CONDENSED CONSOLIDATING FINANCIAL INFORMATION | CONDENSED CONSOLIDATING FINANCIAL INFORMATION: The following information sets forth the condensed consolidating balance sheets as of February 28, 2019 , and February 28, 2018 , the condensed consolidating statements of comprehensive income for the years ended February 28, 2019 , February 28, 2018 , and February 28, 2017 , and the condensed consolidating statements of cash flows for the years ended February 28, 2019 , February 28, 2018 , and February 28, 2017 , for the parent company, our combined subsidiaries which guarantee our senior notes (“Subsidiary Guarantors”), our combined subsidiaries which are not Subsidiary Guarantors (primarily foreign subsidiaries) (“Subsidiary Nonguarantors”) and the Company. The Subsidiary Guarantors are 100% owned, directly or indirectly, by the parent company and the guarantees are joint and several obligations of each of the Subsidiary Guarantors. The guarantees are full and unconditional, as those terms are used in Rule 3-10 of Regulation S-X, except that a Subsidiary Guarantor can be automatically released and relieved of its obligations under certain customary circumstances contained in the indentures governing our senior notes. These customary circumstances include, so long as other applicable provisions of the indentures are adhered to, the termination or release of a Subsidiary Guarantor’s guarantee of other indebtedness or upon the legal defeasance or covenant defeasance or satisfaction and discharge of our senior notes. Separate financial statements for our Subsidiary Guarantors are not presented because we have determined that such financial statements would not be material to investors. The accounting policies of the parent company, the Subsidiary Guarantors and the Subsidiary Nonguarantors are the same as those described for the Company in the Summary of Significant Accounting Policies in Note 1 . There are no restrictions on the ability of the Subsidiary Guarantors to transfer funds to us in the form of cash dividends, loans or advances. Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Balance Sheet at February 28, 2019 Current assets: Cash and cash equivalents $ 11.0 $ 2.6 $ 80.0 $ — $ 93.6 Accounts receivable 435.6 370.6 40.7 — 846.9 Inventories 197.7 1,485.4 609.9 (162.6 ) 2,130.4 Intercompany receivable 29,712.5 33,775.4 20,050.6 (83,538.5 ) — Prepaid expenses and other 89.9 78.1 446.7 (1.6 ) 613.1 Total current assets 30,446.7 35,712.1 21,227.9 (83,702.7 ) 3,684.0 Property, plant and equipment 85.3 786.8 4,395.2 — 5,267.3 Investments in subsidiaries 26,533.8 1,599.6 2,982.1 (31,115.5 ) — Goodwill — 6,185.5 1,903.3 — 8,088.8 Intangible assets — 605.0 2,593.1 — 3,198.1 Intercompany notes receivable 3,218.6 — 38.6 (3,257.2 ) — Equity method investments — 1.7 3,463.9 — 3,465.6 Securities measured as fair value — — 3,234.7 — 3,234.7 Deferred income taxes 69.2 — 2,183.3 (69.2 ) 2,183.3 Other assets 17.3 1.1 91.3 — 109.7 Total assets $ 60,370.9 $ 44,891.8 $ 42,113.4 $ (118,144.6 ) $ 29,231.5 Current liabilities: Short-term borrowings $ 732.5 $ — $ 59.0 $ — $ 791.5 Current maturities of long-term debt 1,052.8 12.2 0.2 — 1,065.2 Accounts payable 59.6 141.3 415.8 — 616.7 Intercompany payable 33,787.6 31,428.9 18,322.0 (83,538.5 ) — Other accrued expenses and liabilities 374.3 184.0 156.6 (24.5 ) 690.4 Total current liabilities 36,006.8 31,766.4 18,953.6 (83,563.0 ) 3,163.8 Long-term debt, less current maturities 11,743.4 16.0 0.4 — 11,759.8 Intercompany notes payable 38.5 2,694.4 524.3 (3,257.2 ) — Deferred income taxes and other liabilities 31.2 540.5 955.9 (56.9 ) 1,470.7 Total liabilities 47,819.9 35,017.3 20,434.2 (86,877.1 ) 16,394.3 CBI stockholders’ equity 12,551.0 9,874.5 21,393.0 (31,267.5 ) 12,551.0 Noncontrolling interests — — 286.2 — 286.2 Total stockholders’ equity 12,551.0 9,874.5 21,679.2 (31,267.5 ) 12,837.2 Total liabilities and stockholders’ equity $ 60,370.9 $ 44,891.8 $ 42,113.4 $ (118,144.6 ) $ 29,231.5 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Balance Sheet at February 28, 2018 Current assets: Cash and cash equivalents $ 4.6 $ 4.4 $ 81.3 $ — $ 90.3 Accounts receivable 2.0 12.6 761.6 — 776.2 Inventories 184.3 1,537.5 546.6 (184.4 ) 2,084.0 Intercompany receivable 27,680.0 37,937.5 18,940.8 (84,558.3 ) — Prepaid expenses and other 138.4 77.7 311.0 (3.6 ) 523.5 Total current assets 28,009.3 39,569.7 20,641.3 (84,746.3 ) 3,474.0 Property, plant and equipment 76.2 775.7 3,937.8 — 4,789.7 Investments in subsidiaries 20,948.7 442.0 5,876.9 (27,267.6 ) — Goodwill — 6,185.5 1,897.6 — 8,083.1 Intangible assets — 718.2 2,586.6 — 3,304.8 Intercompany notes receivable 6,236.4 2,435.4 — (8,671.8 ) — Equity method investments — 1.9 119.6 — 121.5 Securities measured at fair value — — 672.2 — 672.2 Deferred income taxes 17.4 — — (17.4 ) — Other assets 15.7 2.8 74.9 — 93.4 Total assets $ 55,303.7 $ 50,131.2 $ 35,806.9 $ (120,703.1 ) $ 20,538.7 Current liabilities: Short-term borrowings $ 266.9 $ — $ 479.9 $ — $ 746.8 Current maturities of long-term debt 7.1 15.0 0.2 — 22.3 Accounts payable 63.4 128.3 400.5 — 592.2 Intercompany payable 37,408.2 30,029.7 17,120.4 (84,558.3 ) — Other accrued expenses and liabilities 356.2 199.3 150.5 (27.7 ) 678.3 Total current liabilities 38,101.8 30,372.3 18,151.5 (84,586.0 ) 2,039.6 Long-term debt, less current maturities 9,166.9 9.1 241.6 — 9,417.6 Intercompany notes payable — 5,029.2 3,642.6 (8,671.8 ) — Deferred income taxes and other liabilities 59.9 493.5 553.8 (17.4 ) 1,089.8 Total liabilities 47,328.6 35,904.1 22,589.5 (93,275.2 ) 12,547.0 CBI stockholders’ equity 7,975.1 14,227.1 13,200.8 (27,427.9 ) 7,975.1 Noncontrolling interests — — 16.6 — 16.6 Total stockholders’ equity 7,975.1 14,227.1 13,217.4 (27,427.9 ) 7,991.7 Total liabilities and stockholders’ equity $ 55,303.7 $ 50,131.2 $ 35,806.9 $ (120,703.1 ) $ 20,538.7 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Comprehensive Income for the Year Ended February 28, 2019 Sales $ 2,996.9 $ 7,323.1 $ 3,905.8 $ (5,341.5 ) $ 8,884.3 Excise taxes (359.3 ) (396.2 ) (12.8 ) — (768.3 ) Net sales 2,637.6 6,926.9 3,893.0 (5,341.5 ) 8,116.0 Cost of product sold (2,060.3 ) (5,399.8 ) (1,924.2 ) 5,348.6 (4,035.7 ) Gross profit 577.3 1,527.1 1,968.8 7.1 4,080.3 Selling, general and administrative expenses (548.1 ) (908.7 ) (233.6 ) 22.3 (1,668.1 ) Operating income 29.2 618.4 1,735.2 29.4 2,412.2 Equity in earnings (losses) of equity method investees and subsidiaries and related activities 3,889.6 (39.4 ) 482.9 (4,302.5 ) 30.6 Unrealized net gain on securities measured at fair value — — 1,971.2 — 1,971.2 Net gain on sale of unconsolidated investment — — 99.8 — 99.8 Interest income 0.6 — 11.4 — 12.0 Intercompany interest income 259.7 647.1 6.3 (913.1 ) — Interest expense (361.7 ) (1.0 ) (16.4 ) — (379.1 ) Intercompany interest expense (547.1 ) (196.3 ) (169.7 ) 913.1 — Loss on extinguishment of debt (1.7 ) — — — (1.7 ) Income before income taxes 3,268.6 1,028.8 4,120.7 (4,273.1 ) 4,145.0 (Provision for) benefit from income taxes 167.3 (250.2 ) (598.1 ) (4.9 ) (685.9 ) Net income 3,435.9 778.6 3,522.6 (4,278.0 ) 3,459.1 Net income attributable to noncontrolling interests — — (23.2 ) — (23.2 ) Net income attributable to CBI $ 3,435.9 $ 778.6 $ 3,499.4 $ (4,278.0 ) $ 3,435.9 Comprehensive income attributable to CBI $ 3,284.9 $ 777.7 $ 3,358.4 $ (4,136.1 ) $ 3,284.9 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Comprehensive Income for the Year Ended February 28, 2018 Sales $ 2,953.5 $ 6,822.8 $ 3,499.6 $ (4,953.8 ) $ 8,322.1 Excise taxes (353.5 ) (375.6 ) (12.7 ) — (741.8 ) Net sales 2,600.0 6,447.2 3,486.9 (4,953.8 ) 7,580.3 Cost of product sold (2,080.3 ) (4,809.5 ) (1,795.7 ) 4,917.7 (3,767.8 ) Gross profit 519.7 1,637.7 1,691.2 (36.1 ) 3,812.5 Selling, general and administrative expenses (468.8 ) (820.0 ) (259.9 ) 16.0 (1,532.7 ) Operating income 50.9 817.7 1,431.3 (20.1 ) 2,279.8 Equity in earnings (losses) of equity method investees and subsidiaries and related activities 2,515.1 (13.9 ) 547.8 (3,014.4 ) 34.6 Unrealized net gain on securities measured at fair value and related activities — — 452.6 — 452.6 Interest income 0.4 — 1.9 — 2.3 Intercompany interest income 240.9 491.1 4.2 (736.2 ) — Interest expense (279.1 ) (1.1 ) (54.1 ) — (334.3 ) Intercompany interest expense (395.3 ) (195.6 ) (145.3 ) 736.2 — Loss on extinguishment of debt (81.8 ) — (15.2 ) — (97.0 ) Income before income taxes 2,051.1 1,098.2 2,223.2 (3,034.5 ) 2,338.0 (Provision for) benefit from income taxes 252.3 (74.2 ) (180.9 ) (19.9 ) (22.7 ) Net income 2,303.4 1,024.0 2,042.3 (3,054.4 ) 2,315.3 Net income attributable to noncontrolling interests — — (11.9 ) — (11.9 ) Net income attributable to CBI $ 2,303.4 $ 1,024.0 $ 2,030.4 $ (3,054.4 ) $ 2,303.4 Comprehensive income attributable to CBI $ 2,500.3 $ 1,024.4 $ 2,232.4 $ (3,256.8 ) $ 2,500.3 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Comprehensive Income for the Year Ended February 28, 2017 Sales $ 2,824.2 $ 6,252.4 $ 3,535.1 $ (4,560.5 ) $ 8,051.2 Excise taxes (351.9 ) (320.8 ) (57.4 ) — (730.1 ) Net sales 2,472.3 5,931.6 3,477.7 (4,560.5 ) 7,321.1 Cost of product sold (1,974.5 ) (4,373.8 ) (1,949.9 ) 4,496.1 (3,802.1 ) Gross profit 497.8 1,557.8 1,527.8 (64.4 ) 3,519.0 Selling, general and administrative expenses (417.2 ) (707.5 ) (290.5 ) 22.8 (1,392.4 ) Gain on sale of business (23.4 ) (4.3 ) 290.1 — 262.4 Operating income 57.2 846.0 1,527.4 (41.6 ) 2,389.0 Equity in earnings (losses) of equity method investees and subsidiaries and related activities 1,656.1 (31.1 ) 410.4 (2,008.1 ) 27.3 Interest income 0.4 — 1.4 — 1.8 Intercompany interest income 227.1 402.7 3.6 (633.4 ) — Interest expense (280.0 ) (1.5 ) (53.6 ) — (335.1 ) Intercompany interest expense (311.1 ) (197.4 ) (124.9 ) 633.4 — Income before income taxes 1,349.7 1,018.7 1,764.3 (2,049.7 ) 2,083.0 (Provision for) benefit from income taxes 178.9 (385.1 ) (347.6 ) 3.5 (550.3 ) Net income 1,528.6 633.6 1,416.7 (2,046.2 ) 1,532.7 Net income attributable to noncontrolling interests — — (4.1 ) — (4.1 ) Net income attributable to CBI $ 1,528.6 $ 633.6 $ 1,412.6 $ (2,046.2 ) $ 1,528.6 Comprehensive income attributable to CBI $ 1,581.3 $ 633.5 $ 1,435.0 $ (2,068.5 ) $ 1,581.3 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Cash Flows for the Year Ended February 28, 2019 Net cash provided by operating activities $ 169.8 $ 353.1 $ 1,880.4 $ (157.0 ) $ 2,246.3 Cash flows from investing activities: Investments in equity method investees and securities — (0.1 ) (4,081.4 ) — (4,081.5 ) Purchases of property, plant and equipment (34.4 ) (104.2 ) (747.7 ) — (886.3 ) Purchases of businesses, net of cash acquired — (19.5 ) (26.1 ) — (45.6 ) Proceeds from sale of unconsolidated investment — — 110.2 — 110.2 Proceeds from sales of assets 0.6 41.1 30.6 — 72.3 Net proceeds from intercompany notes 525.1 — — (525.1 ) — Net investment in equity affiliates (3,927.8 ) (11.1 ) — 3,938.9 — Other investing activities — — (0.9 ) — (0.9 ) Net cash used in investing activities (3,436.5 ) (93.8 ) (4,715.3 ) 3,413.8 (4,831.8 ) Cash flows from financing activities: Dividends paid to parent company — — (209.5 ) 209.5 — Net contributions from equity affiliates — 25.8 3,965.6 (3,991.4 ) — Net proceeds from (repayments of) intercompany notes 214.9 (256.9 ) (483.1 ) 525.1 — Proceeds from issuance of long-term debt 3,645.6 — 12.0 — 3,657.6 Proceeds from shares issued under equity compensation plans 63.2 — — — 63.2 Net proceeds from (repayments of) short-term borrowings 465.6 — (420.1 ) — 45.5 Dividends paid (557.7 ) — — — (557.7 ) Purchases of treasury stock (504.3 ) — — — (504.3 ) Principal payments of long-term debt (19.6 ) (17.2 ) (26.0 ) — (62.8 ) Payments of debt issuance, debt extinguishment and other financing costs (34.6 ) — — — (34.6 ) Payments of minimum tax withholdings on stock-based payment awards — (12.8 ) (0.8 ) — (13.6 ) Net cash provided by (used in) financing activities 3,273.1 (261.1 ) 2,838.1 (3,256.8 ) 2,593.3 Effect of exchange rate changes on cash and cash equivalents — — (4.5 ) — (4.5 ) Net increase (decrease) in cash and cash equivalents 6.4 (1.8 ) (1.3 ) — 3.3 Cash and cash equivalents, beginning of year 4.6 4.4 81.3 — 90.3 Cash and cash equivalents, end of year $ 11.0 $ 2.6 $ 80.0 $ — $ 93.6 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Cash Flows for the Year Ended February 28, 2018 Net cash provided by (used in) operating activities $ (374.5 ) $ 1,288.2 $ 1,017.7 $ — $ 1,931.4 Cash flows from investing activities: Investments in equity method investees and securities — (0.1 ) (210.8 ) — (210.9 ) Purchases of property, plant and equipment (21.3 ) (128.3 ) (908.0 ) — (1,057.6 ) Purchases of businesses, net of cash acquired — (70.9 ) (79.2 ) — (150.1 ) Proceeds from sales of assets 0.1 — 5.8 — 5.9 Payments related to sale of business — — (5.0 ) — (5.0 ) Net proceeds from intercompany notes 265.8 — 3.8 (269.6 ) — Net investment in equity affiliates (1,355.0 ) — — 1,355.0 — Other investing activities (6.2 ) — 0.8 — (5.4 ) Net cash used in investing activities (1,116.6 ) (199.3 ) (1,192.6 ) 1,085.4 (1,423.1 ) Cash flows from financing activities: Dividends paid to parent company — — (70.0 ) 70.0 — Net contributions from equity affiliates — 0.9 1,424.1 (1,425.0 ) — Net proceeds from (repayments of) intercompany notes (211.0 ) (1,041.1 ) 982.5 269.6 — Proceeds from issuance of long-term debt 5,886.4 — 2,047.0 — 7,933.4 Proceeds from shares issued under equity compensation plan 49.4 — — — 49.4 Net proceeds from short-term borrowings 33.3 — 103.9 — 137.2 Dividends paid (400.1 ) — — — (400.1 ) Purchases of treasury stock (1,038.5 ) — — — (1,038.5 ) Principal payments of long-term debt (2,717.8 ) (19.1 ) (4,391.8 ) — (7,128.7 ) Payments of debt issuance, debt extinguishment and other financing costs (115.6 ) — (6.6 ) — (122.2 ) Payments of minimum tax withholdings on stock-based payment awards — (30.5 ) (1.2 ) — (31.7 ) Net cash provided by (used in) financing activities 1,486.1 (1,089.8 ) 87.9 (1,085.4 ) (601.2 ) Effect of exchange rate changes on cash and cash equivalents — — 5.8 — 5.8 Net decrease in cash and cash equivalents (5.0 ) (0.9 ) (81.2 ) — (87.1 ) Cash and cash equivalents, beginning of year 9.6 5.3 162.5 — 177.4 Cash and cash equivalents, end of year $ 4.6 $ 4.4 $ 81.3 $ — $ 90.3 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Cash Flows for the Year Ended February 28, 2017 Net cash provided by operating activities $ 341.4 $ 1,051.5 $ 958.5 $ (655.4 ) $ 1,696.0 Cash flows from investing activities: Investments in equity method investees and securities — (0.1 ) (17.0 ) — (17.1 ) Purchases of property, plant and equipment (12.8 ) (89.8 ) (804.8 ) — (907.4 ) Purchases of businesses, net of cash acquired — — (1,111.0 ) — (1,111.0 ) Proceeds from sales of assets 0.7 — 1.4 — 2.1 Proceeds from sale of business (9.9 ) — 585.2 — 575.3 Net proceeds from intercompany notes 422.0 — — (422.0 ) — Net returns of capital from equity affiliates 470.7 — — (470.7 ) — Other investing activities — — (3.7 ) — (3.7 ) Net cash provided by (used in) investing activities 870.7 (89.9 ) (1,349.9 ) (892.7 ) (1,461.8 ) Cash flows from financing activities: Dividends paid to parent company — — (868.7 ) 868.7 — Net returns of capital to equity affiliates — (22.0 ) (235.4 ) 257.4 — Net proceeds from (repayments of) intercompany notes (20.2 ) (855.4 ) 453.6 422.0 — Proceeds from issuance of long-term debt 600.0 — 1,365.6 — 1,965.6 Proceeds from shares issued under equity compensation plans 59.7 — — — 59.7 Net proceeds from (repayments of) short-term borrowings 231.0 — (33.9 ) — 197.1 Dividends paid (315.1 ) — — — (315.1 ) Purchases of treasury stock (1,122.7 ) — — — (1,122.7 ) Principal payments of long-term debt (767.6 ) (20.6 ) (183.6 ) — (971.8 ) Payments of debt issuance, debt extinguishment and other financing costs (5.0 ) — (9.1 ) — (14.1 ) Payments of minimum tax withholdings on stock-based payment awards — (61.9 ) (3.0 ) — (64.9 ) Excess tax benefits from stock-based payment awards 131.4 — — — 131.4 Net cash provided by (used in) financing activities (1,208.5 ) (959.9 ) 485.5 1,548.1 (134.8 ) Effect of exchange rate changes on cash and cash equivalents — — (5.1 ) — (5.1 ) Net increase in cash and cash equivalents 3.6 1.7 89.0 — 94.3 Cash and cash equivalents, beginning of year 6.0 3.6 73.5 — 83.1 Cash and cash equivalents, end of year $ 9.6 $ 5.3 $ 162.5 $ — $ 177.4 |