Company: BSX
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0000885725-25-000050
Chunk: 174

Company: BOSTON SCIENTIFIC CORP
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 8
Chunk 174
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 restructuring reserve balance:

As of(in millions)September 30, 2025December 31, 2024Restructuring reserve balance$69 $26 

Litigation-related Net Charges (Credits)

We record certain legal and product liability charges, credits and costs of defense, which we consider to be unusual or infrequent and significant as Litigation-related net charges (credits) within our accompanying unaudited consolidated financial statements. We did not record any litigation-related net charges (credits) during the third quarter and first nine months of 2025 or 2024. All other legal and product liability charges, credits and costs are recorded within SG&A expenses. 

We continue to assess certain litigation and claims to determine the amounts, if any, that management believes will be paid as a result of such claims and litigation, and therefore, additional losses may be accrued and paid in the future, which could materially adversely impact our operating results, cash flows and/or our ability to comply with the financial covenant required by our credit arrangements. Refer to Note H – Commitments and Contingencies to our unaudited consolidated financial statements contained in Part I, Item 1 of this Quarterly Report on Form 10-Q for discussion of our material legal proceedings.

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Table of Contents

Interest Expense

The following table provides a summary of our Interest expense and average borrowing rate:

Three Months Ended September 30,Nine Months Ended September 30,2025202420252024Interest expense (in millions)$(87)$(79)$(259)$(225)Average borrowing rate2.9 %2.8 %2.9 %2.8 %

Interest expense increased during the third quarter and first nine months of 2025 compared to the prior year period primarily due to a higher average borrowing rate and higher average outstanding debt balances. Refer to Liquidity and Capital Resources and Note E – Contractual Obligations and Commitments to our unaudited consolidated financial statements contained in Part I, Item 1 of this Quarterly Report on Form 10-Q for more information regarding our debt obligations.

Tax Rate

The following table provides a reconciliation of our reported tax rate to the rate from continuing operations:Three Months Ended September 30,Nine Months Ended September 30,2025202420252024Reported tax rate19.5 %30.0 %17.2 %24.4 %Impact of certain receipts/charges(1)(1.4)%(12.3)%0.