What changed in this filing

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Item 1. Financial Statements

2025-04-22 compared with 2024-10-22 · 577 added, 816 removed, 945 unchanged (60% of the section changed)

1 unchanged sentence

3M Company and Subsidiaries

Consolidated Statement of Income (Loss)

Consolidated Statement of Income

Three months ended

September 30, Nine months ended

September 30,

(Millions, except per share amounts) 2025 2024

4 unchanged sentences

Research, development and related expenses 285 254

Gain on business divestitures — ( 36 ) — ( 36 )

Total operating expenses 4,708 4,867

Operating income (loss) 1,316 ( 3,096 ) 3,737 ( 11,588 )

Operating income

Other expense (income), net ( 139 ) 220

Income (loss) from continuing operations before income taxes 1,721 ( 3,302 ) 4,060 ( 11,922 )

Provision (benefit) for income taxes 348 ( 777 ) 771 ( 2,893 )

Income (loss) from continuing operations of consolidated group 1,373 ( 2,525 ) 3,289 ( 9,029 )

Income (loss) from unconsolidated subsidiaries, net of taxes 3 2 7 7

Net income (loss) from continuing operations including noncontrolling interest 1,376 ( 2,523 ) 3,296 ( 9,022 )

Net income (loss) attributable to noncontrolling interest 4 4 15 14

Net income (loss) from continuing operations attributable to 3M 1,372 ( 2,527 ) 3,281 ( 9,036 )

Net income (loss) from discontinued operations, net of taxes

Income from continuing operations before income taxes

Provision for income taxes

Income from continuing operations of consolidated group

Income from unconsolidated subsidiaries, net of taxes

Net income from continuing operations including noncontrolling interest

net income attributable to noncontrolling interest

Net income from continuing operations attributable to 3M

Net income from discontinued operations, net of taxes

Net income attributable to 3M

$ 1,116 $ 928

Net income (loss) attributable to 3M $ 1,372 $ ( 2,075 ) $ 3,445 $ ( 7,940 )

Earnings (loss) per share attributable to 3M common shareholders:

Earnings per share attributable to 3M common shareholders:

Weighted average 3M common shares outstanding — basic 543.8 555.0

Earnings (loss) per share from continuing operations — basic

$ 2.49 $ ( 4.56 ) $ 5.93 $ ( 16.32 )

Earnings (loss) per share from discontinued operations — basic

Earnings per share from continuing operations — basic

$ 2.05 $ 1.27

Earnings (loss) per share — basic

Earnings per share from discontinued operations — basic

Earnings per share — basic

$ 2.05 $ 1.67

Weighted average 3M common shares outstanding — diluted 547.7 555.9

Earnings (loss) per share from continuing operations — diluted

Earnings per share from continuing operations — diluted

$ 2.04 $ 1.27

Earnings (loss) per share from discontinued operations — diluted

Earnings per share from discontinued operations — diluted

Earnings per share — diluted

$ 2.04 $ 1.67

Earnings (loss) per share — diluted $ 2.48 $ ( 3.74 ) $ 6.21 $ ( 14.34 )

The accompanying Notes to Consolidated Financial Statements are an integral part of this statement.

3M Company and Subsidiaries

Consolidated Statement of Comprehensive Income (Loss)

Consolidated Statement of Comprehensive Income

Three months ended

September 30, Nine months ended

September 30,

(Millions) 2025 2024

Net income (loss) attributable to 3M $ 1,372 $ ( 2,075 ) $ 3,445 $ ( 7,940 )

Net income (loss) attributable to noncontrolling interest 4 4 15 14

Net income (loss) including noncontrolling interest

Net income attributable to 3M

$ 1,116 $ 928

Net income attributable to noncontrolling interest

Net income including noncontrolling interest

Other comprehensive income (loss), net of tax:

3 unchanged sentences

Total other comprehensive income (loss), net of tax 200 ( 47 )

Comprehensive income (loss) including noncontrolling interest 1,718 ( 2,365 ) 4,429 ( 7,979 )

Comprehensive (income) loss attributable to noncontrolling interest ( 3 ) ( 3 ) ( 14 ) ( 14 )

Comprehensive income (loss) attributable to 3M $ 1,715 $ ( 2,368 ) $ 4,415 $ ( 7,993 )

Comprehensive income including noncontrolling interest

Comprehensive (income) attributable to noncontrolling interest

Comprehensive income attributable to 3M

$ 1,316 $ 880

The accompanying Notes to Consolidated Financial Statements are an integral part of this statement.

1 unchanged sentence

Consolidated Balance Sheet

(Dollars in millions, except per share amount) September 30, 2024 December 31, 2023

(Dollars in millions, except per share amount) March 31, 2025 December 31, 2024

Current assets

8 unchanged sentences

Other current assets 778 771

Current assets of discontinued operations — 2,379

Total current assets 15,657 15,884

1 unchanged sentence

accumulated depreciation

( 16,287 ) ( 16,018 )

Property, plant and equipment — net 7,356 7,388

3 unchanged sentences

Other assets 8,829 8,540

Non-current assets of discontinued operations — 11,343

Total assets $ 39,951 $ 39,868

6 unchanged sentences

Other current liabilities 4,540 5,471

Current liabilities of discontinued operations — 1,723

Total current liabilities 9,451 11,256

3 unchanged sentences

Other liabilities 11,451 11,375

Non-current liabilities of discontinued operations — 686

Total liabilities 35,428 35,974

3 unchanged sentences

944,033,056 shares issued

Shares outstanding - September 30, 2024:

Shares outstanding - March 31, 2025:

538,181,362 , December 31, 2024:

3 unchanged sentences

( 34,747 ) ( 34,462 )

Shares at September 30, 2024:

Shares at March 31, 2025:

405,851,694 , December 31, 2024:

7 unchanged sentences

Consolidated Statement of Cash Flows 1

Nine months ended

September 30,

Three months ended

(Millions) 2025 2024

Cash flows from operating activities

Net income (loss) including noncontrolling interest $ 3,460 $ ( 7,926 )

Adjustments to reconcile net income (loss) including noncontrolling interest to net cash provided by operating activities

Net income including noncontrolling interest

$ 1,122 $ 933

Adjustments to reconcile net income including noncontrolling interest to net cash provided by operating activities

Depreciation and amortization 290 430

2 unchanged sentences

Stock-based compensation expense 85 29

Gain on business divestitures — ( 36 )

Deferred income taxes 150 144

11 unchanged sentences

Proceeds from maturities and sale of marketable securities and investments 1,597 388

Proceeds from sale of businesses, net of cash sold — 60

Other — net ( 3 ) ( 28 )

7 unchanged sentences

Dividends paid to shareholders ( 396 ) ( 835 )

Cash transferred to Solventum related to separation, net

Other — net ( 6 ) ( 50 )

16 unchanged sentences

Certain amounts in prior periods’ consolidated financial statements have been reclassified to conform to current period presentation.

Information provided herein reflects the impact of these changes for all applicable periods presented.

• As discussed in Note 2, on April 1, 2024, 3M completed the previously announced separation of its Health Care business (the Separation) through a pro rata distribution of 80.1 % of the outstanding shares of Solventum Corporation (Solventum) to 3M stockholders.

As a result of the Separation, Solventum became an independent public company and 3M no longer consolidates Solventum into 3M’s financial results.

In connection with the Separation, the historical net income of Solventum and applicable assets and liabilities included in the Separation are reported in 3M's consolidated financial statements as discontinued operations.

• 3M made certain changes to the composition of segment information reviewed by 3M's chief operating decision maker (CODM) effective in the second quarter of 2024 largely as a result of the separation of Solventum and changes within its business segments effective in the first quarter of 2024 as further described in Note 19.

To the extent these changes impacted 3M's disclosed disaggregated revenue information, data in Note 3 has also been updated.

In addition, information provided herein reflects the impact of the following changes for all applicable periods presented.

• As discussed in Note 2, on April 1, 2024, 3M completed the previously announced separation of its Health Care business (the Separation) resulting in Solventum becoming an independent public company.

As a result, 3M no longer consolidates Solventum into 3M’s financial results and reports Solventum's historical net income, applicable assets and liabilities in 3M's consolidated financial statements as discontinued operations.

New Accounting Pronouncements:

Refer to Note 1 to the Consolidated Financial Statements in 3M's 2024 Annual Report on Form 10-K for a discussion of applicable standards issued and not yet adopted by 3M.

Relevant New Standards Issued Subsequent to Most Recent Annual Report

In March 2024, the SEC adopted rules under SEC Release No.

33-11275, The Enhancement and Standardization of Climate-Related Disclosures for Investors , which require a registrant to disclose information in annual reports and registration statements about climate-related risks that are reasonably likely to have a material impact on its business, results of operations, or financial condition.

The information would include disclosure of a registrant's greenhouse gas emissions.

In addition, certain disclosures related to severe weather events and other natural conditions would be required in a registrant’s audited financial statements.

Annual disclosure requirements would be effective for 3M as early as the fiscal year beginning January 1, 2025.

However, in April 2024, the SEC voluntarily stayed the final rules pending certain legal challenges.

The Company is evaluating the impact of these rules on its disclosures.

Discontinued Operations

On April 1, 2024, 3M completed the previously announced separation of its Health Care business (the Separation) through a pro rata distribution of 80.1 % of the outstanding shares of Solventum Corporation (Solventum) to 3M stockholders.

The spin-off transaction was intended to be tax-free for U.S.

federal income tax purposes.

To reflect the completion of the spin, 3M recorded a decrease in shareholders equity for the net book value of applicable assets and liabilities included in the Separation, net of the book value of 3M's retained ownership.

As a result of the Separation, Solventum became an independent public company and 3M no longer consolidates Solventum into 3M’s financial results.

Following the Separation, as 3M no longer controls or has the ability to exert significant influence over Solventum, 3M measures, at fair value on a recurring basis, its retained ownership interest in Solventum common stock (see additional information in Note 7).

3M expects to monetize its stake in Solventum over time.

The Company entered into various agreements to effect the Separation and provide for the relationship between 3M and Solventum, including, among others, a separation and distribution agreement;

a tax matters agreement;

and transition service, distribution, and contract manufacturing agreements;

as well as certain commercial supply agreements.

The transition service and distribution agreements have overall terms of two years following the Separation and each may be extended an additional year.

The transition contract manufacturing agreement's term is three years with an ability to extend under certain circumstances.

Supply agreements, by which each company may provide product to the other, have initial three-year terms, but may extend for particular products up to ten or twelve years following the Separation, under certain circumstances.

In addition, the companies had certain amounts due between them as of the Separation date.

3M continuing involvement with Solventum in the form of net sales under supply agreements and income from transition agreements is reflected in amounts disclosed in Note 19 relative to "Corporate and Unallocated" (recorded as net sales and associated costs) and "Other" (recorded as a direct offset to associated costs), respectively.

Solventum transition agreement income for the three months ended September 30, 2024 included in "Other" was approximately $ 5 million (approximately $ 0.2 billion gross fees, net of assigned costs).

Transition agreement income for the nine months ended September 30, 2024 included in "Other" was approximately $ 40 million (approximately $ 0.4 billion gross fees, net of assigned costs).

On April 1, 2024, 3M completed the separation of its Health Care business (the Separation) through a pro rata distribution of 80.1 % of the outstanding shares of Solventum Corporation (Solventum) to 3M stockholders.

As a result, Solventum became an independent public company, 3M no longer consolidates Solventum into 3M’s financial results and the historical net income of Solventum and applicable assets and liabilities included in the Separation are reported in 3M's consolidated financial statements as discontinued operations.

Refer to Note 2 to the Consolidated Financial Statements in 3M's 2024 Annual Report on Form 10-K for more information regarding the Separation and the various agreements (supply, transition and other agreements) that provide for the relationship between 3M and Solventum.

3M continuing involvement with Solventum in the form of net sales under supply agreements and income from transition agreements is reflected in amounts disclosed in "Corporate and Other" in Note 19, recorded as net sales and associated costs and recorded as a direct offset to associated costs within selling, general and administrative expenses, respectively.

Solventum transition agreement income for the first three months of 2025 was approximately $ 50 million (approximately $ 0.2 billion gross fees, net of assigned costs).

Transition services or purchases from Solventum are not material to 3M.

Amounts due from Solventum and amounts due to Solventum under the agreements described above were approximately $ 0.5 billion and $ 0.2 billion, respectively, as of September 30, 2024.

Information regarding net income (loss) from discontinued operations, net of taxes includes the following noting there was no material income (loss) from discontinued operations for the three months ended September 30, 2024:

Amounts due from Solventum and amounts due to Solventum under the agreements referenced above were approximately $ 0.4 billion and $ 0.2 billion, respectively, as of March 31, 2025 and as of December 31, 2024.

Information regarding net income from discontinued operations, net of taxes includes the following:

Three months ended

September 30, Nine months ended

September 30,

Net Income (Loss) from Discontinued Operations, Net of Taxes (millions)

2023 2024 2023

$ 2,042 $ 1,987 $ 6,060

Net income from discontinued operations, net of taxes (millions)

Cost of sales 844

Other operating expenses

736 837 2,232

Other expense (income), net

( 6 ) 44 ( 17 )

Income (loss) from discontinued operations before income taxes

448 262 1,234

Income from discontinued operations before income taxes 308

Provision for income taxes 85

Net income (loss) from discontinued operations, net of taxes

$ 452 $ 164 $ 1,096

Major classes of assets and liabilities of discontinued operations include the following:

Assets and Liabilities of Discontinued Operations (millions)

December 31, 2023

Cash and cash equivalents $ 198

Marketable securities — current 3

Accounts receivable — net 1,149

Inventories 878

Other current assets 151

Current assets of discontinued operations 2,379

Property, plant and equipment — net 1,469

Operating lease right of use assets 102

Goodwill 6,545

Intangible assets — net 2,903

Other assets 324

Non-current assets of discontinued operations 11,343

Accounts payable 469

Accrued payroll 209

Accrued income taxes 61

Operating lease liabilities — current 33

Other current liabilities 951

Current liabilities of discontinued operations 1,723

Pension and postretirement benefits 315

Operating lease liabilities 70

Other liabilities 301

Non-current liabilities of discontinued operations $ 686

Net income from discontinued operations, net of taxes $ 223

Cash flows related to discontinued operations have not been segregated, and are included in the Consolidated Statement of Cash Flows for all periods presented.

Selected financial information related to cash flows from discontinued operations is below.

Nine months ended

September 30,

Three months ended

Selected Cash Flow Information from Discontinued Operations (millions)

4 unchanged sentences

Three months ended

September 30, Nine months ended

September 30,

Net Sales by Division (millions) 2024 2023 2024 2023

Net sales (millions)

Abrasives $ 317 $ 328

3 unchanged sentences

Industrial Specialties Division

287 290 856 896

Personal Safety 850 857

4 unchanged sentences

Commercial Branding and Transportation

659 652 1,941 1,962

Electronics 681 725

5 unchanged sentences

Total Consumer Business segment

1,299 1,315 3,702 3,800

Corporate and Unallocated 81 26 193 71

Other 8 7 26 30

Corporate and Other

Total company

$ 5,954 $ 6,016

Three months ended

September 30, Nine months ended

September 30,

Net sales by geographic area (millions)

3 unchanged sentences

Worldwide $ 5,954 $ 6,016

Americas included United States net sales to customers of $ 2.8 billion and $ 8.1 billion for the three and nine months ended September 30, 2024, respectively, and $ 2.7 billion and $ 8.0 billion for the three and nine months ended September 30, 2023, respectively.

Asia Pacific included China/Hong Kong net sales to customers of $ 0.7 billion and $ 2.1 billion for the three and nine months ended September 30, 2024, respectively, and $ 0.7 billion and $ 2.0 billion for the three and nine months ended September 30, 2023, respectively.

Americas included United States net sales to customers of $ 2.6 billion and $ 2.5 billion for the three months ended March 31, 2025 and 2024, respectively.

Asia Pacific included China/Hong Kong net sales to customers of $ 0.7 billion for the three months ended March 31, 2025 and 2024.

Refer to Note 4 to the Consolidated Financial Statements in 3M's 2024 Annual Report on Form 10-K for more information on relevant pre-2025 divestitures.

One of the 2023 divestitures, the dental local anesthetic business, mentioned therein was part of the former Health Care business segment.

Because this anesthetic business was divested prior to the separation of Solventum, its operations are not reflected as discontinued operations and instead are reflected herein as part of "Other" for all applicable periods presented as discussed in Note 19.

See Note 2 for additional detail, including information regarding reporting the historical net income of Solventum and applicable assets and liabilities included in the Separation in 3M's consolidated financial statements as discontinued operations.

Goodwill and Intangible Assets

The change in the carrying amount of goodwill by business segment was as follows:

(Millions) Safety and Industrial Transportation and Electronics Consumer Corporate and Unallocated

(Millions) Safety and Industrial Transportation and Electronics Consumer Corporate and Other

Total company

1 unchanged sentence

Translation and other 38 12 6 — 56

Balance as of September 30, 2024 $ 4,545 $ 1,521 $ 271 $ 58 $ 6,395

Balance as of March 31, 2025 $ 4,507 $ 1,508 $ 264 $ 58 $ 6,337

The amounts in the “Translation and other” row in the above table primarily relate to changes in foreign currency exchange rates.

As of September 30, 2024, the Company's accumulated goodwill impairment loss is $ 0.3 billion.

As of March 31, 2025, the Company's accumulated goodwill impairment loss is $ 0.3 billion.

Acquired Intangible Assets:

The carrying amount and accumulated amortization of acquired finite-lived intangible assets, in addition to the balance of non-amortizable intangible assets follow:

(Millions) September 30, 2024 December 31, 2023

(Millions) March 31, 2025 December 31, 2024

Customer related $ 1,331 $ 1,319

15 unchanged sentences

Three months ended

September 30, Nine months ended

September 30,

(Millions) 2025 2024

Amortization expense $ 26 $ 27

Expected amortization expense for acquired amortizable intangible assets recorded as of September 30, 2024 follows:

Expected amortization expense for acquired amortizable intangible assets recorded as of March 31, 2025 follows:

(Millions) Remainder of 2025

4 unchanged sentences

2023 to 2025 Structural Reorganization Actions:

As described in Note 5 in 3M's 2023 Annual Report on Form 10-K, in the first quarter of 2023, 3M announced it would undertake structural reorganization actions to reduce the size of the corporate center of the Company, simplify supply chain, streamline 3M’s geographic footprint, reduce layers of management, further align business go-to-market models to customers, and reduce manufacturing roles to align with production volumes.

This aggregate initiative, beginning in the first quarter of 2023 and continuing through 2025, is expected (as updated to exclude discontinued operations) to impact approximately 8,000 positions worldwide with an expected pre-tax charge of $ 700 million to $ 800 million over that period.

During 2023, management approved and committed to undertake associated actions resulting in a 2023 pre-tax charge of $ 415 million.

During 2024, management approved and committed to undertake additional actions under this initiative impacting approximately 900 positions resulting in a pre-tax charge of $ 40 million and $ 178 million in the third quarter and nine months ended September 30, 2024, respectively.

Since its beginning in 2023 through committed third quarter 2024 actions, this initiative has impacted approximately 6,600 positions worldwide.

Remaining activities related to the restructuring actions approved and committed through September 30, 2024 under this initiative are expected to be completed in 2025.

As described in Note 6 in 3M's 2024 Annual Report on Form 10-K, in 2023, 3M announced it would undertake structural reorganization actions to reduce the size of the corporate center of the Company, simplify supply chain, streamline 3M’s geographic footprint, reduce layers of management, further align business go-to-market models to customers, and reduce manufacturing roles to align with production volumes.

During 2024, management approved and committed to undertake additional actions under this initiative impacting approximately 1,100 positions and other actions resulting in a pre-tax charge of $ 187 million, the relevant portion of which relating to the first quarter is indicated in the table below.

In the first quarter of 2025, management approved and committed to undertake additional actions resulting in a pre-tax charge as indicated in the table below.

Since its beginning in 2023 through committed first quarter 2025 actions, this initiative impacted approximately 6,800 positions worldwide.

Remaining activities related to the restructuring actions approved and committed through March 31, 2025 under this initiative are expected to be largely completed in 2025.

3M expects to commit to further actions under this initiative.

1 unchanged sentence

Three months ended

September 30, Nine months ended

September 30,

(Millions) 2025 2024

4 unchanged sentences

The business segment operating income (loss) impact of these restructuring charges is summarized as follows:

Three months ended September 30,

(Millions) Employee Related Asset-Related and Other Total Employee Related Asset-Related and Other Total

Safety and Industrial $ 15 $ 3 $ 18 $ 10 $ — $ 10

Transportation and Electronics 8 1 9 9 — 9

Consumer 4 9 13 3 — 3

Corporate and unallocated — — — 4 32 36

Total operating expense $ 27 $ 13 $ 40 $ 26 $ 32 $ 58

Nine months ended September 30,

(Millions) Employee Related Asset-Related and Other Total Employee Related Asset-Related and Other Total

Three months ended March 31,

(Millions) Employee related

Employee related

Asset-related and other

Safety and Industrial $ 6 $ 26 $ 20 $ 46

1 unchanged sentence

Consumer 3 5 9 14

Corporate and unallocated 6 14 20 129 52 181

Corporate and Other

Total operating expense $ 13 $ 46 $ 57 $ 103

Restructuring actions, including cash and non-cash impacts, follow:

(Millions) Employee-Related Asset-Related and Other Total

(Millions) Employee-related

Accrued restructuring action balance as of December 31, 2024

$ 99 $ — $ 99

Incremental expense incurred in the first quarter of 2024

Incremental expense incurred in the second quarter of 2024 24 11 35

Incremental expense incurred in the third quarter of 2024

Non-cash changes — ( 81 ) ( 81 )

Incremental expense (benefit) incurred in the first quarter of 2025

Cash payments ( 27 )

Accrued restructuring action balance as of September 30, 2024

$ 81 $ — $ 81

Accrued restructuring action balance as of March 31, 2025

2023 to 2025 PFAS Exit Actions:

As described in Note 5 in 3M's 2023 Annual Report on Form 10-K, 3M announced in 2022 that it will exit all PFAS manufacturing by the end of 2025.

In 2023, 3M management approved and committed to undertake certain related workforce actions resulting in a pre-tax charge of $ 64 million ($ 40 million and $ 24 million in the third and fourth quarter respectively) primarily impacting cost of sales.

During 2024, management approved and committed to undertake additional related workforce actions impacting approximately 100 positions resulting in a pre-tax charge of $ 7 million and $ 19 million primarily impacting cost of sales in the third quarter and nine months ended September 30, 2024, respectively.

These charges are reflected within the Transportation and Electronics business segment.

This initiative, beginning in 2023 through committed third quarter 2024 actions, has impacted approximately 650 positions worldwide.

As described in Note 6 in 3M's 2024 Annual Report on Form 10-K, 3M announced in 2022 that it will exit all PFAS manufacturing by the end of 2025 and began related workforce actions in 2023.

In the first quarter of 2024, management approved and committed to undertake actions resulting in an immaterial pre-tax charge.

During the first quarter of 2025, such actions resulted in a pre-tax charge as indicated in the table below.

These charges were reflected within the Transportation and Electronics business segment and primarily impacted cost of sales.

This initiative, beginning in 2023 through committed 2025 actions, impacted approximately 1,200 positions worldwide.

The remaining period of activities related to these approved and committed actions aligns with 3M's PFAS exit timeframe.

2 unchanged sentences

Incremental expense incurred in the first quarter of 2025

Incremental expense incurred in the second quarter of 2024

Incremental expense incurred in the third quarter of 2024

Cash payments ( 12 )

Accrued restructuring action balance as of September 30, 2024

Supplemental Income (Loss) Statement Information

Accrued restructuring action balance as of March 31, 2025

Supplemental Income Statement Information

Other expense (income), net consists of the following:

Three months ended

September 30, Nine months ended

September 30,

(Millions) 2025 2024

3 unchanged sentences

Solventum ownership - change in value

( 581 ) — ( 1,694 ) —

Total $ ( 139 ) $ 220

Beginning in the second quarter and third quarter of 2023, interest expense also includes imputed interest associated with the obligations resulting from the PWS Settlement and the CAE Settlement, respectively (discussed in Note 17).

Interest expense includes $ 110 million and $ 137 million during the three months ended March 31, 2025 and 2024, respectively, related to outstanding debt.

Interest expense also includes imputed interest associated with the obligations resulting from the PWS Settlement and the CAE Settlement (discussed in Note 17).

Pension and postretirement net periodic benefit income described in the table above include all components of defined benefit plan net periodic benefit cost (benefit) except service cost, which is reported in various operating expense lines.

The non-service cost component above for the nine months ended September 30, 2024 was impacted by a $ 795 million pension settlement charge.

Refer to Note 13 for additional details on the components of pension and postretirement net periodic benefit cost (benefit).

1 unchanged sentence

Solventum separated from 3M in April 2024 (discussed in Note 2).

At September 30, 2024, the balance of net unrealized gain on this investment is $ 1.7 billion.

Supplemental Equity and Comprehensive Income (Loss) Information

Cash dividends declared and paid totaled $ 1.51 for the first quarter of 2024 and $ 0.70 for each of the second and third quarters of 2024, respectively, and $ 1.50 per share for each of the first, second and third quarters of 2023, or $ 2.91 and $ 4.50 per share for the first nine months of 2024 and 2023, respectively.

The table below presents the consolidated changes in equity for three and nine months ended September 30, 2024 and 2023:

3M Company Shareholders

(Millions) Total Common Stock and Additional Paid-in Capital Retained Earnings Treasury Stock Accumulated Other Comprehensive Income (Loss) Non-controlling Interest

Balance at June 30, 2024

$ 3,988 $ 7,155 $ 35,475 $ ( 33,147 ) $ ( 5,567 ) $ 72

Net income (loss) 1,376 1,372 4

Other comprehensive income (loss), net of tax

342 343 ( 1 )

Solventum spin-off

Dividends declared ( 383 ) ( 383 )

Stock-based compensation 36 36

Reacquired stock ( 684 ) ( 684 )

Dividend to noncontrolling interest ( 23 ) ( 23 )

Issuances pursuant to stock option and benefit plans 38 ( 9 ) 47

Balance at September 30, 2024

$ 4,694 $ 7,191 $ 36,459 $ ( 33,784 ) $ ( 5,224 ) $ 52

Balance at June 30, 2023

$ 7,857 $ 6,867 $ 40,290 $ ( 32,926 ) $ ( 6,433 ) $ 59

Net income (loss)

( 2,071 ) ( 2,075 ) 4

Other comprehensive income (loss), net of tax ( 294 ) ( 293 ) ( 1 )

Dividends declared ( 828 ) ( 828 )

Stock-based compensation 45 45

Reacquired stock ( 2 ) ( 2 )

Dividend to non controlling interest

Issuances pursuant to stock option and benefit plans 27 ( 12 ) 39

Balance at September 30, 2023

$ 4,731 $ 6,912 $ 37,375 $ ( 32,889 ) $ ( 6,726 ) $ 59

3M Company Shareholders

(Millions) Total Common Stock and Additional Paid-in Capital Retained Earnings Treasury Stock Accumulated Other Comprehensive Income (Loss) Non-controlling Interest

At March 31, 2025, the balance of unrealized gain on this investment is $ 1.9 billion.

Supplemental Equity and Comprehensive Income Information

Cash dividends declared and paid totaled $ 0.73 and $ 1.51 per share for the first quarter of 2025 and 2024, respectively.

The table below presents the consolidated changes in equity for three months ended March 31, 2025 and 2024:

3M Company Shareholders Non-controlling interest

(Millions) Total Common stock and additional paid-in capital

Retained earnings

Treasury stock

Accumulated other comprehensive income (loss)

Balance at December 31, 2024

$ 3,894 $ 7,238 $ 36,797 $ ( 34,462 ) $ ( 5,731 ) $ 52

Net income (loss) 3,460 3,445 15

Total other comprehensive income (loss), net of tax 969 970 ( 1 )

Solventum spin-off

( 2,165 ) ( 2,749 ) 584

Net income 1,122 1,116 6

Other comprehensive income (loss), net of tax 200 200 —

Dividends declared ( 396 ) ( 396 )

Purchase of non-controlling interest 1 — 1

Stock-based compensation 72 72

Reacquired stock ( 1,275 ) ( 1,275 )

Dividend to noncontrolling interest

( 23 ) ( 23 )

Issuances pursuant to stock option and benefit plans 905 ( 85 ) 990

Balance at September 30, 2024

Balance at March 31, 2025

$ 4,523 $ 7,310 $ 37,432 $ ( 34,747 ) $ ( 5,531 ) $ 59

1 unchanged sentence

$ 4,868 $ 6,965 $ 37,479 $ ( 32,859 ) $ ( 6,778 ) $ 61

Net income (loss)

( 7,926 ) ( 7,940 ) 14

Total other comprehensive income (loss), net of tax ( 53 ) ( 53 ) —

Other comprehensive income (loss), net of tax ( 47 ) ( 48 ) 1

Dividends declared ( 835 ) ( 835 )

1 unchanged sentence

Reacquired stock ( 21 ) ( 21 )

Dividend to noncontrolling interest

Issuances pursuant to stock option and benefit plans 18 ( 100 ) 118

Balance at September 30, 2023

$ 4,731 $ 6,912 $ 37,375 $ ( 32,889 ) $ ( 6,726 ) $ 59

The table below presents the changes in accumulated other comprehensive income (loss) attributable to 3M (AOCI), including the reclassifications out of AOCI by component for three and nine months ended September 30, 2024 and 2023:

(Millions) Cumulative Translation Adjustment Defined Benefit Pension and Postretirement Plans Adjustment Cash Flow Hedging Instruments, Unrealized Gain (Loss) Total Accumulated Other Comprehensive Income (Loss)

Balance at June 30, 2024, net of tax:

$ ( 2,795 ) $ ( 2,737 ) $ ( 35 ) $ ( 5,567 )

Other comprehensive income (loss), before tax:

Amounts before reclassifications 331 — ( 70 ) 261

Amounts reclassified out — 63 ( 21 ) 42

Total other comprehensive income (loss), before tax 331 63 ( 91 ) 303

38 ( 15 ) 17 40

Total other comprehensive income (loss), net of tax 369 48 ( 74 ) 343

Balance at September 30, 2024, net of tax:

$ ( 2,426 ) $ ( 2,689 ) $ ( 109 ) $ ( 5,224 )

Balance at June 30, 2023, net of tax:

$ ( 2,688 ) $ ( 3,737 ) $ ( 8 ) $ ( 6,433 )

Other comprehensive income (loss), before tax:

Amounts before reclassifications ( 340 ) — 66 ( 274 )

Amounts reclassified out — 65 ( 38 ) 27

Total other comprehensive income (loss), before tax ( 340 ) 65 28 ( 247 )

( 24 ) ( 15 ) ( 7 ) ( 46 )

Total other comprehensive income (loss), net of tax ( 364 ) 50 21 ( 293 )

Balance at September 30, 2023, net of tax:

Balance at March 31, 2024

$ 4,933 $ 6,982 $ 37,472 $ ( 32,762 ) $ ( 6,826 ) $ 67

(Millions) Cumulative translation adjustment

Defined benefit pension and postretirement plans adjustment

Cash flow hedging instruments, unrealized gain (loss)

Total accumulated other comprehensive income (loss)

Balance at December 31, 2024, net of tax:

6 unchanged sentences

Total other comprehensive income (loss), net of tax 171 58 ( 29 ) 200

Solventum spin-off

Balance at September 30, 2024, net of tax:

Balance at March 31, 2025, net of tax:

$ ( 2,782 ) $ ( 2,705 ) $ ( 44 ) $ ( 5,531 )

7 unchanged sentences

Total other comprehensive income (loss), net of tax ( 209 ) 135 26 ( 48 )

Balance at September 30, 2023, net of tax:

Balance at March 31, 2024, net of tax:

$ ( 2,715 ) $ ( 4,083 ) $ ( 28 ) $ ( 6,826 )

2 Includes tax expense (benefit) reclassified out of AOCI related to the following:

Three months ended September 30, Nine months ended September 30,

Three months ended March 31,

(millions) 2025 2024

Cumulative translation adjustment

$ — $ — $ — $ —

Defined benefit pension and postretirement plans adjustment ( 18 ) ( 13 )

Cash flow hedging instruments, unrealized gain/loss 5 9 18 27

Cash flow hedging instruments, realized gain/loss

Income taxes are not provided for foreign translation relating to permanent investments in international subsidiaries, but tax effects within cumulative translation do include impacts from items such as net investment hedge transactions.

6 unchanged sentences

amounts were reclassified into other (expense) income, net (see Note 13).

• Cash flow hedging instruments, unrealized gain (loss):

• Cash flow hedging instruments, realized gain (loss):

foreign currency forward/option contacts amounts were reclassified into cost of sales;

1 unchanged sentence

• The tax effects, if applicable, associated with these reclassifications were reflected in provision for income taxes.

The effective tax rate on a continuing operations basis for the third quarter of 2024 was 20.3 percent on pre-tax income compared to 23.5 percent on a pre-tax loss in the prior year.

The effective tax rate for the first nine months of 2024 was 19.0 percent compared to 24.3 percent on a pre-tax loss in the prior year.

The primary factors that impacted the comparison of these rates year-over-year were the third quarter 2023 charge related to the settlement agreement to resolve CAE litigation (see Note 17), second quarter 2023 charge related to the settlement agreement with public water systems in the United States regarding PFAS (see Note 17), and the tax rate associated with the 2024 benefit related to the change in value of the retained ownership interest in Solventum.

The total amounts of unrecognized tax benefits that, if recognized, would affect the effective tax rate as of September 30, 2024 and December 31, 2023 on a continuing operations basis are $ 710 million and $ 671 million, respectively.

The effective tax rate for the first quarter of 2025 was 19.1 percent, a decrease from 23.7 percent in the prior year.

The primary factors that decreased the Company's effective tax rate for first quarter 2025 were the effective tax rate benefit on the change in value of 3M's retained ownership interest in Solventum offset by the effective tax rate on the PWS and CAE Settlements (as discussed in Note 17) and implementation of Pillar Two Model Rules published by the Organization for Economic Cooperation and Development (OECD).

The total amounts of unrecognized tax benefits that, if recognized, would affect the effective tax rate as of March 31, 2025 and December 31, 2024 are $ 669 million and $ 686 million, respectively.

It is reasonably possible that the amount of unrecognized tax benefits could significantly change within the next 12 months.

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Net deferred tax assets are included as components of Other Assets and Other Liabilities within the Consolidated Balance Sheet.

As of September 30, 2024, 3M's net non current deferred tax asset balance was approximately $ 3.9 billion.

This included a balance of approximately $ 3.0 billion as a result of the 2023 pre-tax charges related to the PWS Settlement and the CAE Settlement (both discussed in Note 17).

As of September 30, 2024 and December 31, 2023, on a continuing operations basis, the Company had valuation allowances of $ 1.1 billion and $ 0.7 billion on its deferred tax assets, respectively, with the amounts impacted beginning in 2024 by a valuation allowance related to the difference in basis of the retained ownership interest in Solventum.

In connection with the completion of the separation of Solventum in April 2024, 3M re-evaluated its global cash needs and certain unrepatriated earnings were no longer considered permanently reinvested, which resulted in a charge of approximately $ 100 million in the second quarter of 2024.

Thereafter, 3M provides for income taxes associated with foreign earnings in certain subsidiaries that are not considered permanently reinvested.

The Company has not provided deferred taxes on approximately $ 1.0 billion of undistributed earnings from non-U.S.

subsidiaries as of September 30, 2024 which are indefinitely reinvested in operations.

Because of the multiple avenues by which to repatriate the earnings to minimize tax cost, and because a large portion of these earnings are not liquid, it is not practical to determine the income tax liability that would be payable if such earnings were not reinvested indefinitely.

In 2021, the Organization for Economic Cooperation and Development (OECD) published Pillar Two Model Rules defining a global minimum tax, which calls for the taxation of large corporations at a minimum rate of 15%.

The OECD has since issued administrative guidance providing transition and safe harbor rules around the implementation of the Pillar Two global minimum tax.

Effective January 1, 2024, a number of countries have proposed or enacted legislation to implement core elements of the Pillar Two proposal.

Pillar Two did not have a significant impact on 3M's third quarter 2024 results.

While 3M is monitoring developments and evaluating the potential impact on future periods, 3M does not expect Pillar Two to have a significant impact on its 2024 financial results.

Earnings (Loss) Per Share

As of March 31, 2025, 3M's net non-current deferred tax asset balance was approximately $ 4.0 billion.

This included a balance of approximately $ 2.6 billion as a result of the 2023 pre-tax charges related to the PWS and CAE Settlements (as discussed in Note 17).

As of March 31, 2025 and December 31, 2024, the Company had valuation allowances of $ 1.0 billion and $ 1.1 billion on its deferred tax assets, respectively, with the amounts impacted by a valuation allowance related to the difference in basis of the retained ownership interest in Solventum.

Earnings Per Share

The difference in the weighted average 3M shares outstanding for calculating basic and diluted earnings per share attributable to 3M common shareholders is the result of the dilution associated with the Company’s stock-based compensation plans.

Certain awards outstanding under these stock-based compensation plans were not included in the computation of diluted earnings per share attributable to 3M common shareholders because they would have had an anti-dilutive effect of 31.1 million and 32.3 million average options for the three and nine months ended September 30, 2024, respectively, and 35.6 million and 36.0 million average options for the three and nine months ended September 30, 2023, respectively.

In periods of net losses, these anti-dilutive effects include all weighted option shares outstanding and weighted average shares is the same for the calculations of both basic and diluted loss per share.

The computations for basic and diluted earnings (loss) per share follow:

Certain awards outstanding under these stock-based compensation plans were not included in the computation of diluted earnings per share attributable to 3M common shareholders because they would have had an anti-dilutive effect of 14.6 million and 32.8 million average options for the three months ended March 31, 2025 and 2024, respectively.

The computations for basic and diluted earnings per share follow:

Three months ended

September 30, Nine months ended

September 30,

(Amounts in millions, except per share amounts) 2025 2024

Net income (loss) from continuing operations attributable to 3M $ 1,372 $ ( 2,527 ) $ 3,281 $ ( 9,036 )

Net income (loss) from discontinued operations, net of taxes

Net income from continuing operations attributable to 3M

$ 1,116 $ 705

Net income (loss) attributable to 3M $ 1,372 $ ( 2,075 ) $ 3,445 $ ( 7,940 )

Denominator for weighted average 3M common shares outstanding – basic

Net income from discontinued operations, net of taxes

Net income attributable to 3M

$ 1,116 $ 928

Denominator for weighted average 3M common shares outstanding – basic

Dilution associated with stock-based compensation plans

Denominator for weighted average 3M common shares outstanding – diluted

552.7 554.3 554.5 553.7

Earnings (loss) per share attributable to 3M common shareholders:

Earnings (loss) per share from continuing operations — basic

$ 2.49 $ ( 4.56 ) $ 5.93 $ ( 16.32 )

Earnings (loss) per share from discontinued operations — basic

Earnings per share attributable to 3M common shareholders:

Earnings per share from continuing operations — basic

$ 2.05 $ 1.27

Earnings (loss) per share — basic

Earnings per share from discontinued operations — basic

Earnings per share — basic

$ 2.05 $ 1.67

Earnings (loss) per share from continuing operations — diluted

Earnings per share from continuing operations — diluted

$ 2.04 $ 1.27

Earnings (loss) per share from discontinued operations — diluted

Earnings per share from discontinued operations — diluted

Earnings per share — diluted

$ 2.04 $ 1.67

Earnings (loss) per share — diluted $ 2.48 $ ( 3.74 ) $ 6.21 $ ( 14.34 )

Marketable Securities

1 unchanged sentence

The following is a summary of amounts recorded on the Consolidated Balance Sheet for marketable securities (current and non-current).

(Millions) September 30, 2024 December 31, 2023

(Millions) March 31, 2025 December 31, 2024

Asset backed securities

10 unchanged sentences

Total marketable securities $ 714 $ 2,144

At September 30, 2024 and December 31, 2023, gross unrealized, gross realized, and net realized gains and/or losses (pre-tax) were not material.

The balances at September 30, 2024 for marketable securities by contractual maturity are shown below.

At March 31, 2025 and December 31, 2024, gross unrealized, gross realized, and net realized gains and/or losses (pre-tax) were not material.

The balances at March 31, 2025 for marketable securities by contractual maturity are shown below.

Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties.

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The Consolidated Statements of Cash Flows include the results of continuing and discontinued operations and, therefore, information regarding similar debt-related activity for 2024 includes activity associated with Solventum through its April 2024 Separation.

The Company had no commercial paper outstanding at September 30, 2024, compared to $ 1.8 billion commercial paper outstanding as of December 31, 2023.

In the first quarter of 2024, Solventum, prior to the Separation discussed in Note 2, issued a total of $ 8.4 billion in aggregate principal amount of senior unsecured debt and term loans.

Also during the first quarter of 2024, Solventum further entered into a revolving credit facility of $ 2 billion which was undrawn as of March 31, 2024.

These Solventum items were guaranteed by 3M until the completion of the Separation on April 1, 2024 and obligations under these notes, loans and facilities became, as transferred obligations, the sole responsibility of Solventum after the Separation.

In February 2024, 3M repaid $ 1.1 billion aggregate principal amount of medium-term notes that matured.

The Company had no commercial paper outstanding at March 31, 2025 and December 31, 2024.

In March 2025, 3M issued $ 1.1 billion aggregate principal amount of fixed rate unsecured notes.

These were comprised of $ 550 million of 5-year notes due 2030 with a coupon rate of 4.80 % and $ 550 million of 10-year notes due 2035 with a coupon rate of 5.15 %.

In February 2025, 3M repaid $ 750 million aggregate principal amount of fixed rate unsecured notes that matured.

Future Maturities of Long-term Debt:

Maturities of long-term debt in the table below reflect the impact of put provisions associated with certain debt instruments and are net of the unamortized debt issue costs such that total maturities equal the carrying value of long-term debt as of September 30, 2024.

The maturities of long-term debt for the periods subsequent to September 30, 2024 are as follows (in millions):

The maturities of long-term debt for the periods subsequent to March 31, 2025 are as follows (in millions):

Remainder of 2025

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Effective April 1, 2024, approximately $ 2.7 billion of benefit obligations and $ 2.4 billion of plan assets for certain pension and postretirement benefit plans, were transferred to Solventum, which is treated as a discontinued operation.

Components of net periodic benefit cost and other supplemental information for the three and nine months ended September 30, 2024 and 2023 follow:

Three months ended September 30,

Qualified and Non-qualified Pension Benefits Postretirement Benefits

United States International

(Millions) 2024 2023 2024 2023 2024 2023

Net periodic benefit cost (benefit)

Operating expense

Service cost $ 28 $ 42 $ 15 $ 21 $ 5 $ 6

Non-operating expense

Interest cost 110 166 50 56 20 21

Expected return on plan assets ( 140 ) ( 243 ) ( 81 ) ( 76 ) ( 15 ) ( 20 )

Amortization of transition asset — — — 1 — —

Amortization of prior service benefit ( 3 ) ( 6 ) — — ( 6 ) ( 7 )

Amortization of net actuarial loss 64 73 3 2 5 2

Settlements, curtailments, special termination benefits and other — — — — — —

Total non-operating expense (benefit) 31 ( 10 ) ( 28 ) ( 17 ) 4 ( 4 )

Total net periodic benefit cost (benefit) 59 32 ( 13 ) 4 9 2

Service cost - continuing operations $ 28 $ 34 $ 15 $ 17 $ 5 $ 5

Service cost - discontinued operations

Total service cost

28 42 15 21 5 6

Non-operating expense (benefit) - continuing operations

31 ( 6 ) ( 28 ) ( 17 ) 4 ( 3 )

Non-operating expense (benefit) - discontinued operations — ( 4 ) — — — ( 1 )

Total non-operating expense (benefit)

31 ( 10 ) ( 28 ) ( 17 ) 4 ( 4 )

Total net periodic benefit cost (benefit) - continuing operations 59 28 ( 13 ) — 9 2

Total net periodic benefit cost (benefit) - discontinued operations

Total net periodic benefit cost (benefit)

$ 59 $ 32 $ ( 13 ) $ 4 $ 9 $ 2

Nine months ended September 30,

Qualified and Non-qualified Pension Benefits Postretirement Benefits

Components of net periodic benefit cost and other supplemental information for the three months ended March 31, 2025 and 2024 follow:

Three months ended March 31,

Qualified and non-qualified pension benefits

Postretirement benefits

United States International

9 unchanged sentences

Amortization of net actuarial loss 69 95 2 3 5 6

Settlements, curtailments, special termination benefits and other 795 — — — — —

Total non-operating expense (benefit) 35 14 ( 16 ) ( 28 ) 9 3

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Service cost - discontinued operations — 7 — 5 — 1

7 24 5 12 1 3

Total service cost $ 26 $ 37 $ 11 $ 21 $ 4 $ 7

94 128 50 60 17 18

Non-operating expense (benefit) - continuing operations 35 14 ( 16 ) ( 28 ) 9 3

864 ( 20 ) ( 83 ) ( 50 ) 11 ( 7 )

Non-operating expense (benefit) - discontinued operations — — — — — —

Total non-operating expense (benefit) $ 35 $ 14 $ ( 16 ) $ ( 28 ) $ 9 $ 3

864 ( 32 ) ( 83 ) ( 52 ) 11 ( 9 )

Total net periodic benefit cost (benefit) - continuing operations 61 44 ( 5 ) ( 12 ) 13 9

Total net periodic benefit cost (benefit) - discontinued operations — 7 — 5 — 1

7 12 5 10 1 1

Total net periodic benefit cost (benefit) $ 61 $ 51 $ ( 5 ) $ ( 7 ) $ 13 $ 10

$ 958 $ 96 $ ( 33 ) $ 8 $ 28 $ 9

For the nine months ended September 30, 2024 contributions totaling $ 108 million were made to the Company’s U.S.

and international pension plans and $ 8 million to its postretirement plans, including discontinued operations.

For the three months ended March 31, 2025 contributions totaling $ 20 million were made to the Company’s U.S.

and international pension plans and $ 3 million to its postretirement plans.

Future contributions will depend on market conditions, interest rates and other factors.

3M does not expect the previously disclosed range of $ 100 million to $ 200 million of expected 2024 cash contributions to its U.S.

and international retirement plans to be materially impacted by the April 1, 2024 separation of Solventum (see Note 2).

3M’s annual measurement date for pension and postretirement assets and liabilities is December 31 each year, which is also the date used for the related annual measurement assumptions.

In the second quarter of 2024, 3M recorded a non-cash pension settlement charge of approximately $ 795 million reflected in other expense (income), net as a result of transferring approximately $ 2.5 billion of its U.S.

pension payment obligations and related plan assets to an insurance company.

The pension risk transfer required remeasurement of the plan prior to the calculation of the settlement charge.

The net impact of the pension risk transfer and the remeasurement was a decrease of approximately $ 220 million in the non-current liability for pensions (and corresponding decrease in accumulated comprehensive loss, before deferred taxes).

Assumptions used for this remeasurement included discount rates determined using June 30, 2024 market conditions and calculated using the same methodology as disclosed in Note 14 to the Consolidated Financial Statements in 3M's 2023 Annual Report on Form 10-K.

Using this methodology, the Company determined a discount rate of 5.43 % for the U.S.

pension plan as of June 30, 2024.

The Company also reduced the expected return on assets assumption determined using June 30, 2024 market conditions and calculated using the same methodology as used at the annual measurement as of December 31, 2023.

All other assumptions were consistent with the December 31, 2023 disclosures.

This remeasurement impacts net periodic benefit cost for the remainder of 2024.

As of March 31, 2024, 3M transferred eligible U.S.

2 unchanged sentences

The transfer required remeasurement of the plans prior to the calculation of this split.

The net impact of the remeasurement was a decrease of approximately $ 70 million in the non-current liability for pension and postretirement benefits (and corresponding decrease in accumulated comprehensive loss, before deferred taxes).

Assumptions used for this remeasurement included discount rates determined using March 31, 2024 market conditions and calculated using the same methodology as disclosed in Note 14 to the Consolidated Financial Statements in 3M's 2023 Annual Report on Form 10-K.

All other assumptions were consistent with the December 31, 2023 disclosures.

Using this methodology, the Company determined a discount rate of 5.22 % for the U.S.

pension plans and 5.19 % for the U.S.

postretirement benefit plans as of March 31, 2024, which are increases of 0.24 percentage points and 0.25 percentage points, respectively, from the rates used as of December 31, 2023.

This remeasurement did not impact consolidated income for the three months ended March 31, 2024, but will impact net periodic benefit cost for the remainder of 2024.

As of March 31, 2024, there were several small international pension plans remeasured for purposes of transferring Solventum employees to new pension plans, the impact of which was not material.

There were also several small international pension plans remeasured for purposes of transferring Solventum employees to new pension plans.

Refer to Note 15 to the Consolidated Financial Statements in 3M's 2024 Annual Report on Form 10-K for additional information regarding this remeasurement.

Supplier Finance Program Obligations

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Separately, the banks may have arrangements with the suppliers that provide them the option to request early payment from the banks for invoices confirmed by 3M.

3M's outstanding balances of confirmed invoices in the programs as of September 30, 2024 and December 31, 2023 were approximately $ 300 million and $ 270 million, respectively.

3M's outstanding balances of confirmed invoices in the programs as of March 31, 2025 and December 31, 2024 were approximately $ 0.3 billion.

These amounts are included within accounts payable on 3M's consolidated balance sheet.

The Company uses interest rate swaps and forward and option contracts to manage risks generally associated with foreign exchange rate and interest rate fluctuations.

The Company uses i nterest rate swaps, cross-currency swaps, and forward and option contracts to manage risks generally associated with foreign exchange rate and interest rate fluctuations.

Note 17 to the Consolidated Financial Statements in 3M's 2024 Annual Report on Form 10-K explains the types of derivatives and financial instruments used by 3M, how and why 3M uses such instruments, and how such instruments are accounted for.

1 unchanged sentence

Additional information with respect to derivatives is included elsewhere as follows:

• Impact on other comprehensive income of nonderivative hedging and derivative instruments is included in Note 8.

• Impact on other comprehensive income of non-derivative hedging and derivative instruments is included in Note 8.

• Fair value of derivative instruments is included in Note 16.

• Derivatives and/or hedging instruments associated with the Company’s long-term debt are described in Note 14 to the Consolidated Financial Statements in 3M's 2024 Annual Report on Form 10-K.

Refer to the section below titled Statement of Income (Loss) Location and Impact of Cash Flow and Fair Value Derivative Instruments and Derivatives Not Designated as Hedging Instruments for details on the location within the consolidated statements of income (loss) for amounts of gains and losses related to derivative instruments designated as cash flow or fair value hedges (along with similar information relative to the hedged items) and derivatives not designated as hedging instruments.

Refer to the section below titled Location on Statement of Income (Loss) and Impact of Cash Flow and Fair Value Derivative Instruments and Derivatives Not Designated as Hedging Instruments for details on the location within the consolidated statements of income (loss) for amounts of gains and losses related to derivative instruments designated as cash flow or fair value hedges (along with similar information relative to the hedged items) and derivatives not designated as hedging instruments.

Additional information relative to cash flow hedges, fair value hedges, net investment hedges and derivatives not designated as hedging instruments is included below as applicable.

Cash Flow Hedges:

As of September 30, 2024, the Company had a balance of $ 109 million associated with the after-tax net unrealized loss associated with cash flow hedging instruments recorded in accumulated other comprehensive income (loss).

Cash Flow Hedges:

As of March 31, 2025, the Company had a balance of $ 44 million associated with the after-tax net unrealized loss associated with cash flow hedging instruments recorded in accumulated other comprehensive income (loss).

This includes a remaining balance of $ 78 million (after-tax loss) related to forward starting interest rate swap and treasury rate lock contracts terminated in 2019 concurrent with associated debt issuances, which is being amortized over the respective lives of the underlying notes.

Based on exchange rates as of September 30, 2024 of the total after-tax net unrealized balance as of September 30, 2024, 3M expects to reclassify approximately $ 13 million after-tax net unrealized loss over the next 12 months (with the impact offset by earnings/losses from underlying hedged items).

Based on exchange rates as of March 31, 2025, of the total after-tax net unrealized balance as of March 31, 2025, 3M expects to reclassify approximately $ 25 million after-tax net unrealized gain over the next 12 months (with the impact offset by earnings/losses from underlying hedged items).

The amount of pretax gain (loss) recognized in other comprehensive income (loss) related to derivative instruments designated as cash flow hedges is provided in the following table.

1 unchanged sentence

Three months ended

September 30, Nine months ended

September 30,

(Millions) 2025 2024

1 unchanged sentence

Fair Value Hedges:

The following amounts were recorded on the consolidated balance sheet related to cumulative basis adjustments for active fair value hedges, as well as remaining amounts for discontinued fair value hedges:

Location on the consolidated balance sheet (millions)

Carrying Value of the Hedged Liabilities Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Value of the Hedged Liabilities

September 30, 2024 December 31, 2023 September 30, 2024 December 31, 2023

Carrying value of the hedged liabilities

Cumulative amount of fair value hedging adjustment included in the carrying value of the hedged liabilities

March 31, 2025 December 31, 2024 March 31, 2025 December 31, 2024

Long-term debt $ 938 $ 924 $ ( 65 ) $ ( 79 )

Net Investment Hedges:

At September 30, 2024, the total notional amount of foreign exchange forward contracts designated in net investment hedges was approximately 100 million euros, along with a principal amount of long-term debt instruments designated in net investment hedges totaling 1.8 billion euros.

The maturity dates of these derivative and nonderivative instruments designated in net investment hedges range from 2024 to 2031.

Net Investment Hedges:

At March 31, 2025, 3M has a principal amount of long-term debt instruments designated in net investment hedges totaling 1.8 billion euros, in addition to the gross notional amount of foreign exchange forward/option contracts and cross-currency swaps designated in net investment hedges included in the totals within the "Location, Fair Value, and Gross Notional Amounts of Derivative Instruments" table further below.

In the first quarter of 2025, 3M expanded its net investment hedge activity by entering into cross-currency swaps with a gross notional value at inception of $ 1.1 billion ($ 550 million with tenor to 2030 and $ 550 million with tenor to 2035) designated in hedges of portions of its net investment in international subsidiaries.

The amount of gain (loss) excluded from effectiveness testing recognized in income relative to instruments designated in net investment hedge relationships is not material.

The amount of pre-tax gain (loss) recognized in other comprehensive income (loss) related to derivative and nonderivative instruments designated as net investment hedges are as follows.

The amount of pre-tax gain (loss) recognized in other comprehensive income (loss) related to derivative and non-derivative instruments designated as net investment hedges are as follows.

Pretax gain (loss) recognized as cumulative translation within other comprehensive income (loss)

Three months ended

September 30, Nine months ended

September 30,

(Millions) 2025 2024

Foreign currency denominated debt $ ( 72 ) $ 43

Foreign currency forward contracts ( 6 ) 5 ( 1 ) 2

Foreign currency forward/option contracts and cross-currency swaps ( 43 ) 3

Total $ ( 115 ) $ 46

5 unchanged sentences

The Company does not hold or issue derivative financial instruments for trading purposes.

Statement of Income (Loss) Location and Impact of Cash Flow and Fair Value Derivative Instruments and Derivatives Not Designated as Hedging Instruments:

Three months ended September 30, Nine months ended September 30,

Cost of sales Other expense (income), net Cost of sales Other expense (income), net

Location on Statement of Income (Loss) and Impact of Cash Flow and Fair Value Derivative Instruments and Derivatives Not Designated as Hedging Instruments:

Location and amount of gain (loss) recognized in income (loss)

Three months ended March 31,

Cost of sales Other expense (income), net

(Millions) 2025 2024 2025 2024

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Location, Fair Value, and Gross Notional Amounts of Derivative Instruments:

The following tables summarize the fair value of 3M’s derivative instruments, excluding nonderivative instruments used as hedging instruments, and their location in the consolidated balance sheet.

Notional amounts below are presented at period end foreign exchange rates, except for certain interest rate swaps, which are presented using the inception date’s foreign exchange rate.

Gross Notional Amount Assets Liabilities

(Millions) Location Fair Value Amount Location Fair Value Amount

September 30,

2024 December 31,

2023 September 30,

2024 December 31,

2023 September 30,

2024 December 31,

The following tables summarize the fair value of 3M’s derivative instruments, excluding non-derivative instruments used as hedging instruments, and their location in the consolidated balance sheet.

Notional amounts below are presented at period end foreign exchange rates, except for certain interest rate swaps and foreign currency forward/option contracts, which are presented using the foreign exchange rate at inception.

Gross notional Amount

Assets Liabilities

(Millions) Location Fair value amount

Location Fair value amount

March 31, 2025 December 31, 2024 March 31, 2025 December 31, 2024 March 31, 2025 December 31, 2024

Derivatives designated as hedging instruments

Foreign currency forward/option contracts $ 1,668 $ 2,109 Other current assets $ 34 $ 68 Other current liabilities $ 29 $ 27

Foreign currency forward/option contracts 840 342 Other assets 7 11 Other liabilities 19 5

Foreign currency forward/option contracts

$ 1,734 $ 1,382 Other current assets $ 37 $ 61 Other current liabilities $ 9 $ 6

Foreign currency forward/option contracts and cross-currency swaps 6,360 4,746 Other assets 73 78 Other liabilities 105 65

Interest rate contracts 800 800 Other assets — — Other liabilities 67 81

5 unchanged sentences

Credit Risk and Offsetting of Assets and Liabilities of Derivative Instruments:

The Company is exposed to credit loss in the event of nonperformance by counterparties in interest rate swaps, currency swaps, and forward and option contracts.

The Company is exposed to credit loss in the event of nonperformance by counterparties in derivative contracts.

However, the Company’s risk is limited to the fair value of the instruments.

9 unchanged sentences

Currency Effects:

3M estimates that year-on-year foreign currency transaction effects, including hedging impacts, decreased pre-tax income from continuing operations by approximately $ 21 million and $ 40 million for the three and nine months ended September 30, 2024, respectively, and decreased pre-tax loss from continuing operations by approximately $ 20 million and $ 82 million for the three and nine months ended September 30, 2023, respectively.

3M estimates that year-on-year foreign currency transaction effects, including hedging impacts, increased pre-tax income by approximately $ 5 million and decreased pre-tax income by approximately $ 21 million for the three months ended March 31, 2025 and 2024, respectively.

These estimates include transaction gains and losses, including derivative instruments designed to reduce foreign currency exchange rate risks.

2 unchanged sentences

Refer to Note 18 to the Consolidated Financial Statements in 3M's 2024 Annual Report on Form 10-K for a qualitative discussion of the assets and liabilities that are measured at fair value on a recurring and nonrecurring basis, a description of the valuation methodologies used by 3M, and categorization within the valuation framework of ASC 820.

The following table provides information by level for material assets and liabilities that are measured at fair value on a recurring basis at September 30, 2024 and December 31, 2023.

Fair Value at Fair Value Measurements Using Inputs Considered as

The following table provides information by level for material assets and liabilities that are measured at fair value on a recurring basis at March 31, 2025 and December 31, 2024.

Fair value at

Fair value measurements using inputs considered as

Level 1 Level 2 Level 3

Description (Millions) September 30,

2024 December 31,

2023 September 30,

2024 December 31,

2023 September 30,

2024 December 31,

2023 September 30,

2024 December 31,

Available-for-sale:

Marketable securities:

March 31, 2025 December 31, 2024 March 31, 2025 December 31, 2024 March 31, 2025 December 31, 2024 March 31, 2025 December 31, 2024

Available-for-sale marketable securities:

Asset backed securities

11 unchanged sentences

Derivative instruments — assets:

Foreign currency forward/option contracts 46 84 — — 46 84 — —

Foreign currency forward/option contracts and cross-currency swaps 113 142 — — 113 142 — —

Derivative instruments — liabilities:

Foreign currency forward/option contracts 50 39 — — 50 39 — —

Foreign currency forward/option contracts and cross-currency swaps 122 84 — — 122 84 — —

Interest rate contracts 67 81 — — 67 81 — —

The Company had no material activity with level 3 assets and liabilities during the periods presented.

Solventum Corporation common stock is carried at stock prices that are readily available from active markets and are representative of fair value.

3M classifies this investment as Level 1.

It is included within other assets on the Company’s consolidated balance sheet.

In addition, the plan assets of 3M’s pension and postretirement benefit plans are measured at fair value on a recurring basis (at least annually).

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Assets and Liabilities that are Measured at Fair Value on a Nonrecurring Basis:

3M had no material measurements at fair value on a nonrecurring basis of applicable assets or liabilities for the third quarter and first nine months of 2024 and 2023.

3M had no material measurements at fair value on a nonrecurring basis of applicable assets or liabilities for the first quarters of 2025 and 2024.

Fair Value of Financial Instruments :

The Company’s financial instruments include cash and cash equivalents, marketable securities, accounts receivable, certain investments, accounts payable, borrowings, and derivative contracts.

The Company’s financial instruments include cash and cash equivalents, marketable securities, accounts receivable, certain investments, notes receivable, accounts payable, borrowings, and derivative contracts.

The fair values of cash equivalents, accounts receivable, accounts payable, and short-term borrowings and current portion of long-term debt approximated carrying values because of the short-term nature of these instruments.

Available-for-sale marketable securities, in addition to certain investments and derivative instruments, are recorded at fair values as indicated in the preceding disclosures.

The fair value of long-term notes receivable approximates the carrying value.

Available-for-sale marketable securities and Solventum common stock are recorded at fair values as indicated in the preceding disclosures, in addition to certain investments and derivative instruments.

To estimate fair values (classified as level 2) for its long-term debt, the Company utilized third-party quotes, which are derived all or in part from model prices, external sources, market prices, or the third-party’s internal records.

Information with respect to the carrying amounts and estimated fair values of these financial instruments follow:

September 30, 2024 December 31, 2023

(Millions) Carrying Value Fair Value Carrying Value Fair Value

March 31, 2025 December 31, 2024

(Millions) Carrying value

Carrying value

Long-term debt, excluding current portion $ 12,307 $ 11,087 $ 11,125 $ 9,856

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The Company and some of its subsidiaries are involved in numerous claims and lawsuits and regulatory proceedings worldwide.

These claims, lawsuits and proceedings relate to matters including, but not limited to, products liability (involving products that the Company now or formerly manufactured and sold), intellectual property, commercial, antitrust, federal healthcare program related laws and regulations, such as the False Claims Act and anti-kickback laws, securities, and environmental, health and safety laws in the United States and other jurisdictions.

These claims, lawsuits and proceedings relate to matters including, but not limited to, commercial;

products liability (involving products that the Company now or formerly manufactured and sold);

securities and corporate governance;

antitrust and competition;

intellectual property;

environmental, health and safety;

the Foreign Corrupt Practices Act (FCPA) and other anti-bribery and anti-corruption laws;

international import and export requirements and trade sanctions compliance;

laws and regulations that apply to industries served by the Company, including the False Claims Act, anti-kickback laws, and the Sunshine Act;

and other matters.

Unless otherwise stated, the Company is vigorously defending all such litigation and proceedings.

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Such requests can also lead to the assertion of claims or the commencement of administrative, civil, or criminal legal proceedings against the Company and others, as well as to settlements.

The Company also from time to time becomes aware of certain writs of summons, pre-suit claims, demands or other preliminary or informal assertions of potential future claims, and may engage in respect of such matters where it believes it would be appropriate to work towards a negotiated resolution of such matters.

The Company also from time to time becomes aware of certain writs of summons, pre-suit claims, demands or other preliminary or informal assertions of claims or potential future claims that may proceed in the United States or in foreign countries.

In response, the Company or its subsidiaries may engage in respect of such matters where it believes it would be appropriate to work towards a negotiated resolution of such matters.

The outcomes of legal proceedings and regulatory matters are often difficult to predict.

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Process for Disclosure and Recording of Liabilities Related to Legal Proceedings:

Many lawsuits and claims involve highly complex issues relating to causation, scientific evidence, and alleged actual damages, all of which are otherwise subject to substantial uncertainties.

Many lawsuits and claims involve highly complex issues relating to causation, scientific evidence, and alleged actual damages, all of which are subject to substantial uncertainties.

Assessments of lawsuits and claims can involve a series of complex judgments about future events and can rely heavily on estimates and assumptions.

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Impact of Solventum Spin-Off :

On April 1, 2024, the Company completed the planned spin-off of its Health Care business, known as Solventum, as an independent company.

On April 1, 2024, the Company completed the planned spin-off of its Health Care business as an independent company known as Solventum.

Concurrent with the spin-off, the Company and Solventum entered into various agreements, including transition agreements and a separation and distribution agreement that, among other things, identified the assets to be transferred, the liabilities to be assumed, indemnification and defense obligations, and the contracts to be transferred to Solventum and 3M as part of the spin-off.

In general, and except as noted below and as set forth in the separation and distribution agreement, certain liabilities related to Solventum or the assets that are transferred to Solventum in connection with the spin-off will be retained by or transferred to Solventum.

For example, potential liabilities associated with the matters previously described under the Bair Hugger and Federal False Claims Act / Qui Tam Litigation sections of this Note 17 have been assumed by Solventum pursuant to the separation and distribution agreement, and Solventum will indemnify and defend the Company in these actions.

The separation and distribution agreement governs the allocation of liabilities related to PFAS (as defined below) between the Company and Solventum, which liabilities will not be subject to the general allocation principles otherwise set forth in the separation and distribution agreement.

The Company will retain all PFAS-related liabilities resulting from the business, operations, and activities of (x) the Company’s business (as defined in the separation and distribution agreement) and (y) Solventum’s business (as defined in the separation and distribution agreement) prior to April 1, 2024.

Solventum will retain liability for all PFAS-related liabilities resulting from the business, operations, and activities of its business at or after April 1, 2024, other than liabilities from product claims alleging harm from the presence of PFAS in certain products of Solventum’s business sold at or after April 1, 2024, and prior to January 1, 2026 (subject to exceptions described in further detail below).

The Company will retain liabilities related to site-based PFAS contamination at any real property owned, leased or operated by the Company and liabilities for site-based PFAS contamination arising from third-party claims at sites allocated to the Solventum group in the separation to the extent such liabilities relate to PFAS contamination existing at or prior to April 1, 2024.

Solventum assumes PFAS liabilities from the Solventum sites to the extent resulting from an action taken by any member of the Solventum group following April 1, 2024, or from any failure by Solventum following April 1, 2024, to use commercially reasonable efforts that are consistent with then-current industry standards to avoid contamination.

The Company will also retain PFAS liabilities for product claims (x) arising from the Company’s products, (y) arising from Solventum’s products sold prior to April 1, 2024, and (z) arising from certain products sold by Solventum at or after April 1, 2024, and prior to January 1, 2026 (subject to the exceptions described below).

Clause (z) in the immediately preceding sentence will not extend to PFAS liabilities for product claims resulting from (i) new products introduced by Solventum following April 1, 2024, that contain or are enabled by PFAS that is not supplied by the Company, (ii) products that are modified by Solventum after April 1, 2024, to add, contain or become enabled by PFAS that is not supplied by the Company, or with respect to which any modification made after April 1, 2024, in the formulation or production of the product that changes the amount or type of PFAS contained in the product or the amount or type of PFAS enabling the product, in each case from and after the date of such modification, (iii) PFAS that is added to a Solventum product after it is sold by Solventum and (iv) PFAS that has accumulated in or on a Solventum product as a result of the use of the product (whether or not the product is being used as directed), including through filtration, purification or similar application.

Solventum will be responsible for the maintenance of certain PFAS containment measures at its properties after the effective time of the distribution.

In addition, and consistent with the allocation described above, the Company will retain specifically identified PFAS-related liabilities, including those resulting from specified PFAS-related litigation matters and liabilities under the Company’s settlement agreement with public water systems in the United States, as described below.

The following sections first describe the significant legal proceedings in which the Company is involved, and then describe the liabilities and associated insurance receivables the Company has accrued relating to its significant legal proceedings.

The following sections first describe the significant legal proceedings in which the Company is involved and then describe the liabilities and associated insurance recoveries the Company has recorded relating to its significant legal proceedings.

Respirator Mask/Asbestos Litigation:

As of September 30, 2024, the Company is a named defendant, with multiple co-defendants, in numerous lawsuits in various courts that purport to represent approximately 4,045 individual claimants, compared to approximately 4,042 individual claimants with actions pending December 31, 2023.

As of March 31, 2025, the Company is a named defendant, with multiple co-defendants, in numerous lawsuits in various courts that purport to represent approximately 3,600 individual claimants, compared to approximately 3,500 individual claimants with actions pending December 31, 2024.

The vast majority of the lawsuits and claims resolved by and currently pending against the Company allege use of some of the Company’s mask and respirator products and seek damages from the Company and other defendants for alleged personal injury from workplace exposures to asbestos, silica, coal mine dust or other occupational dusts found in products manufactured by other defendants or generally in the workplace.

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The number of claims alleging more serious injuries, including mesothelioma, other malignancies, and black lung disease, is expected to represent a greater percentage of total claims than in the past.

Over the past twenty plus years, the Company has prevailed in nineteen of the twenty cases tried to a jury (including the lawsuits described below) and, in the last twelve months, 3M has successfully defended three respirator product liability trials.

In November 2023, a jury in Hawaii delivered a defense verdict in favor of 3M, concluding that 3M’s 8710 respirator was not a cause of plaintiff’s mesothelioma.

In February 2024, a jury in Kentucky delivered a defense verdict in favor of 3M, concluding that 3M’s 8710 and 8210 respirators that the plaintiff claimed to have used were not defective.

In April 2024, another jury in Kentucky returned a defense verdict in 3M's favor and concluded that 3M's 8710 respirator that the plaintiff claimed to have used was not defective.

Over the past twenty plus years, the Company has prevailed in nineteen of the twenty cases tried to a jury.

The Company has demonstrated in these past trial proceedings that its respiratory protection products are effective as claimed when used in the intended manner and in the intended circumstances.

Consequently, the Company believes that claimants are unable to establish that their medical conditions, even if significant, are attributable to the Company’s respiratory protection products.

Nonetheless, the Company’s litigation experience indicates that claims of persons alleging more serious injuries, including mesothelioma, other malignancies, and black lung disease, are costlier to resolve than the claims of unimpaired persons, and it therefore believes the average cost of resolving pending and future claims on a per-claim basis will continue to be higher than it experienced in prior periods when the vast majority of claims were asserted by medically unimpaired claimants.

In the second half of 2020 and into 2021, the Company experienced an increase in the number of cases filed that allege injuries from exposures to coal mine dust, but the rate of coal mine dust-related case filings decelerated in 2022 and continues to stay significantly lower than in 2021.

3M moved two cases involving over 400 plaintiffs to federal court based on, among others, the Class Action Fairness Act.

The federal district court remanded the cases to state court.

In March 2023, the Sixth Circuit Court of Appeals granted 3M's petition to review the remand order, and in April 2023 reversed the district court's remand order;

accordingly, those cases will remain in federal court.

Nonetheless, the Company’s litigation experience indicates that claims of persons alleging more serious injuries, including mesothelioma, other malignancies, and black lung disease, are costlier to litigate and resolve than the claims of unimpaired persons, and it therefore believes the average cost of resolving pending and future claims on a per-claim basis will continue to be higher than it experienced in prior periods when the vast majority of claims were asserted by medically unimpaired claimants.

As previously reported, the State of West Virginia, through its Attorney General, filed a complaint in 2003 against the Company and two other manufacturers of respiratory protection products in the Circuit Court of Lincoln County, West Virginia, and amended its complaint in 2005.

The amended complaint seeks substantial, but unspecified, compensatory damages primarily for reimbursement of the costs allegedly incurred by the State for worker’s compensation and healthcare benefits provided to all workers with occupational pneumoconiosis and unspecified punitive damages.

In October 2019, the court granted the State’s motion to sever its unfair trade practices claim, which seeks civil penalties of up to $ 5,000 per violation under the state's Consumer Credit Protection Act relating to statements that the State contends were misleading about 3M’s respirators.

In April 2024, the court set a trial date for the unfair trade practices claims in December 2024.

In October 2024, the court moved the trial date to January 7, 2025, for a bench trial only to determine if any liability exists;

if liability is found by the judge, then damages would be determined in a separate trial with an advisory jury at a later date.

An initial bench trial began in January 2025 on certain issues in the action.

The issues presented during the bench trial include the statute of limitations, the period available for any penalties under the West Virginia Consumer Protection Act, and the State’s claims that the 8710 respirators did not perform as advertised.

The bench trial is scheduled to resume in June 2025 and a completion date has not been set.

Following resolution by the court of the issues presented during the initial bench trial, the amount, if any, of any civil penalties upon a finding of liability against the Company would be determined through subsequent trial proceedings at an unspecified future date.

An expert witness retained by the State has estimated that 3M sold over five million respirators into the state during the relevant time period, and the State alleges that each respirator sold constitutes a separate violation under the Act.

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In addition, the Company is not able to estimate a possible loss or range of loss due to open factual and legal questions.

Respirator Mask/Asbestos Liabilities and Insurance Receivables

Respirator Mask/Asbestos Liabilities

The Company regularly conducts a comprehensive legal review of its respirator mask/asbestos liabilities.

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These developments include, but are not limited to, significant changes in (i) the key assumptions underlying the Company’s accrual, including the number of future claims, the nature and mix of those claims, and the average cost of defending and resolving claims and in maintaining trial readiness (ii) trial and appellate outcomes, (iii) the law and procedure applicable to these claims, and (iv) the financial viability of other co-defendants and insurers.

As a result of its review of its respirator mask/asbestos liabilities, of pending and expected lawsuits and of the cost of resolving claims of persons who claim more serious injuries, including mesothelioma, other malignancies, and black lung disease, the Company increased its accruals in the first nine months of 2024 for respirator mask/asbestos liabilities by $ 41 million.

In the first nine months of 2024, the Company made payments for legal defense costs and settlements of $ 69 million related to the respirator mask/asbestos litigation.

As of September 30, 2024, the Company had an accrual for respirator mask/asbestos liabilities (excluding Aearo accruals) of $ 546 million.

As a result of its review of its respirator mask/asbestos liabilities, of pending and expected lawsuits and of the cost of resolving claims of persons who claim more serious injuries, including mesothelioma, other malignancies, and black lung disease, the Company increased its accruals in the first quarter of 2025 for respirator mask/asbestos liabilities by an immaterial amount, and made payments for legal defense costs and settlements of $ 13 million related to the respirator mask/asbestos litigation.

As of March 31, 2025, the Company had an accrual for respirator mask/asbestos liabilities (excluding Aearo accruals) of $ 511 million.

This accrual represents the Company’s estimate of probable loss and reflects an estimation period for future claims that may be filed against the Company approaching the year 2050.

The Company cannot estimate the amount or upper end of the range of amounts by which the liability may exceed the accrual the Company has established because of (i) the inherent difficulty in projecting the number of claims that have not yet been asserted or the time period in which future claims may be asserted, (ii) the fact that complaints nearly always assert claims against multiple defendants where the damages alleged are typically not attributed to individual defendants so that a defendant’s share of liability may turn on the law of joint and several liability, which can vary by state, (iii) the multiple factors described above that the Company considers in estimating its liabilities, and (iv) the several possible developments described above that may occur that could affect the Company’s estimate of liabilities.

As of September 30, 2024, the Company had an immaterial receivable for insurance recoveries related to the respirator mask/asbestos litigation.

In addition, the Company continues to seek coverage under the policies of certain insolvent and other insurers.

Once those claims for coverage are resolved, the Company will have collected substantially all of its remaining insurance coverage for respirator mask/asbestos claims.

Respirator Mask/Asbestos Litigation — Aearo Technologies:

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and Cabot Corporation (“Cabot”)) are named defendants, with multiple co-defendants, including the Company, in numerous lawsuits in various courts in which plaintiffs allege use of mask and respirator products and seek damages from Aearo and other defendants for alleged personal injury from workplace exposures to asbestos, silica-related, coal mine dust, or other occupational dusts found in products manufactured by other defendants or generally in the workplace.

As of September 30, 2024, the Company, through its Aearo subsidiary, had accruals of $ 53 million for product liabilities and defense costs related to current and future Aearo-related asbestos, silica-related and coal mine dust claims.

As of March 31, 2025, the Company, through its Aearo subsidiary, had accruals of $ 52 million for product liabilities and defense costs related to current and future Aearo-related asbestos, silica-related and coal mine dust claims.

Responsibility for legal costs, as well as for settlements and judgments, is shared in an informal arrangement among Aearo, Cabot, American Optical Corporation and a subsidiary of Warner Lambert and their respective insurers (the “Payor Group”).

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The Company has identified numerous locations, many of which are in the United States, at which it may have some liability for remediation of contamination under applicable environmental laws.

Please refer to the section entitled “ Environmental Liabilities and Insurance Receivables ” that follows for information on the amount of the accrual for such liabilities.

Please refer to the section entitled “ Environmental Liabilities ” that follows for information on the amount of the accrual for such liabilities.

Environmental Matters

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The Company ceased manufacturing and using the vast majority of those compounds within approximately two years of the phase-out announcement and ceased all manufacturing and the last significant use of those compounds by the end of 2008.

The Company continues to manufacture a variety of shorter-chain-length PFAS compounds.

These compounds are used as input materials to a variety of products, including engineered fluorinated fluids, fluoropolymers and fluorelastomers, as well as surfactants, additives, and coatings.

Through its ongoing life cycle management and its raw material composition identification processes associated with the Company’s policies covering the use of all persistent and bio-accumulative materials, the Company continues to review, control or eliminate the presence of certain PFAS in purchased materials, as intended substances in products, or as byproducts in some of 3M’s current manufacturing processes, products, and waste streams.

3M announced in December 2022 it will take two actions with respect to PFAS:

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3M is progressing toward the exit of all PFAS manufacturing by the end of 2025.

Until that time, the Company continues to manufacture a variety of shorter-chain-length PFAS compounds.

These compounds are used as input materials to a variety of products, including engineered fluorinated fluids, fluoropolymers and fluorelastomers, as well as surfactants, additives, and coatings.

3M is progressing toward the exit of all PFAS manufacturing by the end of 2025.

The Company continues to discuss its PFAS manufacturing exit, and related issues involving the disposition of manufacturing assets, with customers, government authorities, and other stakeholders, and the Company remains focused on completing the exit in a timely and orderly fashion.

3M is also working to discontinue the use of PFAS across its product portfolio by the end of 2025 and has made progress in eliminating the use of PFAS across its product portfolio in a variety of applications.

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Depending on the availability and feasibility of such third-party products not containing PFAS, the Company continues to evaluate circumstances in which the use of PFAS-containing products manufactured by third parties and used in certain applications in 3M’s product portfolios, such as lithium ion batteries, printed circuit boards and certain seals and gaskets, all widely used in commerce across a variety of industries, and in some cases required by regulatory or industry standards, may or are expected to, depending on applications, continue beyond 2025.

In other cases, regulatory approval, customer re-certification or re-qualification of substitutes or replacements to eliminate the use of PFAS manufactured by third parties may not be completed, or, depending on circumstances, are not expected to be completed, by the end of 2025.

In other cases, sales of products manufactured before the end of 2025, regulatory approval, or customer re-certification or re-qualification of substitutes or replacements to eliminate the use of PFAS manufactured by third parties may not be completed, or, depending on circumstances, are not expected to be completed, by the end of 2025.

With respect to PFAS-containing products manufactured by third parties, the Company intends to continue to evaluate beyond the end of 2025 the adoption of third-party products that do not contain PFAS to the extent such products are available and such adoption is feasible.

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Given divergent and rapidly evolving regulatory drinking water and other environmental standards, there is currently significant uncertainty about the potential costs to industry and communities associated with remediation and control technologies that may be required.

In the European Union, where 3M has PFAS manufacturing facilities in Germany and Belgium, recent regulatory activities have included various proposed and enacted restrictions of PFAS or certain PFAS compounds, including under the EU’s Registration, Evaluation, Authorization and Restriction of Chemicals ("REACH") and the EU’s Persistent Organic Pollutants ("POPs") Regulation.

In the European Union, where 3M has PFAS manufacturing facilities in Germany and Belgium, recent regulatory activities have included various proposed and enacted restrictions of PFAS or certain PFAS compounds, including, among others, under the EU’s Registration, Evaluation, Authorization and Restriction of Chemicals ("REACH"), the EU’s Persistent Organic Pollutants ("POPs") Regulation, the EU's Food Contaminants Regulation and the EU's Water Drinking Directive.

PFOA, PFOS and PFHxS (and their related compounds) are listed under several Annexes of the POPs Regulation, resulting in a ban in manufacture, placing on the market and use as well as some waste management requirements of these substances in EU Member States.

These substances have also been listed in the Stockholm Convention, which has been ratified by more than 180 countries and aims for global elimination of certain listed substances (with narrow exceptions).

In February 2023, an EU-wide restriction on the manufacturing, use, placing on the market and import of certain perfluorocarboxylic acids (C9-C14 PFCAs), which are PFAS substances, also went into effect.

In February 2023, an EU-wide restriction on the manufacturing, use, placing on the market and import of certain perfluoro carboxylic acids (C9-C14 PFCAs), which are PFAS substances, also went into effect.

A proposal for the global restriction on production and use of these substances was finalized by a subsidiary body of the Stockholm Convention and will be considered for adoption by the parties to the Stockholm Convention in April 2025.

In September 2024, the EU adopted a restriction on certain uses of perfluorohexanoic acid (“PFHxA”) and PFHxA-related substances, including in consumer goods and some uses of firefighting foams and concentrates.

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In February 2023, the European Chemicals Agency published a proposal to restrict the manufacture, placing on the market, and use of PFAS under REACH, subject to certain proposed exceptions.

In March 2023, the six-month consultation phase on the PFAS Restriction Proposal started and, in September 2023, the Company submitted comments on the proposal.

Depending on the timing, scope, and obligations contained in any final restriction, PFAS manufacturers and manufacturers of PFAS-containing products including 3M could incur additional costs and potential exposures, including costs of having to discontinue or modify products, future compliance costs, possible litigation and/or enforcement actions.

Depending on the timing, scope, and obligations contained in any final restriction, PFAS manufacturers and manufacturers of PFAS-containing products including 3M could incur additional costs and potential exposures, including costs of having to discontinue or modify products prior to the previously-announced exit of PFAS manufacturing by the end of 2025, future compliance costs, possible litigation and/or enforcement actions.

Effective January 2023, the EU Food Contaminants Regulation targeting four PFAS (PFOS, PFOA, perfluorononanoic acid ("PFNA"), and PFHxS) in foodstuff (eggs and animal derived meat) prohibits the sale in all member states of foods containing levels of these chemicals exceeding certain regulatory thresholds.

This change may impact 3M, but any such impact is unknown at this time.

The EU regulates PFAS in drinking water via a Drinking Water Directive, which includes a limit of 0.1 micrograms per liter (µg/l) (or 0.1 parts per billion (ppb)) for a sum of 20 PFAS in drinking water.

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Some Member States, including Germany, adopted more restrictive limits for certain PFAS substances.

These new standards may have an impact on remedial obligations and liabilities, though such impact is unknown at this time.

Government interactions related to PFAS manufacturing in Gendorf

Dyneon and the predecessor operators of the Gendorf facility have commissioned a voluntary feasibility study by an independent soil consultant.

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The study has been shared with the competent authority.

An expert body advising the competent authorities in the country recently provided feedback on the feasibility study and identified several additional recommended steps, including certain immediate measures and additional soil and groundwater investigations, and the competent authorities have indicated that they are likely to adopt at least some of the recommended steps.

As a result of this process, Dyneon has agreed to sponsor environmental studies related to the potential establishment of a landfill to dispose of PFOA-impacted soil.

Dyneon continues to engage with the authorities and the predecessor operators of the Gendorf facility on this matter.

3M Belgium, a subsidiary of the Company, has been working with the Public Flemish Waste Agency ("OVAM") for several years to investigate and remediate historical PFAS contamination at and near the 3M Belgium facility in Zwijndrecht, Antwerp, Belgium.

An expert body advising the competent authorities in the county recently provided feedback on the feasibility study and identified several additional recommended steps, including certain immediate measures and additional soil and groundwater investigations, and the competent authorities have indicated that they are likely to adopt at least some of the recommended steps.

As a result of this process, Dyneon has agreed to sponsor environmental studies related to the potential establishment of a landfill to dispose of PFOA-impacted soil, and a local authority has indicated that Dyneon should contribute to the financing of that landfill.

Dyneon also continues to engage with the authorities about potential remedial actions, which may be required in the future to address soil and groundwater.

In January 2025, the competent authority issued a draft order that, if issued as drafted, would require Dyneon to undertake certain technical planning and testing activities and submit those results to the competent authority to allow it to determine whether such data provides a sufficient basis to thereafter plan for a hydraulic barrier at a location to be determined near the Gendorf site.

In March 2025, Dyneon responded to the draft order saying, in part, that the draft order’s terms are unsuited to addressing concerns arising out of the historical use of PFAS in the region and instead offering to engage with the competent authority to discuss potential solutions to the concerns raised.

Also in March 2025, Dyneon received from the competent authority a draft order that would, if issued as drafted, require Dyneon to undertake a comprehensive remedial investigation of PFOA in soil and groundwater in areas outside the Gendorf facility.

Dyneon is also evaluating this draft order.

Dyneon continues to engage with the competent authorities about potential remedial actions related to the Gendorf facility that may be required in the future.

PFAS manufacturing in Zwijndrecht:

3M Belgium, a subsidiary of the Company, owns and operates a facility in Zwijndrecht, Antwerp, Belgium that manufactured various PFAS containing products.

All PFAS manufacturing was completed and discontinued at the Zwijndrecht facility in 2024 as part of the Company’s previously-announced global exit of all PFAS manufacturing by the end of 2025.

3M Belgium has been working with the Public Flemish Waste Agency ("OVAM") for several years to investigate and remediate PFAS contamination at and near the Zwijndrecht facility.

In connection with a ring road construction project (the Oosterweel Project) in Antwerp that involved extensive soil work, an investigative committee with judicial investigatory powers was formed in June 2021 by the Flemish Parliament to investigate PFAS found in the soil and groundwater near the Zwijndrecht facility.

3M Belgium testified at Flemish parliamentary committee hearings in September and December 2021 on PFAS-related matters.

As discussed in greater detail below, the Flemish Parliament, the Minister of the Environment, and regulatory authorities initiated investigations and demands for information related to the release of PFAS from the Zwijndrecht facility.

At various points, the Flemish Parliament, the Minister of the Environment, and regulatory authorities initiated investigations and demands for information related to the release of PFAS from the Zwijndrecht facility.

3M Belgium has cooperated with the authorities with respect to the investigations and information requests and is working with the authorities on an ongoing basis.

PFAS manufacturing in Zwijndrecht:

As previously disclosed, as a result of a safety measure issued by the Flemish Government involving PFAS, production operations were paused at the Zwijndrecht facility pending authorization to restart.

In addition, in a series of actions the number of PFAS covered by the plant's environmental permit was expanded and pre-existing limits were lowered.

3M Belgium took action to address concerns raised by the Flemish Government and submitted a plan to accelerate the phase out of its PFAS-related production processes at the Zwijndrecht site.

These plans were approved, and 3M Belgium anticipates completion of the phase out by the end of 2024.

In September 2024, the Flemish Government approved 3M Belgium's latest application for a water discharge permit.

In October 2024, an appeal was filed against the permit by a local non-profit organization.

The appeal suspends the approval of the permit until the competent authority decides on the merits of the appeal, which has not yet occurred.

3M Belgium is evaluating the potential impact of this action and potential next steps.

3M Belgium cannot at this time predict the outcome of any appeal of the permit and is therefore unable to assess whether the current Zwijndrecht wastewater treatment system, or currently conceived additional treatment technology, ultimately will be determined to meet permit limits imposed with respect to manufacturing at the Zwijndrecht facility.

In August 2024, the province of Antwerp approved 3M Belgium's latest application for modifying the water discharge permit related to certain PFAS parameters.

Following an appeal against the permit by a local non-profit organization, in March 2025, the Flemish Government confirmed the permit.

This decision remains subject to appeal and 3M Belgium cannot predict whether an appeal will be filed, or the outcome of any appeal if so, and is therefore unable to assess whether the current Zwijndrecht wastewater treatment system, or currently conceived additional treatment technology, ultimately will be determined to meet permit limits imposed with respect to manufacturing at the Zwijndrecht facility.

It is possible that additional actions will be required to reduce legacy sources of PFAS or that the wastewater treatment system will be unable to meet future discharge limits.

If 3M Belgium is unable to meet the eventual discharge limits, such development could have a significant adverse impact on 3M Belgium's normal operations and the Company's businesses that receive products and other materials from the Zwijndrecht facility, some of which may not be available or in similar quantities from other 3M facilities, which could in turn impact these businesses' ability to fulfill supply obligations to their customers.

Dust emissions:

As previously disclosed, in October 2022, the Environmental Inspectorate imposed a safety measure on 3M Belgium regarding certain health and safety issues noted during inspections of the Zwijndrecht facility in March 2022, alleging certain related deficiencies, some dating back to 2010.

In July 2023, the Environmental Inspectorate issued an infraction report stating the actions taken by 3M Belgium to address the October 2022 safety measure were insufficient to reduce dust formation from the facility.

3M Belgium implemented additional control measures to address potential dust formation.

Soil remediation and environmental law compliance:

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In connection with these actions, the Company recorded a pre-tax charge of approximately $ 500 million in the first half of 2022.

Soil remediation .

Soil/groundwater remediation .

Consistent with Flemish environmental law, descriptive soil investigations (“DSIs”) have been carried out to assess areas of potential PFAS contamination that may require remediation.

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3M Belgium has submitted all currently required DSIs.

Further, as previously disclosed, the accredited third-party soil remediation expert prepared multiple remedial action plans that have been approved by OVAM, the competent authority, and implementation activities are underway.

Additional remedial action plans are pending and waiting for OVAM's approval.

Other anticipated additional remedial action plans are scheduled to be submitted for OVAM’s review by the end of 2024.

3M Belgium representatives continue to have discussions with the relevant authorities regarding further soil remedial actions in connection with the Flemish Soil Decree.

Further, as previously disclosed, the accredited third-party soil remediation expert has prepared multiple remedial action plans (RAPs) that have been approved by OVAM, the competent authority, and implementation activities are underway.

3M Belgium has also submitted additional required RAPs, which OVAM deemed to be not in conformity with the Flemish Soil Decree and will require additional analysis.

OVAM provided extensions of time for 3M Belgium to revise and re-submit each purportedly non-conforming RAP.

3M Belgium representatives continue to have discussions with the relevant authorities regarding further soil remedial actions and related groundwater actions in connection with the Flemish Soil Decree.

Changes to Flemish Soil Decree .

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On March 31, 2023, the Site Decision was fully approved by the Flemish Cabinet and the Site Decision was published in April 2023.

While the full impact of the Site Decision remains to be determined, it appears to establish conditional obligations within 5 kilometers of Zwijndrecht and may create a presently undetermined amount of additional financial and remedial obligations for 3M Belgium.

Among other things, the Site Decision purported to establish conditional obligations within 5 kilometers of Zwijndrecht that could have resulted in additional financial and remedial obligations for 3M Belgium.

In June 2023, 3M Belgium submitted a petition for annulment of the Site Decision to the Belgian Council of State.

In September 2023, the Flemish government submitted its response to the petition.

3M Belgium filed its final submission responding to the Flemish government’s arguments in November 2023.

Various parties purporting to have an interest in the proceeding, including the government of the Netherlands, intervened and submitted arguments supporting the Site Decision.

In March 2025, the Council of State affirmed 3M Belgium's petition to annul the Site Decision and annulled the Site Decision in its entirety.

In July 2023, the Flemish government approved another executive action establishing a temporary action framework that sets soil and groundwater values for evaluation of remediation of PFAS.

While the full impact of the temporary action framework remains to be determined, its use of the values in the EU Drinking Water Directive for remediation of groundwater, regardless of whether the groundwater would be used for drinking water, may create a presently undetermined amount of additional financial and remedial obligations for 3M Belgium.

In December 2023, 3M Belgium submitted a petition for annulment of the temporary action framework to the Belgian Council of State.

In December 2023, 3M Belgium submitted a petition for annulment of the temporary action framework to the Belgian Council of State, which petition is still pending before the Council of State.

In May 2024, the Flemish government adopted legislation expanding the authority of OVAM to require financial security for remediation work and giving it the ability to impose a percentage of the cost of remediating river sediment on various parties while requiring financial assurance for such work.

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Pending or potential litigation and investigations outside the United States

As of September 30, 2024, a total of seventeen actions against 3M Belgium are pending in Belgian civil courts.

As of March 31, 2025, a total of seventeen actions against 3M Belgium are pending in Belgian civil courts.

3M Belgium has also received pre-litigation notices from individuals and entities in Belgium indicating potential claims.

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The Belgian court has not yet determined that the interventions will be permitted.

At an introductory hearing in the case, the court established a briefing schedule with all submissions completed in January 2026.

At an introductory hearing in the case, the court established a briefing schedule with all submissions to be completed by January 2026.

In December 2023, 3M Belgium, 3M Company, and several additional 3M entities were named in a lawsuit identifying approximately 1,400 individuals as plaintiffs, which suit is separate from the above-referenced "follow-on action." The suit involves claims for defective products, liability for unlawful acts, and alleges liability of 3M entities as directors and/or shareholders of 3M Belgium, among other claims.

A hearing in the case is scheduled for November 2024.

At an introductory hearing in November 2024, the case was stayed with no new deadlines established.

In June 2024, Lantis, an entity involved in the Oosterweel project, filed a lawsuit against 3M Belgium seeking damages related to soil storage costs and other alleged claims.

The parties are engaged in mediation regarding the dispute.

Investigations .

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Certain private groups in the Netherlands have indicated that they may bring legal claims on behalf of one or more parties for purported damages allegedly caused by PFAS.

In December 2024, a lawsuit was filed in a Dutch court by the Dutch Fishermen's Association acting on behalf of an individual fisherman, naming 3M Belgium and 3M Company as defendants.

The lawsuit generally alleges that PFAS from 3M Belgium’s Zwijndrecht facility impacted certain aspects of the Dutch fishing industry and seeks damages arising from that alleged contamination.

In December 2023, a putative class action was filed against 3M Canada, 3M Company, and other defendants in the British Columbia Supreme Court on behalf of Canadian individuals alleging personal injuries from exposure to Aqueous Film Forming Foam ("AFFF") imported into Canada for firefighting and other applications.

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The lawsuit seeks compensatory and punitive damages, disgorgement of profits, and the replacement of PFAS treated carpeting with non-PFAS treated carpeting.

In September 2024, the Canadian Minister of Transport filed a third-party contribution and indemnification action against 3M Canada, 3M Company, and other defendants in connection with a pending putative class action filed in British Columbia Supreme Court in April 2024 alleging property contamination from AFFF as a result of firefighting training at the Abbotsford International Airport outside Vancouver.

In September 2024, the Canadian Minister of Transport filed, and in December 2024 amended, a third-party contribution and indemnification action against 3M Canada, 3M Company, and other defendants in connection with a pending putative class action filed in British Columbia Supreme Court in April 2024 alleging property contamination from AFFF as a result of firefighting training at the Abbotsford International Airport outside Vancouver.

Canadian Environmental Protection Act (CEPA) PFAS Section 71 Reporting .

Canada’s Minister of the Environment announced in July 2024 a mandatory survey on the manufacture, import, and use of 312 PFAS due on January 29, 2025.

3M is currently seeking an extension to align its reporting deadline with the U.S.

EPA's PFAS reporting deadline of January 11, 2026.

The Canadian government approved 3M's request to extend its reporting deadline to May 8, 2025.

In October 2024, 3M Australia received notice that the New South Wales Environmental Protection Agency has made a preliminary determination that 3M Australia is responsible for investigating and cleaning up PFAS contamination at a site that 3M Australia formerly leased.

3M Australia submitted a response to the preliminary determination in January 2025.

The Company is aware of a writ of summons that was filed in Australia on behalf of individuals with connections to property that has been allegedly impacted by 3M PFAS products.

Regulation in the United States

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In the United States, the EPA's “PFAS Strategic Roadmap:

EPA's Commitments to Action 2021-2024” presents EPA’s regulatory approach to PFAS, including investing in research to increase the understanding of PFAS, pursuing a comprehensive approach to proactively control PFAS exposures to humans and the environment, and broadening and accelerating the scope of clean-up of PFAS in the environment.

EPA's Commitments to Action 2021-2024” presented the EPA’s regulatory approach to PFAS, including investing in research to increase the understanding of PFAS, pursuing a comprehensive approach to proactively control PFAS exposures to humans and the environment, and broadening and accelerating the scope of clean-up of PFAS in the environment.

As set forth below, the EPA engaged in rulemaking pursuant to consistent with the approach set forth in the Roadmap.

On January 20, 2025, the new Administration issued an Executive Order entitled “Regulatory Freeze Pending Review.” Among other things, the Executive Order directs agencies to:

(1) temporarily postpone proposing or issuing new final or proposed rules;

(2) withdraw any rules sent to but not yet published in the Federal Register;

and (3) consider postponing for 60 days the effective date of any rules published in the Federal Register or that have been issued but not taken effect, for the purpose of conducting further review.

On January 31, 2025, the Administration issued an Executive Order entitled "Unleashing Prosperity Through Deregulation," which directs agencies to repeal ten existing regulations for each new proposed regulation, assess incremental costs of new regulations and offset those costs by the elimination of existing regulations, and provide annual regulatory cost submissions to the Office of Management and Budget.

On February 18, 2025, the Administration issued an Executive Order entitled “Ensuring Accountability for All Agencies,” which directs all executive departments and agencies to submit for review all proposed and final significant regulatory actions to the Office of Information and Regulatory Affairs within the Executive Office of the President before publication in the Federal Register.

On February 19, 2025, the Administration issued an Executive Order entitled “Ensuring Lawful Governance and Implementing the President’s ‘Department of Government Efficiency’ Deregulatory Initiative, which directs the heads of all executive departments and agencies to identify certain categories of unlawful and potentially unlawful regulations within 60 days and begin plans to repeal them.

The ultimate impact, if any, of these Executive Orders and other executive actions, on existing rules, on proposed rules not yet finalized, and on new rulemaking, remains unclear.

The Company has previously discussed the evolving regulatory environment in the United States with respect to PFAS in past filings.

Updates relevant to this quarter are below.

With respect to drinking water, in April 2024, EPA announced final drinking water standards for five individual PFAS – PFOA (4 ppt), PFOS (4 ppt), PFHxS (10 ppt), PFNA (10 ppt), and HFPO-DA (10 ppt).

EPA also set a drinking water standard for a combination of two or more of PFHxS, PFNA, HFPO-DA and PFBS in drinking water, which is based on a “hazard index” approach.

Public drinking water suppliers in the United States will have five years to meet the limits.

Multiple petitions challenging the rule have been filed in federal court.

Various federal agencies in the United States also have been researching and publishing information about the potential health effects of PFAS.

For example, EPA has issued final human health toxicity assessments for certain PFAS, including PFOA, PFOS, PFBS, and HFPO-DA.

Those assessments identify the levels at which the EPA has determined exposures over various periods of time are unlikely to lead to adverse health effects.

In May 2022, EPA added five PFAS substances – HFPO-DA, PFOS, PFOA PFNA, and PFHxS - to its list of Regional Screening and Removal Management Levels.

EPA had previously added PFBS to both lists in 2014.

In May 2024, EPA substantially lowered the Regional Screening Levels for PFOA and PFOS.

Regional Screening Levels are used to identify contaminated media that may require further investigation, while Regional Removal Management Levels are used by EPA to support certain actions under CERCLA.

Public drinking water suppliers in the United States have five years to meet the limits.

Multiple petitions challenging the rule have been filed in the U.S.

Court of Appeals for the District of Columbia Circuit.

On February 7, 2025, the Court granted the EPA’s request for a 60-day abeyance to allow the new administration time to review the case.

On April 10, 2025, the court granted EPA’s request to extend the abeyance by an additional 30 days and gave EPA until May 12, 2025 to file motions related to further proceedings in the case.

In April 2024, EPA released its final rule listing PFOA and PFOS, and their salts and structural isomers, as CERCLA hazardous substances.

Multiple industry groups have filed challenges to the rule in federal court.

Multiple industry groups have filed challenges to the rule in the U.S.

Court of Appeals for the District of Columbia Circuit.

In February 2025, EPA sought and was granted a 60-day abeyance of the proceedings to allow the new administration time to review the case.

Motions to govern future proceedings are due on April 25, 2025.

As a result of the CERCLA designation of PFOA and PFOS, and to the extent EPA finalizes additional proposals related to PFAS, 3M may be required to undertake additional investigative or remediation activities, including where 3M conducts operations or where 3M has disposed of waste.

3M may also face additional litigation from other entities that have liability under CERCLA for claims seeking contribution for clean-up costs other entities might have.

EPA published an Advanced Notice of Proposed Rulemaking considering CERCLA hazardous substance designations for additional PFAS, including PFBS, PFHxS, PFNA, HFPO-DA, PFBA, PFHxA, PFDA and their precursor compounds, as well as the precursor compounds of PFOS and PFOA, for public comment in April 2023 and the Company submitted comments to the proposal in August 2023.

In February 2024, EPA proposed two rules under the Resource Conservation and Recovery Act (“RCRA”).

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The Company submitted comments on both proposed rules.

In April 2022, EPA released draft Aquatic Life Criteria for PFOA and PFOS.

These criteria, once finalized, may be used by states in developing water quality standards for protection of aquatic life under the Clean Water Act.

3M submitted comments on the draft criteria in July 2022.

In December 2022, EPA issued guidance to states for incorporating PFAS requirements into the Clean Water Act National Pollution Discharge Elimination System ("NPDES") permit program, including recommendations that states require PFAS monitoring and incorporate limits for PFAS in industrial discharges.

In December 2024, as amended in January 2025, EPA published draft National Recommended Ambient Water Quality Criteria for the Protection of Human Health for PFOA, PFOS, and PFBS.

These criteria, once finalized, may be used by states and tribes to establish water quality standards.

In June 2024, EPA submitted to OMB for review its proposed rule under the Clean Water Act setting Effluent Limitations Guidelines and Standards for PFAS Manufacturers Under the Organic Chemicals, Plastics and Synthetic Fibers Point Source Category.

EPA has also taken several actions to increase reporting and restrictions regarding PFAS under the Toxic Substances Control Act ("TSCA") and the Toxics Release Inventory ("TRI"), which is a part of the Emergency Planning and Community Right-to-Know Act.

EPA has added 196 PFAS compounds to the list of substances that must be included in TRI reports as of May 2024.

In October 2023, EPA finalized a rule that requires TRI reporting of de minimis uses of those TRI-listed PFAS.

In October 2024, EPA proposed adding 16 additional individual PFAS and 15 categories of PFAS (representing more than 100 individual substances) to the TRI.

The proposed rule would set a reporting threshold of 100 pounds for each of the 15 categories, and some of the already-listed PFAS would be reclassified to fall within the 15 categories.

In January 2025, EPA withdrew the proposed rule from OMB review.

In October 2023, EPA published a final rule imposing reporting and recordkeeping requirements under TSCA for manufacturers or importers, including 3M, of certain PFAS in any year since January 2011.

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In March 2024, EPA issued a TSCA test order requiring two manufacturers, including 3M, to conduct certain health and safety testing on NMeFOSE, a PFAS substance.

In April 2024, 3M responded to the EPA that it does not believe it is subject to the test order because, among other reasons, 3M has not manufactured or processed NMeFOSE for over 20 years.

3M has not manufactured or processed NMeFOSE for over 20 years and, in January 2025, EPA confirmed that 3M is not subject to the test order.

In August 2024, three states (New Jersey, New Mexico, and North Carolina) petitioned EPA to list PFOA, PFOS, PFNA, and HFPO-DA as hazardous air pollutants under Clean Air Act and to establish emission standards from source categories.

EPA has 18 months to respond to the petition.

I n December 2024, EPA proposed updates to its general industrial stormwater permit applicable to various industries, including chemical manufacturing.

The updates include provisions that, if finalized, would require dischargers in those sectors and in jurisdictions where EPA is the permitting authority to monitor for certain PFAS in their stormwater discharges and report the results.

Public comments on the proposed permit are due in May 2025.

In January 2025, EPA released a draft risk assessment for PFOA and PFOS in biosolids.

Public comments on the EPA’s draft are due in August 2025.

If finalized, that risk assessment could inform future regulations on PFAS in wastewater and biosolids.

State Activity

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States with finalized drinking water standards for certain PFAS include Vermont, New Jersey, New York, New Hampshire, Michigan, Massachusetts, Pennsylvania, and Wisconsin.

In 2021 and 2022, California finalized its listing of PFOS (and its salts and transformation and degradation precursors) and PFOA as carcinogens and reproductive toxicants, and PFNA as a reproductive toxicant under its Proposition 65 law.

California has also proposed listing PFDA, PFHxS, and PFUnDA as reproductive toxicants under Proposition 65.

Several other states, including Delaware, Idaho, Rhode Island, and North Carolina, have started processes to adopt EPA’s federal drinking water standards for PFAS into state rules.

In April 2021, 3M filed a lawsuit against the Michigan Department of Environment, Great Lakes, and Energy ("EGLE") to invalidate the drinking water standards EGLE promulgated under an accelerated timeline.

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In August 2023, the Michigan Court of Appeals upheld the lower court’s decision that EGLE’s rule was invalid.

EGLE has appealed this ruling to the Michigan Supreme Court.

The appeal has been fully briefed and oral argument is scheduled for November 2024.

EGLE appealed that ruling to the Michigan Supreme Court.

In March 2025, the Michigan Supreme Court vacated the decision of the Court of Appeals and remanded the case for resolution of certain questions not previously addressed.

Some states have also been evaluating or have taken actions relating to PFOA, PFOS and other PFAS compounds in products.

In 2021, the State of Maine passed its Act To Stop Perfluoroalkyl and Polyfluoroalkyl Substances Pollution, which banned intentionally added PFAS in products effective January 1, 2030, and required broad reporting of products containing intentionally added PFAS effective January 1, 2023.

In December 2022, 3M submitted to the Maine Department of Environmental Protection ("DEP") a list of products containing intentionally added PFAS that were sold in the U.S.

in 2020-2022 in response to the law.

3M submitted an updated copy of that list to the Maine DEP in May 2023.

The Maine legislature has since enacted legislation retroactive to January 1, 2023, that includes changes to the product bans and notification requirements in the original legislation, including by narrowing the products for which notification is required and extending the compliance date.

In May 2023, Minnesota enacted a law that includes broad PFAS prohibitions and reporting obligations.

Under that law, manufacturers of any products containing intentionally added PFAS that are sold, offered for sale, or distributed in Minnesota must submit notifications to the Minnesota Pollution Control Agency ("MPCA") by January 1, 2026.

The statute also includes a general prohibition on sales of PFAS-containing products starting January 1, 2032, unless the MPCA has determined through a rulemaking that the use of PFAS in the product is unavoidable.

In September 2023, the MPCA initiated a rulemaking process to implement the law's reporting obligations.

In December 2023, the MPCA initiated a separate rulemaking concerning currently unavoidable uses of PFAS under the law.

Certain states, including Colorado, California, Connecticut, Hawaii, Maryland, Nevada, New York, Oregon, Rhode Island, Vermont, and Washington, have enacted restrictions on PFAS in certain categories of products, including textiles, children’s products, cosmetics, fire fighter personal protective equipment and food packaging products.

As discussed in previous disclosures, Maine and Minnesota have both enacted laws that include broad PFAS prohibition and reporting obligations.

In April 2025, New Mexico enacted a law restricting intentionally added PFAS in certain categories of consumer products beginning January 1, 2027, and in all products starting in 2032.

The law also requires manufacturers of any products containing intentionally added PFAS to submit certain information to the New Mexico Environment Department and gives that Department authority to require product testing for PFAS.

Certain states, including Colorado, California, Connecticut, Hawaii, Maryland, Massachusetts, Nevada, New York, Oregon, Rhode Island, Vermont, and Washington, have enacted restrictions on PFAS in certain categories of products, including textiles, children’s products, cosmetics, fire fighter personal protective equipment and food packaging products.

The Company cannot predict what additional regulatory or legislative actions in the United States, Europe and elsewhere arising from the foregoing or other proceedings and activities, if any, may be taken regarding such compounds or the consequences of any such actions to the Company, including to its manufacturing operations and its products.

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3M will continue to address PFAS at certain other closed municipal sites at which the Company historically disposed waste and continue environmental characterization in the area.

This work will complement an Interim Consent Order that 3M entered with the Alabama Department of Environmental Management (“ADEM") in 2020 and includes sampling of environmental media, such as ground water, regarding the potential presence of PFAS at the 3M Decatur facility and legacy disposal sites, as well as supporting the execution of appropriate remedial actions.

This work will complement an Interim Consent Order that 3M entered into with the Alabama Department of Environmental Management (“ADEM") in 2020 and includes sampling of environmental media, such as ground water, regarding the potential presence of PFAS at the 3M Decatur facility and legacy disposal sites, as well as supporting the execution of appropriate remedial actions.

In August 2022, Colbert County, Alabama, which opted out of an earlier class settlement, filed a lawsuit against 3M and several co-defendants alleging that discharge from operations in Decatur, Alabama has contaminated the Tennessee River, from which the County draws its drinking water.

Defendants' joint motion to dismiss was denied in December 2022, and defendants' petition for mandamus with the Supreme Court of Alabama was denied in September 2023.

The case entered active discovery, and 3M removed the action to federal court based on discovery responses indicating plaintiff’s claims implicated AFFF manufactured in Decatur for the United States military.

In response to a filing by 3M, the U.S.

Judicial Panel on Multidistrict Litigation (“JPML”) issued a conditional transfer order of this case to the AFFF federal Multi-District Litigation ("MDL").

Plaintiff’s motion to remand to state court is pending, and plaintiff opposes both federal jurisdiction and transfer to the AFFF MDL.

Judicial Panel on Multidistrict Litigation (“JPML”) issued a conditional transfer order of this case to the AFFF federal Multi-District Litigation ("MDL") in December 2024.

Plaintiff’s motion to remand the case to state court was denied without prejudice to refile following the Fourth Circuit's decision in 3M's appeal of the orders remanding cases brought by the Maryland and South Carolina Attorneys General, as discussed below.

In February 2023, the City of Muscle Shoals, Alabama filed a lawsuit against 3M and several co-defendants alleging that discharge from operations in Decatur, Alabama has contaminated the Tennessee River, from which the City draws its drinking water.

Defendants filed a joint motion to dismiss in March 2023, which was denied in January 2024.

In response to a filing by 3M, the JPML issued a conditional transfer order of this case to the AFFF MDL.

Plaintiff’s motion to remand to state court is pending, and plaintiff opposes both federal jurisdiction and transfer to the AFFF MDL.

The JPML issued a conditional transfer order of this case to the AFFF MDL in December 2024.

Since December 2023, a number of personal injury actions have been filed against 3M and other defendants, alleging exposure to PFAS from defendants' operations in Decatur.

3M has removed these cases to federal court, where they were transferred to the AFFF MDL.

Plaintiffs have filed motions to remand these cases back to state court.

Plaintiffs have filed motions to remand most of these cases back to state court.

State Attorneys General Litigation Related to PFAS

As previously reported, several state attorneys general have filed lawsuits against 3M and other defendants that are now pending in a federal MDL court in South Carolina regarding AFFF, described further below.

As previously reported, several state attorneys general have filed lawsuits against 3M and other defendants related to alleged PFAS contamination.

A number of these lawsuits are now pending in the federal MDL in South Carolina regarding AFFF, described further below, and there are also multiple state attorneys general lawsuits that are proceeding outside the AFFF MDL.

Several state attorneys general have also filed multiple lawsuits against 3M and other defendants.

In general, preliminary judicial proceedings evaluate whether these lawsuits should proceed in state or federal court and inside AFFF MDL or outside of the AFFF MDL.

Cases at times are moved to the AFFF MDL or remanded to another venue, such as state court.

The lawsuits generally seek on a state-wide basis:

injunctive relief, investigative and remedial work, compensatory damages, natural resource damages, attorneys’ fees, and, where available, punitive damages related to the states’ response to PFAS contamination.

Currently in the AFFF MDL, state attorneys general lawsuits have been brought against 3M on behalf of the people of the states of Alaska, Arizona, Arkansas, California, Connecticut, Delaware, Florida, Hawaii, Illinois, Indiana, Kentucky, Maine, Maryland, Massachusetts, Michigan, Mississippi, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Ohio, Oklahoma, Oregon, Rhode Island, South Carolina, Tennessee, Texas, Vermont, Washington, and Wisconsin, as well as on behalf of the people of the District of Columbia and the territories of Guam, Puerto Rico, and the Northern Mariana Islands.

Three State Attorneys General - Illinois, Michigan, and Wisconsin - have filed motions to remand their lawsuits back to state court.

There are also multiple state attorneys general lawsuits that are proceeding outside the AFFF MDL, as described below.

injunctive relief, investigative and remedial work, compensatory damages, natural resource damages, consumer protection civil penalties, attorneys’ fees, and, where available, punitive damages related to the states’ response to PFAS contamination.

Currently in the AFFF MDL, state attorneys general lawsuits have been brought against 3M on behalf of the people of the states of Alaska, Arizona, Arkansas, California, Connecticut, Delaware, Florida, Hawaii, Illinois, Indiana, Kentucky, Maine, Maryland, Massachusetts, Michigan, Mississippi, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Vermont, Washington, and Wisconsin, as well as on behalf of the people of the District of Columbia and the territories of Guam, Puerto Rico, and the Northern Mariana Islands.

Examples of state attorneys general lawsuits that are proceeding outside the AFFF MDL are described below.

In March 2019, the New Jersey Attorney General filed two actions against 3M, E.I.

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3M is included as a defendant in both cases because it allegedly supplied PFOA to DuPont for use at the facilities at issue and because 3M allegedly sent PFAS-containing waste to one of the facilities for disposal.

Both cases expressly seek to have the defendants pay all costs necessary to investigate, remediate, assess, and restore the facilities at issue and the affected natural resources of New Jersey.

Both cases expressly seek to have the defendants pay all costs necessary to investigate, remediate, assess, and restore the facilities at issue and the allegedly affected natural resources of New Jersey.

DuPont removed these cases to federal court.

In June 2020, the court consolidated the two actions, along with two others brought by the NJDEP relating to the DuPont facilities, for case management and pretrial purposes.

3M and the NJDEP continue mediation.

The court has set a trial commencement date of no later than June 2, 2025 in the Salem County case, while the Middlesex County case remains on administrative termination.

3M and the NJDEP continue court-facilitated mediation discussions in advance of the scheduled trial date.

The court has ordered that a phased trial will commence on May 19, 2025.

The first phase will be a bench trial to determine whether 3M and DuPont are liable on certain of NJDEP's claims in the Salem County case.

The Middlesex County case remains on administrative termination.

New Hampshire.

In May 2019, the New Hampshire Attorney General filed two lawsuits alleging contamination of the state’s drinking water supplies and other natural resources from PFAS-containing products.

As described above, one lawsuit was transferred to the AFFF MDL.

In April 2022, 3M removed the other case to federal court.

The State filed a motion to remand, which was granted in March 2023.

3M filed a notice of appeal from the remand order in April 2023.

Oral argument of the appeal was heard in October 2023.

Limited discovery is progressing in state court while the appeal remains pending.

One lawsuit was transferred to the AFFF MDL.

The other lawsuit is proceeding in state court pending a ruling by the federal court of appeals on 3M’s appeal of the order remanding the case to state court.

In March 2025, the federal court of appeals upheld the order remanding the case to state court.

In June 2019, the Vermont Attorney General filed two lawsuits alleging contamination of the state’s drinking water supplies and other natural resources from PFAS-containing products.

As described above, one lawsuit was transferred to the AFFF MDL.

In January 2024, 3M removed the other case to federal court.

The State filed a motion to remand, which was granted in April 2024.

3M filed a notice of appeal from the remand order in April 2024.

Briefing on the appeal is not yet complete.

In the meantime, discovery has resumed in state court, where an August 31, 2025 trial-ready date has been set.

One lawsuit was transferred to the AFFF MDL.

The other lawsuit is proceeding in state court pending a ruling by the federal court of appeals on 3M's appeal of the order remanding the case to state court.

The federal court held a hearing on 3M's appeal in February 2025.

The state court has set an August 31, 2025, trial-ready date for the matter.

In March 2022, the Illinois Attorney General filed a lawsuit in Illinois state court against 3M alleging contamination of the state's natural resources by PFAS compounds disposed of by, or discharged, or emitted from 3M's Cordova plant.

The complaint requests monetary damages, injunctive relief, civil penalties, a testing program, and a public outreach and information sharing program.

The case was removed to federal court and 3M moved to transfer it to the AFFF MDL, which motion was denied.

In September 2023, the federal judge granted the state's motion to remand the case back to state court.

In August 2024, the Seventh Circuit affirmed the remand to state court.

3M filed a motion to dismiss in September 2024, which is currently being briefed.

Discovery is proceeding in this case.

Two other suits filed by the Illinois Attorney General in 2023 alleging statewide PFAS contamination have been removed to federal court and transferred to the AFFF MDL.

Illinois has filed a motion to remand one of those two other suits back to state court.

In August 2024, the Seventh Circuit affirmed the order remanding the case to state court.

The state court held a hearing in December 2024 on a motion to dismiss filed by 3M.

The case is proceeding with discovery.

In March 2023, the Maine Attorney General filed two lawsuits alleging contamination of the state's drinking water supplies and other natural resources from PFAS-containing products.

One lawsuit was transferred to the AFFF MDL.

In May 2023, 3M removed the other case to federal court.

The State filed a motion to remand, which was granted in July 2023.

3M filed a notice of appeal from the remand order in August 2023.

Briefing on the appeal is complete, but oral argument has not been scheduled.

In the meantime, the case has been proceeding in state court.

The state court heard oral argument on 3M's motion to dismiss in October 2024.

The other lawsuit is proceeding in state court pending a ruling by the federal court of appeals on 3M's appeal of the order remanding the case to state court.

The state court dismissed the state's strict liability and trespass claims but denied the remainder of 3M's motion to dismiss in December 2024.

The case is proceeding with discovery.

In May 2023, the Maryland Attorney General filed two lawsuits alleging contamination of the state's drinking water supplies and other natural resources from PFAS-containing products.

As described above, one lawsuit was transferred to the AFFF MDL.

One lawsuit was transferred to the AFFF MDL.

In July 2023, 3M removed the other case to federal court.

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This appeal was consolidated with 3M’s appeal of a remand order in the South Carolina Attorney General case, as described below.

Oral argument is scheduled for October 30, 2024.

The state court has stayed the case pending the outcome of that appeal.

In March 2025, the federal court of appeals vacated the remand orders and returned the cases back to the district courts for further proceedings.

The state has requested rehearing en banc by the court of appeals.

South Carolina.

In August and October 2023, the South Carolina Attorney General filed two lawsuits alleging contamination of the state's drinking water supplies and other natural resources from PFAS-containing products.

As described above, one lawsuit was transferred to the AFFF MDL.

One lawsuit was transferred to the AFFF MDL.

In November 2023, 3M removed the other case directly to the AFFF MDL in federal court.

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This appeal was consolidated with 3M’s appeal of a remand order in the Maryland Attorney General case, as described above.

Oral argument is scheduled for October 30, 2024.

In the meantime, the case has been proceeding in state court.

3M filed a motion to dismiss, which was denied in July 2024.

Discovery is proceeding.

In March 2025, the federal court of appeals vacated the remand order and returned the cases back to the district courts for further proceedings.

The state has requested rehearing en banc by the court of appeals.

In January 2024, the Connecticut Attorney General filed two lawsuits alleging contamination of the state's drinking water supplies and other natural resources from PFAS-containing products.

As described above, one lawsuit was transferred to the AFFF MDL.

In February 2024, 3M removed the other case to federal court.

The State filed a motion to remand in April 2024.

Oral argument is scheduled for November 13, 2024.

One lawsuit was transferred to the AFFF MDL.

Following 3M's removal of the other lawsuit to federal court, the federal court remanded that other lawsuit to state court.

3M filed a notice of appeal from the remand order in December 2024, and a motion to dismiss in January 2025.

In May 2023, the Texas Attorney General filed a lawsuit alleging contamination of the state’s drinking water supplies and other natural resources from PFAS-containing products.

That lawsuit was transferred to the AFFF MDL.

In December 2024, the Texas Attorney General filed a second complaint against 3M, DuPont and Chemours in Texas state court alleging violations of the Texas Deceptive Trade Practices-Consumer Protection Act in connection with the advertising, marketing, and sale of PFAS-containing consumer products.

In January 2025, 3M removed the case to federal court, and the state has sought remand of the matter to state court.

In February 2025, 3M filed a motion to dismiss for lack of personal jurisdiction.

In addition, the Company is in discussions with several state attorneys general and agencies, responding to information and other requests, including entering into tolling agreements, relating to PFAS matters and exploring potential resolution of some of the matters raised.

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3M manufactured and marketed AFFF containing certain PFAS for use in firefighting from approximately 1963 to 2002.

As of September 30, 2024, more than 6,000 lawsuits alleging injuries or damages from PFAS contamination or exposure allegedly caused by AFFF use are pending against 3M (along with other defendants) in various state and federal courts.

As previously disclosed, there were approximately 9,017 such lawsuits pending as of June 30, 2024.

As of March 31, 2025, more than 7,800 lawsuits alleging injuries or damages from PFAS contamination or exposure allegedly caused by AFFF use are pending against 3M (along with other defendants) in various state and federal courts.

As further described below, a vast majority of these pending cases are in a federal MDL court in South Carolina.

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Plaintiffs seek a variety of forms of relief in cases in the MDL, including, where applicable, damages for personal injury, property damage, water treatment costs, medical monitoring, natural resource damages, and punitive damages.

The Company also continues to defend certain AFFF cases that remain in state court and is in discussions with pre-suit claimants for possible resolutions where appropriate.

3M also continues to defend certain AFFF cases that remain in state court and is in discussions with pre-suit claimants for possible resolutions where appropriate.

In general, preliminary judicial proceedings evaluate whether these lawsuits should proceed in the AFFF MDL or outside of the AFFF MDL, with some cases being moved to the AFFF MDL or remanded to another venue, such as state court.

AFFF MDL and Water System Cases

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District Court for the District of South Carolina to be managed in an MDL proceeding to centralize pre-trial proceedings.

Over the past five years, the parties in the MDL have conducted substantial discovery, including ongoing master discovery and several rounds of discovery involving potential bellwether cases.

Over the past six years, the parties in the MDL have conducted and are continuing to conduct ongoing master discovery and discovery regarding specific groups of cases, including public water supplier, personal injury, and attorneys general cases, among other types of cases.

In September 2022, the court issued an order denying defendants' MDL-wide summary judgment motions on the government contractor defense, which defense can be presented to a jury at future trials.

In the MDL, following the previously disclosed public water systems ("PWS") settlement, a number of cases filed by PWS are still pending.

Most of the PWS that have filed claims against 3M are participating in the PWS Settlement (as defined below), and the parties are in the process of implementing the dismissal of released claims in accordance with the court's final approval order.

The PWS with cases in the MDL include community water systems, which are public water systems that provide water for human use and consumption to a set population, and non-community water systems, which are public water systems that supply water to a varied population (for example, campgrounds or schools).

There are approximately 50,000 community water systems in the United States.

The MDL cases focus on AFFF, but the MDL also contains cases with allegations related to AFFF and to the broader category of PFAS products.

3M and other defendants also face cases filed by public water systems outside of the MDL.

Public water system cases include a variety of claims, including for product liability, negligence, and public nuisance.

The cases seek damages for, among other things, remediation costs to remove PFAS from drinking water provided to communities, as well as punitive damages.

The MDL court has repeatedly encouraged the parties in the MDL to negotiate to resolve cases, including these PWS cases.

In October 2022, the court appointed a retired federal judge as a mediator to assist the parties in seeking resolutions.

On June 22, 2023, 3M entered into a class-action settlement to resolve a wide range of drinking water claims by public water systems in the United States (“PWS Settlement”), which was approved by the court in March 2024 and took effect in May 2024.

On June 22, 2023, 3M entered into a class-action settlement to resolve a wide range of drinking water claims by public water systems in the United States (the “PWS Settlement”), which was approved by the court in March 2024 and took effect in May 2024.

Eligible class members are United States public water systems as defined in the PWS Settlement.

For class members, the PWS Settlement resolves the portion of the MDL involving PWS drinking water claims in the United States by providing funding for treatment technologies to eligible PWS that have tested positive for PFAS, funding for future testing, and funding for eligible systems that test positive in the future.

The PWS Settlement provides that 3M does not admit any liability or wrongdoing and does not waive any defenses.

Under the PWS Settlement, class members agreed to release 3M from any claim arising out of, relating to, or involving (i) PFAS that has entered or may enter drinking water or the class member’s water system;

(ii) the development, manufacture, formulation, distribution, sale, transportation, storage, loading, mixing, application, or use of PFAS or any product (including AFFF) manufactured with or containing PFAS;

(iii) the transport, disposal, or arrangement for disposal of PFAS-containing waste or PFAS-containing wastewater, or a class member’s use of PFAS-containing water for irrigation or manufacturing;

or (iv) representations about PFAS or any product (including AFFF) manufactured with or containing PFAS.

The PWS Settlement also requires class members to release punitive- or exemplary-damages claims that arise out of conduct occurring at least in part before the PWS Settlement’s effective date and that relate to PFAS, or any product (including AFFF) manufactured with or containing PFAS.

Following the PWS Settlement, a number of cases filed by PWS are still pending.

Approximately 20 of these cases were brought by PWS class members with respect to which the parties are in the process of implementing the dismissal of released claims in accordance with the court's final approval order.

The remaining cases are brought by PWS that did not participate in the PWS settlement, which includes cases pending in both the MDL and various state courts.

3M will pay $ 10.5 billion to $ 12.5 billion in total to resolve the claims released by the PWS Settlement.

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The charge reflected the present value (discounted at an estimated 5.2 % interest rate at time of proposed settlement) of the expected $ 12.5 billion nominal value of 3M’s payments under the PWS Settlement.

The PWS Settlement, as amended to include payments to the cities of Stuart, Rome and Middlesex (as discussed below), calls for 3M to make payments from 2024 through 2036.

The PWS Settlement, as amended to include payments to certain other water providers, calls for 3M to make payments from 2024 through 2036.

The actual amounts that 3M will pay will be determined in part by which class members that do not have a positive test result for the presence of PFAS in their drinking water (as defined by the PWS Settlement) as of the date of the PWS Settlement and those that receive such a test result by the end of 2025.

The deadline for eligible public water systems to opt out of the PWS Settlement was December 11, 2023, and the Court approved the PWS Settlement in March 2024.

In December 2023, the parties selected an initial set of 25 plaintiffs for potential personal injury bellwether cases.

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In July 2024, the court selected 9 out of the 25 bellwether cases to undergo additional discovery, including expert discovery.

In September 2024, the Court issued an order requiring the parties to submit a proposed process for an additional set of personal injury claims not addressed in either the initial personal injury bellwether cases or the dismissal process.

In October 2024 the Court set October 6, 2025, as the date for the first bellwether personal injury trial.

Under the MDL case management order, by January 2025, the parties must meet and confer on which of the 9 potential personal injury bellwether cases will move forward with dispositive motion practice and any trials.

The court also continues to encourage the parties to consider settlement of certain personal injury claims.

In January 2025, the Court issued an order setting the first bellwether personal injury trial to begin on October 20, 2025.

Further, the Court ordered the parties to submit joint or competing proposals for bellwether trial picks among the kidney and testicular cancer plaintiffs by May 6, and has set June 20 for a "Science Day" regarding liver and thyroid cancers.

At the Court's direction, the parties continue to negotiate processes for bellwethers of certain other personal injury claims.

In November 2024, the Court issued an order directing the parties to work together to develop a process to select approximately 15 sites allegedly contaminated with PFAS from AFFF use for the purpose of conducting focused product identification discovery.

The parties agreed to a case management order adopted by the Court in January 2025 and submitted 12 proposed sites to the Court in March 2025, which the Court approved in April 2025.

The parties will now conduct six months of product-identification discovery regarding those sites and report back to the Court.

Other AFFF Cases

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The five cases that remain pending in state courts are stayed by agreement of the parties.

The Company is aware of other AFFF suits outside the AFFF MDL in which the Company has been named a defendant.

3M anticipates that most of these cases will eventually be removed to federal court and transferred to the AFFF MDL;

The Company is aware of other AFFF suits outside the AFFF MDL in which the Company has been named as a defendant.

3M anticipates seeking to have most of these cases be removed to federal court and transferred to the AFFF MDL;

however, several cases are expected to remain pending in state courts, including a case in Illinois state court brought by an oil refinery worker alleging harm caused by PFAS and other chemicals.

Separately, the Company is aware of pre-suit claims or demands by other parties related to the use and disposal of AFFF, one of which purports to represent a large group of firefighters.

In June 2023, the City of Springfield, Missouri sued 3M and other defendants in the AFFF MDL.

Springfield’s complaint alleges that 3M and other defendants are liable for damage to Springfield’s public water system from PFAS attributable to AFFF.

Springfield opted out of the PWS Settlement and its lawsuit remains pending in the MDL.

In June 2024, Springfield filed a lawsuit in federal court in Missouri against 3M alleging violations of the federal Clean Water Act and the RCRA.

3M has sought to transfer this case to the AFFF MDL.

Plaintiff has opposed transfer and a briefing schedule has been set on plaintiff's opposition.

Separately, 3M has reported to the Missouri Department of Natural Resources (“MDNR”) the presence of PFAS in soil and water at the Springfield facility.

3M is addressing that matter under supervision of the MDNR.

Other PFAS-related Product and Environmental Litigation

Numerous other PFAS-related suits naming 3M as a defendant have been filed outside the MDL in courts across the country in which 3M has been named a defendant.

The Company anticipates most of the cases that relate to AFFF will ultimately be removed to federal court and transferred to the MDL.

The Company anticipates seeking to have most of the cases that relate to AFFF be removed to federal court and transferred to the MDL.

However, some of these cases are likely to remain in state or federal courts outside of the MDL.

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Starting in 2017, 3M has been served with individual and putative class action complaints in various state and federal courts alleging, among other things, that 3M’s customers’ improper disposal of PFOA and PFOS resulted in the contamination of groundwater, surface water, or biosolids that were then land-applied.

The plaintiffs in these cases generally allege that 3M failed to warn its customers about the hazards of improper disposal of the product.

The plaintiffs in these cases generally allege that 3M failed to warn its customers or the plaintiffs themselves about the hazards of improper disposal of the product.

They also generally allege that contaminated groundwater has caused various injuries, including personal injury, loss of use and enjoyment of their properties, diminished property values, investigation costs, and remediation costs.

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The cases brought on behalf of drinking water providers described below will be covered by the PWS Settlement if the water providers did not opt out of the PWS Settlement.

In Alabama, 3M, together with multiple co-defendants, is defending six state court cases brought by municipal water utilities.

The plaintiffs in one of these cases (Shelby/Talladega Counties) are water utilities alleging that the carpet manufacturers in Georgia improperly discharged PFAS into the surface water and groundwater, contaminating drinking water supplies of cities located downstream along the Coosa River in Alabama.

The case is now in active discovery.

In Alabama, 3M, together with multiple co-defendants, is defending several state court cases brought by municipal water utilities.

The plaintiffs in one of these cases (Shelby/Talladega Counties) are water utilities alleging that carpet manufacturers in Georgia improperly discharged PFAS into the surface water and groundwater, contaminating drinking water supplies of cities located downstream along the Coosa River in Alabama.

The case has a trial date in February 2026.

3M removed this case to federal court and has sought transfer the case to the AFFF MDL.

The plaintiffs have moved to remand and have opposed transfer to the MDL.

In the second action, 3M is defending a putative class action by the Utilities Board of Tuskegee on behalf of all drinking water utilities within Alabama whose finished drinking water has contained a detectable concentration level of PFOA, PFOS, GenX, or PFBS that exceed the June 2022 health advisory levels issued by the EPA.

3M filed a motion to dismiss the complaint in October 2022, which was granted in part and denied in part in February 2023.

The case is proceeding through discovery and a trial date has been set in June 2026.

In the third case, the city of Albertville, Alabama recently filed suit for alleged contamination of the Tennessee River (upstream of 3M’s Decatur facility) by a carpet manufacturer located upriver in Alabama.

This case was dismissed without prejudice in February 2025 by agreement of the parties.

In the third case, the city of Albertville, Alabama filed suit for alleged contamination of the Tennessee River (upstream of 3M’s Decatur facility) by a carpet manufacturer located upriver in Alabama.

Defendants filed a joint motion to dismiss in May 2024.

Oral argument on the motion is scheduled for April 2025.

In the fourth case, the city of Mobile alleges that 3M and other defendants are responsible for PFAS contamination of the city’s water supply resulting from PFAS released by a local landfill.

3M filed a motion to dismiss this case in June 2024.

In October 2024, the Court granted 3M’s and several other defendants’ motions to dismiss and in November 2024, 3M’s co-defendants filed a motion asking the Court to certify the dismissal order as a final judgment.

Plaintiff has moved for reconsideration of the dismissal order, and the matter is set for hearing in April 2025.

In the fifth case, the Town of Pine Hill, Alabama filed suit alleging that PFAS discharges from paper mills currently owned by International Paper have contaminated its water supply.

3M removed the case to federal court, where plaintiff has filed a motion for remand.

3M removed the case to federal court and moved to transfer the case to the AFFF MDL.

In March 2025, the JPML declined to transfer the case to the AFFF MDL, and the district court ordered the case remanded.

3M has filed a notice of appeal.

In the sixth case, the City of Irondale, Alabama filed suit alleging PFAS contamination of its water supply due to industrial discharges from several users of PFAS in different industries, including alleged customers of 3M.

3M has not yet responded to that complaint.

3M removed the case to federal court and moved to transfer the case to the AFFF MDL.

In March 2025, the JPML declined to transfer the case to the AFFF MDL.

Plaintiff's motion to remand remains pending.

3M is also defending a mass action filed in Alabama in June 2024 by hundreds of individual customers of the Water Works and Sewer Board for the City of Gadsden, Alabama, alleging emotional distress and property damage related to PFAS contamination of their drinking water.

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In May 2021, the City of Summerville filed a motion to intervene in the lawsuit, which was granted in March 2022.

This case is now proceeding through discovery, which has been extended by the court through October 2024.

The case is in expert discovery and no trial date has been set.

Another case originally filed in Georgia state court was brought by individuals asserting PFAS contamination by the Georgia carpet manufacturers and seeking economic damages and injunctive relief on behalf of a putative class of Rome and Floyd County water subscribers.

Class certification has been fully briefed.

Class certification has been fully briefed, and the plaintiff's injunctive relief claims were recently dismissed.

Plaintiff's claims for economic damages related to alleged increases in their water rates due to the presence of PFAS remain pending.

In February 2024, two landowners in Gordon County, Georgia sued 3M and other defendants for alleged contamination of their properties from wastewater treatment sludge allegedly containing PFAS from nearby carpet manufacturing operations.

One of 3M’s co-defendant’s, the City of Calhoun, Georgia, has filed a cross claim against 3M and other defendants alleging that biosolids from its wastewater treatment plant were contaminated with PFAS that has migrated into its water supply.

3M filed motions to dismiss the complaint and cross claim.

In June 2024, a related lawsuit was filed on behalf of other property owners receiving biosolids from the same municipal water treatment plant.

3M has moved to dismiss this matter.

Motions to dismiss have been denied, and these claims are in active discovery.

In January 2025, private plaintiffs filed a lawsuit against 3M, DuPont, Daikin, Mohawk Industries, Shaw, and others in Gordon County, Georgia alleging PFAS contamination on their property.

In July 2024, the City of Lyerly sued 3M and other defendants, alleging that discharges from local carpet mills contaminated the City's water supply.

3M has moved to dismiss those claims.

In Delaware, 3M is defending one putative class action brought by individuals alleging PFAS contamination of their water supply resulting from the operations of local metal plating facilities.

Plaintiffs allege that 3M supplied PFAS to the metal plating facilities.

DuPont, Chemours, and the metal platers have also been named as defendants.

This case was removed to federal court, and in September 2022, the court dismissed all but plaintiffs’ negligence claim.

In November 2022, plaintiffs filed a third amended complaint seeking to replead certain previously dismissed claims and, in August 2023, the court once again dismissed all but plaintiffs' negligence claim.

Plaintiffs filed a motion for class certification in August 2024, which is now being briefed by the parties.

3M, together with several co-defendants, is also defending numerous cases in New Jersey federal court brought by individuals with private drinking water wells near certain DuPont and Solvay facilities that were allegedly supplied with PFAS by 3M.

3M has agreed to settle with the plaintiffs in certain cases that sought property damages, subject in certain cases to court approval.

Plaintiffs in the remaining individual cases allege personal injuries to themselves or to their disabled adult children, and those cases are proceeding through discovery.

A motion to dismiss filed by 3M was denied in March 2025.

In November 2024, Mohawk Industries, a carpet manufacturer, filed a lawsuit in Whitfield County, Georgia against 3M, DuPont, and Daikin alleging various counts of tort and contract liability, including fraud, related to sales of fluorochemicals.

In December 2024, Dalton Utilities, located in Dalton, Georgia, filed a suit against 3M, DuPont, Dakin, and several carpet manufacturers seeking clean-up costs under CERCLA for alleged PFAS contamination related to the Dalton Land Application System, which is a field that has received carpet mill effluent pursuant to a Georgia Environmental Protection Division permit since the late 1980s.

In December 2024, Murray County, Georgia filed suit against 3M, DuPont, Daikin, and several carpet manufacturers seeking clean-up costs for alleged PFAS contamination related to the Murray County landfill and other locations throughout the County.

3M filed a motion to dismiss, and briefing is ongoing.

In January 2025, Catoosa County, Georgia and Gordon County, Georgia filed substantively identical complaints alleging similar PFAS impacts as Murray County related to county-owned landfills.

In February 2025, the City of Savannah, Georgia sued 3M and multiple other defendants, including carpet makers, alleging PFAS discharges upstream of its surface water drinking intake have contaminated its water supply.

3M removed the case to federal court, where plaintiff has filed a motion to remand.

3M also intends to file a motion to transfer the case to the MDL.

In Delaware, 3M has been defending one putative class action brought by individuals alleging PFAS contamination of their water supply resulting from the operations of local metal plating facilities.

Plaintiffs alleged that 3M supplied PFAS to the metal plating facilities.

DuPont, Chemours, and the metal platers had also been named as defendants.

In August 2023, the court dismissed all but plaintiffs' negligence claim.

Plaintiffs filed a motion for class certification in August 2024, and 3M filed a motion for summary judgment in December 2024.

In March 2025, the court granted 3M's motion for summary judgment as to the remaining claim.

In New Jersey, 3M, together with several co-defendants, is also defending numerous cases in New Jersey federal court brought by individuals with private drinking water wells near certain DuPont and Solvay facilities that were allegedly supplied with PFAS by 3M.

3M has agreed to settle for an immaterial amount with the plaintiffs in certain cases that sought property damages, subject in certain cases to court approval.

Plaintiffs in the remaining individual cases allege personal injuries to themselves or to their adult children.

3M and Middlesex Water Company are defending a putative class action filed in New Jersey federal court in November 2021 by individuals who received drinking water from Middlesex Water Company that was allegedly contaminated with PFOA.

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Plaintiff filed a second amended complaint in November 2022, and 3M and DuPont filed a joint motion to dismiss, which was largely denied in September 2023.

The case is now proceeding in discovery.

In August of 2024, a companion personal injury case was filed in South Carolina.

That case is in its early stages and does not contain class allegations.

3M removed this case to federal court.

In January 2025, eight water systems that opted out of the PWS Settlement filed complaints in South Carolina state court against 3M and other defendants, alleging PFAS contamination from a variety of industrial sources.

3M removed all eight cases into the AFFF MDL in federal court in February 2025.

In Massachusetts, a putative class action lawsuit was filed in August 2022 in state court against 3M and several other defendants alleging PFAS contamination from waste generated by local paper manufacturing facilities that was subsequently incorporated into biosolids.

The lawsuit alleges property damage and also seeks medical monitoring on behalf of plaintiffs within the Town of Westminster.

This case was removed to federal court.

In February 2023, the federal court consolidated this action with a previously-filed federal case involving similar allegations and claims against 3M’s co-defendants.

Thereafter, plaintiffs filed a second amended complaint asserting claims against 3M.

3M filed a motion to dismiss the second amended complaint in March 2023.

The motion was granted in part and denied in part in December 2023.

The lawsuit alleges property damage and seeks medical monitoring on behalf of plaintiffs within the Town of Westminster.

This case was removed to federal court, where it was consolidated with a previously-filed federal case involving similar allegations and claims against 3M’s co-defendants.

3M filed a motion to dismiss the second amended complaint in March 2023, which was granted in part and denied in part in December 2023.

In February and March 2024, 3M and the remaining defendants answered the complaint and filed cross claims against one another.

The case is now proceeding in discovery.

In March and April 2024, 3M’s co-defendants filed several motions to add new third-party defendants.

3M subsequently filed a motion to add cross claims against most of the new proposed third-party defendants, if they are added to the case.

The court denied the motion to add one party in August 2024 and other motions remain pending.

In January 2025, the plaintiffs filed their class certification motion, and, in March 2025, 3M filed its opposition to class certification.

In October 2024, one of the former plaintiffs in the putative class action filed a separate suit in Massachusetts state court against 3M and other defendants alleging PFAS-related personal injury as well as property damage to a private well.

3M filed a motion to dismiss that case in March 2025.

In Maine, a group of landowners filed a second amended complaint in October 2022 in federal district court, adding 3M and several other alleged chemical suppliers as defendants in a case previously filed against several paper mills, alleging PFAS contamination from waste generated by the paper mills that was then incorporated into biosolids.

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In October 2023, the court denied 3M's motion to dismiss the case.

Plaintiffs filed a fourth amended complaint in September 2024, which removed all personal injury and medical monitoring claims, dismissed nine plaintiffs, and added property damage claims for 106 new plaintiffs, resulting in a total of 112 plaintiffs, asserting only property damage claims.

Plaintiffs filed a fourth amended complaint in September 2024, which removed all personal injury and medical monitoring claims, dismissed certain plaintiffs, and added property damage claims for certain new plaintiffs asserting only property damage claims.

The case is now proceeding in discovery.

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3M has filed a motion to dismiss, which remains pending.

The court has set a trial date in September 2026.

The case is proceeding through discovery.

The court has set a trial date in March 2027.

In December 2024, 3M was named as a defendant in a putative class action brought in federal court by several private well owners near 3M's Wausau Greystone quarry seeking to recover for property damages and medical monitoring related to alleged PFAS contamination.

The case also includes (non-class) personal injury claims on behalf of select plaintiffs.

3M filed a motion to dismiss this case in February 2025 and filed a motion to transfer the case to the AFFF MDL in March 2025.

3M also filed a motion to stay the case pending a decision on transfer to the AFFF MDL in March 2025.

In Illinois, 3M has been sued in three separate actions by individual plaintiffs alleging personal injury and/or property damage claims relating to alleged PFAS contamination from 3M’s Cordova facility.

The earliest of these suits, filed in November 2023, has been removed to federal court and is currently stayed.

The remaining two cases were filed in September 2024.

The remaining two cases were filed in September 2024 and 3M has removed these cases to federal court.

3M has filed a motion to transfer all three cases to the AFFF MDL.

In Missouri, in April 2024, 3M and certain DuPont-related entities were added as defendants to a pending putative class action brought by individuals alleging PFAS contamination of their properties and drinking water from metal plating operations in southeastern Missouri.

3M filed a motion to dismiss the complaint in June 2024.

In May 2024, 3M was named as a defendant in a putative class action brought by individuals claiming exposure to PFAS from drinking water in Canton, Missouri.

3M filed a motion to transfer this case to the AFFF MDL.

In October 2024, the court denied 3M's motion to dismiss.

The court has set a trial date in May 2027.

In Connecticut, in June 2024, 3M and numerous other defendants were sued in a putative class action brought by individual firefighters and several firefighter unions, alleging exposure to PFAS from certain turnout gear worn by the class members.

3M filed a motion to transfer the case to the AFFF MDL, which plaintiffs have opposed.

3M filed a motion to transfer the case to the AFFF MDL, which was denied.

3M filed a motion to dismiss in December 2024.

In October 2018, 3M and other defendants, including DuPont and Chemours, were named in a putative class action in the U.S.

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individuals with detectable levels of PFAS in their blood.

In March 2022, the court certified a class of "[i]ndividuals subject to the laws of Ohio, who have 0.05 [ppt] of PFOA (C-8) and at least 0.05 ppt of any other PFAS in their blood serum." In November 2023, the Sixth Circuit issued an order vacating the class certification decision and remanding the case with instructions that the district court dismiss the case.

In January 2024, the Sixth Circuit denied a motion by plaintiffs for en banc rehearing of that order.

In March 2024, the district court vacated the class certification order and dismissed the case for lack of jurisdiction.

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3M was served with the suit in July 2024 and subsequently filed a motion to transfer the case to the AFFF MDL, which was denied in October 2024.

In October 2024, 3M filed a motion to dismiss the lawsuit, which motion is pending.

In Virginia, in August 2024, 3M was named as a defendant in a case alleging that plaintiff’s decedent, a civilian firefighter, died from cancer allegedly caused by exposure to PFAS from turnout gear.

3M has not yet responded to the complaint.

A co-defendant removed the case to federal court, where plaintiff has moved to remand the case to state court.

3M has filed a motion for transfer to the AFFF MDL, which was denied in February 2025.

The plaintiff's motion to remand remains pending.

In Minnesota, in August 2024, 3M, DuPont, and Chemours were named in a putative nationwide class action brought on behalf of all persons who purchased carpeting treated with PFAS-containing products before January 1, 2020.

The lawsuit alleges claims under RICO and state consumer protection, product liability, and nuisance laws.

3M has not yet responded to the complaint.

3M filed a motion to dismiss in November 2024.

Oral argument on 3M's motion was heard in April 2025.

In Pennsylvania, in March 2025, 3M, DuPont, and the designers, manufacturers, and distributors of AstroTurf were named in a complaint filed in the Philadelphia Court of Common Pleas by former Philadelphia Phillies players alleging personal injury claims (brain, testicular, and thyroid cancers) allegedly resulting from exposure to PFAS and ethylene oxide in AstroTurf at Veterans Stadium.

Plaintiffs’ alleged exposures date back to the 1970s.

The case was served on 3M in March 2025.

In Montana, in April 2025, 3M, DuPont, and Chemours were named in a putative nationwide class action in Montana District Court, brought on behalf of all entities in the United States who bought turnout gear that was manufactured, designed, or sold, in whole or in part, by any of the named defendants.

The lawsuit alleges claims under RICO and state conspiracy, product liability, consumer protection, and deceptive trade practices laws.

In Michigan, 3M previously settled claims brought by Wolverine World Wide (Wolverine) related to Wolverine’s alleged use of 3M Scotchgard in its shoe manufacturing operations.

3M continues to incur liabilities for immaterial amounts pursuant to the settlement agreement.

Since January 2025, one plaintiffs’ firm has filed 16 multi-plaintiff matters in state courts in New York, New Jersey, Illinois, and Delaware against 3M and over a dozen co-defendants.

The plaintiffs alleged personal injury from drinking water exposure to PFAS from consumer products and/or direct exposure to household products.

3M has removed the first eight of these cases and moved to transfer them to the AFFF MDL.

Although plaintiffs initially sought remand and opposed transfer of these cases, plaintiffs have since withdrawn their motions to remand and withdrawn plaintiff’s opposition to 3M’s motion to transfer the cases to the AFFF MDL.

Other PFAS-related Matters

At its Greystone, Wisconsin facility where the Company conducts mining operations, the tap water available for consumption on the grounds was recently sampled and tested, and the level of certain PFAS exceeded the state's maximum contaminant level.

Wisconsin Department of Natural Resources ("DNR") in October 2023 instructed the plant to notify potential drinking water users on the grounds of the plant and indicated that a notice of violation would be issued to the plant.

The Company made the required notifications on October 24, 2023.

On January 9, 2024, the Company received a Notice of Violation and Enforcement Conference from the Wisconsin DNR.

Following discussions, the Company entered into a consent order with the Wisconsin DNR in June 2024 regarding the installation of a treatment system for the supply well by March 2026 as the appropriate corrective actions.

The Company is in the process of designing the treatment system for installation on the well.

In August 2024, the Company received a request for information from EPA under CERCLA seeking information and documents, including regarding the use and disposal of PFAS at its Greystone facility and its downtown Wausau facility.

3M is in the process of responding to the request.

As previously reported, in November 2019, the Company disclosed to the EPA, and, in January 2020, disclosed to the Illinois Environmental Protection Agency ("IEPA"), that the Company's NPDES permit for the Cordova facility did not include all PFAS that had been identified in its water discharge.

A new application to cover the additional PFAS was submitted, and the Company has now brought on-line and continues to optimize a wastewater treatment specifically designed to treat PFAS.

3M has provided the EPA with information responsive to that request.

In March 2025, the Wisconsin Department of Natural Resources issued a letter to 3M stating that it has determined there has been a release of hazardous substances from the Greystone facility based on PFAS detected in groundwater, and ordering 3M to submit a work plan for investigation.

Depending on the results of that investigation, the Wisconsin Department of Natural Resources may require 3M to conduct remediation at the site.

The Company is authorized to discharge wastewater from its Cordova plant pursuant to an NPDES permit issued by the Illinois Environmental Protection Agency (“IEPA”).

As previously reported, in November 2019, the Company disclosed to the EPA, and, in January 2020, disclosed to the IEPA, that the Company's NPDES permit for the Cordova facility did not include all PFAS that had been identified in its water discharge.

An application to add to the plant's permit the additional PFAS was submitted to IEPA, and the Company has now brought on-line and continues to optimize a wastewater treatment specifically designed to treat PFAS.

The Company continues to work with the EPA and IEPA.

IEPA has not acted on the pending application.

In November 2022, the Company entered into an Administrative Consent Order under the Safe Drinking Water Act ("SDWA") that requires the Company to continue to sample and survey private and public drinking water wells within the vicinity of the Cordova facility, provide treatment of private water wells within a three-mile radius of the Cordova facility, and to provide alternate treatment/supply for the Camanche, Iowa public drinking water system.

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As part of the settlement, the Company agreed to pay an immaterial penalty.

Separately, in July 2023, 3M received from the EPA a draft for discussion of a federal administrative order under RCRA.

That order would require 3M to conduct an investigation to determine the nature and extent of PFAS contamination at and around its Cordova facility, among other items.

The Company continues to work with EPA regarding its draft administrative order.

In March 2024, the Company received an information request from EPA seeking information related to the implementation of the Cordova facility’s Clean Air Act section 122(r) risk management program.

In May 2024, EPA conducted an on-site inspection at the Cordova facility as part of its 112(r) risk management program investigation.

The Company has completed its production of information and documents responsive to the information request.

In Alabama, as previously reported, the Company entered into a voluntary remedial action agreement with the ADEM to remediate the presence of PFAS in the soil and groundwater at the Company’s manufacturing facility in Decatur, Alabama.

In January 2025, the Company reached an agreement with the EPA on the terms of a consent order under RCRA, that requires the Company to delineate PFAS in soil and groundwater at the Cordova plant and a surrounding area that extends up to 1/2 mile from the plant site.

The order also requires collecting a specified number of soil and groundwater samples at up to 80 locations in the area extending 5 miles from the plant.

Decatur, Alabama

In Alabama, as previously disclosed, the Company entered into a voluntary remedial action agreement with the Alabama Department of Environmental Management (ADEM) to remediate the presence of PFAS in the soil and groundwater at the Company’s manufacturing facility in Decatur, Alabama.

With ADEM’s agreement, 3M substantially completed installation of a multilayer cap on the former sludge incorporation areas.

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In addition, as previously reported, the Company discovered it had not fully characterized its PFAS discharge in its NPDES permit.

In September 2019, the Company disclosed the matter to the EPA and ADEM and temporarily idled certain manufacturing processes at 3M Decatur and installed wastewater treatment controls.

In September 2019, the Company disclosed the matter to the EPA and ADEM and temporarily idled certain manufacturing processes at 3M Decatur.

An application to add the additional PFAS to its NPDES permit was submitted to ADEM and the Company installed additional wastewater treatment controls to address PFAS.

The wastewater controls are currently being upgraded and optimized.

ADEM has not acted on the request to modify the NPDES permit.

As previously reported, in December 2019, the Company received a grand jury subpoena from the U.S.

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and (ii) remediation activities, including on-site and off-site investigations and studies.

Obligations related to ongoing future site operations under the Consent Order involve additional operating costs and capital expenditures over multiple years.

As offsite investigation activities continue, additional remediation amounts may become probable and reasonably estimable.

In Minnesota, as previously reported, the Company discovered it had not fully characterized its PFAS discharge in its NPDES permit for the Cottage Grove facility and, in March 2020, disclosed this matter to the Minnesota Pollution Control Agency (MPCA) and the EPA.

Obligations related to ongoing future site operations under the Consent Order or any further investigations may involve additional operating costs and capital expenditures over multiple years.

Cottage Grove, Minnesota

The Company is authorized to discharge wastewater from its Cottage Grove plant pursuant to an NPDES permit issued by the Minnesota Pollution Control Agency (MPCA).

As previously reported, the Company discovered it had not fully characterized its PFAS discharge in its NPDES permit for the Cottage Grove facility and, in March 2020, disclosed this matter to the EPA and MPCA.

The Company submitted an application to add the additional PFAS to its NPDES permit.

The Company is currently installing a new wastewater treatment system to address PFAS.

The Company continues to work with the MPCA pursuant to the terms of an ongoing and previously disclosed May 2007 Settlement Agreement and Consent Order ("SACO") to address the presence of certain PFAS compounds in the soil and groundwater at former disposal sites in Washington County, Minnesota (Oakdale and Woodbury) and at the Company’s manufacturing facility at Cottage Grove, Minnesota.

Under this agreement, the Company’s principal obligations include (i) evaluating releases of certain PFAS compounds from these sites and proposing response actions, including actions to provide treatment or alternative drinking water upon identifying any level exceeding a Health Based Value ("HBV") or Health Risk Limit ("HRL") (i.e., the amount of a chemical in drinking water determined by the MDH to be safe for human consumption over a lifetime) for certain PFAS compounds for which a HBV and/or HRL exists;

Under this agreement, the Company’s principal obligations include (i) evaluating releases of certain PFAS compounds from these sites and proposing response actions, including actions to provide treatment or alternative drinking water upon identifying any level exceeding a Health Based Value ("HBV") or Health Risk Limit ("HRL") (i.e., the amount of a chemical in drinking water determined by the Minnesota Department of Health (MDH) to be safe for human consumption over a lifetime) for certain PFAS compounds for which a HBV and/or HRL exists;

(ii) remediating identified sources of other PFAS compounds at these sites that are not controlled by actions to remediate PFOA and PFOS;

and (iii) sharing information with the MPCA about certain perfluorinated compounds.

The Company also continues to implement the previously disclosed 2009 remedial decisions adopted by MPCA for the Cottage Grove and Woodbury Sites.

In January 2024, the Minnesota Department of Health issued updated, more stringent, HBVs for PFOA and PFOS.

In January 2024, the MDH issued updated, more stringent, HBVs for PFOA and PFOS.

In October 2024, MDH proposed HRLs for PFOA and PFOS.

3M continues to evaluate any potential impact of these developments on its obligations under the SACO.

In August 2009, the MPCA issued a decision adopting remedial options for the Company’s Cottage Grove manufacturing facility.

In the spring and summer of 2010, 3M began implementing the approved remedial options at the Cottage Grove and Woodbury sites, and in late 2010, 3M commenced the approved remedial option at the Oakdale site.

The Company also continues to implement the previously disclosed 2008 remedial decision adopted by MPCA for the Woodbury and Oakdale sites and the 2009 remedial decision adopted by MPCA for the Cottage Grove site.

In the spring and summer of 2010, 3M began implementing MPCA-approved remedial options at the Cottage Grove and Woodbury sites, and in late 2010, 3M commenced the approved remedial option at the Oakdale site.

The Company continues to implement those remediation activities.

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The Company continues to work with MPCA to implement the measures in the Notice of Violation.

In October 2021, the Company received information requests from MPCA seeking additional toxicological and other information related to certain PFAS compounds.

The Company has completed its production of documents and information in response to the request for information.

In June 2022, MPCA directed that the Company address the presence of PFAS in its stormwater discharge from the Cottage Grove facility.

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In July 2024, MPCA published for public comment a draft Clean Water Act permit for the Cottage Grove facility that contains significantly revised effluent limits for certain PFAS in compounds in water discharged from the facility, some of which are below current limits of quantification for those compounds.

3M is engaging with the MPCA on the draft permit through the public comment period and submitted comments to the permit in August 2024.

3M engaged with the MPCA on the draft permit through the public comment period and submitted comments to the permit in August 2024.

In response to comments submitted by 3M and other interested parties, in December 2024, MPCA issued a revised draft Clean Water Act permit for the Cottage Grove facility.

The Company submitted comments on the draft permit in February 2025.

The outcome of the Clean Water Act permit issuance process for the Cottage Grove facility could have a significant adverse impact on the facility's operations and the Company's businesses that receive products and other materials from the Cottage Grove facility, some of which may not be available or in similar quantities from other 3M facilities.

Hutchinson, Minnesota

MPCA issued to the Company a Notice of Violation in March 2023, alleging that the Company is discharging stormwater containing PFAS at the 3M’s facility in Hutchinson, Minnesota.

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The Company cannot predict at this time the outcomes of resolving these compliance matters, what actions may be taken by the regulatory agencies or the potential consequences to the Company.

Minnesota 2018 Natural Resources Defense Settlement

As previously disclosed, in February 2018, the Company recorded a pre-tax charge of $ 897 million, inclusive of legal fees and other related obligations, in the first quarter of 2018 with respect to the settlement of a matter brought by the State of Minnesota involving the presence of PFAS in the groundwater, surface water, fish or other aquatic life, and sediments in the state.

The settlement created a fund to enhance drinking water quality in the East Metropolitan Area of Minneapolis-St.

The projects approved by MPCA drawing on the fund must be reasonable and necessary.

If the fund is depleted, municipalities could seek additional funding from 3M.

MPCA and 3M disagree that certain projects MPCA has proposed are reasonable and necessary and otherwise satisfy the conditions created by the 2018 settlement.

MPCA and 3M also disagree over whether certain projected long-term operations and maintenance and other expenses that will not be paid for many years should be factored into determining when the fund is depleted.

3M initiated mediation in March of 2025 under the settlement to address these disagreements.

Other Environmental Matters

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Whether, and to what extent, the Company may be required to contribute to the costs at issue in the case remains to be determined.

Separately, the Cottage Grove facility received an Alleged Violation Letter from the MPCA in November 2023 following an inspection, alleging violations relating to materials shipped in 2023 to a hazardous waste disposal facility.

The Cottage Grove facility had self-reported this information to the MPCA in September 2023.

In December 2023, the Company provided a written response to the MPCA detailing what the Company believes to be the completion of all of the corrective actions identified in the Alleged Violation Letter (also including waste spills and container management).

In February 2024, the MPCA issued an administrative penalty order to the Company providing for a penalty that was not material to the Company, which the Company paid.

In January 2024, the Company received an information request from U.S.

EPA regarding an October 2023 reported release of 1,2-propylenimine at the Cottage Grove facility.

The Company responded to the information request.

In January 2025, the EPA issued a Notice of Violation (NOV) to the Cottage Grove facility based on a 2021 EPA RCRA inspection.

The NOV was received by the facility in February 2025.

In the NOV, the EPA asserts that during the inspection, it observed improper management of hazardous waste related to containers and tanks and improper recordkeeping.

Several issues identified by EPA were corrected at the time of the inspection and the Company responded to the NOV in March 2025.

In July 2024, the Company received a Violation Notice from the IEPA alleging regulatory violations related to certain air emissions of volatile organic material at the Cordova facility.

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For environmental matters and litigation described above, unless otherwise described below, no liability has been recorded as the Company believes liability in those matters is not probable and reasonably estimable and the Company is not able to estimate a possible loss or range of possible loss at this time.

The Company’s environmental liabilities and insurance receivables are described below.

Environmental Liabilities and Insurance Receivables

The Company’s environmental liabilities are described below.

Environmental Liabilities

The Company periodically examines whether the contingent liabilities related to the environmental matters and litigation described above are probable and reasonably estimable based on experience and ongoing developments in those matters, including discussions regarding negotiated resolutions.

During the first nine months of 2024, primarily as a result of interest accretion on the PWS Settlement, the Company increased its accrual for PFAS-related other environmental liabilities by $ 0.5 billion and made related payments of $ 3.0 billion.

As of September 30, 2024, the Company had recorded liabilities of $ 8.5 billion for “other environmental liabilities.” These amounts are reflected in the consolidated balance sheet within other current liabilities ($ 1.9 billion) and other liabilities ($ 6.6 billion).

During the first quarter of 2025, primarily as a result of interest accretion on the PWS Settlement, the Company increased its accrual for PFAS-related other environmental liabilities by $ 134 million and made related payments of an immaterial amount.

As of March 31, 2025, the Company had recorded liabilities of $ 8.7 billion for “other environmental liabilities.” These amounts are reflected in the consolidated balance sheet within other current liabilities ($ 2.0 billion) and other liabilities ($ 6.7 billion).

The accruals represent the Company’s estimate of the probable loss in connection with the environmental matters and PFAS-related matters and litigation described above.

The Company also made a $ 1.8 billion payment in April 2025 pursuant to the schedule in the PWS settlement agreement.

The Company is not able to estimate a possible loss or range of possible loss in excess of the established accruals at this time.

As of September 30, 2024, the Company had recorded liabilities of $ 37 million for estimated non-PFAS related “environmental remediation” costs to clean up, treat, or remove hazardous substances at current or former 3M manufacturing or third-party sites.

As of March 31, 2025, the Company had recorded liabilities of $ 37 million for estimated non-PFAS related “environmental remediation” costs to clean up, treat, or remove hazardous substances at current or former 3M manufacturing or third-party sites.

The Company evaluates available facts with respect to each individual site each quarter and records liabilities for remediation costs on an undiscounted basis when they are probable and reasonably estimable, generally no later than the completion of feasibility studies or the Company’s commitment to a plan of action.

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However, for locations at which remediation activity is largely ongoing, the Company cannot estimate a possible loss or range of possible loss in excess of the associated established accruals for the reasons described above.

The Company has both pre-1986 general and product liability occurrence coverage and post-1985 occurrence reported product liability and other environmental coverage for environmental matters and litigation.

During the third quarter of 2024 and nine months ended September 30, 2024, the Company reflected $ 27 million in insurance recovery benefits related to the environmental matters and litigation.

Various factors could affect the timing and amount of insurance recoveries, including (i) delays in or avoidance of payment by insurers;

(ii) the extent to which insurers may become insolvent in the future, (iii) the outcome of negotiations with insurers, and (iv) the scope of the insurers’ purported defenses and exclusions to avoid coverage.

Other Regulatory Matters

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Product Liability Litigation

Combat Arms Earplugs and Insurance Receivables

In December 2018, a military veteran filed an individual lawsuit against 3M in the San Bernardino Superior Court in California alleging that he sustained personal injuries while serving in the military caused by 3M’s Dual-Ended Combat Arms Earplugs – Version 2, asserting claims of product liability and fraudulent misrepresentation and concealment, and seeking various damages.

In April 2019, the JPML granted motions to transfer and consolidate all cases pending in federal courts to the U.S.

District Court for the Northern District of Florida to be managed in an MDL proceeding to centralize pre-trial proceedings.

In December 2020, the court granted the plaintiffs’ motion to consolidate three plaintiffs for the first bellwether trial, which began in March 2021.

Combat Arms Earplugs Litigation

Aearo Technologies sold Dual-Ended Combat Arms – Version 2 Earplugs starting in about 1999.

3M acquired Aearo Technologies in 2008 and sold these earplugs from 2008 through 2015, when the product was discontinued.

3M and Aearo Technologies believe the Combat Arms Earplugs were effective and safe when used properly, but nevertheless, as discussed below, prior to the CAE Settlement (as defined below), Aearo Technologies and certain of its related entities (collectively, the "Aearo Entities") and 3M faced litigation from a significant number of claimants.

In July 2022, the Aearo Entities voluntarily initiated chapter 11 proceedings under the U.S.

Bankruptcy Code seeking court supervision to establish a trust, funded by the Company, to efficiently and equitably satisfy all claims determined to be entitled to compensation associated with these matters.

3M entered into an agreement with the Aearo Entities to fund this trust and to support the Aearo Entities in connection with the chapter 11 proceedings.

3M committed $ 1.0 billion to fund this trust and committed an additional $ 0.2 billion to fund projected related case expenses.

Related to these actions, 3M reflected a pre-tax charge of $ 1.2 billion (within selling, general and administrative expenses), inclusive of fees and net of related existing accruals, in the second quarter of 2022.

As a result of the bankruptcy proceedings, 3M deconsolidated the Aearo Entities in the third quarter of 2022, resulting in a charge that was not material to 3M.

Following various pleadings, in June 2023, the Bankruptcy Court granted a motion by plaintiffs to dismiss the bankruptcy proceeding.

As a result of this dismissal, 3M reconsolidated the former deconsolidated Aearo Entities, in the second quarter of 2023, resulting in an immaterial income statement impact.

3M and Aearo Technologies believe the Combat Arms Earplugs (CAE) were effective and safe when used properly, but nevertheless, as discussed below, prior to the CAE Settlement (as defined below), Aearo Technologies and certain of its related entities (collectively, the "Aearo Entities") and 3M faced litigation from a significant number of claimants.

In August 2023, 3M and the Aearo Entities entered into a settlement arrangement (as amended, the “CAE Settlement”) which is structured to promote participation by claimants and is intended to resolve, to the fullest extent possible, all litigation and alleged claims involving the Combat Arms Earplugs sold or manufactured by the Aearo Entities and/or 3M, as well as potential future claims.

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The actual amount, payment terms and dates are subject to satisfaction of certain collective participation thresholds claimants must meet and provision to 3M of a full release of claims involving the Combat Arms Earplugs.

The CAE Settlement was originally structured to include $ 5.0 billion in cash consideration and $ 1.0 billion in 3M common stock.

The Company in its sole discretion could have elected to settle the equity portion in cash.

In January 2024, 3M and the Aearo Entities amended the settlement to include, among other things, an irrevocable election by 3M to pay cash for the $ 1 billion in payments that could have been paid either in cash or in stock.

The CAE Settlement provides that 3M does not admit any liability or wrongdoing.

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The charge reflected the $ 5.3 billion pre-tax present value (discounted at an estimated 5.6 % interest rate at time consummation) of contributions under the CAE Settlement net of 3M’s then-existing accrual of $ 1.1 billion related to this matter.

Implementation of the CAE Settlement terms began in September 2023, when 3M paid $ 10 million to fund administrative expenses connected to the settlement and paid $ 147 million in exchange for releases from certain bellwether plaintiffs that obtained a verdict against 3M and the Aearo defendants.

3M paid $ 250 million in December 2023 related to the receipt of expedited releases, and made a payment of an additional $ 253 million on January 31, 2024 based on 100% participation level of "wave" case claimants.

On March 26, 2024, the Company announced that, as of the final registration date for the CAE settlement agreement, more than 99 % of claimants were either participating in the settlement or have been dismissed with prejudice.

With a 98 % participation threshold having been met, the Company made a $ 350 million payment on April 15, 2024, and a $ 750 million payment on July 15, 2024, pursuant to the payment schedule set forth in the amended settlement agreement.

The current participation level (including claims dismissed with prejudice) exceeds 99.9 %.

The Company made a $ 25 million payment pursuant to the settlement on October 15, 2024.

All MDL court cases for the bellwether plaintiffs have been dismissed and all relevant appeals before the Seventh Circuit and Eleventh Circuit have been dismissed.

As a result, in September 2024, 3M and the Aearo Entities agreed to terminate the Aearo bankruptcy funding agreement described above.

In addition, Aearo and the Company are actively engaged in insurance recovery activities to offset a portion of the settlement payments.

Formal recovery processes are underway through a lawsuit filed in Delaware, as well as arbitration proceedings.

During the third quarter of 2024 and nine months ended September 30, 2024, the Company reflected $ 29 million and $ 152 million, respectively, of benefits from insurance recoveries related to the Combat Arms Earplugs litigation.

Through September 30, 2024, the Company has reflected $ 152 million in total insurance recovery benefits related to the Combat Arms Earplugs litigation.

Pursuant to the CAE Settlement, these insurance recoveries are provided to the Qualified Settlement Fund as part of the consideration for the settlement.

During the first nine months of 2024, the Company increased its existing accrual for Combat Arms Earplugs by approximately $ 0.2 billion for interest accretion on the CAE Settlement and made the related payments noted above of approximately $ 1.5 billion.

As of September 30, 2024, the Company had an accrued liability of $ 3.7 billion related to Combat Arms Earplugs.

With a 98 % participation threshold having been met, the Company began making payments pursuant to the payment schedule set forth in the amended settlement agreement.

The current claimant participation level under the settlement agreement (including claims dismissed with prejudice) exceeds 99 %;

however, existing or new litigation may continue in the United States and internationally relating to the products that are the subject of the settlement.

For example, the Company is aware of a writ of summons that was filed in Australia on behalf of purported users of the Company's earplug products.

During the first quarter of 2025, the Company increased its existing accrual for CAE by approximately $ 46 million primarily for interest accretion on the CAE Settlement and made the related payments of approximately $ 0.7 billion.

As of March 31, 2025, the Company had an accrued liability of $ 3.0 billion related to CAE.

This amount is reflected within contingent liability claims and other ($ 0.7 billion within other current liabilities and $ 2.3 billion within other liabilities) on 3M’s consolidated balance sheet.

The accruals represent the Company’s estimate of the probable loss in connection with the CAE Settlement.

The Company also made a $ 0.6 billion payment in April 2025 pursuant to the schedule in the amended settlement agreement.

The Company is not able to estimate a possible loss or range of possible loss in excess of the established accruals at this time.

Insurance Recoveries

The Company is actively engaged in insurance recovery activities to offset a portion of its liabilities, including those described above.

For respirator mask/asbestos, CAE, and PFAS-related litigation and liabilities, recovery processes are underway through lawsuits filed in U.S.

courts, arbitration proceedings, mediations, and negotiations with insurers.

During the first quarter of 2025, the Company recorded an aggregate of $ 26 million in insurance recovery benefits related to respirator mask/asbestos, CAE, and PFAS-related matters.

Insurance recoveries related to CAE litigation are provided to the Qualified Settlement Fund as part of the consideration for the settlement.

Various factors could affect the timing and amount of insurance recoveries, including (i) delays in or avoidance of payment by insurers;

(ii) the extent to which insurers may become insolvent in the future, (iii) the outcome of negotiations with insurers;

and (iv) the scope of the insurers’ purported defenses and exclusions to avoid coverage.

The Company’s aggregate liabilities are unlikely to be fully covered by applicable insurance, and, to the extent covered, will exceed the applicable limits of such insurance.

Stock-Based Compensation

The Company’s annual stock option and restricted stock unit grant is typically made in February to provide a strong and immediate link between the performance of individuals during the preceding year and the size of their annual stock compensation grants.

The Company’s annual stock option, restricted stock unit, and performance share grant is typically made in the first quarter to provide a strong and immediate link between the performance of individuals during the preceding year and the size of their annual stock compensation grants.

The grant to eligible employees uses the closing stock price on the grant date.

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Employees are considered eligible to retire at age 55 and after having completed ten years of service.

This retiree-eligible population represents 34 percent of the annual grant stock-based compensation expense;

This retiree-eligible population represents 31 percent of the annual grant stock option and restricted unit compensation expense;

therefore, higher stock-based compensation expense is typically recognized in the first quarter.

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In connection with the Solventum separation on April 1, 2024 (see Note 2), all outstanding stock-based compensation awards associated with Solventum employees converted into Solventum awards, became Solventum’s responsibility and were cancelled from 3M plans.

The conversion into Solventum awards was made with the intent to preserve the intrinsic value of each award immediately before and after the Separation.

In addition, for awards associated with remaining 3M employees, the number of shares underlying unvested stock awards was adjusted along with the exercise price and the number of shares underlying outstanding stock options.

These adjustments were made with the intent to preserve the intrinsic value of each award immediately before and after the Separation and were determined using a ratio calculated using the 3M share price based on the market closing price before and the average of the closing price from the first three days of trading after the Separation.

The terms of the outstanding awards remain the same and if unvested, continue to vest over the original vesting periods.

Refer to Note 21 to the Consolidated Financial Statements in 3M's 2024 Annual Report on Form 10-K for additional information.

The adjustments to shares underlying unvested stock awards and outstanding stock options did not result in a material stock-based compensation cost.

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Three months ended

September 30, Nine months ended

September 30,

(Millions) 2025 2024

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3M’s businesses are organized, managed and internally grouped into segments based on differences in markets, products, technologies and services.

3M manages its operations in three business segments:

3M manages its continuing operations in three business segments:

Safety and Industrial;

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3M discloses business segment operating income (loss) as its measure of segment profit/loss, reconciled to both total 3M operating income (loss) and income before taxes.

Business segment operating income (loss) excludes certain expenses and income that are not allocated to business segments (as described below in “Corporate and Unallocated and Other”).

3M made certain changes to the composition of segment information reviewed by 3M's chief operating decision maker (CODM) effective in the second quarter of 2024 largely as a result of the separation of Solventum and changes within its business segments effective in the first quarter of 2024.

Accordingly, information provided herein reflects the impact of these changes for all applicable periods presented.

Effective in the second quarter of 2024, this change included the following:

Elimination of former Health Care business segment

• The former Health Care business segment was eliminated in the second quarter of 2024 in connection with the separation of Solventum and reflection of its historical net income and applicable assets and liabilities included in the Separation as discontinued operations within 3M's financial statements.

Addition of ‘Other’ and update to ‘Corporate and Unallocated’

• 3M added the “Other” category of information as a result of the Separation.

It principally reflects:

◦ Transition arrangement agreements (e.g.

fees charged by 3M, net of underlying costs) related to divested businesses, including those related to the Separation, as well as other applicable divestitures.

◦ Operations of businesses of the former Health Care segment divested prior to the Separation and therefore not reflected as discontinued operations within 3M's financial statements, along with limited-duration supply agreements with those previous divestitures.

• Activity included in 3M’s existing “Corporate and Unallocated” was updated primarily to additionally reflect:

◦ Removal of costs related to separating and divesting Solventum that were eligible to be part of discontinued operations.

◦ Commercial activity with Solventum post-Separation and certain operations of the former Health Care business segment retained by 3M.

◦ Costs previously allocated to Solventum prior to the Separation that were not eligible to be part of discontinued operations other than those beginning in the first quarter of 2024 included in “Other” associated with transition arrangement activity for which 3M began to charge fees in April 2024.

In addition, effective in the first quarter of 2024, 3M made certain changes within its business segments as described below.

While they impacted the composition of certain divisions within business segments, they did not change the overall composition of segments or the measure of segment operating performance used by 3M’s CODM.

Creation of Industrial Specialties division (within Safety and Industrial business segment) and Commercial Branding and Transportation division (within Transportation and Electronics business segment)

• 3M created the Industrial Specialties division within the Safety and Industrial business segment, which consists of the former Closure and Masking Systems division along with certain products formerly within the Industrial Adhesive and Tapes division and the Personal Safety division.

Further, 3M created the Commercial Branding and Transportation division within the Transportation and Electronics business segment, which consists of the former Commercial Solutions division and the Transportation Safety division.

Re-alignment of divisions within Consumer business segment

• Within the Consumer business segment, the business re-aligned to the following four divisions:

Consumer Safety and Well-Being, Home and Auto Care, Home Improvement, and Packaging and Expression.

Business segment operating income (loss) excludes certain expenses and income that are not allocated to business segments (as described below in “Corporate and Other”).

Business segment disclosures consider information used by/provided to 3M's chief operating decision maker (CODM).

For 3M, the CODM is the chief executive officer.

The CODM uses business segment operating income (loss) to allocate resources to segments in the planning and forecasting process along with periodic ongoing reviews of results and overall market activity.

Business Segment Information

Three months ended

September 30, Nine months ended

September 30,

Net sales (millions)

2024 2023 2024 2023

Safety and Industrial $ 2,745 $ 2,732

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Consumer 1,124 1,140

Total reportable business segments

6,205 6,237 18,346 18,507

Corporate and Unallocated 81 26 193 71

Total reportable business segment net sales 5,859 5,976

Corporate and Other

Total company

Operating Performance (Millions) - income (loss)

$ 5,954 $ 6,016

Significant segment expenses and operating performance (millions)

Safety and Industrial

Cost of sales $ 1,470 $ 1,487

Selling, general and administrative expenses 454 472

Research, development and related expenses 125 116

Safety and Industrial operating income (loss) 696 657

Transportation and Electronics

Consumer 263 269 698 683

Total reportable business segments

1,349 1,324 3,962 3,577

Corporate and Unallocated

Cost of sales 1,243 1,245

Selling, general, administrative and goodwill impairment expenses

Research, development and related expenses 119 105

Transportation and Electronics operating income (loss) 352 481

Cost of sales 669 680

Selling, general and administrative expenses 204 214

Research, development and related expenses 32 30

Consumer operating income (loss) 219 216

Total reportable business segment operating income (loss) 1,267 1,354

Corporate and Other

Corporate special items:

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Divestiture costs — ( 6 )

Gain on business divestitures — 36 — 36

Russia exit (charges) benefits — — — 18

Total corporate special items ( 71 ) ( 69 )

Other corporate (expense) income - net

( 14 ) ( 185 ) ( 87 ) ( 524 )

Total Corporate and Unallocated ( 39 ) ( 4,426 ) ( 203 ) ( 15,190 )

Total Corporate and Other

( 21 ) ( 205 )

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Other expense/(income), net ( 139 ) 220

Income (loss) before income taxes $ 1,721 $ ( 3,302 ) $ 4,060 $ ( 11,922 )

Corporate and Unallocated and Other:

Outside of 3M's reportable operating segments, 3M has Corporate and Unallocated and Other which are not reportable business segments as they do not meet the segment reporting criteria.

Because Corporate and Unallocated and Other includes a variety of miscellaneous items, it is subject to fluctuation on a quarterly and annual basis.

• Corporate and Unallocated operating income (loss) includes “corporate special items” and “other corporate expense-net”.

◦ Corporate special items include net costs for significant litigation impacting operating income (loss) associated with PFAS-related other environmental and Combat Arms Earplugs matters.

In addition, during the voluntary chapter 11 bankruptcy period (which began in July 2022 and ended in June 2023—see Note 17), costs associated with the Aearo portion of respirator mask/asbestos matters were also included in corporate special items.

Prior to the bankruptcy, costs associated with Combat Arms Earplugs matters were not included in the Corporate net costs for significant litigation special item, instead being reflected in the Safety and Industrial business segment.

Corporate special items for the periods presented also include divestiture costs and Russia exit costs/ benefits.

Divestiture costs include costs that were not eligible to be part of discontinued operations related to separating and divesting substantially an entire business segment of 3M following public announcement of its intended divestiture.

◦ Other corporate expense-net includes certain enterprise and governance activities resulting in unallocated corporate costs and other activity and net costs that 3M may choose not to allocate directly to its business segments.

Other corporate expense-net also includes costs previously allocated to Solventum prior to the Separation that were not eligible to be part of discontinued operations, commercial activity with Solventum post-Separation, and certain operations of the former Health Care business segment retained by 3M.

• Other principally reflects activity associated with:

Income (loss) from continuing operations before income taxes

$ 1,385 $ 929

Depreciation and amortization

Capital expenditures

Three months ended March 31, Three months ended March 31,

(Millions) 2025 2024 2025 2024

Safety and Industrial $ 139 $ 135 $ 78 $ 76

Transportation and Electronics 108 107 89 146

Consumer 39 38 11 24

Corporate and Other

Total continuing operations $ 290 $ 291 $ 236 $ 298

(Millions) March 31, 2025 December 31, 2024

Business segment assets:

Safety and Industrial

$ 1,597 $ 1,509

Transportation and Electronics

Total business segment assets

All other current assets

11,984 12,387

Total non-current assets

24,294 23,984

$ 39,951 $ 39,868

Beginning in the first quarter of 2025, "business segment assets" represent inventories, based on the extent of business segment information regularly provided to 3M's CODM.

This impact is reflected in the table above for all periods presented.

Business segment depreciation reflected above is based on the underlying usage of assets and allocated depreciation .

Corporate and Other:

Outside of 3M's reportable operating segments, 3M has Corporate and Other which is not a reportable business segment as it does not meet the segment reporting criteria.

Because Corporate and Other includes a variety of miscellaneous items, it is subject to fluctuation on a quarterly and annual basis.

Corporate and Other operating income (loss) includes “corporate special items” and “other corporate (expense) income-net”.

• Corporate special items includes, for the periods presented:

◦ net costs for significant litigation impacting operating income (loss) associated with PFAS-related other environmental and Combat Arms Earplugs matters.

◦ divestiture costs (related to separating and divesting substantially an entire business segment of 3M following public announcement of its intended divestiture) that were not eligible to be part of discontinued operations.

• Other corporate (expense) income-net includes:

◦ certain enterprise and governance activities resulting in unallocated corporate costs and other activity and net costs that 3M may choose not to allocate directly to its business segments.

◦ commercial activity with Solventum following its April 1, 2024 Separation and certain operations of the former Health Care business segment retained by 3M.

◦ transition arrangement agreements (e.g.

fees charged by 3M, net of underlying costs) related to divested businesses, including those related to the Separation, as well as other applicable divestitures.

fees charged by 3M, net of underlying costs) related to divested businesses, including those related to the Solventum Separation, as well as other applicable divestitures.

◦ operations of businesses of the former Health Care segment divested prior to the Separation and therefore not reflected as discontinued operations within 3M's financial statements, along with limited-duration supply agreements with those previous divestitures.

◦ costs previously allocated to Solventum prior to the Separation that were not eligible to be part of discontinued operations.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements