Company: OC
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001370946-25-000205
Chunk: 28

Company: Owens Corning
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 1
Chunk 28
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 net of measurement period adjustments of net tangible and intangible assets acquired, net of liabilities assumed as part of the Arrangement:(In millions)As originally reportedMeasurement period adjustmentsAs adjustedCash and cash equivalents$282 $— $282 Receivables, net330 — 330 Inventories379 (2)377 Other current assets82 (4)78 Property, plant and equipment, net861 (3)858 Operating lease right-of-use assets253 — 253 Intangible assets1,579 (221)1,358 Deferred income taxes14 — 14 Other non-current assets91 — 91 Total assets3,871 (230)3,641 Accounts payable196 — 196 Current operating lease liabilities28 — 28 Other current liabilities187 6 193 Long-term debt867 — 867 Non-current operating lease liabilities235 — 235 Deferred income taxes413 (43)370 Other non-current liabilities32 13 45 Net assets acquired1,913 (206)1,707 Non-controlling interest(35)— (35)Goodwill1,308 206 1,514 Total net assets acquired$3,186 $— $3,186 The details on the methodology and significant inputs used for fair value of valuation are outlined below.GoodwillThe purchase consideration allocation resulted in $1.5 billion of goodwill. During the preliminary period, the Company increased the value of goodwill by $206 million. The goodwill is not deductible for tax purposes. The factors contributing to the recognition of the amount of goodwill are based on several strategic and synergistic benefits that are expected to be realized from the acquisition.ReceivablesThe fair value of receivables acquired is $330 million, with the gross contractual amount being $331 million. The Company expects $1 million to be uncollectible.InventoryThe fair value of inventory was determined by the market selling price of the inventory, less the remaining manufacturing and selling costs and a normal profit margin on those manufacturing and selling efforts. The fair value of inventory has been stepped up by $18 million, this amount has been fully amortized to Cost of Sales as the inventory was sold. Property, Plant and EquipmentThe fair value of property, plant and equipment is $858 million and was determined using cost and market approaches. The cost approach reflects the amount that would be required to replace