Dow Inc. and Subsidiaries The Dow Chemical Company and Subsidiaries Notes to the Consolidated Financial Statements Table of Contents Note Page 1 Summary of Significant Accounting Policies 83 2 Recent Accounting Guidance 89 3 Separation from DowDuPont 89 4 Revenue 91 5 Divestitures 94 6 Restructuring, Goodwill Impairment and Asset Related Charges - Net 95 7 Supplementary Information 98 8 Income Taxes 99 9 Earnings Per Share Calculations 102 10 Inventories 103 11 Property 103 12 Nonconsolidated Affiliates 104 13 Goodwill and Other Intangible Assets 107 14 Transfers of Financial Assets 108 15 Notes Payable, Long-Term Debt and Available Credit Facilities 109 16 Commitments and Contingencies 112 17 Leases 121 18 Stockholders' Equity 123 19 Noncontrolling Interests 127 20 Pension Plans and Other Postretirement Benefits 128 21 Stock-Based Compensation 135 22 Financial Instruments 140 23 Fair Value Measurements 147 24 Variable Interest Entities 150 25 Related Party Transactions 151 26 Segments and Geographic Regions 152 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Merger and Separation On April 1, 2019, DowDuPont Inc. (“DowDuPont” and effective June 3, 2019, n/k/a DuPont de Nemours, Inc. or "DuPont") completed the separation of its materials science business and Dow Inc. became the direct parent company of The Dow Chemical Company and its consolidated subsidiaries (“TDCC” and together with Dow Inc., “Dow” or the “Company”). The separation was contemplated by the merger of equals transaction effective August 31, 2017, under the Agreement and Plan of Merger, dated as of December 11, 2015, as amended on March 31, 2017 (the "Merger Agreement"). TDCC and E. I. du Pont de Nemours and Company and its consolidated subsidiaries (“Historical DuPont”) each merged with subsidiaries of DowDuPont and, as a result, TDCC and Historical DuPont became subsidiaries of DowDuPont (the “Merger”). Subsequent to the Merger, TDCC and Historical DuPont engaged in a series of internal reorganization and realignment steps to realign their businesses into three subgroups: agriculture, materials science and specialty products. Dow Inc. was formed as a wholly owned subsidiary of DowDuPont to serve as the holding company for the materials science business. See Note 3 for additional information. 83