Company: CLX
Filing Date: 2025-10-07
Form Type: DEF 14A
Source: 0001552781-25-000311
Chunk: 106

Company: CLOROX CO /DE/
Filing Date: 2025-10-07
Form: DEF 14A
Chunk 106
---
 their compensation deferrals are invested in accordance with the terms of the plans and within the confines of the trusts, which hold the marketable securities. The trusts represent variable interest entities for which the Company is considered the primary beneficiary, and, therefore, trust assets are consolidated and included in Other assets in the consolidated balance sheets. The gains and losses on the trust assets are recorded in Other (income) expense, net in the consolidated statements of earnings. The interests in mutual funds are measured at fair value using quoted market prices. The Company has designated these marketable securities as trading investments.

| The                                              
 Clorox Company 2025 Proxy Statement > Appendix A | A-39 |

As of June 30, 2025, the balance of the trust assets related to the Company’s nonqualified deferred compensation plans increased by $15 as compared to June 30, 2024. Fair Value of Financial Instruments Financial assets and liabilities measured at fair value on a recurring basis in the consolidated balance sheets are required to be classified and disclosed in one of the following three categories of the fair value hierarchy: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs reflecting the reporting entity’s own assumptions. As of June 30, 2025 and 2024, the Company’s financial assets and liabilities that were measured at fair value on a recurring basis during the period included derivative financial instruments, which were classified as either Level 1 or Level 2, and trust assets to fund the Company’s nonqualified deferred compensation plans, which were classified as Level 1. All of the Company’s derivative instruments qualify for hedge accounting. The following table provides information about the balance sheet classification and the fair values of the Company’s derivative instruments:

|                            |                                   |           |     2025 |            |     2024 |            |
|                            | Balance                           
 Sheet Classification              |      Fair 
     Value 
 Hierarchy 
     Level | Carrying 
   Amount |  Estimated 
 Fair Value | Carrying 
   Amount |  Estimated 
 Fair Value |
| Assets                     |                                   |           |          |            |          |            |
| Commodity                  
 purchase futures contracts | Prepaid                           
 expenses and other current assets |         1 |        $ 
        3 |          $ 
          3 |      $ — |          $ 
          — |
| Commodity                  
 purchase swaps