# EDGAR Filing Document

**Accession Number:** 0001871130
**File Stem:** 0001628280-26-022153
**Filing Date:** 2026-3
**Character Count:** 598864
**Document Hash:** 25ee8edbbc7da9cdd6f64163e16bd7e5
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001628280-26-022153.hdr.sgml**: 20260331

**ACCESSION NUMBER**: 0001628280-26-022153

**CONFORMED SUBMISSION TYPE**: 20-F

**PUBLIC DOCUMENT COUNT**: 155

**CONFORMED PERIOD OF REPORT**: 20251231

**FILED AS OF DATE**: 20260331

**DATE AS OF CHANGE**: 20260330

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Brookfield Business Holdings Corp
- **CENTRAL INDEX KEY:** 0001871130
- **STANDARD INDUSTRIAL CLASSIFICATION:** CONSTRUCTION SPECIAL TRADE CONTRACTORS [1700]
- **ORGANIZATION NAME:** 05 Real Estate & Construction
- **EIN:** 000000000
- **STATE OF INCORPORATION:** A1
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 20-F
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-41313
- **FILM NUMBER:** 26815932

**BUSINESS ADDRESS:**
- **STREET 1:** 225 LIBERTY STREET
- **STREET 2:** 8TH FLOOR
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10281
- **BUSINESS PHONE:** 2124177000

**MAIL ADDRESS:**
- **STREET 1:** 225 LIBERTY STREET
- **STREET 2:** 8TH FLOOR
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10281

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Brookfield Business Corp
- **DATE OF NAME CHANGE:** 20210706

?xml version='1.0' encoding='ASCII'? bbuc-20251231

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**FORM 20-F**

---

| | |
|:---|:---|
| **(Mark One)** | |
| ☐ | **REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) or (g) OF THE SECURITIES EXCHANGE ACT OF 1934** |
| **OR** | **OR** |
| ☒ | **ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** |
| **For the fiscal year ended December 31, 2025** | **For the fiscal year ended December 31, 2025** |
| **OR** | **OR** |
| **☐** | **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** |
| **OR** | **OR** |
| ☐ | **SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** |

---

**Commission file number: 001-41313**

**Brookfield Business Holdings Corporation**

*(Exact name of Registrant as specified in its charter)*

**N/A**

*(Translation of Registrant's name into English)*

**British Columbia, Canada**

*(Jurisdiction of incorporation or organization)*

**225 Liberty Street, 8th Floor**

 **New York, NY 10281-1048**

**United States**

*(Address of principal executive offices)*

**A.J. Silber**

**225 Liberty Street, 8th Floor**

**New York, NY 10281**

**United States**

**Tel: (212) 417-7000**

*(Name, Telephone, Email and/or Facsimile number and Address of Company Contact Person)*

**Securities registered or to be registered pursuant to Section 12(b) of the Act.**

---

| | | |
|:---|:---|:---|
| **Title of each class** | **Trading Symbols** | **Name of each exchange on which registered** |
| N/A | N/A | N/A |

---

**Securities registered or to be registered pursuant to Section 12(g) of the Act.**

**None**

**Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act.**

**None**

Indicate the number of outstanding shares of each of the issuer's classes of capital or common stock as of the close of the period covered by the annual report:

**69,077,731 Class A Exchangeable Subordinate Voting Shares as of December 31, 2025**

**One Class B Multiple Voting Share as of December 31, 2025**

**25,934,120 Class C Non-Voting Shares as of December 31, 2025**

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Yes ☐ No** 🗷

If this report is an annual or transition report, indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Yes ☐ No ☒**

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Yes ☒ No ☐**

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Yes ☒ No ☐**

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or an emerging growth company. See definitions of "accelerated filer", "large accelerated filer," and "emerging growth company" in Rule 12b-2 of the Exchange Act. (Check one):

---

| | | | |
|:---|:---|:---|:---|
| **Large accelerated filer ☐** | **Accelerated filer ☒** | **Non-accelerated filer ☐** | **Emerging growth company ☐** |

---

If an emerging growth company that prepares its financial statements in accordance with U.S. GAAP, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. □The term "new or revised financial accounting standard" refers to any update issued by the Financial Accounting Standards Board to its Accounting Standards Codification after April 5, 2012.

Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. 🗷

If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. **☐**

Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant's executive officers during the relevant recovery period pursuant to §240.10D-1(b). **☐**

Indicate by check mark which basis of accounting the registrant has used to prepare the financial statements included in this filing:

---

| | | |
|:---|:---|:---|
| □ **U.S. GAAP** | 🗷 **International Financial Reporting Standards as issued by the**<br>**International Accounting Standards Board** | □ **Other** |

---

If "Other" has been checked in response to the previous question, indicate by check mark which financial statement item the registrant has elected to follow.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Item 17** □ **Item 18** □

If this is an annual report, indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Yes ☐ No ☒**

**Explanatory Note**

On November 6, 2025, Brookfield Business Partners L.P. ("BBU"), Brookfield Business Holdings Corporation (formerly Brookfield Business Corporation) ("BBHC" or the "Registrant") and Brookfield Business Corporation (formerly 1559985 B.C. Ltd.) (the "Corporation") entered into an arrangement agreement pursuant to which, among other things, the parties agreed to implement a reorganization under the laws of the Province of British Columbia (the "Arrangement") to simplify BBU's and BBHC's corporate structure by converting BBU and BBHC into a single publicly traded corporate entity. The Arrangement was completed on March 27, 2026, following which BBU and the Registrant became subsidiaries of the Corporation. It is expected that on March 31, 2026 (i) the Registrant's class A exchangeable shares will be suspended from trading on the New York Stock Exchange and the Toronto Stock Exchange.

The Corporation is deemed to be the successor to BBU and the Registrant pursuant to Rule 12g-3(c) under the Securities Exchange Act of 1934, as amended (the "Exchange Act"). The Registrant is filing this Annual Report on Form 20-F for the year ended December 31, 2025 pursuant to the requirements of Rule 12g-3(g) under the Exchange Act.

------

**Table of Contents**

---

| | | | |
|:---|:---|:---|:---|
| | | | **Page** |
| <u>[INTRODUCTION AND USE OF CERTAIN TERMS](#ia2a7791b27c54949af00b97afc4897bd_13)</u> | <u>[INTRODUCTION AND USE OF CERTAIN TERMS](#ia2a7791b27c54949af00b97afc4897bd_13)</u> | <u>[INTRODUCTION AND USE OF CERTAIN TERMS](#ia2a7791b27c54949af00b97afc4897bd_13)</u> | <u>[1](#ia2a7791b27c54949af00b97afc4897bd_13)</u> |
| <u>[SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS](#ia2a7791b27c54949af00b97afc4897bd_16)</u> | <u>[SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS](#ia2a7791b27c54949af00b97afc4897bd_16)</u> | <u>[SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS](#ia2a7791b27c54949af00b97afc4897bd_16)</u> | <u>[5](#ia2a7791b27c54949af00b97afc4897bd_16)</u> |
| <u>[PART I](#ia2a7791b27c54949af00b97afc4897bd_19)</u> | <u>[PART I](#ia2a7791b27c54949af00b97afc4897bd_19)</u> | <u>[PART I](#ia2a7791b27c54949af00b97afc4897bd_19)</u> | <u>[6](#ia2a7791b27c54949af00b97afc4897bd_19)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 1.](#ia2a7791b27c54949af00b97afc4897bd_22)</u> | <u>[IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS](#ia2a7791b27c54949af00b97afc4897bd_22)</u> | <u>[IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS](#ia2a7791b27c54949af00b97afc4897bd_22)</u> | <u>[6](#ia2a7791b27c54949af00b97afc4897bd_22)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 2.](#ia2a7791b27c54949af00b97afc4897bd_25)</u> | <u>[OFFER STATISTICS AND EXPECTED TIMETABLE](#ia2a7791b27c54949af00b97afc4897bd_25)</u> | <u>[OFFER STATISTICS AND EXPECTED TIMETABLE](#ia2a7791b27c54949af00b97afc4897bd_25)</u> | <u>[6](#ia2a7791b27c54949af00b97afc4897bd_25)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 3.](#ia2a7791b27c54949af00b97afc4897bd_28)</u> | <u>[KEY INFORMATION](#ia2a7791b27c54949af00b97afc4897bd_28)</u> | <u>[KEY INFORMATION](#ia2a7791b27c54949af00b97afc4897bd_28)</u> | <u>[6](#ia2a7791b27c54949af00b97afc4897bd_28)</u> |
| | **<u>[3.A.](#ia2a7791b27c54949af00b97afc4897bd_31)</u>** | **<u>[RESERVED](#ia2a7791b27c54949af00b97afc4897bd_31)</u>** | <u>[6](#ia2a7791b27c54949af00b97afc4897bd_31)</u> |
| | **<u>[3.B.](#ia2a7791b27c54949af00b97afc4897bd_34)</u>** | **<u>[CAPITALIZATION AND INDEBTEDNESS](#ia2a7791b27c54949af00b97afc4897bd_34)</u>** | <u>[6](#ia2a7791b27c54949af00b97afc4897bd_34)</u> |
| | **<u>[3.C.](#ia2a7791b27c54949af00b97afc4897bd_37)</u>** | **<u>[REASONS FOR THE OFFER AND USE OF PROCEEDS](#ia2a7791b27c54949af00b97afc4897bd_37)</u>** | <u>[6](#ia2a7791b27c54949af00b97afc4897bd_37)</u> |
| | **<u>[3.D.](#ia2a7791b27c54949af00b97afc4897bd_40)</u>** | **<u>[RISK FACTORS](#ia2a7791b27c54949af00b97afc4897bd_40)</u>** | <u>[6](#ia2a7791b27c54949af00b97afc4897bd_40)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 4.](#ia2a7791b27c54949af00b97afc4897bd_43)</u> | <u>[INFORMATION ON THE COMPANY](#ia2a7791b27c54949af00b97afc4897bd_43)</u> | <u>[INFORMATION ON THE COMPANY](#ia2a7791b27c54949af00b97afc4897bd_43)</u> | <u>[22](#ia2a7791b27c54949af00b97afc4897bd_43)</u> |
| | **<u>[4.A.](#ia2a7791b27c54949af00b97afc4897bd_46)</u>** | **<u>[HISTORY AND DEVELOPMENT OF THE COMPANY](#ia2a7791b27c54949af00b97afc4897bd_46)</u>** | <u>[22](#ia2a7791b27c54949af00b97afc4897bd_46)</u> |
| | **<u>[4.B.](#ia2a7791b27c54949af00b97afc4897bd_49)</u>** | **<u>[BUSINESS OVERVIEW](#ia2a7791b27c54949af00b97afc4897bd_49)</u>** | <u>[23](#ia2a7791b27c54949af00b97afc4897bd_49)</u> |
| | **<u>[4.C.](#ia2a7791b27c54949af00b97afc4897bd_52)</u>** | **<u>[ORGANIZATIONAL STRUCTURE](#ia2a7791b27c54949af00b97afc4897bd_52)</u>** | <u>[27](#ia2a7791b27c54949af00b97afc4897bd_52)</u> |
| | **<u>[4.D.](#ia2a7791b27c54949af00b97afc4897bd_55)</u>** | **<u>[PROPERTY, PLANTS AND EQUIPMENT](#ia2a7791b27c54949af00b97afc4897bd_55)</u>** | <u>[27](#ia2a7791b27c54949af00b97afc4897bd_55)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 4A.](#ia2a7791b27c54949af00b97afc4897bd_58)</u> | <u>[UNRESOLVED STAFF COMMENTS](#ia2a7791b27c54949af00b97afc4897bd_58)</u> | <u>[UNRESOLVED STAFF COMMENTS](#ia2a7791b27c54949af00b97afc4897bd_58)</u> | <u>[27](#ia2a7791b27c54949af00b97afc4897bd_58)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 5.](#ia2a7791b27c54949af00b97afc4897bd_61)</u> | <u>[OPERATING AND FINANCIAL REVIEW AND PROSPECTS](#ia2a7791b27c54949af00b97afc4897bd_61)</u> | <u>[OPERATING AND FINANCIAL REVIEW AND PROSPECTS](#ia2a7791b27c54949af00b97afc4897bd_61)</u> | <u>[27](#ia2a7791b27c54949af00b97afc4897bd_61)</u> |
| | **<u>[5.A.](#ia2a7791b27c54949af00b97afc4897bd_64)</u>** | **<u>[OPERATING RESULTS](#ia2a7791b27c54949af00b97afc4897bd_64)</u>** | <u>[27](#ia2a7791b27c54949af00b97afc4897bd_64)</u> |
| | **<u>[5.B.](#ia2a7791b27c54949af00b97afc4897bd_67)</u>** | **<u>[LIQUIDITY AND CAPITAL RESOURCES](#ia2a7791b27c54949af00b97afc4897bd_67)</u>** | <u>[36](#ia2a7791b27c54949af00b97afc4897bd_67)</u> |
| | **<u>[5.C.](#ia2a7791b27c54949af00b97afc4897bd_70)</u>** | **<u>[RESEARCH AND DEVELOPMENT, PATENTS AND LICENSES, ETC.](#ia2a7791b27c54949af00b97afc4897bd_70)</u>** | <u>[44](#ia2a7791b27c54949af00b97afc4897bd_70)</u> |
| | **<u>[5.D.](#ia2a7791b27c54949af00b97afc4897bd_73)</u>** | **<u>[TREND INFORMATION](#ia2a7791b27c54949af00b97afc4897bd_73)</u>** | <u>[44](#ia2a7791b27c54949af00b97afc4897bd_73)</u> |
| | **<u>[5.E.](#ia2a7791b27c54949af00b97afc4897bd_76)</u>** | **<u>[CRITICAL ACCOUNTING ESTIMATES](#ia2a7791b27c54949af00b97afc4897bd_76)</u>** | <u>[44](#ia2a7791b27c54949af00b97afc4897bd_76)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 6.](#ia2a7791b27c54949af00b97afc4897bd_79)</u> | <u>[DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES](#ia2a7791b27c54949af00b97afc4897bd_79)</u> | <u>[DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES](#ia2a7791b27c54949af00b97afc4897bd_79)</u> | <u>[45](#ia2a7791b27c54949af00b97afc4897bd_79)</u> |
| | **<u>[6.A.](#ia2a7791b27c54949af00b97afc4897bd_82)</u>** | **<u>[DIRECTORS AND SENIOR MANAGEMENT](#ia2a7791b27c54949af00b97afc4897bd_82)</u>** | <u>[45](#ia2a7791b27c54949af00b97afc4897bd_82)</u> |
| | **<u>[6.B.](#ia2a7791b27c54949af00b97afc4897bd_85)</u>** | **<u>[COMPENSATION](#ia2a7791b27c54949af00b97afc4897bd_85)</u>** | <u>[48](#ia2a7791b27c54949af00b97afc4897bd_85)</u> |
| | **<u>[6.C.](#ia2a7791b27c54949af00b97afc4897bd_88)</u>** | **<u>[BOARD PRACTICES](#ia2a7791b27c54949af00b97afc4897bd_88)</u>** | <u>[48](#ia2a7791b27c54949af00b97afc4897bd_88)</u> |
| | **<u>[6.D.](#ia2a7791b27c54949af00b97afc4897bd_91)</u>** | **<u>[EMPLOYEES](#ia2a7791b27c54949af00b97afc4897bd_91)</u>** | <u>[55](#ia2a7791b27c54949af00b97afc4897bd_91)</u> |
| | **<u>[6.E.](#ia2a7791b27c54949af00b97afc4897bd_94)</u>** | **<u>[SHARE OWNERSHIP](#ia2a7791b27c54949af00b97afc4897bd_94)</u>** | <u>[55](#ia2a7791b27c54949af00b97afc4897bd_94)</u> |
| | **<u>[6.F.](#ia2a7791b27c54949af00b97afc4897bd_97)</u>** | **<u>[DISCLOSURE OF A REGISTRANT'S ACTION TO RECOVER ERRONEOUSLY AWARDED COMPENSATION](#ia2a7791b27c54949af00b97afc4897bd_97)</u>** | <u>[55](#ia2a7791b27c54949af00b97afc4897bd_97)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 7.](#ia2a7791b27c54949af00b97afc4897bd_100)</u> | <u>[MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS](#ia2a7791b27c54949af00b97afc4897bd_100)</u> | <u>[MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS](#ia2a7791b27c54949af00b97afc4897bd_100)</u> | <u>[55](#ia2a7791b27c54949af00b97afc4897bd_100)</u> |
| | **<u>[7.A.](#ia2a7791b27c54949af00b97afc4897bd_103)</u>** | **<u>[MAJOR SHAREHOLDERS](#ia2a7791b27c54949af00b97afc4897bd_103)</u>** | <u>[55](#ia2a7791b27c54949af00b97afc4897bd_103)</u> |
| | **<u>[7.B.](#ia2a7791b27c54949af00b97afc4897bd_106)</u>** | **<u>[RELATED PARTY TRANSACTIONS](#ia2a7791b27c54949af00b97afc4897bd_106)</u>** | <u>[55](#ia2a7791b27c54949af00b97afc4897bd_106)</u> |
| | **<u>[7.C.](#ia2a7791b27c54949af00b97afc4897bd_109)</u>** | **<u>[INTERESTS OF EXPERTS AND COUNSEL](#ia2a7791b27c54949af00b97afc4897bd_109)</u>** | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_109)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 8.](#ia2a7791b27c54949af00b97afc4897bd_112)</u> | <u>[FINANCIAL INFORMATION](#ia2a7791b27c54949af00b97afc4897bd_112)</u> | <u>[FINANCIAL INFORMATION](#ia2a7791b27c54949af00b97afc4897bd_112)</u> | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_112)</u> |
| | **<u>[8.A.](#ia2a7791b27c54949af00b97afc4897bd_115)</u>** | **<u>[CONSOLIDATED STATEMENTS AND OTHER FINANCIAL INFORMATION](#ia2a7791b27c54949af00b97afc4897bd_115)</u>** | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_115)</u> |
| | **<u>[8.B.](#ia2a7791b27c54949af00b97afc4897bd_118)</u>** | **<u>[SIGNIFICANT CHANGES](#ia2a7791b27c54949af00b97afc4897bd_118)</u>** | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_118)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 9.](#ia2a7791b27c54949af00b97afc4897bd_121)</u> | <u>[THE OFFER AND LISTING](#ia2a7791b27c54949af00b97afc4897bd_121)</u> | <u>[THE OFFER AND LISTING](#ia2a7791b27c54949af00b97afc4897bd_121)</u> | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_121)</u> |
| | **<u>[9.A.](#ia2a7791b27c54949af00b97afc4897bd_124)</u>** | **<u>[OFFER AND LISTING DETAILS](#ia2a7791b27c54949af00b97afc4897bd_124)</u>** | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_124)</u> |
| | **<u>[9.B.](#ia2a7791b27c54949af00b97afc4897bd_127)</u>** | **<u>[PLAN OF DISTRIBUTION](#ia2a7791b27c54949af00b97afc4897bd_127)</u>** | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_127)</u> |
| | **<u>[9.C.](#ia2a7791b27c54949af00b97afc4897bd_130)</u>** | **<u>[MARKETS](#ia2a7791b27c54949af00b97afc4897bd_130)</u>** | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_130)</u> |
| | **<u>[9.D.](#ia2a7791b27c54949af00b97afc4897bd_133)</u>** | **<u>[SELLING SHAREHOLDERS](#ia2a7791b27c54949af00b97afc4897bd_133)</u>** | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_133)</u> |
| | **<u>[9.E.](#ia2a7791b27c54949af00b97afc4897bd_136)</u>** | **<u>[DILUTION](#ia2a7791b27c54949af00b97afc4897bd_136)</u>** | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_136)</u> |
| | **<u>[9.F.](#ia2a7791b27c54949af00b97afc4897bd_139)</u>** | **<u>[EXPENSES OF THE ISSUE](#ia2a7791b27c54949af00b97afc4897bd_139)</u>** | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_139)</u> |

---

Brookfield Business Holding Corporation i

------

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 10.](#ia2a7791b27c54949af00b97afc4897bd_142)</u> | <u>[ADDITIONAL INFORMATION](#ia2a7791b27c54949af00b97afc4897bd_142)</u> | <u>[ADDITIONAL INFORMATION](#ia2a7791b27c54949af00b97afc4897bd_142)</u> | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_142)</u> |
| | **<u>[10.A.](#ia2a7791b27c54949af00b97afc4897bd_145)</u>** | **<u>[SHARE CAPITAL](#ia2a7791b27c54949af00b97afc4897bd_145)</u>** | <u>[56](#ia2a7791b27c54949af00b97afc4897bd_145)</u> |
| | **<u>[10.B.](#ia2a7791b27c54949af00b97afc4897bd_148)</u>** | **<u>[MEMORANDUM AND ARTICLES OF ASSOCIATION](#ia2a7791b27c54949af00b97afc4897bd_148)</u>** | <u>[57](#ia2a7791b27c54949af00b97afc4897bd_148)</u> |
| | **<u>[10.C.](#ia2a7791b27c54949af00b97afc4897bd_151)</u>** | **<u>[MATERIAL CONTRACTS](#ia2a7791b27c54949af00b97afc4897bd_151)</u>** | <u>[62](#ia2a7791b27c54949af00b97afc4897bd_151)</u> |
| | **<u>[10.D.](#ia2a7791b27c54949af00b97afc4897bd_154)</u>** | **<u>[EXCHANGE CONTROLS](#ia2a7791b27c54949af00b97afc4897bd_154)</u>** | <u>[62](#ia2a7791b27c54949af00b97afc4897bd_154)</u> |
| | **<u>[10.E.](#ia2a7791b27c54949af00b97afc4897bd_157)</u>** | **<u>[TAXATION](#ia2a7791b27c54949af00b97afc4897bd_157)</u>** | <u>[62](#ia2a7791b27c54949af00b97afc4897bd_157)</u> |
| | **<u>[10.F.](#ia2a7791b27c54949af00b97afc4897bd_160)</u>** | **<u>[DIVIDENDS AND PAYING AGENTS](#ia2a7791b27c54949af00b97afc4897bd_160)</u>** | <u>[63](#ia2a7791b27c54949af00b97afc4897bd_160)</u> |
| | **<u>[10.G.](#ia2a7791b27c54949af00b97afc4897bd_163)</u>** | **<u>[STATEMENT BY EXPERTS](#ia2a7791b27c54949af00b97afc4897bd_163)</u>** | <u>[63](#ia2a7791b27c54949af00b97afc4897bd_163)</u> |
| | **<u>[10.H.](#ia2a7791b27c54949af00b97afc4897bd_166)</u>** | **<u>[DOCUMENTS ON DISPLAY](#ia2a7791b27c54949af00b97afc4897bd_166)</u>** | <u>[63](#ia2a7791b27c54949af00b97afc4897bd_166)</u> |
| | **<u>[10.I.](#ia2a7791b27c54949af00b97afc4897bd_169)</u>** | **<u>[SUBSIDIARY INFORMATION](#ia2a7791b27c54949af00b97afc4897bd_169)</u>** | <u>[63](#ia2a7791b27c54949af00b97afc4897bd_169)</u> |
| | **<u>[10.J.](#ia2a7791b27c54949af00b97afc4897bd_172)</u>** | **<u>[ANNUAL REPORT TO SECURITY HOLDERS](#ia2a7791b27c54949af00b97afc4897bd_172)</u>** | |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 11.](#ia2a7791b27c54949af00b97afc4897bd_175)</u> | <u>[QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK](#ia2a7791b27c54949af00b97afc4897bd_175)</u> | <u>[QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK](#ia2a7791b27c54949af00b97afc4897bd_175)</u> | <u>[63](#ia2a7791b27c54949af00b97afc4897bd_175)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 12.](#ia2a7791b27c54949af00b97afc4897bd_178)</u> | <u>[DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES](#ia2a7791b27c54949af00b97afc4897bd_178)</u> | <u>[DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES](#ia2a7791b27c54949af00b97afc4897bd_178)</u> | <u>[63](#ia2a7791b27c54949af00b97afc4897bd_178)</u> |
| <u>[PART II](#ia2a7791b27c54949af00b97afc4897bd_181)</u> | <u>[PART II](#ia2a7791b27c54949af00b97afc4897bd_181)</u> | <u>[PART II](#ia2a7791b27c54949af00b97afc4897bd_181)</u> | <u>[64](#ia2a7791b27c54949af00b97afc4897bd_181)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 13.](#ia2a7791b27c54949af00b97afc4897bd_184)</u> | <u>[DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES](#ia2a7791b27c54949af00b97afc4897bd_184)</u> | <u>[DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES](#ia2a7791b27c54949af00b97afc4897bd_184)</u> | <u>[64](#ia2a7791b27c54949af00b97afc4897bd_184)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 14.](#ia2a7791b27c54949af00b97afc4897bd_187)</u> | <u>[MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS](#ia2a7791b27c54949af00b97afc4897bd_187)</u> | <u>[MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS](#ia2a7791b27c54949af00b97afc4897bd_187)</u> | <u>[64](#ia2a7791b27c54949af00b97afc4897bd_187)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 15.](#ia2a7791b27c54949af00b97afc4897bd_190)</u> | <u>[CONTROLS AND PROCEDURES](#ia2a7791b27c54949af00b97afc4897bd_190)</u> | <u>[CONTROLS AND PROCEDURES](#ia2a7791b27c54949af00b97afc4897bd_190)</u> | <u>[64](#ia2a7791b27c54949af00b97afc4897bd_190)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16.](#ia2a7791b27c54949af00b97afc4897bd_193)</u> | <u>[RESERVED](#ia2a7791b27c54949af00b97afc4897bd_193)</u> | <u>[RESERVED](#ia2a7791b27c54949af00b97afc4897bd_193)</u> | <u>[64](#ia2a7791b27c54949af00b97afc4897bd_193)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16A.](#ia2a7791b27c54949af00b97afc4897bd_196)</u> | <u>[AUDIT COMMITTEE FINANCIAL EXPERT](#ia2a7791b27c54949af00b97afc4897bd_196)</u> | <u>[AUDIT COMMITTEE FINANCIAL EXPERT](#ia2a7791b27c54949af00b97afc4897bd_196)</u> | <u>[65](#ia2a7791b27c54949af00b97afc4897bd_196)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16B.](#ia2a7791b27c54949af00b97afc4897bd_199)</u> | <u>[CODE OF ETHICS](#ia2a7791b27c54949af00b97afc4897bd_199)</u> | <u>[CODE OF ETHICS](#ia2a7791b27c54949af00b97afc4897bd_199)</u> | <u>[65](#ia2a7791b27c54949af00b97afc4897bd_199)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16C.](#ia2a7791b27c54949af00b97afc4897bd_202)</u> | <u>[PRINCIPAL ACCOUNTANT FEES AND SERVICES](#ia2a7791b27c54949af00b97afc4897bd_202)</u> | <u>[PRINCIPAL ACCOUNTANT FEES AND SERVICES](#ia2a7791b27c54949af00b97afc4897bd_202)</u> | <u>[65](#ia2a7791b27c54949af00b97afc4897bd_202)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16D.](#ia2a7791b27c54949af00b97afc4897bd_205)</u> | <u>[EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES](#ia2a7791b27c54949af00b97afc4897bd_205)</u> | <u>[EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES](#ia2a7791b27c54949af00b97afc4897bd_205)</u> | <u>[65](#ia2a7791b27c54949af00b97afc4897bd_205)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16E.](#ia2a7791b27c54949af00b97afc4897bd_208)</u> | <u>[PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS](#ia2a7791b27c54949af00b97afc4897bd_208)</u> | <u>[PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS](#ia2a7791b27c54949af00b97afc4897bd_208)</u> | <u>[66](#ia2a7791b27c54949af00b97afc4897bd_208)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16F.](#ia2a7791b27c54949af00b97afc4897bd_211)</u> | <u>[CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT](#ia2a7791b27c54949af00b97afc4897bd_211)</u> | <u>[CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT](#ia2a7791b27c54949af00b97afc4897bd_211)</u> | <u>[66](#ia2a7791b27c54949af00b97afc4897bd_211)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16G.](#ia2a7791b27c54949af00b97afc4897bd_214)</u> | <u>[CORPORATE GOVERNANCE](#ia2a7791b27c54949af00b97afc4897bd_214)</u> | <u>[CORPORATE GOVERNANCE](#ia2a7791b27c54949af00b97afc4897bd_214)</u> | <u>[66](#ia2a7791b27c54949af00b97afc4897bd_214)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16H.](#ia2a7791b27c54949af00b97afc4897bd_217)</u> | <u>[MINE SAFETY DISCLOSURE](#ia2a7791b27c54949af00b97afc4897bd_217)</u> | <u>[MINE SAFETY DISCLOSURE](#ia2a7791b27c54949af00b97afc4897bd_217)</u> | <u>[66](#ia2a7791b27c54949af00b97afc4897bd_217)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16I.](#ia2a7791b27c54949af00b97afc4897bd_220)</u> | <u>[DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS](#ia2a7791b27c54949af00b97afc4897bd_220)</u> | <u>[DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS](#ia2a7791b27c54949af00b97afc4897bd_220)</u> | <u>[66](#ia2a7791b27c54949af00b97afc4897bd_220)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16J.](#ia2a7791b27c54949af00b97afc4897bd_223)</u> | <u>[INSIDER TRADING POLICIES](#ia2a7791b27c54949af00b97afc4897bd_223)</u> | <u>[INSIDER TRADING POLICIES](#ia2a7791b27c54949af00b97afc4897bd_223)</u> | <u>[66](#ia2a7791b27c54949af00b97afc4897bd_220)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 16K.](#ia2a7791b27c54949af00b97afc4897bd_226)</u> | <u>[CYBERSECURITY](#ia2a7791b27c54949af00b97afc4897bd_226)</u> | <u>[CYBERSECURITY](#ia2a7791b27c54949af00b97afc4897bd_226)</u> | <u>[67](#ia2a7791b27c54949af00b97afc4897bd_226)</u> |
| <u>[PART III](#ia2a7791b27c54949af00b97afc4897bd_229)</u> | <u>[PART III](#ia2a7791b27c54949af00b97afc4897bd_229)</u> | <u>[PART III](#ia2a7791b27c54949af00b97afc4897bd_229)</u> | <u>[69](#ia2a7791b27c54949af00b97afc4897bd_229)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 17.](#ia2a7791b27c54949af00b97afc4897bd_232)</u> | <u>[FINANCIAL STATEMENTS](#ia2a7791b27c54949af00b97afc4897bd_232)</u> | <u>[FINANCIAL STATEMENTS](#ia2a7791b27c54949af00b97afc4897bd_232)</u> | <u>[69](#ia2a7791b27c54949af00b97afc4897bd_232)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 18.](#ia2a7791b27c54949af00b97afc4897bd_235)</u> | <u>[FINANCIAL STATEMENTS](#ia2a7791b27c54949af00b97afc4897bd_235)</u> | <u>[FINANCIAL STATEMENTS](#ia2a7791b27c54949af00b97afc4897bd_235)</u> | <u>[69](#ia2a7791b27c54949af00b97afc4897bd_235)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>[ITEM 19.](#ia2a7791b27c54949af00b97afc4897bd_238)</u> | <u>[EXHIBITS](#ia2a7791b27c54949af00b97afc4897bd_238)</u> | <u>[EXHIBITS](#ia2a7791b27c54949af00b97afc4897bd_238)</u> | <u>[69](#ia2a7791b27c54949af00b97afc4897bd_238)</u> |
| <u>[SIGNATURES](#ia2a7791b27c54949af00b97afc4897bd_241)</u> | <u>[SIGNATURES](#ia2a7791b27c54949af00b97afc4897bd_241)</u> | <u>[SIGNATURES](#ia2a7791b27c54949af00b97afc4897bd_241)</u> | <u>[71](#ia2a7791b27c54949af00b97afc4897bd_241)</u> |
| <u>[INDEX TO FINANCIAL STATEMENTS](#ia2a7791b27c54949af00b97afc4897bd_244)</u> | <u>[INDEX TO FINANCIAL STATEMENTS](#ia2a7791b27c54949af00b97afc4897bd_244)</u> | <u>[INDEX TO FINANCIAL STATEMENTS](#ia2a7791b27c54949af00b97afc4897bd_244)</u> | <u>F-[1](#ia2a7791b27c54949af00b97afc4897bd_244)</u> |

---

ii Brookfield Business Holding Corporation

------

**INTRODUCTION AND USE OF CERTAIN TERMS**

We have prepared this Form 20-F using a number of conventions, which you should consider when reading the information contained herein. Unless otherwise indicated or the context otherwise requires, in this Form 20-F all financial information is presented in accordance with IFRS® Accounting Standards as issued by the International Accounting Standards Board, or IASB.

In this Form 20-F, unless otherwise indicated or the context suggests otherwise, references to "we", "us", "our" and "our company" mean Brookfield Business Holdings Corporation together with all of its subsidiaries. References to "Brookfield Business Partners" means the partnership collectively with Holding LP, the Holding Entities and the operating businesses (but excluding our company). References to "our group" mean, collectively, our company and Brookfield Business Partners. Unless otherwise noted or the context otherwise requires, the disclosure in this Form 20-F has been given as of December 31, 2025, prior to the completion of the Arrangement.

In this Form 20-F, we use the following terms to refer to our operations, which is also the same manner in which the partnership refers to these operations:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "our construction operation" means our interest in Multiplex Global Limited;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "our dealer software and technology services operation" means our interest in CDK Global; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "our water and wastewater operation" means our interest in BRK Ambiental.

Unless the context suggests otherwise, in this Form 20-F references to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "2025 REU Exchange" means the acquisition of 18,105,781 Redemption-Exchange Units by the partnership from certain subsidiaries of Brookfield Wealth Solutions in exchange for the issuance of 18,105,781 units to such subsidiaries of Brookfield Wealth Solutions, pursuant to the exercise of the Redemption-Exchange Mechanism;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "articles" means the notice of articles and articles of our company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Arrangement" means the court approved arrangement involving BBUC, BBU and BBHC under Part 9, Division 5 of the BCBCA, on the terms and conditions set forth in the plan of arrangement, as a result of which, among other things, (i) each outstanding unit, Redemption-Exchange Unit and exchangeable share was transferred to BBUC in exchange, in each case, for one BBUC Class A Share, (ii) the outstanding common shares of the BBU General Partner held by Brookfield were transferred to BBUC in exchange for one BBUC Class B Share, and (iii) each outstanding Special LP Unit held by Brookfield Asset Management was transferred to BBUC in exchange for one BBUC Special Share;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Asset Management Company" means Brookfield Asset Management ULC, which is wholly-owned, directly and indirectly, by Brookfield Asset Management;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "assets under management" means assets managed by us or by Brookfield on behalf of our third-party investors, as well as our own assets, and also include capital commitments that have not yet been drawn. Our calculation of assets under management may differ from that employed by other asset managers and, as a result, this measure may not be comparable to similar measures presented by other asset managers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "BBU General Partner" means Brookfield Business Partners Limited, a wholly-owned subsidiary of BBUC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "BBUC" means Brookfield Business Corporation (formerly 1559985 B.C. Ltd.);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "BBUC Class A Shares" means the class A subordinate voting shares in the capital of BBUC, and "BBUC Class A Share" means any one-of them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "BBUC Class B Shares" means the class B subordinate voting shares in the capital of BBUC, and "BBUC Class B Share" means any one-of them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "BBUC Special Shares" means the non-voting special incentive shares in the capital of BBUC, and "BBUC Special Share" means any one of them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "BCBCA" means the Business Corporations Act (British Columbia);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "BRK Ambiental" means BRK Ambiental Participações S.A.;

Brookfield Business Holding Corporation 1

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Brookfield" means Brookfield Corporation and any subsidiary of Brookfield Corporation, other than our group and, unless the context otherwise requires, includes Brookfield Asset Management;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Brookfield Accounts" means Brookfield-sponsored vehicles, consortiums and/or partnerships (including private funds, joint ventures, co-investment vehicles, sidecar vehicles, separate accounts, region-specific vehicles, strategy-specific vehicles, sector-specific vehicles, Brookfield proprietary accounts and similar arrangements) collectively with the Related-Party Investor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Brookfield Asset Management" means Brookfield Asset Management Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Brookfield Brazil" means Brookfield Brasil Asset Management Investmentos Ltda.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Brookfield Business Partners" means, prior to the effective time of the Arrangement, the partnership collectively with Holding LP, the Holding Entities, and any other direct or indirect subsidiary of a Holding Entity (but excluding our company);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Brookfield Holders" means Brookfield, Brookfield Wealth Solutions and their respective subsidiaries and related parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Brookfield Personnel" means the partners, members, shareholders, directors, officers and employees of Brookfield;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Brookfield Renewable Partners" means Brookfield Renewable Partners L.P.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Brookfield Wealth Solutions" means Brookfield Wealth Solutions Ltd., a paired entity of Brookfield Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "CDK Global" means CDK Global II LLC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "CDS" means Clearing and Depository Services Inc.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "class B shares" means the class B multiple voting shares in the capital of our company and "class B share" means any one of them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "class C shares" means the class C non-voting shares in the capital of our company and "class C share" means any one of them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Code" means the Internal Revenue Code of 1986, as amended;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "CODM" means Chief Operating Decision Maker;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "CRA" means the Canada Revenue Agency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "DTC" means the Depository Trust Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "exchangeable shares" means the class A exchangeable subordinate voting shares of BBHC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "general partner of the partnership" means Brookfield Business Partners Limited, a wholly-owned subsidiary of BBUC (or prior to the completion of the Arrangement, Brookfield Corporation);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Holding Entities" means the primary holding subsidiaries of the Holding LP, through which it indirectly holds all of our interests in our operating businesses, including Brookfield BBP Canada Holdings Inc., Brookfield BBP US Holdings LLC and Brookfield BBP Bermuda Holdings Limited;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Holding LP" means Brookfield Business L.P.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "IASB" means the International Accounting Standards Board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "IFRIC 23" means IFRIC 23, Uncertainty over Income Tax Treatments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "IFRS" means IFRS® Accounting Standards as issued by the IASB;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "IFRS 3" means IFRS 3, Business combinations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "IFRS 16" means IFRS 16, Leases;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "IFRS 17" means IFRS 17, Insurance contracts;

2 Brookfield Business Holding Corporation

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Investment Company Act" means the U.S. Investment Company Act of 1940, as amended;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "IRS" means the Internal Revenue Service;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Licensing Agreement" means the licensing agreement which the partnership, Brookfield Business Corporation and the Holding LP have entered into with Brookfield, pursuant to which Brookfield has granted a non-exclusive, royalty-free license to use the name "Brookfield" and the Brookfield logo, as amended;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Managing General Partner Units" means the general partner interests in the Holding LP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Master Services Agreement" means the amended and restated master services agreement dated January 23, 2024 among the Service Recipients, the Service Providers, and certain other subsidiaries of Brookfield who are parties thereto as amended in connection with the Arrangement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "MD&A" means the management's discussion and analysis of financial conditions and results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "MI 61-101" means Multilateral Instrument 61-101-Protection of Minority Security Holders in Special Transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Multiplex" means Multiplex Global Limited;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "NYSE" means New York Stock Exchange;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Oaktree" means Oaktree Capital Group, LLC together with its affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Oaktree Accounts" means Oaktree-managed funds and accounts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "OEM" means original equipment manufacturer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "operating businesses" means the businesses in which the Holding Entities hold interests and that directly or indirectly hold our operations and assets other than entities in which the Holding Entities hold interests for investment purposes only of less than 5% of the equity securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "our business" means our business of owning and operating certain services and operations, both directly and through other intermediary entities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "our company" means Brookfield Business Holdings Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "our healthcare services" means our prior interest in Healthscope;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "our initial operations" means the initial operations acquired by our company immediately prior to the special distribution, consisting of Healthscope, Multiplex, BRK Ambiental and Westinghouse;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "our nuclear technology services operations" means our prior interest in Westinghouse;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "our operations" means our collective operating subsidiaries we own, including our construction operation, our dealer software and technology services operation, and our water and wastewater operation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "partnership" means Brookfield Business Partners L.P., except as the context otherwise requires;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "PRI" means Principles for Responsible Investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Redemption-Exchange Mechanism" means the mechanism by which a holder of Redemption-Exchange Units may request redemption of its Redemption-Exchange Units in whole or in part in exchange for cash, subject to the right of our company to acquire such interests (in lieu of such redemption) in exchange for units of our company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Redemption-Exchange Units" means the non-voting limited partnership interests in the Holding LP that are redeemable for cash, subject to the right of the partnership to acquire such interests (in lieu of such redemption) in exchange for units of the partnership, pursuant to the Redemption-Exchange Mechanism;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Related-Party Investor" means an investment vehicle in which certain executives and former executives of Brookfield own a substantial majority whose investment mandate is managed by such executives, Brookfield, Oaktree and PSG;

Brookfield Business Holding Corporation 3

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Rights Agreement" means the amended and restated rights agreement dated December 23, 2024, by and between Brookfield Corporation and Wilmington Trust, National Association;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Sarbanes-Oxley Act" means the U.S. Sarbanes-Oxley Act of 2002, as amended;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "SEC" means the U.S. Securities and Exchange Commission;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Service Providers" means the affiliates of Brookfield that provide services to us pursuant to our Master Services Agreement, which are expected to be Brookfield Asset Management Private Institutional Capital Adviser (Private Equity), L.P., Brookfield Asset Management Services SRL, Brookfield Private Capital (DIFC) Limited, Brookfield BBP Canadian GP L.P. and Brookfield Global Business Advisor Limited, each of which is an indirect wholly-owned subsidiary of Brookfield Asset Management, and unless the context otherwise requires, any other affiliate of Brookfield that is appointed by a Service Provider from time to time to act as a Service Provider pursuant to our Master Services Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Service Recipients" means our company, BBUC, the partnership, the Holding LP, the Holding Entities, BBUC Holdings Inc. and, at the option of the Holding Entities, any wholly-owned subsidiary of a Holding Entity excluding any operating business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "shareholder" means a holder of exchangeable shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "SOFR" means the Secured Overnight Financing Rate published by the Federal Reserve Bank of New York (or a successor administrator);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "SONIA" means Sterling Overnight Index Average;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "special distribution" means the special distribution of exchangeable shares on March 15, 2022 by the partnership to holders of units of record as of March 7, 2022, as further described in Item 4.A, "History and Development of the Company";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "special distribution date" means March 15, 2022;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Special LP Units" means special limited partnership units of the Holding LP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Tax Act" means the Income Tax Act (Canada), together with the regulation thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "TCFD" means the Task Force on Climate-related Financial Disclosures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Treasury Regulations" means the regulations promulgated under the Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "TSX" means the Toronto Stock Exchange;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "unitholders" means the holders of the partnership's units;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "units" or "LP Units" means the non-voting limited partnership units of the partnership;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "U.S. Exchange Act" means U.S. Securities Exchange Act of 1934, as amended;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "U.S. Securities Act" means U.S. Securities Act of 1933, as amended; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "Westinghouse" means Westinghouse Electric Company.

**Historical Performance and Market Data**

This Form 20-F contains information relating to our business as well as historical performance and market data. When considering this data, you should bear in mind that historical results and market data may not be indicative of the future results that you should expect from us.

**Financial Information**

The financial information contained in this Form 20-F is presented in United States dollars and, unless otherwise indicated, has been prepared in accordance with IFRS. All figures are unaudited unless otherwise indicated. In this Form 20-F, all references to "$" are to United States dollars, references to "£" are to British Pounds, references to "€" are to Euros, references to "C$" are to Canadian dollars, references to "A$" are to Australian dollars and references to "R$" are to Brazilian Reais.

4 Brookfield Business Holding Corporation

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**SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS**

This Form 20-F contains "forward-looking information" within the meaning of Canadian provincial securities laws and "forward-looking statements" within the meaning of applicable Canadian and U.S. securities laws, including the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, include statements regarding the operations, business, financial condition, expected financial results, performance, prospects, opportunities, priorities, targets, goals, ongoing objectives, strategies and outlook of our group, as well as regarding recently completed and proposed acquisitions, dispositions and other transactions, and the outlook for North American and international economies for the current fiscal year and subsequent periods, and include words such as "expects", "anticipates", "plans", "believes", "estimates", "seeks", "intends", "targets", "projects", "forecasts", "views", "potential", "likely" or negative versions thereof and other similar expressions, or future or conditional verbs such as "may", "will", "should", "would" and "could".

Factors that could cause actual results to differ materially from those contemplated or implied by forward-looking statements include, but are not limited to, the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our compliance with environmental laws and the broader impacts of climate change;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• cybersecurity incidents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in government policy and legislation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the possible impact of international conflicts, wars and related developments including terrorist acts and cyber terrorism;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• federal, state and foreign anti-corruption and trade sanctions laws and restrictions on foreign direct investment applicable to us and our group's operating businesses create the potential for significant liabilities and penalties, the inability to complete transactions, imposition of significant costs and burdens, and reputational harm;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• failure to realize the anticipated benefits of the Arrangement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• operational or business risks that are specific to any of our operating businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reliance on third party service providers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the ability to complete and effectively integrate acquisitions into existing operations and the ability to attain expected benefits;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the effectiveness of our internal controls over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• other risks and factors detailed in this Form 20-F, including, but not limited to, those described under Item 3.D "Risk Factors" and elsewhere in this Form 20-F.

The reader should not place undue reliance on forward-looking statements or information as a prediction of actual results. The risks, uncertainties and assumptions described in this Form 20-F could cause our actual results and our plans and strategies to vary from our forward-looking statements or information. We qualify any and all of our forward-looking statements by these cautionary factors. Please keep this special note in mind as you read this Form 20-F. We undertake no obligation to publicly update or revise any forward-looking statements or information, whether written or oral, that may be as a result of new information, future events or otherwise, except as required by law.

Brookfield Business Holding Corporation 5

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**PART I**

**ITEM 1. IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS**

Not applicable.

**ITEM 2. OFFER STATISTICS AND EXPECTED TIMETABLE**

Not applicable.

**ITEM 3. KEY INFORMATION**

**3. A [RESERVED]**

**3. B CAPITALIZATION AND INDEBTEDNESS**

Not applicable.

**3. C REASONS FOR THE OFFER AND USE OF PROCEEDS**

Not applicable.

**3. D RISK FACTORS**

 *The following summarizes some, but not all of the risks provided below. You should carefully consider the following risk factors in addition to the other information set forth in this Form 20-F. If any of the following risks were actually to occur, our business, financial condition and results of operations would likely suffer.* 

**Risks Relating to our Operations Generally**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to the cyclical nature of our operations and general economic conditions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to identifying acquisition opportunities and acquiring distressed companies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to the accuracy of our management's assumptions and estimates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to our group's indebtedness and our group's ability to distribute equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to our group's access to the credit and capital markets and our group's ability to raise capital.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to changes or developments in U.S. laws or policies, including U.S. domestic and economic policies and trade policies and tariffs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to the structure of our group's operations and our level of control over our group's operations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to our technology and information systems.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to realizing the benefits of the Arrangement.

**Risks Relating to our Operations** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to our dealer software and technology services operation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to the unpredictable award of new contracts in the construction market.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to reduced profits or losses under contracts if costs increase above estimates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to performance guarantees and operating under various types of construction-related contracts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to macroeconomic factors and climate change affecting our construction operation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to our water and wastewater operation in Brazil.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to the dependence on supplies of raw materials.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to the Brazilian government's control over the Brazilian economy and Brazilian corporations.

6 Brookfield Business Holding Corporation

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**Risks Relating to our Company**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to our ability to maintain effective internal controls.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Risks relating to our company's completion of new acquisitions and changes to the scale and scope of our operations.

**Risks Relating to our Operations Generally**

***Our group's operating businesses are highly cyclical and subject to general economic conditions and risks relating to the economy.***

Many industries, including the industries in which we operate, are impacted by adverse events in the broader economy and/or financial markets. A slowdown in the financial markets and/or the global economy or the local economies of the regions in which we operate, including, but not limited to, the acceleration or reversal of key global trends such as deglobalization, decarbonization and digitization, new home construction, employment rates, business conditions, inflation, fuel and energy costs, commodity prices, lack of available credit, the state of the financial markets, imposition of tariffs and retaliatory actions, government policies in the jurisdictions in which our company operates, interest rates and tax rates may adversely affect our growth and profitability. For example, a worldwide recession, reduction in available skilled labor, a period of below-trend growth in developed countries, a slowdown in emerging markets or significant declines in commodity factors could have a material adverse effect on our business, financial condition and results of operations, if such increased levels of volatility and market turmoil were to persist for an extended duration. These and other unforeseen adverse events in the global economy could negatively impact our group's operations.

The demand for products and services provided by our operating businesses is, in part, dependent upon and correlated to general economic conditions and economic growth of the regions applicable to the relevant asset. Poor economic conditions or lower economic growth in a region or regions may, either directly or indirectly, reduce demand for the products and/or services provided by our operating businesses. In particular, the sectors in which we operate are highly cyclical, and we are subject to cyclical fluctuations in global economic conditions and end-use markets. We are unable to predict the future course of industry variables or the strength, pace or sustainability of the global economic recovery and the effects of government intervention. Negative economic conditions, such as an economic downturn, a prolonged global inflationary period, a prolonged period of higher interest rates or a prolonged recovery period or disruptions in the financial markets, could have a material adverse effect on our businesses, financial condition or results or operations.

A significant portion of the upward pressure on prices has been attributed to the rising costs of labor, energy, food, motor vehicles and housing, and continuing global supply-chain disruptions. Inflation increases may or may not be transitory and future inflation may be impacted by labor market constraints reducing, supply-chain disruptions easing and commodity prices moderating. While regulated and contractual arrangements in our portfolio companies can provide significant protection against inflationary pressures, any sustained upward trajectory in the inflation rate may still have an impact on our operating businesses and our investors, and could impact our ability to source suitable investment opportunities, match or exceed prior investment strategy performance and secure attractive debt financing, all of which could adversely impact our operating businesses and our growth and capital initiatives.

***Our group may acquire distressed companies and these acquisitions may subject our group to increased risks, including the incurrence of additional legal or other expenses.***

As part of our group's acquisition strategy, our group may acquire distressed companies. This could involve acquisitions of securities of companies in event-driven special situations, such as acquisitions, tender offers, bankruptcies, recapitalizations, spin-offs, corporate and financial restructurings, litigation or other liability impairments, turnarounds, management changes, consolidating industries and other catalyst-oriented situations. Acquisitions of this type involve substantial financial and business risks that can result in substantial or total losses. Among the problems involved in assessing and making acquisitions in troubled issuers is the fact that it frequently may be difficult to obtain information as to the condition of such issuer. If, during the diligence process, our group fails to identify issues specific to a company or the environment in which our company operates, our group may be forced to later write down or write off assets, restructure our group's operations or incur impairment or other charges that may result in other reporting losses.

As a consequence of our group's role as an acquirer of distressed companies, our group may be subject to increased risk of incurring additional legal, indemnification or other expenses, even if our group is not named in any action. In distressed situations, litigation often follows when disgruntled shareholders, creditors and other parties seek to recover losses from poorly performing investments. The enhanced litigation risk for distressed companies is further elevated by the potential that Brookfield or our group may have controlling or influential positions in these companies.

Brookfield Business Holding Corporation 7

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***Our group operates in a highly competitive market for acquisition opportunities.***

Our group's acquisition strategy is dependent to a significant extent on Brookfield's ability to identify acquisition opportunities that are suitable for our group. We face competition for acquisitions primarily from investment funds, operating companies acting as strategic buyers, commercial and investment banks and commercial finance companies. Many of these competitors are substantially larger and have considerably greater financial, technical and marketing resources than are available to our group. Some of these competitors may also have higher risk tolerances or different risk assessments, which could allow them to consider a wider variety of acquisitions and to offer terms that we are unable or unwilling to match. To finance our acquisitions, we compete for equity capital from institutional partners and other equity providers, including Brookfield, and our ability to consummate acquisitions will be dependent on such capital continuing to be available. Increases in interest rates could also make it more difficult to consummate acquisitions because our competitors may have a lower cost of capital, which may enable them to bid higher prices for assets. In addition, because of our affiliation with Brookfield, there is a higher risk that when we participate with Brookfield and others in joint ventures, partnerships and consortiums on acquisitions, we may become subject to antitrust or competition laws that we would not be subject to if we were acting alone. These factors may create competitive disadvantages for our group with respect to acquisition opportunities.

We cannot provide any assurance that the competitive pressures we face will not have a material adverse effect on our business, financial condition and results of operations or that Brookfield will be able to identify and make acquisitions on our group's behalf that are consistent with our objectives or that generate attractive returns for our shareholders and the partnership's unitholders. We may lose acquisition opportunities in the future if we do not match prices, structures and terms offered by competitors, if we are unable to access sources of equity or obtain indebtedness at attractive rates or if we become subject to antitrust or competition laws. Alternatively, we may experience decreased rates of return and increased risks of loss if we match prices, structures and terms offered by competitors.

***Our group's business and results of operations depend on the accuracy of our management's assumptions and estimates, and our group could experience significant gains or losses if these assumptions and estimates differ significantly from actual results.***

Our group makes and relies on certain assumptions and estimates regarding many matters related to our group's businesses, including valuations, interest rates, investment returns, expenses and operating costs, tax assets and liabilities, tax rates, business mix, surrender activity, mortality and contingent liabilities. Our group also uses these assumptions and estimates to make decisions crucial to our group's business operations. Similarly, our group's management teams make similar assumptions and estimates in planning and measuring the performance of our group's asset management business. In addition, certain investments and other assets and liabilities of our group's asset management business and our group's business operations must be, or at our election are, measured at fair value the determination of which involves the use of various assumptions and estimates and considerable judgment. The factors influencing these various assumptions and estimates cannot be calculated or predicted with certainty, and if our assumptions and estimates differ significantly from actual outcomes and results, our business, financial condition, results of operations, liquidity and cash flows may be materially and adversely affected.

***Our group may be unable to complete acquisitions, dispositions and other transactions as planned.***

Our group's acquisitions, dispositions and other transactions typically are subject to a number of closing conditions, including, as applicable, securing the requisite financing to complete the transaction and obtaining any required security holder approval, regulatory approval (including competition authorities) and other third party consents and approvals that are beyond our group's control and may not be satisfied. In particular, many jurisdictions in which we seek to invest (or divest) impose government consent requirements on investments by foreign persons. Consents and approvals may not be obtained, may be obtained subject to conditions which adversely affect anticipated returns, and/or may be delayed and delay or ultimately preclude the completion of acquisitions, dispositions and other transactions. Government policies and attitudes in relation to foreign investment may change, making it more difficult to complete acquisitions, dispositions and other transactions in such jurisdictions. Furthermore, interested stakeholders could take legal steps to prevent transactions from being completed. If all or some of our group's acquisitions, dispositions and other transactions are unable to be completed on the terms agreed, our group may need to modify or delay or, in some cases, terminate these transactions altogether (which may result in the payment of significant break-up fees), the market value of our group's respective securities may significantly decline, and our group may not be able to achieve the expected benefits of the transactions.

***We do not control when the units we hold in the new evergreen fund managed by Brookfield Asset Management will be redeemed or what the value of the units will be at the time of redemption.***

In connection with our recent disposition of a portion of our interest in our dealer software and technology services operation, we received units of a new evergreen fund managed by Brookfield Asset Management with an initial redemption value of approximately $306 million. In the 18 month period following the initial closing of this new fund, these units are expected to

8 Brookfield Business Holding Corporation

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be redeemed for cash at an 8.6% discount to NAV at the time of redemption, and any remaining units still outstanding after this 18-month period will be redeemable at NAV. As of December 31, 2025, approximately 13% of the units we hold of the new evergreen fund had been redeemed for aggregate proceeds of approximately $41 million. The timeline for redemption of the remainder of these units is not yet known and will depend on factors beyond the control of our company. There can be no assurance regarding the timing of redemption, the NAV of these units at the time of redemption or the proceeds to be received by our company.

***Our group uses leverage and such indebtedness may result in our group or our group's operating subsidiaries being subject to certain covenants that restrict our group's ability to engage in certain types of activities or to make distributions to equity.***

Many of our group's operating subsidiaries have entered into or will enter into credit facilities or have incurred or will incur other forms of debt, including for acquisitions. The total quantum of exposure to debt within our group is significant, and we may become more leveraged in the future.

Leveraged assets are more sensitive to declines in revenues, increases in expenses and interest rates, and adverse economic, market and industry developments. A leveraged company's income and net assets also tend to increase or decrease at a greater rate than would otherwise be the case if money had not been borrowed. As a result, the risk of loss associated with a leveraged company, all other things being equal, is generally greater than for companies with comparatively less debt. In addition, the use of indebtedness in connection with an acquisition may give rise to negative tax consequences to certain investors. Leverage may also result in a requirement for short-term liquidity, which may force the sale of assets at times of low demand and/or prices for such assets. This may mean that our group is unable to realize fair value for the assets in a sale.

An increase in either the general levels of interest rates or in the risk spread demanded by sources of indebtedness would make it more expensive to finance our group's investments. Increases in interest rates could also make it more difficult to locate and consummate private equity and other investments because other potential buyers, including operating companies acting as strategic buyers, may be able to bid for an asset at a higher price due to a lower overall cost of capital or their ability to benefit from a higher amount of cost savings following the acquisition of the asset. In addition, certain of our group's financings are, and future financings may be exposed to floating interest rate risks, and if interest rates increase, an increased proportion of our cash flow may be required to service indebtedness. In addition, a portion of the indebtedness used to finance private equity investments often includes high-yield debt securities issued in the capital markets. Disruptions and volatility in capital markets, including those caused by rising interest rates, could increase our group's cost of capital and adversely affect our group's ability to fund its liquidity and capital needs and the growth of the business. If our group is unable to obtain committed debt financing for potential acquisitions or can only obtain debt at high interest rates or on other unfavorable terms, our group may have difficulty completing acquisitions or may generate profits that are lower than would otherwise be the case.

Our group's credit facilities also contain, and will contain in the future, covenants applicable to the relevant borrower and events of default. Covenants can relate to matters including limitations on financial indebtedness, dividends, acquisitions, or minimum amounts for interest coverage, cash flow or net worth. If an event of default occurs, or minimum covenant requirements are not satisfied, this can result in a requirement to immediately repay any drawn amounts or the imposition of other restrictions including a prohibition on the payment of distributions to equity.

***Our group may not be able to access the credit and capital markets at the times and in the amounts needed to satisfy capital expenditure requirements, to fund new acquisitions or otherwise.***

General economic and business conditions that impact the debt or equity markets could impact the availability and cost of credit for our group. Actions to reduce inflation, including raising interest rates, increase our cost of borrowing, which in turn could make it more difficult to obtain financing for our operations or investments on favorable terms. We have revolving credit facilities and other short-term borrowings and the amount of interest charged on these will fluctuate based on changes in short-term interest rates. Any economic event that affects interest rates or the ability to refinance borrowings could materially adversely impact our financial condition. Continued movements in interest rates could also affect the discount rates used to value our assets, which in turn could cause their valuations calculated under IFRS to be reduced resulting in a material reduction in our equity value.

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Some of our group's operations require significant capital expenditures, and proposed acquisitions often require significant financing. If we are unable to generate enough cash to finance necessary capital expenditures and to fund acquisitions through existing liquidity and/or operating cash flow, then we may be required to issue additional equity or incur additional indebtedness. Our group's ability to obtain debt or equity financing to fund our group's growth, and our group's ability to refinance existing corporate and non-recourse indebtedness on favorable terms, if at all, is dependent on, among other factors, the level of future interest rates, the overall state of capital markets (as well as local market conditions, particularly in the case of non-recourse financings), continued operating performance of our group's assets, lenders' and investors' assessment of our group's credit risk and investor appetite for investments in infrastructure, industrials and business services in general and in our partnership's securities in particular. If our group is unable to refinance our indebtedness on favorable terms or at all, our group would be required to repay our group's indebtedness with cash on hand or with cash flows from our group's operations. The issuance of additional equity would be dilutive to existing shareholders at the time. Any additional indebtedness would increase our group's leverage and debt payment obligations, and may negatively impact our business, financial condition and results of operations.

Our businesses rely on continued access to capital to fund new acquisitions and capital projects. While we aim to prudently manage our capital requirements and ensure access to capital is always available, it is possible we may overcommit ourselves or misjudge the requirement for capital or the availability of capital. Such a misjudgment could result in negative financial consequences or, in extreme cases, bankruptcy.

***Changes in our group's credit ratings may have an adverse effect on our financial position and ability to raise capital.***

We cannot assure you that any credit rating assigned to our group or any of our operating subsidiaries or their debt securities will remain in effect for any given period of time or that any rating will not be lowered or withdrawn entirely by the relevant rating agency. A lowering or withdrawal of such ratings may have an adverse effect on our financial position and ability to raise capital.

***Changes or developments in U.S. laws or policies, including changes in U.S. domestic economic policies and foreign trade policies and tariffs and the reaction of other countries thereto, may have a material adverse effect on our business and financial condition.***

The announcement and imposition of tariffs by the U.S., together with potential, announced or implemented retaliatory tariffs imposed by other governments on imports from the U.S., and other potential measures, including duties, fees, economic sanctions or other trade measures, as well as the potential impacts of these tariffs and trade measures, present risks to our business operations and financial results. The eventuality, timing and rates of potential tariffs are difficult to predict at this time. Changes or developments in U.S. laws and policies, such as laws and policies surrounding U.S. economic policies, including the United States-Mexico-Canada Agreement ("USMCA"), as well as international trade, foreign affairs, manufacturing and development and investment in the territories and countries where we operate, can materially adversely affect our business and financial condition. Changes in U.S. administrative policy may result in significant increases in tariffs for imported goods, among other possible changes. The U.S. has also stated its interest in renegotiating and altering the USMCA in 2026, which could further impact our business and financial condition.

There also are risks associated with retaliatory tariffs and resulting trade wars. The imposition of such tariffs or other similar trade restrictions may strain international trade relations and increase the risk that foreign governments implement retaliatory tariffs on goods imported from the United States. The imposition of such tariffs or other similar trade restrictions may also be inflationary, which could cause the cost of inputs to increase and interest rates to rise and create further uncertainty and volatility in the market, which may have a material adverse effect on our business and financial statements.

***Political instability and unfamiliar cultural factors could adversely impact the value of our investments.***

We are subject to geographical uncertainties in all jurisdictions in which we operate, including North America. We also make investments in businesses that are based outside of North America and we may pursue investments in unfamiliar markets, which may expose our group to additional risks not typically associated with investing in North America. We may not properly adjust to the local culture and business practices in such markets, and there is the prospect that we may hire personnel or partner with local persons who might not comply with our culture and ethical business practices; either scenario could result in the failure of our initiatives in new markets and lead to financial losses for our group and our managed entities. There are risks of political instability in several of our major markets and in other parts of the world in which we conduct business, including, for example, Brazil, from factors such as political conflict, protests, income inequality, refugee migration, terrorism, the potential break-up of political or economic unions and political corruption; the materialization of one or more of these risks could negatively affect our financial performance. For example, changes in U.S. policy have resulted in significant new or increased tariffs, export controls and other trade measures, resulting in strained international trade relations and the implementation of retaliatory tariffs on goods imported from the U.S. by foreign governments.

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Unforeseen political events in markets where our group's operating subsidiaries own and operate assets and may look to for further growth of our businesses, such as the U.S., Brazilian, Australian and European markets, may create economic uncertainty that has a negative impact on our financial performance. Such uncertainty could cause disruptions to our businesses, including affecting the business of and/or our relationships with our customers and suppliers, as well as altering the relationship among tariffs and currencies, including the value of the British pound and the Euro relative to the U.S. dollar. Disruptions and uncertainties could adversely affect our financial condition, operating results and cash flows. In addition, political outcomes in the markets in which we operate may also result in legal uncertainty and potentially divergent national laws and regulations, which can contribute to general economic uncertainty. Economic uncertainty impacting our group and our managed entities could be exacerbated by political events, including those in the United States, Brazil, Australia, Europe and elsewhere.

***All of our group's operating businesses are subject to changes in government policy and legislation.***

Our group's financial condition and results of operations could also be affected by changes in economic or other government policies or other political or economic developments in each country or region, as well as by regulatory changes or administrative practices, over which our group has no control such as: the regulatory environment related to our group's business operations, concession agreements and periodic regulatory resets; interest rates; benchmark interest rate reforms; currency fluctuations; exchange controls and restrictions; inflation; tariffs; liquidity of domestic financial and capital markets; policies relating to climate change or policies relating to tax; and other political, social, economic, and environmental and occupational health and safety developments that may occur in or affect the countries in which our group's operating businesses are located or conduct business or the countries in which the customers of our group's operating businesses are located or conduct business or both.

It is difficult to predict government policies and what form of laws and regulations will be adopted or how they will be construed by the relevant courts, or the extent to which any changes may adversely affect our group.

***Alternative and emerging technologies, including artificial intelligence could impact the demand for, or use of, the businesses and assets that we own and operate and could impair or eliminate the competitive advantage of such businesses and assets.***

There are alternative and emerging technologies, including artificial intelligence, that may impact the demand for, or use of, the businesses and assets that our group owns and operates. While some such technologies are in earlier stages of development, ongoing research and development activities may improve such technologies, including artificial intelligence. Moreover, the use of artificial intelligence, including our use of third-party products incorporating artificial intelligence, and the overall adoption of artificial intelligence throughout society, may exacerbate or create new and unpredictable competitive, operational, legal and regulatory risks to our business. There is substantial uncertainty about the extent to which artificial intelligence will result in dramatic changes throughout the world, and we may not be able to anticipate, prevent, mitigate, or remediate all of the potential risks, challenges, or impacts of such changes. Such changes could potentially disrupt and impair, among other things, our business models, investment strategies, operational processes and the competitive advantage of our businesses and assets, and as a result our businesses, financial condition, results of operations and cash flow could be materially and adversely affected.

***A business disruption may adversely affect our financial condition and results of operations.***

Our businesses are vulnerable to damages from any number of sources, including computer viruses, unauthorized access, energy blackouts, natural disasters, pandemics, terrorism, war and telecommunication failures. Any of these events that cause interruptions in our operations, or the operations at any of our portfolio companies, could result in a material disruption to our businesses. If we are unable to recover from a business disruption effectively or on a timely basis, our financial condition and results of operations would be adversely affected. We may also incur additional costs to remedy damages caused by such disruptions, which could adversely affect our financial condition and results of operations.

***We are subject to foreign currency risk and our use of or failure to use derivatives to hedge certain financial positions may adversely affect the performance of our group's operations.***

A significant portion of our current operations are in countries where the U.S. dollar is not the functional currency. These operating businesses pay distributions in currencies other than the U.S. dollar, which we must convert to U.S. dollars prior to making distributions, and certain of our operating businesses have revenues denominated in currencies different from U.S. dollars, which is utilized in our financial reporting, thus exposing our group to currency risk. Fluctuations in currency exchange rates or a significant depreciation in the value of certain foreign currencies (for example, the Brazilian real) could reduce the value of cash flows generated by our operating businesses or could make it more expensive for our customers to purchase our services, and could have a material adverse effect on our business, financial condition and results of operations.

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When managing our exposure to such market risks, we may use forward contracts, options, swaps, caps, collars and floors or pursue other strategies or use other forms of derivative instruments. However, a significant portion of this risk may remain unhedged. We may also choose to establish unhedged positions in the ordinary course of business. The success of any hedging or other derivative transactions that we enter into generally will depend on our ability to structure contracts that appropriately offset our risk position. As a result, while we may enter into such transactions in order to reduce our exposure to market risks, unanticipated market changes may result in poorer overall investment performance than if the derivative transaction had not been executed. Such transactions may also limit the opportunity for gain if the value of a hedged position increases.

The *Dodd-Frank Wall Street Reform and Consumer Protection Act*, or the Dodd-Frank Act, and similar laws in other jurisdictions impose rules and regulations governing federal and other governmental oversight of the over-the-counter derivatives market and its participants. These regulations may impose additional costs and regulatory scrutiny on our group. We cannot predict the effect of changing derivatives legislation on our hedging costs, our hedging strategy or its implementation or the composition of the risks we hedge.

***It can be very difficult or expensive to obtain the insurance we need for our business operations.***

We maintain insurance both as a corporate risk management strategy and in some cases to satisfy the requirements of contracts entered into in the course of our group's operations. Although in the past we have generally been able to cover our insurance needs, there can be no assurances that we can secure all necessary or appropriate insurance in the future, or that such insurance can be economically secured. We monitor the financial health of the insurance companies from which we procure insurance, but if any of our third party insurers fail, abruptly cancel our coverage or otherwise cannot satisfy their insurance requirements to our group, then our overall risk exposure and operational expenses could be increased and some of our business operations could be interrupted.

***Performance of our group's operating businesses may be harmed by future labor disruptions and economically unfavorable collective bargaining agreements.***

Certain of our group's current operations have workforces that are unionized or that in the future may become unionized and, as a result, are or will be required to negotiate the wages, benefits and other terms with many of their employees collectively. If an operating business were unable to negotiate acceptable contracts with any of its unions as existing agreements expire, it could experience a significant disruption of its operations, higher ongoing labor costs and restrictions on its ability to maximize the efficiency of its operations, which could have the potential to adversely impact our financial condition.

In addition, in some jurisdictions where our group has operations, labor forces have a legal right to strike which may have an impact on our group's operations, either directly or indirectly, for example if a critical upstream or downstream counterparty was itself subject to a labor disruption which impacted our group's business.

***Our group's operations are exposed to occupational health and safety and accident risks.***

Our group's operations are highly exposed to the risk of accidents that may give rise to personal injury, loss of life, disruption to service and economic loss, including, for example, resulting from related litigation. Some of the tasks undertaken by employees and contractors are inherently dangerous and have the potential to result in serious injury or death.

Our group's operations are subject to increasingly stringent laws and regulations governing health and safety matters. Occupational health and safety legislation and regulations differ in each jurisdiction. Any breach of these obligations, or serious accidents involving our employees, contractors or members of the public, could expose us or our operating businesses to adverse regulatory consequences, including the forfeit or suspension of operating licenses, potential litigation, claims for material financial compensation, reputational damage, fines or other legislative sanction, which have the potential to adversely impact our group's financial condition. Furthermore, where our group does not control a business, we have a limited ability to influence their health and safety practices and outcomes.

***We are subject to litigation risks that could result in significant liabilities that could adversely affect our group's operations.***

Our group is, from time to time, involved in disputes and possible litigation, the extent of which cannot be ascertained. Any material or costly dispute or litigation could adversely affect the value of our assets or our future financial performance. We could be subject to various legal proceedings concerning disputes of a commercial nature, or to claims in the event of bodily injury or material damage. The final outcome of any proceeding could have a negative impact on the business, financial condition or results of operations of our group.

In addition, under certain circumstances, we may ourselves commence litigation. There can be no assurance that litigation, once begun, would be resolved in our favor.

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Our group will also be exposed to risk of litigation by third parties or government regulators if our management is alleged to have committed an act or acts of gross negligence, willful misconduct or dishonesty or breach of contract or organizational documents or to violate applicable law. In such actions, we would likely be obligated to bear legal, settlement and other costs (which may exceed our available insurance coverage).

***Our group may have operations in jurisdictions with less developed legal systems, which could create potential difficulties in obtaining effective legal redress.***

Some of our group's operations are located in jurisdictions with less developed legal systems than those in more established economies. In these jurisdictions, our group could be faced with potential difficulties in obtaining effective legal redress; a higher degree of discretion on the part of governmental authorities; a lack of judicial or administrative guidance on interpreting applicable rules and regulations; inconsistencies or conflicts between and within various laws, regulations, decrees, orders and resolutions; and relative inexperience of the judiciary and courts in such matters.

In addition, in some jurisdictions, the commitment of local business people, government officials and agencies and the judicial system to abide by legal requirements and negotiated agreements could be uncertain, creating particular concerns with respect to permits, approvals and licenses required or desirable for, or agreements entered into in connection with, businesses in any such jurisdiction. These may be susceptible to revision or cancellation and legal redress may be uncertain or delayed. There can be no assurance that joint ventures, licenses, permits or approvals (or applications for licenses, permits or approvals) or other legal arrangements will not be adversely affected by the actions of government authorities or others and the effectiveness of and enforcement of such arrangements in these jurisdictions cannot be assured.

***Our group does not control all of the businesses in which we own interests and therefore we may not be able to realize some or all of the benefits that we expect to realize from those interests.***

Our group does not have control of certain of the businesses in which we own interests and we may take non-controlling positions in other businesses in the future. Such businesses may make financial or other decisions that we do not agree with. Because we do not have the ability to exercise control over such businesses, we may not be able to realize some or all of the benefits that we expect to realize from our ownership interests in them, including, for example, expected distributions. In addition, we must rely on the internal controls and financial reporting controls of such businesses and their failure to maintain effective controls or comply with applicable standards may adversely affect our group.

***From time to time, we may have significant interests in public companies, and changes in the market prices of the stock of such public companies, particularly during times of increased market volatility, could have a negative impact on our financial condition and results of operations.***

From time to time, our group may hold significant interests in public companies, and changes in the market prices of the stock of such public companies could have a material impact on our financial condition and results of operations. Global securities markets have been highly volatile, and continued volatility may have a material negative impact on our consolidated financial position and results of operations.

***We are exposed to the risk of environmental damage and costs associated with compliance with environmental laws.***

Our group's operating businesses are involved in using, handling or transporting substances that are toxic, radioactive, combustible or otherwise hazardous to the environment and may be in close proximity to environmentally sensitive areas or densely populated communities. If a leak, spill or other environmental incident occurred, it could pose a health risk to humans or wildlife, cause property damage or result in substantial fines or penalties being imposed by regulatory authorities, revocation of licenses or permits required to operate the business or the imposition of more stringent conditions in those licenses or permits, or legal claims for compensation (including punitive damages) by affected stakeholders. For example, such risks are present in our water and wastewater operations, which includes the largest private water and sewage treatment operations in Brazil. In addition, some of our operating businesses may be subject to regulations or rulings made by environmental agencies that conflict with existing obligations we have under concession or other permitting agreements. Resolution of such conflicts may lead to uncertainty and increased risk of delays or cost overruns on projects. In addition to fines, these laws and regulations sometimes require evaluation and registration or the installation of costly pollution control or safety equipment or costly changes in operations to limit pollution or decrease the likelihood of injuries. Certain of our current industrial manufacturing operations are also subject to increasingly stringent environmental laws and regulations relating to our current and former properties, neighboring properties and our current raw materials, products and operations. Governmental requirements relating to the protection of the environment, including solid waste management, air quality and water quality could have an impact on our group's operations. All of these risks could require our group to incur costs or become the basis of new or increased liabilities that could be material and could have the potential to significantly impact our value or financial performance.

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***Our group is exposed to the risk of increasingly onerous environmental legislation and the broader impacts of climate change.***

With an increasing global focus and public sensitivity to environmental sustainability and environmental regulation becoming more stringent, we could be subject to further environmental related responsibilities and associated liability. For example, many jurisdictions in which our group operates and invests are considering implementing, or have implemented, schemes relating to the regulation of carbon emissions. As a result, there is a risk that demand for some of the commodities supplied by certain of our group's operations will be reduced. The nature and extent of future regulation in the various jurisdictions in which our group's operations are situated is uncertain but is expected to become more complex and stringent.

Environmental legislation and permitting requirements are likely to evolve in a manner which will require stricter standards and enforcement, increased fines and penalties for non-compliance, more stringent environmental assessments of proposed projects and a heightened degree of responsibility for companies and their directors and employees.

It is difficult to assess the impact of any such changes on our group. These changes may result in increased costs to our group's operations that may not be able to be passed onto customers and may have an adverse impact on prospects for growth of some of our group's businesses. To the extent such regimes (such as carbon emissions schemes or other carbon emissions regulations) become applicable to our group's operations (and the costs of such regulations are not able to be fully passed on to consumers), our financial performance may be impacted due to costs applied to carbon emissions and increased compliance costs.

Our group is also subject to a wide range of laws and regulations relating to the protection of the environment and pollution. Standards are set by these laws and regulations regarding certain aspects of environmental quality and reporting, provide for penalties and other liabilities for the violation of such standards, and establish, in certain circumstances, obligations to remediate and rehabilitate current and former facilities and locations where our group's operations are, or were, conducted. These laws and regulations may have a detrimental impact on our group's financial performance through increased compliance costs or otherwise. Any breach of these obligations, or even incidents relating to the environment that do not amount to a breach, could adversely affect the results of our operating businesses and their reputations and expose them to claims for financial compensation or adverse regulatory consequences.

Our group's operations may also be exposed directly or indirectly to the broader impacts of climate change, including extreme weather events, export constraints on commodities, increased resource prices and restrictions on energy and water usage. In addition to the physical risks associated with climate change, we are also subject to transition risks, which include those risks related to the impact of climate- and sustainability-related legislation and regulation, as well as risks arising from climate-related business trends.

New climate change-related regulations or interpretations of existing laws may result in enhanced disclosure obligations that could negatively affect our group and also materially increase our group's regulatory compliance burden. Our group also faces business trend-related climate risks. Certain investors are taking into account sustainability factors, including climate risks, in determining whether to invest in our company. Moreover, certain investors have demonstrated activism with respect to public companies, including by urging them to take certain actions that could adversely impact the value of a business, or refrain from taking certain actions that could improve the value of a business. Investor focus and activism related to sustainability and similar matters may constrain capital raising opportunities. Our group's reputation and investor relationships could be damaged as a result of our group's involvement in certain industries, operating businesses or transactions associated with activities perceived to be causing or exacerbating climate change, as well as any decisions our group makes to continue to conduct or change our group's activities in response to considerations relating to climate change.

***Some of our group's current operations are structured as joint ventures, partnerships and consortiums or structured arrangements, and we intend to continue to operate in this manner in the future, which will reduce Brookfield's and our control over our group's operations and may subject our group to additional obligations.***

An integral part of our group's strategy is to participate with institutional partners in Brookfield-sponsored or co-sponsored consortiums for single asset acquisitions and as a partner in or alongside Brookfield-sponsored or co-sponsored partnerships that target acquisitions that suit our profile. Such arrangements involve risks not present where a third party is not involved, including the possibility that partners or co-venturers might become bankrupt or otherwise fail to fund their share of required capital contributions. Additionally, partners or co-venturers might at any time have economic or other business interests or goals different from our group and Brookfield. We generally owe fiduciary duties to our partners in our joint venture and partnership arrangements.

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Joint ventures, partnerships and consortium investments generally provide for a reduced level of control over an acquired company because governance rights are shared with others. Accordingly, decisions relating to the underlying operations, including decisions relating to the management and operation and the timing and nature of any exit, are often made by a majority vote of the investors or by separate agreements that are reached with respect to individual decisions, or in the case of a structured investment, by agreement with the target's management team. For example, when we participate with institutional partners in Brookfield-sponsored or co-sponsored consortiums for asset acquisitions and as a partner in or alongside Brookfield-sponsored or co-sponsored partnerships, there is often a finite term to the investment, which could lead to the business being sold prior to the date we would otherwise choose. In addition, such operations may be subject to the risk that business, financial or management decisions are made with which we do not agree or the management of the operating business at issue may take risks or otherwise act in a manner that does not serve our interests. Because we may not have the ability to exercise sole control over such operations, we may not be able to realize some or all of the benefits that we believe will be created from our and Brookfield's involvement. If any of the foregoing were to occur, our business, financial condition and results of operations could suffer as a result. Our group may also, together with institutional partners, make structured preferred equity or debt investments ("structured investments") in businesses that Brookfield considers attractive but which have certain downside risks, usually because the applicable business, asset class or technology is at an early stage of development. While these structured investments provide a secure, downside protected entry point into new assets classes and businesses, they do not give operational control to Brookfield or to our group.

In addition, because some of our current operations are structured as joint ventures, partnerships or consortium arrangements, the sale or transfer of interests in some of our group's operations are subject to rights of first refusal or first offer, tag along rights or drag along rights and some agreements provide for buy-sell or similar arrangements, any of which could be exercised outside of our control and accordingly could have an adverse impact on our group.

***Our group relies on the use of technology and information systems, many of which are controlled by third-party vendors, which may not be able to accommodate our group's growth or may increase in cost and may become subject to cyber-terrorism or other compromises and shut-downs, and any failures or interruptions of these systems could adversely affect our group's businesses and results of operations.***

Our group operates in businesses that are dependent on information systems and other technology, such as computer systems used for information storage, processing, administrative and commercial functions as well as the machinery and other equipment used in certain parts of our group's operations. In addition, our group's businesses rely on telecommunication services to interface with their business networks and customers. The information and embedded systems of key business partners and regulatory agencies are also important to our group's operations. Our group relies on this technology functioning as intended. Our information systems and technology may not continue to be able to accommodate our group's growth, and the cost of maintaining such systems may increase from its current level. Such a failure to accommodate growth, or an increase in costs related to such information systems, could have a material adverse effect on our group.

Our group relies heavily on our group's financial, accounting, communications and other data processing systems. Our businesses collect, store and use large amounts of sensitive information through our group's information technology systems, such as our residential mortgage insurer and our Canadian residential and multi-family mortgage lender, which receive personal and private information from borrowers and lenders. Our information technology systems face ongoing cybersecurity threats and attacks, which could result in the failure of such infrastructure. We may in the future be, subject to cyber-terrorism or other compromises and shut-downs, noting the increasing frequency, sophistication and severity of these kinds of incidents. Our dealer software and technology services operation has been subject to such an attack in June 2024 - see Item 16.K - Cybersecurity. Threat actors and hackers have previously been, and may in the future be, able to negatively affect our operations by penetrating our security controls and causing system and operational disruptions or shutdowns, accessing, misappropriating or otherwise compromising protected personal information or proprietary or confidential information or that of third parties, and developing and deploying viruses, ransomware and other malware that can attack our systems, exploit any security vulnerabilities, and disrupt or shutdown our systems and operations. Such attacks could originate from a wide variety of sources, including internal actors or unknown third parties. While we believe that prior cyber-related attacks and incidents (including the cybersecurity incident at our dealer software and technology services operation in June 2024) have not materially affected our business strategy, results of operations or financial condition, there is no guarantee that a future cyber-related attack or incident would not result in significant operational, regulatory, or financial impacts that could materially affect our business strategy, results of operations or financial condition. Cybersecurity incidents may remain undetected for an extended period, which could exacerbate these consequences. The costs to eliminate or address the foregoing security threats and vulnerabilities before or after a cyber-incident could be material. In addition, a significant actual or potential theft, loss, corruption, exposure, fraudulent, unauthorized or accidental use or misuse of investor, policyholder, employee or other personally identifiable or proprietary business data, whether by third parties or as a result of employee malfeasance or otherwise, non-compliance with our group's contractual or other legal obligations regarding such data or intellectual property or a violation of our privacy and security policies with respect to such data could result in significant remediation and other costs, fines, litigation and regulatory actions against us by governments, various

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regulatory organizations or exchanges, or affected individuals, in addition to significant reputational harm and/or financial loss, and it may not be possible to recover losses suffered from such incidents under our insurance policies.

If our information systems and other technology are compromised, do not operate or are disabled, such incidents could have a material adverse effect on our business prospects, financial condition, results of operations and cash flow. Our group has become increasingly reliant on third party service providers for certain aspects of our business, including for the administration of certain funds our group manages, as well as for certain information systems and technology platforms. A disaster, disruption or compromise in technology or infrastructure that supports our group's businesses, including a disruption involving electronic communications or other services used by our group, our vendors or third parties with whom we conduct business, may have an adverse impact on our group's ability to continue to operate our group's businesses without interruption which could have a material adverse effect on our group. These risks could increase as vendors increasingly offer cloud-based software services rather than software services that can be operated within our own group's data centers. These risks also increase to the extent our group engages with vendors and third parties in jurisdictions with which our group is not familiar. In addition to the fact that these third-party service providers could also face ongoing cyber security threats and compromises of their systems, our group generally has less control over the delivery of such third-party services, and as a result, our group may face disruptions to our group's ability to operate a business as a result of interruptions of such services. A prolonged global failure of cloud services provided by a variety of cloud services providers that our group engages could result in cascading systems failures for our group. Although we are continuing to develop measures to ensure the integrity of our systems, we can provide no assurance that our efforts or those of third parties with whom we conduct business will be successful in protecting our systems and preventing or ameliorating damage from a cyber incident.

***Rapidly developing and changing global privacy laws and regulations could increase compliance costs and subject our group to enforcement risks and reputational damage.***

Our group is subject to various risks and costs associated with the collection, processing, storage and transmission of personally identifiable information and other sensitive and confidential information. This data is wide ranging and relates to our group's investors, employees, contractors and other counterparties and third parties. Our group's compliance obligations include those in laws and regulations in jurisdictions globally, including those relating to foreign data collection and privacy laws, including, for example, the General Data Protection Regulation in the European Union. Other countries where we operate are enacting or amending data protection, AI and other technology laws to empower regulators to impose financial penalties and injunctions on certain data processing activities, which could have an adverse effect on our business. Global laws in this area are rapidly increasing in the scale and depth of their requirements, and are also often extra-territorial in nature. In addition, a wide range of regulators and private actors are seeking to enforce these laws across regions and borders. Furthermore, our group frequently has privacy compliance requirements as a result of our group's contractual obligations with counterparties. These legal, regulatory and contractual obligations heighten our group's privacy obligations in the ordinary course of conducting our group's business in the U.S., Canada and internationally.

While our group has taken various measures and made significant efforts and investment to ensure that our group's policies, processes and systems are both robust and compliant with these obligations, our group's potential liability remains, particularly given the continued and rapid development of privacy laws and regulations around the world, and increased criminal and civil enforcement actions and private litigation. Any inability, or perceived inability, by our group to adequately address privacy concerns, or comply with applicable laws, regulations, policies, industry standards and guidance, contractual obligations or other legal obligations, even if unfounded, could result in significant regulatory and third-party liability, increased costs, disruption of our group's business and operations, a loss of client (including investor) confidence and other reputational damage. Furthermore, as new privacy-related laws and regulations are implemented, the time and resources needed for our group to comply with such laws and regulations continues to increase and become a significant compliance workstream.

***Federal, state and foreign anti-corruption and trade sanctions laws and restrictions on foreign direct investment applicable to us and our operating businesses create the potential for significant liabilities and penalties, the inability to complete transactions, imposition of significant costs and burdens, and reputational harm and we may also be subject to various governmental investigations.***

Brookfield, the partnership and our company and our operating businesses are subject to various governmental investigations, audits and inquiries, both formal and informal. These investigations, regardless of their outcome, can be costly, divert management attention and damage our reputation. The unfavorable resolution of such investigations could result in criminal liability, fines, penalties or other monetary or non-monetary sanctions and could materially affect our business or results of operations.

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Brookfield, the partnership, our company and our operating businesses are subject to a number of laws and regulations governing payments and contributions to public officials or other third parties both domestically and in respect of operations abroad, including the U.S. Foreign Corrupt Practices Act of 1977 (the "FCPA"), various federal and state corruption laws, and similar laws in non-U.S. jurisdictions, such as the United Kingdom Bribery Act 2010, the Canadian Corruption of Foreign Public Officials Act ("CFPOA"), Part IV of the Canadian *Criminal Code* and the Brazilian Clean Company Act. This global focus on anti-bribery and corruption enforcement may also lead to more investigations, both formal and informal, in this area, the results of which cannot be predicted.

The FCPA prohibits bribery of non-U.S. officials, candidates for office and political parties, and requires U.S. companies to keep books and records that accurately and fairly reflect those companies' transactions. Similar laws in non-U.S. jurisdictions, such as the United Kingdom Bribery Act 2010 and the CFPOA, as well as other applicable anti-bribery, anti-corruption or related laws in the United States and abroad, may also impose stricter or more onerous requirements than the FCPA, and implementing them may disrupt our business or cause us to incur significantly more costs to comply with those laws. The policies and procedures we have implemented to comply with anti-bribery and corruption legislation may be inadequate. If we fail to comply with such laws and regulations, we could be exposed to claims for damages, financial penalties, incarceration of our employees, reputational harm, restrictions on our operations and other liabilities, which could negatively affect our operating results and financial condition. In addition, we may be subject to successor liability for violations under these laws and regulations or other acts of bribery committed by us or our operating businesses.

Instances of bribery, fraud, accounting irregularities and other improper, illegal or corrupt practices can be difficult to detect, in particular when conducting due diligence in connection with acquisitions, and fraud and other deceptive practices can be widespread in certain jurisdictions. Our group invests in emerging market countries that may not have established stringent anti-bribery and corruption laws and regulations, where existing laws and regulations may not be consistently enforced, or that are perceived to have materially higher levels of corruption according to international rating standards. Due diligence on investment opportunities in these jurisdictions is frequently more challenging because consistent and uniform commercial practices in such locations may not have developed or do not meet international standards. Bribery, fraud, accounting irregularities and corrupt practices can be especially difficult to detect in such locations. When acquiring assets in distress, the quality of financial information of the target may also make it difficult to identify irregularities.

Our group is also subject to laws and regulations governing trade and economic sanctions. The Office of Foreign Assets Control of the U.S. Department of the Treasury ("OFAC"), the U.S. Department of Commerce and the U.S. Department of State administer and enforce various trade control laws and regulations, including economic and trade sanctions based on U.S. foreign policy and national security goals against targeted foreign states, organizations and individuals. These laws and regulations implicate a number of aspects of our group's business, including servicing existing investors, finding new investors, and sourcing new investments, as well as activities by the portfolio companies in our investment portfolio or other controlled investments. Some of these regulations provide that penalties can be imposed on us for the conduct of a portfolio company, even if we have not ourselves violated any regulation. Similar laws in non-U.S. jurisdictions, such as the Special Economic Measures Act (Canada), the United Nations Act (Canada) and the Justice for Victims of Corrupt Foreign Officials Act (Canada) and E.U. sanctions, may also impose restrictions or requirements on our group or our operating businesses. Applicable laws of various jurisdictions may contain conflicting provisions, making our compliance more difficult. For example, Canada has adopted measures, such as the Canadian *Foreign Extraterritorial Measures Act*, that could restrict certain persons and entities subject to Canadian jurisdiction from complying with sanctions imposed by other jurisdictions, such as the U.S. Beginning in February 2022, the United States and other countries began imposing sanctions targeting Russia as a result of actions taken by Russia in Ukraine. We and our portfolio companies are required to comply with these and potentially additional sanctions imposed by the United States and by other countries, for which the full costs, burdens, and limitations on our and our operating businesses and prospects are currently unknown and may become significant.

In addition, the U.S. and many non-U.S. countries have laws designed to protect national security or to restrict foreign direct investment. For example, under the United States Foreign Investment Risk Review Modernization Act ("FIRRMA"), the Committee on Foreign Investment in the United States ("CFIUS") has the authority to review, block or impose conditions on investments by non-U.S. persons in U.S. companies or real estate assets deemed critical or sensitive to the United States. Many non-U.S. jurisdictions have similar laws. For example, the E.U. has adopted an E.U.-wide mechanism to screen foreign investment on national security grounds and most E.U. member states now have a foreign investment screening mechanism in place or has initiated a consultative or legislative process expected to result in the adoption of a new mechanism or amendments to an existing mechanism, adopted a regulation aimed at regulation of foreign subsidies that could distort the internal E.U. market.

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We are also subject to anti-money laundering ("AML"), counter-terrorist financing and beneficial ownership transparency laws and regulations in the jurisdictions in which we operate, including the U.S. Bank Secrecy Act, the USA PATRIOT Act, the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (Canada), the U.K. Proceeds of Crime Act and applicable European Union AML directives. Failure to comply with applicable AML requirements, including through the actions of employees, joint venture partners, intermediaries or other third parties, could result in significant fines and penalties, restrictions on our ability to transact business, reputational harm and increased regulatory scrutiny. Enhanced AML enforcement trends, evolving beneficial ownership reporting requirements and expanding regulatory expectations may increase compliance costs and operational complexity.

Under these laws, governments have the authority to impose a variety of actions, including requirements for the advance screening or notification of certain transactions, blocking or imposing conditions on certain transactions, limiting the size of foreign equity investments or control by foreign investors, and restricting the employment of foreigners as key personnel. These actions could limit our ability to find suitable investments, cause delays in consummating transactions, result in the abandonment of transactions, and impose burdensome operational requirements on our portfolio companies. These laws could also negatively impact our fundraising and syndication activities by causing us to exclude or limit certain investors or co-investors for our transactions. Moreover, these laws may make it difficult for us to identify suitable buyers for our investments that we want to exit and could constrain the universe of exit opportunities generally. Complying with these laws imposes potentially significant costs and complex additional burdens, and any failure by us or our portfolio companies to comply with them could expose us significant penalties, sanctions, loss of future investment opportunities, additional regulatory scrutiny, and reputational harm.

***Our businesses are subject to intellectual property challenges.***

Patents, non-compete agreements, proprietary technologies, customer relationships, trademarks, trade names and brand names are important to our business. Intellectual property protection, however, may not preclude competitors from developing products similar to ours or from challenging our names or products. Our pending patent applications, and our pending copyright and trademark registration applications, may not be allowed or competitors may challenge the validity or scope of our patents, copyrights or trademarks. In addition, our patents, copyrights, trademarks and other intellectual property rights may not provide us a significant competitive advantage. Furthermore, participants in our markets may use challenges to intellectual property as a means to compete. Patent and trademark challenges increase our costs to develop, engineer and market our products. We may need to spend significant resources monitoring our intellectual property rights and we may or may not be able to detect infringement by third parties. If we fail to successfully enforce our intellectual property rights or register new patents, our competitive position could suffer, which could have a material adverse effect on our business, financial condition, results of operations and cash flows.

***Possible failure to realize the anticipated benefits of the Arrangement.***

A variety of factors, including those risk factors set forth in this Form 20-F, may adversely affect our ability to achieve the anticipated benefits of the Arrangement, including broader access to global investors, improved consolidated trading liquidity, increased demand from expected index inclusion and other anticipated tax benefits, amongst other benefits. A failure to realize the anticipated benefits of the Arrangement could have a material adverse effect on our business and operations.

**Risks Relating to our Operations**

***There are risks associated with our dealer software and technology services operation.***

Our group's dealer software and technology services operation faces intense competition. If our group does not continue to respond quickly to technological developments or customers' shifting technological requirements or to compete effectively against other providers of technology solutions to automotive retailers, OEMs and other participants in the automotive retail industry, it could have a material adverse effect on our group's business, results of operations and financial condition. The industry is highly fragmented and subject to rapidly evolving technology, shifting customer needs and frequent introductions of new solutions.

Although the automotive retail industry is fragmented, a relatively small number of OEMs, consolidated retailer groups and retailer associations exert significant influence over the market acceptance of automotive retail products and services due to their concentrated purchasing activity, their endorsement or recommendation of specific products and services and/or their ability to define technical standards and certifications. If our group is unable to establish, maintain or grow relationships with these key industry participants, our group's dealer software and technology services operation may not perform as well as anticipated, which may adversely affect our group's results of operations.

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***Our construction operation is vulnerable to the cyclical nature of the construction market.***

The demand for our construction operation is dependent upon the existence of projects with engineering, procurement, construction and management needs. For example, a substantial portion of the revenues from our construction operation derives from residential, commercial and office projects in Australia and the United Kingdom. Capital expenditures by our clients may be influenced by factors such as prevailing economic conditions and expectations about economic trends, technological advances, consumer confidence, domestic and international political, military, regulatory and economic conditions and other similar factors. We have experienced slowdowns in our construction operation, impacted by inflationary pressures and reduced demand for new buildings.

***Our revenues and earnings from our construction operation is largely dependent on the award of new contracts which we do not directly control.***

A substantial portion of the revenues and earnings of our construction operation is generated from large-scale project awards. The timing of project awards is unpredictable and outside of our control. Awards often involve complex and lengthy negotiations and competitive bidding processes. These processes can be impacted by a wide variety of factors including a client's decision to not proceed with the development of a project, governmental approvals, financing contingencies and overall market and economic conditions. We may not win contracts that we have bid upon due to price, a client's perception of our ability to perform and/or perceived technology advantages held by others. Many of our competitors may be inclined to take greater or unusual risks or agree to terms and conditions in a contract that we might not deem acceptable. Because a significant portion of our construction operation revenues are generated from large projects, the results of our construction operation can fluctuate quarterly and annually depending on whether and when large project awards occur and the commencement and progress of work under large contracts already awarded. As a result, we are subject to the risk of losing new awards to competitors or the risk that revenues may not be derived from awarded projects as quickly as anticipated.

***Our construction operation may experience reduced profits or losses under contracts if costs increase above estimates.***

Generally, our construction operation is performed under contracts that include cost and schedule estimates in relation to our services. Inaccuracies in these estimates may lead to cost overruns that may not be paid by our clients, thereby resulting in reduced profits or in losses.

If a contract is significant or there are one or more events that impact a contract or multiple contracts, cost overruns could have a material impact on our reputation or our financial results, negatively impacting the financial condition, results of operations or cash flow of our construction operation. A portion of our ongoing construction projects are in fixed-price contracts, where we bear a significant portion of the risk for cost overruns. Reimbursable contract types, such as those that include negotiated hourly billing rates, may restrict the kinds or amounts of costs that are reimbursable, therefore exposing us to risk that we may incur certain costs in executing these contracts that are above our estimates and not recoverable from our clients. If our construction operation fail to accurately estimate the resources and time necessary for these types of contracts, or fail to complete these contracts within the timeframes and costs we have agreed upon, there could be a material impact on the financial results as well as reputation of our construction operation. Risks under our construction contracts which could result in cost overruns, project delays or other problems can also include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• difficulties related to the performance of our clients, partners, subcontractors, suppliers or other third parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in local laws or difficulties or delays in obtaining permits, rights of way or approvals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• unanticipated technical problems, including design or engineering issues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• insufficient or inadequate project execution tools and systems needed to record, track, forecast and control cost and schedule;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• unforeseen increases in, or failures to, properly estimate the cost of raw materials, components, equipment, labor or the inability to timely obtain them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• delays or productivity issues caused by weather conditions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• incorrect assumptions related to productivity, scheduling estimates or future economic conditions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• project modifications creating unanticipated costs or delays.

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These risks tend to be exacerbated for longer-term contracts because there is an increased risk that the circumstances under which we based our original cost estimates or project schedules will change with a resulting increase in costs. In many of these contracts, we may not be able to obtain compensation for additional work performed or expenses incurred, and if a project is not executed on schedule, we may be required to pay liquidated damages. In addition, these losses may be material and can, in some circumstances, equal or exceed the full value of the contract. In such circumstances, the financial condition, results of operations and cash flow of our construction operation could be negatively impacted.

***We enter into performance guarantees which may result in future payments.***

In the ordinary course of our construction operation, we enter into various agreements providing performance assurances and guarantees to clients on behalf of certain unconsolidated and consolidated partnerships, joint ventures and other jointly executed contracts. These agreements are entered into primarily to support the project execution commitments of these entities. The performance guarantees have various expiration dates ranging from mechanical completion of the project being constructed to a period extending beyond contract completion in certain circumstances. Any future payments under a performance guarantee could negatively impact the financial condition, results of operations and cash flow of our construction operation.

***Our construction operation operates under various types of contracts.***

Our construction operation performs under a variety of contract types, including lump sum, guaranteed maximum price, cost reimbursable, schedule of rates, managing contractor, construction management and design-build. Some forms of construction contracts carry more risk than others. We attempt to maintain a diverse mix of contracts to prevent overexposure to the risk profile of any particular contractual structure; however, conditions influencing both private sector and public authority clients may alter the mix of available projects and contractual structures that our construction operation undertakes.

In most instances, our construction operation guarantees to its clients that they will complete a project by a scheduled date. If the project subsequently fails to meet the scheduled date, we could incur additional costs or penalties commonly referred to as liquidated damages, which are usually capped. Although we attempt to negotiate waivers of consequential loss, on some contracts there is some liability, which is also usually capped. In addition, although we have indemnity agreements with Brookfield that relate to certain construction projects, there can be no assurance that such indemnity agreements will sufficiently cover the payments we may be required to make in the future. In our construction operation, this may include litigation and claims from clients or subcontractors, in addition to our associated counterclaims. There can also be a liability where certain performance standards are not met. Such penalties may be significant and could impact our construction operation's financial position or results of future operations. Furthermore, schedule delays may also reduce profitability because staff may be prevented from pursuing and working on new projects. Project delays may also reduce customer satisfaction, which could impact future awards.

***Our construction operation may be highly impacted by macroeconomic factors.***

Our construction operation's profitability is closely tied to the general state of the economy in those geographic areas in which we operate including North America, Europe, Australia and the Middle East, all of which have experienced and continue to experience varying degrees of adverse impacts due to general economic conditions and by rising inflationary pressures. More specifically, the demand for construction and infrastructure development services, which is the principal component of our construction operation, would typically be the largest single driver of our construction operation growth and profitability. In periods of strong economic growth, there is generally an increase in the number of opportunities available in the construction and infrastructure development industry as capital spending increases. In recessionary periods or periods of weak economic growth, the demand for our construction operation services from private sector and public authority clients may be adversely affected.

***Climate change and transitioning to a lower carbon economy may impact our construction operation.***

Many of our construction operation's activities are performed outdoors. The probability and unpredictability of extreme weather events and other associated incidents may continue to increase due to climate change and we may continue to see longer-term shifts in climate patterns. Increases in the severity and/or frequency of weather conditions due to climate change such as earthquakes, hurricanes, tornadoes, fires, floods, droughts and similar events, may cause more regular and severe interruptions in our construction operation. Severe weather events may also impact the availability and cost of raw materials and may impact the raw materials supply chain and disrupt key manufacturing facilities.

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In addition, the transition to a lower-carbon economy has the potential to be disruptive to traditional business models and investment strategies. Our construction operation's private and/or public-sector clients may shift their infrastructure priorities due to changes in project funding, regulatory requirements or public perception. This risk can be mitigated to an extent by identifying changing market demands to offset lower demand in some sectors with opportunities in others, forming strategic partnerships and pursuing sustainable innovations. Government action to address climate change may involve economic instruments such as carbon and energy consumption taxes, restrictions on economic sectors, such as cap-and-trade, increasing efficiency standards and more stringent regulation and reporting of greenhouse gas emissions that could also impact our construction operation's current or potential clients operating in industries that extract, distribute and transport fossil fuels.***&nbsp;&nbsp;&nbsp;&nbsp;***

***There are risks associated with our water and wastewater operation in Brazil.***

Our water and wastewater operation subjects our group to the risks incidental to the ownership and operation of such businesses in Brazil, any of which may adversely affect our financial condition, results of operations and cash flows, including the following risks:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The government may impose restrictions on water usage as a response to regional or seasonal drought, which may result in decreased use of water services, even if our water supplies are sufficient to serve our customers. Moreover, reductions in water consumption, including changed consumer behavior, may persist even after drought restrictions are repealed and the drought has ended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our water and wastewater operation will require significant capital expenditures and may suffer if we fail to secure appropriate funding to make investments, or if we experience delays in completing major capital expenditure projects.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• In the event that water contamination occurs, there may be injury, damage or loss of life to our customers, employees or others, in addition to government enforcement actions, litigation, adverse publicity and reputational damage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Water and wastewater businesses may be subject to organized efforts to convert their assets to public ownership and operation through exercise of the governmental power of eminent domain, or another similar authorized process. Moreover, there is a risk that any efforts to resist may be costly, distracting or unsuccessful.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Water related businesses are subject to extensive governmental economic regulation including with respect to the approval of rates.

***The Brazilian government has historically exercised, and continues to exercise, significant influence over the Brazilian economy. Brazilian political and economic conditions may adversely affect our water and wastewater operation in Brazil.***

Political and economic conditions directly affect our water and wastewater operation and can result in a material adverse effect on our water and wastewater operation business, financial condition and results of operations. Macroeconomic policies imposed by the Brazilian government can have a significant impact on Brazilian companies or companies with significant operations in Brazil.

We cannot control or predict whether the current Brazilian government will implement changes to existing policies or the impact any such changes may have on our water and wastewater operation in Brazil. Our water and wastewater operation's operating results, financial condition and prospects may all be affected by any change in the macroeconomic conditions in Brazil.

**Risks Relating to our Company**

***The completion of new acquisitions can have the effect of significantly increasing the scale and scope of our group's operations, including operations in new geographic areas and industry sectors, and the Service Providers may have difficulty managing these additional operations. In addition, acquisitions involve risks to our business.***

A key part of our group's strategy involves seeking acquisition opportunities. For example, a number of our group's current operations have only recently been acquired. Acquisitions may increase the scale, scope and diversity of our operating businesses. We depend on the diligence and skill of Brookfield's and our professionals to effectively manage our company and integrate acquired businesses with our existing operations. These individuals may have difficulty managing additional acquired businesses and may have other responsibilities within Brookfield's asset management business. If any such acquired businesses are not effectively integrated and managed, our existing business, financial condition and results of operations may be adversely affected.

Future acquisitions will likely involve some or all of the following risks, which could materially and adversely affect our business, financial condition or results of operations: the difficulty of integrating the acquired operations and personnel into our current operations; potential disruption of our current operations; diversion of resources, including Brookfield's time and

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attention; the difficulty of managing the growth of a larger organization; the risk of entering markets and regulatory regimes in which we have little experience; the risk of becoming involved in labor, commercial or regulatory disputes or litigation related to the new enterprise; risk of environmental or other liabilities associated with the acquired business; and the risk of a change of control resulting from an acquisition triggering rights of third parties or government agencies under contracts with, or authorizations held by the operating business being acquired. While it is our practice to conduct extensive due diligence investigations into businesses being acquired, it is possible that due diligence may fail to uncover all material risks in the business being acquired, or to identify a change of control trigger in a material contract or authorization, or that a contractual counterparty or government agency may take a different view on the interpretation of such a provision to that taken by our company, thereby resulting in a dispute.

***Our failure to maintain effective internal controls could have a material adverse effect on our business in the future and the price of the exchangeable shares.***

As a public company in the U.S. and Canada, we are subject to the reporting requirements of the U.S. Exchange Act, the Sarbanes-Oxley Act and stock exchange rules promulgated in response to the Sarbanes-Oxley Act, as well as corresponding laws in Canada. A number of our current operating subsidiaries are, and potential future acquisitions will be, private companies and their systems of internal controls over financial reporting may be less developed as compared to public company requirements. In addition, the partnership routinely excludes recently acquired companies from its evaluation of internal controls. Any failure to maintain adequate internal controls over financial reporting or to implement required, new or improved controls, or difficulties encountered in their implementation, could cause material weaknesses or significant deficiencies in our internal controls over financial reporting and could result in errors or misstatements in our consolidated financial statements that could be material. If our company were to conclude that our internal controls over financial reporting were not effective, investors could lose confidence in our reported financial information and the price of our exchangeable shares could decline. Our failure to achieve and maintain effective internal controls could have a material adverse effect on our business, our ability to access capital markets and investors' perception of our company. In addition, material weaknesses in our internal controls could require significant expense and management time to remediate.

**ITEM 4. INFORMATION ON THE COMPANY**

**4. A HISTORY AND DEVELOPMENT OF THE COMPANY**

Our company is a Canadian corporation incorporated on June 21, 2021 under, and governed by, the laws of British Columbia, Canada. Our company was established by the partnership to be an alternative investment vehicle for investors who prefer owning the partnership's operations in a corporate entity. While our operations are primarily located in the United States, Brazil, Australia, and the United Kingdom, shareholders will, on economic terms, have exposure to all regions BBU operates in as a result of the exchange feature attaching to the exchangeable shares.

On March 15, 2022, the partnership completed the special distribution of exchangeable shares to holders of units of record on March 7, 2022. On November 29, 2021, our company acquired our initial operations from certain of the partnership's subsidiaries. The partnership directly and indirectly controlled the Business prior to November 29, 2021 and continues to control the Business through its interests in our company.

Our goal is to generate returns primarily through long-term capital appreciation with a modest distribution yield. Our initial operations consisted of certain services and industrial operations acquired from Brookfield Business Partners, which included a healthcare services business with operations in Australia; a construction services business with operations primarily in the United Kingdom and Australia; a global nuclear technology services provider; and a water and wastewater service provider in Brazil. Subsequent to the special distribution, our company acquired CDK Global, a leading provider of technology services and software solutions. On November 7, 2023, our company completed the sale of our nuclear technology services operation to a strategic consortium led by Cameco Corporation and Brookfield Renewable Partners. On May 26, 2025, our company ceased to have control of and therefore deconsolidated our healthcare services operation following an event of default under their credit agreement. Upon Brookfield's recommendation and allocation of opportunities to our company, we intend to seek acquisition opportunities in other sectors with similar attributes and in which we can deploy our operations-oriented approach to create value. See Item 4.B, "Business Overview" for further details.

For a description of our principal capital expenditures in the last three fiscal years, see Item 5.A, "Operating Results".

On March 27, 2026, BBU and BBHC completed the Arrangement which was designed to simplify BBU and BBHC's structure by converting BBU and BBHC into a single publicly traded corporate entity resulting in BBU unitholders and BBHC shareholders holding shares in a single corporation. Following the Arrangement, the exchangeable shares will be delisted from the NYSE and TSX.

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**4. B BUSINESS OVERVIEW**

**Overview**

Our company is a Canadian corporation established on June 21, 2021 under the laws of British Columbia by Brookfield Business Partners. Our company was established by the partnership to be an alternative investment vehicle for investors who prefer owning the partnership's operations in a corporate entity.

Our goal is to generate returns primarily through long-term capital appreciation with a modest distribution yield and to continue serving as an effective alternative investment vehicle of the partnership. Our operations consist of certain services and industrial operations, which include a dealer software and technology services operation; a water and wastewater service provider in Brazil; and a construction services business with operations primarily in the United Kingdom and Australia.

Prior to the completion of the Arrangement, our company was a controlled subsidiary of the partnership. As at December 31, 2025, the partnership was responsible for making all investment decisions on our behalf and although our company represented only a subset of our group's current investments, each exchangeable share has been structured to provide an economic return equivalent to one unit.

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| | | |
|:---|:---|:---|
| **Regions** | **Assets** | **Revenues** |
| **<u>(US$ MILLIONS)</u>** | **As at**<br>**December 31, 2025** | **For the year ended**<br>**December 31, 2025** |
| United States | $**8697** | $**1598** |
| Brazil | **4054** | **858** |
| Australia | **1096** | **3051** |
| United Kingdom | **530** | **1321** |
| Other | **2051** | **340** |
| **Total** | $**16428** | $**7168** |

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**Revenue Sources**

We operate globally, with a predominant focus on the United States, Brazil, Australia and the United Kingdom and our services focus on providing end-to-end solutions to customers in both the public and private sector in each of the sectors served.

We generate revenue from the following services:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Cloud-based, software and technology solutions to dealerships and OEMs across automotive and related industries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Private sanitation, including collection, treatment and distribution of water and wastewater to a broad range of residential and governmental customers in Brazil; and,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Global construction services with a focus on high-quality construction, primarily on large scale and complex landmark buildings and social infrastructure.

**Our Growth Strategy**

Prior to the completion of the Arrangement, our growth strategy was consistent with that of the partnership as our company was an alternative investment vehicle of the partnership and was controlled by the partnership. We seek to build value by enhancing the cash flows of our businesses, pursuing an operations-oriented acquisition strategy and opportunistically recycling capital generated from operations and dispositions into our existing businesses, new acquisitions and investments. We look to ensure that each of our businesses has a clear, concise business strategy built on its competitive advantages, while focusing on profitability, sustainable operating product margins and cash flows. We emphasize downside protection by utilizing business plans that do not rely exclusively on top-line growth or excessive leverage.

We plan to grow by primarily acquiring positions of control or significant influence in businesses at attractive valuations and by enhancing earnings of the businesses we operate. In addition to pursuing accretive acquisitions within our current operations, we will opportunistically pursue transactions wherein our expertise, or the broader Brookfield platform, provide insight into global trends to source acquisitions that are not available or obvious to competitors.

We offer a long-term ownership structure to companies whose management teams are seeking additional sources of capital but prefer not to be public as a standalone business. From time to time, we will recycle capital opportunistically, but we will have the ability to own and operate businesses for the long term.

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**Intellectual Property**

Our company is automatically entitled to the benefits and certain obligations under the Licensing Agreement by virtue of the fact that our company is a controlled subsidiary of Brookfield Business Partners, a licensee. Other than under this limited license, we do not have a legal right to the "Brookfield" name and the Brookfield logo. Brookfield may terminate the Licensing Agreement effective immediately upon termination of our Master Services Agreement.

**Governmental, Legal and Arbitration Proceedings**

Our group may be named as a party in various claims and legal proceedings which arise during the normal course of our business. Our group has not been in the previous 12 months and is not currently subject to any material governmental, legal or arbitration proceedings which may have or have had a significant impact on our company's financial position or profitability, nor is our company aware of any such proceedings that are pending or threatened.

**Sustainability Management**

Our group believes that maintaining a strong commitment to integrating sustainability values into business practices alongside the ongoing management of its operations plays an essential role in enhancing business performance. The group's ability to build long-term value is tied to continued progress toward a sustainable future. This is consistent with our philosophy of conducting business with a long-term perspective and in an ethical manner. Accordingly, we have a long history of incorporating sustainability principles and practices into both our investment decisions and underlying business operations.

Brookfield employs a framework of having a common set of sustainability principles across its business platforms, while at the same time recognizing that the geographic and sector diversity of our portfolio requires a tailored approach. The following are Brookfield's and our group's sustainability principles: mitigating the impact of our operations on the environment; striving to promote the well-being and safety of our workforce; upholding strong governance practices and acting as good corporate citizens.

***Integrating sustainability into the investment process***

Our group integrates sustainability into all aspects of the investment process and ongoing management of operations. During our initial evaluation and due diligence of an acquisition, we utilize internal and external operating expertise as required to identify sustainability risks and opportunities. We formally incorporate guidance from the Sustainability Accounting Standards Board, a globally recognized standard-setting organization for sustainability information, into our Investment Sustainability Due Diligence Protocol. Other key factors typically considered during a review of a potential acquisition include, but are not limited to, corporate policies, health and safety risks, ethical considerations, environmental matters and emerging risks. Our comprehensive due diligence process also incorporates climate change risks, such as the physical risks from changes to the frequency and severity of climate-related events and the risks and opportunities from transitioning to a low-carbon economy. To ensure sustainability considerations are integrated in the due diligence phase, our investment team provides a detailed memorandum outlining the material risks, mitigants and significant opportunities for improvement including those related to sustainability to the Investment Committee at the time of approval.

Upon acquisition, we create a tailored integration plan that, among other things, ensures any material sustainability-related matters identified in the due diligence process as requiring action and monitoring throughout our ownership. We hold onboarding sessions with the management teams of newly acquired operations to support them in developing and operationalizing a sustainability strategy tailored to their business by leveraging our sustainability program implementation framework. It is the responsibility of the management teams of our operations to manage sustainability risks and opportunities and to report on sustainability strategy, program implementation and key performance metrics on a regular basis. Our business operations team provides support to the management teams of our operations as needed, including providing additional sustainability resources to stand-up and enhance programs at the operating company level. The combination of having local accountability and expertise in tandem with investment and operating capabilities is important when managing diverse operations across jurisdictions.

To formally demonstrate our ongoing commitment to responsible investment and sustainability best practices, Brookfield became a signatory to the United Nations-supported PRI in 2020. Brookfield completed its 2025 PRI Assessment, and our submission and results were published by the PRI in November 2025. Brookfield scored well, achieving a minimum of four out of five stars in each of the eight scored modules.

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***Environmental initiatives***

Our group recognizes that climate change poses a serious threat and addressing the climate crisis is integral to long-term sustainable success. Through our relationship with Brookfield, we support their net zero ambition.

***Social initiatives***

Employee health, safety and security are integral to our success. This is why we strive for zero serious safety incidents in the workplace and continuous improvement in safety culture. As part of the group's onboarding process, we conduct comprehensive health and safety assessments that include a review of safety systems and safety culture. Serious safety incidents within the group's operations are reported to our senior management and board of directors in real time. basis and the remediation of any identified gaps between our framework and our operating companies is monitored on an ongoing basis to ensure health and safety programs align with the applicable standards our expectations.

Our employees are critical to our long-term success and we strive to create a positive, supportive and inclusive work environment that engages employees and empowers talent to develop. We recognize that a workforce encompassing a variety of backgrounds is critical to the group's success and vital to its culture. A diverse workforce not only reinforces Brookfield's core principles, which include a long-term focus and collaboration, but also provides for a more dynamic and interesting work environment and supports efforts to provide equal employment opportunities, continuing to attract and retain top talent. We encourage contributions from all employees and aim to provide equal development and career advancement opportunities. Our focus on diversity, equity and inclusion reinforces our culture of collaboration and strengthens employee engagement and career development, creating value for our investors. Our focus begins at recruitment, where we proactively recruit people who align with the attributes of a Brookfield leader and have the potential to develop within the business. As our business evolves, we continuously evaluate our recruitment initiatives to ensure the hiring process is both fair and inclusive by ensuring there is a diverse slate of candidates. With our focus on diversity, we have developed objective criteria for each role by which to evaluate all candidates and ensure that there is diversity among the interviewers who ultimately make hiring decisions.

***Governance initiatives***

Our governance framework for portfolio companies in which we have a controlling interest consists of five main pillars:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Board of Directors and Committees

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Reporting Hotline

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Cybersecurity Program

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)Anti-Bribery and Corruption Policy

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)Code of Business Conduct and Ethics

In addition to the above, we also adhere to a rigorous conflict of interest policy where potential investments are screened for possible conflicts and elevated for review to a Conflicts Committee, consisting of senior Brookfield executives, if necessary. We have also adopted Brookfield's personal trading policy that we believe exceeds standard legal requirements to ensure the restriction of trading by employees involved in the investment decision-making process.

In recent years, data privacy and cybersecurity have become key governance priorities for global companies. The group's operations are providers of essential products and services to global economies and as such, cybersecurity and data privacy are critical to their uninterrupted operations. The group continues to focus on strengthening our risk mitigation in these areas through several measures.

For example, our cybersecurity programs are aligned with industry best practices. As part of this ongoing commitment, we are focused on continuously enhancing our programs to align and in some cases, exceed controls of the National Institute of Standards and Technology 2.0 Cybersecurity Framework. We regularly engage leading third-party industry experts to assess the effectiveness of foundational cybersecurity controls across operations. We also involve third-party technical specialists to complete technical audits across all of our operations. This includes leveraging best-in-class software to scan for potential vulnerabilities, support ongoing network monitoring, and enhance overall threat detection capabilities. If applicable, we provide our operations with technical support and resources to expedite remediation activities and address potential vulnerabilities.

Disaster recovery and business continuity are also crucial elements of our comprehensive cybersecurity strategy. Our priority is to ensure that our portfolio companies are well prepared to maintain business continuity in the unlikely event of a disaster scenario. Understanding critical systems and collaborating with our companies to implement effective plans and processes forms the backbone of our disaster recovery efforts. This includes providing business continuity support through our

Brookfield Business Holding Corporation 25

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partnership programs, assisting with the necessary technologies to put these plans into action, and conducting ongoing training on, and regular validation of, disaster recovery plans and systems. These measures ensure that our companies are equipped to quickly respond to risks and threats, allowing them to recover critical systems and operations in a timely manner and minimize the impact to their operations. By integrating disaster recovery into our cybersecurity program, we demonstrate our commitment to safeguarding our assets and operations and maintaining resilience against potential threats. See Item 16.K, "Cybersecurity" for further details.

**Facilities**

Our company's head office is at 225 Liberty Street, 8th Floor, New York**,** NY 10281-1048 and our company's registered office is at 1055 West Georgia Street, Suite 1500, P.O. Box 11117, Vancouver, British Columbia V6E 4N7.

Our company's operations are primarily located in the United States, Brazil, Australia, and the United Kingdom. In total, we lease and own approximately 0.9 million square feet and 0.2 million square feet of space, respectively, across these locations for such operations, including office, warehouse, and manufacturing space. Our primary facilities are:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Approximately 0.5 million square feet of offices primarily in the United States related to our dealer software and technology services operation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Approximately 0.4 million square feet of offices primarily in Australia and United Kingdom related to our construction operation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Approximately 0.2 million square feet of offices in Brazil related to our water and wastewater operation.

Our leases expire at various times during the coming years. We believe that our current facilities are suitable and adequate to meet our current needs and that suitable additional or substitute space will be available as needed to accommodate continuing and expanding of our operations.

**Emerging Markets Operations**

Brookfield and its predecessor corporations have invested in Brazil for over 100 years and Brookfield Business Partners has been invested in Brazil since 2017, with our water and wastewater operation. Brookfield Business Partners employs a number of key practices in managing the various risks associated with the emerging markets in which they operate, including Brazil. These practices include the following:

<u>Oversight of Subsidiaries.</u> Our company's corporate structure has been designed to ensure that our company controls, or has an appropriate measure of direct oversight over, our water and wastewater operation. A majority of the equity interests in the operation are held in an entity externally managed by Brookfield Brazil, a subsidiary of Brookfield. Our group has the right to remove Brookfield Brazil as the manager at any time.

<u>Local Management and Advisors</u>. Our operations are staffed by some personnel seconded from Brookfield to the operation and resident in the local jurisdiction, which ensures a degree of oversight and control in the day-to-day operations which would not be present in a passive investment. We also retain advisors, including legal advisors, with knowledge of the local laws and regulations. Some of these advisors are employees of ours, and others are external counsel who work in the foreign jurisdiction and are fluent in English and the local languages, familiar with the local laws, and resident or formerly resident in the local jurisdictions.

<u>Internal Audit</u>. As part of our internal audit plan, each year our internal auditor conducts an on-site internal audit with respect to specific matters as instructed by our audit committee. The results of the internal audit are reviewed and discussed by our audit committee as appropriate.

<u>Strategic Direction.</u> Our board of directors and the board of directors of the general partner of the partnership (or, following the completion of the Arrangement, the board of directors of BBUC) are responsible for reviewing the strategic business plans, corporate objectives, acquisitions, dispositions, investments, capital expenditures and other transactions and matters that are thought to be material to the partnership and our company, respectively, including those that occur relating to our water and wastewater operation.

In addition to the above practices, many of Brookfield Business Partners' directors and Brookfield's directors and executive officers have acquired experience conducting business in Brazil. The board of directors of the general partner of the partnership and our company (or, following completion of the Arrangement, the board of directors of BBUC) are composed of directors residing in Canada, Bermuda, the United States, Australia and Germany who have experience with various international issuers. In addition, Brookfield has a global presence and an international network of corporate and regional offices that allows it to work with local management and oversee the operations of our subsidiaries in Brazil and elsewhere in the world.

26 Brookfield Business Holding Corporation

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**4. C ORGANIZATIONAL STRUCTURE**

Following the completion of the Arrangement, all of our shares were held directly or indirectly by Brookfield BBP Canada Holdings Inc., a wholly-owned indirect subsidiary of BBUC. For further discussion, refer to Item 4.A, "History and Development of the Company".

The following table provides the percentage of voting securities owned, controlled, or directed, directly or indirectly, by us, and our economic interest in our operating businesses.

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| | | | |
|:---|:---|:---|:---|
| **Significant subsidiaries** | **Jurisdiction of**<br>**organization** | **Voting interest** | **Economic interest** |
| &nbsp;&nbsp;CDK Global II LLC | United States | 100% | 19% |
| &nbsp;&nbsp;BRK Ambiental Participações S.A. | Brazil | 70% | 26% |
| &nbsp;&nbsp;Multiplex Global Limited | United Kingdom | 100% | 100% |

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**4. D PROPERTY, PLANTS, AND EQUIPMENT**

See Item 4.B, "Business Overview".

**ITEM 4A. UNRESOLVED STAFF COMMENTS**

Not applicable.

**ITEM 5. OPERATING AND FINANCIAL REVIEW AND PROSPECTS**

**5. A OPERATING RESULTS**

**Introduction**

This MD&A included in Item 5.A of this Form 20-F of our company covers the financial position of our company as at December 31, 2025 and 2024, and results of operations for the years ended December 31, 2025, 2024, and 2023. The information in this MD&A should be read in conjunction with the audited consolidated financial statements as at December 31, 2025 and 2024, and for the years ended December 31, 2025, 2024, and 2023 included elsewhere in this Form 20-F, which are prepared in accordance with IFRS Accounting Standards as issued by IASB.

On November 7, 2023, we completed the sale of our nuclear technology services operation to a strategic consortium led by Cameco Corporation and Brookfield Renewable Partners, a related party to the company, for total consideration of approximately $3.8 billion, net of transaction closing costs.

On May 26, 2025, our healthcare services operation entered receivership due to an event of default under their credit agreement after unsuccessful efforts to negotiate with key stakeholders on a sustainable long-term solution for the business. Following the appointment of a receiver and transition of oversight of the operations, we ceased to have control of the business and therefore, deconsolidated the net liabilities of the operation and recorded a pre-tax net gain of $236 million in the consolidated statements of operating results, included in other income (expense), net.

On July 4, 2025, we completed the previously announced sale of a 7% interest in our dealer software and technology services operation to a new evergreen private equity fund, managed by Brookfield Asset Management. In exchange, we received units of the new evergreen private equity fund with an initial redemption value of $306 million. This resulted in a gain of $149 million recorded in the consolidated statements of changes in equity, included in ownership changes and other. The business continues to be accounted for as a consolidated subsidiary of the company. The units of the new evergreen private equity fund received represent an investment in an equity instrument of the fund and are accounted for as a financial asset measured at FVOCI.

On March 27, 2026 BBU and BBHC completed the Arrangement which was designed to simplify BBU and BBHC's structure by converting BBU and BBHC into a single publicly traded corporate entity resulting in BBU unitholders and BBHC shareholders holding shares in a single corporation. Following the Arrangement, the exchangeable shares will be delisted from the NYSE and TSX.

In addition to historical information, this MD&A contains forward-looking statements. Readers are cautioned that these forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements. See "Special Note Regarding Forward-Looking Statements" in the forepart of this Form 20-F.

Brookfield Business Holding Corporation 27

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**Continuity of Interests**

The partnership directly and indirectly controls our operations through its interests in our company. The results are based on the actual results of our company. As the partnership holds all of the class C shares of our company, net income and equity attributable to common equity have been allocated to Brookfield Business Partners.

**Basis of Presentation**

The audited annual consolidated financial statements of the company have been prepared in accordance with IFRS Accounting Standards as issued by IASB. The audited annual consolidated financial statements are prepared on a going concern basis and have been presented in U.S. dollars rounded to the nearest million unless otherwise indicated. The audited annual consolidated financial statements include the accounts of our company and its consolidated subsidiaries, which are the entities over which our company has control. Our nuclear technology services operation sold in November 2023 has been presented as a discontinued operation.

Pursuant to the Master Services Agreement, our company receives management services comparable to the services currently provided to Brookfield Business Corporation by the Service Providers. Our company is responsible for its proportionate share of the base management fee paid for by the partnership pursuant to the Master Services Agreement.

**Overview of our Company**

As at December 31, 2025, our company is a Canadian corporation established by Brookfield Business Partners as an alternative vehicle for investors who prefer investing in our group's operations through a corporate structure. Each exchangeable share of our company is exchangeable at the option of the holder for one LP Unit or its cash equivalent and structured with the intention of providing an economic return equivalent to one LP Unit. Through these operating subsidiaries, we own and operate high-quality services and industrial operations that benefit from a strong competitive position and provide essential products and services. We seek to build value by pursuing an operations-oriented approach to enhancing cash flows and opportunistically recycling capital to grow our existing operations and make new acquisitions. We strive to ensure that all our operations have a clear, concise business strategy built on competitive advantages, while focusing on profitability and the sustainability of cash flows.

Following completion of the Arrangement, our company became a wholly-owned subsidiary of BBUC.

Refer to Item 4.B, 'Business Overview' for additional information about our businesses.

28 Brookfield Business Holding Corporation

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**Review of Consolidated Results of Operations**

The following table summarizes our results of operations for the years ended December 31, 2025, 2024 and 2023:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** | **Change** | **Change** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** | **2025 vs 2024** | **2024 vs 2023** |
| **Continuing operations** |  |  |  |  |  |
| Revenues | $**7168** | $8208 | $7683 | $(1040) | $525 |
| Direct operating costs | **(6532)** | (7568) | (6794) | 1036 | (774) |
| General and administrative expenses | **(272)** | (326) | (268) | 54 | (58) |
| Interest income (expense), net | **(821)** | (832) | (878) | 11 | 46 |
| Equity accounted income (loss), net | **10** | 8 | 3 | 2 | 5 |
| Impairment reversal (expense), net | **—** | (691) | (606) | 691 | (85) |
| Gain (loss) on dispositions, net | **—** |  | 87 |  | (87) |
| Remeasurement of exchangeable and class B shares | **(831)** | (208) | (264) | (623) | 56 |
| Other income (expense), net | **190** | (666) | 126 | 856 | (792) |
| Income (loss) before income tax from continuing operations | **(1088)** | (2075) | (911) | 987 | (1164) |
| Income tax (expense) recovery |  |  |  |  |  |
| &nbsp;&nbsp;Current | **10** | (50) | (167) | 60 | 117 |
| &nbsp;&nbsp;Deferred | **77** | 198 | 95 | (121) | 103 |
| Net income (loss) from continuing operations | $**(1001)** | $(1927) | $(983) | $926 | $(944) |
| **Discontinued operations** |  |  |  |  |  |
| Net income (loss) from discontinued operations | **—** |  | 3812 |  | (3812) |
| Net income (loss) | $**(1001)** | $(1927) | $2829 | $926 | $(4756) |
| **Attributable to:** |  |  |  |  |  |
| &nbsp;&nbsp;Brookfield Business Partners | $**(875)** | $(888) | $519 | $13 | $(1407) |
| &nbsp;&nbsp;Non-controlling interests | **(126)** | (1039) | 2310 | 913 | (3349) |
|  | $**(1001)** | $(1927) | $2829 | $926 | $(4756) |

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***Comparison of the years ended December 31, 2025 and December 31, 2024***

For the year ended December 31, 2025, net loss was $1,001 million, with $875 million of net loss attributable to Brookfield Business Partners. For the year ended December 31, 2024, net loss was $1,927 million, with $888 million of net loss attributable to Brookfield Business Partners. Current period results included a $831 million remeasurement loss on our exchangeable and class B shares that are classified as liabilities under IFRS Accounting Standards. As at December 31, 2025, the exchangeable and class B shares were remeasured to reflect the closing price of $35.20 per unit. This was partially offset by a $236 million net gain recognized upon deconsolidation of our healthcare services operation in May 2025.

*Revenues*

For the year ended December 31, 2025, revenues decreased by $1,040 million to $7,168 million, compared to $8,208 million for the year ended December 31, 2024. The decrease was primarily due to the deconsolidation of our healthcare services operation in May 2025, which reduced revenues by $1,118 million. This was partially offset by higher revenues at our dealer software and technology services operation as a result of prior year including one-time billing credits offered to customers following a cybersecurity incident in June 2024, as well as higher revenues at our water and wastewater operation as a result of increased activity in the year.

Brookfield Business Holding Corporation 29

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*Direct operating costs*

For the year ended December 31, 2025, direct operating costs decreased by $1,036 million to $6,532 million, compared to $7,568 million for the year ended December 31, 2024. The decrease was primarily due to the deconsolidation of our healthcare services operation in May 2025, which reduced direct operating costs by $1,047 million, combined with lower costs within our construction operation. This was partially offset by higher costs within our dealer software and technology services operation due to increased technology modernization costs and higher costs within our water and wastewater operation as a result of increased activity in the year.

*General and administrative expenses*

For the year ended December 31, 2025, general and administrative expenses decreased by $54 million to $272 million, compared to $326 million for the year ended December 31, 2024 primarily due to the deconsolidation of our healthcare services operation in May 2025.

*Interest income (expense), net*

For the year ended December 31, 2025, interest expense, net decreased by $11 million to $821 million, compared to $832 million for the year ended December 31, 2024. The decrease was primarily due to a reduction in borrowings following the deconsolidation of our healthcare services operation in May 2025, partially offset by the impact of higher interest rates on borrowings within our water and wastewater operation, combined with higher interest expense due to higher borrowings in our dealer software and technology services operation. Interest expense includes $18 million of dividends declared on the exchangeable shares (December 31, 2024: $18 million).

*Impairment reversal (expense), net*

For the year ended December 31, 2025, impairment expense is $nil, compared to $691 million for the year ended December 31, 2024. Prior year primarily relates to an impairment of goodwill recognized within our healthcare services due to revised expectations of cash flows as a result of updated estimates for hospital admissions, revenue rates and operating costs.

*Remeasurement of exchangeable and class B shares*

For the year ended December 31, 2025, the remeasurement loss on exchangeable shares and class B shares was $831 million, compared to $208 million for the year ended December 31, 2024. The exchangeable shares and class B shares were remeasured to reflect the closing price of one LP Unit, valued at $35.20 per unit as at December 31, 2025.

*Other income (expense), net*

For the year ended December 31, 2025, other income (expense), net increased by $856 million to other income, net of $190 million, compared to other expense, net of $666 million for the year ended December 31, 2024. Other income (expense), net corresponds to amounts that are not directly related to revenue earning activities and are not normal, recurring income or expenses necessary for business operations. For the year ended December 31, 2025, the components of other income (expense), net include $236 million of net gain recognized upon deconsolidation of our healthcare services operation, $20 million of business separation expenses, stand-up costs and restructuring charges, $14 million of expenses for employee incentive payments linked to the realization of value at the company's operations, $5 million in transaction costs, and $7 million of other expenses. For the year ended December 31, 2024, the components of other income (expense), net include $407 million related to a provision for payment of a litigation settlement at our dealer software and technology services operation, $251 million related to provisions recorded at our construction operation, $80 million of net gains on debt modification and extinguishment, $36 million of business separation expenses, stand-up costs and restructuring charges, $5 million in transaction costs, $2 million of expenses for employee incentive payments linked to the realization of value at the company's operations, and $45 million of other expenses.

*Income tax (expense) recovery*

For the year ended December 31, 2025, current income tax expense decreased by $60 million to a current income tax recovery of $10 million, compared to current income tax expense of $50 million for the year ended December 31, 2024. The decrease in current income tax expense was primarily due to a current income tax recovery related to the impact of a litigation settlement and the impact of enacted tax legislation within our dealer software and technology services operation. Deferred tax recovery decreased by $121 million to $77 million for the year ended December 31, 2025, compared to a deferred income tax recovery of $198 million for the year ended December 31, 2024. The decrease in deferred tax recovery was primarily due to the utilization and lower recognition of deferred tax assets within our construction operation as a result of higher taxable income, and a non-recurring deferred tax recovery in the prior period related to a litigation settlement at our dealer software and technology services operation, partially offset by a derecognition of deferred tax assets within our healthcare services in the prior period.

30 Brookfield Business Holding Corporation

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***Comparison of the years ended December 31, 2024 and December 31, 2023***

For the year ended December 31, 2024, net loss from continuing operations was $1,927 million, compared to $983 million for the year ended December 31, 2023. The increase in net loss from continuing operations was primarily due to a provision for payment of a litigation settlement at our dealer software and technology services operation related to a legacy pre-acquisition class action lawsuit, combined with provisions recorded within our construction operation.

Net income (loss) from discontinued operations for the year ended December 31, 2023 of $3,812 million relates to our former investment in a nuclear technology services operation which was sold in November 2023.

For the year ended December 31, 2024, net loss was $1,927 million, with $888 million of net loss attributable to Brookfield Business Partners. For the year ended December 31, 2023, net income was $2,829 million, with $519 million of net income attributable to Brookfield Business Partners. The decrease in net income was primarily due to the factors described above.

*Revenues*

For the year ended December 31, 2024, revenues increased by $525 million to $8,208 million, compared to $7,683 million for the year ended December 31, 2023. Results benefited from higher revenues in our construction operation due to increased activity, partially offset by the impact of one-time billing credits offered to customers at our dealer software and technology services operation following a cybersecurity incident in June 2024.

In June 2024, our dealer software and technology services operation detected and promptly responded to unauthorized cyber activity on its network. Upon discovery, our dealer software and technology services operation shut down its systems to address and investigate the issue while notifying law enforcement. This cybersecurity incident, and the subsequent system shut down, caused disruption to the business. In addition, the business incurred certain expenses to respond to, investigate and remediate the matter, including one-time billing credits that were offered to customers. Our dealer software and technology services operation has successfully brought all active customers back onto its dealer management system and other applications. We do not expect that this cybersecurity incident will have a material impact on the results of operations or financial condition of our company. For further information, refer to Item 3.D, "Risk Factors" and Item 16.K, "Cybersecurity".

*Direct operating costs*

For the year ended December 31, 2024, direct operating costs increased by $774 million to $7,568 million, compared to $6,794 million for the year ended December 31, 2023. The increase was primarily due to higher costs within our construction operation as a result of increased activity as well as additional costs incurred related to a project nearing completion in Australia.

*General and administrative expenses*

For the year ended December 31, 2024, general and administrative expenses increased by $58 million to $326 million, compared to $268 million for the year ended December 31, 2023 primarily due to higher costs in our healthcare services and our dealer software and technology services operation.

*Interest income (expense), net*

For the year ended December 31, 2024, interest expense, net decreased by $46 million to $832 million, compared to $878 million for the year ended December 31, 2023. The decrease was primarily due to interest cost savings at our dealer software and technology services operation as a result of debt refinancing completed in 2024 and 2023, and a reduction in borrowings following the disposition of our nuclear technology services operation in November 2023. Interest expense includes $18 million of dividends declared on the exchangeable shares (December 31, 2023: $18 million).

*Impairment reversal (expense), net*

For the year ended December 31, 2024, impairment expense, net was $691 million. This primarily relates to an impairment of goodwill recognized within our healthcare services due to revised expectations of cash flows as a result of updated estimates for hospital admissions, revenue rates and operating costs.

*Remeasurement of exchangeable and class B shares*

For the year ended December 31, 2024, the remeasurement loss on exchangeable shares and class B shares was $208 million, compared to $264 million for the year ended December 31, 2023. The exchangeable shares and class B shares were remeasured to reflect the closing price of one LP Unit, valued at $23.42 per unit as at December 31, 2024.

Brookfield Business Holding Corporation 31

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*Other income (expense), net*

For the year ended December 31, 2024, other income (expense), net decreased by $792 million to other expense, net of $666 million, compared to other income, net of $126 million for the year ended December 31, 2023. Other income (expense), net corresponds to amounts that are not directly related to revenue earning activities and are not normal, recurring income or expenses necessary for business operations. For the year ended December 31, 2024, the components of other income (expense), net include $407 million related to a provision for payment of a litigation settlement at our dealer software and technology services operation, $251 million related to provisions recorded at our construction operation, $80 million of net gains on debt modifications and extinguishment, $36 million of business separation expenses, stand-up costs and restructuring charges, $5 million in transaction costs, $2 million of expenses for employee incentive payments linked to the realization of value at the company's operations, and $45 million of other expenses. For the year ended December 31, 2023, the components of other income (expense), net include $270 million of net gains on debt modification and extinguishment, $71 million of business separation expenses, stand-up costs and restructuring charges, $27 million of expenses for employee incentive payments linked to the realization of value at the company's operations, $9 million in transaction costs, and $37 million of other expenses.

*Income tax (expense) recovery*

For the year ended December 31, 2024, current income tax expense decreased by $117 million to $50 million, compared to current income tax expense of $167 million for the year ended December 31, 2023. The decrease in current income tax expense was primarily due to lower taxable income at our dealer software and technology services operation and lower income tax expense in our operations due to dispositions completed in the prior year. Deferred tax recovery increased by $103 million to $198 million for the year ended December 31, 2024, compared to deferred income tax recovery of $95 million for the year ended December 31, 2023. The increase in deferred tax recovery was primarily due to an increase in deferred tax assets recognized at our construction operation, combined with a reduction in the deferred tax liabilities within our dealer software and technology services operation in the current period.

32 Brookfield Business Holding Corporation

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**Summary of Results**

***Quarterly results***

Total revenues and net income (loss) for the eight most recent quarters were as follows:

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **2025** | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** | **2024** |
| **(US$ MILLIONS)** | **Q4** | **Q3** | **Q2** | **Q1** | **Q4** | **Q3** | **Q2** | **Q1** |
| Revenues | $**1664** | $1678 | $1860 | $1966 | $2209 | $2205 | $1929 | $1865 |
| Direct operating costs | **(1513)** | (1535) | (1695) | (1789) | (2041) | (2015) | (1860) | (1652) |
| General and administrative expenses | **(69)** | (59) | (69) | (75) | (107) | (78) | (77) | (64) |
| Interest income (expense), net | **(193)** | (197) | (212) | (219) | (212) | (207) | (203) | (210) |
| Equity accounted income (loss), net | **3** | 2 | 2 | 3 | 2 | 3 | 2 | 1 |
| Impairment reversal (expense), net | **—** |  |  |  | (689) |  |  | (2) |
| Remeasurement of exchangeable and Class B shares | **(180)** | (468) | (176) | (7) | (9) | (325) | 237 | (111) |
| Other income (expense), net | **(4)** | (8) | 236 | (34) | (469) | (127) | (59) | (11) |
| Income (loss) before income tax | **(292)** | (587) | (54) | (155) | (1316) | (544) | (31) | (184) |
| Income tax (expense) recovery |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Current | **1** | 18 | 14 | (23) | (8) | (14) | 16 | (44) |
| &nbsp;&nbsp;Deferred | **26** | (9) | 17 | 43 | 42 | 47 | 55 | 54 |
| Net income (loss) | $**(265)** | $(578) | $(23) | $(135) | $(1282) | $(511) | $40 | $(174) |
| **Attributable to:** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Brookfield Business Partners  | $**(197)** | $(500) | $(120) | $(58) | $(396) | $(466) | $124 | $(150) |
| &nbsp;&nbsp;Non-controlling interests | **(68)** | (78) | 97 | (77) | (886) | (45) | (84) | (24) |
|  | $**(265)** | $(578) | $(23) | $(135) | $(1282) | $(511) | $40 | $(174) |

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Revenues and operating costs vary from quarter to quarter primarily due to acquisitions and dispositions of businesses, fluctuations in foreign exchange rates, business and economic cycles, weather and seasonality, broader economic factors and commodity market volatility. Net income is impacted by periodic monetization gains, impairment losses and gains or losses on remeasurement of exchangeable shares.

Brookfield Business Holding Corporation 33

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**Review of Consolidated Financial Position**

The following is a summary of the consolidated statements of financial position as at December 31, 2025 and 2024:

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| | | | |
|:---|:---|:---|:---|
| | | | **Change** |
| **<u>(US$ MILLIONS)</u>** |<br>**December 31, 2025** |<br>**December 31, 2024** | **December 2025 vs December 2024** |
| **Assets** | | | |
| Cash and cash equivalents | $**710** | $1008 | $(298) |
| Financial assets | **526** | 353 | 173 |
| Accounts and other receivable, net | **3158** | 3229 | (71) |
| Inventory, net | **15** | 52 | (37) |
| Other assets | **543** | 627 | (84) |
| Property, plant and equipment | **198** | 2480 | (2282) |
| Deferred income tax assets | **261** | 197 | 64 |
| Intangible assets | **5807** | 5966 | (159) |
| Equity accounted investments | **185** | 198 | (13) |
| Goodwill | **5025** | 4988 | 37 |
|  | $**16428** | $19098 | $(2670) |
| **Liabilities and Equity** |  |  |  |
| **Liabilities** |  |  |  |
| Accounts payable and other | $**3085** | $5276 | $(2191) |
| Non-recourse borrowings in subsidiaries of the company | **7844** | 8490 | (646) |
| Exchangeable and class B shares | **2432** | 1709 | 723 |
| Deferred income tax liabilities | **969** | 988 | (19) |
|  | $**14330** | $16463 | $(2133) |
| **Equity** |  |  |  |
| Brookfield Business Partners | $**(679)** | $(59) | $(620) |
| Non-controlling interests | **2777** | 2694 | 83 |
|  | **2098** | 2635 | (537) |
|  | $**16428** | $19098 | $(2670) |

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***Financial assets***

Financial assets increased by $173 million to $526 million as at December 31, 2025, compared to $353 million as at December 31, 2024. The balance comprised marketable securities, loans and notes receivable, derivative assets and other financial assets including $273 million of marketable securities related to units in a new Brookfield-managed evergreen private equity fund received as consideration for the sale of a partial interest in our dealer software and technology services operation completed in July 2025. The increase was partially offset by fair value movements on derivative contracts at our water and wastewater operation.

***Accounts and other receivable, net***

Accounts and other receivable, net decreased by $71 million to $3,158 million as at December 31, 2025, compared to $3,229 million as at December 31, 2024. The decrease was primarily due to the receipt of payments relating to projects within our construction operation, partially offset by the impact of foreign currency movements within our operations.

***Other assets***

Other assets decreased by $84 million to $543 million as at December 31, 2025, compared to $627 million as at December 31, 2024. The decrease was primarily due to the deconsolidation of our healthcare services operation in May 2025, partially offset by higher other assets within our dealer software and technology services operation and construction operation.

34 Brookfield Business Holding Corporation

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***Property, plant & equipment (PP&E) and intangible assets***

PP&E decreased by $2,282 million to $198 million as at December 31, 2025, compared to $2,480 million as at December 31, 2024. The decrease was primarily due to the deconsolidation of our healthcare services operation which reduced PP&E by $2,320 million, and regular depreciation expense of $126 million, partially offset by the impact of foreign exchange movements of $80 million and additions to PP&E of $149 million. As at December 31, 2025, PP&E included $93 million of right-of-use assets (2024: $221 million).

Intangible assets decreased by $159 million to $5,807 million as at December 31, 2025, compared to $5,966 million as at December 31, 2024. The decrease was primarily due to regular amortization expense of $585 million, partially offset by the impact of foreign exchange of $270 million and net additions to intangible assets of $156 million.

Capital expenditures represent additions to PP&E and certain intangible assets. Included in capital expenditures are maintenance capital expenditures, which are required to sustain the current performance of our operations, and growth capital expenditures, which are made for incrementally new assets that are expected to expand existing operations. Capital expenditures were primarily related to production costs associated with developing or enhancing proprietary technology as well as maintenance of computer and hosting equipment at our dealer software and technology services operation. In addition, we included additions to intangible assets in our water and wastewater operation within capital expenditures due to the nature of its concession agreements. Maintenance and growth capital expenditures for the year ended December 31, 2025 were $101 million and $136 million, respectively (2024: $79 million and $196 million, 2023: $176 million and $433 million).

***Deferred income tax assets***

Deferred income tax assets increased by $64 million to $261 million as at December 31, 2025, compared to $197 million as at December 31, 2024. The increase was primarily due to a recognition of deferred tax assets in our water and wastewater operation and our construction operation, combined with the impact of foreign exchange movements within our operations.

***Goodwill***

Goodwill increased by $37 million to $5,025 million as at December 31, 2025, compared to $4,988 million as at December 31, 2024. The increase was primarily due to the impact of foreign currency movements within our construction operation.

***Accounts payable and other***

Accounts payable and other decreased by $2,191 million to $3,085 million as at December 31, 2025, compared to $5,276 million as at December 31, 2024. The decrease was primarily due to the deconsolidation of our healthcare services operation which reduced liabilities by $1,974 million, combined with lower liabilities in our dealer software and technology services operation following a $450 million payment made in connection with a litigation settlement in the second quarter of 2025. Included in accounts payable and other is $164 million of provisions related to expected future payments in relation to this litigation settlement.

***Non-recourse borrowings in subsidiaries of the company***

Borrowings are discussed in Item 5.B, "Liquidity and Capital Resources".

***Equity***

On August 15, 2025, the TSX accepted a notice filed by our company of its intention to renew its normal course issuer bid ("NCIB") for its exchangeable shares. Under the NCIB, our company and Brookfield Corporation are collectively authorized to repurchase up to 5% of our company's issued and outstanding exchangeable shares as at August 8, 2025 or 3,499,836 shares, including up to 11,100 shares on the TSX during any trading day. During the year ended December 31, 2025, our company repurchased 3,876,525 exchangeable shares under the NCIB (December 31, 2024: nil). Following the year ended December 31, 2025 and up to the date of this Form 20-F, our company repurchased 891,240 exchangeable shares under the NCIB. During the year ended December 31, 2025, Brookfield Corporation did not purchase any exchangeable shares under the NCIB (December 31, 2024: nil). Following the year ended December 31, 2025 and up to the date of this Form 20-F, Brookfield Corporation repurchased 98,336 exchangeable shares under the NCIB. During the year ended December 31, 2025, 190 exchangeable shares were exchanged into LP Units (December 31, 2024: 3).

As at the date of this Form 20-F, Brookfield Holders owned all of the issued and outstanding exchangeable shares. Brookfield Holders have agreed that all decisions to be made with respect to the voting of the exchangeable shares will be made jointly among Brookfield Holders.

Brookfield Business Holding Corporation 35

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**Summary Financial Information Related to the Partnership**

As the market price of the exchangeable shares is expected to be significantly impacted by the market price of the LP Units and the combined business performance of our group as a whole, we are providing the following summary financial information regarding the partnership. Following completion of the Arrangement, the exchangeable shares will be delisted from the NYSE and TSX. For further details, please review the partnership's periodic reporting referenced in the introductory section of this MD&A.

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| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| **IFRS Measures** | **2025** | **2024** | **2023** |
| Revenues | $**27457** | $40620 | $55068 |
| Net income (loss) | **387** | 895 | 3777 |

---

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **As of** | **As of** |
| **IFRS Measures** | **December 31, 2025** | **December 31, 2024** |
| Total assets | $**75761** | $75474 |
| Total liabilities | **60450** | 58166 |
| Total partnership capital | **15311** | 17308 |

---

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| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| **Non-IFRS Measure** | **2025** | **2024** | **2023** |
| Adjusted EBITDA<sup>(1)</sup> | $**2409** | $2565 | $2491 |

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____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>The partnership's definition of this non-IFRS financial measure is included within the partnership's periodic reporting referenced in the introductory section of this MD&A.

**5. B LIQUIDITY AND CAPITAL RESOURCES**

Liquidity and capital requirements are managed through cash flows from operations, use of credit facilities, opportunistically monetizing mature operations and refinancing existing debt. We aim to maintain sufficient financial liquidity to meet our ongoing operating requirements and to fund debt service payments, recurring expenses, required capital expenditures, and acquisition opportunities as they arise. In addition, an integral part of our strategy is to pursue acquisitions through Brookfield-led consortium arrangements with institutional partners or strategic partners, and to form partnerships to pursue acquisitions on a specialized or global basis. Brookfield has an established track record of leading such consortiums and partnerships and actively managing underlying assets to improve performance. Overall, we believe our liquidity profile is strong, positioning us and our businesses well to take advantage of accretive investment opportunities.

Our principal sources of liquidity are financial assets, undrawn credit facilities, cash flow from our operations, monetizations of mature businesses, and access to public and private capital markets.

As at December 31, 2025, the outstanding non-recourse borrowings in subsidiaries of the company were $7,844 million compared to $8,490 million as at December 31, 2024. Non-recourse borrowings in subsidiaries of the company comprised the following:

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| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **December 31, 2025** | **December 31, 2024** |
| Term loans | $**4265** | $4991 |
| Notes and debentures | **2710** | 2616 |
| Project financing | **844** | 746 |
| Credit facilities <sup>(1)</sup> | **25** | 137 |
| **Total non-recourse borrowings in subsidiaries** | $**7844** | $8490 |

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____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Includes borrowings made under subscription facilities of Brookfield-sponsored private equity funds.

36 Brookfield Business Holding Corporation

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The following table presents non-recourse borrowings in subsidiaries of the company as at December 31, 2025 due over the next five years:

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| | |
|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Total borrowings** |
| 2026 | $125 |
| 2027 | 292 |
| 2028 | 157 |
| 2029 | 5970 |
| 2030 | 457 |
| Thereafter | 1052 |
| Total - principal repayments | $8053 |
| Deferred financing costs and other accounting adjustments | (209) |
| **Total - December 31, 2025** | $**7844** |
| Total - December 31, 2024 | $8490 |

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We principally finance our assets at the operating company level with debt that is non-recourse to both our company and to our other operations and is generally secured against assets within the respective operating companies. Moreover, debt instruments at the operating company level do not cross-accelerate or cross-default to debt at other operating companies. This debt is in the form of revolving credit facilities and term loans with variable interest rates, and notes and debentures with fixed interest rates, with varying maturities, ranging from less than one year to 22 years. Borrowings decreased by $646 million between December 31, 2024 and December 31, 2025, primarily due to the deconsolidation of our healthcare services operation in May 2025, partially offset by higher borrowings in our water and wastewater operation and the impact of foreign exchange movements.

The use of credit facilities, term loans and debt securities is primarily related to ongoing operations, capital expenditures and to fund acquisitions. Interest rates charged on these facilities are based on market interest rates. Most of these borrowings are not subject to financial maintenance covenants, however, some are subject to fixed charge coverage, leverage ratios and minimum equity or liquidity covenants. As of December 31, 2025, all of our operations were in compliance with all material covenant requirements and the company continues to work with its businesses to monitor performance against such covenant requirements.

The partnership has provided our company with an equity commitment in the amount of $2 billion in order to provide our company with access to equity capital on an as-needed basis and to maximize our flexibility.

Our company has also entered into two credit facilities with Brookfield Business Partners, one as borrower and one as lender, each providing for a ten-year revolving $1 billion credit facility for purposes of providing our company and Brookfield Business Partners with access to debt financing on an as-needed basis and to maximize our flexibility and facilitate the movement of cash within our group. Our company may also establish credit facilities with one or more arm's length banks. We intend to use the liquidity provided by the credit facilities for working capital purposes. Each credit facility contemplates potential deposit arrangements pursuant to which the lender thereunder would, with the consent of the borrower, deposit funds on a demand basis. As at December 31, 2025, the net amount outstanding on deposit is $554 million payable to Brookfield Business Partners and is included in accounts payable and other (2024: $470 million payable to Brookfield Business Partners).

The partnership has an agreement with Brookfield to subscribe for up to $1.5 billion of perpetual preferred equity securities of subsidiaries of the partnership (including subsidiaries of our company). As at December 31, 2025, the amount subscribed from our company was $nil and the amount subscribed from other subsidiaries of Brookfield Business Partners was $725 million (2024: $725 million) with an annual dividend of 7%. The remaining capacity available on the commitment agreement with Brookfield is $25 million, expiring on December 31, 2026. Brookfield will have the right to cause our company or Brookfield Business Partners to redeem the preferred securities at par to the extent of any net proceeds received by our company or Brookfield Business Partners from the issuance of equity, incurrence of indebtedness or sale of assets. Brookfield has the right to waive its redemption option.

**Dividend Policy**

The board of directors may declare dividends at its discretion. Our company targeted to declare and pay dividends on the exchangeable shares at the same time as distributions are declared and paid on the LP units and targeted that dividends on each exchangeable share are declared and paid in the same amount as distributions are declared and paid on each LP unit to provide holders of exchangeable shares with an economic return equivalent to holders of the LP units.

Brookfield Business Holding Corporation 37

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On March 12, 2026, the board of directors declared a quarterly dividend in the amount of $0.0625 per exchangeable share, payable on March 31, 2026 to shareholders of record as at the close of business on March 23, 2026. This dividend is identical in amount per share and has identical record and payment dates to the quarterly distribution declared by the board of directors of the general partner of Brookfield Business Partners on its LP Units.

**Cash Flow**

We believe that we have sufficient access to capital resources and will continue to use our available capital resources to fund our operations. Our future capital resources include cash flow from operations, asset monetizations, borrowings and proceeds from potential future debt issues or equity offerings, if required.

*Comparison of the years ended December 31, 2025, 2024 and 2023*

As at December 31, 2025, we had cash and cash equivalents of $710 million, compared to $1,008 million as at December 31, 2024 and $772 million as at December 31, 2023. The net cash flows for the years ended December 31, 2025, 2024 and 2023 were as follows:

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| | | | |
|:---|:---|:---|:---|
| | **Year ended December 31,** | **Year ended December 31,** | **Year ended December 31,** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| Cash flow provided by (used in) operating activities | $**(58)** | $(111) | $138 |
| Cash flow provided by (used in) financing activities | **(1)** | 797 | (3926) |
| Cash flow provided by (used in) investing activities | **(294)** | (335) | 3787 |
| Effect of foreign exchange rates on cash | **55** | (115) | 37 |
| **Change in cash and cash equivalents** | $**(298)** | $236 | $36 |

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***Cash flow provided by (used in) operating activities***

Total cash flow used in operating activities for the year ended December 31, 2025 was $58 million compared to cash flow used in operating activities of $111 million for the year ended December 31, 2024. Cash flow used in operating activities for the year ended December 31, 2025 was primarily attributable to a $450 million payment of a litigation settlement at our dealer software and technology services operation. Net of non-cash working capital changes, cash flow used in operating activities was $100 million for the year ended December 31, 2025, primarily attributable to cash used at our dealer software and technology services operation partially offset by cash provided at our water and wastewater operation.

Total cash flow used in operating activities for the year ended December 31, 2024 was $111 million, compared to cash flow provided by operating activities of $138 million for the year ended December 31, 2023. Cash flow used in operating activities for the year ended December 31, 2024 was primarily attributable to timing of working capital changes within our dealer software and technology services operation. Net of non-cash working capital changes, cash flow provided by operating activities decreased by $232 million to $236 million for the year ended December 31, 2024 compared to $468 million for the year ended December 31, 2023, primarily due to the sale of our nuclear technology services operation in November 2023.

***Cash flow provided by (used in) financing activities***

Total cash flow used in financing activities was $1 million for the year ended December 31, 2025, compared to cash flow provided by financing activities of $797 million for the year ended December 31, 2024. During the year ended December 31, 2025, our financing activities included repurchases of exchangeable shares combined with net repayments of non-recourse borrowings in subsidiaries of the company, partially offset by net proceeds from Brookfield Business Partners under the credit agreement as described in Note 25 of the consolidated financial statements.

Total cash flow provided by financing activities was $797 million for the year ended December 31, 2024, compared to cash flow used in financing activities of $3,926 million for the year ended December 31, 2023. During the year ended December 31, 2024, our financing activities included proceeds from Brookfield Business Partners under the credit agreement as described in Note 25 of the consolidated financial statements and net proceeds on non-recourse borrowings, which comprised primarily borrowings at our dealer software and technology services operation.

38 Brookfield Business Holding Corporation

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***Cash flow provided by (used in) investing activities***

Total cash flow used in investing activities was $294 million for the year ended December 31, 2025, compared to cash flow used in investing activities of $335 million for the year ended December 31, 2024. Cash flows used in investing activities were primarily related to capital expenditures of intangible assets and property, plant and equipment of $256 million, primarily at our water and wastewater operation, dealer software and technology services operation and our healthcare services operation, which was deconsolidated in May 2025.

Total cash flow used in investing activities was $335 million for the year ended December 31, 2024, compared to cash flow provided by investing activities of $3,787 million for the year ended December 31, 2023. Cash flows used in investing activities were primarily related to capital expenditures of property, plant and equipment and intangible assets of $297 million, primarily within our water and wastewater operation and our healthcare services.

**Market Risks**

Market risk is defined for these purposes as the risk that the fair value or future cash flows of a financial instrument held by the company will fluctuate because of changes in market factors. Market risk includes the risk of changes in interest rates and foreign currency exchange rates.

Financial instruments held by the company that are subject to market risk include loans and notes receivable, other financial assets, borrowings, derivative contracts, such as interest rate and foreign currency contracts, and marketable securities.

***Interest rate risk***

Interest rate risk is defined for these purposes as the risk that the fair value or future cash flows of a financial instrument held by the company will fluctuate because of changes in interest rates. The company monitors interest rate fluctuations and may enter into interest rate derivative contracts to mitigate the impact from interest rate movements. A 50 basis point increase in interest rates is expected to decrease net income by $12 million, and a 50 basis point decrease in interest rates is expected to increase net income by $12 million. A 50 basis point change in interest rates is expected to impact other comprehensive income by an increase of $11 million if interest rates increase, and a decrease of $11 million if interest rates decrease.

***Foreign currency risk***

We have operations in international markets denominated in currencies other than the U.S. dollar, primarily the Australian dollar, the Canadian dollar and the Brazilian real. As a result, we are subject to foreign currency risk due to potential fluctuations in exchange rates between foreign currencies and the U.S. dollar. We structure our operations such that foreign operations are primarily conducted by entities with a functional currency which is the same as the economic environment in which the operations take place. As a result, the net income impact to the company of currency risk associated with financial instruments is limited as its financial assets and liabilities are generally denominated in the same currency as the functional currency of the subsidiary that holds the financial instrument. However, we are exposed to foreign currency risk on the net assets of the company's foreign currency denominated operations and foreign currency denominated debt. We manage foreign currency risk through hedging contracts, typically foreign exchange forward contracts. There is no assurance that hedging strategies, to the extent used, will fully mitigate the risk.

The table below outlines the impact on pre-tax net income and other comprehensive income attributable to Brookfield Business Partners of a 10% increase to the exchange rate relative to the U.S. dollar:

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **2025** | **2025** | **2024** | **2024** | **2023** | **2023** |
| **<u>(US$ MILLIONS)</u>** | **OCI** | **Net Income** | **OCI** | **Net Income** | **OCI** | **Net Income** |
| USD/AUD | $**43** | $**—** | $21 | $4 | $50 | $— |
| USD/CAD | **9** | **—** | 6 |  | 6 |  |
| USD/BRL | **24** | **—** | 5 |  | 2 |  |
| USD/Other | **(6)** | **—** | (5) |  | (8) |  |

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Brookfield Business Holding Corporation 39

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A 10% decrease to the exchange rates relative to the U.S. dollar is expected to have an equal but opposite impact on pre-tax net income and other comprehensive income to that described in the table above. Refer to Note 27 "Financial Risk Management" for further details, in addition to Note 3, "Fair Value of Financial Instruments" and Note 26, "Derivative Financial Instruments" in our consolidated financial statements included in this Form 20-F.

**Related Party Transactions**

We entered into a number of related party transactions with Brookfield as described in Note 1 and Note 25 in our consolidated financial statements included in this Form 20-F.

**Critical Accounting Policies, Estimates and Judgments**

The preparation of financial statements requires management to make critical judgments, estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses that are not readily apparent from other sources, during the reporting period. These estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

Critical judgments made by management and utilized in the normal course of preparing our company's annual consolidated financial statements are outlined below.

For further reference on accounting policies, critical judgments and estimates, see our "Material Accounting Policy Information" contained in Note 2 of our annual consolidated financial statements as at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023 included in this Form 20-F.

***Business combinations***

The company accounts for business combinations using the acquisition method of accounting. The allocation of fair values to assets acquired and liabilities assumed through an acquisition requires numerous estimates that affect the valuation of certain assets and liabilities acquired including discount rates, customer attrition rates and estimates of future operating costs, revenues, commodity prices, capital costs and other factors. The determination of the fair values may remain provisional during the measurement period due to the time required to obtain independent valuations of individual assets and to complete assessments of provisions. When the accounting for a business combination has not been completed as of the reporting date, the company will disclose that fact in the consolidated financial statements, including observations on the estimates and judgments made as of the reporting date.

***Determination of control***

The company consolidates an investee when it controls the investee, with control existing if, and only if, the company has power over the investee; exposure or rights to variable returns from its involvement with the investee; and the ability to use that power over the investee to affect the amount of the company's returns.

In determining if the company has power over an investee, judgments are made when identifying which activities of the investee are relevant in significantly affecting returns of the investee and the extent of existing rights that give the company the current ability to direct the relevant activities of the investee. Judgments are made as to the amount of potential voting rights that provide voting powers, the existence of contractual relationships that provide voting power, and the ability for the company to appoint directors. The company enters into voting agreements which provide it the ability to contractually direct the relevant activities of the investee (formally referred to as "power" within IFRS 10, *Consolidated Financial Statements*). In assessing if the company has exposure or rights to variable returns from its involvement with the investee, judgments are made concerning whether returns from an investee are variable and how variable those returns are on the basis of the substance of the arrangement, the magnitude of those returns and the magnitude of those returns relative to others, particularly in circumstances where the company's voting interest differs from the ownership interest in an investee. In determining if the company has the ability to use its power over the investee to affect the amount of its returns, judgments are made when the company is an investor as to whether the company is a principal or agent and whether another entity with decision making rights is acting as the company's agent. If it is determined that the company is acting as an agent, as opposed to a principal, the company does not control the investee.

40 Brookfield Business Holding Corporation

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***Common control transactions***

IFRS 3 does not include specific measurement guidance for the acquisition of a business from an entity that is under common control. Accordingly, the company has developed an accounting policy to account for such transactions taking into consideration other guidance in IFRS Accounting Standards and pronouncements of other standard-setting bodies. The company's policy is to record assets and liabilities recognized as a result of an acquisition of a business from an entity that is under common control at the carrying values in the transferor's financial statements.

***Indicators of impairment***

Judgment is applied when determining whether indicators of impairment exist when assessing the carrying values of the company's assets, including the determination of the company's ability to hold financial assets, the estimation of a cash-generating unit's future revenues and direct costs, the determination of discount rates, and when an asset's or cash-generating unit's carrying value is above its recoverable amount.

***Revenue recognition***

Judgment is applied when certain of the company's subsidiaries measure the progress towards complete satisfaction of the performance obligations applicable to a contract when accounting for their contract revenue. The stage of completion is measured by reference to actual costs incurred to date as a percentage of estimated total costs for each contract. Significant assumptions are required to estimate the total contract costs and the recoverable variation works that affect the stage of completion and the contract revenue, respectively. In making these estimates, management has relied on past experience or the work of experts, where necessary.

Judgment is also applied where certain of the company's subsidiaries generate revenues from contracts with multiple performance obligations. The company applies judgment in order to identify and determine the number of performance obligations, estimate the total transaction price, determine the allocation of the transaction price to each identified performance obligation, and determine the appropriate method and timing of revenue recognition.

***Financial instruments***

Judgments inherent in accounting policies relating to derivative financial instruments relate to applying the criteria to the assessment of the effectiveness of hedging relationships and estimates and assumptions used in determining the fair value of financial instruments, such as: equity or commodity prices; future interest rates; the creditworthiness of the company relative to its counterparties; the credit risk of the company's counterparties; estimated future cash flows; discount rates and volatility utilized in option valuations.

***Uncertainty of income tax treatments***

The company applies IFRIC 23. The interpretation requires an entity to assess whether it is probable that a tax authority will accept an uncertain tax treatment used, or proposed to be used, by an entity in its income tax filings and to exercise judgment in determining whether each tax treatment should be considered independently or whether some tax treatments should be considered together. The decision should be based on which approach provides better predictions of the resolution of the uncertainty. An entity is required to make its assessment assuming that the taxation authority with the right to examine any amounts reported to it will examine those amounts and will have full knowledge of all relevant information when doing so.

***Other***

Other estimates and assumptions utilized in the preparation of the company's consolidated financial statements are: depreciation and amortization rates and useful lives; estimation of recoverable amounts of assets and cash-generating units for impairment assessment of long-lived assets and goodwill; and the ability of the company to utilize tax losses and other tax measurements.

Other critical judgments include the determination of the functional currency of the company's subsidiaries.

***Going concern***

In assessing whether the going concern assumption is appropriate and whether there are material uncertainties that cast significant doubt on the company's ability to continue as a going concern, management has made certain estimates and assumptions about future cash flows. These judgments considered various forward-looking factors, such as forecasted cash flows, access to financing and liquidity reserves, planned capital expenditures and debt repayment obligations. The assumptions underlying this assessment are based on actual operating results and the most relevant available information about the future,

Brookfield Business Holding Corporation 41

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including the company's strategic initiatives and business plans and may be affected by market conditions, regulatory developments, and macroeconomic risks.

**Future Changes in Accounting Policies**

In April 2024, the IASB issued IFRS 18 *Presentation and Disclosure in Financial Statements* ("IFRS 18") to replace IAS 1 *Presentation of Financial Statements* ("IAS 1"). IFRS 18 is effective for periods beginning on or after January 1, 2027, with early adoption permitted. IFRS 18 aims to improve financial reporting by requiring additional defined subtotals in the statement of profit or loss, requiring disclosures about management defined performance measures, and adding new principles for the aggregation and disaggregation of items. The company is currently assessing the impact of these amendments.

There are currently no other future changes to IFRS Accounting Standards with expected material impact on the company.

**Off-Balance Sheet Arrangements**

In the normal course of operations, our operating subsidiaries have bank guarantees, insurance bonds and letters of credit outstanding to third parties. As at December 31, 2025, the total outstanding amount was approximately $1.5 billion. If these letters of credit or bonds are drawn upon, we will be obligated to reimburse the issuer of the letter of credit or bonds. The company does not conduct its operations, other than those of equity accounted investments, through entities that are not consolidated in the consolidated financial statements, and has not guaranteed or otherwise contractually committed to support any material financial obligations not reflected in the consolidated financial statements.

BBUC Holdings Inc., a wholly owned subsidiary of our company, fully and unconditionally guaranteed (i) the obligations of Brookfield Business Partners under its $2.35 billion bilateral credit facilities and (ii) the obligations of Brookfield Business Partners under its $1 billion revolving acquisition credit facility with Brookfield. These arrangements do not have or are not reasonably likely to have a material current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors.

Our construction operation and other operations may be called upon to give, in the ordinary course of business, guarantees and indemnities in respect of the performance of controlled entities, associates and related parties of their contractual obligations. Any known losses have been brought to account.

In the normal course of operations, our operating subsidiaries will execute agreements that provide for indemnification and guarantees to third parties in transactions such as business dispositions and acquisitions, construction projects, capital projects, and sales and purchases of assets and services. We have also agreed to indemnify our directors and certain of our officers and employees. The nature of substantially all of the indemnification undertakings prevents us from making a reasonable estimate of the maximum potential amount that we could be required to pay third parties, as many of the agreements do not specify a maximum amount and the amounts are dependent upon the outcome of future contingent events, the nature and likelihood of which cannot be determined at this time. Historically, we have made no significant payments under such indemnification agreements. In addition, we have also entered into indemnity agreements with Brookfield that relate to certain construction projects in the Middle East region that have been in place for several years. Under these indemnity agreements, Brookfield has agreed to indemnify us or refund us, as appropriate, for the receipt of payments relating to such projects.

From time to time, we may be contingently liable with respect to litigation and claims that arise in the normal course of operations. In our construction operation, this may include litigation and claims from clients or subcontractors, in addition to our associated counterclaims. On an ongoing basis, we assess the potential impact of these events. We have determined that the potential loss amount of these claims cannot be measured and is not probable at this time.

**Contractual Obligations**

An integral part of our company's strategy is to participate with institutional partners in Brookfield-sponsored private equity funds that target acquisitions that suit Brookfield private equity's profile. In the normal course of business, our company may make commitments to Brookfield-sponsored private equity funds to participate in these target acquisitions in the future, if and when identified.

42 Brookfield Business Holding Corporation

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In the ordinary course of business, we enter into contractual arrangements that may require future cash payments. The table below outlines our undiscounted contractual obligations as at December 31, 2025:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Payments as at December 31, 2025** | **Payments as at December 31, 2025** | **Payments as at December 31, 2025** | **Payments as at December 31, 2025** | **Payments as at December 31, 2025** |
| **<u>(US$ MILLIONS)</u>** | **Total** | **< 1 Year** | **1-2 Years** | **3-5 Years** | **5+ Years** |
| Borrowings | $**8053** | $125 | $292 | $6584 | $1052 |
| Interest expense | **6672** | 720 | 713 | 1583 | 3656 |
| Exchangeable and class B shares | **2432** | 2432 |  |  |  |
| Lease liabilities | **146** | 53 | 31 | 42 | 20 |
| **Total** | $**17303** | $3330 | $1036 | $8209 | $4728 |

---

**Price Range and Trading Volume of Listed Units**

Prior to the Arrangement, the units were listed and posted for trading on the TSX under the symbol "BBU.UN". The following table sets forth the price ranges (after accounting for the effect of special distribution) and trading volumes of the units as reported by the TSX for the periods indicated, in Canadian dollars:

---

| | | | |
|:---|:---|:---|:---|
| | **Units** | **Units** | **Units** |
| | **High (C$)** | **Low (C$)** | **Volume** |
| **2025** |  |  |  |
| January 1, 2025 - March 31, 2025 | $37.00 | $29.56 | 3330817 |
| April 1, 2025 - June 30, 2025 | 36.89 | 26.56 | 3088056 |
| July 1, 2025 - September 30, 2025 | 45.85 | 32.10 | 1914117 |
| October 1, 2025 - December 31, 2025 | 52.10 | 42.69 | 2659699 |
| **2024** |  |  |  |
| January 1, 2024 - March 31, 2024 | $31.82 | $25.14 | 3285016 |
| April 1, 2024 - June 30, 2024 | 30.10 | 23.00 | 2740025 |
| July 1, 2024 - September 30, 2024 | 32.77 | 24.36 | 1707225 |
| October 1, 2024 - December 31, 2024 | 37.54 | 29.38 | 2346360 |
| **2023** |  |  |  |
| January 1, 2023 - March 31, 2023 | $29.81 | $22.13 | 4164835 |
| April 1, 2023 - June 30, 2023 | 27.05 | 21.92 | 3628475 |
| July 1, 2023 - September 30, 2023 | 25.40 | 20.00 | 2119911 |
| October 1, 2023 - December 31, 2023 | 28.15 | 16.86 | 2565354 |
| **2022** |  |  |  |
| January 1, 2022 - March 31, 2022 | $39.67 | $31.47 | 4565331 |
| April 1, 2022 - June 30, 2022 | 39.00 | 26.07 | 4800668 |
| July 1, 2022 - September 30, 2022 | 34.05 | 24.20 | 3082234 |
| October 1, 2022 - December 31, 2022 | 31.26 | 20.94 | 5077730 |
| **2021** |  |  |  |
| January 1, 2021 - March 31, 2021 | $35.18 | $28.81 | 5863767 |
| April 1, 2021 - June 30, 2021 | 37.96 | 30.90 | 3801507 |
| July 1, 2021 - September 30, 2021 | 38.79 | 31.46 | 3570330 |
| October 1, 2021 - December 31, 2021 | 41.46 | 35.82 | 3874955 |

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Brookfield Business Holding Corporation 43

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Prior to the Arrangement, the units were listed and posted for trading on the NYSE under the symbol "BBU". The following table sets forth the price ranges (after accounting for the effect of special distribution) and trading volumes of the units as reported by the NYSE for the periods indicated, in U.S. dollars:

---

| | | | |
|:---|:---|:---|:---|
| | **Units** | **Units** | **Units** |
| | **High ($)** | **Low ($)** | **Volume** |
| **2025** |  |  |  |
| January 1, 2025 - March 31, 2025 | $25.83 | $20.34 | 1011957 |
| April 1, 2025 - June 30, 2025 | 26.96 | 18.63 | 1101297 |
| July 1, 2025 - September 30, 2025 | 33.05 | 23.31 | 2426126 |
| October 1, 2025 - December 31, 2025 | 36.90 | 30.40 | 3943774 |
| **2024** |  |  |  |
| January 1, 2024 - March 31, 2024 | $23.75 | $19.15 | 1058489 |
| April 1, 2024 - June 30, 2024 | 22.22 | 16.85 | 667779 |
| July 1, 2024 - September 30, 2024 | 24.19 | 17.87 | 986101 |
| October 1, 2024 - December 31, 2024 | 26.75 | 21.12 | 1005485 |
| **2023** |  |  |  |
| January 1, 2023 - March 31, 2023 | $22.34 | $16.16 | 1110487 |
| April 1, 2023 - June 30, 2023 | 20.47 | 16.23 | 636706 |
| July 1, 2023 - September 30, 2023 | 19.21 | 14.89 | 531527 |
| October 1, 2023 - December 31, 2023 | 22.72 | 12.22 | 777226 |
| **2022** |  |  |  |
| January 1, 2022 - March 31, 2022 | $31.50 | $24.71 | 1426798 |
| April 1, 2022 - June 30, 2022 | 31.27 | 20.26 | 2413217 |
| July 1, 2022 - September 30, 2022 | 26.50 | 18.48 | 999887 |
| October 1, 2022 - December 31, 2022 | 23.11 | 15.29 | 1830249 |
| **2021** |  |  |  |
| January 1, 2021 - March 31, 2021 | $28.46 | $22.72 | 1478937 |
| April 1, 2021 - June 30, 2021 | 31.52 | 24.94 | 1480117 |
| July 1, 2021 - September 30, 2021 | 31.50 | 24.84 | 1472892 |
| October 1, 2021 - December 31, 2021 | 33.36 | 28.11 | 805924 |

---

**5. C RESEARCH AND DEVELOPMENT, PATENTS AND LICENSES, ETC.**

Not applicable.

**5. D TREND INFORMATION**

See Item 5.A, "Operating Results".

**5. E CRITICAL ACCOUNTING ESTIMATES**

See Item 5.B, "Liquidity and Capital Resources - Critical Accounting Policies, Estimates and Judgments".

44 Brookfield Business Holding Corporation

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**ITEM 6. DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES**

**6. A DIRECTORS AND SENIOR MANAGEMENT** 

**Governance**

The following table presents certain information concerning the board of directors of BBHC as of the date hereof. The board of directors of BBUC is comprised of the same individuals as of the date hereof.

---

| | | | |
|:---|:---|:---|:---|
| **Name, Municipality of Residence and Independence** <sup>(1)</sup> | **Age** | **Position** | **Principal Occupation** |
| &nbsp;&nbsp;&nbsp;Cyrus Madon <br>New York, New York, USA<br>(Not Independent) | 60 | Executive Chairman | Executive Chairman, Brookfield Private Equity Group |
| &nbsp;&nbsp;&nbsp;Jeffrey Blidner<br>Toronto, Ontario, Canada<br>(Not Independent) | 77 | Director | Vice Chair, Brookfield Corporation |
| &nbsp;&nbsp;&nbsp;David Court<br>Toronto, Ontario, Canada<br>&nbsp;&nbsp;&nbsp;&nbsp;(Independent) | 69 | Director | Director Emeritus, McKinsey & Company |
| &nbsp;&nbsp;&nbsp;Stephen Girsky<br> New York, New York, USA<br>&nbsp;&nbsp;&nbsp;&nbsp;(Independent) | 63 | Director | Managing Partner, VectoIQ LLC |
| &nbsp;&nbsp;&nbsp;David Hamill <br>Ipswich, Queensland, Australia<br>&nbsp;&nbsp;&nbsp;&nbsp;(Independent) | 68 | Director | Corporate Director |
| &nbsp;&nbsp;&nbsp;Anne Ruth Herkes<br>Munich, Germany<br>&nbsp;&nbsp;&nbsp;&nbsp;(Independent) | 69 | Director | Corporate Director |
| &nbsp;&nbsp;&nbsp;John Lacey<br>Thornhill, Ontario, Canada<br>&nbsp;&nbsp;&nbsp;&nbsp;(Independent) | 82 | Lead Director | Chairman, Doncaster Consolidated Ltd. |
| &nbsp;&nbsp;&nbsp;Don Mackenzie<br>Pembroke Parish, Bermuda<br>&nbsp;&nbsp;&nbsp;&nbsp;(Independent) | 65 | Director | Chairman and Owner of New Venture Holdings |
| &nbsp;&nbsp;&nbsp;Michael Warren <br>Washington, District of Columbia<br>&nbsp;&nbsp;&nbsp;&nbsp;(Independent) | 58 | Director | Founding Partner of DGA-Albright Stonebridge Group (ASG) |
| &nbsp;&nbsp;&nbsp;Patricia Zuccotti <br>Kirkland, Washington, USA<br>&nbsp;&nbsp;&nbsp;&nbsp;(Independent) | 78 | Director | Corporate Director |

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____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>The business address for each of the directors is 225 Liberty Street, 8th Floor, New York NY, 10281-1048.

Set forth below is biographical information for our directors as of the date hereof.

***Cyrus Madon.*** Mr. Madon is the Executive Chairman of our board of directors. Mr. Madon is also a Managing Partner of Brookfield Asset Management and the Executive Chairman of Brookfield Asset Management's Private Equity Group. Mr. Madon previously served as the Chief Executive Officer of our company. Mr. Madon joined Brookfield in 1998 as Chief Financial Officer of Brookfield's real estate brokerage business. During his tenure, Mr. Madon has held a number of senior roles across the organization, including head of Brookfield's corporate lending business. Mr. Madon began his career at PricewaterhouseCoopers where he worked in Corporate Finance and Recovery, both in Canada and the United Kingdom. Mr. Madon holds a Bachelor of Commerce degree from Queen's University and is on the board of the C.D. Howe Institute.

Brookfield Business Holding Corporation 45

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***Jeffrey Blidner.*** Mr. Blidner is a Vice Chair of Brookfield Corporation and is the former Chief Executive Officer of Brookfield's Private Funds Group. Mr. Blidner currently serves as the Chair of the general partner of Brookfield Renewable Partners L.P. (and of Brookfield Renewable Corporation) and of the general partner of Brookfield Property Partners L.P. Mr Blidner also serves as a director of Brookfield Corporation, and the general partner of Brookfield Infrastructure Partners L.P. (and of Brookfield Infrastructure Corporation). Prior to joining Brookfield in 2000, Mr. Blidner was a senior partner at a Canadian law firm where his practice focused on merchant banking transactions, public offerings, mergers and acquisitions, management buy-outs and private equity transactions. Mr. Blidner received his LLB from Osgoode Hall Law School and was called to the Bar in Ontario as a Gold Medalist. Mr. Blidner is not considered an independent director because of his role at Brookfield.

***David Court.*** Mr. Court is a Director Emeritus at McKinsey & Company. Mr. Court was previously McKinsey's Global Director of Technology, Digitization and Communications, led McKinsey's global practice in harnessing digital data and advanced analytics from 2011 to 2015, and was a member of the firm's Board of Directors and its Global Operating Committee. Mr. Court is a director of PSP Investments, a member of the National Geographic International Council of Advisors, the chair of the board of trustees of the Queen's University Board of Trustees and chair of the advisory board of Georgian Partners. Mr. Court was a member of the board of directors of Canadian Tire Corporation from 2015 through 2024. Mr. Court holds a Bachelor of Commerce from Queen's University and a Master of Business Administration from Harvard Business School where he was a Baker Scholar.

***Stephen Girsky.*** Mr. Girsky is managing partner of VectoIQ LLC, an independent advisory firm based in New York. Mr. Girsky served as president and CEO of Nikola Corporation, a publicly traded company that designed zero-emissions transportation and energy supply and infrastructure solutions. He served as president and CEO of VectoIQ Acquisition Corp. I, from its January 2018 until the consummation of its business combination with Nikola Corporation. Mr. Girsky served in a number of capacities at General Motors Co., including Vice Chairman, and was previously the president of Centerbridge Industrial Partners and a Managing Director at Morgan Stanley. He is on the board of directors at Nikola Corporation, BBUC, and Clarios. Mr. Girsky previously served on the Board of U.S. Steel and General Motors. He also served as the lead director of Dana Holdings Corp. Mr. Girsky received a bachelor of science degree in mathematics from the University of California at Los Angeles and a master of business administration from the Harvard Business School.

***David Hamill.*** Dr. Hamill is a professional director and was Treasurer of the State of Queensland in Australia from 1998 to 2001, Minister for Education from 1995 to 1996 and Minister for Transport and Minister Assisting the Premier on Economic and Trade Development from 1989 to 1995. Dr. Hamill retired from the Queensland Parliament in February 2001 and since that time has served as a non-executive director or chairman of a range of listed and private companies as well as not-for-profit and public sector entities. Dr. Hamill also serves as chairman of the board of directors of Dalrymple Bay Infrastructure Limited. Dr. Hamill holds a Bachelor of Arts (Honors) from the University of Queensland, a Master of Arts from Oxford University and a Doctorate of Philosophy from University of Queensland, and is a fellow of the Chartered Institute of Transport and the Australian Institute of Company Directors.

***Anne Ruth Herkes.*** Ms. Herkes is a senior Advisor at ELC-Euringer Leadership Consulting, an executive search firm and leadership consulting company. She previously was Deputy Chair of the board of directors of Merck Finck Privatbankiers AG, an asset and wealth management bank based in Munich. She served on the board of Quintet Private Bank (S.A.) from 2014 to 2025. Previously she served on the board of Kreditanstalt fuer Wiederaufbau, Germany's third largest bank. She is a member of the International Advisory Board of Asia House, an independent think tank and advisory service in London and a member of the Advisory Council of 1014 Inc. New York, a not-for-profit corporation and transatlantic dialogue forum. Ms. Herkes in her former career served as State Secretary at the German Federal Ministry for Economic Affairs and as Ambassador to Qatar.

***John Lacey.*** Mr. Lacey is Chairman of Doncaster Consolidated Ltd., and Doncaster Foundation. Mr. Lacey was previously the Chairman of the board of directors of Alderwoods Group, Inc., an organization operating funeral cemeteries within North America, until 2006. Mr. Lacey is the former President and Chief Executive Officer of The Oshawa Group (now part of Sobeys Inc.) and a former director of Loblaw Companies Limited, George Weston Ltd., Wittington Investments Ltd. and TELUS Corporation.

***Don Mackenzie.*** Mr. Mackenzie is the Chairman and Owner of New Venture Holdings, a well-established privately-owned holding company with operating company and real estate investments in Bermuda and Canada. Prior to moving to Bermuda in 1990, Mr. Mackenzie worked in the software and sales sector. Mr. Mackenzie acquired his first business in 1995, and New Venture Holdings was formed in 2000 to consolidate a number of operating investments under a holding company umbrella. Mr. Mackenzie has a Bachelor of Commerce from Queens University and a Master of Business Administration from Schulich School of Business of York University.

46 Brookfield Business Holding Corporation

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***Michael Warren.*** Mr. Warren is is a Partner of DGA-Albright Stonebridge Group (ASG) and a founding member of the DGA Group. Mr. Warren serves on institutional investor and company boards. He serves as a board director of Brookfield Business Corporation, Commonfund, and MAXIMUS. Mr Warren serves as Chairman of Oak Creek and (qp) Global a family office for bespoke single-family offices. Mr. Warren is a former Trustee of Yale University, where he chaired the University's Audit Committee, and was a member of the Investment Committee of the Yale Corporation Endowment. Mr. Warren formerly served on the boards of Brookfield Property Partners, the United States Overseas Private Investment Corporation (now the US International Development Finance Corporation), the District of Columbia Retirement Board, where he served as Chairman, and Walker Dunlop. Mr. Warren served in various capacities in the Obama Administration, including as senior advisor in the White House Presidential Personnel Office and as co-lead for the Treasury and Federal Reserve agency review teams of the Obama-Biden Presidential Transition. Mr. Warren received degrees from Yale University and Oxford University where he was a Rhodes Scholar.

***Patricia Zuccotti.*** Ms. Zuccotti is a director of the general partner of Brookfield Renewable Partners L.P. (and of Brookfield Renewable Corporation), where she is the Chair of the Audit Committee. She served as Senior Vice President, Chief Accounting Officer and Controller of Expedia, Inc. from October 2005 to September 2011. Prior to joining Expedia, Ms. Zuccotti was the Director, Enterprise Risk Services of Deloitte & Touche LLP from June 2003 until October 2005. Ms. Zuccotti is a Certified Public Accountant (inactive) and received her Master of Business Administration, majoring in accounting and finance, from the University of Washington and a Bachelor of Arts, majoring in political science, from Trinity College.

**Our Management**

The Service Providers, subsidiaries of the Asset Management Company, which is wholly-owned, directly and indirectly, by Brookfield Asset Management, provide management services to us pursuant to our Master Services Agreement. Brookfield has built its business platform through the integration of formative portfolio acquisitions and single asset transactions over several decades and throughout all phases of the business cycle. The Service Providers' investment and asset management professionals are complemented by the depth of transactional and operational expertise throughout our operating segments which specialize in business services and industrial operations, generating significant returns. Members of Brookfield's senior management and other individuals from Brookfield's global affiliates are drawn upon to fulfill the Service Providers' obligations to provide us with management services under our Master Services Agreement.

The following table presents certain information concerning the core senior management team that are principally responsible for our operations and their positions with the Service Providers.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name** | **Age** | **Years of<br>Experience** | **Years at<br>Brookfield** | **Position with one of the Service Providers** |
| Cyrus Madon | 60 | 37 | 27 | Executive Chairman |
| Anuj Ranjan | 47 | 26 | 20 | Chief Executive Officer |
| Jaspreet Dehl | 49 | 27 | 15 | Chief Financial Officer |

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Set forth below is biographical information for Mr. Ranjan and Ms. Dehl. Mr. Madon's biographical information is included in the biographical information for directors section above.

***Anuj Ranjan.*** Mr. Ranjan is the Chief Executive Officer of our company. He also serves as a Managing Partner of Brookfield Asset Management. Mr. Ranjan joined Brookfield in 2006 and has held various positions within Brookfield and its affiliates, including in the areas of mergers & acquisitions, private equity and real estate. He also established Brookfield Asset Management's India and Middle East operations. Prior to joining Brookfield, Mr. Ranjan was a principal at a real estate investment firm. Mr. Ranjan holds a Master of Business Administration degree from Ivey Business School at Western University and Bachelor of Science degree from the University of Alberta.

***Jaspreet Dehl.*** Ms. Dehl is the Chief Financial Officer of our company. Ms. Dehl is also a Managing Partner of Brookfield Asset Management. Since joining Brookfield in 2011, Ms. Dehl has held a number of senior finance positions, including within Brookfield's Private Equity Group and in Brookfield's Private Funds Group. Prior to joining Brookfield, Ms. Dehl was part of the Financial Advisory Services practice at Deloitte, specializing in corporate restructuring services and transaction execution services to private equity clients. Ms. Dehl is a Chartered Professional Accountant and holds a bachelor's degree in economics from Wilfrid Laurier University. In 2022, Ms. Dehl received the distinction of Fellow (FCPA) by the Chartered Professional Accountant's Association of Ontario.

Brookfield Business Holding Corporation 47

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**6. B COMPENSATION**

**The information in this Item 6.B is presented as of December 31, 2025, prior to the completion of the Arrangement. Following the completion of the Arrangement, our company became a wholly owned subsidiary of BBUC.**

As of December 31, 2025, except for the non-overlapping directors, the directors of our company also serve as directors of the BBU General Partner. Each overlapping director (other than Messrs. Cyrus Madon and Jeffrey Blidner) receives an annual retainer of $15,000 for serving on the board of the company (in addition to the $150,000 each director is paid for serving as a director of the BBU General Partner). The general partner of the partnership does not pay any compensation in connection with Messrs. Madon's or Blidner's board service. The chair of the audit committee receives $20,000 for serving as the chair of the audit committee of the BBU General Partner (no additional amount is paid for serving as our audit committee chair), and the lead independent director of the partnership receives an additional $10,000 per year for serving in such position (no additional amount is paid for serving as our lead independent director). In addition, effective January 1, 2024, the directors of our company who regularly reside outside Bermuda and the east coast of North America will also receive an additional annual stipend of $15,000. This payment recognizes the time it takes these directors to travel long distances to attend all regularly scheduled meetings and is in addition to reimbursement for travel and other out-of-pocket expenses. To the extent the director also serves as directors of the BBU General Partner, such director will receive this annual stipend from the general partner of the partnership only, and where the director also serves on the board of directors of another publicly traded entity managed by Brookfield that holds the majority of its meetings in Bermuda, this annual stipend will be split evenly between our company and the other Brookfield-managed entity.

The non-overlapping directors who do not serve as a director of the general partner of the partnership receive an annual retainer of $165,000 for their service on the board and its committees, and reimbursement of expenses incurred in attending meetings.

Our company currently does not have any employees. Pursuant to our Master Services Agreement, the Service Providers will provide or arrange for other service providers to provide day-to-day management and administrative services for our company, the Holding LP and the Holding Entities.

**6. C BOARD PRACTICES**

**The information in this Item 6.C is presented as of December 31, 2025, prior to the completion of the Arrangement. Following the completion of the Arrangement, our company became a wholly owned subsidiary of BBUC.**

**Board Structure, Practices and Committees**

The structure, practices and committees of our company's board, including matters relating to the size, independence and composition of our board the election and removal of directors, requirements relating to board action and the powers delegated to board committees, are intended to mirror the practices of the partnership and are governed by our company's articles and policies adopted by our board of directors. Our company's board is responsible for exercising the management, control, power and authority of our company except as required by applicable law or the articles. The following is a summary of certain provisions of articles and policies that affect our company's governance.

***Size, independence and composition of the board of directors***

The board may consist of between three (3) and ten (10) directors or such other number of directors as may be determined from time to time by a resolution of our company's shareholders and subject to the articles. At least three (3) directors and at least a majority of the directors holding office must be independent of our company and Brookfield, as determined by the full board using the standards for independence established by the NYSE. Our company's board mirrors the board of the general partner of the partnership, except that there are two additional non-overlapping board members who assist us with, among other things, resolving any conflicts of interest that may arise from our relationship with the partnership. David Court and Michael Warren serve as the non-overlapping members of the board of directors. Mr. Court served on the board of directors of the general partner of the partnership since February 2018 until his resignation in March 2022.

If the death, resignation or removal of an independent director results in our board consisting of less than a majority of independent directors, the vacancy must be filled promptly. Pending the filling of such vacancy, the board may temporarily consist of less than a majority of independent directors and those directors who do not meet the standards for independence may continue to hold office.

48 Brookfield Business Holding Corporation

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***Lead independent director***

Our independent directors have selected John Lacey to serve as the lead independent director. The lead independent director's primary role is to facilitate the functioning of the board (independently of the Service Providers and Brookfield), and to maintain and enhance the quality of our corporate governance practices. The lead independent director presides over the private sessions of our independent directors that take place following each meeting of the board and conveys the results of these meetings to the Executive Chairman of the board. In addition, the lead independent director is available, when appropriate, for consultation and direct communication with shareholders or other stakeholders of our company.

Shareholders and other interested parties may communicate with any member of the board, including its Executive Chairman, as well as the lead independent director and the independent directors as a group by contacting the Corporate Secretary's Office at 225 Liberty Street, 8th Floor, New York NY, 10281-1048.

***Term Limits and Board Renewal***

The governance and nominating committee reviews and assesses the qualifications of candidates to join the board with the goal, among other things, of reflecting a balance between the experience that comes with longevity of service on the board and the need for renewal and fresh perspectives.

The board does not have a mandatory age for the retirement of directors and there are no term limits nor any other mechanisms in place that operate to compel board turnover. While we believe that mandatory retirement ages, director term limits and other board turnover mechanisms are overly prescriptive, periodically adding new voices to the board can help us adapt to a changing business environment.

As such, our governance and nominating committee reviews the composition of the board on a regular basis in relation to approved director criteria and skill requirements and recommends changes as appropriate.

***Board of Directors Diversity Policy***

We have adopted a board diversity policy and are committed to enhancing the diversity of the board. The diversity policy is informed by our company's and the partnership's deep roots in many global jurisdictions and belief that our board of directors should reflect a diversity of backgrounds relevant to its strategic priorities. This includes such factors as diversity of business expertise and international experience, in addition to geographic and gender diversity.

All board of director appointments will be based on merit, having due regard for the benefits of diversity, so that each nominee possesses the necessary skills, knowledge and experience to serve effectively as a director. Therefore, in the director identification and selection process, diversity criteria, such as gender and geographic background influences succession planning and is a criterion in adding new members to our board of directors. We appreciate the benefits of leveraging a range of diverse talents and perspectives and are committed to pursuing the spirit and letter of the diversity policy. The governance and nominating committee is responsible for overseeing the implementation of the diversity policy and for monitoring progress towards achieving its objectives. The board of directors has an ongoing gender diversity target of ensuring at least 30% of the directors are women. We intend to fulfill the gender diversity target when the next vacancy on the board of directors is filled.

Of our ten (10) directors, eight (8) are independent, two (2) are female (each of whom is an independent director). Accordingly, 20% of such directors are women, and women represent 25% of such independent directors.

***Election and removal of directors***

The board is elected by the shareholders and each of the current directors will serve until the close of the next annual meeting of shareholders of our company or his or her death, resignation or removal from office, whichever occurs first. Vacancies on the board may be filled and additional directors may be added by a resolution of the shareholders or a vote of the directors then in office. A director may be removed from office by a resolution duly passed by the shareholders. A director will be automatically removed from the board if he or she becomes bankrupt, insolvent or suspends payments to his or her creditors or becomes prohibited by law from acting as a director. The partnership, through its ownership of class B shares, will have a 75% voting interest in our company and will be able to control the election and removal of directors serving on the board.

***Action by the board of directors***

Our board of directors may take action in a duly convened meeting at which a quorum is present or by a written resolution signed by all directors then holding office. Our board of directors will hold a minimum of four meetings per year. When action is to be taken at a meeting of the board of directors, the affirmative vote of a majority of the votes cast is required for any action to be taken.

Brookfield Business Holding Corporation 49

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***Transactions requiring approval by the governance and nominating committee***

Our company's independent directors have approved a conflicts management policy which addresses the approval requirement and other requirements for transactions in which there is greater potential for a conflict of interest to arise. These transactions include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the dissolution of our company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any material amendment to the Master Services Agreement, the partnership's limited partnership agreement, Holding LP's limited partnership agreement or the articles of our company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any material service agreement or other arrangement pursuant to which Brookfield is paid a fee or other consideration other than any agreement or arrangement contemplated by the Master Services Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• acquisitions by our company from, and dispositions by our company to, Brookfield;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• co-investments by our company with Brookfield;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• approval of the protocol governing the allocation of employees between our company and the Service Providers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any other material transaction involving our company and Brookfield (including the partnership); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• termination of, or any determinations regarding indemnification under, the Master Services Agreement.

Our company's conflicts management policy requires certain transactions including those described above to be approved by a majority of our company's independent directors. Pursuant to our conflicts management policy, independent directors may grant approvals for any such transactions in the form of general guidelines, policies or procedures in which case no further special approval will be required in connection with a particular transaction or matter permitted thereby.

***Service contracts***

There are no service contracts with directors that provide benefits upon termination of office or services.

***Transactions in which a director has an interest***

A director who directly or indirectly has an interest in a contract, transaction or arrangement with our company or certain of our affiliates is required to disclose the nature of his or her interest to the full board. Such disclosure may take the form of a general notice given to the board to the effect that the director has an interest in a specified company or firm and is to be regarded as interested in any contract, transaction or arrangement which may after the date of the notice be made with that company or firm or its affiliates. A director may participate in any meeting called to discuss or any vote called to approve the transaction in which the director has an interest and any transaction approved by the board will not be void or voidable solely because the director was present at or participates in the meeting in which the approval was given provided that the board or a board committee authorizes the transaction in good faith after the director's interest has been disclosed or the transaction is fair to our company at the time it is approved.

***Transactions requiring shareholder approval***

Shareholders have consent rights with respect to certain fundamental matters and on any other matters that require their approval in accordance with applicable corporate laws, securities laws and stock exchanges rules.

**Corporate Governance Disclosure**

The board encourages sound corporate governance practices designed to promote the well-being and ongoing development of our company, including advancing the best interests of our company.

The board is of the view that its corporate governance policies and practices, outlined below, are comprehensive and consistent with the guidelines for corporate governance adopted by Canadian securities administrators. The board is also of the view that these policies and practices are consistent with the requirements of the NYSE and the applicable provisions under the Sarbanes-Oxley Act.

50 Brookfield Business Holding Corporation

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***Board of Directors***

*Mandate of the Board of Directors*

The board oversees the management of our company's affairs directly and through two existing standing committees. The responsibilities of the board and each committee are set out in written charters, which are reviewed and approved annually.

In fulfilling its mandate, the board is, among other things, responsible for the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• assessing the principal risks of our company's business and reviewing, approving and monitoring the systems in place to manage these risks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reviewing and approving the reports issued to the shareholders, including annual and interim financial statements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• promoting the effective operation of the board.

*Meetings of the Board of Directors*

The board meets at least four times each year, with additional meetings held to consider specific items of business or as deemed necessary. Meeting frequency and agenda items may change depending on the opportunities or risks faced by our company. The board is responsible for its agenda. Prior to each board meeting, the Executive Chairman of the board discusses agenda items for the meeting with Brookfield. At all quarterly meetings, the independent directors hold meetings without the presence of management and the directors that are not independent.

*Director Orientation and Education* 

New directors are provided with comprehensive information about our company and its affiliates. Arrangements are made for specific briefing sessions from appropriate senior personnel to help new directors better understand our strategies and operations. They also participate in the continuing education measures discussed below.

The board receives annual operating plans for each of our strategic business units and more detailed presentations on particular strategies. Existing directors are invited to join the orientation sessions for new directors as a refresher. The directors are also invited to participate in guided tours of our various operational facilities. They have the opportunity to meet and participate in work sessions with management to obtain insight into the operations of our company and our affiliates. Directors are regularly briefed to help better understand industry-related issues such as accounting rule changes, transaction activity, capital markets initiatives, significant regulatory developments, as well as trends in corporate governance.

***Director Expectations***

The BBU General Partner's board of directors has adopted a Charter of Expectations for Directors, which applies to non-Brookfield-employed directors, which outlines the basic duties and responsibilities of directors and the expectations our company places on them in terms of professional and personal competencies, performance, behavior, security ownership, conflicts of interest and resignation events. Among other things, the Charter of Expectations for Directors outlines the role of non-Brookfield-employed directors in stakeholder engagement and the requirement of directors to attend board meetings and review meeting materials in advance.

A director who directly or indirectly has an interest in a contract, transaction or arrangement with our company or certain of its affiliates is required to disclose the nature of his or her interest to the full board. Directors are also expected to submit their resignations to the Executive Chairman of the board if they have been absent without leave from three consecutive meetings of the board or if they become involved in a legal dispute, regulatory or similar proceedings, take on new responsibilities or experience other changes in personal or professional circumstances that could adversely impact the company or their ability to serve as director.

***Committees of the Board of Directors***

The board believes that its committees assist in the effective functioning of the board and help ensure that the views of independent directors are effectively represented.

The board has two committees:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the audit committee; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the governance and nominating committee.

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The responsibilities of these committees are set out in written charters, which are reviewed and approved annually by the board. Special committees may be formed from time to time as required to review particular matters or transactions. Our company will not have a compensation committee as compensation will be determined by Brookfield, as employer of the personnel who carry out the management and activities of our infrastructure business. While the board retains overall responsibility for corporate governance matters, the audit committee and the governance and nominating committee each have specific responsibilities for certain aspects of corporate governance, in addition to their other responsibilities as described below.

*Audit Committee*

The board is required to establish and maintain at all times an audit committee that operates pursuant to a written charter. The audit committee is required to consist solely of independent directors and each member must be financially literate and there will be at least one member designated as an audit committee financial expert. The audit committee is responsible for assisting and advising the board with matters related to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• accounting and financial reporting processes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the integrity and audits of our company's financial statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• compliance with legal and regulatory requirements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the qualifications, performance and independence of our company's independent accountants; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• data protection, privacy and cybersecurity program.

The audit committee is also responsible for engaging our company's independent accountants, reviewing the plans and results of each audit engagement with such independent accountants, approving professional services provided by such independent accountants, considering the range of audit and non-audit fees charged by such independent accountants and reviewing the adequacy of our company's internal accounting controls.

The board has adopted a written policy on auditor independence, or the pre-approval policy. Under the pre-approval policy, except in very limited circumstances, all audit and permitted non-audit services are required to be pre-approved by the audit committee. The pre-approval policy prohibits the auditors from providing the following types of non-audit services:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• bookkeeping or other services related to our company's accounting records or financial statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• financial information systems design and implementation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• appraisal or valuation services, fairness opinions or contribution-in-kind reports;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• actuarial services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• internal audit outsourcing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• management functions or human resources;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• broker/dealer, investment adviser, underwriting, securities, or investment banking services

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• legal services and expert services unrelated to the audit; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• certain tax services.

The pre-approval policy permits the auditors to provide other types of non-audit services, but only if approved in advance by the audit committee, subject to limited exceptions. The pre-approval policy also addresses issues relating to the disclosure of fees paid to the auditors.

The audit committee consists solely of independent directors, each of whom are persons determined by our company to be financially literate within the meaning of National Instrument 52-110 – Audit Committees. Each of the audit committee members has the ability to read and understand a set of financial statements that present a breadth and level of complexity of accounting issues that are generally comparable to the breadth and complexity of the issues that can reasonably be expected to be raised by our company's financial statements.

***Governance and Nominating Committee***

The board is required to establish and maintain at all times a governance and nominating committee that operates pursuant to a written charter. The governance and nominating committee is required to consist of a majority of independent directors.

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The governance and nominating committee has approved a conflicts management policy which addresses the approval and other requirements for transactions in which there is a greater potential for a conflict of interest to arise. The governance and nominating committee may be required to approve any such transactions.

The governance and nominating committee is responsible for approving the appointment by the sitting directors of a person to the office of director and for recommending a slate of nominees for election as directors by our company's shareholders. The governance and nominating committee is also responsible for assisting and advising the board with respect to matters relating to the general operation of the board, the governance of our company and the performance of its board and individual directors. The governance and nominating committee is also responsible for reviewing and making recommendations to the board concerning the remuneration of directors and committee members and supervising any changes in the fees to be paid pursuant to the Master Services Agreement.

***Board of Directors, Committees and Director Evaluation***

The board believes that a regular and formal process of evaluation improves the performance of the board as a whole, its committees and individual directors. Each year, a survey is sent to directors regarding the effectiveness of the board and its committees, inviting comments and suggestions on areas for improvement. The results of this survey are reviewed by the governance and nominating committee, which makes recommendations to the board as required. Each director also receives a list of questions for completing a self-assessment. The Executive Chairman of the board also holds private interviews with each director annually to discuss the operations of the board and its committees and to provide any feedback on the individual director's contributions.

***Board of Directors and Management Responsibilities***

The board has developed a written position description for the Chair of the board (now renamed as Executive Chairman), which sets out the Executive Chairman's key responsibilities, including duties relating to chairing board meetings, setting board meeting agendas, ensuring that all directors receive the information required for the performance of their duties, ensuring that appropriate committee structures are in place, working with the chief executive officer and other members of senior management to monitor progress on strategic planning, policy implementation and succession planning.

The board has also developed a written position description for each of the chair of the audit committee and the chair of the governance and nominating committee which sets out key responsibilities, including, as applicable, duties relating to reviewing and approving the agenda for each committee meeting, presiding over all committee meetings, consulting or meeting with the Executive Chairman or others as part of the agenda and meeting preparation process, reporting to the board on committee activities and presenting recommendations on matters requiring board approval.

The board has also developed a written position for the lead independent director of our company which sets out key responsibilities, including duties relating to corporate governance matters, the activities of the other independent directors, consulting and communicating directly with shareholders of our company and other stakeholders when appropriate, chairing private sessions of independent directors following every board meeting and calling meetings of independent directors if necessary.

The board has also developed a written position description for the chief executive officer which sets out the key responsibilities of the chief executive officer, including duties relating to managing the business and affairs of our company, presenting a business plan to the board for approval annually, establishing and maintaining risk assessment processes and procedures, proposing operating plans to the board annually and acting as a primary spokesperson for our company.

***Code of Business***

Our board of directors has adopted a Code of Business, which incorporates a Positive Work Environment Policy and provides guidelines to ensure that all employees, including directors, respect our commitment to conducting business relationships with respect, openness and integrity. Management provides regular instructions and updates to the Code of Business to our employees, as appropriate, and has provided training and e-learning tools to support the understanding of the Code of Business throughout the organization. Employees may report activities which they feel are not consistent with the spirit and intent of the Code of Business through a hotline or through a designated ethics reporting website (in each case on an anonymous basis), or alternatively, to designated members of management. Monitoring of calls and of the ethics reporting website is managed by Navex, an independent third party. The audit committee is to be notified of any significant reports of activities that are not consistent with the Code of Business by Brookfield's internal auditor. If the audit committee considers it appropriate, it will notify the governance and nominating committee and/or the board of such reports.

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The board promotes the highest ethical business conduct. The board has taken measures to ensure directors exercise independent judgment in considering transactions and agreements in respect of which a director or our core senior management team has a material interest. Any director with a material interest in a transaction declares his or her interest and refrains from voting on such matter. Significant related party transactions, if any, are reviewed and approved by an independent committee made up of independent directors who may be advised by independent counsel and independent advisors.

***Personal Trading Policy***

Brookfield has adopted a personal trading policy (the "Brookfield Trading Policy") that applies to the directors and employees of Brookfield and its controlled public affiliates, including our company and the partnership. The Brookfield Trading Policy sets forth basis guidelines for trading in the securities of Brookfield, our company and the partnership and prohibits trading on the basis of material non-public information. The Brookfield Trading Policy features "blackout" periods during which insiders and other persons who are subject to the policy are prohibited from trading in the securities of Brookfield, our company and the partnership. Regular trading blackout periods will generally commence at the close of business on the last business day of a quarter and end on the beginning of the first business day following the earnings call discussing the quarterly results. Our company has adopted the Brookfield Trading Policy that applies to our company's and the partnership's directors and officers and the officers and directors of their respective subsidiaries. See Item 16J., "Insider Trading Policies".

**Indemnification and Limitations on Liability**

***Articles***

Under our articles and subject to the BCBCA, our company is required to indemnify each individual (each an "eligible party") who is or was a director or officer of our company and each individual who is or was a director or officer of an affiliate of our company and such individual's heirs and legal personal representatives against all judgments, penalties and fines to which such person is or may be liable, and our company must, after the final disposition of a proceeding, pay the expenses actually and reasonably incurred by such person in respect of that proceeding.

Subject to any restrictions in the BCBCA, our company may agree to indemnify and may indemnify any person (including an eligible party) against judgments, penalties and fines and pay expenses incurred in connection with the performance of services by that person for our company.

***Insurance***

Our company has the benefit of insurance coverage under which the directors are insured, subject to the limits of the policy, against certain losses arising from claims made against such directors by reason of any acts or omissions covered under the policy in their respective capacities as directors of our company, including certain liabilities under securities laws.

**Director Share Ownership Requirements**

We believe that the directors of our company can better represent our shareholders if they have economic exposure to our company themselves. We expect that directors hold sufficient exchangeable shares and/or units of the partnership such that the acquisition costs of our exchangeable shares or units of the partnership held by such directors, in the aggregate, meets the Ownership Requirement, which is equal to at least two times their aggregate annual retainer for serving as a director of our company or the general partner of the partnership, as applicable, as determined by the board from time to time.

Directors are required to purchase our exchangeable shares and/or units of the partnership on an annual basis with an acquisition cost equal to not less than 40% of their aggregate annual retainer until the Ownership Requirement has been met. Our directors are required to achieve the Ownership Requirement within five years of joining the board (or the board of directors of the general partner of the partnership). In the event of an increase in the aggregate annual retainer, directors will have two years following the date of the change in the aggregate annual retainer to comply with the Ownership Requirement. In the case of directors who have served on the board (or the board of the general partner of the partnership) less than five years at the date of the change in the aggregate annual retainer, such directors will be required to comply with the Ownership Requirement by the date that is the later of: (i) the fifth anniversary of their appointment to the board, and (ii) two years following the date of the change in the aggregate annual retainer.

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**Management Diversity**

Our company is externally managed by the Service Providers, and accordingly, our company does not evaluate, determine or make any hiring or promotion decisions for the Service Providers. The Service Providers make hiring and promotion decisions based solely on merit, so that each officer and employee possess the necessary skills, knowledge and experience to do his or her job. The Service Providers are committed to workplace diversity, including but not limited to, providing opportunities and support to promote success for female employees and promoting diversity of gender, culture, geography and skills. The Service Providers are also deeply aware of the benefits that diversity and inclusion add to a workplace and the ability to achieve better business outcomes. The Service Providers' focus begins at recruitment, continues in leadership training programs, diversity is woven into our policies and procedures and is emphasized on a daily basis as part of our culture. In addition to having a diverse employee base, the Service Providers also seek to leverage the benefits of diversity by upholding an inclusive environment that encourages contribution from all individuals and provides equal development and advancement opportunities. To further our progress in this area, Brookfield has created an internal Global Diversity Advisory Group. The Service Providers do not have targets for the representation of women in executive officer positions because such targets do not accurately reflect the full range of factors considered in hiring or promoting executive officers.

**6. D EMPLOYEES**

Our company does not have any employees. Our company has entered into a Master Services Agreement with the Service Providers, pursuant to which each Service Provider and certain other affiliates of Brookfield provide, or arrange for other Service Providers to provide, day-to-day management and administrative services for our company, the Holding LP and the Holding Entities.

As at December 31, 2025, our consolidated operating companies had approximately 13,000 employees. These employees are primarily based in Brazil (47%), the United States (26%), Australia (10%), and the United Kingdom (6%). Our company believes that the employees of our consolidated operating companies are critical to its success and its relationships with these employees and with any labor organizations that represent these employees are good.

**6. E SHARE OWNERSHIP**

As of March, 26 2026, the date prior to the closing of the Arrangement, our directors and officers and their associates each beneficially owned, directly or indirectly, or exercised control and direction over, our exchangeable shares representing in the aggregate less than 1% of our issued and outstanding units on a fully exchanged basis.

**6. F DISCLOSURE OF A REGISTRANT'S ACTION TO RECOVER ERRONEOUSLY AWARDED COMPENSATION**

Not applicable.

**ITEM 7. MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS**

**7. A MAJOR SHAREHOLDERS**

As a result of the Arrangement, all of our exchangeable shares are held by Brookfield Business Corporation. The exchangeable shares acquired by the Corporation are expected to be transferred to Brookfield BBP Canada Holdings Inc., an indirect wholly-owned subsidiary of Brookfield.

**7. B RELATED PARTY TRANSACTIONS**

Brookfield is a leading global alternative asset manager with significant assets under management and a long history of owning, managing and operating assets, businesses and investment vehicles across various industries, sectors, geographies and strategies. Brookfield offers a range of public and private investment products and services, and invests its own capital alongside its client accounts. Class A limited voting shares of Brookfield are listed on the NYSE and TSX under the symbols "BN" and "BN.A", respectively.

We are an affiliate of Brookfield. We have entered into a number of agreements and arrangements with Brookfield in order to enable us to be established as a separate entity from Brookfield and other public and private investment vehicles and programs that Brookfield currently manages and participates in, and may in the future manage and participate in Brookfield Accounts and to pursue our vision of our group being a leading owner and operator of business services and industrial operations on a global basis that is managed within Brookfield's broader investment platform.

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On July 4, 2025, the company completed the sale of a 7% interest in our dealer software and technology services operation to a new evergreen private equity fund, managed by Brookfield Asset Management. In exchange, the company received units of the new evergreen fund with an initial redemption value of $306 million, representing an 8.6% discount to the net asset value of the interest sold. In the 18-month period following the initial closing of the evergreen private equity fund, the units are redeemable for cash at an 8.6% discount to their net asset value at the time of redemption. Any remaining units still outstanding after this 18-month period will be redeemable at their net asset value.

On March 27, 2026, BBU and BBHC completed the Arrangement which was designed to simplify BBU and BBHC's structure by converting BBU and BBHC into a single publicly traded corporate entity resulting in BBU unitholders and BBHC shareholders holding shares in a single corporation. Following the Arrangement, the exchangeable shares will be delisted from the NYSE and TSX.

As a result of the Arrangement, the Service Providers, which are all subsidiaries of Brookfield Asset Management, now provide services to BBUC, and BBUC has been added as a Service Recipient under the Master Services Agreement.

See also the information contained in this Form 20-F under Item 5.A, "Operating Results - Related Party Transactions" and Item 6.A "Directors and Senior Management", Item 6.C "Board Practices" and Note 1 and Note 25 to our audited consolidated financial statements for the years ended December 31, 2025, 2024 and 2023, respectively.

**7. C INTERESTS OF EXPERTS AND COUNSEL**

Not applicable.

**ITEM 8. FINANCIAL INFORMATION**

**8. A CONSOLIDATED STATEMENTS AND OTHER FINANCIAL INFORMATION**

See Item 18, "Financial Statements".

**8. B SIGNIFICANT CHANGES**

See Item 4 "Information on the Company " and Item 5 "Operating and Financial Review and Prospects " for additional information.

**ITEM 9. THE OFFER AND LISTING**

**9. A OFFER AND LISTING DETAILS**

Our exchangeable shares will be delisted from the NYSE and the TSX in connection with the completion of the Arrangement.

**9. B PLAN OF DISTRIBUTION**

Not applicable.

**9. C MARKETS**

See Item 9.A, "Offer and Listing Details".

**9. D SELLING SHAREHOLDERS**

Not applicable.

**9. E DILUTION**

Not applicable.

**9. F EXPENSES OF THE ISSUE**

Not applicable.

**ITEM 10. ADDITIONAL INFORMATION**

**10. A SHARE CAPITAL**

Not applicable.

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**10. B MEMORANDUM AND ARTICLES OF ASSOCIATION**

**The information in this Item 10.B is presented as of December 31, 2025, prior to the completion of the Arrangement.**

**DESCRIPTION OF OUR SHARE CAPITAL**

**Exchangeable Shares**

The following description of exchangeable shares sets forth certain general terms and provisions of exchangeable shares. This description is in all respects subject to and qualified in its entirety by applicable law and the provisions of our company's articles. Each exchangeable share is intended to provide its holder with an economic return that is equivalent to that of a unit. Consequently, we expect that the market price of our exchangeable shares will be significantly impacted by the market price of the units and the combined business performance of our group as a whole.

***Voting***

Except as otherwise expressly provided in the articles or as required by law, each holder of exchangeable shares is entitled to receive notice of, and to attend and vote at, all meetings of our shareholders. Each holder of exchangeable shares is entitled to cast one vote for each exchangeable share held at the record date for determination of shareholders entitled to vote on any matter. Except as otherwise expressly provided in the articles or as required by law, the holders of exchangeable shares and class B shares will vote together and not as separate classes.

Holders of exchangeable shares hold an aggregate 25% voting interest in our company.

***Dividends***

The holders of exchangeable shares are entitled to receive dividends as and when declared by our board of directors subject to the special rights of the holders of all classes and series of the preferred shares and any other shares ranking senior to the exchangeable shares with respect to priority in payment of dividends. Our company targets to pay dividends per exchangeable share that are identical to the distributions on each unit.

Subject to the prior rights of holders of all classes and series of preferred shares at the time outstanding having prior rights as to dividends, and in preference to the class C shares, each exchangeable share entitles its holder to cumulative dividends per share in a cash amount equal in value to (i) the amount of any distribution made on a unit multiplied by (ii) the conversion factor (which initially shall be one, subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership) determined in accordance with the articles and in effect on the record date of such dividend, which we refer to as the exchangeable dividend. See below "Adjustments to Reflect Certain Capital Events". The record and payment dates for the dividends on the exchangeable shares, to the extent not prohibited by applicable law, shall be the same as the record and payment dates for the distributions upon the units.

If the full amount of an exchangeable dividend is not declared and paid concurrently with a distribution on the units, then the undeclared or unpaid amount of such exchangeable dividend shall accrue and accumulate (without interest), whether or not our company has earnings, whether or not there are funds legally available for the payment thereof and whether or not such exchangeable dividend has been earned, declared or authorized. Any exchangeable dividend payment made shall first be credited against the earliest accumulated but unpaid exchangeable dividends due which remain payable, which we refer to as unpaid dividends. All exchangeable dividends shall be paid prior and in preference to any dividends or distributions on the class C shares. The holders of exchangeable shares shall not be entitled to any dividends from our company other than the exchangeable dividends.

***Exchange by Holder***

Holders of exchangeable shares have the right to exchange all or a portion of their exchangeable shares for one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described below in "Adjustments to Reflect Certain Capital Events") or its cash equivalent based on the NYSE closing price of one unit on the date that the request for exchange is received by our transfer agent (or if not a trading day, the next trading day thereafter) plus all unpaid dividends, if any (the form of payment to be determined at the sole election of our group). Holders of exchangeable shares that hold such shares through a broker must contact their brokers to request an exchange on their behalf. Holders of exchangeable shares that are registered holders must contact the transfer agent and follow the process described below.

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Each holder of exchangeable shares who wishes to exchange one or more of his or her exchangeable shares for units or its cash equivalent is required to complete and deliver a notice of exchange in the form available from our transfer agent. Upon receipt of a notice of exchange, our company shall, within ten (10) business days after the date that the notice of exchange is received by our transfer agent, deliver to the tendering holder of exchangeable shares, in accordance with instructions set forth in the notice of exchange, one unit per exchangeable share held (subject to adjustments in the event of certain dilutive or other capital events by our company or the partnership as described below in "Adjustments to Reflect Certain Capital Events") or its cash equivalent based on the NYSE closing price of one unit on the date that the request for exchange is received by our transfer agent (or if not a trading day, the next trading day thereafter) plus all unpaid dividends, if any (the form of payment to be determined at the sole election of our company). Upon completion of the exchange of any exchangeable shares as described herein, the holder of exchangeable shares who has exchanged their exchangeable shares will have no further right, with respect to any exchangeable shares so exchanged, to receive any dividends on exchangeable shares with a record date on or after the date on which such exchangeable shares are exchanged. Unitholders of the partnership are not entitled to vote on the partnership's exercise of the overriding call right described in the preceding sentence.

*No Fractional Units.* No fractional units will be issued or delivered upon exchange of exchangeable shares. In lieu of any fractional units to which the tendering holder of exchangeable shares would otherwise be entitled at our group's election, our group will pay an amount in cash equal to the unit value on the trading day immediately preceding the exchange date multiplied by such fraction of a unit.

*Conversion of Tendered Exchangeable Shares.* Brookfield Business Partners will be entitled at any time to have any or all exchangeable shares acquired by Brookfield Business Partners converted into class C shares on a one-for-one basis. With each acquisition by the partnership of exchangeable shares and/or the election by the partnership to convert these acquired shares for class C shares, the partnership's indirect ownership interest in our company will increase.

*Adjustments to Reflect Certain Capital Events.* The conversion factor (which initially is one) is subject to adjustment in accordance with our company's articles to reflect certain capital events, including (i) if the partnership or our company declares or pays a distribution to its unitholders consisting wholly or partly of units or a dividend to its shareholders consisting wholly or partly of exchangeable shares, as applicable, without a corresponding distribution or dividend, as applicable, being declared or paid by the other entity; (ii) if the partnership or our company splits, subdivides, reverse-splits or combines its outstanding units or exchangeable shares, as applicable, without a corresponding event occurring at the other entity; (iii) if the partnership or our company distributes any rights, options or warrants to all or substantially all holders of its units or exchangeable shares to convert into, exchange for or subscribe for or to purchase or to otherwise acquire units or exchangeable shares (or other securities or rights convertible into, exchangeable for or exercisable for units or exchangeable shares), as applicable, without a corresponding distribution of rights, options or warrants by the other entity; (iv) if the partnership distributes to all or substantially all holders of units evidences of its indebtedness or assets (including securities), or assets or rights, options or warrants to convert into, exchange for or subscribe for or to purchase or to otherwise acquire such securities but excluding all distributions where a comparable distribution (or the cash equivalent) is made by our company; or (v) if the partnership or one of its subsidiaries makes a payment in respect of a tender or exchange offer for the units (but excluding for all purposes any exchange or tender offer to exchange units for exchangeable shares or any other security economically equivalent to units), to the extent that the cash and value of any other consideration included in the payment per unit exceeds certain thresholds.

***Redemption by Issuer***

Our board of directors will have the right upon sixty (60) days' prior written notice to holders of exchangeable shares to redeem all of the then outstanding exchangeable shares at any time and for any reason, in its sole discretion and subject to applicable law, including without limitation following the occurrence of any of the following redemption events: (i) the total number of exchangeable shares outstanding decreases by 50% or more over any twelve-month period; (ii) a person acquires 90% of the units in a take-over bid (as defined by applicable securities law); (iii) unitholders of the partnership approve an acquisition of the partnership by way of arrangement or amalgamation; (iv) unitholders of the partnership approve a restructuring or other reorganization of the partnership; (v) there is a sale of all or substantially all of the partnership assets; (vi) there is a change of law (whether by legislative, governmental or judicial action), administrative practice or interpretation, or a change in circumstances of our company and our shareholders, that may result in adverse tax consequences for our company or our shareholders; or (vii) our board of directors, in its sole discretion, concludes that the unitholders of the partnership or holders of exchangeable shares are adversely impacted by a fact, change or other circumstance relating to our company. For greater certainty, unitholders do not have the ability to vote on such redemption and the board's decision to redeem all of the then outstanding exchangeable shares will be final. In addition, the holder of class B shares may deliver a notice to our company specifying a redemption date upon which our company shall redeem all of the then outstanding exchangeable shares, and upon sixty (60) days' prior written notice from our company to holders of the exchangeable shares and without the consent of holders of exchangeable shares, our company shall be required to redeem all of the then outstanding exchangeable shares on such redemption date, subject to applicable law.

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Upon any such redemption event, the holders of exchangeable shares shall be entitled to receive pursuant to such redemption one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") or its cash equivalent based on the NYSE closing price of one unit on the trading day immediately preceding the announcement of such redemption plus all unpaid dividends, if any (the form of payment to be determined at the election of our company).

Notwithstanding the foregoing, upon any redemption event, the partnership may elect to acquire all of the outstanding exchangeable shares in exchange for one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") or its cash equivalent based on the NYSE closing price of one unit on the trading day immediately preceding the announcement of such redemption plus all unpaid dividends, if any (the form of payment to be determined at the election of the partnership). Unitholders are not entitled to vote on the partnership's exercise of the overriding call right described in the preceding sentences.

***Liquidation***

Upon any liquidation, dissolution or winding up of our company, and subject to the prior rights of holders of all classes and series of preferred shares and any other class of shares of our company ranking in priority or ratably with the exchangeable shares and after the payment in full to (i) any holder of exchangeable shares that has submitted a notice of the exercise of the exchange rights described above or any holder of class C shares that has submitted a notice of class C retraction, in each case at least ten (10) days prior to the date of the liquidation, dissolution or winding up, and (ii) any holder of class B shares that has submitted a notice of retraction at least thirty (30) days prior to the date of the liquidation, dissolution or winding up, the holders of exchangeable shares shall be entitled to an amount in cash per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") equal to the NYSE closing price of one unit on the trading day immediately preceding announcement of such liquidation, dissolution or winding up, plus all unpaid dividends, if any. If, upon any such liquidation, dissolution or winding up, the assets of our company are insufficient to make such payment in full, then the assets of our company will be distributed among the holders of exchangeable shares ratably in proportion to the full amounts to which they would otherwise be respectively entitled to receive.

Notwithstanding the foregoing, upon any liquidation, dissolution or winding up of our company, (i) our company may elect to redeem all of the outstanding exchangeable shares for one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events"), plus all unpaid dividends, if any, and (ii) the partnership may elect to acquire all of the outstanding exchangeable shares for one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") plus all unpaid dividends, if any. Unitholders are not entitled to vote on any such redemption of the exchangeable shares by our company or on the partnership's exercise of the overriding call right described in the preceding sentences.

***Automatic Redemption upon Liquidation of the Partnership***

Upon any liquidation, dissolution or winding up of the partnership, including where substantially concurrent with a liquidation, dissolution or winding up of our company, all of the then outstanding exchangeable shares will be automatically redeemed by us, in our sole and absolute discretion, on the day prior to the liquidation, dissolution or winding up of the partnership. In such case, each holder of exchangeable shares shall be entitled to one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") or its cash equivalent based on the NYSE closing price of one unit on the trading day immediately preceding the announcement of such redemption plus all unpaid dividends, if any (the form of payment to be determined at the election of our company).

Notwithstanding the foregoing, upon any such redemption, the partnership may elect to acquire all of the outstanding exchangeable shares in exchange for one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") plus all unpaid dividends, if any. The acquisition by the partnership of all the outstanding exchangeable shares will occur on the day prior to the effective date of the liquidation, dissolution or winding up of the partnership. Unitholders are not entitled to vote on the partnership's exercise of the overriding call right described in the preceding sentences.

***Conversion to Class C Shares***

The partnership, or any of its controlled subsidiaries, are entitled to convert each held exchangeable share to a class C share on a one-for-one basis, subject to adjustment.

Brookfield Business Holding Corporation 59

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***Book-Based System***

The exchangeable shares may be represented in the form of one or more fully registered share certificates held by, or on behalf of, CDS or DTC, as applicable, as custodian of such certificates for the participants of CDS or DTC, registered in the name of CDS or DTC or their respective nominee, and registration of ownership and transfers of the exchangeable shares may be effected through the book-based system administered by CDS or DTC, as applicable.

***Treatment of Exchangeable Shares in Connection with a Takeover Bid, Issuer Bid or Tender Offer***

The exchangeable shares are not units and will not be treated as units for purposes of the application of applicable Canadian or U.S. rules relating to takeover bids, issuer bids and tender offers. Units and exchangeable shares are not securities of the same class. As a result, holders of exchangeable shares will not be entitled to participate in an offer or bid made to acquire units, unless such offer is extended to holders of exchangeable shares and holders of units will not be entitled to participate in an offer or bid made to acquire exchangeable shares, unless such offer is extended to holders of units. In the event of a takeover bid for units, a holder of exchangeable shares who would like to participate would be required to tender his or her exchangeable shares for exchange, in order to receive a unit, or the cash equivalent, at the election of our group, pursuant to the exchange right. If an issuer tender offer or issuer bid is made for the units at a price in excess of the market price of the units and a comparable offer is not made for the exchangeable shares, then the conversion factor for the exchangeable shares may be adjusted. See above "Adjustments to Reflect Certain Capital Events" for more information on the circumstances in which adjustments may be made to the conversion factor.

**Choice of Forum for U.S. Securities Act Claims**

**Class B Shares**

The following description of class B shares sets forth certain general terms and provisions of class B shares. This description is in all respects subject to and qualified in its entirety by reference to applicable law and the provisions of the articles.

***Voting***

Except as otherwise expressly provided in the articles or as required by law, each holder of class B shares is entitled to receive notice of, and to attend and vote at, all meetings of our shareholders. Each holder of class B shares is entitled to cast a number of votes per class B share equal to: (i) the number that is three times the number of exchangeable shares then issued and outstanding divided by (ii) the number of class B shares then issued and outstanding. The effect of the foregoing is that the holders of the class B shares are entitled to cast, in the aggregate, a number of votes equal to three times the number of votes attached to the exchangeable shares. Except as otherwise expressly provided in the articles or as required by law, the holders of exchangeable shares and class B shares will vote together and not as separate classes.

***Dividends***

Except as provided in the following sentence, the holders of class B shares are not entitled to receive dividends. In the event a dividend is declared and paid on the exchangeable shares consisting of exchangeable shares, the board shall, subject to applicable law, contemporaneously declare and pay an equivalent dividend on the class B shares consisting of class B shares.

***Liquidation***

Upon any liquidation, dissolution or winding up of our company, subject to the prior rights of holders of all classes and series of preferred shares and after the payment in full of the amount due to the holders of exchangeable shares described above under the section entitled "Liquidation", the holders of class B shares are entitled to be paid out of the assets of our company, and in preference to the class C shares, an amount in cash per class B share equal to the value of one unit per class B share held (subject to adjustment to effect certain capital events as described above in "Adjustments to Reflect Certain Capital Events") based on the NYSE closing price on the trading day immediately preceding announcement of such liquidation, dissolution or winding up. At any time no class C shares are outstanding, holders of class B shares are entitled to receive the remaining assets of the company after satisfying the prior rights of holders of all classes of preferred shares, exchangeable shares and any other shares ranking in priority or rateably with the class B shares.

60 Brookfield Business Holding Corporation

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***Redemption by Holder***

Holders of class B shares have the right to tender all or a portion of their class B shares for cash for each class B share equal to the NYSE closing price of one unit (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") on the date of the request for redemption. Upon receipt of a request for redemption, we will have thirty (30) days to deliver the cash amount to the exchanging holder.

***Restrictions on Transfer***

The class B shares may only be transferred to the partnership or persons controlled by the partnership.

**Class C Shares**

The following description of class C shares sets forth certain general terms and provisions of class C shares. This description is in all respects subject to and qualified in its entirety by reference to applicable law and the provisions of the articles.

***Voting***

Except as otherwise expressly provided in the articles or as required by law, each holder of a class C share is entitled to notice of, and to attend, any meetings of shareholders of the company, but is not otherwise entitled to vote at any such meetings.

***Dividends***

The holders of class C shares are entitled to receive dividends as and when declared by our board of directors subject to the special rights of the holders of all classes and series of the preferred shares, exchangeable shares any other shares ranking senior to the class C shares with respect to priority in payment of dividends.

Subject to the prior rights of holders of all classes and series of preferred shares and the exchangeable shares at the time outstanding having prior rights as to dividends, each class C share entitles its holder to dividends as and when declared by our board of directors, which we refer to as the class C dividend. The record and payment dates for the dividends or other distributions upon the class C shares, to the extent not prohibited by applicable law, shall be substantially the same as the record and payment dates for the dividends or other distributions upon the units.

In the event a dividend is declared and paid on the exchangeable shares consisting of exchangeable shares, the board shall, subject to applicable law, contemporaneously declare and pay an equivalent dividend on the class C shares consisting of class C shares.

***Liquidation***

Upon any liquidation, dissolution or winding up of our company, subject to the prior rights of holders of preferred shares and after the payment in full of the amount due to the holders of exchangeable shares described above under the section entitled "Liquidation" and the holders of class B shares described above under the section entitled "Class B Shares - Liquidation", the remaining assets and property of our company will be distributed among the holders of class C shares.

***Redemption by Holder***

Holders of class C shares have the right at any time to tender all or a portion of their class C shares for cash in an amount for each class C share equal to the NYSE closing price of one unit (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") on the date of the request for redemption. Upon receipt of a request for redemption, we will have ten (10) days to deliver the cash amount to the exchanging holder.

***Restrictions on Transfer***

The class C shares may only be transferred to the partnership or persons controlled by the partnership.

**Preferred Shares**

The following description of preferred shares sets forth certain general terms and provisions of class A senior preferred shares and class B junior preferred shares. This description is in all respects subject to and qualified in its entirety by reference to applicable law and the provisions of the articles.

Brookfield Business Holding Corporation 61

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***Priority***

Each series of exchangeable senior preferred shares ranks on a parity with every other series of class A senior preferred shares with respect to dividends and return of capital, and each series of class B junior preferred shares ranks on a parity with every other series of class B junior preferred shares with respect to dividends and return of capital. The preferred shares are entitled to a preference over the exchangeable shares, the class B shares, the class C shares and any other shares ranking junior to the preferred shares with respect to priority in payment of dividends and in the distribution of assets in the event of the liquidation, dissolution or winding-up of our company, whether voluntary or involuntary, or any other distribution of the assets of our company among our shareholders for the specific purpose of winding up our affairs. The class A senior preferred shares are entitled to preference over the class B junior preferred shares for all such matters.

***Directors' Right to Issue in One or More Series***

The preferred shares may be issued at any time and from time to time in one or more series. Before any shares of a series are issued, our board of directors shall fix the number of shares that will form such series, if any, and shall, subject to any limitations set out in our articles or in applicable law, determine the designation, rights, privileges, restrictions and conditions to be attached to the preferred shares as the case may be, of such series.

***Voting***

Except as hereinafter referred to or as required by law or as specified in the rights, privileges, restrictions and conditions attached from time to time to any series of preferred shares, the holders of such preferred shares as a class are not entitled as such to receive notice of, to attend or to vote at any meeting of our shareholders.

***Amendment with Approval of Holder of Preferred Shares***

The rights, privileges, restrictions and conditions attached to the preferred shares as a class may be added to, changed or removed but only with the approval of the holders of such class of preferred shares given as hereinafter specified and subject to applicable law.

***Approval of Holders of Preferred Shares***

The approval of the holders of a class of preferred shares to add to, change or remove any right, privilege, restriction or condition attaching to such class of preferred shares as a class or in respect of any other matter requiring the consent of the holders of such class of preferred shares may be given in such manner as may then be required by law, subject to a minimum requirement that such approval be given by resolution signed by all the holders of such class of preferred shares or passed by the affirmative vote of at least two-thirds (2∕3rds) of the votes cast at a meeting of the holders of such class of preferred shares duly called for that purpose.

The formalities to be observed with respect to the giving of notice of any such meeting or any adjourned meeting, the quorum required therefor and the conduct thereof shall be those from time to time required by applicable law as in force at the time of the meeting and those, if any, prescribed by our articles with respect to meetings of shareholders. On every poll taken at every meeting of the holders of a class of preferred shares as a class, or at any joint meeting of the holders of two or more series of a class of preferred shares, each holder of such class of preferred shares entitled to vote thereat shall have one vote in respect of each such preferred share held.

**10. C MATERIAL CONTRACTS**

Each material contract to which the company has been a party for the preceding two years, other than those entered into in the ordinary course of business, is listed as an exhibit to this Form 20-F and is summarized elsewhere herein.

Copies of the agreements noted above are available for inspection at the Corporate Secretary's Office at 225 Liberty Street, 8th Floor, New York NY, 10281-1048.

**10. D EXCHANGE CONTROLS**

There are currently no governmental laws, decrees, regulations or other legislation of Canada or the United States which restrict the import or export of capital or the remittance of dividends, interest or other payments to non-residents of Canada or the United States holding the company's securities.

**10. E TAXATION**

**[RESERVED]** 

62 Brookfield Business Holding Corporation

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**10. F DIVIDENDS AND PAYING AGENTS**

Not applicable.

**10. G STATEMENT BY EXPERTS**

Not applicable.

**10. H DOCUMENTS ON DISPLAY**

Prior to the Arrangement, our company was subject to the information filing requirements of the U.S. Exchange Act, and accordingly we were required to file periodic reports and other information with the SEC and with Canadian securities regulatory authorities. Copies of such documents are available for inspection at the company's registered address: 225 Liberty Street, 8th Floor, New York NY, 10281-1048. Written requests to inspect our documents should be directed to the Corporate Secretary's Office at the registered address.

**10. I SUBSIDIARY INFORMATION**

Not applicable.

**10. J ANNUAL REPORT TO SECURITY HOLDERS**

Not applicable.

**ITEM 11. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK**

See the information contained in this Form 20-F under Item 5.B, "Liquidity and Capital Resources - Market Risks".

**ITEM 12. DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES**

Not applicable.

Brookfield Business Holding Corporation 63

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**PART II**

**ITEM 13. DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES**

None.

**ITEM 14. MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS**

None.

**ITEM 15. CONTROLS AND PROCEDURES**

**Disclosure Controls and Procedures**

As at December 31, 2025, an evaluation of the effectiveness of our "disclosure controls and procedures" (as defined in Rules 13a-15(e) and 15d-15(e) under the U.S. Exchange Act) was carried out under the supervision and with the participation of persons performing the functions of principal executive and principal financial officers for us. Based upon that evaluation, the persons performing the functions of principal executive and principal financial officers for us have concluded that, as of December 31, 2025, our disclosure controls and procedures were effective: (i) to ensure that information required to be disclosed by us in the reports that we file or submit under the U.S. Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms; and (ii) to ensure that information required to be disclosed by us in the reports that we file or submit under the U.S. Exchange Act is accumulated and communicated to our management, including the persons performing the functions of principal executive and principal financial officers for us, to allow timely decisions regarding required disclosure.

It should be noted that while our management, including persons performing the functions of principal executive and principal financial officers for us, believe our disclosure controls and procedures provide a reasonable level of assurance that such controls and procedures are effective, they do not expect that our disclosure controls and procedures or internal controls will prevent all error and all fraud. A control system, no matter how well conceived or operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met.

**Management's Annual Report on Internal Control Over Financial Reporting**

Our management is responsible for establishing and maintaining adequate internal control over financial reporting, as such term is defined in Rule 13a-15(f) under the U.S. Exchange Act. Under the supervision and with the participation of our management, including persons performing the functions of principal executive and principal financial officers for us, we conducted an evaluation of the effectiveness of our internal control over financial reporting as of December 31, 2025 based on the criteria set forth in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on evaluation under the foregoing, our management concluded that our internal control over financial reporting was effective as of December 31, 2025.

Internal control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

**Report of Independent Registered Public Accounting Firm**

The effectiveness of our internal control over financial reporting as of December 31, 2025 has been audited by Deloitte LLP, Independent Registered Public Accounting Firm, who have also audited our consolidated financial statements, as stated in their reports which are included herein.

**Changes in Internal Control**

There was no change in our internal control over financial reporting during the year ended December 31, 2025, that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

**ITEM 16. [RESERVED]**

64 Brookfield Business Holding Corporation

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**ITEM 16A. AUDIT COMMITTEE FINANCIAL EXPERT**

Our board of directors has determined that Patricia Zuccotti possesses specific accounting and financial management expertise and that she is an audit committee financial expert as defined by the SEC and is independent within the meaning of the rules of the NYSE. Our board of directors has also determined that other members of the Audit Committee have sufficient experience and ability in finance and compliance matters to enable them to adequately discharge their responsibilities.

**ITEM 16B. CODE OF ETHICS**

Brookfield Business Corporation has adopted a Code of Business Conduct and Ethics, or the Code, that applies to the members of the board of directors of our company, the partnership, the general partner of the partnership, any officers or employees of the general partner of the partnership and any employees of the Services Providers performing obligations under the Master Services Agreement.

**ITEM 16C. PRINCIPAL ACCOUNTANT FEES AND SERVICES**

Our company has retained Deloitte LLP (PCAOB ID No. 1208) to act as our company's independent registered public accounting firm.

The table below summarizes the fees for professional services rendered by Deloitte LLP for the audit of our annual consolidated financial statements for the period ended December 31, 2025 and 2024:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
| **<u>(US$ MILLIONS, except as noted)</u>** | **USD** | **%** | **USD** | **%** |
| Audit fees <sup>(1)</sup>  | $**4.4** | **55%** | $4.3 | 54% |
| Audit-related fees <sup>(2)</sup>  | **3.5** | **44%** | 3.5 | 44% |
| Tax fees <sup>(3)</sup>  | **0.1** | **1%** | 0.2 | 2% |
| Total | $**8.0** | **100%** | $8.0 | 100% |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Audit fees include fees for services that would normally be provided by the external auditor in connection with our audit of the company, including fees for services necessary to perform an audit or review in accordance with generally accepted auditing standards. This category also includes services that generally only the external auditor reasonably can provide, including comfort letters, consents and assistance with and review of certain documents filed with securities regulatory authorities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(2)</sup>Audit-related fees are for other statutory audits, assurance and related services, such as due diligence services, that traditionally are performed by the external auditor. More specifically, these services include, among others: statutory audits of our subsidiaries, employee benefit plan audits, audits in connection with acquisitions, attest services that are not required for the company's statutory audit, and consultation concerning financial accounting and reporting standards.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(3)</sup>Tax fees are principally for assistance in tax compliance and tax advisory services.

The audit committee of our company pre-approves all audit and non-audit services provided to our company by Deloitte LLP.

**ITEM 16D. EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES**

Not applicable.

Brookfield Business Holding Corporation 65

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**ITEM 16E. PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS**

Following completion of the Arrangement, our company's exchangeable shares will no longer be publicly listed.

Prior to completion of the Arrangement, subject to applicable law, our company purchased exchangeable shares for cancellation in the open market. On August 15, 2025, the TSX accepted a notice of our company's intention to renew its normal course issuer bid in connection with our exchangeable shares, which permitted our company and Brookfield Corporation to repurchase up to 3,499,836 issued and outstanding exchangeable shares. Repurchases were authorized to commence on August 19, 2025. For the year ended December 31, 2025, our company repurchased 3,876,525 exchangeable shares. Following the year ended December 31, 2025 and up to the date of this Form 20-F, our company repurchased 891,240 exchangeable shares and Brookfield Corporation repurchased 98,336 exchangeable shares under the normal course issuer bid. A copy of the Notice of Intention for each normal course issuer bid may be obtained without charge by contacting Investor Relations by phone at 1-866-989-0311 or by email at bbuc.enquiries@brookfield.com.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Period** | **Total Number of Exchangeable Shares Purchased** | **Average Price Paid per Exchangeable Share (US$)** | **Total Number of Exchangeable Shares Purchased as Part of Publicly Announced Plans or Programs** | **Maximum Number of Exchangeable Shares that May Yet Be Purchased Under the Plans or Programs**<sup>(1)(2)</sup> |
| January 1 - 31, 2025 |  | $— |  | 3647722 |
| February 1 - 28, 2025 | 341010 | $25.41 | 341010 | 3306712 |
| March 1 - 31, 2025 | 929756 | $26.86 | 929756 | 2376956 |
| April 1 - 30, 2025 | 1034601 | $24.44 | 1034601 | 1342355 |
| May 1 - 31, 2025 | 599735 | $27.14 | 599735 | 742620 |
| June 1 - 30, 2025 | 52421 | $27.99 | 52421 | 690199 |
| July 1 - 31, 2025 |  | $— |  | 690199 |
| August 1 - 31, 2025 |  | $— |  | 3499836 |
| September 1 - 30, 2025 |  | $— |  | 3499836 |
| October 1 - 31, 2025 |  | $— |  | 3499836 |
| November 1 - 30, 2025 | 684415 | $33.04 | 684415 | 2815421 |
| December 1 - 31, 2025 | 234587 | $36.07 | 234587 | 2580834 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(4)</sup>On August 15, 2024, the TSX accepted a notice filed by the company of its intention to renew the NCIB, for its exchangeable shares. Under the NCIB, the company is authorized to repurchase up to 5% of its total issued and outstanding exchangeable shares as at August 8, 2024, or 3,647,722 exchangeable shares, including up to 5,184 exchangeable shares on the TSX during any trading day. All purchases were made through facilities of the TSX or the NYSE, or alternative trading systems in Canada or the United States. This agreement expired on August 18, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(5)</sup>On August 15, 2025, the TSX accepted a notice filed by the company of its intention to establish an NCIB, for its exchangeable shares. Under the NCIB, the company was authorized to repurchase up to 5% of its total issued and outstanding exchangeable shares as at August 8, 2025, or 3,499,836 exchangeable shares, including up to 11,100 exchangeable shares on the TSX during any trading day. All purchases will be made through facilities of the TSX or the NYSE, or alternative trading systems in Canada or the United States.

**ITEM 16F. CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT**

None.

**ITEM 16G. CORPORATE GOVERNANCE**

Our corporate practices are not materially different from those required of corporations under the NYSE Listing Standards, except that we do not have a compensation committee and compensation decisions are made by the governance and nominating committee and/or the Service Providers, as applicable.

**ITEM 16H. MINE SAFETY DISCLOSURE**

Not applicable.

**ITEM 16I. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS**

Not applicable.

66 Brookfield Business Holding Corporation

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**ITEM 16J. INSIDER TRADING POLICIES**

We have adopted the Brookfield Trading Policy, which governs the purchase, sale and other dispositions of our securities by our directors, officers and other employees. This policy promotes compliance with applicable securities laws and regulations, including those that prohibit insider trading. A copy of the Brookfield Trading Policy is filed as an exhibit to this Form 20-F. See Item 6.C "Board Practices - Personal Trading Policy".

**ITEM 16K. CYBERSECURITY**

**Risk management and strategy**

We have a cybersecurity program for assessing, identifying, and managing material risks from cybersecurity threats. This includes compliance with the Enterprise Information Security Policy ("EISP") established by Brookfield.

We believe our cybersecurity program is reasonably designed to materially protect the security of both our company's data and the data in our custody. Our policies and procedures address security governance, security awareness and training, access management, vulnerability management, penetration testing, security monitoring and incident response. We use automated technologies to optimize our security risk detection and response capabilities, in addition to access controls and anti-malware protections. We believe our practices align with the National Institute Standards of Technology cybersecurity framework in meeting and exceeding the industry average in cybersecurity practice.

In addition, all employees involved in activities with our company and our operating companies regularly undergo mandatory continuing cybersecurity training and data protection. Employees in higher-risk functions receive additional training and cybersecurity awareness education. Audits, cybersecurity simulations and employee testing results indicate that our program is effective in protecting our information. The policies, standards, and guidance are structured to help our company respond effectively to the dynamically changing environment of cybersecurity threats, cybersecurity risks, technologies, laws and regulations. Our company modifies its policies, standards, and guidance as needed to adjust to this changing environment.

Our cybersecurity program is one pillar of our larger corporate governance framework and approach to risk management, which also encompasses oversight by the BBU General Partner's board of directors and board committees, our Code of Business Conduct and Ethics, our Anti-Bribery and Corruption Policy and our Ethics Hotline.

We also engage regularly with third-party assessors to evaluate the strength of our program through penetration and/or ethical hacking exercises. We have policies and processes to govern third-party access and reduce the risks associated with such access. For example, all third-party access must be authorized and have a legitimate business need. Prior to authorization and granting access, the terms and conditions of such access must be agreed to as part of a formal agreement or contract. In addition, all authorized third-party access must be limited, monitored and controlled as appropriate.

Despite the security measures implemented as part of our cybersecurity program, the current cyber threat environment presents increased risks for all companies. In the fiscal year ended December 31, 2024, we were the target of cyber-attacks. For example, in June 2024, our dealer software and technology services operations detected and promptly responded to unauthorized cyber activity on its network. Upon discovery, our dealer software and technology services operation shut down its systems to address and investigate the issue while notifying law enforcement. This cybersecurity incident, and the subsequent systems shut down, caused disruption to our dealer software and technology services operation has since become subject to several class action lawsuits and may be subject to further lawsuits, claims, inquiries or investigations. While we have incurred and may continue to incur, certain expenses related to this attack, including expenses to respond to, remediate, and investigate this matter, we do not expect the above-noted cybersecurity incident to have a material impact on our business. In addition, our dealer software and technology services operation has become subject to several class action lawsuits in connection with the cybersecurity incident and the operation may be subject to further lawsuits, claims, inquiries or investigations. We believe that the legal proceedings are without merit and intend to vigorously contest them. On an ongoing basis, we assess the potential impact of these events. Aside from the costs to defend against these claims, the potential loss amount from these claims cannot be measured and is not probable at this time.

We do not believe that any risks we have identified to date from cybersecurity threats, including as a result of any previous cybersecurity incidents, have materially affected us, including our business strategy, results of operations or financial condition. However, we can provide no assurance that we will not experience any material cybersecurity threats or incidents in the future. See "Item 3.D, Risk Factors—*We rely on the use of technology and information systems, many of which are controlled by third-party vendors, which may not be able to accommodate our growth or may increase in cost and may become subject to cyber-terrorism or other compromises and shut-downs, and any failures or interruptions of these systems could adversely affect our businesses and results of operations".*

Brookfield Business Holding Corporation 67

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**Governance**

Cybersecurity at our company is overseen by our board, audit committee and management, as well as by Brookfield, through the EISP described above.

Management teams of our company's operating companies supervise cybersecurity and data privacy activity that are specific to such operating companies, and are required to report on activity, including breaches, to our company's board of directors on a quarterly basis.

Pursuant to the EISP, Brookfield's executive management has appointed a Chief Information Security Officer ("CISO"), who works closely with Brookfield's senior management, legal counsel and external counsel to develop and monitor Brookfield's data protection, privacy and cybersecurity program and policies, including such policies that apply to our company. The CISO provides periodic reports to the Brookfield Audit Committee, which subsequently reports to the Brookfield Board of Directors about data protection and cybersecurity risks and issues. The CISO has over 20 years' experience in cybersecurity oversight and the remaining Cybersecurity Committee members have an average of approximately 7 years of cybersecurity experience.

In addition, Brookfield has established an Cybersecurity Committee, led by the CISO and composed of representatives from Brookfield's operating businesses, including from our management team. The Cybersecurity Committee meets quarterly to discuss cybersecurity risks, emerging technologies and associated risks, and security initiatives at Brookfield and its operating businesses.

68 Brookfield Business Holding Corporation

------

**PART III**

**ITEM 17. FINANCIAL STATEMENTS**

Not applicable.

**ITEM 18. FINANCIAL STATEMENTS**

See the list of financial statements beginning on page F-1 which are filed as part of the annual report on Form 20-F.

**ITEM 19. EXHIBITS**

---

| | |
|:---|:---|
| **Number** | **Description** |
| 1.1 | <u>[Certificate of Change of Name, Notice of Articles and Articles of Brookfield Business Holdings Corporation (formerly Brookfield Business Corporation)](https://www.sec.gov/Archives/edgar/data/1871130/000110465926036096/tm263986d12_ex99-1.htm)</u> <sup>(1)</sup> |
| 2.1 | <u>[Description of Securities](ex212025.htm)</u>\* |
| 4.1 | <u>[Trade-Mark Sublicense Agreement by and among Brookfield Asset Management Holdings Ltd., Brookfield Business Partners L.P. and Brookfield Business L.P, dated May 24, 2016](https://www.sec.gov/Archives/edgar/data/1654795/000110465916128770/a16-13740_1ex99d8.htm)</u> <sup>(2)</sup>  |
| 4.2 | <u>[First Amendment to Trade-Mark Sublicense Agreement among Brookfield Asset Management Holdings Ltd., Brookfield Business Partners L.P., Brookfield Business L.P. and Brookfield Business Corporation dated March](https://www.sec.gov/Archives/edgar/data/1654795/000110465926036091/tm263986d6_ex99-2.htm)[27](https://www.sec.gov/Archives/edgar/data/1654795/000110465926036091/tm263986d6_ex99-2.htm)[, 2026](https://www.sec.gov/Archives/edgar/data/1654795/000110465926036091/tm263986d6_ex99-2.htm)</u><sup>(3)</sup> |
| 4.3 | <u>[Amended and Restated Master Services Agreement by and among Brookfield Corporation, Brookfield Business Partners L.P. and the other parties thereto, dated January 23, 2024](https://www.sec.gov/Archives/edgar/data/1654795/000162828024008228/armasterservicesagreemen.htm)</u> <sup>(4)</sup> |
| 4.4 | <u>[First Amendment to the Amended and Restated Master Services Agreement by and among Brookfield Corporation, Brookfield Business Corporation, Brookfield Business Partners L.P. and the other parties thereto dated March 27, 2026](https://www.sec.gov/Archives/edgar/data/1654795/000110465926036091/tm263986d6_ex99-7.htm)</u> <sup>(5)</sup> |
| 8.1 | List of subsidiaries of Brookfield Business Corporation (incorporated by reference to Item 4.C., "Organizational Structure")\* |
| 11.1 | <u>[Personal Trading Policy](https://www.sec.gov/Archives/edgar/data/1871130/000162828025015741/bn-personaltradingpolicy.htm)</u> <sup>(6)</sup> |
| 12.1 | <u>[Certification of Anuj Ranjan, Chief Executive Officer, Brookfield Business](ex1212025.htm)[Holding](ex1212025.htm)[Corporation, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002](ex1212025.htm)</u>\* |
| 12.2 | <u>[Certification of Jaspreet Dehl, Chief Financial Officer, Brookfield Business](ex1222025.htm)[Holding](ex1222025.htm)[Corporation, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002](ex1222025.htm)</u>\* |
| 13.1 | <u>[Certification of Anuj Ranjan, Chief Executive Officer, Brookfield Business](ex1312025.htm)[Ho](ex1312025.htm)[lding](ex1312025.htm)[Corporation, pursuant to 18 U.S.C Section 1350, as adopted to Section 906 of the Sarbanes-Oxley Act of 2002](ex1312025.htm)</u>\* |
| 13.2 | <u>[Certification of Jaspreet Dehl, Chief Financial Officer, Brookfield Business](ex1322025.htm)[Holding](ex1322025.htm)[Corporation, pursuant to 18 U.S.C Section 1350, as adopted to Section 906 of the Sarbanes-Oxley Act of 2002](ex1322025.htm)</u>\* |
| 15.2 | <u>[Consent of Deloitte LLP, Independent Registered Public Accounting Firm](ex1522025.htm)</u>\* |
| 97.1 | <u>[Clawback Policy](https://www.sec.gov/Archives/edgar/data/1654795/000162828024008228/clawbackpolicyshortform.htm)</u> <sup>(7)</sup> |
| 101.INS | XBRL Instance Document\* |
| 101.SCH | XBRL Taxonomy Extension Schema Document\* |
| 101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document\* |
| 101.DEF | XBRL Taxonomy Extension Definition Linkbase Document\* |
| 101.LAB | XBRL Taxonomy Extension Label Linkbase Document\* |
| 101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document\* |
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |

---

____________________________________

\* Filed herewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Incorporated by reference to Exhibit 99.1 to our company's Report on Form 6-K filed on March 27, 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)Incorporated by reference to Exhibit 99.8 to Brookfield Business Partners L.P.'s Current Report on Form 6-K filed on June 22, 2016.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)Incorporated by reference to Exhibit 99.2 to Brookfield Business Corporation's Current Report on Form 6-K filed on March 27, 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4)Incorporated by reference to Exhibit 4.1 to our company's Annual Report on Form 20-F for the year ended December 31, 2023, filed on March 1, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5)Incorporated by reference to Exhibit 99.7 to Brookfield Business Corporation's Current Report on Form 6-K filed on March 27, 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6)Incorporated by reference to Exhibit 11.1 to our company's Annual Report on Form 20-F for the year ended December 31, 2024, filed on March 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7)Incorporated by reference to Exhibit 97.1 to our company's Annual Report on Form 20-F for the year ended December 31, 2023, filed on March 1, 2024.

Brookfield Business Holding Corporation 69

------

The registrant hereby agrees to furnish to the SEC at its request copies of long-term debt instruments defining the rights of holders of outstanding long-term debt that are not required to be filed herewith.

70 Brookfield Business Holding Corporation

------

**SIGNATURES**

The registrant hereby certifies that it meets all of the requirements for filing on Form 20-F and that it has duly caused and authorized the undersigned to sign this annual report on its behalf.

---

| | | | |
|:---|:---|:---|:---|
| | **BROOKFIELD BUSINESS HOLDINGS CORPORATION** | **BROOKFIELD BUSINESS HOLDINGS CORPORATION** | **BROOKFIELD BUSINESS HOLDINGS CORPORATION** |
|  | By: | */s/ A.J. Silber* | */s/ A.J. Silber* |
|  |  | Name: | A.J. Silber |
|  |  | Title: | Managing Director |
| Date: March 30, 2026 |  |  |  |

---

Brookfield Business Holding Corporation 71

------

**INDEX TO FINANCIAL STATEMENTS**

---

| | |
|:---|:---|
| | **Page** |
| Consolidated financial statements for Brookfield Business Corporation as at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023 | F-1 |

---

Brookfield Business Corporation F-1

------

**INDEX TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR**

**BROOKFIELD BUSINESS CORPORATION**

Audited Consolidated Financial Statements of Brookfield Business Corporation

---

| | |
|:---|:---|
| | Page |
| Reports[of the Independent Registered Public Accounting Firm](#ia2a7791b27c54949af00b97afc4897bd_250) | F-[3](#ia2a7791b27c54949af00b97afc4897bd_250) |
| [Consolidated Statements of Financial Position](#ia2a7791b27c54949af00b97afc4897bd_256) | F-[6](#ia2a7791b27c54949af00b97afc4897bd_256) |
| [Consolidated Statements of Operating Results](#ia2a7791b27c54949af00b97afc4897bd_259) | F-[7](#ia2a7791b27c54949af00b97afc4897bd_259) |
| [Consolidated Statements of Comprehensive Income](#ia2a7791b27c54949af00b97afc4897bd_262) | F-[8](#ia2a7791b27c54949af00b97afc4897bd_262) |
| [Consolidated Statements of Changes in Equity](#ia2a7791b27c54949af00b97afc4897bd_265) | F-[9](#ia2a7791b27c54949af00b97afc4897bd_265) |
| [Consolidated Statements of Cash Flow](#ia2a7791b27c54949af00b97afc4897bd_268) | F-[11](#ia2a7791b27c54949af00b97afc4897bd_268) |
| [Notes to the Consolidated Financial Statements](#ia2a7791b27c54949af00b97afc4897bd_271) | F-[12](#ia2a7791b27c54949af00b97afc4897bd_271) |

---

F-2 Brookfield Business Corporation

------

**REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

To the Shareholders and Board of Directors of Brookfield Business Corporation

**Opinion on the Financial Statements**

We have audited the accompanying consolidated statements of financial position of Brookfield Business Corporation (the "Company") as of December 31, 2025 and 2024, the related consolidated statements of operating results, comprehensive income (loss), changes in equity, and cash flow, for each of the three years in the period ended December 31, 2025, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and its financial performance and its cash flows for each of the three years in the period ended December 31, 2025, in accordance with IFRS Accounting Standards as issued by the International Accounting Standards Board.

We have also audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Company's internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission and our report dated March 30, 2026, expressed an unqualified opinion on the Company's internal control over financial reporting.

**Basis for Opinion**

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

**Critical Audit Matter** 

The critical audit matter communicated below is a matter arising from the current-period audit of the financial statements that was communicated or required to be communicated to the audit committee and that (1) relates to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates.

***Goodwill – Refer to Notes 2(m) and 13 to the financial statements***

*Critical Audit Matter Description*

The Company's evaluation of goodwill impairment at its dealer software and technology services operation cash generating unit ("CGU") involves assessing if the carrying amount of the CGU, including the allocated goodwill, exceeds its recoverable amount determined using a value in use discounted cash flow model. Determining the recoverable amount requires management to make significant estimates and assumptions related to the revenue growth rates and discount rate. Goodwill of $4,136 million was allocated to the Company's dealer software and technology services operation CGU. The recoverable amount of the dealer software and technology services operation CGU exceeded the carrying amount therefore no impairment was recognized.

We identified goodwill impairment as a critical audit matter because of the significant estimates and assumptions made by management to estimate the recoverable amount of the CGU, specifically revenue growth rates and the discount rate. This required a high degree of auditor judgment and an increased extent of audit effort, including the involvement of fair value specialists.

*How the Critical Audit Matter Was Addressed in the Audit*

Our audit procedures related to the estimates and assumptions used to determine the recoverable amount of the CGU included the following, among others:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Evaluated the effectiveness of controls over the determination of revenue growth rates and the discount rate made by management.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Evaluated the reasonableness of management's revenue growth rates by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Evaluating management's ability to accurately forecast by comparing actual results to historical forecasts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Assessing forecasts by giving consideration to the Board approved business plan, available macroeconomic and market specific information, and considering the impact of evidence identified through other audit procedures, as appropriate.

Brookfield Business Corporation F-3

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• With the assistance of fair value specialists, evaluated the reasonableness of management's discount rate by testing the source information underlying the determination of the discount rate, benchmarking the assumptions against publicly available information and developing a range of independent estimates based on market data and comparing those to the discount rate selected by management, as appropriate.

/s/ Deloitte LLP

Chartered Professional Accountants

Licensed Public Accountants

Toronto, Canada

March 30, 2026

We have served as the Company's auditor since 2021.

F-4 Brookfield Business Corporation

------

**REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

To the Shareholders and the Board of Directors of Brookfield Business Corporation

**Opinion on Internal Control over Financial Reporting**

We have audited the internal control over financial reporting of Brookfield Business Corporation and subsidiaries (the "Company") as of December 31, 2025, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). In our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control - Integrated Framework (2013) issued by COSO.

We have also audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the consolidated financial statements as of and for the year ended December 31, 2025, of the Company and our report dated March 30, 2026, expressed an unqualified opinion on those financial statements.

**Basis for Opinion**

The Company's management is responsible for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying Management's Annual Report on Internal Control over Financial Reporting. Our responsibility is to express an opinion on the Company's internal control over financial reporting based on our audit. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether effective internal control over financial reporting was maintained in all material respects. Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, testing and evaluating the design and operating effectiveness of internal control based on the assessed risk, and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion.

**Definition and Limitations of Internal Control over Financial Reporting**

A company's internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company's internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company's assets that could have a material effect on the financial statements.

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

/s/ Deloitte LLP

Chartered Professional Accountants

Licensed Public Accountants

Toronto, Canada

March 30, 2026

Brookfield Business Corporation F-5

------

**CONSOLIDATED FINANCIAL STATEMENTS FOR**

**BROOKFIELD BUSINESS CORPORATION**

**CONSOLIDATED STATEMENTS OF FINANCIAL POSITION**

---

| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Notes** | **December 31, 2025** | **December 31, 2024** |
| **Assets** | | | |
| **Current Assets** | | | |
| Cash and cash equivalents | 3 | $**710** | $1008 |
| Financial assets | 4 | **80** | 167 |
| Accounts and other receivable, net | 6 | **1207** | 1337 |
| Inventory, net |  | **15** | 52 |
| Other assets | 9 | **271** | 371 |
|  |  | **2283** | 2935 |
| **Non-Current Assets** |  |  |  |
| Financial assets | 4 | **446** | 186 |
| Accounts and other receivable, net | 6 | **1951** | 1892 |
| Other assets | 9 | **272** | 256 |
| Property, plant and equipment | 11 | **198** | 2480 |
| Deferred income tax assets | 18 | **261** | 197 |
| Intangible assets | 12 | **5807** | 5966 |
| Equity accounted investments | 14 | **185** | 198 |
| Goodwill | 13 | **5025** | 4988 |
|  |  | $**16428** | $19098 |
| **Liabilities and Equity** |  |  |  |
| **Current Liabilities** |  |  |  |
| Accounts payable and other | 15 | $**2264** | $2990 |
| Non-recourse borrowings in subsidiaries of the company | 17 | **121** | 111 |
| Exchangeable and class B shares | 5 | **2432** | 1709 |
|  |  | **4817** | 4810 |
| **Non-Current Liabilities** |  |  |  |
| Accounts payable and other | 15 | **821** | 2286 |
| Non-recourse borrowings in subsidiaries of the company | 17 | **7723** | 8379 |
| Deferred income tax liabilities | 18 | **969** | 988 |
|  |  | $**14330** | $16463 |
| **Equity** |  |  |  |
| Brookfield Business Partners | 24 | $**(679)** | $(59) |
| Non-controlling interests | 10 | **2777** | 2694 |
|  |  | **2098** | 2635 |
|  |  | $**16428** | $19098 |

---

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

F-6 Brookfield Business Corporation

------

**CONSOLIDATED FINANCIAL STATEMENTS FOR** 

**BROOKFIELD BUSINESS CORPORATION**

**CONSOLIDATED STATEMENTS OF OPERATING RESULTS**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Notes** | **2025** | **2024** | **2023** |
| **Continuing operations** |  |  |  |  |
| Revenues | 23 | $**7168** | $8208 | $7683 |
| Direct operating costs | 20 | **(6532)** | (7568) | (6794) |
| General and administrative expenses |  | **(272)** | (326) | (268) |
| Interest income (expense), net |  | **(821)** | (832) | (878) |
| Equity accounted income (loss) | 14 | **10** | 8 | 3 |
| Impairment reversal (expense), net | 11, 13 | **—** | (691) | (606) |
| Gain (loss) on dispositions, net | 7 | **—** |  | 87 |
| Remeasurement of exchangeable and class B shares | 5 | **(831)** | (208) | (264) |
| Other income (expense), net |  | **190** | (666) | 126 |
| Income (loss) before income tax from continuing operations |  | **(1088)** | (2075) | (911) |
| Income tax (expense) recovery |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Current | 18 | **10** | (50) | (167) |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred | 18 | **77** | 198 | 95 |
| Net income (loss) from continuing operations |  | $**(1001)** | $(1927) | $(983) |
| **Discontinued operations** |  |  |  |  |
| Net income (loss) from discontinued operations | 8 | **—** |  | 3812 |
| Net income (loss) |  | $**(1001)** | $(1927) | $2829 |
| **Attributable to:** |  |  |  |  |
| &nbsp;&nbsp;Brookfield Business Partners <sup>(1)</sup> |  | $**(875)** | $(888) | $519 |
| &nbsp;&nbsp;Non-controlling interests | 10 | **(126)** | (1039) | 2310 |
|  |  | $**(1001)** | $(1927) | $2829 |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Earnings per share have not been presented in the consolidated financial statements, as the underlying shares do not constitute "ordinary shares" under IAS 33, *Earnings Per Share* ("IAS 33"). See Note 2(b) for further details.

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

Brookfield Business Corporation F-7

------

**CONSOLIDATED FINANCIAL STATEMENTS FOR** 

 **BROOKFIELD BUSINESS CORPORATION**

**CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Notes** | **2025** | **2024** | **2023** |
| Net income (loss) |  | $**(1001)** | $(1927) | $2829 |
| Other comprehensive income (loss): |  |  |  |  |
| **Items that may be reclassified subsequently to profit or loss:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Foreign currency translation |  | $**112** | $(284) | $40 |
| &nbsp;&nbsp;&nbsp;Net investment and cash flow hedges | 3 | **(103)** | 180 | 3 |
| &nbsp;&nbsp;&nbsp;Taxes on the above items | 18 | **15** | (8) | 19 |
| &nbsp;&nbsp;&nbsp;Reclassification to profit or loss |  | **(43)** | (80) | (71) |
|  |  | **(19)** | (192) | (9) |
| **Items that will not be reclassified subsequently to profit or loss:** |  |  |  |  |
| &nbsp;&nbsp;Revaluation of pension obligations |  | **1** | 1 | (1) |
| &nbsp;&nbsp;Fair value through other comprehensive income |  | **8** |  | (21) |
|  |  | **9** | 1 | (22) |
| Total other comprehensive income (loss) |  | **(10)** | (191) | (31) |
| Comprehensive income (loss) |  | $**(1011)** | $(2118) | $2798 |
| **Attributable to:** |  |  |  |  |
| &nbsp;&nbsp;Brookfield Business Partners |  | $**(869)** | $(945) | $513 |
| &nbsp;&nbsp;Non-controlling interests |  | **(142)** | (1173) | 2285 |
|  |  | $**(1011)** | $(2118) | $2798 |

---

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

F-8 Brookfield Business Corporation

------

**CONSOLIDATED FINANCIAL STATEMENTS FOR**

**BROOKFIELD BUSINESS CORPORATION**

**CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Brookfield Business Partners** | **Brookfield Business Partners** | **Brookfield Business Partners** | **Brookfield Business Partners** | **Brookfield Business Partners** | | |
| **<u>(US$ MILLIONS)</u>** | **Capital** | **Retained earnings (deficit)** | **Ownership changes** | **Accumulated other**<br>**comprehensive income (loss)** <sup>(1)</sup> | **Total Brookfield Business Partners** |<br>**Non-controlling interests** |<br>**Total<br>equity** |
| **Balance as at January 1, 2025** | $**737** | $**(247)** | $**(127)** | $**(422)** | $**(59)** | $**2694** | $**2635** |
| Net income (loss) |  | (875) |  |  | **(875)** | **(126)** | **(1001)** |
| Other comprehensive income (loss) |  |  |  | 6 | **6** | **(16)** | **(10)** |
| Total comprehensive income (loss) |  | (875) |  | 6 | **(869)** | **(142)** | **(1011)** |
| Contributions | 108 |  |  |  | **108** | **86** | **194** |
| Distributions and capital paid |  |  |  |  | **—** | **(16)** | **(16)** |
| Ownership changes and other |  |  | 141 |  | **141** | **155** | **296** |
| **Balance as at December 31, 2025** | $**845** | $**(1122)** | $**14** | $**(416)** | $**(679)** | $**2777** | $**2098** |
| **Balance as at January 1, 2024** | $737 | $637 | $(129) | $(365) | $880 | $3880 | $4760 |
| Net income (loss) |  | (888) |  |  | (888) | (1039) | (1927) |
| Other comprehensive income (loss) |  |  |  | (57) | (57) | (134) | (191) |
| Total comprehensive income (loss) |  | (888) |  | (57) | (945) | (1173) | (2118) |
| Contributions |  |  |  |  |  | 29 | 29 |
| Distributions and capital paid |  |  |  |  |  | (34) | (34) |
| Ownership changes and other |  | 4 | 2 |  | 6 | (8) | (2) |
| **Balance as at December 31, 2024** | $737 | $(247) | $(127) | $(422) | $(59) | $2694 | $2635 |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>See Note 19 for additional information.

Brookfield Business Corporation F-9

------

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Brookfield Business Partners** | **Brookfield Business Partners** | **Brookfield Business Partners** | **Brookfield Business Partners** | **Brookfield Business Partners** | | |
| **<u>(US$ MILLIONS)</u>** | **Capital** | **Retained earnings** | **Ownership changes** | **Accumulated other**<br>**comprehensive income (loss)** <sup>(1)</sup> | **Total Brookfield Business Partners** |<br>**Non-controlling interests** |<br>**Total<br>equity** |
| **Balance as at January 1, 2023** | $737 | $118 | $(161) | $(335) | $359 | $3712 | $4071 |
| Net income (loss) |  | 519 |  |  | 519 | 2310 | 2829 |
| Other comprehensive income (loss) |  |  |  | (6) | (6) | (25) | (31) |
| Total comprehensive income (loss) |  | 519 |  | (6) | 513 | 2285 | 2798 |
| Contributions |  |  |  |  |  | 733 | 733 |
| Distributions and capital paid |  |  |  |  |  | (2947) | (2947) |
| Ownership changes and other |  |  | 32 | (24) | 8 | 97 | 105 |
| **Balance as at December 31, 2023** | $737 | $637 | $(129) | $(365) | $880 | $3880 | $4760 |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>See Note 19 for additional information.

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

F-10 Brookfield Business Corporation

------

**CONSOLIDATED FINANCIAL STATEMENTS FOR**

**BROOKFIELD BUSINESS CORPORATION**

**CONSOLIDATED STATEMENTS OF CASH FLOW**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **<u>c</u>** | **Notes** | **2025** | **2024** | **2023** |
| **Operating Activities** |  |  |  |  |
| Net income (loss) from continuing operations |  | $**(1001)** | $(1927) | $(983) |
| Net income (loss) from discontinued operations | 8 | **—** |  | 3812 |
| Net income (loss) |  | **(1001)** | (1927) | 2829 |
| Adjusted for the following items: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Equity accounted earnings, net of distributions | 14 | **8** | 10 | 18 |
| &nbsp;&nbsp;&nbsp;Impairment expense, net |  | **—** | 691 | 609 |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization expense | 20 | **718** | 780 | 1024 |
| &nbsp;&nbsp;&nbsp;(Gain) loss on dispositions, net | 7 | **—** |  | (4003) |
| &nbsp;&nbsp;&nbsp;Provisions and other items |  | **(579)** | 672 | (129) |
| &nbsp;&nbsp;&nbsp;Deferred income tax expense (recovery) | 18 | **(77)** | (198) | (144) |
| &nbsp;&nbsp;&nbsp;Remeasurement of exchangeable and class B shares | 5 | **831** | 208 | 264 |
| Changes in non-cash working capital, net | 28 | **42** | (347) | (330) |
| Cash from (used in) operating activities |  | **(58)** | (111) | 138 |
| **Financing Activities** |  |  |  |  |
| Proceeds from non-recourse borrowings in subsidiaries of the company |  | **694** | 1571 | 2578 |
| Repayment of non-recourse borrowings in subsidiaries of the company |  | **(723)** | (1230) | (3052) |
| Proceeds from other financing |  | **11** | 82 | 92 |
| Repayment of other financing |  | **(55)** | (112) | (125) |
| Lease liability repayment |  | **(67)** | (71) | (107) |
| Capital provided by others who have interests in operating subsidiaries |  | **217** | 15 | 1185 |
| Repurchases of exchangeable shares | 5 | **(108)** |  |  |
| Distributions to exchangeable shareholders | 5 | **(18)** | (18) | (18) |
| Proceeds received from loan with Brookfield Business Partners | 1, 25 | **135** | 581 | 201 |
| Repayment and issuance of loans with Brookfield Business Partners | 1, 25 | **(73)** | (3) | (1641) |
| Distributions and capital paid to others who have interests in operating subsidiaries |  | **(14)** | (18) | (3039) |
| Cash from (used in) financing activities |  | **(1)** | 797 | (3926) |
| **Investing Activities** |  |  |  |  |
| Acquisitions |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Subsidiaries, net of cash acquired |  | **—** | (35) |  |
| &nbsp;&nbsp;&nbsp;Property, plant and equipment and intangible assets |  | **(256)** | (297) | (634) |
| &nbsp;&nbsp;&nbsp;Equity accounted investments |  | **(12)** |  |  |
| &nbsp;&nbsp;&nbsp;Financial assets and other |  | **(1)** | (14) | (2) |
| Dispositions |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Subsidiaries, net of cash disposed |  | **(53)** | 3 | 4406 |
| &nbsp;&nbsp;&nbsp;Property, plant and equipment and intangible assets |  | **13** | 1 | 19 |
| &nbsp;&nbsp;&nbsp;Equity accounted investments |  | **—** |  | 7 |
| &nbsp;&nbsp;&nbsp;Financial assets and other |  | **20** | 2 | 3 |
| Net settlement of derivative assets and liabilities |  | **(2)** | (3) | (13) |
| Restricted cash and deposits |  | **(3)** | 8 | 1 |
| Cash from (used in) investing activities |  | **(294)** | (335) | 3787 |
| **Cash and cash equivalents** |  |  |  |  |
| Change during the period |  | **(353)** | 351 | (1) |
| Impact of foreign exchange |  | **55** | (115) | 37 |
| Balance, beginning of year |  | **1008** | 772 | 736 |
| **Balance, end of year** |  | $**710** | $1008 | $772 |

---

*Supplemental cash flow information is presented in Note 28.*

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

Brookfield Business Corporation F-11

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 1. ORGANIZATION AND DESCRIPTION OF THE COMPANY**

Brookfield Business Corporation together with its subsidiaries (collectively, "the company") is an owner and operator of services and industrials operations on a global basis (the "businesses"). The company was formed as a corporation established under the Business Corporations Act (British Columbia) on June 21, 2021 and is a subsidiary of Brookfield Business Partners L.P. (NYSE: BBU; TSX: BBU.UN) (the "partnership", or collectively with its subsidiaries, excluding the company, "Brookfield Business Partners"). Brookfield Business Partners, the company and respective subsidiaries, are referred to collectively as the "group". Brookfield Corporation ("Brookfield Corporation" or together with its controlled subsidiaries, excluding the group, "Brookfield") is the ultimate parent of the company and the group. "Brookfield Holders" refers to Brookfield, Brookfield Wealth Solutions Ltd. ("Brookfield Wealth Solutions") and their related parties. Brookfield Business Partners holds all the issued and outstanding class B shares and class C shares of the company as at December 31, 2025. The registered head office of the company is 250 Vesey Street, New York, NY 10281, United States. The class A exchangeable subordinate voting shares (each, an "exchangeable share") of the company are listed on the New York Stock Exchange ("NYSE") and the Toronto Stock Exchange ("TSX") under the symbol "BBUC" and will be delisted shortly after completion of an arrangement agreement (the "Arrangement"). Refer to Note 29 for further details. The exchangeable shares were structured with the intention of being economically equivalent to the non-voting limited partnership units ("LP Units") of the partnership. Given the economic equivalence, the market price of the exchangeable shares was significantly impacted by the market price of the LP Units and the combined business performance of the company and Brookfield Business Partners as a whole.

**NOTE 2. MATERIAL ACCOUNTING POLICY INFORMATION**

**(a)Basis of presentation**

These consolidated financial statements of the company and its subsidiaries ("consolidated financial statements") have been prepared in accordance with IFRS® Accounting Standards as issued by the International Accounting Standards Board ("IASB"). The consolidated financial statements are prepared on a going concern basis and have been presented in U.S. dollars rounded to the nearest million unless otherwise indicated. The accounting policies and methodologies set out below have been applied consistently. Policies not effective for the current accounting period are described later in Note 2(aa), under Future changes in accounting policies.

These consolidated financial statements were approved by the Board of Directors of the company and authorized for issue on March 30, 2026.

**(b)Basis of consolidation**

These consolidated financial statements include the accounts of the company and its consolidated subsidiaries, which are the entities over which the company has control. An investor controls an investee when it is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Non-controlling interests in the equity of the company's subsidiaries are shown separately in equity in the consolidated statements of financial position. Intercompany transactions within the company have been eliminated.

The company has entered into voting arrangements with Brookfield and its institutional partners, whereby the company gained control of certain investees. These voting arrangements provide the company the authority to direct the relevant activities of the investees, among other things, and therefore provide the company with control. Accordingly, the company consolidated the accounts of these investees.

**Earnings per Share**

The company's basic and diluted earnings per share have not been presented in the consolidated financial statements. As outlined in Note 5, exchangeable shares and class B shares are classified as financial liabilities, while class C shares are classified as financial liabilities but presented as equity instruments given the narrow scope presentation exceptions existing in IAS 32. As each share classification represents a financial liability, they do not constitute ordinary shares.

F-12 Brookfield Business Corporation

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**Segment Reporting**

The company was established by the partnership to expand its investor base, provide the group with access to larger capital pools and allow an investor that would not otherwise invest in a Bermuda limited partnership to access the returns of the partnership through a corporate structure.

The reporting infrastructure of the company provides the Chief Operating Decision Maker ("CODM") with the necessary information to allow resource allocation decisions and segment performance assessments to be conducted at an entity-level only. The underlying business objective of the company is to provide investors with an investment vehicle that provides equivalent returns to that of the partnership through a Canadian corporation. Consequently, the CODM's review of company financial information is conducted solely to ensure that the nature of the business and the financial performance of the investments continue to make the company a viable investment vehicle in alignment with that objective.

The following table summarizes the company's total non-current assets by geography as at December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| United States | $**8221** | $8689 |
| Brazil | **3493** | 2990 |
| Australia | **650** | 3050 |
| United Kingdom | **233** | 220 |
| Other | **1548** | 1214 |
| Total non-current assets | $**14145** | $16163 |

---

Further summary on the company's total revenues by geography for the years ended December 31, 2025, 2024, and 2023 is available in Note 23(b).

**Continuity of Interests**

The partnership directly and indirectly controls the company through its interests in the company. As Brookfield Business Partners holds all of the class C shares of the company, which is the only class of shares of the company presented as equity, net income and equity attributable to common equity have been allocated to Brookfield Business Partners for all periods presented.

**(c)Interests in other entities**

*(i)Subsidiaries*

These consolidated financial statements include the accounts of the company and subsidiaries over which the company has control. Subsidiaries are consolidated from the date of acquisition, being the date on which the company obtained control, and continue to be consolidated until the date when control is lost. The company controls an investee when it is exposed or has rights to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee.

Non-controlling interests may be initially measured either at fair value or at the non-controlling interests' proportionate share of the fair value of the acquiree's identifiable net assets. The choice of measurement basis is made on an acquisition by acquisition basis. Subsequent to acquisition, the carrying amount of non-controlling interests is the amount of those interests at initial recognition plus the non-controlling interests' share of subsequent changes in capital in addition to changes in ownership interests. Total comprehensive income (loss) is attributed to non-controlling interests, even if this results in the non-controlling interests having a deficit balance.

All intercompany balances, transactions, revenues and expenses are eliminated in full.

Brookfield Business Corporation F-13

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The following provides information about the wholly-owned subsidiaries of the company as at December 31, 2025 and 2024:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Business type** | **Name of entity** | **Country of incorporation** | **Voting interest** | **Voting interest** | **Economic interest** | **Economic interest** |
| **Business type** | **Name of entity** | **Country of incorporation** | **2025** | **2024** | **2025** | **2024** |
| &nbsp;&nbsp;&nbsp;Construction operation | Multiplex Global Limited | United Kingdom | **100%** | 100% | **100%** | 100% |

---

The following table presents details of material non-wholly owned subsidiaries of the company as at December 31, 2025 and 2024:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Business type** | **Name of entity** | **Country of incorporation** | **Voting interest** | **Voting interest** | **Economic interest** | **Economic interest** |
| **Business type** | **Name of entity** | **Country of incorporation** | **2025** | **2024** | **2025** | **2024** |
| &nbsp;&nbsp;Healthcare services <sup>(1)</sup> | Healthscope Pty Ltd | Australia | **— %** | 100% | **— %** | 28% |
| &nbsp;&nbsp;&nbsp;Dealer software and technology services operation | CDK Global II LLC | United States | **100%** | 100% | **19%** | 26% |
| &nbsp;&nbsp;&nbsp;Water and wastewater operation | BRK Ambiental<br>Participações S.A. | Brazil | **70%** | 70% | **26%** | 26% |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>In May 2025, the company's healthcare service operation entered receivership. As a result, the company ceased to have control and deconsolidated the net liabilities of the business. See Note 17(i) for further details.

*(ii)Associates and joint ventures*

Associates are entities over which the company exercises significant influence. Significant influence is the power to participate in the financial and operating policy decisions of the investee but without control or joint control over those policies. Joint ventures are joint arrangements whereby the parties that have joint control of the arrangement have the rights to the net assets of the joint arrangement. Joint control is the contractually agreed sharing of control over an arrangement, which exists only when decisions about the relevant activities require unanimous consent of the parties sharing control. The company accounts for associates and joint ventures in the consolidated financial statements using the equity method.

Interests in associates and joint ventures accounted for using the equity method are initially recognized at cost. At the time of initial recognition, if the cost of the associate or joint venture is lower than the proportionate share of the fair value of the investee's identifiable assets and liabilities, the company records a gain on the difference between the cost and the underlying fair value of the investment in net income. If the cost of the associate or joint venture is greater than the company's proportionate share of the fair value of the investee's identifiable assets and liabilities, goodwill relating to the associate or joint venture is included in the carrying amount of the investment.

Subsequent to initial recognition, the carrying value of the company's interest in an associate or joint venture is adjusted for the company's share of comprehensive income and distributions of the investee. Profit and losses resulting from transactions with an associate or joint venture are recognized in the consolidated financial statements based on the interests of unrelated investors in the investee. The carrying value of associates or joint ventures is assessed for impairment at each reporting date. Impairment losses on equity accounted investments may be subsequently reversed in net income. Further information on the impairment of long-lived assets is available in Note 2(k).

**(d)Foreign currency translation**

The U.S. dollar is the functional and presentation currency of the company. Each of the company's subsidiaries and equity accounted investments determines its own functional currency and items included in the consolidated financial statements of each subsidiary and equity accounted investment are measured using that functional currency.

Assets and liabilities of foreign operations having a functional currency other than the U.S. dollar are translated at the rate of exchange prevailing at the reporting date and revenues and expenses at average rates during the period. Gains or losses on translation are included as a component of equity.

F-14 Brookfield Business Corporation

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

On disposal of a foreign operation resulting in the loss of control, the component of other comprehensive income due to accumulated foreign currency translation relating to that foreign operation is reclassified to net income. Gains or losses on foreign currency denominated balances and transactions that are designated as hedges of net investments in these operations are reported in the same manner. On partial disposal of a foreign operation in which control is retained, the proportionate share of the component of other comprehensive income or loss relating to that foreign operation is reclassified to non-controlling interests in that foreign operation.

Foreign currency denominated monetary assets and liabilities are translated using the exchange rate prevailing at the reporting date and non-monetary assets and liabilities are measured at their historic cost and translated at the exchange rate on the transaction date. Gains or losses on translation of these items are included in the consolidated statements of operating results.

**(e)Business combinations**

Business acquisitions, in which control is acquired, are accounted for using the acquisition method in accordance with IFRS 3, *Business Combinations* ("IFRS 3"), other than those between entities under common control.

The consideration of each acquisition is measured at the aggregate of the fair values at the acquisition date of assets transferred by the acquirer, liabilities incurred or assumed, and equity instruments issued by the company in exchange for control of the acquiree. Transaction costs are recognized in the consolidated statements of operating results as incurred and included in other income (expense), net.

Where applicable, the consideration for each acquisition includes any asset or liability resulting from a contingent consideration arrangement, measured at its acquisition-date fair value. Subsequent changes in fair values are adjusted against the cost of the acquisition where they qualify as measurement period adjustments. All other subsequent changes in the fair value of contingent consideration classified as assets or liabilities will be recognized in the consolidated statements of operating results, whereas changes in the fair values of contingent consideration classified within equity are not subsequently remeasured.

Where a business combination is achieved in stages, the company's previously held interests in the acquired entity are remeasured to fair value at the acquisition date, that is, the date the company attains control. The resulting gain or loss, if any, is recognized in the consolidated statements of operating results or consolidated statements of other comprehensive income (loss). Amounts arising from interests in the acquiree prior to the acquisition date that have previously been recognized in other comprehensive income (loss) shall be recognized on the same basis as would be required if the company had disposed directly of the previously held equity interest.

If the initial accounting for a business combination is incomplete by the end of the reporting period in which the acquisition occurs, the company reports provisional amounts for the items for which the accounting is incomplete. Those provisional amounts are adjusted during the measurement period, or additional assets or liabilities are recognized, to reflect new information obtained about facts and circumstances that existed as of the acquisition date that, if known, would have affected the amounts recognized as of that date.

The measurement period is the period from the date of acquisition to the date the company obtains complete information about facts and circumstances that existed as of the acquisition date. The measurement period is a maximum of one year subsequent to the acquisition date.

If, after reassessment, the company's interest in the fair value of the acquiree's identifiable net assets exceeds the sum of the consideration transferred, the amount of any non-controlling interests in the acquiree and the fair value of the acquirer's previously held equity interest in the acquiree if any, the excess is recognized immediately in income as a bargain purchase gain.

Contingent liabilities acquired in a business combination are initially measured at fair value at the date of acquisition. At the end of subsequent reporting periods, such contingent liabilities are measured at the higher of the amount that would be recognized in accordance with IAS 37, *Provisions, Contingent Liabilities and Contingent Assets* ("IAS 37"), and the amount initially recognized less cumulative amortization recognized in accordance with IFRS 15, *Revenue from Contract with Customers* ("IFRS 15"), if applicable.

**(f)Cash and cash equivalents**

Cash and cash equivalents include cash on hand, non-restricted deposits, and short-term investments with original maturities of three months or less.

Brookfield Business Corporation F-15

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**(g)Accounts and other receivable, net**

Accounts and other receivable, net include trade receivables, construction retentions and other unbilled receivables, which are recognized initially at fair value and subsequently measured at amortized cost using the effective interest method, less any allowance for expected credit losses.

**(h)Inventory, net**

Inventory, net, is valued at the lower of cost and net realizable value. Cost is determined using specific identification where possible and practicable or using the first-in, first-out or weighted average method. Costs include direct and indirect expenditures incurred in bringing the inventory to its existing condition and location. Net realizable value represents the estimated selling price in the ordinary course of business, less the estimated costs of completion and the estimated costs necessary to make the sale.

**(i)Related party transactions**

In the normal course of operations, the company enters into various transactions with related parties, which have been measured at their exchange value and are recognized in the consolidated financial statements. Related party transactions are further described in Note 25.

**(j)Property, plant and equipment ("PP&E")**

PP&E, which includes right-of-use assets, is measured at cost less accumulated depreciation and accumulated impairment losses, if any. Cost includes expenditures that are directly attributable to the acquisition of the asset. The cost of assets includes the cost of materials and direct labor, any other costs directly attributable to bringing the assets to a working condition for their intended use, and the cost of dismantling and removing the items and restoring the site on which they are located.

Depreciation of an asset commences when it is available for use. PP&E is depreciated for each component of the asset classes as follows:

---

| | |
|:---|:---|
| Buildings | Up to 50 years |
| Right-of-use assets | Up to 40 years but not exceeding the term of the lease |
| Machinery and equipment | Up to 20 years |

---

Depreciation on PP&E is calculated so as to recognize in the consolidated statements of income the net cost of each asset over its expected useful life to its estimated residual value. Buildings, machinery and equipment are depreciated over their expected useful lives on a straight-line basis. Right-of-use assets are depreciated over the period of the lease or estimated useful life, whichever is shorter, on a straight-line basis. The estimated useful lives, residual values and depreciation methods are reviewed at the end of each annual reporting period, with the effect of any changes recognized on a prospective basis.

**(k)Asset impairment**

At each reporting date, the company assesses whether for assets, other than those measured at fair value with changes in fair value recorded in net income, there is any indication that such assets are impaired. This assessment includes a review of internal and external factors which includes, but is not limited to, changes in the technological, political, economic or legal environment in which the entity operates, structural changes in the industry, changes in the level of demand, physical damage and obsolescence due to technological progress. An impairment is recognized if the recoverable amount of the asset, determined as the higher of the estimated fair value less costs of disposal or the value in use, is less than its carrying value. The projections of future cash flows take into account the relevant operating plans and management's best estimate of the most probable set of conditions anticipated to prevail. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the lesser of the revised estimate of recoverable amount and the carrying amount that would have been recorded had no impairment loss been recognized previously.

F-16 Brookfield Business Corporation

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**(l)Intangible assets**

Intangible assets acquired in a business combination are recognized separately from goodwill and are initially recognized at their fair values at the acquisition date. The company's intangible assets comprise primarily water and sewage concession rights, brands and trademarks, computer software, customer relationships and proprietary technology.

Subsequent to initial recognition, intangible assets are reported at cost less any accumulated amortization and any accumulated impairment losses. Finite life intangible assets are amortized on a straight-line basis over the following useful lives:

---

| | |
|:---|:---|
| Water and sewage concession rights | Up to 50 years |
| Brand and trademarks | Up to 15 years |
| Computer software | Up to 5 years |
| Customer relationships | Up to 15 years |
| Proprietary technology | Up to 5 years |

---

Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds, if any and the carrying amount of the asset and are recognized in the consolidated statements of operating results in other income (expense), net when the asset is derecognized.

**(m)Goodwill**

Goodwill represents the excess of the price paid for the acquisition of a business over the fair value of the identifiable assets and liabilities acquired. Goodwill is allocated to the cash-generating unit or units to which it relates. The company identifies cash-generating units as identifiable groups of assets whose cash inflows are largely independent of the cash inflows from other assets or groups of assets.

Goodwill is evaluated for impairment on an annual basis or more often if events or circumstances indicate there may be an impairment. Impairment is determined for goodwill by assessing if the carrying value of a cash-generating unit, including the allocated goodwill, exceeds its recoverable amount determined as the greater of the estimated fair value less costs of disposal or the value in use. Impairment losses recognized in respect of a cash-generating unit are first allocated to the carrying value of goodwill and any excess is allocated to the carrying amount of assets in the cash-generating unit. Any goodwill impairment is charged to impairment expense, net in the consolidated statements of operating results in the period in which the impairment is identified. Impairment losses on goodwill are not subsequently reversed.

On disposal of a subsidiary, the attributable amount of goodwill is included in the determination of the gain or loss on disposal of the operation.

**(n)Revenues from contracts with customers**

***Construction operation***

The company's construction operation provides end-to-end design and development solutions under contracts with its customers. The company recognizes revenues on these contracts over a period of time. The company uses an input method, the cost-to-cost method, to measure progress towards complete satisfaction of the performance obligations under IFRS 15.

As work is performed, a contract asset in the form of contracts in progress is recognized, which is reclassified to accounts receivable when invoiced to the customer. If payment is received in advance of work being completed, a contract liability is recognized. Refer to Note 16 for further information on contracts in progress balances. There is not considered to be a significant financing component in construction contracts as the period between the recognition of revenues under the cost-to-cost method and when payment is received is typically less than one year.

IFRS 15 requires a highly probable criterion be met with regards to recognizing revenue arising from variable consideration resulting from contract modifications and claims. Claims are accounted for as variable consideration only when it is highly probable that revenue will not reverse in the future. Revenue from contract modifications are treated as variable consideration when changes to the contract are approved by the customer but the price is not agreed or is not fixed.

Brookfield Business Corporation F-17

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

***Dealer software and technology services operation***

The majority of revenue generated by the company's dealer software and technology services operation is from contracts with multiple performance obligations. A contract's transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. The company is required to develop its best estimate of standalone selling price for each distinct good or service as the basis for allocating the total transaction price. The primary method used to estimate standalone selling price is the adjusted market assessment approach, with some product categories using the expected cost plus a margin approach.

The company's dealer software and technology services operation primarily generates revenues from the provision of software and technology solutions for automotive retailers and OEMs, which includes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Dealer Management Systems ("DMSs") and layered applications, which may be installed on-site at the customer's location, or hosted and provided on a software-as-a-service ("SaaS") basis, including ongoing maintenance and support;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Interrelated services such as installation, initial training, and data updates.

SaaS and other hosted service arrangements, which allow the customer continuous access to the software over the contract period without taking control of the software, are provided on a subscription basis. Under these arrangements the customer obtains access to the software which resides and is maintained on the managed servers of the dealer software and technology operation of the company. The customer does not obtain the right to take possession of the software therefore these arrangements are determined not to include a software license. The support, maintenance and hosting services are not distinct from the SaaS and other hosted services within the context of the contract and are provided over the same period and have the same pattern of transfer of control, and therefore are combined and recognized as a single performance obligation. Setup activities such as installation, initial training and data updates that must be undertaken to fulfill the contract are considered fulfillment activities that do not transfer service to the customer. In addition to the core DMS software application, the customer may also contract for layered applications, which are each considered a distinct performance obligation.

Revenue for SaaS and other hosted service arrangements are recognized ratably over the duration of the contract. The company's obligation under these arrangements is to stand ready to perform the underlying services as required by the customer. The customer receives the benefit of the services, and the company's dealer software and technology operation has the right to payment as the services are performed. A time-elapsed output method is used to measure progress as the company's dealer software and technology operation transfers control evenly over the duration of the contract.

***Healthcare services***

The company's healthcare services entered receivership due to an event of default under its credit agreement after unsuccessful efforts to negotiate with key stakeholders on a sustainable long-term solution for the business in May 2025, resulting in the deconsolidation of the business. During the period prior to the loss of control, revenues from contracts with customers are recognized when control of the goods or services are transferred to the customer at an amount that reflects the consideration to which the company is entitled to in exchange for those goods or services. The company has concluded that it is the principal in its revenue arrangements as it typically controls the goods or services before transferring them to the customers.

The company has two types of performance obligations: hospital services and hospital management services. For hospital services, revenue for each surgical and non-surgical service provided to a patient is recognized over the period from admission of the patient to discharge. For hospital management services, revenue from management fee income is recognized in accordance with the relevant agreement.

***Nuclear technology services operation***

The company's interest in its nuclear technology services operation was sold in November 2023, resulting in the deconsolidation of the business. During the period prior to the disposal, revenues from sales of products are recognized at a point in time when the product is shipped and control passes to the customer. Revenues from contracts to provide engineering, design or other services are recognized and reported over time based on an appropriate measure of progress over time. The company uses an input method, the cost-to-cost method, to measure progress towards complete satisfaction of the performance obligations under IFRS 15.

F-18 Brookfield Business Corporation

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

IFRS 15 requires a highly probable criterion be met with regards to recognizing revenues arising from variable consideration and contract modification and claims. For variable consideration, revenues are only to be recognized to the extent that it is highly probable that a significant reversal in the amount of revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The company includes in its contract estimates additional revenue for submitted contract modifications or claims against the customer or others when the company believes that it has an enforceable right to the modification or claim, the amount can be estimated reliably, and its realization is probable. The company includes incentive fees in the estimated transaction price when there is a basis to reasonably estimate the amount of the fee.

***Water and wastewater operation***

Revenues from the company's water and wastewater services are recognized over time as water and wastewater services are delivered. Revenues from the sale of industrial water is recognized when control of the product passes to the customer, which generally coincides with the time of billing.

Revenues from construction are determined and recognized using an input method based on the costs incurred on an accrual basis plus an applicable profit margin.

**(o)Contract work in progress**

The gross amount due from customers for contract work for all contracts in progress for which costs incurred plus recognized profits (less recognized losses) exceed progress billings, is generally presented as an asset. Progress billings not yet paid by customers and retentions are included in accounts and other receivable, net on the consolidated statements of financial position. The gross amounts due to customers for contract work for all contracts in progress for which progress billings exceed costs incurred plus recognized profits (less recognized losses) is generally presented as a liability in accounts payable and other.

Construction work in progress on construction contracts is stated at cost plus profit recognized to date calculated in accordance with performance obligations satisfied over time, including retentions payable and receivable, less a provision for foreseeable losses and progress payments received to date.

**(p)Financial instruments and hedge accounting**

***Classification and measurement***

The table below summarizes the company's classification and measurement of financial assets and liabilities, under IFRS 9, *Financial Instruments* ("IFRS 9"):

---

| | | |
|:---|:---|:---|
| | **IFRS 9 measurement category** | **Consolidated statements of financial position account** |
| **Financial assets** | | |
| Cash and cash equivalents | Amortized cost | Cash and cash equivalents |
| Accounts receivable | Amortized cost | Accounts and other receivable, net |
| Restricted cash | Amortized cost | Financial assets |
| Equity securities | FVTPL / FVOCI | Financial assets |
| Debt securities | Amortized cost / FVTPL / FVOCI | Financial assets |
| Derivative assets | FVTPL <sup>(1)</sup> | Financial assets |
| Other financial assets | Amortized cost / FVTPL / FVOCI | Financial assets |
| **Financial liabilities** |  |  |
| Borrowings | Amortized cost | Non-recourse borrowings in subsidiaries of the company |
| Accounts payable and other | Amortized cost | Accounts payable and other |
| Derivative liabilities | FVTPL <sup>(1)</sup> | Accounts payable and other |
| Exchangeable and class B shares | Amortized cost | Exchangeable and class B shares |

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____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Derivative assets and liabilities are classified and measured at FVTPL except those designated in hedging relationships.

Brookfield Business Corporation F-19

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The classification of financial instruments depends on the specific business model for managing the financial instruments and the contractual cash flow characteristics of the financial asset. The company maintains a portfolio of marketable securities comprising equity and debt securities. Marketable securities are recognized at fair value on their trade date. They are subsequently measured at fair value at each reporting date with the change in fair value recorded in either profit or loss ("FVTPL") or other comprehensive income ("FVOCI"). For investments in debt instruments, subsequent measurement will depend on the business model for which the investments are held and the cash flow characteristics of the debt instruments.

At initial recognition, the company measures a financial asset at its fair value plus, in the case of a financial asset not at FVTPL, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets measured at FVTPL are expensed in other income (expense), net in the consolidated statements of operating results.

Financial assets carried at amortized cost are measured based on their contractual cash flow characteristics and the business model for which they are held. Financial assets classified as amortized cost are recorded initially at fair value, then subsequently measured at amortized cost using the effective interest method, less any impairment.

**Derivatives and hedging activities**

The company selectively utilizes derivative financial instruments primarily to manage financial risks, including foreign exchange risks, interest rate risks and commodity price risks. Derivatives are recognized initially at fair value at the date a derivative contract is entered into and are subsequently remeasured to their fair value at each reporting date. The resulting gain or loss is recognized in profit or loss immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the recognition in profit or loss depends on the nature of the hedge relationship. Hedge accounting is applied when the derivative is designated as a hedge of a specific exposure and there is assurance that it will continue to be highly effective as a hedge based on an expectation of offsetting cash flows or fair value. Hedge accounting is discontinued prospectively when the derivative no longer qualifies as a hedge or the hedging relationship is terminated. Once discontinued, the cumulative change in fair value of a derivative that was previously recorded in other comprehensive income by the application of hedge accounting is recognized in profit or loss over the remaining term of the original hedging relationship as amounts related to the hedged item are recognized in profit or loss. The assets or liabilities relating to unrealized mark-to-market gains and losses on derivative financial instruments are recorded in financial assets and financial liabilities, respectively.

*(i)Items classified as hedges*

*Net investment hedges*

Realized and unrealized gains and losses on foreign exchange contracts and foreign currency debt that are designated as hedges of currency risks relating to a net investment in a subsidiary with a functional currency other than the U.S. dollar are included in equity and are included in net income in the period in which the subsidiary is disposed of or to the extent partially disposed and control is not retained.

*Fair value hedges*

Derivative financial instruments that are designated as hedges to offset corresponding changes in the fair value of assets and liabilities are measured at fair value with changes in fair value recorded in profit or loss against the fair value changes recorded in profit or loss corresponding to the hedged item.

*Cash flow hedges*

Unrealized gains and losses on commodity contracts designated as hedges of commodity price fluctuations are included in equity as a cash flow hedge when the commodity price risk relates to inputs to production of inventory. Upon settlement of the commodity contracts designated as cash flow hedges, the realized gains and losses are reclassified from equity into inventory as a basis adjustment. The impact of the commodity contracts designated as cash flow hedges is recognized in profit or loss when the inventory is sold.

Unrealized gains and losses on interest rate contracts designated as hedges of future variable interest payments are included in equity as a cash flow hedge when the interest rate risk relates to an anticipated variable interest payment. The periodic exchanges of payments on interest rate contracts designated as hedges of debt are recorded on an accrual basis as an adjustment to interest expense.

F-20 Brookfield Business Corporation

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

Unrealized gains and losses on forward currency contracts designated as hedges of the company's exposure to foreign currency risk in forecast transactions and firm commitments are included in equity as a cash flow hedge. The amounts accumulated in equity are accounted for, depending on the nature of the underlying hedged transaction. If the hedged transaction subsequently results in the recognition of a non-financial item, the amount accumulated in equity is removed from the separate component of equity and included in the initial cost or other carrying amount of the hedged asset or liability.

*(ii)Items not classified as hedges*

Derivative financial instruments that are not designated as hedges are recorded at fair value, and gains and losses arising from changes in fair value are recognized in net income in the period the changes occur. Realized and unrealized gains and losses on derivatives not designated as hedges are recorded in other income (expense), net on the consolidated statements of operating results.

**(q)Interest income**

Interest from interest-bearing assets and liabilities not measured at FVTPL is recognized as interest income using the effective interest method. The effective interest rate is the rate that discounts expected future cash flows for the expected life of the financial instrument to its carrying value. The calculation takes into account the contractual interest rate, along with any fees or incremental costs that are directly attributable to the instrument and all other premiums or discounts.

**(r)Fair value measurement**

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, regardless of whether that price is directly observable or estimated using another valuation technique. In estimating the fair value of an asset or a liability, the company takes into account the characteristics of the asset or liability if market participants would take those characteristics into account when pricing the asset or liability at the measurement date.

Fair value measurement is disaggregated into three hierarchical levels: Level 1, 2 or 3. Fair value hierarchical levels are based on the degree to which the inputs to the fair value measurement are observable. The levels are as follows:

---

| | |
|:---|:---|
| Level 1 – | Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. |
| Level 2 – | Inputs (other than quoted prices included in Level 1) are either directly or indirectly observable for the asset or liability through correlation with market data at the measurement date and for the duration of the asset's or liability's anticipated life. |
| Level 3 – | Inputs are unobservable and reflect management's best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs in determining the estimate. |

---

Further information on fair value measurements is available in Note 3.

**(s)Income taxes**

Income tax expense represents the sum of the current tax accrued in the period and deferred income tax.

*(i)Current income taxes*

Current income tax assets and liabilities are measured at the amount expected to be paid to tax authorities, net of recoveries based on the tax rates and laws enacted or substantively enacted at the reporting date.

Brookfield Business Corporation F-21

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

*(ii)Deferred income taxes*

Deferred income tax liabilities are provided for using the liability method on temporary differences between the tax bases used in the computation of taxable income and carrying amounts of assets and liabilities in the consolidated financial statements. Deferred income tax assets are recognized for all deductible temporary differences, carry forward of unused tax credits and unused tax losses, to the extent that it is probable that deductions, tax credits and tax losses can be utilized. Such deferred income tax assets and liabilities are not recognized if the temporary difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the taxable income nor the accounting income, other than in a business combination. The carrying amount of deferred income tax assets are reviewed at each reporting date and reduced to the extent it is no longer probable that the income tax asset will be recovered.

Deferred income tax liabilities are recognized for taxable temporary differences associated with investments in subsidiaries and equity accounted investments, and interests in joint ventures, except where the company is able to control the reversal of the temporary difference and it is probable that the temporary differences will not reverse in the foreseeable future. Deferred income tax assets arising from deductible temporary differences associated with such investments and interests are only recognized to the extent that it is probable that there will be sufficient taxable income against which to utilize the benefits of the temporary differences and they are expected to reverse in the foreseeable future.

Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realized, based on tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. The measurement of deferred income tax liabilities and assets reflect the tax consequences that would follow from the manner in which the company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Deferred income tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities and when they relate to income taxes levied by the same taxation authority within a single taxable entity or the company intends to settle its current tax assets and liabilities on a net basis in the case where there exist different taxable entities in the same taxation authority and when there is a legally enforceable right to set off current tax assets against current tax liabilities.

**(t)Provisions**

Provisions are recognized when the company has a present obligation either legal or constructive as a result of a past event, it is probable that the company will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation. Provisions are recorded within accounts payable and other in the consolidated statements of financial position with a corresponding expense recorded in other income (expense), net in the consolidated statements of operating results.

The amount recognized as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the obligation, its carrying amount is the present value of those cash flows.

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, the receivable is recognized as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

*(i)Provisions for defects*

Provisions made for defects are based on a standard percentage charge of the aggregate contract value of completed construction projects and represents a provision for potential latent defects that generally manifest over a period of time following practical completion.

Claims against the company are also recorded as part of provisions for defects when it is probable that the company will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation.

F-22 Brookfield Business Corporation

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

*(ii)Decommissioning liabilities*

Certain of the company's subsidiaries record decommissioning liabilities related to the requirement to remediate the property where operations are conducted.

The company recognizes a decommissioning liability in the period in which it has a present legal or constructive liability and a reasonable estimate of the amount can be made. Liabilities are measured based on current requirements, technology and price levels and the present value is calculated using amounts discounted over the useful economic lives of the assets. Amounts are discounted using a rate that reflects the risks specific to the liability. On a periodic basis, management reviews these estimates and changes, if any, will be applied prospectively. The fair value of the estimated decommissioning liability is recorded as a long-term liability, with a corresponding increase in the carrying amount of the related asset. The liability amount is increased in each reporting period due to the passage of time, and the amount of accretion is charged to other income (expense), net in the period. Periodic revisions to the estimated timing of cash flows, to the original estimated undiscounted cost and to changes in the discount rate can also result in an increase or decrease to the decommissioning liability. Actual costs incurred upon settlement of the obligation are recorded against the decommissioning liability to the extent of the liability recorded.

*(iii)Provisions for onerous contracts*

Present obligations arising from onerous contracts are recognized as provisions in accounts payable and other, and measured at the present value of the best estimate of the expenditure required to settle the present obligation at the end of the reporting period. An onerous contract is considered to exist where the company has a contract under which the unavoidable costs of meeting the obligations under the contract exceed the economic benefits expected to be received.

**(u)Earnings per share**

Earnings per share have not been presented in the consolidated financial statements, as the underlying shares do not constitute "ordinary shares" under IAS 33.

**(v)Assets held for sale and discontinued operations**

Non-current assets and disposal groups are classified as held for sale if their carrying amount will be recovered principally through a sale transaction rather than through continuing use. This condition is regarded as met only when the sale is highly probable and the non-current asset or disposal group is available for immediate sale in its present condition. Management must be committed to the sale, which should be expected to qualify for recognition as a completed sale within one year from the date of classification subject to limited exceptions.

Non-current assets and disposal groups classified as held for sale are measured at the lower of their carrying amount and fair value less costs to sell and are classified as current. Once classified as held for sale, neither of property, plant and equipment and intangible assets are depreciated or amortized.

Discontinued operations are excluded from the results of continuing operations and are presented as a single amount as profit or loss after tax from discontinued operations in the consolidated statements of operating results.

Additional disclosures of discontinued operations are provided in Note 8. All other notes to the financial statements include amounts for continuing operations, unless indicated otherwise.

**(w)Leases**

The company accounts for leases under IFRS 16, *Leases* ("IFRS 16"). When the company is a lessee, the company assesses whether a contract is, or contains, a lease at inception of the contract and recognizes a right-of-use asset and a corresponding lease liability with respect to all lease arrangements in which it is a lessee, except for short-term leases (defined as leases with a lease term of 12 months or less) and leases of low value assets. For these leases, the company recognizes the lease payments as an operating expense on a straight-line basis over the term of the lease unless another systematic basis is more representative of the time pattern in which economic benefits from the leased assets are consumed.

Brookfield Business Corporation F-23

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The lease liability is initially measured at the present value of the future lease payments, discounted using the interest rate implicit in the lease, if that rate can be determined, or otherwise the incremental borrowing rate. Lease payments included in the measurement of the lease liability comprise: (i) fixed lease payments, including in-substance fixed payments, less any lease incentives; (ii) variable lease payments that depend on an index or rate, initially measured using the index or rate at the commencement date; (iii) the amount expected to be payable by the lessee under residual value guarantees; (iv) the exercise price of purchase options, if it is reasonably certain that the option will be exercised; and (v) payments of penalties for terminating the lease, if the lease term reflects the exercise of an option to terminate the lease. The lease liability is subsequently measured by increasing the carrying amount to reflect interest on the lease liability (using the effective interest method) and by reducing the carrying amount to reflect the lease payments made.

The company remeasures lease liabilities and makes a corresponding adjustment to the related right-of-use asset when: (i) the lease term has changed or there is a change in the assessment of exercise of a purchase option, in which case the lease liability is remeasured by discounting the revised lease payments using a revised discount rate; (ii) the lease payments have changed due to changes in an index or rate or a change in expected payment under a guaranteed residual value, in which cases the lease liability is remeasured by discounting the revised lease payments using the initial discount rate (unless the lease payments change is due to a change in a floating interest rate, in which case a revised discount rate is used); or (iii) a lease contract is modified and the lease modification is not accounted for as a separate lease, in which case the lease liability is remeasured by discounting the revised lease payments using a revised discount rate.

The right-of-use asset comprises the initial measurement of the corresponding lease liability, lease payments made at or before the commencement date and any initial direct costs. The right-of-use asset is subsequently measured at cost less accumulated depreciation and impairment losses. It is depreciated over the shorter period of the lease term and useful life of the underlying asset. If a lease transfers ownership of the underlying asset or the cost of the right-of-use asset reflects that the company expects to exercise a purchase option, the related right-of-use asset is depreciated over the useful life of the underlying asset. The depreciation starts on the commencement date of the lease. The company applies IAS 36, *Impairment of Assets*, to determine whether a right-of-use asset is impaired and accounts for any identified impairment loss as described in the asset impairment policy in Note 2(k).

Variable rents that do not depend on an index or rate are not included in the measurement of the lease liability and the right-of-use asset. The related payments are recognized as an expense in the period in which the event or condition that triggers those payments occurs and are recorded in direct operating costs on the consolidated statements of operating results.

When the company is a lessor, a lease is classified as either a finance or operating lease on commencement of the lease contract. If the contract represents a finance lease in which the risk and rewards of ownership have transferred to the lessee, the company recognizes a finance lease receivable at an amount equal to the net investment in the lease discounted using the interest rate implicit in the lease. Subsequently, finance income is recognized at a constant rate on the net investment of the finance lease. Lease payments received from operating leases are recognized into income on a straight-line or other systematic basis.

**(x)Government assistance**

The company applies IAS 20, *Accounting for Government Grants and Disclosure of Government Assistance* ("IAS 20") to account for government grants and other government assistance received by its subsidiaries. Government grants are recognized when there is reasonable assurance that the assistance will be received and the company will comply with all relevant conditions. The company recognizes government grants in the consolidated statements of operating results on a systematic basis over the periods in which the company recognizes expenses for which the grants were provided.

**(y)Critical accounting judgments and key sources of estimation uncertainty**

The preparation of the company's consolidated financial statements requires management to make critical judgments, estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses that are not readily apparent from other sources, during the reporting period. These estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

F-24 Brookfield Business Corporation

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

Critical judgments made by management and utilized in the normal course of preparing the company's annual consolidated financial statements are outlined below.

*(i)Business combinations*

The company accounts for business combinations using the acquisition method of accounting. The allocation of fair values to assets acquired and liabilities assumed through an acquisition requires numerous estimates that affect the valuation of certain assets and liabilities acquired including discount rates, customer attrition rates and estimates of future operating costs, revenues, commodity prices, capital costs and other factors. The determination of the fair values may remain provisional during the measurement period due to the time required to obtain independent valuations of individual assets and to complete assessments of provisions. When the accounting for a business combination has not been completed as of the reporting date, the company will disclose that fact in the consolidated financial statements, including observations on the estimates and judgments made as of the reporting date.

*(ii)Determination of control*

The company consolidates an investee when it controls the investee, with control existing if, and only if, the company has power over the investee; exposure or rights to variable returns from its involvement with the investee; and the ability to use that power over the investee to affect the amount of the company's returns.

In determining if the company has power over an investee, judgments are made when identifying which activities of the investee are relevant in significantly affecting returns of the investee and the extent of existing rights that give the company the current ability to direct the relevant activities of the investee. Judgments are made as to the amount of potential voting rights that provide voting powers, the existence of contractual relationships that provide voting power, and the ability for the company to appoint directors. The company enters into voting agreements which provide it the ability to contractually direct the relevant activities of the investee (formally referred to as "power" within IFRS 10, *Consolidated Financial Statements*). In assessing if the company has exposure or rights to variable returns from its involvement with the investee, judgments are made concerning whether returns from an investee are variable and how variable those returns are on the basis of the substance of the arrangement, the magnitude of those returns and the magnitude of those returns relative to others, particularly in circumstances where the company's voting interest differs from the ownership interest in an investee. In determining if the company has the ability to use its power over the investee to affect the amount of its returns, judgments are made when the company is an investor as to whether the company is a principal or agent and whether another entity with decision making rights is acting as the company's agent. If it is determined that the company is acting as an agent, as opposed to a principal, the company does not control the investee.

*(iii)Common control transactions*

IFRS 3 does not include specific measurement guidance for the acquisition of a business from an entity that is under common control. Accordingly, the company has developed an accounting policy to account for such transactions taking into consideration other guidance in IFRS Accounting Standards and pronouncements of other standard-setting bodies. The company's policy is to record assets and liabilities recognized as a result of an acquisition of a business from an entity that is under common control at the carrying values in the transferor's financial statements.

*(iv)Indicators of impairment*

Judgment is applied when determining whether indicators of impairment exist when assessing the carrying values of the company's assets, including the determination of the company's ability to hold financial assets, the estimation of a cash-generating unit's future revenues and direct costs, the determination of discount rates, and when an asset's or cash-generating unit's carrying value is above its recoverable amount.

*(v)Revenue recognition*

Judgment is applied where certain of the company's subsidiaries use the cost-to-cost method to account for their contract revenue. The stage of completion is measured by reference to actual costs incurred to date as a percentage of estimated total costs for each contract. Significant assumptions are required to estimate the total contract costs and the recoverable variation works that affect the stage of completion and the contract revenue, respectively. In making these estimates, management has relied on past experience or the work of experts, where necessary.

Brookfield Business Corporation F-25

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

Judgment is also applied where certain of the company's subsidiaries generate revenues from contracts with multiple performance obligations. The company applies judgment in order to identify and determine the number of performance obligations, estimate the total transaction price, determine the allocation of the transaction price to each identified performance obligation, and determine the appropriate method and timing of revenue recognition.

*(vi)Financial instruments*

Judgments inherent in accounting policies relating to derivative financial instruments relate to applying the criteria to the assessment of the effectiveness of hedging relationships and estimates and assumptions used in determining the fair value of financial instruments, such as: equity or commodity prices; future interest rates; the creditworthiness of the company relative to its counterparties; the credit risk of the company's counterparties; estimated future cash flows; discount rates and volatility utilized in option valuations.

*(vii)Uncertainty of income tax treatments*

The company applies IFRIC 23, *Uncertainty over Income Tax Treatments*. The interpretation requires an entity to assess whether it is probable that a tax authority will accept an uncertain tax treatment used, or proposed to be used, by an entity in its income tax filings and to exercise judgment in determining whether each tax treatment should be considered independently or whether some tax treatments should be considered together. The decision should be based on which approach provides better predictions of the resolution of the uncertainty. An entity is required to make its assessment assuming that the taxation authority with the right to examine any amounts reported to it will examine those amounts and will have full knowledge of all relevant information when doing so.

*(viii)Other*

Other estimates and assumptions utilized in the preparation of the company's consolidated financial statements are: depreciation and amortization rates and useful lives; estimation of recoverable amounts of assets and cash-generating units for impairment assessment of long-lived assets and goodwill; and the ability of the company to utilize tax losses and other tax measurements.

Other critical judgments include the determination of the functional currency of the company's subsidiaries.

*(ix)Going concern*

In assessing whether the going concern assumption is appropriate and whether there are material uncertainties that cast significant doubt on the company's ability to continue as a going concern, management has made certain estimates and assumptions about future cash flows. These judgments considered various forward-looking factors, such as forecasted cash flows, access to financing and liquidity reserves, planned capital expenditures and debt repayment obligations. The assumptions underlying this assessment are based on actual operating results and the most relevant available information about the future, including the company's strategic initiatives and business plans and may be affected by market conditions, regulatory developments, and macroeconomic risks.

**(z)Future changes in accounting policies**

*(i)&nbsp;&nbsp;&nbsp;&nbsp;IFRS 18, Presentation and Disclosure in Financial Statements ("IFRS 18")*

In April 2024, the IASB issued IFRS 18 to replace IAS 1 *Presentation of Financial Statements* ("IAS 1"). IFRS 18 is effective for periods beginning on or after January 1, 2027, with early adoption permitted. IFRS 18 aims to improve financial reporting by requiring additional defined subtotals in the statement of profit or loss, requiring disclosures about management defined performance measures, and adding new principles for the aggregation and disaggregation of items. The company is currently assessing the impact of these amendments.

There are currently no other future changes to IFRS Accounting Standards with expected material impacts on the company.

F-26 Brookfield Business Corporation

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**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 3. FAIR VALUE OF FINANCIAL INSTRUMENTS** 

The fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair values are determined by reference to quoted bid or ask prices, as appropriate. Where bid and ask prices are unavailable, the closing price of the most recent transaction of that instrument is used. In the absence of an active market, fair values are determined based on prevailing market rates such as bid and ask prices, as appropriate, for instruments with similar characteristics and risk profiles or internal or external valuation models, such as option pricing models and discounted cash flow analysis, using observable market inputs when available.

Fair values determined using valuation models require the use of assumptions concerning the amount and timing of estimated future cash flows and discount rates. In determining those assumptions, the company looks primarily to external readily observable market inputs such as interest rate yield curves, currency rates, and price and rate volatility as applicable.

The following table provides the details of financial instruments and their associated financial instrument classifications as at December 31, 2025:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Measurement Basis** | **Measurement Basis** | **Measurement Basis** | |
| **<u>(US$ MILLIONS)</u>** | **FVTPL** | **FVOCI** | **Amortized cost** |<br>**Total** |
| **Financial assets** | | | | |
| Cash and cash equivalents | $**—** | $**—** | $**710** | $**710** |
| Accounts and other receivable, net (current and non-current) | **—** | **—** | **3158** | **3158** |
| Financial assets (current and non-current) <sup>(1) (2)</sup> | **48** | **280** | **198** | **526** |
| **Total** <sup>(3)</sup> | $**48** | $**280** | $**4066** | $**4394** |
| **Financial liabilities** |  |  |  |  |
| Accounts payable and other (current and non-current) <sup>(1) (4)</sup> | $**35** | $**4** | $**2237** | $**2276** |
| Non-recourse borrowings in subsidiaries of the company (current and non-current) | **—** | **—** | **7844** | **7844** |
| Exchangeable and class B shares <sup>(5)</sup> | **—** | **—** | **2432** | **2432** |
| **Total** | $**35** | $**4** | $**12513** | $**12552** |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>FVOCI includes derivative assets and liabilities designated in hedge accounting relationships. Refer to Hedging Activities in Note 3(a) below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(2)</sup>FVOCI includes $273 million of units in a new evergreen private equity fund managed by Brookfield Asset Management. Refer to Note 25(a)(i) for additional information.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(3)</sup>Total financial assets include $1,025 million of assets pledged as collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(4)</sup>Includes derivative liabilities and excludes liabilities associated with assets held for sale, provisions, decommissioning liabilities, deferred revenue, work in progress, post-employment benefits and other liabilities of $809 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(5)</sup>Class C shares are also classified as financial liabilities due to their cash redemption feature. The class C shares meet certain qualifying criteria and are presented as equity in accordance with IAS 32. See Note 24 for additional information.

Included in cash and cash equivalents as at December 31, 2025 is $375 million of cash (2024: $340 million) and $335 million of cash equivalents (2024: $668 million).

Brookfield Business Corporation F-27

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The following table provides the allocation of financial instruments and their associated financial instrument classifications as at December 31, 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Measurement Basis** | **Measurement Basis** | **Measurement Basis** | |
| **<u>(US$ MILLIONS)</u>** | **FVTPL** | **FVOCI** | **Amortized cost** |<br>**Total** |
| **Financial assets** | | | | |
| Cash and cash equivalents | $— | $— | $1008 | $1008 |
| Accounts and other receivable, net (current and non-current) |  |  | 3229 | 3229 |
| Financial assets (current and non-current) <sup>(1)</sup> | 11 | 184 | 158 | 353 |
| **Total** <sup>(2)</sup> | $11 | $184 | $4395 | $4590 |
| **Financial liabilities** |  |  |  |  |
| Accounts payable and other (current and non-current) <sup>(1) (3)</sup> | $— | $55 | $3641 | $3696 |
| Non-recourse borrowings in subsidiaries of the company (current and non-current) |  |  | 8490 | 8490 |
| Exchangeable and class B shares <sup>(4)</sup> |  |  | 1709 | 1709 |
| **Total** | $— | $55 | $13840 | $13895 |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>FVOCI include derivative assets and liabilities designated in hedge accounting relationships. Refer to Hedging Activities in Note 3(a) below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(2)</sup>Total financial assets include $634 million of assets pledged as collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(3)</sup>Includes derivative liabilities and excludes provisions, decommissioning liabilities, deferred revenue, work in progress, post-employment benefits and other liabilities of $1,580 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(4)</sup>Class C shares are also classified as financial liabilities due to their cash redemption feature. The class C shares meet certain qualifying criteria and are presented as equity in accordance with IAS 32. See Note 24 for additional information.

**(a)Hedging activities**

Derivative instruments not designated in a hedging relationship are classified as FVTPL, with changes in fair value recognized in the consolidated statements of operating results.

**Net investment hedges**

The company uses foreign exchange derivative contracts to manage foreign currency exposures arising from net investments in foreign operations. For the year ended December 31, 2025, a pre-tax net loss of $71 million (2024: pre-tax net gain of $106 million, 2023: pre-tax net loss of $19 million) was recorded in other comprehensive income for the effective portion of hedges of net investments in foreign operations. As at December 31, 2025, there was a derivative asset balance of $nil (2024: $104 million) and derivative liability balance of $nil (2024: $36 million) relating to derivative contracts designated as net investment hedges.

**Cash flow hedges**

The company uses foreign exchange contracts and option contracts to hedge highly probable future transactions and interest rate contracts to hedge the cash flows on its floating rate borrowings. For the year ended December 31, 2025, a pre-tax net loss of $32 million (2024: pre-tax net gain of $74 million, 2023: pre-tax net gain of $22 million) was recorded in other comprehensive income for the effective portion of cash flow hedges. As at December 31, 2025, there was a derivative asset balance of $7 million (2024: $80 million) and derivative liability balance of $4 million (2024: $19 million) relating to the derivative contracts designated as cash flow hedges.

F-28 Brookfield Business Corporation

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**Fair value hedges**

The company uses cross currency interest rate swap contracts to hedge its fair value exposure on certain foreign currency borrowings resulting from changes in foreign currency. As at December 31, 2025, there was a derivative asset balance of $35 million (2024: $nil) and derivative liability balance of $35 million (2024: $nil) relating to derivative contracts designated as fair value hedges.

**(b)Fair value hierarchical levels - financial instruments**

The following table categorizes financial assets and liabilities, which are carried at fair value, based upon the level of input as at December 31, 2025 and 2024:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** |
| **(US$ MILLIONS)** | **Level 1** | **Level 2** | **Level 3** | **Level 1** | **Level 2** | **Level 3** |
| **Financial assets** |  |  |  |  |  |  |
| Common shares <sup>(1)</sup> | $**—** | $**—** | $**273** | $— | $— | $— |
| Derivative assets | **—** | **42** | **—** |  | 184 |  |
| Other financial assets | **13** | **—** | **—** | 11 |  |  |
|  | $**13** | $**42** | $**273** | $11 | $184 | $— |
| **Financial liabilities** |  |  |  |  |  |  |
| Derivative liabilities | $**—** | $**39** | $**—** | $— | $55 | $— |
|  | $**—** | $**39** | $**—** | $— | $55 | $— |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Level 3 common shares are units held by the company in a new evergreen private equity fund managed by Brookfield Asset Management. Refer to Note 25(a)(i) for additional information.

There were no transfers between levels during the year ended December 31, 2025.

The following table summarizes the valuation techniques and key inputs used in the fair value measurement of Level 2 financial instruments:

---

| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>**<br>**Type of asset/liability** |<br>**Carrying value December 31, 2025** |<br>**Carrying value December 31, 2024** |<br>**Valuation technique(s) and key input(s)** |
| Derivative assets | $**42** | $184 | Fair value of derivative contracts incorporate quoted market prices, or in their absence internal valuation models corroborated with observable market data; and for foreign exchange, interest rate, and commodity derivatives, observable forward exchange rates, current interest rates, and commodity prices, respectively, at the end of the reporting period. |
| Derivative liabilities | $**39** | $55 | Fair value of derivative contracts incorporate quoted market prices, or in their absence internal valuation models corroborated with observable market data; and for foreign exchange, interest rate, and commodity derivatives, observable forward exchange rates, current interest rates, and commodity prices, respectively, at the end of the reporting period. |

---

The fair value of Level 3 financial assets and liabilities is determined using valuation models which require the use of unobservable inputs, including assumptions concerning the amount and timing of estimated future cash flows and discount rates. In determining unobservable inputs, the company uses internally developed information, external research, and observable market data, as applicable, in order to develop assumptions regarding those unobservable inputs.

Brookfield Business Corporation F-29

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The following table summarizes the valuation techniques and significant unobservable inputs used in the fair value measurement of material Level 3 financial instruments:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>**<br>**Type of asset/liability** |<br>**Carrying value December 31, 2025** |<br>**Carrying value December 31, 2024** |<br>**Valuation technique(s)** |<br>**Significant unobservable input(s)** |<br>**Relationship of unobservable input(s) to fair value** |
| Financial assets - common shares | $**273** | $— | Discounted cash flows | Future cash flows<br>Discount rate | Increases (decreases) in future cash flows increase (decrease) fair value<br>Increases (decreases) in discount rate decrease (increase) fair value |

---

The following table presents the change in the balance of financial assets classified as Level 3 for the years ended December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Balance at beginning of year** | $**—** | $— |
| Fair value change recorded in other comprehensive income | **8** |  |
| Additions | **306** |  |
| Disposals | **(41)** |  |
| **Balance at end of year** | $**273** | $— |

---

**NOTE 4. FINANCIAL ASSETS**

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Current** |  |  |
| Restricted cash | $**80** | $61 |
| Derivative assets | **—** | 106 |
| **Total current** | $**80** | $167 |
| **Non-current** |  |  |
| Marketable securities <sup>(1)</sup> | $**273** | $— |
| Restricted cash | **35** | 22 |
| Derivative assets | **42** | 78 |
| Loans and notes receivable | **83** | 75 |
| Other financial assets | **13** | 11 |
| **Total non-current** | $**446** | $186 |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Marketable securities include $273 million of units in a new evergreen private equity fund managed by Brookfield Asset Management. Refer to Note 25(a)(i) for additional information.

F-30 Brookfield Business Corporation

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 5. EXCHANGEABLE SHARES, CLASS B SHARES AND CLASS C SHARES**

The exchangeable shares and the class B shares are classified as liabilities due to their exchangeable and cash redemption features. Upon issuance, the exchangeable shares and the class B shares were recognized at their fair value. Subsequent to initial recognition, the exchangeable shares and the class B shares are recognized at amortized cost and remeasured to reflect changes in the contractual cash flows associated with the shares. These contractual cash flows are based on the price of one LP Unit.

As at December 31, 2025, Brookfield Holders owned approximately 68% of the issued and outstanding exchangeable shares. The Brookfield Holders have agreed that all decisions to be made with respect to the exchangeable shares will be made jointly among the Brookfield Holders.

During the year ended December 31, 2025, there were 190 exchangeable shares exchanged for LP Units (2024: 4). During the year ended December 31, 2025, the company repurchased 3,876,525 exchangeable shares (2024: nil). As at December 31, 2025, the exchangeable shares and the class B shares were remeasured to reflect the closing price of one LP Unit, $35.20 per unit. Remeasurement gains or losses associated with the exchangeable shares and class B shares are recorded in remeasurement of exchangeable and class B shares in the consolidated statements of operating results. During the year ended December 31, 2025, $18 million of dividends (2024: $18 million of dividends) were declared and paid on the outstanding exchangeable shares of the company and included in interest income (expense), net in the consolidated statements of operating results.

The following table provides a continuity schedule of outstanding exchangeable shares, and class B shares, along with the carrying value of the corresponding liability and remeasurement gains and losses:

---

| | | | |
|:---|:---|:---|:---|
| | **Exchangeable shares outstanding (Shares)** | **Class B shares outstanding (Shares)** | **Exchangeable shares and class B shares (US$ Millions)** |
| **Balance at January 1, 2025** | **72954446** | **1** | $**1709** |
| Repurchased and canceled | **(3876525)** | **—** | **(108)** |
| Shares exchanged to LP Units | **(190)** | **—** | **—** |
| Remeasurement (gains) losses | **—** | **—** | **831** |
| **Balance at December 31, 2025** | **69077731** | **1** | $**2432** |

---

Similar to the exchangeable shares and class B shares, the class C shares are classified as liabilities due to their cash redemption feature. However, the class C shares, the most subordinated class of all the company's classes of common shares, meet certain qualifying criteria and are presented as equity instruments given the narrow scope presentation exceptions existing in IAS 32. Refer to Note 24 for further details related to class C shares.

**NOTE 6. ACCOUNTS AND OTHER RECEIVABLE, NET**

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Current, net** | $**1207** | $1337 |
| **Non-current, net** |  |  |
| Accounts receivable | **46** | 100 |
| Retainer on customer contract | **58** | 55 |
| Billing rights | **720** | 597 |
| Loan receivable from Brookfield Business Partners <sup>(1)</sup> | **1127** | 1140 |
| **Total non-current, net** | $**1951** | $1892 |
| **Total** | $**3158** | $3229 |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>See Note 25 for additional information.

Brookfield Business Corporation F-31

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

Non-current billing rights primarily represent unbilled rights from the company's water and wastewater operation in Brazil related to revenues earned from the construction of public concession contracts classified as financial assets, which are recognized when there is an unconditional right to receive cash or other financial assets from the concession authority for the construction services.

The company's construction operation has a retention balance, which comprises amounts that have been earned but held back until the satisfaction of certain conditions specified in the contract. The retention balance included in current accounts and other receivable, net as at December 31, 2025 was $63 million (2024: $120 million).

The following table summarizes the change in the loss allowance for bad debts on accounts and other receivables for the years ended December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Loss allowance - beginning** | $**299** | $137 |
| &nbsp;&nbsp;&nbsp;&nbsp;Add: increase in allowance | **41** | 221 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deduct: bad debt write offs | **(37)** | (33) |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign currency translation and other | **42** | (26) |
| **Loss allowance - ending** | $**345** | $299 |

---

**NOTE 7. DISPOSITIONS**

**(a)&nbsp;&nbsp;&nbsp;&nbsp;Dispositions completed in 2025**

*Sale of a partial interest into a new evergreen private equity fund*

On July 4, 2025, the company completed the sale of a 7% interest in its dealer software and technology services operation to a new evergreen private equity fund, managed by Brookfield Asset Management. In exchange, the company received units of the new evergreen fund with an initial redemption value of $306 million. This resulted in a gain of $149 million, recorded in the consolidated statements of changes in equity, within ownership changes and other. The business continues to be accounted for as a consolidated subsidiary and the units of the new evergreen fund received represent an investment in an equity instrument of the fund accounted for as a financial asset measured at FVOCI in the consolidated statements of financial position.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(b)&nbsp;&nbsp;&nbsp;&nbsp;Dispositions completed in 2024**

For the year ended December 31, 2024, the company did not have any significant dispositions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(c)&nbsp;&nbsp;&nbsp;&nbsp;Dispositions completed in 2023**

*Dealer software and technology services operation*

On May 1, 2023, the company's dealer software and technology services operation completed the sale of its non-core division servicing the heavy equipment sector for total consideration of $490 million, resulting in a pre-tax net gain of $87 million recorded in the consolidated statements of operating results, included in gain (loss) on acquisitions/dispositions, net.

*Power delivery business*

During February 2023, the company's nuclear technology services operation completed the sale of its power delivery business for gross proceeds of $275 million, resulting in a pre-tax net gain of $14 million recorded within net income from discontinued operations in the consolidated statements of operating results. See Note 8 for additional information.

*Nuclear technology services operation*

On November 7, 2023, the company completed the sale of its nuclear technology services operation to a strategic consortium led by Cameco Corporation and Brookfield Renewable Partners, a related party to the company, for total consideration of $3.8 billion, net of transaction closing costs. Upon sale of the business, the company derecognized $2.4 billion of intangibles and goodwill, $1.0 billion of property, plant and equipment, $0.3 billion of deferred tax assets, $3.7 billion of

F-32 Brookfield Business Corporation

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

borrowings, and $0.1 billion of other net liabilities. The company recorded a pre-tax net gain of $3.9 billion recorded within net income from discontinued operations in the consolidated statements of operating results. See Note 8 for additional information.

**NOTE 8. DISCONTINUED OPERATIONS**

The revenues and expenses related the company's nuclear technology services operation, which the company sold in November 2023, have been presented in the consolidated statements of operating results for the year ended December 31, 2023 as a discontinued operation.

Operating results of the discontinued operation for the years ended December 31, 2025, 2024 and 2023 were as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| Revenues | $**—** | $— | $3506 |
| Direct operating costs | **—** |  | (3087) |
| General and administrative expenses | **—** |  | (176) |
| Interest expense, net | **—** |  | (246) |
| Equity accounted income (loss), net | **—** |  | 1 |
| Impairment expense, net | **—** |  | (3) |
| Gain on acquisitions/dispositions, net | **—** |  | 3916 |
| Other income (expenses), net | **—** |  | (115) |
| Income (loss) before income tax | **—** |  | 3796 |
| Current and deferred taxes | **—** |  | 16 |
| **Net income (loss) from discontinued operations** | $**—** | $— | $3812 |

---

Net income (loss) attributable to Brookfield Business Partners for the years ended December 31, 2025, 2024 and 2023 were as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| **Net income (loss) from continuing operations attributable to:** |  |  |  |
| &nbsp;&nbsp;Brookfield Business Partners | $**(875)** | $(888) | $(533) |
| &nbsp;&nbsp;Non-controlling interests | **(126)** | (1039) | (450) |
| &nbsp;&nbsp;**Total** | $**(1001)** | $(1927) | $(983) |
| **Net income (loss) from discontinued operations attributable to:** |  |  |  |
| &nbsp;&nbsp;Brookfield Business Partners | $**—** | $— | $1052 |
| &nbsp;&nbsp;Non-controlling interests | **—** |  | 2760 |
| &nbsp;&nbsp;**Total** | $**—** | $— | $3812 |

---

Brookfield Business Corporation F-33

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

Comprehensive income (loss) attributable to Brookfield Business Partners for the years ended December 31, 2025, 2024 and 2023 were as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| **Comprehensive income (loss) from continuing operations attributable to:** |  |  |  |
| &nbsp;&nbsp;Brookfield Business Partners | $**(869)** | $(945) | $(531) |
| &nbsp;&nbsp;Non-controlling interests | **(142)** | (1173) | (454) |
| &nbsp;&nbsp;**Total** | $**(1011)** | $(2118) | $(985) |
| **Comprehensive income (loss) from discontinued operations attributable to:** |  |  |  |
| &nbsp;&nbsp;Brookfield Business Partners | $**—** | $— | $1044 |
| &nbsp;&nbsp;Non-controlling interests | **—** |  | 2739 |
| &nbsp;&nbsp;**Total** | $**—** | $— | $3783 |

---

The net cash flows attributable to the operating, investing and financing activities of the discontinued operation for the years ended December 31, 2025, 2024 and 2023 were as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| Operating cash flows | $**—** | $— | $(57) |
| Financing cash flows | **—** |  | (3116) |
| Investing cash flows | **—** |  | 3839 |
| **Net cash flows** | $**—** | $— | $666 |

---

**NOTE 9. OTHER ASSETS**

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Current** |  |  |
| Work in progress <sup>(1)</sup> | $**54** | $138 |
| Prepayments and other assets | **217** | 222 |
| Assets held for sale | **—** | 11 |
| **Total current** | $**271** | $371 |
| **Non-current** |  |  |
| Prepayments and other assets | $**272** | $256 |
| **Total non-current** | $**272** | $256 |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>See Note 16 for additional information.

F-34 Brookfield Business Corporation

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 10**. **NON-WHOLLY OWNED SUBSIDIARIES**

The following tables present the gross assets and liabilities as at December 31, 2025 and 2024 as well as gross amounts of revenues, net income (loss), other comprehensive income (loss) and distributions for the years ended December 31, 2025, 2024, and 2023 from the company's investments in material non-wholly owned subsidiaries:

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2025** |
| | **Total** | **Total** | **Total** | **Total** | **Total** | **Total** | **Total** | **Profit/(loss) allocated to non-controlling interests** | **Distributions to non-controlling interests** | **Equity allocated to non-controlling interests** |
| **<u>(US$ MILLIONS)</u>** | **Current assets** | **Non-current assets** | **Current liabilities** | **Non-current liabilities** | **Revenues** | **Net income (loss)** | **OCI** | **Profit/(loss) allocated to non-controlling interests** | **Distributions to non-controlling interests** | **Equity allocated to non-controlling interests** |
| Total | $**1084** | $**11776** | $**686** | $**9307** | $**2586** | $**(294)** | $**15** | $**(228)** | $**(4)** | $**2781** |

---

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Year ended December 31, 2024** | **Year ended December 31, 2024** | **Year ended December 31, 2024** | **Year ended December 31, 2024** | **Year ended December 31, 2024** | **Year ended December 31, 2024** | **Year ended December 31, 2024** | **Year ended December 31, 2024** | **Year ended December 31, 2024** | **Year ended December 31, 2024** |
| | **Total** | **Total** | **Total** | **Total** | **Total** | **Total** | **Total** | **Profit/(loss) allocated to non-controlling interests** | **Distributions to non-controlling interests** | **Equity allocated to non-controlling interests** |
| **<u>(US$ MILLIONS)</u>** | **Current assets** | **Non-current assets** | **Current liabilities** | **Non-current liabilities** | **Revenues** | **Net income (loss)** | **OCI** | **Profit/(loss) allocated to non-controlling interests** | **Distributions to non-controlling interests** | **Equity allocated to non-controlling interests** |
| Total | $1736 | $14150 | $1496 | $11468 | $4340 | $(1423) | $(168) | $(1039) | $(34) | $2694 |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Year ended December 31, 2023** | **Year ended December 31, 2023** | **Year ended December 31, 2023** | **Year ended December 31, 2023** | **Year ended December 31, 2023** | **Year ended December 31, 2023** |
| | **Total** | **Total** | **Total** | **Profit/(loss) allocated to non-controlling interests** | **Distributions to non-controlling interests** | **Equity allocated to non-controlling interests** |
| **<u>(US$ MILLIONS)</u>** | **Revenues** | **Net income (loss)** | **OCI** | **Profit/(loss) allocated to non-controlling interests** | **Distributions to non-controlling interests** | **Equity allocated to non-controlling interests** |
| Total | $8180 | $3149 | $(25) | $2310 | $(2947) | $3880 |

---

Brookfield Business Corporation F-35

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 11. PROPERTY, PLANT AND EQUIPMENT**

The following table presents the change in the balance of property, plant and equipment for the year ended December 31, 2025 and 2024:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Land** | **Buildings** | **Machinery and equipment** | **Other** | **Right-of-use assets** | **Total** |
| **Gross carrying amount** | | | | | | |
| **Balance at January 1, 2024** | $19 | $2055 | $553 | $393 | $378 | $3398 |
| Additions (cash and non-cash) |  | 48 | 75 | 3 | 56 | 182 |
| Dispositions |  |  | (8) | (1) | (30) | (39) |
| Assets reclassified as held for sale |  |  | (2) |  |  | (2) |
| Foreign currency translation and other | (2) | (199) | (39) | (35) | (39) | (314) |
| Balance at December 31, 2024 | $17 | $1904 | $579 | $360 | $365 | $3225 |
| Additions (cash and non-cash) | **—** | **25** | **64** | **6** | **54** | **149** |
| Dispositions <sup>(1)</sup> | **(5)** | **(1938)** | **(495)** | **(346)** | **(228)** | **(3012)** |
| Assets reclassified as held for sale | **(7)** | **(25)** | **—** | **—** | **—** | **(32)** |
| Foreign currency translation and other | **—** | **46** | **20** | **13** | **33** | **112** |
| **Balances at December 31, 2025** | $**5** | $**12** | $**168** | $**33** | $**224** | $**442** |
| **Accumulated depreciation and impairment** |  |  |  |  |  |  |
| **Balance at January 1, 2024** | $— | $(242) | (205) | (75) | (133) | (655) |
| Depreciation and impairment expense |  | (55) | (63) | (16) | (55) | (189) |
| Dispositions |  |  | 3 | 2 | 26 | 31 |
| Assets reclassified as held for sale |  |  | 1 |  |  | 1 |
| Foreign currency translation and other |  | 24 | 19 | 6 | 18 | 67 |
| Balance at December 31, 2024 | $— | $(273) | $(245) | $(83) | $(144) | $(745) |
| Depreciation and impairment expense | **—** | **(23)** | **(42)** | **(8)** | **(56)** | **(129)** |
| Dispositions <sup>(1)</sup> | **—** | **285** | **207** | **71** | **73** | **636** |
| Assets reclassified as held for sale | **—** | **19** | **—** | **—** | **—** | **19** |
| Foreign currency translation and other | **—** | **(10)** | **(9)** | **(2)** | **(4)** | **(25)** |
| **Balances at December 31, 2025** | $**—** | $**(2)** | $**(89)** | $**(22)** | $**(131)** | $**(244)** |
| **Net book value** |  |  |  |  |  |  |
| December 31, 2024 | $17 | $1631 | $334 | $277 | $221 | $2480 |
| **December 31, 2025** | $**5** | $**10** | $**79** | $**11** | $**93** | $**198** |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Includes the deconsolidation of the company's healthcare services operation. See Note 17(i) for additional information.

F-36 Brookfield Business Corporation

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The carrying value and depreciation/impairment expense of right-of-use assets as at December 31, 2025 and 2024 are outlined below, by class of underlying asset:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2025** |
| **<u>(US$ MILLIONS)</u>** | **Land** | **Buildings** | **Machinery and equipment** | **Total** |
| **Lessee** | | | | |
| Right-of-use assets | $**—** | $**61** | $**32** | $**93** |
| Depreciation/impairment expense | **—** | **(28)** | **(28)** | $**(56)** |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Year ended December 31, 2024** | **Year ended December 31, 2024** | **Year ended December 31, 2024** | **Year ended December 31, 2024** |
| **<u>(US$ MILLIONS)</u>** | **Land** | **Buildings** | **Machinery and equipment** | **Total** |
| **Lessee** | | | | |
| Right-of-use assets | $1 | $190 | $30 | $221 |
| Depreciation/impairment expense |  | (30) | (25) | $(55) |
| **Lessor** |  |  |  |  |
| Assets subject to operating leases |  |  | 5 | $5 |

---

Brookfield Business Corporation F-37

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 12. INTANGIBLE ASSETS**

The following table presents the change in the balance of intangible assets for the year ended December 31, 2025 and 2024:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Water and sewage concession agreements** | **Customer relationships** | **Computer software and proprietary technology** | **Brands and trademarks** | **Other** | **Total** |
| **Gross carrying amount** | | | | | | |
| Balance at January 1, 2024 | $2881 | $3621 | $993 | $246 | $422 | $8163 |
| Additions | 113 |  | 61 |  | 65 | 239 |
| Acquisitions through business combinations |  |  | 11 |  |  | 11 |
| Dispositions | (1) |  | (2) |  | (10) | (13) |
| Foreign currency translation | (735) |  | (34) |  | 19 | (750) |
| Balances at December 31, 2024 | $2258 | $3621 | $1029 | $246 | $496 | $7650 |
| Additions | **131** | **—** | **40** | **—** | **70** | **241** |
| Dispositions <sup>(1)</sup> | **(1)** | **(2)** | **(29)** | **—** | **(159)** | **(191)** |
| Foreign currency translation | **283** | **—** | **17** | **—** | **43** | **343** |
| **Balance at December 31, 2025** | $**2671** | $**3619** | $**1057** | $**246** | $**450** | $**8043** |
| **Accumulated amortization and impairment** |  |  |  |  |  |  |
| Balance at January 1, 2024 | $(470) | $(360) | $(293) | $(24) | $(85) | $(1232) |
| Amortization and impairment expense | (108) | (243) | (193) | (17) | (53) | (614) |
| Dispositions | 1 |  | 1 |  | 10 | 12 |
| Foreign currency translation | 124 |  | 17 |  | 9 | 150 |
| Balances at December 31, 2024 | $(453) | $(603) | $(468) | $(41) | $(119) | $(1684) |
| Amortization expense | **(109)** | **(238)** | **(189)** | **(16)** | **(33)** | **(585)** |
| Dispositions <sup>(1)</sup> | **1** | **—** | **26** | **—** | **79** | **106** |
| Foreign currency translation | **(57)** | **—** | **(8)** | **—** | **(8)** | **(73)** |
| **Balance at December 31, 2025** | $**(618)** | $**(841)** | $**(639)** | $**(57)** | $**(81)** | $**(2236)** |
| **Net book value** |  |  |  |  |  |  |
| December 31, 2024 | $1805 | $3018 | $561 | $205 | $377 | $5966 |
| **December 31, 2025** | $**2053** | $**2778** | $**418** | $**189** | $**369** | $**5807** |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Reflects the deconsolidation of the company's healthcare services operation. See Note 17(i) for additional information.

The terms and conditions of the water and sewage concession agreements, including fees that can be charged to the users and the duties to be performed by the operator, are regulated by various grantors, the majority of which are municipal governments across Brazil. The concession agreements provide the operator the right to charge fees to users using the services of the operator over the term of the concessions in exchange for water treatment services, ongoing and regular maintenance work on water distributions assets, and improvements to the water treatment and distribution system. Fees are revised annually for inflation in Brazil. The concession arrangements have an average remaining term of 23 years at which point the underlying concession assets will be returned to the various grantors.

The proprietary technology within the company pertains to the combination of processes, tools, techniques and developed systems for exclusive use and benefit within the company's operations that have the potential to provide competitive advantage and product differentiation. This relates to technology within the company's dealer software and technology services operation, water and wastewater operation and construction operation, assessed to have estimated useful lives ranging between 5 to 6 years. These intangible assets were valued at the date of acquisition using the relief from royalty method.

F-38 Brookfield Business Corporation

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The brand names and trademarks acquired by the company through acquisitions pertain to trade names which carry strong reputations in their respective industries and positive brand recognition. These relate to brand names and trademarks from the acquisition of the company's dealer software and technology services operation. The brand names were valued at the date of acquisition using the relief from royalty method. The brand names and trademarks acquired were assessed to have estimated useful lives of 15 years.

Customer relationships pertain to strong and continuing relationships with many of the company's customers which contribute to the revenues and cash flows generated by the company's respective operations. The company has recognized customer relationships from the acquisition of its dealer software and technology services operation. These customer relationships were valued at the date of acquisition using a multi-period excess earnings approach. The customer relationships acquired were assessed to have an estimated useful life of 15 years.

**NOTE 13. GOODWILL**

The following table presents the change in the balance of goodwill for the year ended December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Balance at beginning of year** | $**4988** | $5702 |
| Acquisitions through business combinations | **—** | 24 |
| Impairment | **—** | (661) |
| Foreign currency translation | **37** | (77) |
| **Balance at end of year** | $**5025** | $4988 |

---

The company evaluates goodwill for impairment on an annual basis, or more often if events or circumstances indicate there may be an impairment. To determine whether goodwill is impaired, the company compares the carrying amount of its cash-generating units to which goodwill has been allocated to their recoverable amounts, determined as the higher of the estimated fair value less costs of disposal or the value in use. For calculating the value in use at each cash generating unit, this involves estimating expected future cash flows based on forecasted revenues and margins, determining an appropriate discount rate and aggregating discounted expected cash flows to arrive at value in use. The most significant assumptions used in this determination are revenue growth rates, discount rates, and perpetuity growth rates which individually range from 4.1% to 16.6%, 11.4% to 13.8%, and 1.8% to 3.5%, respectively (2024: 5.2% to 14.4%, 11.0% to 12.5%, and 2.3% to 3.5%, respectively). These assumptions and inputs are forecasted over a period of 5 years and are based on market information and internal management budgets, reflective of historical experience and macroeconomic expectations. The most significant assumption used in the estimation of fair value less costs of disposal is the terminal value multiple of 10.7x.

During the year ended December 31, 2025, the company did not record a goodwill impairment loss (2024: $661 million at the company's healthcare services).

As at December 31, 2025, the recoverable amounts of the company's remaining cash-generating units with material goodwill balances which comprise its dealer software and technology services operation and construction operation, were greater than their carrying values with significant headroom.

Goodwill, net of accumulated impairment losses, is allocated to the following cash-generating units as at December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| Dealer software and technology services operation | $**4448** | $4448 |
| Construction operation | **577** | 540 |
| **Total** | $**5025** | $4988 |

---

Brookfield Business Corporation F-39

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 14. EQUITY ACCOUNTED INVESTMENTS**

The following table presents the ownership interest, voting interest, and carrying values of equity accounted investments as at December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS, except as noted)</u>** | **2025** | **2024** |
| **Equity accounted investments** |  |  |
| &nbsp;&nbsp;Economic interest (%) | **50%**  | 49% – 50% |
| &nbsp;&nbsp;Voting interest (%) | **50%** | 49% – 50% |
| &nbsp;&nbsp;Carrying value | $**185** | $198 |

---

The following table presents the change in the balance of equity accounted investments for the years ended December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Balance at beginning of year** | $**198** | $222 |
| Additions | **11** |  |
| Dispositions | **(12)** |  |
| Share of net income (loss) | **10** | 8 |
| Distributions received | **(18)** | (18) |
| Foreign currency translation and other | **(4)** | (14) |
| **Balance at end of year** | $**185** | $198 |

---

&nbsp;&nbsp;&nbsp;&nbsp;The following tables present the gross assets and liabilities of the company's equity accounted investments as at December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| Current assets | $**95** | $113 |
| Non-current assets | **569** | 547 |
| **Total assets** | **664** | 660 |
| Current liabilities | **97** | 368 |
| Non-current liabilities | **205** | 171 |
| **Total liabilities** | **302** | 539 |
| **Total net assets** | $**362** | $121 |

---

Certain equity accounted investments are subject to restrictions over the extent to which they can remit funds to the company in the form of cash dividends, or repayments of loans and advances as a result of borrowing arrangements, regulatory restrictions and other contractual requirements.

The following tables present the gross amounts of revenues, net income and other comprehensive income from the company's equity accounted investments for the years ended December 31, 2025, 2024 and 2023:

---

| | | | |
|:---|:---|:---|:---|
| | **Year ended December 31,** | **Year ended December 31,** | **Year ended December 31,** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| Revenues | $**416** | $177 | $343 |
| Net income | **20** | 16 | 7 |
| **Total comprehensive income** | $**20** | $16 | $7 |

---

F-40 Brookfield Business Corporation

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 15. ACCOUNTS PAYABLE AND OTHER**

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Current** |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $**771** | $829 |
| &nbsp;&nbsp;&nbsp;Accrued and other liabilities | **932** | 919 |
| &nbsp;&nbsp;&nbsp;Lease liabilities | **43** | 44 |
| &nbsp;&nbsp;&nbsp;Financial liabilities | **51** | 122 |
| &nbsp;&nbsp;Work in progress <sup>(1)</sup> | **347** | 382 |
| &nbsp;&nbsp;&nbsp;Provisions | **120** | 689 |
| &nbsp;&nbsp;Liabilities associated with assets held for sale | **—** | 5 |
| **Total current** <sup>(2)</sup> | $**2264** | $2990 |
| **Non-current** |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $**106** | $81 |
| &nbsp;&nbsp;&nbsp;Accrued and other liabilities | **372** | 323 |
| &nbsp;&nbsp;&nbsp;Lease liabilities | **64** | 236 |
| &nbsp;&nbsp;&nbsp;Financial liabilities | **78** | 1266 |
| &nbsp;&nbsp;Work in progress <sup>(1)</sup> | **33** | 36 |
| &nbsp;&nbsp;&nbsp;Provisions | **168** | 344 |
| **Total non-current** <sup>(2)</sup> | $**821** | $2286 |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>See Note 16 for additional information.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(2)</sup>Includes the deconsolidation of the company's healthcare services operation. See Note 17(i) for additional information.

Included within accounts payable and other at December 31, 2025 was $107 million of lease liabilities (2024: $280 million). Interest expense on lease liabilities was $11 million for the year ended December 31, 2025 (2024: $16 million).

The company's exposure to currency and liquidity risk related to accounts payable and other is disclosed in Note 27.

The following table presents the change in the provision balances for the years ended December 31, 2025 and 2024:

---

| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Warranties and provisions for defects** | **Other** | **Total provisions** |
| Balance at January 1, 2024 | $83 | $640 | $723 |
| Additional provisions recognized | 22 | 545 | 567 |
| Reduction arising from payments/derecognition | (31) | (186) | (217) |
| Change in other estimates |  | (1) | (1) |
| Foreign currency translation | (4) | (35) | (39) |
| Balance at December 31, 2024 | $70 | $963 | $1033 |
| Additional provisions recognized | **39** | **61** | **100** |
| Reduction arising from payments/derecognition | **(33)** | **(538)** | **(571)** |
| Accretion expenses | **—** | **5** | **5** |
| Dispositions | **—** | **(298)** | **(298)** |
| Foreign currency translation | **5** | **14** | **19** |
| **Balance at December 31, 2025** | $**81** | $**207** | $**288** |

---

Brookfield Business Corporation F-41

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 16. CONTRACTS IN PROGRESS**

---

| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| Contract costs incurred to date | $**12019** | $11015 | $13272 |
| Profit recognized to date | **437** | 155 | 117 |
|  | **12456** | 11170 | 13389 |
| Less: progress billings | **(12782)** | (11450) | (13723) |
| **Contract work in progress (liability)** | $**(326)** | $(280) | $(334) |
| Comprising: |  |  |  |
| &nbsp;&nbsp;Amounts due from customers — work in progress <sup>(1)</sup> | $**54** | $138 | $167 |
| &nbsp;&nbsp;Amounts due to customers — creditors <sup>(2)</sup> | **(380)** | (418) | (501) |
| **Net work in progress** | $**(326)** | $(280) | $(334) |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>The change in the balance from December 31, 2024 was due to billed amounts of $730 million, additions to work in progress of $753 million, dispositions of $115 million and an increase of $8 million from other changes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(2)</sup>The change in the balance from December 31, 2024 was due to recognized revenue of $343 million, additions to work in progress of $276 million and an increase of $29 million from other changes.

**NOTE 17. BORROWINGS**

Principal repayments on total borrowings due over the next five years and thereafter are as follows:

---

| | |
|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Total borrowings** |
| 2026 | $125 |
| 2027 | 292 |
| 2028 | 157 |
| 2029 | 5970 |
| 2030 | 457 |
| Thereafter | 1052 |
| Total - principal repayments | $8053 |
| Deferred financing costs and other accounting adjustments | (209) |
| **Total - December 31, 2025** | $**7844** |
| Total - December 31, 2024 | $8490 |

---

Current and non-current non-recourse borrowings in subsidiaries of the company as at December 31, 2025, net of deferred financing costs and other accounting adjustments were $121 million and $7,723 million, respectively (2024: $111 million and $8,379 million, respectively). Non-recourse borrowings in subsidiaries of the company include borrowings made under subscription facilities of Brookfield-sponsored private equity funds.

The company has financing arrangements within its operating businesses that trade in public markets or are held at major financial institutions. The financing arrangements are primarily composed of term loans, credit facilities, and notes and debentures which are subject to fixed or floating rates. Most of these borrowings are not subject to financial maintenance covenants, however, some are subject to fixed charge coverage ratios, leverage ratios and minimum equity or liquidity covenants.

As at December 31, 2025, the company's operations were in compliance with all material covenant requirements, and the company continues to work with its subsidiaries to monitor performance against such covenant requirements.

F-42 Brookfield Business Corporation

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*(i)Healthcare services operation*

On May 26, 2025, the company's healthcare services operation entered receivership due to an event of default under their credit agreement after unsuccessful efforts to negotiate with key stakeholders on a sustainable long-term solution for the business. Following the appointment of a receiver and transition of oversight of the operations, the company ceased to have control of the business and therefore, deconsolidated the net liabilities of the business, and recorded a pre-tax net gain of $236 million in the consolidated statements of operating results, included in other income (expense). Upon deconsolidation, the company derecognized property, plant and equipment of $2,361 million, accounts payable and other liabilities of $2,008 million, non-recourse borrowings of $950 million, accounts receivable of $171 million and other net assets of $237 million related to its healthcare services operation. The results of the healthcare services operation are included in the company's consolidated statement of operating results up until the company lost control of the business on May 26, 2025.

The following table summarizes the weighted average interest rates and terms of non-recourse borrowings in subsidiaries of the company as at December 31, 2025 and 2024:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Weighted average rate (%)** | **Weighted average rate (%)** | **Weighted average term (years)** | **Weighted average term (years)** | **Total** | **Total** |
| **<u>(US$ MILLIONS, except as noted)</u>** | **2025** | **2024** | **2025** | **2024** | **2025** | **2024** |
| **Total** | **9.2%** | 9.0% | **5.3** | 5.5 | $**7844** | $8490 |

---

The company enters into interest rate derivatives to mitigate the risk of interest rate movements on its floating rate debt instruments. Refer to Note 26 and Note 27 for additional information on the company's interest rate derivatives and financial risk management. As at December 31, 2025, the weighted average interest rate of the company's total non-recourse borrowings including the effect of interest rate derivatives was 9.0%.

The following table summarizes the non-recourse borrowings in subsidiaries of the company by currency as at December 31, 2025 and 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **<u>(US$ MILLIONS, except as noted)</u>** | **2025** | **Local currency** | **2024** | **Local currency** |
| U.S. dollars | $**5772** | $**5772** | $5755 | $5755 |
| Brazilian reais | **2072** | **11403** | 1821 | 11277 |
| Australian dollars | **—** | **—** | 914 | 1477 |
| **Total** | $**7844** |  | $8490 |  |

---

**NOTE 18. INCOME TAXES**

Income taxes are recognized for the amount of taxes payable by the company's subsidiaries and for the impact of deferred income tax assets and liabilities related to such subsidiaries.

The major components of income tax expense (recovery) include the following for the years ended December 31, 2025, 2024 and 2023:

---

| | | | |
|:---|:---|:---|:---|
| | **Year ended December 31,** | **Year ended December 31,** | **Year ended December 31,** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| **Current income tax expense (recovery)** | $**(10)** | $50 | $167 |
| Deferred income tax expense (recovery): |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Origination and reversal of temporary differences | **(62)** | (198) | (72) |
| &nbsp;&nbsp;&nbsp;&nbsp;Recovery arising from previously unrecognized tax assets | **(15)** |  | (20) |
| &nbsp;&nbsp;&nbsp;&nbsp;Change in tax rates and imposition of new legislation | **—** |  | (3) |
| **Deferred income tax expense (recovery)** | **(77)** | (198) | (95) |
| **Total income tax expense (recovery)** | $**(87)** | $(148) | $72 |

---

Brookfield Business Corporation F-43

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The below reconciliation has been prepared using a composite statutory-rate for jurisdictions where the company's subsidiaries operate.

The company's effective income tax rate is different from the company's composite income tax rate due to the following differences set out below:

---

| | | | |
|:---|:---|:---|:---|
| **<u>(%)</u>** | **2025** | **2024** | **2023** |
| **Composite income tax rate** | **26%** | 26% | 26% |
| Increase (reduction) in rate resulting from: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Portion of gains subject to different tax rates | **(21)** | (3) | (13) |
| &nbsp;&nbsp;&nbsp;&nbsp;International operations subject to different tax rates | **—** | 1 | (1) |
| &nbsp;&nbsp;&nbsp;&nbsp;Taxable income attributable to non-controlling interests | **1** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Recognition of deferred tax assets | **(4)** | (6) | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-recognition of the benefit of current year's tax losses | **(2)** | (1) | (2) |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-deductible expenses and other | **7** | (10) | (22) |
| **Effective income tax rate** | **7%** | 7% | (9)% |

---

Deferred income tax assets and liabilities as at December 31, 2025 and 2024 relate to the following:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| Losses (Canada) | $**45** | $23 |
| Losses (U.S.) | **50** | 5 |
| Losses (International) | **332** | 289 |
| Difference in basis | **(1135)** | (1108) |
| **Total net deferred tax (liability) asset** | $**(708)** | $(791) |
| Reflected in the statement of financial position as follows: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred income tax assets | $**261** | $197 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred income tax liabilities | **(969)** | (988) |
| **Total net deferred tax (liability) asset** | $**(708)** | $(791) |

---

The deferred income tax movements are as follows:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Opening net deferred tax (liability) asset** | $**(791)** | $(1059) |
| Recognized in income from continuing operations | **77** | 198 |
| Recognized in other comprehensive income | **15** | (8) |
| Other <sup>(1)</sup> | **(9)** | 78 |
| **Net deferred tax (liability) asset** | $**(708)** | $(791) |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>The other category primarily relates to acquisitions and dispositions and the foreign exchange impact of the deferred tax asset and liability calculated in the functional currency of the operating entities.

F-44 Brookfield Business Corporation

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The following table details the expiry date, if applicable, of the unrecognized deferred tax assets as at December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| After three years from reporting date | $**10** | $30 |
| No expiry | **149** | 484 |
| **Total** | $**159** | $514 |

---

The components of the income taxes in other comprehensive income for the years ended December 31, 2025, 2024, and 2023 are set out below:

---

| | | | |
|:---|:---|:---|:---|
| | **Year ended December 31,** | **Year ended December 31,** | **Year ended December 31,** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| FVOCI securities | $**1** | $— | $— |
| Net investment hedges | $**(9)** | $10 | $(1) |
| Cash flow hedges | **(7)** | (2) | (18) |
| **Total tax expense (recovery) in other comprehensive income** | $**(15)** | $8 | $(19) |

---

The unrecognized taxable temporary difference attributable to the company's interest in its subsidiaries, branches, associates, and joint ventures is $nil (2024: $nil).

**NOTE 19. ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)**

**Attributable to Brookfield Business Partners**

The following tables present the changes in accumulated other comprehensive income (loss) reserves attributable to Brookfield Business Partners for the years ended December 31, 2025, 2024 and 2023:

---

| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Foreign currency<br>translation** | **Other** <sup>(1)</sup> | **Accumulated other<br>comprehensive<br>income (loss)** |
| Balance as at January 1, 2025 | $**(547)** | $**125** | $**(422)** |
| Other comprehensive income (loss) | **83** | **(77)** | **6** |
| Balance as at December 31, 2025 | $**(464)** | $**48** | $**(416)** |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Represents net investment hedges, cash flow hedges and other reserves.

---

| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Foreign currency<br>translation** | **Other** <sup>(1)</sup> | **Accumulated other<br>comprehensive<br>income (loss)** |
| Balance as at January 1, 2024 | $(427) | $62 | $(365) |
| Other comprehensive income (loss) | (120) | 63 | (57) |
| Balance as at December 31, 2024 | $(547) | $125 | $(422) |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Represents net investment hedges, cash flow hedges and other reserves.

Brookfield Business Corporation F-45

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

---

| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Foreign currency<br>translation** | **Other** <sup>(1)</sup> | **Accumulated other<br>comprehensive<br>income (loss)** |
| Balance as at January 1, 2023 | $(458) | $123 | $(335) |
| Other comprehensive income (loss) | 31 | (37) | (6) |
| Ownership changes |  | (24) | (24) |
| Balance as at December 31, 2023 | $(427) | $62 | $(365) |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Represents net investment hedges, cash flow hedges and other reserves.

**NOTE 20. DIRECT OPERATING COSTS**

The company has no key employees or directors and does not remunerate key management personnel. Key decision makers of the company are all employees of the ultimate parent company or its subsidiaries, which provide management services under the Master Services Agreement with Brookfield. Refer to Note 25.

Direct operating costs are costs incurred to earn revenues and include all attributable expenses. The following table presents direct operating costs by nature for the years ended December 31, 2025, 2024, and 2023:

---

| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| Inventory costs | $**208** | $508 | $527 |
| Subcontractor and consultant costs | **2947** | 3253 | 2432 |
| Concession construction materials and labor costs | **204** | 163 | 299 |
| Depreciation and amortization expense | **718** | 780 | 728 |
| Compensation | **1321** | 1850 | 1749 |
| Other direct costs | **1134** | 1014 | 1059 |
| **Total** | $**6532** | $7568 | $6794 |

---

Other direct costs include freight, cost of construction expensed and expected credit loss provisions on financial assets.

Total lease expenses relating to short-term and low-value leases included in other direct costs for the year ended December 31, 2025 were $8 million (2024: $9 million, 2023: $13 million) and $1 million (2024: $3 million, 2023: $4 million), respectively.

**NOTE 21. GUARANTEES AND CONTINGENCIES**

In the normal course of operations, the company's operating subsidiaries have bank guarantees, insurance bonds and letters of credit outstanding to third parties. As at December 31, 2025, the total outstanding amount was approximately $1.5 billion (2024: approximately $1.5 billion). The company does not conduct its operations, other than those of equity accounted investments, through entities that are not consolidated in these consolidated financial statements, and has not guaranteed or otherwise contractually committed to support any material financial obligations not reflected in these consolidated financial statements.

The company is contingently liable with respect to litigation and claims that arise in the normal course of operations. It is not expected that any of the ongoing litigation and claims as at December 31, 2025 could result in a material settlement liability to the company.

F-46 Brookfield Business Corporation

------

<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 22. CONTRACTUAL COMMITMENTS**

**(a)Commitments**

There were no material contractual commitments for capital expenditures as at December 31, 2025.

**(b)Lease liabilities**

The following table summarizes the company's undiscounted maturity schedule for lease obligations as at December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Lease obligations** |  |  |
| &nbsp;&nbsp;Less than 1 year | $**52** | $53 |
| &nbsp;&nbsp;1 to 5 years | **71** | 116 |
| &nbsp;&nbsp;5+ years | **20** | 309 |
| **Total** | $**143** | $478 |

---

**NOTE 23. REVENUES**

**(a)Timing of recognition of revenues from contracts with customers**

The following table summarizes the company's revenues by timing of revenue recognition for the total revenues from contracts with customers for the years ended December 31, 2025, 2024, and 2023:

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| **Timing of revenue recognition** |  |  |  |
| Goods and services provided at a point in time | $**1711** | 3161 | $2857 |
| Services transferred over a period of time | **5457** | 5047 | 4824 |
| **Total revenues from contracts with customers** | **7168** | 8208 | 7681 |
| Other revenue | **—** |  | 2 |
| **Total revenues** | $**7168** | $8208 | $7683 |

---

**(b)Revenues by geography**

The following table summarizes the company's total revenues by geography for the years ended December 31, 2025, 2024, and 2023:

---

| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| Australia | $**3051** | $4540 | $3848 |
| United States | **1598** | 1526 | 1734 |
| United Kingdom | **1321** | 1041 | 864 |
| Brazil | **858** | 799 | 934 |
| Other | **340** | 302 | 303 |
| **Total revenues** | $**7168** | $8208 | $7683 |

---

**(c)Remaining performance obligations**

At the company's construction operation, backlog is defined as revenue yet to be delivered (i.e. remaining performance obligations) on construction projects that have been secured via an executed contract or work order. As at December 31, 2025, the company's backlog of construction projects was approximately $5.5 billion (2024: $5.7 billion). The company expects to recognize most of this amount within the next 2 years and the remainder in the next 5 years.

Brookfield Business Corporation F-47

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The company's dealer software and technology services operation had remaining performance obligations related to its long-term software and maintenance and support contracts of approximately $3.3 billion (2024: $3.0 billion). The company expects to recognize most of this amount within the next 2 years and the remainder in the next 5 years. The remaining performance obligations exclude future transaction revenue where revenue is recognized as the services are rendered and in the amount to which the company has the right to invoice.

The company's Brazilian water and wastewater operation business is party to certain remaining performance obligations which have a duration of more than one year. As at December 31, 2025, the remaining performance obligations were approximately $8.9 billion (2024: approximately $8.3 billion), with the most significant relating to the service concession arrangements with various municipalities which have an average remaining term of 23 years.

**NOTE 24. EQUITY**

The following table provides a continuity of the company's outstanding equity for the year ended December 31, 2025:

---

| | | |
|:---|:---|:---|
| | **Class C shares** | **Class C shares** |
| | **Shares outstanding (Shares)** | **Share capital <br>(US$ Millions)** |
| **Balance at January 1, 2025** | **25934120** | $**737** |
| Contributions | **—** | **108** |
| **Balance at December 31, 2025** | **25934120** | $**845** |

---

The company's share capital is comprised of exchangeable shares, class B shares and class C shares. Due to the exchange feature of the exchangeable shares and the cash redemption feature of the class B and class C shares, the exchangeable shares, the class B shares, and the class C shares are classified as financial liabilities. However, the class C shares, the most subordinated of all of the company's classes of common shares, meet certain qualifying criteria and are presented as equity instruments given the narrow scope presentation exceptions existing in IAS 32. Refer to Note 5 for further details related to exchangeable shares and class B shares.

The value of share capital, upon issuance of the class C shares was determined to be $28.41 based on the opening price of an LP Unit on March 15, 2022, the date of the special distribution.

**NOTE 25. RELATED PARTY TRANSACTIONS**

In the normal course of operations, the company entered into the transactions below with related parties. The ultimate parent of the company is Brookfield Corporation. Other related parties of the company include Brookfield Corporation's subsidiaries, affiliates, and operating entities.

**(a)Transactions with Brookfield**

Pursuant to the Master Services Agreement, on a quarterly basis, the Service Recipients pay a base management fee, referred to as the Base Management Fee, to the Service Providers equal to 0.3125% per quarter (1.25% annually) of the total capitalization of Brookfield Business Partners. For purposes of calculating the Base Management Fee, the total capitalization of Brookfield Business Partners is equal to the quarterly volume-weighted average trading price of an LP Unit on the principal stock exchange for the LP Units (based on trading volumes) multiplied by the number of LP Units outstanding at the end of the quarter (assuming full conversion of the Redemption-Exchange Units into LP Units of Brookfield Business Partners L.P.), plus the value of securities of the other Service Recipients (including the BBUC exchangeable shares) that are not held by Brookfield Business Partners, plus all outstanding debt with recourse to a Service Recipient, less all cash held by such entities.

The company is responsible for paying its proportionate share of the total Base Management Fee in connection with the Master Services Agreement. The Base Management Fee attributable to the company for the year ended December 31, 2025 was $33 million (2024: $25 million, 2023: $17 million). The expense related to the services received under the Master Services Agreement has been recorded as part of general and administrative expenses in the consolidated statements of operating results.

F-48 Brookfield Business Corporation

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

An integral part of the company's strategy is to participate with institutional investors in Brookfield-sponsored private equity funds that target acquisitions that suit the group's investment mandate. In the normal course of business, the group and institutional investors have made commitments to Brookfield-sponsored private equity funds, and in connection therewith, the group, together with institutional investors, has access to short-term financing using the private equity funds' credit facilities to facilitate investments that Brookfield has determined to be in the group's best interests.

In addition, Brookfield has entered into indemnity agreements with the company related to certain construction projects in the Middle East region that were in place prior to the creation of Brookfield Business Partners. Under these indemnity agreements, Brookfield has agreed to indemnify or refund the company, as appropriate, for the receipt of payments relating to such projects.

Brookfield entered into a commitment agreement with the partnership in 2022 to subscribe for up to $1.5 billion of perpetual preferred equity securities of subsidiaries of the partnership (including subsidiaries of the company). Brookfield will have the right to cause the company or Brookfield Business Partners to redeem the preferred securities at par plus accrued and unpaid dividends to the extent of any net proceeds received by the company or Brookfield Business Partners from the issuance of equity, incurrence of indebtedness or sale of assets. Brookfield has the right to waive its redemption option. As at December 31, 2025, the amount subscribed from the company was $nil (2024: $nil) and the amount subscribed from Brookfield Business Partners was $725 million (2024: $725 million) with an annual dividend of 7%. The remaining capacity available on the commitment agreement with Brookfield is $25 million, expiring on December 31, 2026.

The company has entered into two credit agreements with Brookfield Business Partners, one as borrower and one as lender, each providing for a ten-year revolving $1 billion credit facility, maturing on March 15, 2032 (unless terminated by the lender in accordance with the agreement after the fifth anniversary), to facilitate the movement of cash within the group. The credit agreement under which the company is the borrower permits it to borrow up to $1 billion from Brookfield Business Partners, and the other permits Brookfield Business Partners to borrow up to $1 billion from the company. Each credit facility contemplates a deposit arrangement pursuant to which the lender thereunder would, with the consent of the borrower, deposit funds on a demand basis to such borrower's account at a reduced rate of interest. As at December 31, 2025, the net amount outstanding on deposit is $554 million payable to Brookfield Business Partners included in accounts payable and other (2024: $470 million payable to Brookfield Business Partners).

In connection with the special distribution, Brookfield Business Partners provided the company an equity commitment in the amount of $2 billion. The equity commitment may be called by the company in exchange for the issuance of a number of class C shares or preferred shares, as the case may be, to Brookfield Business Partners, corresponding to the amount of the equity commitment called divided (i) in the case of a subscription for class C shares, by the volume-weighted average of the trading price for one exchangeable share on the principal stock exchange on which the exchangeable shares are listed for the five (5) days immediately preceding the date of the call, and (ii) in the case of a subscription for preferred shares, by $25.00 per share. The equity commitment will be available in minimum amounts of $10 million and the amount available under the equity commitment will be reduced permanently by the amount so called. Before funds may be called on the equity commitment, a number of conditions precedent must be met, including that Brookfield Business Partners continues to control the company and has the ability to elect a majority of the Board of Directors.

From time to time, Brookfield may place funds on deposit with Brookfield Business Partners and the company, on terms approved by the independent directors of the company. Interest earned or incurred on such deposits is at market terms. As at December 31, 2025, the deposit from Brookfield was $nil (2024: $nil) and the company incurred interest expense of $nil (2024: $nil) for the year ended December 31, 2025 on these deposits.

A wholly-owned subsidiary of the company fully and unconditionally guaranteed the obligations of Brookfield Business Partners under Brookfield Business Partners' $2.35 billion bilateral credit facilities with global banks and its $1 billion revolving acquisition credit facility with Brookfield.

As at December 31, 2025, the company had a loan receivable of $1.1 billion from Brookfield Business Partners in connection with the proceeds received from the disposition of the company's nuclear technology services operation in 2023. The loan receivable is non-interest bearing and is due on demand and included in accounts and other receivable, net.

Brookfield Business Corporation F-49

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*(i)&nbsp;&nbsp;&nbsp;&nbsp;Sale of interests into new evergreen private equity fund*

On July 4, 2025, the company completed the sale of a 7% interest of the company's dealer software and technology services operation to a new evergreen private equity fund, managed by Brookfield Asset Management. In exchange, the company received units of the new evergreen fund with an initial redemption value of $306 million, representing an 8.6% discount to the net asset value of the interest sold. In the 18-month period following the initial closing of the evergreen private equity fund, the units are redeemable for cash at an 8.6% discount to their net asset value at the time of redemption. Any remaining units still outstanding after this 18-month period will be redeemable at their net asset value. The sale resulted in a gain of $149 million, recorded in the consolidated statements of changes in equity, within ownership changes and other. The business continues to be accounted for as a consolidated subsidiary.

The units of the new evergreen fund received represent an investment in an equity instrument of the fund and are accounted for as a financial asset measured at FVOCI. For the year ended December 31, 2025, the new evergreen private equity fund partially redeemed 13% of units held by the company for proceeds of $41 million. The fair value of the units as at December 31, 2025 was $273 million.

**(b)Other**

The following table summarizes revenues the company has earned from transactions with related parties for the years ended December 31, 2025, 2024 and 2023:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | | **Year ended December 31,** | **Year ended December 31,** | **Year ended December 31,** |
| **<u>(US$ MILLIONS)</u>** | **Related Parties** | **2025** | **2024** | **2023** |
| &nbsp;&nbsp;&nbsp;Revenues |  |  |  |  |
|  | &nbsp;&nbsp;Brookfield Corporation <sup>(1)</sup> | $**169** | $236 | $115 |
|  | &nbsp;&nbsp;&nbsp;Equity accounted investments of operating subsidiaries | **26** |  |  |
|  | &nbsp;&nbsp;&nbsp;Other | **—** | 9 |  |
|  |  | $**195** | $245 | $115 |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Includes revenues earned by the company's construction services from an affiliate of Brookfield Corporation.

The following table summarizes balances with related parties as at December 31, 2025 and 2024:

---

| | | | |
|:---|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **Related Parties** | **December 31, 2025** | **December 31, 2024** |
| &nbsp;&nbsp;Financial assets <sup>(1)</sup> | Brookfield Corporation | $**273** | $— |
| &nbsp;&nbsp;&nbsp;Accounts and other receivable, net |  |  |  |
|  | Brookfield Corporation | $**313** | $291 |
|  | Brookfield Business Partners | **1127** | 1140 |
|  |  | $**1440** | $1431 |
| &nbsp;&nbsp;&nbsp;Accounts payable and other |  |  |  |
|  | Brookfield Corporation | $**8** | $9 |
|  | Brookfield Business Partners | **554** | 454 |
|  | Other | **9** | 10 |
|  |  | $**571** | $473 |
| &nbsp;&nbsp;&nbsp;Non-recourse borrowings in subsidiaries of the company | Brookfield Wealth Solutions | $**38** | $44 |

---

____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Includes the fair value of the units received in a new evergreen private equity fund managed by Brookfield Asset Management in exchange for the sale of a partial interest in the company's dealer software and technology services operation.

F-50 Brookfield Business Corporation

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 26. DERIVATIVE FINANCIAL INSTRUMENTS**

The company's activities expose it to a variety of financial risks, including market risk (currency risk and interest rate risk) and liquidity risk. The company and its subsidiaries selectively use derivative financial instruments principally to manage these risks.

The following table summarizes the aggregate notional amounts of the company's derivative positions as at December 31, 2025 and 2024:

---

| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **December 31, 2025** | **December 31, 2024** |
| Foreign exchange contracts | $**—** | $374 |
| Cross currency swaps | **150** | 112 |
| Interest rate derivatives | **4373** | 4156 |
|  | $**4523** | $4642 |
| **Total current** | $**1958** | $849 |
| **Total non-current** | $**2565** | $3793 |

---

**Foreign exchange contracts**

The following table presents the notional amounts and average exchange rates for foreign exchange contracts held by the company as at December 31, 2025 and 2024. The notional amounts include both buy and sell contracts. There were no foreign exchange contracts held by the company as at December 31, 2025.

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Notional amount** | **Notional amount** | **Average exchange rate** | **Average exchange rate** |
| **<u>(US$ MILLIONS, except as noted)</u>** | **2025** | **2024** | **2025** | **2024** |
| **Foreign exchange contracts** |  |  |  |  |
| Australian dollars | $**—** | $36 | **—** | 1.48 |
| Brazilian real | **—** | 338 | **—** | 5.62 |
|  | $**—** | $374 |  |  |

---

**Other Information Regarding Derivative Financial Instruments**

The following table presents the notional amounts underlying derivative instruments by term to maturity as at December 31, 2025 and the comparative notional amounts as at December 31, 2024, for derivatives that qualify for hedge accounting:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **2025** | **2025** | **2025** | **2024** |
| **<u>(US$ MILLIONS)</u>** | **< 1 Year** | **1-5 Years** | **Total notional amount** | **Total notional amount** |
| **Designated for hedge accounting** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Foreign exchange contracts | $**—** | $**—** | $**—** | $374 |
| &nbsp;&nbsp;&nbsp;Cross currency swaps | **—** | **150** | **150** | 112 |
| &nbsp;&nbsp;&nbsp;Interest rate derivatives | **1958** | **2415** | **4373** | 4156 |
|  | $**1958** | $**2565** | $**4523** | $4642 |

---

Brookfield Business Corporation F-51

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 27. FINANCIAL RISK MANAGEMENT**

**Capital Management**

The capital structure of the company consists of non-recourse borrowings in subsidiaries of the company, offset by cash and cash equivalents and equity.

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| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS, except as noted)</u>** | **2025** | **2024** |
| Non-recourse borrowings in subsidiaries of the company | $**7844** | $8490 |
| Cash and cash equivalents | **(710)** | (1008) |
| Net debt | **7134** | 7482 |
| Total equity | **2098** | 2635 |
| Total capital | $**9232** | $10117 |
| Net debt-to-capital ratio | **77%** | 74% |

---

The company manages its debt exposure by financing its operations with non-recourse borrowings in subsidiaries of the company, ensuring a diversity of funding sources as well as managing its maturity profile. The company also borrows in the currencies where its subsidiaries operate, where possible, in order to mitigate currency risk.

The company's financing plan is to fund its recurring growth capital expenditures with cash flows generated by its operations after maintenance capital expenditure, as well as debt financing that is sized to maintain its credit profile. To fund large-scale development projects and acquisitions, the company will evaluate a variety of capital sources including proceeds from selling non-core and mature assets, equity and debt financing. The company will seek to raise additional equity if it believes it can earn returns on these investments in excess of the cost of the incremental capital.

As disclosed within Note 17, the company has various credit facilities in place. In certain cases, the facilities may have financial covenants which are generally in the form of interest coverage ratios and leverage ratios. The company does not have any market capitalization covenants attached to any of its borrowings and the company is in compliance with all covenant requirements.

**Risk Management**

The company recognizes that risk management is an integral part of good management practice.

As a result of holding financial instruments, the company is exposed to the following risks: liquidity risk, market risk (i.e. interest rate risk and foreign currency risk) and credit risk. The following is a description of these risks and how they are managed:

**(a)Liquidity risk**

The company maintains sufficient financial liquidity to be able to meet ongoing operating requirements and to be able to fund acquisitions. Principal liquidity needs for the next year include funding recurring expenses, meeting scheduled debt repayments and payment of debt service obligations, funding required capital expenditures and funding acquisitions as they arise. The operating subsidiaries of the company also generate liquidity by accessing capital markets on an opportunistic basis.

F-52 Brookfield Business Corporation

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The following tables detail the contractual maturities for the company's financial liabilities as at December 31, 2025 and 2024. The tables reflect the undiscounted future cash flows of financial liabilities based on the earliest date on which the company can be required to repay. The tables include both interest and principal cash flows:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **2025** | **2025** | **2025** | **2025** | |
| **<u>(US$ MILLIONS)</u>** | **< 1 Year** | **1-2 Years** | **2-5 Years** | **5+ Years** | **Total contractual cash flows** |
| **Non-derivative financial liabilities** |  |  |  |  |  |
| Accounts payable and other <sup>(1)</sup> | $**1161** | $**175** | $**112** | $**248** | $**1696** |
| Interest-bearing liabilities | **846** | **955** | **8218** | **4708** | **14727** |
| Lease liabilities | **52** | **30** | **41** | **20** | **143** |

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____________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Excludes other provisions, post-employment benefits, deferred revenue, liabilities associated with assets held for sale, work in progress liabilities and related party loans and notes payable of $741 million.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **2024** | **2024** | **2024** | **2024** | |
| **<u>(US$ MILLIONS)</u>** | **< 1 Year** | **1-2 Years** | **2-5 Years** | **5+ Years** | **Total contractual cash flows** |
| **Non-derivative financial liabilities** |  |  |  |  |  |
| Accounts payable and other <sup>(1)</sup> | $1416 | $249 | $423 | $1460 | $3548 |
| Interest-bearing liabilities | 877 | 857 | 9432 | 4173 | 15339 |
| Lease liabilities | 53 | 39 | 77 | 309 | 478 |

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___________________________________

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(1)</sup>Excludes other provisions, post-employment benefits, deferred revenue, liabilities associated with assets held for sale, work in progress liabilities and related party loans and notes payable of $1,995 million.

**(b)Market risk**

Market risk is defined for these purposes as the risk that the fair value or future cash flows of a financial instrument held by the company will fluctuate because of changes in market factors. Market risk includes the risk of changes in interest rates and foreign currency exchange rates.

Financial instruments held by the company that are subject to market risk include loans and notes receivable, other financial assets, borrowings, derivative contracts, such as interest rate and foreign currency contracts, and marketable securities.

**Interest rate risk**

The observable impacts on the fair values and future cash flows of financial instruments that can be directly attributable to interest rate risk include changes in net income from financial instruments whose cash flows are determined with reference to floating interest rates and changes in the fair values of financial instruments whose cash flows are fixed in nature. The company monitors interest rate fluctuations and may enter into interest rate derivative contracts to mitigate the impact from interest rate movements. As at December 31, 2025 and 2024, a 50 basis points increase or decrease in interest rates would have the following impact on the company's net income and other comprehensive income (loss) on a pre-tax basis, assuming all other variables were held constant:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Net income (loss)** | **Net income (loss)** | **Other comprehensive income (loss)** | **Other comprehensive income (loss)** |
| **<u>(US$ MILLIONS)</u>** | **50 bps decrease** | **50 bps increase** | **50 bps decrease** | **50 bps increase** |
| **December 31, 2025** | $**12** | $**(12)** | $**(11)** | $**11** |
| December 31, 2024 | $11 | $(11) | $(26) | $26 |

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Brookfield Business Corporation F-53

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

F**oreign currency risk**

Changes in currency rates will impact the carrying value of financial instruments and the company's net investment and cash flows denominated in currencies other than the U.S. dollar. The company enters into foreign exchange contracts designated as net investment hedges to mitigate the impact from movements in foreign exchange rates against the U.S. dollar.

The following tables summarize the company's currency exposure as at December 31, 2025 and 2024:

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **2025** | **2025** | **2025** | **2025** | **2025** | **2025** | **2025** |
| **<u>(US$ MILLIONS)</u>** | **USD** | **AUD** | **GBP** | **CAD** | **BRL** | **Other** | **Total** |
| **Assets** |  |  |  |  |  |  |  |
| Current assets | $**830** | $**446** | $**291** | $**135** | $**560** | $**21** | $**2283** |
| Non-current assets | **9816** | **650** | **142** | **65** | **3459** | **13** | **14145** |
|  | $**10646** | $**1096** | $**433** | $**200** | $**4019** | $**34** | $**16428** |
| **Liabilities** |  |  |  |  |  |  |  |
| Current liabilities | $**3477** | $**566** | $**430** | $**81** | $**255** | $**8** | $**4817** |
| Non-current liabilities | **6414** | **101** | **78** | **29** | **2883** | **8** | **9513** |
|  | $**9891** | $**667** | $**508** | $**110** | $**3138** | $**16** | $**14330** |
| Non-controlling interests | **2140** | **(3)** | **—** | **—** | **640** | **—** | **2777** |
| Net investment attributable to Brookfield Business Partners | $**(1385)** | $**432** | $**(75)** | $**90** | $**241** | $**18** | $**(679)** |

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **2024** | **2024** | **2024** | **2024** | **2024** | **2024** | **2024** |
| **<u>(US$ MILLIONS)</u>** | **USD** | **AUD** | **GBP** | **CAD** | **BRL** | **Other** | **Total** |
| **Assets** |  |  |  |  |  |  |  |
| Current assets | $1295 | $714 | $218 | $138 | $553 | $17 | $2935 |
| Non-current assets | 9976 | 3050 | 132 | 35 | 2960 | 10 | 16163 |
|  | $11271 | $3764 | $350 | $173 | $3513 | $27 | $19098 |
| **Liabilities** |  |  |  |  |  |  |  |
| Current liabilities | $3066 | $1084 | $361 | $76 | $217 | $6 | $4810 |
| Non-current liabilities | 6474 | 2585 | 53 | 33 | 2501 | 7 | 11653 |
|  | $9540 | $3669 | $414 | $109 | $2718 | $13 | $16463 |
| Non-controlling interests | 2212 | (117) |  |  | 599 |  | 2694 |
| Net investment attributable to Brookfield Business Partners | $(481) | $212 | $(64) | $64 | $196 | $14 | $(59) |

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F-54 Brookfield Business Corporation

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

The impact of currency risk on net income associated with foreign currency denominated financial instruments is limited as the company's financial assets and liabilities are generally denominated in the functional currency of the subsidiary that holds the financial instrument. However, the company is exposed to foreign currency risk on the net assets of its foreign currency denominated operations. The following tables summarize the company's exposures to foreign currencies and the sensitivity of net income and other comprehensive income, on a pre-tax basis, to a 10% change in the exchange rates relative to the U.S. dollar for the years ended December 31, 2025, 2024 and 2023. There was no impact on net income for the years ended December 31, 2025 and 2023 as a result of a 10% change in the exchange rates.

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| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
| | **Pre-tax net income (loss)** | **Pre-tax net income (loss)** | **OCI attributable to Brookfield Business Partners, before taxes** | **OCI attributable to Brookfield Business Partners, before taxes** |
| **<u>(US$ MILLIONS)</u>** | **10% decrease** | **10% increase** | **10% decrease** | **10% increase** |
| Australian dollar | $**—** | $**—** | $**(43)** | $**43** |
| Canadian dollar | **—** | **—** | **(9)** | **9** |
| Brazilian real | **—** | **—** | **(24)** | **24** |
| Other | **—** | **—** | **6** | **(6)** |

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| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| | **Pre-tax net income (loss)** | **Pre-tax net income (loss)** | **OCI attributable to Brookfield Business Partners, before taxes** | **OCI attributable to Brookfield Business Partners, before taxes** |
| **<u>(US$ MILLIONS)</u>** | **10% decrease** | **10% increase** | **10% decrease** | **10% increase** |
| Australian dollar | $(4) | $4 | $(21) | $21 |
| Canadian dollar |  |  | (6) | 6 |
| Brazilian real |  |  | (5) | 5 |
| Other |  |  | 5 | (5) |

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| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** |
| | **Pre-tax net income (loss)** | **Pre-tax net income (loss)** | **OCI attributable to Brookfield Business Partners, before taxes** | **OCI attributable to Brookfield Business Partners, before taxes** |
| **(US$ MILLIONS)** | **10% decrease** | **10% increase** | **10% decrease** | **10% increase** |
| Australian dollar | $— | $— | $(50) | $50 |
| Canadian dollar |  |  | (6) | 6 |
| Brazilian real |  |  | (2) | 2 |
| Other |  |  | 8 | (8) |

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**(c)Credit risk**

Credit risk is the risk of loss due to the failure of a borrower or counterparty to fulfill its contractual obligations.

The company assesses the creditworthiness of each counterparty before entering into contracts and ensures that counterparties meet minimum credit quality requirements. The company also evaluates and monitors counterparty credit risk for derivative financial instruments and endeavors to minimize counterparty credit risk through diversification, collateral arrangements, and other credit risk mitigation techniques. All of the company's derivative financial instruments involve either counterparties that are banks or other financial institutions. The company does not have any significant credit risk exposure to any single counterparty.

Brookfield Business Corporation F-55

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 28. SUPPLEMENTAL CASH FLOW INFORMATION**

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| | | | |
|:---|:---|:---|:---|
| | **Year ended December 31** | **Year ended December 31** | **Year ended December 31** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| Net interest paid (received) | $**628** | $689 | $1024 |
| Net income taxes paid (received) | **30** | 44 | 162 |

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Amounts paid and received for interest were reflected as operating cash flows in the consolidated statements of cash flow.

Total cash outflows across the company's lease contracts for the year ended December 31, 2025 were $89 million (2024: $102 million).

Details of "Changes in non-cash working capital, net" on the consolidated statements of cash flow are as follows:

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| | | | |
|:---|:---|:---|:---|
| | **Year ended December 31** | **Year ended December 31** | **Year ended December 31** |
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** | **2023** |
| Accounts and other receivable | $**155** | $(252) | $(142) |
| Inventory | **4** | 1 | (86) |
| Other assets | **(94)** | 19 | (204) |
| Accounts payable and other | **(23)** | (115) | 102 |
| **Changes in non-cash working capital, net** | $**42** | $(347) | $(330) |

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The following table presents the change in the balance of non-recourse borrowings in subsidiaries of the company arising from financing activities as at December 31, 2025 and 2024:

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| | | |
|:---|:---|:---|
| **<u>(US$ MILLIONS)</u>** | **2025** | **2024** |
| **Balance at beginning of year** | $**8490** | $8823 |
| Cash flows | **(29)** | 341 |
| Non-cash changes: |  |  |
| &nbsp;&nbsp;&nbsp;Acquisitions / (dispositions) of subsidiaries | **(950)** |  |
| &nbsp;&nbsp;&nbsp;Foreign currency translation | **279** | (619) |
| &nbsp;&nbsp;&nbsp;Other changes | **54** | (55) |
| **Balance at end of year** | $**7844** | $8490 |

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F-56 Brookfield Business Corporation

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<u>[**Table of Contents**](#ia2a7791b27c54949af00b97afc4897bd_10)</u>

**BROOKFIELD BUSINESS CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS** 

**As at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023** 

**NOTE 29. SUBSEQUENT EVENTS**

**(a)Corporate reorganization**

On January 13, 2026, in connection with its previously announced plans to simplify its corporate structure, the company and BBU each held special meetings of their shareholders and unitholders, as applicable. At both meetings, the company and BBU received the required securityholder approvals to proceed with the Arrangement. On January 16, 2026, the company and BBU received the final order of the Supreme Court of British Columbia in respect of the Arrangement. The Arrangement was completed on March 27, 2026.

On March 27, 2026, pursuant to the Arrangement, all exchangeable shares were exchanged for newly issued class A shares of a publicly traded Canadian corporation (the "Corporation") on a one-for-one basis. Following the Arrangement, the company was renamed to Brookfield Business Holdings Corporation ("BBHC") and became a subsidiary of the Corporation. The company will be delisted and will cease to be a reporting issuer.

**(b)Dividend**

On March 12, 2026, the Board of Directors declared a quarterly dividend in the amount of $0.0625 per exchangeable share, payable on March 31, 2026 to shareholders of record as at the close of business on March 23, 2026.

Brookfield Business Corporation F-57

## Exhibit 2.1

**Exhibit 2.1**

**EXPLANATORY NOTE**

On March 27, 2026, Brookfield Business Corporation (formerly 1559985 B.C. Ltd.) ("BBUC"), Brookfield Business Partners L.P. ("BBU") and Brookfield Business Holdings Corporation (formerly Brookfield Business Corporation) ("BBHC") completed a court approved plan of arrangement under section 288 of the Business Corporations Act (British Columbia) (the "Arrangement"), pursuant to which, among other things, holders of BBU's non-voting limited partnership units ("units") and holders of BBHC's class A exchangeable subordinate voting shares ("exchangeable shares") received class A subordinate voting shares of BBUC in exchange for their units and exchangeable shares on a one-for-one basis.

In connection with the Arrangement, BBHC filed a post-effective amendment to its registration statement on Form F-3 (File No. 333-273180) to deregister any and all securities registered by BBHC thereunder. Following the filing of this Form 20-F, the exchangeable shares will be delisted from the New York Stock Exchange and the Toronto Stock Exchange, and BBHC will also file a Form 15 with respect to the exchangeable shares to suspend its reporting obligations under Section 15(d) of the Securities Exchange Act of 1934, as amended.

The description of securities set out below is presented as of December 31, 2025, prior to the completion of the Arrangement.

**DESCRIPTION OF SECURITIES** 

The following is a description of the material terms of our exchangeable shares and our articles and is qualified in its entirety by reference to all of the provisions of our articles. Because this description is only a summary of the terms of our exchangeable shares and our articles, it does not contain all of the information that you may find useful. For more complete information, you should read our articles, which are available electronically on the website of the SEC at www.sec.gov and will be made available to our holders as described under Item 10.H "Documents on Display" in our most recent annual report on Form 20-F (as may be amended, the "Annual Report"). Capitalized terms used but not defined herein have the meanings given to them in the Annual Report. All references to "$" are to U.S. dollars and "C$" are to Canadian dollars.

**Description of our Share Capital**

Our authorized share capital consists of (i) an unlimited number of exchangeable shares; (ii) an unlimited number of class B shares; (iii) an unlimited number of class C shares; (iv) an unlimited number of class A senior preferred shares (issuable in series); and (v) an unlimited number of class B junior preferred shares (issuable in series), which, together with the class A senior preferred shares, we refer to as the preferred shares.

**Exchangeable Shares**

The following description sets forth certain general terms and provisions of exchangeable shares. This description is in all respects subject to and qualified in its entirety by applicable law and the provisions of our company's articles.

***Voting***

Except as otherwise expressly provided in the articles or as required by law, each holder of exchangeable shares is entitled to receive notice of, and to attend and vote at, all meetings of our shareholders. Each holder of exchangeable shares is entitled to cast one vote for each exchangeable share held at the record date for determination of shareholders entitled to vote on any matter. Except as otherwise expressly provided in the articles or as required by law, the holders of exchangeable shares and class B shares will vote together and not as separate classes.

Holders of exchangeable shares hold an aggregate 25% voting interest in our company.

***Dividends***

The holders of exchangeable shares are entitled to receive dividends as and when declared by our board of directors subject to the special rights of the holders of all classes and series of the preferred shares and any other shares ranking senior to the exchangeable shares with respect to priority in payment of dividends. Our company will target to pay dividends per exchangeable share that are identical to the distributions on each unit.

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Subject to the prior rights of holders of all classes and series of preferred shares at the time outstanding having prior rights as to dividends, and in preference to the class C shares, each exchangeable share entitles its holder to cumulative dividends per share in a cash amount equal in value to (i) the amount of any distribution made on a unit multiplied by (ii) the conversion factor (which initially shall be one, subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership) determined in accordance with the articles and in effect on the record date of such dividend, which we refer to as the exchangeable dividend. See below "Adjustments to Reflect Certain Capital Events". The record and payment dates for the dividends on the exchangeable shares, to the extent not prohibited by applicable law, shall be the same as the record and payment dates for the distributions upon the units.

If the full amount of an exchangeable dividend is not declared and paid concurrently with a distribution on the units, then the undeclared or unpaid amount of such exchangeable dividend shall accrue and accumulate (without interest), whether or not our company has earnings, whether or not there are funds legally available for the payment thereof and whether or not such exchangeable dividend has been earned, declared or authorized. Any exchangeable dividend payment made shall first be credited against the earliest accumulated but unpaid exchangeable dividends due which remain payable, which we refer to as unpaid dividends. All exchangeable dividends shall be paid prior and in preference to any dividends or distributions on the class C shares. The holders of exchangeable shares shall not be entitled to any dividends from our company other than the exchangeable dividends.

***Exchange by Holder***

Holders of exchangeable shares have the right to exchange all or a portion of their exchangeable shares for one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described below in "Adjustments to Reflect Certain Capital Events") or its cash equivalent based on the NYSE closing price of one unit on the date that the request for exchange is received by our transfer agent (or if not a trading day, the next trading day thereafter) plus all unpaid dividends, if any (the form of payment to be determined at the sole election of our group). Holders of exchangeable shares that hold such shares through a broker must contact their brokers to request an exchange on their behalf. Holders of exchangeable shares that are registered holders must contact the transfer agent and follow the process described below.

Each holder of exchangeable shares who wishes to exchange one or more of his or her exchangeable shares for units or its cash equivalent is required to complete and deliver a notice of exchange in the form available from our transfer agent. Upon receipt of a notice of exchange, our company shall, within ten (10) business days after the date that the notice of exchange is received by our transfer agent, deliver to the tendering holder of exchangeable shares, in accordance with instructions set forth in the notice of exchange, one unit per exchangeable share held (subject to adjustments in the event of certain dilutive or other capital events by our company or the partnership as described below in "Adjustments to Reflect Certain Capital Events") or its cash equivalent based on the NYSE closing price of one unit on the date that the request for exchange is received by our transfer agent (or if not a trading day, the next trading day thereafter) plus all unpaid dividends, if any (the form of payment to be determined at the sole election of our company). Upon completion of the exchange of any exchangeable shares as described herein, the holder of exchangeable shares who has exchanged their exchangeable shares will have no further right, with respect to any exchangeable shares so exchanged, to receive any dividends on exchangeable shares with a record date on or after the date on which such exchangeable shares are exchanged. Unitholders of the partnership are not entitled to vote on the partnership's exercise of the overriding call right described in the preceding sentence.

***No Fractional Units***. No fractional units will be issued or delivered upon exchange of exchangeable shares. In lieu of any fractional units to which the tendering holder of exchangeable shares would otherwise be entitled at our group's election, our group will pay an amount in cash equal to the unit value on the trading day immediately preceding the exchange date multiplied by such fraction of a unit.

***Conversion of Tendered Exchangeable Shares.*** Brookfield Business Partners will be entitled at any time to have any or all exchangeable shares acquired by Brookfield Business Partners converted into class C shares on a one-for-one basis. With each acquisition by the partnership of exchangeable shares and/or the election by the partnership to convert these acquired shares for class C shares, the partnership's indirect ownership interest in our company will increase.

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***Adjustments to Reflect Certain Capital Events.*** The conversion factor (which initially is one) is subject to adjustment in accordance with our company's articles to reflect certain capital events, including (i) if the partnership or our company declares or pays a distribution to its unitholders consisting wholly or partly of units or a dividend to its shareholders consisting wholly or partly of exchangeable shares, as applicable, without a corresponding distribution or dividend, as applicable, being declared or paid by the other entity; (ii) if the partnership or our company splits, subdivides, reverse-splits or combines its outstanding units or exchangeable shares, as applicable, without a corresponding event occurring at the other entity; (iii) if the partnership or our company distributes any rights, options or warrants to all or substantially all holders of its units or exchangeable shares to convert into, exchange for or subscribe for or to purchase or to otherwise acquire units or exchangeable shares (or other securities or rights convertible into, exchangeable for or exercisable for units or exchangeable shares), as applicable, without a corresponding distribution of rights, options or warrants by the other entity; (iv) if the partnership distributes to all or substantially all holders of units evidences of its indebtedness or assets (including securities), or assets or rights, options or warrants to convert into, exchange for or subscribe for or to purchase or to otherwise acquire such securities but excluding all distributions where a comparable distribution (or the cash equivalent) is made by our company; or (v) if the partnership or one of its subsidiaries makes a payment in respect of a tender or exchange offer for the units (but excluding for all purposes any exchange or tender offer to exchange units for exchangeable shares or any other security economically equivalent to units), to the extent that the cash and value of any other consideration included in the payment per unit exceeds certain thresholds.

***Redemption by Issuer***

Our board of directors will have the right upon sixty (60) days' prior written notice to holders of exchangeable shares to redeem all of the then outstanding exchangeable shares at any time and for any reason, in its sole discretion and subject to applicable law, including without limitation following the occurrence of any of the following redemption events: (i) the total number of exchangeable shares outstanding decreases by 50% or more over any twelve-month period; (ii) a person acquires 90% of the units in a take-over bid (as defined by applicable securities law); (iii) unitholders of the partnership approve an acquisition of the partnership by way of arrangement or amalgamation; (iv) unitholders of the partnership approve a restructuring or other reorganization of the partnership; (v) there is a sale of all or substantially all of the partnership assets; (vi) there is a change of law (whether by legislative, governmental or judicial action), administrative practice or interpretation, or a change in circumstances of our company and our shareholders, that may result in adverse tax consequences for our company or our shareholders; or (vii) our board of directors, in its sole discretion, concludes that the unitholders of the partnership or holders of exchangeable shares are adversely impacted by a fact, change or other circumstance relating to our company. For greater certainty, unitholders do not have the ability to vote on such redemption and the board's decision to redeem all of the then outstanding exchangeable shares will be final. In addition, the holder of class B shares may deliver a notice to our company specifying a redemption date upon which our company shall redeem all of the then outstanding exchangeable shares, and upon sixty (60) days' prior written notice from our company to holders of the exchangeable shares and without the consent of holders of exchangeable shares, our company shall be required to redeem all of the then outstanding exchangeable shares on such redemption date, subject to applicable law.

Upon any such redemption event, the holders of exchangeable shares shall be entitled to receive pursuant to such redemption one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") or its cash equivalent based on the NYSE closing price of one unit on the trading day immediately preceding the announcement of such redemption plus all unpaid dividends, if any (the form of payment to be determined at the election of our company).

Notwithstanding the foregoing, upon any redemption event, the partnership may elect to acquire all of the outstanding exchangeable shares in exchange for one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") or its cash equivalent based on the NYSE closing price of one unit on the trading day immediately preceding the announcement of such redemption plus all unpaid dividends, if any (the form of payment to be determined at the election of the partnership). Unitholders are not entitled to vote on the partnership's exercise of the overriding call right described in the preceding sentences.

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***Liquidation***

Upon any liquidation, dissolution or winding up of our company, and subject to the prior rights of holders of all classes and series of preferred shares and any other class of shares of our company ranking in priority or ratably with the exchangeable shares and after the payment in full to (i) any holder of exchangeable shares that has submitted a notice of the exercise of the exchange rights described above or any holder of class C shares that has submitted a notice of class C retraction, in each case at least ten (10) days prior to the date of the liquidation, dissolution or winding up, and (ii) any holder of class B shares that has submitted a notice of retraction at least thirty (30) days prior to the date of the liquidation, dissolution or winding up), the holders of exchangeable shares shall be entitled to an amount in cash per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") equal to the NYSE closing price of one unit on the trading day immediately preceding announcement of such liquidation, dissolution or winding up, plus all unpaid dividends, if any. If, upon any such liquidation, dissolution or winding up, the assets of our company are insufficient to make such payment in full, then the assets of our company will be distributed among the holders of exchangeable shares ratably in proportion to the full amounts to which they would otherwise be respectively entitled to receive.

Notwithstanding the foregoing, upon any liquidation, dissolution or winding up of our company, (i) our company may elect to redeem all of the outstanding exchangeable shares for one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events"), plus all unpaid dividends, if any, and (ii) the partnership may elect to acquire all of the outstanding exchangeable shares for one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") plus all unpaid dividends, if any. Unitholders are not entitled to vote on any such redemption of the exchangeable shares by our company or on the partnership's exercise of the overriding call right described in the preceding sentences.

***Automatic Redemption upon Liquidation of the Partnership***

Upon any liquidation, dissolution or winding up of the partnership, including where substantially concurrent with a liquidation, dissolution or winding up of our company, all of the then outstanding exchangeable shares will be automatically redeemed by us, in our sole and absolute discretion, on the day prior to the liquidation, dissolution or winding up of the partnership. In such case, each holder of exchangeable shares shall be entitled to one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") or its cash equivalent based on the NYSE closing price of one unit on the trading day immediately preceding the announcement of such redemption plus all unpaid dividends, if any (the form of payment to be determined at the election of our company).

Notwithstanding the foregoing, upon any such redemption, the partnership may elect to acquire all of the outstanding exchangeable shares in exchange for one unit per exchangeable share held (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") plus all unpaid dividends, if any. The acquisition by the partnership of all the outstanding exchangeable shares will occur on the day prior to the effective date of the liquidation, dissolution or winding up of the partnership. Unitholders are not entitled to vote on the partnership's exercise of the overriding call right described in the preceding sentences.

***Conversion to Class C Shares***

The partnership, or any of its controlled subsidiaries, are entitled to convert each held exchangeable share to a class C share on a one-for-one basis, subject to adjustment.

***Book-Based System***

The exchangeable shares may be represented in the form of one or more fully registered share certificates held by, or on behalf of, CDS Clearing and Depository Services Inc., or CDS, or DTC, as applicable, as custodian of such certificates for the participants of CDS or DTC, registered in the name of CDS or DTC or their respective nominee, and registration of ownership and transfers of the exchangeable shares may be effected through the book-based system administered by CDS or DTC, as applicable.

------

***Treatment of Exchangeable Shares in Connection with a Takeover Bid, Issuer Bid or Tender Offer***

The exchangeable shares are not units and will not be treated as units for purposes of the application of applicable Canadian or U.S. rules relating to takeover bids, issuer bids and tender offers. Units and exchangeable shares are not securities of the same class. As a result, holders of exchangeable shares will not be entitled to participate in an offer or bid made to acquire units, unless such offer is extended to holders of exchangeable shares and holders of units will not be entitled to participate in an offer or bid made to acquire exchangeable shares, unless such offer is extended to holders of units. In the event of a takeover bid for units, a holder of exchangeable shares who would like to participate would be required to tender his or her exchangeable shares for exchange, in order to receive a unit, or the cash equivalent, at the election of our group, pursuant to the exchange right. If an issuer tender offer or issuer bid is made for the units at a price in excess of the market price of the units and a comparable offer is not made for the exchangeable shares, then the conversion factor for the exchangeable shares may be adjusted. See above "Adjustments to Reflect Certain Capital Events" for more information on the circumstances in which adjustments may be made to the conversion factor.

**Choice of Forum for U.S. Securities Act Claims**

**Class B Shares**

The following description of class B shares sets forth certain general terms and provisions of class B shares. This description is in all respects subject to and qualified in its entirety by reference to applicable law and the provisions of the articles.

***Voting***

Except as otherwise expressly provided in the articles or as required by law, each holder of class B shares is entitled to receive notice of, and to attend and vote at, all meetings of our shareholders. Each holder of class B shares is entitled to cast a number of votes per class B share equal to: (i) the number that is three times the number of exchangeable shares then issued and outstanding divided by (ii) the number of class B shares then issued and outstanding. The effect of the foregoing is that the holders of the class B shares are entitled to cast, in the aggregate, a number of votes equal to three times the number of votes attached to the exchangeable shares. Except as otherwise expressly provided in the articles or as required by law, the holders of exchangeable shares and class B shares will vote together and not as separate classes.

***Dividends***

Except as provided in the following sentence, the holders of class B shares are not entitled to receive dividends. In the event a dividend is declared and paid on the exchangeable shares consisting of exchangeable shares, the board shall, subject to applicable law, contemporaneously declare and pay an equivalent dividend on the class B shares consisting of class B shares.

***Liquidation***

Upon any liquidation, dissolution or winding up of our company, subject to the prior rights of holders of all classes and series of preferred shares and after the payment in full of the amount due to the holders of exchangeable shares described above under the section entitled "Liquidation", the holders of class B shares are entitled to be paid out of the assets of our company, and in preference to the class C shares, an amount in cash per class B share equal to the value of one unit per class B share held (subject to adjustment to effect certain capital events as described above in "Adjustments to Reflect Certain Capital Events") based on the NYSE closing price on the trading day immediately preceding announcement of such liquidation, dissolution or winding up. At any time no class C shares are outstanding, holders of class B shares are entitled to receive the remaining assets of the company after satisfying the prior rights of holders of all classes of preferred shares, exchangeable shares and any other shares ranking in priority or rateably with the class B shares.

------

***Redemption by Holder***

Holders of class B shares have the right to tender all or a portion of their class B shares for cash for each class B share equal to the NYSE closing price of one unit (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") on the date of the request for redemption. Upon receipt of a request for redemption, we will have thirty (30) days to deliver the cash amount to the exchanging holder.

***Restrictions on Transfer***

The class B shares may only be transferred to the partnership or persons controlled by the partnership.

**Class C Shares**

The following description of class C shares sets forth certain general terms and provisions of class C shares. This description is in all respects subject to and qualified in its entirety by reference to applicable law and the provisions of the articles.

***Voting***

Except as otherwise expressly provided in the articles or as required by law, each holder of a class C share is entitled to notice of, and to attend, any meetings of shareholders of the company, but is not otherwise entitled to vote at any such meetings.

***Dividends***

The holders of class C shares are entitled to receive dividends as and when declared by our board of directors subject to the special rights of the holders of all classes and series of the preferred shares, exchangeable shares any other shares ranking senior to the class C shares with respect to priority in payment of dividends.

Subject to the prior rights of holders of all classes and series of preferred shares and the exchangeable shares at the time outstanding having prior rights as to dividends, each class C share entitles its holder to dividends as and when declared by our board of directors, which we refer to as the class C dividend. The record and payment dates for the dividends or other distributions upon the class C shares, to the extent not prohibited by applicable law, shall be substantially the same as the record and payment dates for the dividends or other distributions upon the units.

In the event a dividend is declared and paid on the exchangeable shares consisting of exchangeable shares, the board shall, subject to applicable law, contemporaneously declare and pay an equivalent dividend on the class C shares consisting of class C shares.

***Liquidation***

Upon any liquidation, dissolution or winding up of our company, subject to the prior rights of holders of preferred shares and after the payment in full of the amount due to the holders of exchangeable shares described above under the section entitled "Liquidation" and the holders of class B shares described above under the section entitled "Class B Shares-Liquidation", the remaining assets and property of our company will be distributed among the holders of class C shares.

***Redemption by Holder***

At any time after the distribution date, holders of class C shares shall have the right to tender all or a portion of their class C shares for cash in an amount for each class C share equal to the NYSE closing price of one unit (subject to adjustment in the event of certain dilutive or other capital events by our company or the partnership as described above in "Adjustments to Reflect Certain Capital Events") on the date of the request for redemption. Upon receipt of a request for redemption, we will have ten (10) days to deliver the cash amount to the exchanging holder.

***Restrictions on Transfer***

The class C shares may only be transferred to the partnership or persons controlled by the partnership.

**Preferred Shares**

The following description of preferred shares sets forth certain general terms and provisions of class A senior preferred shares and class B junior preferred shares. This description is in all respects subject to and qualified in its entirety by reference to applicable law and the provisions of the articles.

------

***Priority***

Each series of exchangeable senior preferred shares ranks on a parity with every other series of class A senior preferred shares with respect to dividends and return of capital, and each series of class B junior preferred shares ranks on a parity with every other series of class B junior preferred shares with respect to dividends and return of capital. The preferred shares are entitled to a preference over the exchangeable shares, the class B shares, the class C shares and any other shares ranking junior to the preferred shares with respect to priority in payment of dividends and in the distribution of assets in the event of the liquidation, dissolution or winding-up of our company, whether voluntary or involuntary, or any other distribution of the assets of our company among our shareholders for the specific purpose of winding up our affairs. The class A senior preferred shares are entitled to preference over the class B junior preferred shares for all such matters.

***Directors' Right to Issue in One or More Series***

The preferred shares may be issued at any time and from time to time in one or more series. Before any shares of a series are issued, our board of directors shall fix the number of shares that will form such series, if any, and shall, subject to any limitations set out in our articles or in applicable law, determine the designation, rights, privileges, restrictions and conditions to be attached to the preferred shares as the case may be, of such series.

***Voting***

Except as hereinafter referred to or as required by law or as specified in the rights, privileges, restrictions and conditions attached from time to time to any series of preferred shares, the holders of such preferred shares as a class are not entitled as such to receive notice of, to attend or to vote at any meeting of our shareholders.

***Amendment with Approval of Holder of Preferred Shares***

The rights, privileges, restrictions and conditions attached to the preferred shares as a class may be added to, changed or removed but only with the approval of the holders of such class of preferred shares given as hereinafter specified and subject to applicable law.

***Approval of Holders of Preferred Shares***

The approval of the holders of a class of preferred shares to add to, change or remove any right, privilege, restriction or condition attaching to such class of preferred shares as a class or in respect of any other matter requiring the consent of the holders of such class of preferred shares may be given in such manner as may then be required by law, subject to a minimum requirement that such approval be given by resolution signed by all the holders of such class of preferred shares or passed by the affirmative vote of at least two-thirds (2/3rds) of the votes cast at a meeting of the holders of such class of preferred shares duly called for that purpose.

The formalities to be observed with respect to the giving of notice of any such meeting or any adjourned meeting, the quorum required therefor and the conduct thereof shall be those from time to time required by applicable law as in force at the time of the meeting and those, if any, prescribed by our articles with respect to meetings of shareholders. On every poll taken at every meeting of the holders of a class of preferred shares as a class, or at any joint meeting of the holders of two or more series of a class of preferred shares, each holder of such class of preferred shares entitled to vote thereat shall have one vote in respect of each such preferred share held.

***Voting Rights***

Except as otherwise expressly provided in the articles or as required by law, the holders of exchangeable shares and class B shares, will vote together and not as separate classes. Each holder of an exchangeable share will be entitled to cast one vote per exchangeable share on all matters submitted to a vote. On each such matter, the holders of class B shares will be entitled to cast, in the aggregate, a number of votes equal to three times the number of votes attached to the exchangeable shares. As Brookfield Business Partners holds all of the class B shares, it holds 75% of the votes eligible to be cast on all matters where the exchangeable shares and class B shares vote together.

At any time that no exchangeable shares are outstanding and for any vote held only in respect of the class B shares, the holder of the class B shares will be entitled to cast one vote per class B share. At any time that no exchangeable shares are outstanding, quorum will be at least one holder of class B shares.

------

***Process to Amend the Governing Instruments***

Our company may from time to time amend, modify or repeal any provision contained in the articles of our company in a manner authorized by the BCBCA.

Under the BCBCA, alteration of the articles generally requires authorization by either court order, by a two-thirds (2/3rds) vote of all voting shares or by the methods specified in our company's articles. Certain alterations to matters such as changes to company name or address or a change in directors will not require authorization by the above-mentioned methods. Specific alterations such as those of a nature affecting a particular class or series in a manner that would prejudice or interfere with the rights of such class or series, will entitle the affected class or series to consent by special resolution to the alteration, whether or not such class or series otherwise carries the right to vote.

Under the BCBCA, our company may resolve to alter its articles by the type of resolution specified in the BCBCA, if not specified in the BCBCA, by the type of resolution specified in our articles or if neither the BCBCA or our articles specify the type of resolution, by a two-thirds (2/3rds) vote of all voting shares; provided however, if such alteration would prejudice or interfere with the rights of a particular class or series, such class or series must consent by special resolution to the alteration, whether or not such class or series otherwise carries the right to vote.

## Exhibit 12.1

**Exhibit 12.1**

**CERTIFICATION**

I, Anuj Ranjan, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this Annual Report on Form 20-F of Brookfield Business Holdings Corporation (formerly Brookfield Business Corporation) (the "Company");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Company as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The Company's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Company and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Company, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Evaluated the effectiveness of the Company's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Disclosed in this report any change in the Company's internal control over financial reporting that occurred during the period covered by the Annual Report that has materially affected, or is reasonably likely to materially affect, the Company's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The Company's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Company's auditors and the audit committee of the Company's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Company's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the Company's internal control over financial reporting.

---

| | |
|:---|:---|
| Dated: March 30, 2026 | Dated: March 30, 2026 |
| /s/ Anuj Ranjan | /s/ Anuj Ranjan |
| Name: | Anuj Ranjan |
| Title: | Chief Executive Officer, Brookfield Business Holdings Corporation |

---

## Exhibit 12.2

**Exhibit 12.2**

**CERTIFICATION**

I, Jaspreet Dehl, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this Annual Report on Form 20-F of Brookfield Business Holdings Corporation (formerly Brookfield Business Corporation) (the "Company");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Company as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The Company's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Company and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Company, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Evaluated the effectiveness of the Company's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Disclosed in this report any change in the Company's internal control over financial reporting that occurred during the period covered by the Annual Report that has materially affected, or is reasonably likely to materially affect, the Company's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The Company's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Company's auditors and the audit committee of the Company's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Company's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the Company's internal control over financial reporting.

---

| | |
|:---|:---|
| Dated: March 30, 2026 | Dated: March 30, 2026 |
| /s/ Jaspreet Dehl | /s/ Jaspreet Dehl |
| Name: | Jaspreet Dehl |
| Title: | Chief Financial Officer, Brookfield Business Holdings Corporation |

---

## Exhibit 13.1

**Exhibit 13.1**

**CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED**

**PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

The undersigned, who is carrying out the functions of Chief Executive Officer for Brookfield Business Holdings Corporation (formerly Brookfield Business Corporation) (the "Company"), hereby certifies, pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to his knowledge, as filed with the Securities and Exchange Commission on the date hereof, (i) the annual report of the Company on Form 20-F for the fiscal year ended December 31, 2025 (the "Annual Report") fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended, and (ii) the information contained in the Annual Report fairly presents in all material respects the financial condition and results of operations of the Company.

---

| | |
|:---|:---|
| Dated: March 30, 2026 | Dated: March 30, 2026 |
| /s/ Anuj Ranjan | /s/ Anuj Ranjan |
| Name: | Anuj Ranjan |
| Title: | Chief Executive Officer, Brookfield Business Holdings Corporation |

---

## Exhibit 13.2

**Exhibit 13.2**

**CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED**

**PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

The undersigned, who is carrying out the functions of Chief Financial Officer for Brookfield Business Holdings Corporation (formerly Brookfield Business Corporation) (the "Company"), hereby certifies, pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to her knowledge, as filed with the Securities and Exchange Commission on the date hereof, (i) the annual report of the Company on Form 20-F for the fiscal year ended December 31, 2025 (the "Annual Report") fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended, and (ii) the information contained in the Annual Report fairly presents in all material respects the financial condition and results of operations of the Company.

---

| | |
|:---|:---|
| Dated: March 30, 2026 | Dated: March 30, 2026 |
| /s/ Jaspreet Dehl | /s/ Jaspreet Dehl |
| Name: | Jaspreet Dehl |
| Title: | Chief Financial Officer, Brookfield Business Holdings Corporation |

---

## Exhibit 15.2

**Exhibit 15.2**

**CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

We consent to the incorporation by reference in Registration Statement No. 333-273180 on Form F-3 of our reports dated March 30, 2026, relating to the financial statements of Brookfield Business Holdings Corporation (formerly Brookfield Business Corporation) (the "Company") and the effectiveness of the Company's internal control over financial reporting appearing in this Annual Report on Form 20-F for the year ended December 31, 2025.

/s/ Deloitte LLP

Chartered Professional Accountants

Licensed Public Accountants

Toronto, Canada

March 30, 2026

<br>