 3,374] | | $ | [removed: 3,387] [added: 3,577] | | [removed: (6)%] [added: 16%] | | | [removed: 6%] [added: (6)%] | | |

| Aftermarket parts and services | | | [removed: 1,910] [added: 2,033] | | | [removed: 1,796] [added: 1,910] | | | [removed: 1,686] [added: 1,796] | | | 6% | | | [removed: 7%] [added: 6%] | | |

| Total revenues | | | [removed: 5,284] [added: 5,955] | | | [removed: 5,373] [added: 5,284] | | | [removed: 5,073] [added: 5,373] | | | [removed: (2)%] [added: 13%] | | | [removed: 6%] [added: (2)%] | | |

| Cost of sales | | | [removed: 4,102] [added: 4,637] | | | [removed: 4,116] [added: 4,102] | | | [removed: 3,905] [added: 4,116] | | | [removed: —%] [added: 13%] | | | [removed: 5%] [added: —%] | | |

| Research and development costs | | | [removed: 208] [added: 214] | | | [removed: 199] [added: 208] | | | [removed: 191] [added: 199] | | | [removed: 5%] [added: 3%] | | | [removed: 4%] [added: 5%] | | |

| Selling and administrative expense | | | [removed: 408] [added: 410] | | | [removed: 409] [added: 408] | | | [removed: 417] [added: 409] | | | —% | | | [removed: (2)%] [added: —%] | | |

| Segment profit | | | $ | [removed: 566] [added: 694] | | $ | [removed: 649] [added: 566] | | $ | [removed: 560] [added: 649] | | [removed: (13)%] [added: 23%] | | | [removed: 16%] [added: (13)%] | | |

| Profit margin | | | [removed: 10.7%] [added: 11.7%] | | | [removed: 12.1%] [added: 10.7%] | | | [removed: 11.0%] [added: 12.1%] | | | | | | | | |

| Backlog | | | $ | [removed: 7,845] [added: 7,724] | | $ | [removed: 7,169] [added: 7,845] | | $ | [removed: 6,387] [added: 7,169] | | [removed: 9%] [added: (2)%] | | | [removed: 12%] [added: 9%] | | |

[removed: Textron Aviation’s revenues] [added: Industrial's cost of sales] decreased [removed: $89] [added: $260] million, [removed: 2%,] [added: 9%,] in [removed: 2024,] [added: 2025] compared with [removed: 2023,] [added: 2024, principally] reflecting [added: the impact from the disposition and] lower volume and [removed: mix of $270 million, which was principally a result of the strike discussed below,] [added: mix,] partially offset by higher [removed: pricing] [added: inflation] of [removed: $181] [added: $44] million.

We delivered [removed: 151] [added: 171] Citation jets and [removed: 127] [added: 146] commercial turboprops in [removed: 2024,] [added: 2025,] compared with [removed: 168] [added: 151] Citation jets and [removed: 153] [added: 127] commercial turboprops in [removed: 2023.][added: 2024.]

In 2025, Textron’s revenues increased 8%, compared with 2024, reflecting the impact of higher volume on the MV-75 program at the Bell segment and higher aircraft and aftermarket parts and services revenues at the Textron Aviation segment.

Segment profit increased 14%, compared with 2024, largely reflecting higher volume and mix at Textron Aviation.

Our backlog increased 5% in 2025 to $18.8 billion, which included a $710 million increase at the Textron Systems segment and a $326 million increase at the Bell segment.

Business Environment

Changes to the United States trade policy have resulted in new or higher tariffs on goods imported from numerous countries, and some countries have imposed retaliatory tariffs on imports from the United States.

We are principally a North American manufacturer and 69% of our 2025 revenues were generated in the U.S. Our aircraft products, subassemblies, parts and components manufactured in Canada and Mexico are largely qualified under the rules of the United States-Mexico-Canada Agreement (USMCA) for preferential treatment on tariffs imposed by the U.S. on imports from Canada and Mexico.

In addition, our operations outside of North America primarily source materials and components from outside of North America and manufacture products for non-U.S. customers.

Many of our businesses also source materials and components from outside of North America.

These businesses have been and will continue to be impacted by these imposed U.S. tariffs.

In order to mitigate these impacts our businesses have been managing, and will continue to manage, pricing and supply chain optimization strategies.

In addition, our aircraft businesses are working through the tariff reconciliation and refund process with the U.S. Government to recover tariff costs that were previously paid related to materials and components that were subsequently determined to be USMCA compliant.

To date, we have not experienced a material adverse impact from these tariffs.

We will continue to evaluate the ongoing impact of these tariffs and any further developments or changes in global tariff policies on our business and financial position.

- Higher Bell revenues of $703 million, due to higher military aircraft and support programs revenues of $570 million, primarily related to the MV-75 program and military sustainment programs, and higher commercial revenues of $133 million.

- Higher Textron Aviation revenues of $671 million, reflecting higher aircraft revenues of $548 million and higher aftermarket parts and services revenues of $123 million.

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- Lower Industrial revenues of $302 million, with $294 million at Textron Specialized Vehicles, largely reflecting the impact from the disposition of the Powersports business in April 2025, as discussed in Note 15 to the Consolidated Financial Statements, and lower volume and mix, primarily in golf products.

Manufacturing group revenues increased $1.1 billion in 2025, compared with 2024, largely reflecting an increase of $1.4 billion in product revenues.

The increase in product revenues in 2025 was partially offset by a decrease of $285 million in service revenues, largely related to the classification of revenues for the MV-75 program, which was service-related prior to the transition of the program to the Engineering and Manufacturing Development phase in the third quarter of 2024 when it became product-related.

In 2025, cost of sales increased $904 million, 8%, compared with 2024, largely due to higher net volume and mix and a $281 million impact from inflation, partially offset by the impact from the disposition of the Powersports business.

Research and development costs increased $30 million, 6%, in 2025, compared with 2024.

Selling and administrative expense increased $17 million, 1%, in 2025, compared with 2024.

The increase included a $21 million impact from inflation, higher share-based compensation expense and lower recoveries at the Finance segment, mostly offset by the impact from the disposition of the Powersports business and a $16 million gain resulting from the early termination of a vendor contract at the Textron Systems segment.

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See the *Critical Accounting Estimates - Revenue Recognition* section in Item 7 for a discussion of the factors that impact our estimated costs.

Textron Aviation’s revenues increased $671 million, 13%, in 2025, compared with 2024, reflecting higher aircraft revenues of $548 million and higher aftermarket parts and services revenues of $123 million.

The increase in aircraft revenues was due to higher volume and mix and higher pricing.

The increase in volume and mix is largely due to higher jet and commercial turboprop volume.

The higher volume and mix also reflects the recovery from the strike that began in the third quarter of 2024 and continued into the fourth quarter of 2024.

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Textron Aviation’s cost of sales increased $535 million, 13%, in 2025, compared with 2024, largely reflecting higher volume and mix and inflation of $167 million.

Textron Aviation’s segment profit increased $128 million, 23%, in 2025, compared with 2024, largely due to higher volume and mix and a favorable impact from manufacturing efficiencies, related to idle facilities costs recognized in 2024 resulting from the strike, partially offset by higher warranty costs.

| *(Dollars in millions)* | | | 2025 | | | 2024 | | | 2023 | | | 2025 | | | 2024 | | |

Commercial helicopters, parts and services revenues increased $133 million, 9%, primarily due to the mix of aircraft sold and higher pricing.

Bell's profit margin decreased 180 basis points, largely reflecting higher volume on lower margin MV-75 development activities and higher research and development costs.

As the MV-75 program continues to accelerate, we expect that we will be awarded the long-lead Low-Rate Initial Production (LRIP) phase of the contract in late 2026 or early 2027.

Upon award of the LRIP option, which is largely fixed price, we expect to record an unfavorable cumulative catch-up program adjustment, reflecting higher costs than originally anticipated from when the program was bid, in the range of $60 million to $110 million.

The overall MV-75 program will continue to generate a positive profit margin after the adjustment.

Bell's backlog increased $326 million, 4%, in 2025, compared with 2024, due to orders in excess of revenues recognized and deliveries.

New orders included a $1.3 billion award for the prototype testing and evaluation phase of the MV-75 program.

In 2024, our operating results were adversely impacted by a strike at the Textron Aviation segment.

On September 21, 2024, the International Association of Machinists and Aerospace Workers (IAM) District 70, Local Lodge 774 called a strike against Textron Aviation.

On October 20, 2024, an agreement was reached on a new five-year labor contract.

As a result, our revenues and profit were unfavorably impacted in the second half of 2024 due to delayed aircraft deliveries and manufacturing inefficiencies associated with the labor disruption and the recovery of operating activities.

At the Industrial segment, we experienced lower revenues and profit in 2024, largely resulting from a decline in demand in our end markets for Textron Specialized Vehicles products.

We are in the process of conducting a strategic review of our powersports product line, as discussed in Note 15 to the Consolidated Financial Statements on page [62](#i39696783ec8f49feb6a31e192d6d4341_154).

At our Bell segment, the ramp up of the FLRAA program contributed to a 14% growth in its revenues for the year.

In August, the U.S. Army announced approval of Milestone B for the FLRAA program, establishing it as a program of record and transitioning it to the Engineering and Manufacturing Development phase.

In the second half of the year, Bell was awarded contracts totaling approximately $3.0 billion for this phase of the program that contributed to a total company backlog increase of $4.0 billion, 29%, to $17.9 billion at the end of 2024.

This backlog increase included growth of $676 million at the Textron Aviation segment, reflecting steady customer demand supported by new products, and $644 million at the Textron Systems segment, which included new contract awards for the Ship-to-Shore Connector program.

In November 2023, the Financial Accounting Standards Board issued Accounting Standard Update (ASU) No. 2023-07, *Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures*, which requires a public entity to disclose, on an annual and interim basis, significant segment expenses and other segment items that are regularly provided to the Chief Operating Decision Maker.

The new standard is effective for fiscal years beginning after December 15, 2023.

We adopted ASU 2023-07 in the fourth quarter of 2024 and have recast management’s discussion and analysis of the results of operations of our company to include a discussion of the additional expense categories.

In connection with the adoption of this standard, research and development costs previously included within Cost of products sold are now reported on a separate line in our Consolidated Statements of Operations.

Prior period amounts have been recast to conform to the new presentation.

- Lower Industrial revenues of $326 million, due to lower revenues of $263 million at Textron Specialized Vehicles, principally in the powersports and personal transportation vehicles product lines due to reduced demand in their end markets, and lower revenues of $63 million at Kautex.

- Lower Textron Aviation revenues of $89 million, reflecting lower volume and mix of $270 million, principally a result of the strike discussed in the Segment Analysis section below, partially offset by higher pricing of $181 million in both the aircraft and aftermarket parts and services product lines.

In 2024, cost of sales increased $365 million, 3%, compared with 2023.

The increase in cost was largely due to a $299 million impact from inflation and higher LIFO inventory provision and a $38 million inventory valuation charge to write down inventory to its net realizable value at Textron Specialized Vehicles as discussed in Note 15 to the Consolidated Financial Statements on page [62](#i39696783ec8f49feb6a31e192d6d4341_154).

Consolidated gross margin as a percentage of Manufacturing revenues decreased 250 basis points in 2024, compared with 2023, primarily due to lower gross margin at the Bell segment, largely due to the mix of contracts discussed above, and at the Textron Aviation segment, reflecting the mix of aircraft sold and manufacturing inefficiencies, largely due to the strike.

In addition, higher LIFO inventory provision and the inventory valuation charge noted above accounted for 80 basis points of the decrease.

Selling and administrative expense decreased $69 million, 6%, in 2024, compared with 2023, primarily reflecting lower compensation expense, which included lower shared-based and incentive compensation and savings from restructuring activities.

The increase is based on our annual valuation at the end of 2023 and is primarily driven by the impact of actual pension asset returns that exceeded our expected return on plan assets.

| | | | | | | | | | | | |

Aircraft revenues decreased $203 million, 6%, due to lower volume and mix, largely from Citation jet and commercial turboprop deliveries, partially offset by higher pricing.

On September 21, 2024, the IAM District 70, Local Lodge 774 called a strike against Textron Aviation.

The strike impacted approximately 5,000 of Textron Aviation’s employees at the manufacturing, parts and distribution and service center facilities in Wichita.

On October 20, 2024, Textron Aviation and the IAM reached an agreement on a new five-year labor contract.

The strike had a significant adverse impact on Textron Aviation’s ability to meet its production and delivery schedules in the third quarter and continuing into the fourth quarter of 2024.

As a result, our revenues and profit were unfavorably impacted in the second half of 2024 by delayed aircraft deliveries and manufacturing inefficiencies associated with the labor disruption and the recovery of operating activities.

Textron Aviation’s cost of sales decreased $14 million in 2024, compared with 2023.

The impact of lower volume and mix on our cost of sales was offset by $127 million of inflation and $43 million in manufacturing inefficiencies, largely reflecting idle facilities costs resulting from the strike discussed above.

Textron Aviation’s segment profit decreased $83 million, 13%, in 2024, compared with 2023, primarily due to lower volume and mix and the manufacturing inefficiencies discussed above, partially offset by higher pricing, net of inflation.

Bell’s military aircraft and support programs include a development contract for the U.S. Army's FLRAA program, as well as production, upgrade, and support contracts for the V-22 tiltrotor aircraft and H-1 helicopters.

The FLRAA program represents an increasing portion of Bell’s revenues as development activities have ramped.

In August 2024, the U.S. Army announced approval of Milestone B for the FLRAA program, establishing it as a program of record and transitioning it to the Engineering and Manufacturing Development phase.

In the second half of 2024, Bell was awarded contracts totaling approximately $3.0 billion for this phase of the program.

Bell’s military and support programs revenues increased $347 million, 20%, in 2024, compared with 2023, primarily due to higher volume on the FLRAA program, partially offset by lower volume on the V-22 program.

Commercial helicopters, parts and services increased $85 million, 6%.

Selling and administrative expense decreased at Bell by $30 million, 12%, in 2024, compared with 2023, primarily due to a gain on a legal settlement recorded in the first quarter of 2024 and lower bid and proposal costs.

The notional amount of outstanding foreign currency exchange contracts was [removed: $464] [added: $477] million and [removed: $478] [added: $464] million at [removed: December 28, 2024] [added: January 3, 2026] and December [removed: 30, 2023,] [added: 28, 2024,] respectively.

We had interest rate swap agreements with a total notional amount of [removed: $289] [added: $264] million at [removed: December 28, 2024] [added: January 3, 2026] and [removed: $210] [added: $289] million at December [removed: 30, 2023,] [added: 28, 2024,] which effectively converted certain floating-rate debt to a fixed-rate equivalent.

| | | | [removed: December 28, 2024] [added: January 3, 2026] | | | | | | | | | December [removed: 30, 2023] [added: 28, 2024] | | | | | | | | |

| Foreign currency exchange contracts | | | $ | [removed: (14)] [added: (4)] | | $ | [removed: (14)] [added: (4)] | | $ | [removed: 31] [added: 34] | | $ | [removed: 1] [added: (14)] | | $ | [removed: 1] [added: (14)] | | $ | [removed: 30] [added: 31] | |

| Debt | | | [removed: (3,164)] [added: (3,459)] | | | [removed: (2,989)] [added: (3,406)] | | | [removed: (49)] [added: (66)] | | | [removed: (3,520)] [added: (3,164)] | | | [removed: (3,342)] [added: (2,989)] | | | [removed: (54)] [added: (49)] | | |

| Finance receivables | | | [removed: 439] [added: 493] | | | [removed: 454] [added: 528] | | | [removed: 9] [added: 12] | | | [removed: 417] [added: 439] | | | [removed: 423] [added: 454] | | | 9 | | |

| Debt | | | [removed: (341)] [added: (339)] | | | [removed: (311)] [added: (312)] | | | — | | | [removed: (348)] [added: (341)] | | | [removed: (293)] [added: (311)] | | | [removed: (1)] [added: —] | | |

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We also may hedge exposures to certain of our foreign currency assets and earnings by funding those asset positions with debt in the same foreign currency so the exposures are naturally offset.

References to [removed: “Textron Inc.,”] [added: “Textron,”] the “Company,” “we,” “our” and “us” in this Annual Report on Form 10-K, unless otherwise indicated, refer to Textron Inc. and its consolidated subsidiaries.

[removed: We conduct] [added: Through 2025, we conducted] our business through six operating segments: Textron Aviation, Bell, Textron Systems, Industrial and Textron eAviation, which represent our manufacturing businesses, and Finance, which represents our captive finance business.

Total revenues for [removed: 2024] [added: 2025] were [removed: $13.7] [added: $14.8] billion and are presented below by segment and customer type.

[removed: ][added: ]

Textron Aviation's business jets include the Cessna Citation M2 Gen2, Citation [removed: CJ3+,] [added: CJ3 Gen2,] Citation CJ4 Gen2, Citation [removed: XLS Gen2,] [added: Ascend,] Citation Latitude and the Citation Longitude.

In [removed: October] 2024, Textron Aviation [removed: introduced] [added: announced] its next generation of light jets, the Citation M2 Gen3, CJ3 Gen3 and CJ4 Gen3, which will include the revolutionary Garmin Emergency Autoland technology.

Currently under development, the [removed: CJ3 Gen2 is expected to enter into service in 2025, the CJ4 Gen3 is expected to enter into service in 2026, and the] M2 [added: Gen3, CJ3] Gen3 and [removed: CJ3] [added: CJ4] Gen3 are expected to enter into service in 2027.

The Beechcraft Denali, a high-performance single engine turboprop aircraft under development, continues toward [removed: FAA] [added: Federal Aviation Administration (FAA)] certification.

The [added: engine that powers the] Denali [removed: will be powered] [added: was certified] by [removed: an engine] [added: the FAA in February 2025 and is] expected to be up to 20% more efficient than similarly sized engines.

Textron Aviation’s piston engine aircraft include the Cessna Skyhawk, Skylane, Turbo [removed: Skylane, Turbo Stationair HD] [added: Skylane] and the [removed: Beechcraft Baron G58 and Bonanza G36.][added: Turbo Stationair HD.]

Bell is a leading [added: worldwide] supplier of military and commercial helicopters, tiltrotor aircraft, and related spare parts and [removed: services in the world.][added: services.]

Bell’s primary U.S. Government programs are for the development of a next generation tiltrotor aircraft for the U.S. Army’s Future Long Range Assault Aircraft [removed: (FLRAA)] [added: program, now designated as the MV-75] program and the production and support of the V-22 tiltrotor aircraft and H-1 helicopters.

The [removed: FLRAA development] [added: MV-75] contract was awarded to Bell in December 2022.

In 2024, the U.S. Army announced approval of Milestone [removed: B for the FLRAA program,] [added: B,] establishing [removed: FLRAA] [added: the MV-75] as a program of record and transitioning the program to the Engineering and Manufacturing Development phase.

This phase includes continued digital modeling, detailed hardware and software design, and fabrication of hardware, as Bell proceeds to critical design review and the first prototype [removed: flight] [added: tests] planned for 2026.

Notable products currently developed and produced by the Textron Systems segment include the Ship-to-Shore Connector, the U.S. Navy's next generation of Landing Craft Air Cushion vehicles; a family of test and simulation products; the Aerosonde [removed: Small Unmanned Aircraft System, a multi-mission capable] [added: family of] unmanned aircraft [removed: system] [added: systems products, multi-mission capable] for commercial and military operations; [added: armored land vehicles;] and piston aircraft engines under the Lycoming brand.

Notable service offerings of the segment include [removed: fee-for-service programs, using unmanned aircraft systems, and] live military air-to-air and air-to-ship training and support services for U.S. Navy, Marine and Air Force personnel provided by Airborne Tactical Advantage [removed: Company.][added: Company (ATAC) and fee-for-service programs, using unmanned aircraft systems.]

[removed: Our] [added: Kautex's] cleaning systems are comprised of nozzles, reservoirs, inlets and pumps to support onboard cleaning for windscreens, headlamps and ADAS cameras and sensors.

In addition, Kautex produces plastic tanks for selective catalytic reduction systems used to [removed: reduce emissions from diesel engines, and other fuel system components.]

Our Textron Specialized Vehicles businesses manufacture and sell products under our E-Z-GO, [removed: Arctic Cat,] TUG Technologies, Douglas Equipment, Premier, Safeaero, Ransomes, Jacobsen and Cushman brands.

These businesses design, manufacture and sell golf cars; [removed: off-road] utility vehicles; [removed: powersports products;] light transportation vehicles; aviation ground support equipment; professional turf-maintenance equipment; and specialized turf-care vehicles.

A significant portion of the products sold by [removed: these] [added: the Textron Specialized Vehicles] businesses are powered with lithium batteries, [removed: greatly] reducing the products’ impact on the environment.

The diversified customer base for Textron Specialized Vehicles includes golf courses and resorts, government agencies and municipalities, consumers, outdoor enthusiasts, and commercial and industrial users such as factories, warehouses, airlines, planned communities, hunting preserves, educational and corporate campuses, sporting [removed: venues] [added: venues, hotels/resorts] and landscaping professionals.

Our Textron eAviation segment [removed: is] [added: has been] focused on research and development initiatives related to sustainable aviation solutions and includes Pipistrel, a manufacturer of light aircraft.

In 2024, the FAA granted a light-sport aircraft airworthiness exemption for the Pipistrel Velis Electro, allowing flight training in an electric aircraft within the United [removed: States.][added: States, and in late 2025, Transport Canada validated the type certificate for the Pipistrel Explorer, Velis Club and Velis Electro.]

The Textron eAviation segment [removed: is] [added: has] also [added: been] developing both hybrid and electric propulsion aircraft, including Pipistrel's Nuuva V300, a long-range, large-capacity hybrid-electric vertical takeoff and landing [removed: aircraft, and an electric vertical takeoff and landing (eVTOL)] [added: unmanned] aircraft.

A substantial number of the originations in our finance receivable portfolio are cross-border transactions for aircraft sold outside of the U.S. In [removed: 2024] [added: 2025] and [removed: 2023,] [added: 2024,] our Finance group made payments of [removed: $109] [added: $183] million and [removed: $160] [added: $109] million, respectively, to finance the Manufacturing group's sale of Textron-manufactured products to third parties.

Our backlog at the end of [removed: 2024] [added: 2025] and [removed: 2023] [added: 2024] is summarized below:

| *(In millions)* | | | [removed: December 28, 2024] [added: January 3, 2026] | | | December [removed: 30, 2023] [added: 28, 2024] | | |

| Textron Aviation | | | $ | [removed: 7,845] [added: 7,724] | | $ | [removed: 7,169] [added: 7,845] | |

| Bell | | | [removed: 7,469] [added: 7,795] | | | [removed: 4,780] [added: 7,469] | | |

| Textron Systems | | | [removed: 2,594] [added: 3,304] | | | [removed: 1,950] [added: 2,594] | | |

| Total backlog | | | $ | [removed: 17,908] [added: 18,823] | | $ | [removed: 13,899] [added: 17,908] | |

Contracts with the U.S. Government, including contracts under the U.S. Government-sponsored foreign military sales program, generated approximately [removed: 25%] [added: 27%] of our consolidated revenues in [removed: 2024,] [added: 2025,] primarily in our Bell and Textron Systems segments.

[added: These laws and regulations, among other things, require certification and disclosure of all cost and pricing] data in connection with contract negotiation; define allowable and unallowable costs and otherwise govern our right to reimbursement under certain cost-based U.S. Government contracts; and safeguard and restrict the use and dissemination of classified and covered defense information and the export of certain products and technical data.

If, however, the U.S. Government terminates a contract for default, generally: (a) we will be paid the contract price for completed supplies delivered and accepted and services rendered, an agreed-upon amount for manufacturing materials delivered and accepted and for the protection and preservation of property, and an amount for partially completed products accepted by the U.S. Government; (b) the U.S. Government may not be liable for our costs with respect to unaccepted items and may be entitled to repayment of advance payments and progress payments related to the terminated portions of the contract; (c) the U.S. Government may not be liable for assets we own and utilize to provide services under [removed: the] “fee-for-service” contracts; and (d) we may be liable for excess costs incurred by the U.S. Government in procuring undelivered items from another source.

Our commercial aircraft manufacturing businesses are regulated by the FAA in the U.S. and by similar aviation regulatory governing authorities internationally, [removed: including,] [added: including] the European [added: Union] Aviation Safety Agency.

At [removed: December 28, 2024,] [added: January 3, 2026,] we employed approximately 34,000 employees worldwide, with approximately 80% located in the U.S. and the remainder located outside of the U.S. Approximately [removed: 7,400,] [added: 7,700,] or [removed: 28%,] [added: 29%,] of our U.S. employees, most of whom work for our Bell and Textron Aviation segments, are represented by unions under collective bargaining agreements, and certain of our non-U.S. employees are represented by organized works councils.

[removed: Historically,] [added: With the exception of a strike at Textron Aviation which occurred on September 21, 2024 and ended on October 20, 2024,] we have been successful in negotiating renewals to expiring agreements without any material disruption of operating [removed: activities; however, on September 21, 2024, Textron Aviation’s largest union rejected a proposed new contract and initiated a strike.][added: activities.]

We need highly skilled personnel in multiple areas including, among others, engineering, manufacturing, information technology, cybersecurity, flight operations, business development and [removed: strategy and management.]

Effective January 4, 2026, the beginning of our 2026 fiscal year, the business activities of the Textron eAviation segment were realigned within Textron's other operating segments resulting in the elimination of the Textron eAviation segment as a separate reporting segment.

For additional information regarding this segment change, see the *Textron eAviation Segment* section below.

We will begin to report under the new segment reporting structure with the filing of our Quarterly Report on Form 10-Q for the first quarter of 2026.

The Denali is expected to enter into service in 2026.

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In addition, Bell operates the Bell Training Academy (BTA) with its principal location in Fort Worth, Texas and two satellite locations in Singapore and Spain.

The BTA provides technically advanced and fully customizable training solutions for approximately 2,000 pilots and 1,000 maintainers annually, including flight training on Bell-owned aircraft and certified Full Flight Simulators and Flight Training Devices, as well as maintenance training on Bell's production representative maintenance training devices.

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reduce emissions from diesel engines, and other fuel system components.

In addition, our E-Z-GO business refurbishes and sells previously owned golf cars.

Textron Specialized Vehicles products are sold through a network of independent distributors and dealers worldwide as well as factory direct resources.

Under the segment realignment mentioned above, effective at the beginning of our 2026 fiscal year, a significant part of Textron eAviation, including Pipistrel, will become part of the Textron Aviation segment to enable the business to more effectively leverage the development, manufacturing and sales expertise at Textron Aviation.

In addition, Textron eAviation’s manned and unmanned products for military applications and related research and development activities will be included in the results of the Textron Systems segment, which is best suited to provide more direct access to the targeted customer base for these products.

Lastly, certain Textron eAviation research and development activities encompassing digital flight control and air vehicle management systems, which we expect will benefit several of our segments, will be reported within corporate expenses.

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Our collective bargaining agreements expire in accordance with their terms.

Most recently, we successfully renegotiated a collective bargaining agreement with the Bell segment's largest union for a new five-year term.

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strategy and management.

| Lisa M. Atherton | | | 51 | | | President and Chief Executive Officer | | |

On October 22, 2025, Textron's Board of Directors appointed Lisa M.

Atherton as President and Chief Executive Officer and as a member of the Board, effective January 4, 2026.

Ms. Atherton has succeeded Scott C.

Donnelly, who will continue as an executive officer of the Company, serving as Executive Chairman of the Board.

Ms. Atherton joined the Company in 2007 and has held positions of increasing responsibility, most recently as the President and CEO of Bell, a position to which she was appointed in April 2023 after joining Bell as Chief Operating Officer in January 2023.

From 2017 until January 2023, Ms. Atherton led the Company’s Textron Systems segment as its President and CEO.

Mr. Donnelly is the Executive Chairman of the Board.

In July 2010, Mr. Donnelly was

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In addition, Textron Aviation is developing the Citation Ascend, a high-performance midsize business jet, which is continuing to progress through the Federal Aviation Administration's (FAA) certification process and is expected to enter into service in 2025.

Sales are made through a network of independent distributors and dealers worldwide and the Bass Pro Shops and Cabela's retail outlets, which sell our powersports products under the Tracker Off Road brand, as well as factory direct resources.

In addition, we also manufacture powersports products for OEMs for resale to customers under the OEM’s branding.

The Nuuva V300's first hover flight is expected in 2025 and initial testing on the Nexus, a full-scale technology demonstrator eVTOL, is expected to begin in 2025.

These laws and regulations, among other things, require certification and disclosure of all cost and pricing

From time to time, our collective bargaining agreements expire.

The strike impacted approximately 5,000 of Textron Aviation’s employees at its manufacturing, parts and distribution and service center facilities in Wichita, Kansas.

On October 20, 2024, Textron Aviation and the union reached an agreement and a new five-year labor contract was ratified.

We use an annual goal setting

GE’s Aviation business unit is a leading maker of commercial and military jet engines and components, as well as integrated digital, electric power and mechanical systems for aircraft.

Mr. Connor joined Textron in August 2009 as Executive Vice President and Chief Financial Officer.

Previously, Mr. Connor was head of Telecom Investment Banking at Goldman, Sachs & Co. from 2003 to 2008.

Prior to that position, he served as Chief Operating Officer of Telecom, Technology and Media Investment Banking at Goldman, Sachs & Co. from 1998 to 2003.

Mr. Connor joined the Corporate Finance Department of Goldman, Sachs & Co. in 1986 and became a Vice President in 1990 and a Managing Director in 1996.

On October 23, 2024, we announced that Mr. Connor will be retiring effective February 28, 2025.

Mr. Rosenberg, 48, has more than 24 years of experience in the aviation industry.

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For the fiscal year ended [removed: December 28, 2024][added: January 3, 2026]

The aggregate market value of the registrant’s Common Stock held by non-affiliates at June [removed: 29, 2024] [added: 28, 2025] was approximately [removed: $16.0] [added: $14.3] billion based on the New York Stock Exchange closing price for such shares on that date.

At February [removed: 1, 2025, 182,572,762] [added: 7, 2026, 174,162,437] shares of Common Stock were outstanding.

Part III of this Report incorporates information from certain portions of the registrant’s Definitive Proxy Statement for its Annual Meeting of Shareholders to be held on April [removed: 23, 2025.][added: 29, 2026.]

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| [Item [removed: 16.](#i39696783ec8f49feb6a31e192d6d4341_214)] [added: 16.](#i3c0d55fa8e084db6954ddb9936482ae9_211)] | | | [Form 10-K [removed: Summary](#i39696783ec8f49feb6a31e192d6d4341_214)] [added: Summary](#i3c0d55fa8e084db6954ddb9936482ae9_211)] | | | [removed: [75](#i39696783ec8f49feb6a31e192d6d4341_214)] [added: [76](#i3c0d55fa8e084db6954ddb9936482ae9_211)] | | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

For the Fiscal Year Ended January 3, 2026

| [PART I](#i3c0d55fa8e084db6954ddb9936482ae9_10) | | | | | | | | |

| [PART II](#i3c0d55fa8e084db6954ddb9936482ae9_34) | | | | | | | | |

| [PART III](#i3c0d55fa8e084db6954ddb9936482ae9_187) | | | | | | | | |

| [PART IV](#i3c0d55fa8e084db6954ddb9936482ae9_205) | | | | | | | | |

| [Signatures](#i3c0d55fa8e084db6954ddb9936482ae9_214) | | | | | | [77](#i3c0d55fa8e084db6954ddb9936482ae9_214) | | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

| [PART I](#i39696783ec8f49feb6a31e192d6d4341_10) | | | | | | | | |

| [PART II](#i39696783ec8f49feb6a31e192d6d4341_34) | | | | | | | | |

| [PART III](#i39696783ec8f49feb6a31e192d6d4341_190) | | | | | | | | |

| [PART IV](#i39696783ec8f49feb6a31e192d6d4341_208) | | | | | | | | |

| [Signatures](#i39696783ec8f49feb6a31e192d6d4341_217) | | | | | | [76](#i39696783ec8f49feb6a31e192d6d4341_217) | | |

As a U.S. defense contractor, we are required to comply with extensive regulations, including requirements imposed by the Defense Federal Acquisition Regulation Supplement related to adequately safeguarding controlled unclassified information (CUI) and reporting cybersecurity incidents to the U.S. Department of [removed: Defense (DoD).][added: War (DoW).]

[added: We are] required to achieve Cybersecurity Maturity Model Certification [added: (CMMC) for our defense businesses,] which will certify [removed: our] [added: their] compliance with the federally mandated CUI program.

The Board annually receives a comprehensive presentation on information security and controls from our Chief Information Officer (CIO) and, as may be necessary for specific topics, follow up occurs at additional [added: Board] meetings during the course of the year.

Textron Information Services is led by our CIO who has held positions of increasing responsibility within our corporate, Bell and Textron Systems IT organizations since 2008, including leading the IT organizations at both segments in maintaining compliance with the [removed: DoD] [added: DoW] information security requirements, as well as with our enterprise information security policies and standards.

Protections against insider threat is a critical component of our security strategy, particularly within our defense [removed: business units.][added: businesses.]

We have successfully achieved CMMC certification at one defense business and have scheduled formal evaluations for the other defense businesses in 2026.

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

We will also be

On [removed: December 28, 2024,] [added: January 3, 2026,] we operated a total of [removed: 56] [added: 57] plants located throughout the U.S. and [removed: 44] [added: 45] plants outside the U.S. We own [removed: 60] [added: 59] plants and lease the remainder for a total manufacturing space of approximately [removed: 23.6] [added: 23.8] million square feet.

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

The principal market on which our common stock is traded is the New York Stock Exchange under the symbol "TXT." At [removed: December 28, 2024,] [added: January 3, 2026,] there were approximately [removed: 4,800] [added: 4,500] record holders of Textron common stock.

The following provides information about our fourth quarter [removed: 2024] [added: 2025] repurchases of equity securities that are registered pursuant to Section 12 of the Securities Exchange Act of 1934, as amended:

This share repurchase program [removed: has] [added: had] no expiration date.*

The following graph compares the total return on a cumulative basis at the end of each year of $100 invested in our common stock on December 31, [removed: 2019] [added: 2020] with the Standard & Poor’s (S&P) 500 Stock Index, the S&P 500 Aerospace & Defense (A&D) Index and the S&P 500 Industrials Index, all of which include Textron.

[removed: ][added: ]

| | | | [removed: 2019 | | |] 2020 | | | 2021 | | | 2022 | | | 2023 | | | 2024 | | | [added: 2025 | | |]

| September 28, 2025 – November 1, 2025 | | | 390 | | | $ | 80.31 | | 390 | | | 6,841 | | |

| November 2, 2025 – November 29, 2025 | | | 1,450 | | | 81.05 | | | 1,450 | | | 5,391 | | |

| November 30, 2025 – January 3, 2026 | | | 455 | | | 84.96 | | | 455 | | | 4,936 | | |

| Total | | | 2,295 | | | $ | 81.70 | | 2,295 | | | | | |

On February 11, 2026, pursuant to a delegation by our Board of Directors, Textron's Audit Committee approved a program for the repurchase of up to 25 million shares of our common stock.

The new repurchase program has no expiration date and replaced the prior 2023 share repurchase program that had 3.9 million shares remaining available for repurchase.

| Textron Inc. | | | $ | 100.00 | | $ | 159.93 | | $ | 146.84 | | $ | 166.98 | | $ | 158.97 | | $ | 181.10 | |

| S&P 500 | | | 100.00 | | | 128.71 | | | 105.40 | | | 133.10 | | | 166.40 | | | 196.57 | | |

| S&P 500 A&D | | | 100.00 | | | 113.22 | | | 132.89 | | | 141.88 | | | 162.31 | | | 237.57 | | |

| S&P 500 Industrials | | | 100.00 | | | 121.12 | | | 114.48 | | | 135.24 | | | 158.87 | | | 193.29 | | |

| September 29, 2024 – November 2, 2024 | | | 500 | | | $ | 82.32 | | 500 | | | 17,881 | | |

| November 3, 2024 – November 30, 2024 | | | 1,475 | | | 84.88 | | | 1,475 | | | 16,406 | | |

| December 1, 2024 – December 28, 2024 | | | 820 | | | 80.60 | | | 820 | | | 15,586 | | |

| Total | | | 2,795 | | | $ | 83.17 | | 2,795 | | | | | |

| Textron Inc. | | | $ | 100.00 | | $ | 108.62 | | $ | 173.72 | | $ | 159.50 | | $ | 181.37 | | $ | 174.29 | |

| S&P 500 | | | 100.00 | | | 118.40 | | | 152.39 | | | 124.79 | | | 157.59 | | | 199.99 | | |

| S&P 500 A&D | | | 100.00 | | | 83.94 | | | 95.03 | | | 111.54 | | | 119.09 | | | 138.18 | | |

| S&P 500 Industrials | | | 100.00 | | | 111.06 | | | 134.52 | | | 127.15 | | | 150.20 | | | 178.38 | | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

| [Consolidated Statements of Operations for each of the years in the three-year period [removed: ended](#i39696783ec8f49feb6a31e192d6d4341_85) December 28, 2024] [added: ended](#i3c0d55fa8e084db6954ddb9936482ae9_85) January 3, 2026] | | | | | | | | | [removed: [32](#i39696783ec8f49feb6a31e192d6d4341_85)] [added: [33](#i3c0d55fa8e084db6954ddb9936482ae9_85)] | | |

| [Consolidated Statements of Comprehensive Income for each of the years in the three-year period [removed: ended](#i39696783ec8f49feb6a31e192d6d4341_88) December 28, 2024] [added: ended](#i3c0d55fa8e084db6954ddb9936482ae9_88) January 3, 2026] | | | | | | | | | [removed: [33](#i39696783ec8f49feb6a31e192d6d4341_88)] [added: [34](#i3c0d55fa8e084db6954ddb9936482ae9_88)] | | |

| [Consolidated Balance Sheets as [removed: of](#i39696783ec8f49feb6a31e192d6d4341_91)] [added: of](#i3c0d55fa8e084db6954ddb9936482ae9_91) January 3, 2026 [and](#i3c0d55fa8e084db6954ddb9936482ae9_91)] December 28, 2024 [removed: [and](#i39696783ec8f49feb6a31e192d6d4341_91) December 30, 2023] | | | | | | | | | [removed: [34](#i39696783ec8f49feb6a31e192d6d4341_91)] [added: [35](#i3c0d55fa8e084db6954ddb9936482ae9_91)] | | |

| [Consolidated Statements of Shareholders’ Equity for each of the years in the three-year period [removed: ended](#i39696783ec8f49feb6a31e192d6d4341_94) December 28, 2024] [added: ended](#i3c0d55fa8e084db6954ddb9936482ae9_94) January 3, 2026] | | | | | | | | | [removed: [35](#i39696783ec8f49feb6a31e192d6d4341_94)] [added: [36](#i3c0d55fa8e084db6954ddb9936482ae9_94)] | | |

| [Consolidated Statements of Cash Flows for each of the years in the three-year period [removed: ended](#i39696783ec8f49feb6a31e192d6d4341_97) December 28, 2024] [added: ended](#i3c0d55fa8e084db6954ddb9936482ae9_97) January 3, 2026] | | | | | | | | | [removed: [36](#i39696783ec8f49feb6a31e192d6d4341_97)] [added: [37](#i3c0d55fa8e084db6954ddb9936482ae9_97)] | | |

| [Notes to the Consolidated Financial [removed: Statements](#i39696783ec8f49feb6a31e192d6d4341_103)] [added: Statements](#i3c0d55fa8e084db6954ddb9936482ae9_103)] | | | | | | | | | | | |

| | | | [Note [removed: 1.](#i39696783ec8f49feb6a31e192d6d4341_106)] [added: 1.](#i3c0d55fa8e084db6954ddb9936482ae9_106)] | | | [Summary of Significant Accounting [removed: Policies](#i39696783ec8f49feb6a31e192d6d4341_106)] [added: Policies](#i3c0d55fa8e084db6954ddb9936482ae9_106)] | | | [removed: [38](#i39696783ec8f49feb6a31e192d6d4341_106)] [added: [39](#i3c0d55fa8e084db6954ddb9936482ae9_106)] | | |

| | | | [removed: [Note](#i39696783ec8f49feb6a31e192d6d4341_112) [2](#i39696783ec8f49feb6a31e192d6d4341_112)[.](#i39696783ec8f49feb6a31e192d6d4341_112)] [added: [Note](#i3c0d55fa8e084db6954ddb9936482ae9_109) [2](#i3c0d55fa8e084db6954ddb9936482ae9_109)[.](#i3c0d55fa8e084db6954ddb9936482ae9_109)] | | | [Goodwill and Intangible [removed: Assets](#i39696783ec8f49feb6a31e192d6d4341_112)] [added: Assets](#i3c0d55fa8e084db6954ddb9936482ae9_109)] | | | [removed: [44](#i39696783ec8f49feb6a31e192d6d4341_112)] [added: [45](#i3c0d55fa8e084db6954ddb9936482ae9_109)] | | |

| | | | [removed: [Note](#i39696783ec8f49feb6a31e192d6d4341_115) [3](#i39696783ec8f49feb6a31e192d6d4341_115)[.](#i39696783ec8f49feb6a31e192d6d4341_115)] [added: [Note](#i3c0d55fa8e084db6954ddb9936482ae9_112) [3](#i3c0d55fa8e084db6954ddb9936482ae9_112)[.](#i3c0d55fa8e084db6954ddb9936482ae9_112)] | | | [Accounts Receivable and Finance [removed: Receivables](#i39696783ec8f49feb6a31e192d6d4341_115)] [added: Receivables](#i3c0d55fa8e084db6954ddb9936482ae9_112)] | | | [removed: [44](#i39696783ec8f49feb6a31e192d6d4341_115)] [added: [45](#i3c0d55fa8e084db6954ddb9936482ae9_112)] | | |

| | | | [removed: [Note](#i39696783ec8f49feb6a31e192d6d4341_121) [5](#i39696783ec8f49feb6a31e192d6d4341_121)[.](#i39696783ec8f49feb6a31e192d6d4341_121)] [added: [Note](#i3c0d55fa8e084db6954ddb9936482ae9_118) [5](#i3c0d55fa8e084db6954ddb9936482ae9_118)[.](#i3c0d55fa8e084db6954ddb9936482ae9_118)] | | | [Property, Plant and Equipment, [removed: Net](#i39696783ec8f49feb6a31e192d6d4341_121)] [added: Net](#i3c0d55fa8e084db6954ddb9936482ae9_118)] | | | [removed: [46](#i39696783ec8f49feb6a31e192d6d4341_121)] [added: [47](#i3c0d55fa8e084db6954ddb9936482ae9_118)] | | |

| | | | [removed: [Note](#i39696783ec8f49feb6a31e192d6d4341_124) [6](#i39696783ec8f49feb6a31e192d6d4341_124)[.](#i39696783ec8f49feb6a31e192d6d4341_124)] [added: [Note](#i3c0d55fa8e084db6954ddb9936482ae9_121) [6](#i3c0d55fa8e084db6954ddb9936482ae9_121)[.](#i3c0d55fa8e084db6954ddb9936482ae9_121)] | | | [Accounts Payable [removed: and](#i39696783ec8f49feb6a31e192d6d4341_124) [Liabilities](#i39696783ec8f49feb6a31e192d6d4341_124)] [added: and Liabilities](#i3c0d55fa8e084db6954ddb9936482ae9_121)] | | | [removed: [46](#i39696783ec8f49feb6a31e192d6d4341_124)] [added: [47](#i3c0d55fa8e084db6954ddb9936482ae9_121)] | | |

| | | | [removed: [Note](#i39696783ec8f49feb6a31e192d6d4341_130) [8](#i39696783ec8f49feb6a31e192d6d4341_130)[.](#i39696783ec8f49feb6a31e192d6d4341_130)] [added: [Note](#i3c0d55fa8e084db6954ddb9936482ae9_127) [8](#i3c0d55fa8e084db6954ddb9936482ae9_127)[.](#i3c0d55fa8e084db6954ddb9936482ae9_127)] | | | [Debt and Credit [removed: Facilities](#i39696783ec8f49feb6a31e192d6d4341_130)] [added: Facilities](#i3c0d55fa8e084db6954ddb9936482ae9_127)] | | | [removed: [48](#i39696783ec8f49feb6a31e192d6d4341_130)] [added: [49](#i3c0d55fa8e084db6954ddb9936482ae9_127)] | | |

| | | | [removed: [Note](#i39696783ec8f49feb6a31e192d6d4341_133) [9](#i39696783ec8f49feb6a31e192d6d4341_133)[.](#i39696783ec8f49feb6a31e192d6d4341_133)] [added: [Note](#i3c0d55fa8e084db6954ddb9936482ae9_130) [9](#i3c0d55fa8e084db6954ddb9936482ae9_130)[.](#i3c0d55fa8e084db6954ddb9936482ae9_130)] | | | [Derivative Instruments and Fair Value [removed: Measurements](#i39696783ec8f49feb6a31e192d6d4341_133)] [added: Measurements](#i3c0d55fa8e084db6954ddb9936482ae9_130)] | | | [removed: [49](#i39696783ec8f49feb6a31e192d6d4341_133)] [added: [50](#i3c0d55fa8e084db6954ddb9936482ae9_130)] | | |

| | | | [Note [removed: 1](#i39696783ec8f49feb6a31e192d6d4341_136)[0](#i39696783ec8f49feb6a31e192d6d4341_136)[.](#i39696783ec8f49feb6a31e192d6d4341_136)] [added: 1](#i3c0d55fa8e084db6954ddb9936482ae9_133)[0](#i3c0d55fa8e084db6954ddb9936482ae9_133)[.](#i3c0d55fa8e084db6954ddb9936482ae9_133)] | | | [Shareholders’ [removed: Equity](#i39696783ec8f49feb6a31e192d6d4341_136)] [added: Equity](#i3c0d55fa8e084db6954ddb9936482ae9_133)] | | | [removed: [50](#i39696783ec8f49feb6a31e192d6d4341_136)] [added: [51](#i3c0d55fa8e084db6954ddb9936482ae9_133)] | | |

| | | | [Note [removed: 1](#i39696783ec8f49feb6a31e192d6d4341_549755815639)[1](#i39696783ec8f49feb6a31e192d6d4341_549755815639)[.](#i39696783ec8f49feb6a31e192d6d4341_549755815639)] [added: 1](#i3c0d55fa8e084db6954ddb9936482ae9_136)[1](#i3c0d55fa8e084db6954ddb9936482ae9_136)[.](#i3c0d55fa8e084db6954ddb9936482ae9_136)] | | | [removed: [Segment](#i39696783ec8f49feb6a31e192d6d4341_549755815639) [Financial Information](#i39696783ec8f49feb6a31e192d6d4341_549755815639)] [added: [Segment Financial Information](#i3c0d55fa8e084db6954ddb9936482ae9_136)] | | | [removed: [52](#i39696783ec8f49feb6a31e192d6d4341_549755815639)] [added: [53](#i3c0d55fa8e084db6954ddb9936482ae9_136)] | | |

| | | | [Note [removed: 1](#i39696783ec8f49feb6a31e192d6d4341_148)[3](#i39696783ec8f49feb6a31e192d6d4341_148)[.](#i39696783ec8f49feb6a31e192d6d4341_148)] [added: 1](#i3c0d55fa8e084db6954ddb9936482ae9_145)[3](#i3c0d55fa8e084db6954ddb9936482ae9_145)[.](#i3c0d55fa8e084db6954ddb9936482ae9_145)] | | | [Share-Based [removed: Compensation](#i39696783ec8f49feb6a31e192d6d4341_148)] [added: Compensation](#i3c0d55fa8e084db6954ddb9936482ae9_145)] | | | [removed: [56](#i39696783ec8f49feb6a31e192d6d4341_148)] [added: [57](#i3c0d55fa8e084db6954ddb9936482ae9_145)] | | |

| | | | [Note [removed: 1](#i39696783ec8f49feb6a31e192d6d4341_151)[4](#i39696783ec8f49feb6a31e192d6d4341_151)[.](#i39696783ec8f49feb6a31e192d6d4341_151)] [added: 1](#i3c0d55fa8e084db6954ddb9936482ae9_148)[4](#i3c0d55fa8e084db6954ddb9936482ae9_148)[.](#i3c0d55fa8e084db6954ddb9936482ae9_148)] | | | [Retirement [removed: Plans](#i39696783ec8f49feb6a31e192d6d4341_151)] [added: Plans](#i3c0d55fa8e084db6954ddb9936482ae9_148)] | | | [removed: [58](#i39696783ec8f49feb6a31e192d6d4341_151)] [added: [59](#i3c0d55fa8e084db6954ddb9936482ae9_148)] | | |

| | | | [Note [removed: 1](#i39696783ec8f49feb6a31e192d6d4341_154)[5](#i39696783ec8f49feb6a31e192d6d4341_154)[.](#i39696783ec8f49feb6a31e192d6d4341_154)] [added: 1](#i3c0d55fa8e084db6954ddb9936482ae9_151)[5](#i3c0d55fa8e084db6954ddb9936482ae9_151)[.](#i3c0d55fa8e084db6954ddb9936482ae9_151)] | | | [Special [removed: Charges](#i39696783ec8f49feb6a31e192d6d4341_154)] [added: Charges](#i3c0d55fa8e084db6954ddb9936482ae9_151)] | | | [removed: [62](#i39696783ec8f49feb6a31e192d6d4341_154)] [added: [63](#i3c0d55fa8e084db6954ddb9936482ae9_151)] | | |

| | | | [Note [removed: 1](#i39696783ec8f49feb6a31e192d6d4341_157)[6](#i39696783ec8f49feb6a31e192d6d4341_157)[.](#i39696783ec8f49feb6a31e192d6d4341_157)] [added: 1](#i3c0d55fa8e084db6954ddb9936482ae9_154)[6](#i3c0d55fa8e084db6954ddb9936482ae9_154)[.](#i3c0d55fa8e084db6954ddb9936482ae9_154)] | | | [Income [removed: Taxes](#i39696783ec8f49feb6a31e192d6d4341_157)] [added: Taxes](#i3c0d55fa8e084db6954ddb9936482ae9_154)] | | | [removed: [63](#i39696783ec8f49feb6a31e192d6d4341_157)] [added: [64](#i3c0d55fa8e084db6954ddb9936482ae9_154)] | | |

| | | | [Note [removed: 1](#i39696783ec8f49feb6a31e192d6d4341_160)[7](#i39696783ec8f49feb6a31e192d6d4341_160)[.](#i39696783ec8f49feb6a31e192d6d4341_160)] [added: 1](#i3c0d55fa8e084db6954ddb9936482ae9_157)[7](#i3c0d55fa8e084db6954ddb9936482ae9_157)[.](#i3c0d55fa8e084db6954ddb9936482ae9_157)] | | | [Commitments and [removed: Contingencies](#i39696783ec8f49feb6a31e192d6d4341_160)] [added: Contingencies](#i3c0d55fa8e084db6954ddb9936482ae9_157)] | | | [removed: [66](#i39696783ec8f49feb6a31e192d6d4341_160)] [added: [67](#i3c0d55fa8e084db6954ddb9936482ae9_157)] | | |

| | | | [Note [removed: 1](#i39696783ec8f49feb6a31e192d6d4341_163)[8](#i39696783ec8f49feb6a31e192d6d4341_163)[.](#i39696783ec8f49feb6a31e192d6d4341_163)] [added: 1](#i3c0d55fa8e084db6954ddb9936482ae9_160)[8](#i3c0d55fa8e084db6954ddb9936482ae9_160)[.](#i3c0d55fa8e084db6954ddb9936482ae9_160)] | | | [Supplemental Cash Flow [removed: Information](#i39696783ec8f49feb6a31e192d6d4341_163)] [added: Information](#i3c0d55fa8e084db6954ddb9936482ae9_160)] | | | [removed: [66](#i39696783ec8f49feb6a31e192d6d4341_163)] [added: [67](#i3c0d55fa8e084db6954ddb9936482ae9_160)] | | |

| [Report of Independent Registered Public Accounting [removed: Firm](#i39696783ec8f49feb6a31e192d6d4341_166)] [added: Firm](#i3c0d55fa8e084db6954ddb9936482ae9_163)] | | | | | | | | | [removed: [67](#i39696783ec8f49feb6a31e192d6d4341_166)] [added: [68](#i3c0d55fa8e084db6954ddb9936482ae9_163)] | | |

| | | | [Schedule II – Valuation and Qualifying [removed: Accounts](#i39696783ec8f49feb6a31e192d6d4341_172)] [added: Accounts](#i3c0d55fa8e084db6954ddb9936482ae9_169)] | | | | | | [removed: [69](#i39696783ec8f49feb6a31e192d6d4341_172)] [added: [70](#i3c0d55fa8e084db6954ddb9936482ae9_169)] | | |

For each of the years in the three-year period ended [removed: December 28, 2024][added: January 3, 2026]

| *(In millions, except per share data)* | | | [removed: 2024] [added: 2025] | | | [removed: 2023] [added: 2024] | | | [removed: 2022] [added: 2023] | | |

| Manufacturing product revenues | | | $ | [removed: 11,375] [added: 12,732] | | $ | [removed: 11,573] [added: 11,375] | | $ | [removed: 10,945] [added: 11,573] | |

| Manufacturing service revenues | | | [removed: 2,277] [added: 1,992] | | | [removed: 2,055] [added: 2,277] | | | [removed: 1,872] [added: 2,055] | | |

| Finance revenues | | | [removed: 50] [added: 75] | | | [removed: 55] [added: 50] | | | [removed: 52] [added: 55] | | |

| Total revenues | | | [removed: 13,702] [added: 14,799] | | | [removed: 13,683] [added: 13,702] | | | [removed: 12,869] [added: 13,683] | | |

| Cost of products sold | | | [removed: 9,403] [added: 10,608] | | | [removed: 9,206] [added: 9,403] | | | [removed: 8,787] [added: 9,206] | | |

| Cost of services sold | | | [removed: 1,797] [added: 1,496] | | | [removed: 1,629] [added: 1,797] | | | [removed: 1,412] [added: 1,629] | | |

| Research and development costs | | | [removed: 491] [added: 521] | | | [removed: 570] [added: 491] | | | [removed: 601] [added: 570] | | |

| Selling and administrative expense | | | [removed: 1,156] [added: 1,173] | | | [removed: 1,225] [added: 1,156] | | | [removed: 1,186] [added: 1,225] | | |

| Interest expense, net | | | [removed: 97] [added: —] | | | [removed: 77] [added: —] | | | [removed: 107] [added: —] | | | [added: — | | | — | | | 18 | | | 18 | | |]

| Special charges | | | [removed: 78] [added: 4] | | | [removed: 126] [added: 78] | | | [removed: —] [added: 126] | | |

| Non-service components of pension and postretirement income, net | | | [removed: (263)] [added: (266)] | | | [removed: (237)] [added: (263)] | | | [removed: (240)] [added: (237)] | | |

| Total costs, expenses and other | | | [removed: 12,759] [added: 13,662] | | | [removed: 12,596] [added: 12,759] | | | [removed: 11,853] [added: 12,596] | | |

| Income from continuing operations before income taxes | | | [removed: 943] [added: 1,137] | | | [removed: 1,087] [added: 943] | | | [removed: 1,016] [added: 1,087] | | |

| Income tax expense | | | [removed: 118] [added: 214] | | | [removed: 165] [added: 118] | | | [removed: 154] [added: 165] | | |

| Income from continuing operations | | | [removed: 825] [added: 923] | | | [removed: 922] [added: 825] | | | [removed: 862] [added: 922] | | |

| | | | [Note](#i3c0d55fa8e084db6954ddb9936482ae9_115) [4](#i3c0d55fa8e084db6954ddb9936482ae9_115)[.](#i3c0d55fa8e084db6954ddb9936482ae9_115) | | | [Inventories](#i3c0d55fa8e084db6954ddb9936482ae9_115) | | | [47](#i3c0d55fa8e084db6954ddb9936482ae9_115) | | |

| | | | [Note](#i3c0d55fa8e084db6954ddb9936482ae9_124) [7](#i3c0d55fa8e084db6954ddb9936482ae9_124)[.](#i3c0d55fa8e084db6954ddb9936482ae9_124) | | | [Leases](#i3c0d55fa8e084db6954ddb9936482ae9_124) | | | [48](#i3c0d55fa8e084db6954ddb9936482ae9_124) | | |

| | | | [Note 1](#i3c0d55fa8e084db6954ddb9936482ae9_139)[2](#i3c0d55fa8e084db6954ddb9936482ae9_139)[.](#i3c0d55fa8e084db6954ddb9936482ae9_139) | | | [Revenues](#i3c0d55fa8e084db6954ddb9936482ae9_139) | | | [55](#i3c0d55fa8e084db6954ddb9936482ae9_139) | | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

For each of the years in the three-year period ended January 3, 2026

| Net income | | | $ | 921 | | $ | 824 | | $ | 921 | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

| Purchases of common stock, including excise tax* | | | — | | | — | | | (828) | | | — | | | — | | | (828) | | |

| Retirement of treasury stock | | | (1) | | | (124) | | | 855 | | | (730) | | | — | | | — | | |

| Balance at January 3, 2026 | | | $ | 22 | | $ | 1,995 | | $ | (55) | | $ | 5,784 | | $ | 129 | | $ | 7,875 | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

For each of the years in the three-year period ended January 3, 2026

| Gain on business disposition | | | (4) | | | — | | | — | | |

| Net proceeds from business disposition | | | 16 | | | — | | | — | | |

| Proceeds from the disposition of non-captive assets | | | 72 | | | — | | | — | | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

For each of the years in the three-year period ended January 3, 2026

| Gain on business disposition | | | (4) | | | — | | | — | | | — | | | — | | | — | | |

| Dividends received from Finance group | | | 25 | | | — | | | — | | | — | | | — | | | — | | |

| Net proceeds from business disposition | | | 16 | | | — | | | — | | | — | | | — | | | — | | |

| Proceeds from the disposition of non-captive assets | | | — | | | — | | | — | | | 72 | | | — | | | — | | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

The lease term includes any noncancelable period for which we have the right to

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

| Balance at January 3, 2026 | | | $ | 633 | | $ | 37 | | $ | 1,010 | | $ | 476 | | $ | 165 | | $ | 2,321 | |

| | | | | | | January 3, 2026 | | | | | | | | | December 28, 2024 | | | | | | | | |

| *(In millions)* | | | January 3, 2026 | | | December 28, 2024 | | |

| | | | 839 | | | 968 | | |

| *(In millions)* | | | January 3, 2026 | | | December 28, 2024 | | |

At January 3,

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

| *(In millions)* | | | January 3, 2026 | | | December 28, 2024 | | |

| | | | | | | | | | | | |

| | | | [Note](#i39696783ec8f49feb6a31e192d6d4341_118) [4](#i39696783ec8f49feb6a31e192d6d4341_118)[.](#i39696783ec8f49feb6a31e192d6d4341_118) | | | [Inventories](#i39696783ec8f49feb6a31e192d6d4341_118) | | | [46](#i39696783ec8f49feb6a31e192d6d4341_118) | | |

| | | | [Note](#i39696783ec8f49feb6a31e192d6d4341_127) [7](#i39696783ec8f49feb6a31e192d6d4341_127)[.](#i39696783ec8f49feb6a31e192d6d4341_127) | | | [Leases](#i39696783ec8f49feb6a31e192d6d4341_127) | | | [47](#i39696783ec8f49feb6a31e192d6d4341_127) | | |

| | | | [Note 1](#i39696783ec8f49feb6a31e192d6d4341_142)[2](#i39696783ec8f49feb6a31e192d6d4341_142)[.](#i39696783ec8f49feb6a31e192d6d4341_142) | | | [Revenues](#i39696783ec8f49feb6a31e192d6d4341_142) | | | [54](#i39696783ec8f49feb6a31e192d6d4341_142) | | |

| | | | | | | | | | | | | | | | | | | | | |

| Balance at January 1, 2022 | | | $ | 28 | | $ | 1,863 | | $ | (157) | | $ | 5,870 | | $ | (789) | | $ | 6,815 | |

| Purchases of common stock | | | — | | | — | | | (867) | | | — | | | — | | | (867) | | |

| Retirement of treasury stock | | | (2) | | | (127) | | | 940 | | | (811) | | | — | | | — | | |

| Decrease in short-term debt | | | (1) | | | — | | | (14) | | |

| Decrease in short-term debt | | | (1) | | | — | | | (14) | | | — | | | — | | | — | | |

In 2022, our cumulative catch-up adjustments decreased segment profit by $16 million and net income by $12 million ($0.06 per diluted share).

option.

| Balance at December 31, 2022 | | | $ | 633 | | $ | 37 | | $ | 1,010 | | $ | 465 | | $ | 138 | | $ | 2,283 | |

| | | | | | | | | | | | | | | | | | | | | | | | |

| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |

| | | | 968 | | | 894 | | |

At December 28,

| | | | | | | | | | | | | 8,000 | | | 7,724 | | |

In June 2024, the maximum amount available under the financing arrangement was increased by $25 million to $200 million.

Adjustments include changes to prior year estimates, new issues on prior year sales, currency translation adjustments and acquisitions.*

| 4.30% due 2024 | | | $ | — | | $ | 350 | |

| Total | | | $ | 383 | | $ | 356 | | $ | 405 | | $ | 375 | | $ | 301 | |

In 2023, TFC repurchased $8 million of these notes.

In 2024, we also entered into a new swap agreement related to these Notes with a notional amount of $30 million and a weighted-average fixed rate of 5.10%; this agreement has a forward start date of August 15, 2025 and matures on August 15, 2030.

At December 30, 2023, interest rate swap agreements related to these Notes had an aggregate notional amount of $185 million with a weighted-average fixed rate of 5.17%.

| Balance at December 31, 2022 | | | $ | (516) | | $ | (94) | | $ | (2) | | $ | (612) | |

| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |

| Reclassification adjustments | | | 2 | | | (1) | | | 1 | | | 8 | | | (2) | | | 6 | | | — | | | — | | | — | | |

In November 2023, the Financial Accounting Standards Board issued Accounting Standard Update (ASU) No. 2023-07, *Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures*, which requires a public entity to disclose, on an annual and interim basis, significant segment expenses and other segment items that are regularly provided to the Chief Operating Decision Maker (CODM).

The new standard is effective for fiscal years beginning after December 15, 2023.

We adopted ASU 2023-07 in the fourth quarter of 2024.

In connection with the adoption of this standard, research and development costs previously included within Cost of products sold are now reported on a separate line in our Consolidated Statements of Operations.

Prior period amounts have been recast to conform to the new presentation.

| 2024 | | | | | | | | | | | | | | | | | | | | | | | |

| 2022 | | | | | | | | | | | | | | | | | | | | | | | |

| Revenues | | | $ | 5,073 | | $ | 3,091 | | $ | 1,172 | | $ | 3,465 | | $ | 16 | | $ | 52 | | $ | 12,869 | |

| Cost of sales | | | 3,905 | | | 2,316 | | | 878 | | | 2,959 | | | 18 | | | — | | | 10,076 | | |

| Selling and administrative expense | | | 417 | | | 227 | | | 109 | | | 280 | | | 2 | | | 8 | | | 1,043 | | |

| Segment profit (loss) | | | $ | 560 | | $ | 282 | | $ | 132 | | $ | 155 | | $ | (24) | | $ | 31 | | $ | 1,136 | |

| Other international | | | 894 | | | 850 | | | 84 | | | 957 | | | 3 | | | 28 | | | 2,816 | | |

We performed an evaluation of the effectiveness of our disclosure controls and procedures as of [removed: December 28, 2024.][added: January 3, 2026.]

Based on this evaluation, the CEO and CFO concluded that our disclosure controls and procedures were operating and effective as of [removed: December 28, 2024.][added: January 3, 2026.]

Based on our evaluation under the 2013 Framework, we have concluded that Textron Inc. maintained, in all material respects, effective internal control over financial reporting as of [removed: December 28, 2024.][added: January 3, 2026.]

The independent registered public accounting firm, Ernst & Young LLP (PCAOB ID: 42), has audited the Consolidated Financial Statements of Textron Inc. and has issued an attestation report on Textron’s internal controls over financial reporting as of [removed: December 28, 2024,] [added: January 3, 2026,] as stated in its report, which is included herein.

We have audited Textron Inc.’s internal control over financial reporting as of [removed: December 28, 2024,] [added: January 3, 2026,] based on criteria established in Internal Control— Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 Framework), (the COSO criteria).

In our opinion, Textron, Inc. (the Company) maintained, in all material respects, effective internal control over financial reporting as of [removed: December 28, 2024,] [added: January 3, 2026,] based on the COSO criteria.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Consolidated Balance Sheets of the Company as of [removed: December 28, 2024] [added: January 3, 2026] and December [removed: 30, 2023,] [added: 28, 2024,] and the related Consolidated Statements of Operations, Comprehensive Income, Shareholders' Equity and Cash Flows for each of the three years in the period ended [removed: December 28, 2024,] [added: January 3, 2026,] and the related notes and the financial statement schedule listed in the Index at Item 8 of the Company and our report dated February [removed: 6, 2025] [added: 11, 2026] expressed an unqualified opinion thereon.

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

February 11, 2026

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

February 6, 2025

[removed: (b)None] [added: None] of our directors or executive officers adopted or terminated a “Rule 10b5-1 trading arrangement” or adopted or terminated a “non-Rule 10b5-1 trading arrangement” (as such terms are defined in Item 408 of Regulation S-K) during the quarter ended [removed: December 28, 2024.][added: January 3, 2026.]

(a)As previously announced, Mr. Frank Connor will retire effective February 28, 2025 after having served as our CFO for fifteen years.

During his tenure Mr. Connor has made significant contributions across Textron to drive financial and operational excellence.

As part of his 2025 duties, Mr. Connor will oversee the completion of the Company’s post year-end financial reporting and related activities and will effect an orderly transition of the CFO role to Mr. Rosenberg and other succession planning within the finance organization.

On February 5, 2025, the Organization and Compensation Committee approved Mr. Connor’s 2025 compensation to be set at $1,000,000, taking into account Mr. Connor’s expected duties through his retirement.

Mr. Connor’s 2024 total target compensation was $6,300,000.”

The information appearing under “ELECTION OF DIRECTORS – Nominees for Director,” "SECURITY OWNERSHIP – Delinquent Section 16(a) Reports,” “CORPORATE GOVERNANCE – Board Committees – *Audit Committee*,” “– Corporate Governance Guidelines and Policies,” “– Code of Ethics,” and “– Insider Trading Policies and Procedures,” in the Proxy Statement for our [removed: 2025] [added: 2026] Annual Meeting of Shareholders is incorporated by reference into this Annual Report on Form 10-K.

The information appearing under “CORPORATE GOVERNANCE – Compensation of Directors,” “COMPENSATION COMMITTEE REPORT,” “COMPENSATION DISCUSSION AND ANALYSIS” and “EXECUTIVE COMPENSATION” in the Proxy Statement for our [removed: 2025] [added: 2026] Annual Meeting of Shareholders is incorporated by reference into this Annual Report on Form 10-K.

The information appearing under “SECURITY OWNERSHIP” and “EXECUTIVE COMPENSATION – Equity Compensation Plan Information” in the Proxy Statement for our [removed: 2025] [added: 2026] Annual Meeting of Shareholders is incorporated by reference into this Annual Report on Form 10-K.

The information appearing under “CORPORATE GOVERNANCE – Director Independence” and “EXECUTIVE COMPENSATION – Transactions with Related Persons” in the Proxy Statement for our [removed: 2025] [added: 2026] Annual Meeting of Shareholders is incorporated by reference into this Annual Report on Form 10-K.

The information appearing under “RATIFICATION OF APPOINTMENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM – Fees to Independent Auditors” in the Proxy Statement for our [removed: 2025] [added: 2026] Annual Meeting of Shareholders is incorporated by reference into this Annual Report on Form 10-K.

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

Financial Statements and Schedules — See Index on Page [removed: [31](#i39696783ec8f49feb6a31e192d6d4341_82).][added: [32](#i3c0d55fa8e084db6954ddb9936482ae9_82).]

| 3.1A | | | | | | [Restated Certificate of Incorporation of Textron as filed with the Secretary of State of Delaware on April 29, 2010. Incorporated by reference to Exhibit 3.1 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended April 3, [removed: 2010. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000021734610000048/threeone.htm)] [added: 2010.](https://www.sec.gov/Archives/edgar/data/217346/000021734610000048/threeone.htm)] | | |

| 3.1B | | | | | | [Certificate of Amendment of Restated Certificate of Incorporation of Textron Inc., filed with the Secretary of State of Delaware on April 27, 2011. Incorporated by reference to Exhibit 3.1 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended April 2, [removed: 2011. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000021734611000048/exhibitthreeone.htm)] [added: 2011.](https://www.sec.gov/Archives/edgar/data/217346/000021734611000048/exhibitthreeone.htm)] | | |

| [removed: 3.2] [added: 3.2A] | | | | | | [Amended and Restated By-Laws of Textron Inc., [removed: effective](https://www.sec.gov/Archives/edgar/data/217346/000155278124000048/e24055_ex3-1.htm) [February 21,](https://www.sec.gov/Archives/edgar/data/217346/000155278124000048/e24055_ex3-1.htm) [](https://www.sec.gov/Archives/edgar/data/217346/000155278124000048/e24055_ex3-1.htm)[2024](https://www.sec.gov/Archives/edgar/data/217346/000155278124000048/e24055_ex3-1.htm)[.] [added: effective February 21, 2024.] Incorporated by reference to Exhibit [removed: 3.](https://www.sec.gov/Archives/edgar/data/217346/000155278124000048/e24055_ex3-1.htm)[1](https://www.sec.gov/Archives/edgar/data/217346/000155278124000048/e24055_ex3-1.htm) [to] [added: 3.1 to] Textron’s Current Report on Form 8-K filed [removed: on](https://www.sec.gov/Archives/edgar/data/217346/000155278124000048/e24055_ex3-1.htm) [February] [added: on February] 23, [removed: 2024](https://www.sec.gov/Archives/edgar/data/217346/000155278124000048/e24055_ex3-1.htm)[.](https://www.sec.gov/Archives/edgar/data/217346/000155278124000048/e24055_ex3-1.htm)] [added: 2024.](https://www.sec.gov/Archives/edgar/data/217346/000155278124000048/e24055_ex3-1.htm)] | | |

| 4.1A | | | | | | [Support Agreement dated as of May 25, 1994, between Textron Inc. and Textron Financial Corporation. Incorporated by reference to Exhibit 4.1 to Textron’s Annual Report on Form 10-K for the fiscal year ended December 31, [removed: 2011. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000119312512074981/d276253dex41.htm)] [added: 2011.](https://www.sec.gov/Archives/edgar/data/217346/000119312512074981/d276253dex41.htm)] | | |

| 4.1B | | | | | | [Amendment to Support Agreement, dated as of December 23, 2015, by and between Textron Inc. and Textron Financial Corporation. Incorporated by reference to Exhibit 4.1B to Textron’s Annual Report on Form 10-K for the fiscal year ended January 2, [removed: 2016](https://www.sec.gov/Archives/edgar/data/217346/000110465916099562/a15-23451_1ex4d1b.htm)[.](https://www.sec.gov/Archives/edgar/data/217346/000110465916099562/a15-23451_1ex4d1b.htm) [(SEC File No. 1-5480).](https://www.sec.gov/Archives/edgar/data/217346/000110465916099562/a15-23451_1ex4d1b.htm)] [added: 2016.](https://www.sec.gov/Archives/edgar/data/217346/000110465916099562/a15-23451_1ex4d1b.htm)] | | |

| 4.2 | | | | | | [Description of registrant’s [removed: securities.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx42.htm)] [added: securities. Incorporated by reference to Exhibit 4.2 to](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx42.htm) [Textron's Annual Report on Form 10-K for the fiscal year ended December 28, 2024.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx42.htm)] | | |

| NOTE: | | | | | | Exhibits 10.1 through [removed: 10.16] [added: 10.17] below are management contracts or compensatory plans, contracts or agreements. | | |

| 10.1A | | | | | | [Textron Inc. [removed: 20](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm)[24](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm) [Long-Term] [added: 2024 Long-Term] Incentive Plan](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm)[.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm) [added: [](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm)[Incorporated by refe](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm)[rence](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm) [](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm)[to Exhibit 10.1A](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm) [to Textron's Annual Report on Form 10-K](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm) [for the fiscal year ended December 28, 2024.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx101a.htm)] | | |

| 10.1B | | | | | | [Form of Stock-Settled Restricted Stock Unit (with Dividend Equivalents) Grant Agreement for Non-Employee Directors under the 2024 Long-Term Incentive Plan. Incorporated by reference to Exhibit 10.2 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended [removed: Ju](https://www.sec.gov/Archives/edgar/data/217346/000021734624000084/q2202410qex-102.htm)[ne](https://www.sec.gov/Archives/edgar/data/217346/000021734624000084/q2202410qex-102.htm) [29,] [added: June 29,] 2024.](https://www.sec.gov/Archives/edgar/data/217346/000021734624000084/q2202410qex-102.htm) | | |

| 10.3A | | | | | | [Textron Inc. 2015 Long-Term Incentive Plan. Incorporated by reference to Exhibit 10.1 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended July 4, [removed: 2015](https://www.sec.gov/Archives/edgar/data/217346/000110465915054257/a15-11861_1ex10d1.htm)[.](https://www.sec.gov/Archives/edgar/data/217346/000110465915054257/a15-11861_1ex10d1.htm) [(SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000110465915054257/a15-11861_1ex10d1.htm)] [added: 2015.](https://www.sec.gov/Archives/edgar/data/217346/000110465915054257/a15-11861_1ex10d1.htm)] | | |

| 10.3B | | | | | | [Amendment No. 1 to Textron Inc. 2015 Long-Term Incentive Plan. Incorporated by reference to Exhibit 10.2 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, [removed: 2023](https://www.sec.gov/Archives/edgar/data/217346/000021734623000033/q3202310qex-102.htm)[.](https://www.sec.gov/Archives/edgar/data/217346/000021734623000033/q3202310qex-102.htm)] [added: 2023.](https://www.sec.gov/Archives/edgar/data/217346/000021734623000033/q3202310qex-102.htm)] | | |

| 10.3C | | | | | | [Amendment No. 2 to Textron Inc. 2015 Long-Term Incentive Plan.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx103c.htm) [added: [](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx103c.htm)[Incorporated by reference to Exhibit 10.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx103c.htm)[3C](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx103c.htm) [to Textron's Annual Report on Form 10-K for the fiscal year ended December 28, 2024.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx103c.htm)] | | |

| 10.3D | | | | | | [Form of Non-Qualified Stock Option Agreement under 2015 Long-Term Incentive Plan. Incorporated by reference to Exhibit 10.1 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended April 2, [removed: 2016](https://www.sec.gov/Archives/edgar/data/217346/000110465916114825/a16-6092_1ex10d1.htm)[.](https://www.sec.gov/Archives/edgar/data/217346/000110465916114825/a16-6092_1ex10d1.htm) [(SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000110465916114825/a16-6092_1ex10d1.htm)] [added: 2016.](https://www.sec.gov/Archives/edgar/data/217346/000110465916114825/a16-6092_1ex10d1.htm)] | | |

| 10.4 | | | | | | [Textron Spillover Savings Plan, effective October 5, 2015. Incorporated by reference to Exhibit 10.4 to Textron’s Annual Report on Form 10-K for the fiscal year ended January 2, [removed: 2016 (SEC File No. 1-5480).](https://www.sec.gov/Archives/edgar/data/217346/000110465916099562/a15-23451_1ex10d4.htm)] [added: 201](https://www.sec.gov/Archives/edgar/data/217346/000110465916099562/a15-23451_1ex10d4.htm)[6.](https://www.sec.gov/Archives/edgar/data/217346/000110465916099562/a15-23451_1ex10d4.htm)] | | |

| 10.5A | | | | | | [Textron Spillover Pension Plan, As Amended and Restated Effective January 3, 2010, including Appendix A (as amended and restated effective January 3, 2010), Defined Benefit Provisions of the Supplemental Benefits Plan for Textron Key Executives (As in effect before January 1, 2007). Incorporated by reference to Exhibit 10.4 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended April 3, [removed: 2010. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000021734610000048/tenfour.htm)] [added: 2010.](https://www.sec.gov/Archives/edgar/data/217346/000021734610000048/tenfour.htm)] | | |

| 10.5B | | | | | | [Amendments to the Textron Spillover Pension Plan, dated October 12, 2011. Incorporated by reference to Exhibit 10.5B to Textron’s Annual Report on Form 10-K for the fiscal year ended December 31, [removed: 2011. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000119312512074981/d276253dex105b.htm)] [added: 2011.](https://www.sec.gov/Archives/edgar/data/217346/000119312512074981/d276253dex105b.htm)] | | |

| 10.5C | | | | | | [Second Amendment to the Textron Spillover Pension Plan, dated October 7, 2013. Incorporated by reference to Exhibit 10.5C to Textron’s Annual Report on Form 10-K for the fiscal year ended December 28, [removed: 2013. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000110465914009908/a13-26941_1ex10d5c.htm)] [added: 2013.](https://www.sec.gov/Archives/edgar/data/217346/000110465914009908/a13-26941_1ex10d5c.htm)] | | |

| 10.6 | | | | | | [Deferred Income Plan for Textron Executives, Effective October 5, 2015. Incorporated by reference to Exhibit 10.6 to Textron’s Annual Report on Form 10-K for the fiscal year ended January 2, [removed: 2016 (SEC File No. 1-5480).](https://www.sec.gov/Archives/edgar/data/217346/000110465916099562/a15-23451_1ex10d6.htm)] [added: 201](https://www.sec.gov/Archives/edgar/data/217346/000110465916099562/a15-23451_1ex10d6.htm)[6.](https://www.sec.gov/Archives/edgar/data/217346/000110465916099562/a15-23451_1ex10d6.htm)] | | |

| 10.7A | | | | | | [Deferred Income Plan for Non-Employee Directors, As Amended and Restated Effective January 1, 2009, including Appendix A, Prior Plan Provisions (As in effect before January 1, 2008). Incorporated by reference to Exhibit 10.9 to Textron’s Annual Report on Form 10-K for the fiscal year ended January 3, [removed: 2009. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000095013509001252/b74351tiexv10w9.htm)] [added: 2009.](https://www.sec.gov/Archives/edgar/data/217346/000095013509001252/b74351tiexv10w9.htm)] | | |

| 10.7B | | | | | | [Amendment No. 1 to Deferred Income Plan for Non-Employee Directors, as Amended and Restated Effective January 1, 2009, dated as of November 6, 2012. Incorporated by reference to Exhibit 10.8B to Textron’s Annual Report on Form 10-K for the fiscal year ended December 29, [removed: 2012. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000110465913011048/a12-30151_4ex10d8b.htm)] [added: 2012.](https://www.sec.gov/Archives/edgar/data/217346/000110465913011048/a12-30151_4ex10d8b.htm)] | | |

| 10.8A | | | | | | [Severance Plan for Textron Key Executives, As Amended and Restated Effective January 1, 2010. Incorporated by reference to Exhibit 10.10 to Textron’s Annual Report on Form 10-K for the fiscal year ended January 2, [removed: 2010. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000095012310016801/b77277exv10w10.htm)] [added: 2010.](https://www.sec.gov/Archives/edgar/data/217346/000095012310016801/b77277exv10w10.htm)] | | |

| 10.8B | | | | | | [First Amendment to the Severance Plan for Textron Key Executives, dated October 26, 2010. Incorporated by reference to Exhibit 10.10B to Textron’s Annual Report on Form 10-K for the fiscal year ended January 1, [removed: 2011. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000095012311020392/b83538exv10w10b.htm)] [added: 2011.](https://www.sec.gov/Archives/edgar/data/217346/000095012311020392/b83538exv10w10b.htm)] | | |

| 10.8C | | | | | | [Second Amendment to the Severance Plan for Textron Key Executives, dated March 24, 2014. Incorporated by reference to Exhibit 10.5 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended March 29, [removed: 2014. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000110465914033439/a14-9291_1ex10d5.htm)] [added: 2014.](https://www.sec.gov/Archives/edgar/data/217346/000110465914033439/a14-9291_1ex10d5.htm)] | | |

| 10.10 | | | | | | [Form of Indemnity Agreement between Textron and its non-employee directors (approved by the Nominating and Corporate Governance Committee of the Board of Directors on July 21, 2009 and entered into with all non-employee directors, effective as of August 1, 2009 or as of such later date as the director joined the Board). Incorporated by reference to Exhibit 10.1 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended October 3, [removed: 2009. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000021734609000156/indemnityagmtdirector.htm)] [added: 2009.](https://www.sec.gov/Archives/edgar/data/217346/000021734609000156/indemnityagmtdirector.htm)] | | |

| [removed: 10.11A] [added: 10.12A] | | | | | | [Letter Agreement between Textron and Scott C. Donnelly, dated June 26, 2008. Incorporated by reference to Exhibit 10.1 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended June 28, [removed: 2008. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000021734608000116/agreementwithsdonnelly.htm)] [added: 2008.](https://www.sec.gov/Archives/edgar/data/217346/000021734608000116/agreementwithsdonnelly.htm)] | | |

| [removed: 10.11B] [added: 10.12B] | | | | | | [Amendment to Letter Agreement between Textron and Scott C. Donnelly, dated December 16, 2008, together with Addendum No.1 thereto, dated December 23, 2008. Incorporated by reference to Exhibit 10.15B to Textron’s Annual Report on Form 10-K for the fiscal year ended January 3, [removed: 2009. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000095013509001252/b74351tiexv10w15b.htm)] [added: 2009.](https://www.sec.gov/Archives/edgar/data/217346/000095013509001252/b74351tiexv10w15b.htm)] | | |

| [removed: 10.11C] [added: 10.12C] | | | | | | [Amended and Restated Hangar License and Services Agreement, made and entered into as of October 1, 2015, between Textron Inc. and Mr. Donnelly’s limited liability company. Incorporated by reference to Exhibit 10.2 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended October 3, [removed: 2015 (SEC File No. 1-5480).](https://www.sec.gov/Archives/edgar/data/217346/000110465915073479/a15-17798_1ex10d2.htm)] [added: 201](https://www.sec.gov/Archives/edgar/data/217346/000110465915073479/a15-17798_1ex10d2.htm)[5.](https://www.sec.gov/Archives/edgar/data/217346/000110465915073479/a15-17798_1ex10d2.htm)] | | |

| [removed: 10.11D] [added: 10.12D] | | | | | | [Aircraft Dry Lease Agreement, made and entered into as of December 18, 2018, between Mr. Donnelly’s limited liability company and Textron Inc. Incorporated by reference to Exhibit 10.11D to Textron's Annual Report on Form 10-K for the fiscal year ended December 29, 2018.](https://www.sec.gov/Archives/edgar/data/217346/000110465919008151/a19-30052_1ex10d11d.htm) | | |

| [removed: 10.12A] [added: 10.14] | | | | | | [Letter Agreement between Textron and [removed: Frank Connor,] [added: Julie G. Duffy,] dated July 27, [removed: 2009.] [added: 2017.] Incorporated by reference to Exhibit [removed: 10.2] [added: 10.1] to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended [removed: October 3, 2009. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000021734609000156/frankconnoragreement.htm)] [added: September 30, 2017.](https://www.sec.gov/Archives/edgar/data/217346/000110465917064241/a17-20574_1ex10d1.htm)] | | |

| [removed: 10.13] [added: 10.15B] | | | | | | [removed: [Letter Agreement] [added: [Amendment to letter agreement] between Textron and [removed: Julie G. Duffy,] [added: E. Robert Lupone,] dated July 27, [removed: 2017.] [added: 2012.] Incorporated by reference to Exhibit [removed: 10.1] [added: 10.5] to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended September [removed: 30, 2017.](https://www.sec.gov/Archives/edgar/data/217346/000110465917064241/a17-20574_1ex10d1.htm)] [added: 29, 2012.](https://www.sec.gov/Archives/edgar/data/217346/000110465912071046/a12-20149_1ex10d5.htm)] | | |

| [removed: 10.14A] [added: 10.15A] | | | | | | [Letter Agreement between Textron and E. Robert Lupone, dated December 22, 2011. Incorporated by reference to Exhibit 10.17 to Textron’s Annual Report on Form 10-K for the fiscal year ended December 31, [removed: 2011. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000119312512074981/d276253dex1017.htm)] [added: 2011.](https://www.sec.gov/Archives/edgar/data/217346/000119312512074981/d276253dex1017.htm)] | | |

| [removed: 10.15] [added: 19] | | | | | | [removed: [Textron Inc. 2015 Long-Term Incentive Plan Equity Program for Non-Employee Directors. Incorporated] [added: [Policy on Trading in Textron Securities.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx19.htm) [](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx19.htm)[Incorporated] by reference to Exhibit [removed: 10.15 to] [added: 1](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx19.htm)[9](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx19.htm) [to] Textron's Annual Report on Form 10-K for the fiscal year ended [removed: January 4, 2020](https://www.sec.gov/Archives/edgar/data/217346/000110465920024773/ex-10d15.htm).] [added: December 28, 2024.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx19.htm)] | | |

| 10.16 | | | | | | [Director [removed: Compensation.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx1016.htm)] [added: Compensation. Incorporated by reference to Exhibit 10.1](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx1016.htm)[6](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx1016.htm) [to Textron's Annual Report on Form 10-K for the fiscal year ended December 28, 2024.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx1016.htm)] | | |

| 10.17 | | | | | | [Credit Agreement, dated as of [removed: October 21, 2022,] [added: October](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm) [16](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm)[, 202](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm)[5](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm)[,] among [removed: Textron,] [added: Textron](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm) [Inc.](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm)[,] the Lenders listed therein, JPMorgan Chase Bank, N.A., as Administrative Agent, Bank of America, N.A. and Citibank, N.A., as Syndication Agents, and MUFG Bank, Ltd., as Documentation [removed: Agent. Incorporated] [added: Agent.](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm) [Incorporated] by reference to [removed: Exhibit 10.1] [added: Exhibit](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm) [10](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm)[.1] to Textron’s [removed: Quarterly] [added: Current] Report on Form [removed: 10-Q for the fiscal quarter ended October 1, 2022.](https://www.sec.gov/Archives/edgar/data/217346/000021734622000025/q3202210qex-101.htm)] [added: 8-K filed on October](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm) [1](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm)[7](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm)[, 2025.](https://www.sec.gov/Archives/edgar/data/217346/000110465925100886/tm2529107d1_ex10-1.htm)] | | |

| 21 | | | | | | [Certain subsidiaries of Textron. Other subsidiaries, which considered in the aggregate do not constitute a significant subsidiary, are omitted from such [removed: list.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx21.htm)] [added: list.](https://www.sec.gov/Archives/edgar/data/217346/000021734626000006/q4202510k-exx21.htm)] | | |

| 23 | | | | | | [Consent of Independent Registered Public Accounting [removed: Firm.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx23.htm)] [added: Firm.](https://www.sec.gov/Archives/edgar/data/217346/000021734626000006/q4202510k-exx23.htm)] | | |

| 24 | | | | | | [Power of [removed: attorney.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx24.htm)] [added: attorney.](https://www.sec.gov/Archives/edgar/data/217346/000021734626000006/q4202510k-exx24.htm)] | | |

| 31.1 | | | | | | [Certification of Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of [removed: 2002.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx311.htm)] [added: 2002.](https://www.sec.gov/Archives/edgar/data/217346/000021734626000006/q4202510k-exx311.htm)] | | |

| 31.2 | | | | | | [Certification of Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of [removed: 2002.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx312.htm)] [added: 2002.](https://www.sec.gov/Archives/edgar/data/217346/000021734626000006/q4202510k-exx312.htm)] | | |

| 3.2B | | | | | | [Amend](https://www.sec.gov/Archives/edgar/data/217346/000110465925101558/tm2529295d1_ex3-1.htm)[ment No. 1 to Amended](https://www.sec.gov/Archives/edgar/data/217346/000110465925101558/tm2529295d1_ex3-1.htm) [and Restated By-Laws of Textron Inc., effective October 22, 2025. Incorporated by reference to Exhibit 3.1 to Textron’s Current Report on Form 8-K filed on October 22, 2025.](https://www.sec.gov/Archives/edgar/data/217346/000110465925101558/tm2529295d1_ex3-1.htm) | | |

| 10.1C | | | | | | [F](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-101.htm)[orm of Non-Qualified Stock Option Agreement under 2024](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-101.htm) [Long-term In](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-101.htm)[centive Plan. Incorporated by reference to Exhibit 10.1 to Textron's Quarterly Report on Form 10-Q for the fiscal quarter ended March 29, 2025.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-101.htm) | | |

| 10.1D | | | | | | [Form of](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-102.htm) [Performance Share Unit Grant Agreement under 2024 Long-Term Incentive Plan.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-102.htm) [Incorporated by reference to Exhibit 10.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-102.htm)[2](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-102.htm) [to Textron's Quarterly Report on Form 10-Q for the fiscal quarter ended March 29, 2025.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-102.htm) | | |

| 10.1E | | | | | | [Form of](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-103.htm) [Stock-Settled Restricted Stock Unit (with Dividend Equivalents) Grant Agreement under 2024 Long-Term Incentive Plan.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-103.htm) [Incorporated by reference to Exhibit 10.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-103.htm)[3](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-103.htm) [to Textron's Quarterly Report on Form 10-Q for the fiscal quarter ended March 29, 2025.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000046/q1202510qex-103.htm) | | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

| 10.11 | | | | | | [Letter Agreement between Textron and Lisa Atherton, dated October 22, 2025.](https://www.sec.gov/Archives/edgar/data/217346/000110465925101558/tm2529295d1_ex10-1.htm) [Incorporated by reference to Exhibit](https://www.sec.gov/Archives/edgar/data/217346/000110465925101558/tm2529295d1_ex10-1.htm) [10](https://www.sec.gov/Archives/edgar/data/217346/000110465925101558/tm2529295d1_ex10-1.htm)[.1 to Textron’s Current Report on Form 8-K filed on October 22, 2025.](https://www.sec.gov/Archives/edgar/data/217346/000110465925101558/tm2529295d1_ex10-1.htm) | | |

| 10.13 | | | | | | [Letter Agreement between Textron and David Rosenberg, dated October 23, 2024.](https://www.sec.gov/Archives/edgar/data/217346/000021734626000006/q4202510k-exx1013.htm) | | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

| | | | | | | | | |

| | | | | | | | | |

| | | | | | | | | |

| 10.12B | | | | | | [Amended and Restated Hangar License and Services Agreement, made and entered into on July 24, 2015, between Textron Inc. and Mr. Connor’s limited liability company. Incorporated by reference to Exhibit 10.3 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended October 3, 2015 (SEC File No. 1-5480).](https://www.sec.gov/Archives/edgar/data/217346/000110465915073479/a15-17798_1ex10d3.htm) | | |

| 10.14B | | | | | | [Amendment to letter agreement between Textron and E. Robert Lupone, dated July 27, 2012. Incorporated by reference to Exhibit 10.5 to Textron’s Quarterly Report on Form 10-Q for the fiscal quarter ended September 29, 2012. (SEC File No. 1-5480)](https://www.sec.gov/Archives/edgar/data/217346/000110465912071046/a12-20149_1ex10d5.htm) | | |

| 19 | | | | | | [Policy on T](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx19.htm)[r](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx19.htm)[ading in Textron Securities.](https://www.sec.gov/Archives/edgar/data/217346/000021734625000017/q4202410k-exx19.htm) | | |

Pursuant to the requirement of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this Annual Report on Form 10-K to be signed on its behalf by the undersigned, thereunto duly authorized on this [removed: 6th] [added: 11th] day of February [removed: 2025.][added: 2026.]

| | | | | | | [removed: Frank T. Connor] [added: David Rosenberg] Executive Vice President and Chief Financial Officer | | |

Pursuant to the requirements of the Securities Exchange Act of 1934, this Annual Report on Form 10-K has been signed below on this [removed: 6th] [added: 11th] day of February [removed: 2025] [added: 2026] by the following persons on behalf of the registrant and in the capacities indicated:

| | | | [removed: /s/] Scott C. Donnelly | | | | | | [added: Executive Chairman] | | |

| | | | [removed: Scott C. Donnelly] [added: Lisa M. Atherton] | | | | | | [removed: Chairman,] President and Chief Executive Officer (principal executive officer) | | |

| | | | [removed: Frank T. Connor] [added: David Rosenberg] | | | | | | Executive Vice President and Chief Financial Officer (principal financial officer) | | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

| | | | By: | | | /s/ David Rosenberg | | |

[Table o](#i3c0d55fa8e084db6954ddb9936482ae9_7)[f](#i3c0d55fa8e084db6954ddb9936482ae9_7) [Contents](#i3c0d55fa8e084db6954ddb9936482ae9_7)

| | | | /s/ Lisa M. Atherton | | | | | | | | |

| | | | Rob Mionis | | | | | | Director | | |

| | | | * | | | | | | | | |

| | | | /s/ David Rosenberg | | | | | | | | |

| | | | | | | | | | | | |

| *By: | | | /s/ E. Robert Lupone | | | | | | | | |

| | | | E. Robert Lupone, Attorney-in-fact | | | | | | | | |

| | | | By: | | | /s/ Frank T. Connor | | |

| | | | James L. Ziemer | | | | | | Director | | |

| | | | /s/ Frank T. Connor | | | | | | | | |

| *By: | | | /s/ Jayne M. Donegan | | | | | | | | |

| | | | Jayne M. Donegan, Attorney-in-fact | | | | | | | | |