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STZConstellation Brands

Consumer staples · Beverages · NYSE
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The 10-K against last year's

169 changes: 22 added, 28 removed, 117 reworded, 2 quiet changes

10-K Apr 22, 2026 vs Apr 23, 2025
Risk FactorsRedline ↓
17.6%
of the text changed · 10,825 words now
30.2%
of the text changed · 9,119 words now
Legal ProceedingsRedline ↓
18.5%
of the text changed · 665 words now
Accounting PoliciesRedline ↓
13.3%
of the text changed · 3,056 words now

10-K 0000016918-26-000011 (2026-04-22) vs 10-K 0000016918-25-000022 (2025-04-23)

The redline

The paragraph that changed most in each section

Marked against last year's 10-K: cut words struck through, new words highlighted and underlined.

MD&A 189 words changed in this paragraph; it is 46% similar to last year's version.
The decrease in Wine and Spirits net sales is due to a $107.7 million decrease in organic net sales and $22.6 $711.2 million from the SVEDKA Divestiture Wine and Spirits Divestitures that are no longer part of our business. business and a $133.9 million decrease in organic net sales. The decrease in organic net sales is driven by (i) a $93.5 $43.0 million decrease in branded wine and spirits shipment volume, (ii) a $30.1 million decrease in non-branded net sales led by a decline in bulk wine sales, and (iii) a $16.1 million decrease from pricing actions in certain markets, partially offset by $29.9 $38.9 million of higher unfavorable product mix, (iii) $30.0 million of lower contractual distributor payments as compared to Fiscal 2024. 2025, and (iv) a $17.6 million decrease from strategic pricing actions taken on certain brands. The decrease in branded wine and spirits shipment volume is and unfavorable mix are primarily attributable to our U.S. wholesale market, primarily driven including the change in cadence of shipments to better align with consumer demand following the shift to a portfolio of exclusively higher-end brands. Additionally, we believe our branded wine and spirits shipment volume was negatively impacted by declines both tariffs imposed by the U.S. government and by retaliatory tariffs and actions in both the overall wine market and in our mainstream and premium wine brands, as well as retailer inventory destocking. certain international markets. For Fiscal 2026, 2027, we expect depletion volume to outpace shipment volume, most notably during volume driven by mutually agreed upon inventory reductions with key distributors following the first quarter. 2025 Wine Divestitures.

Source: Item 7, 10-K 0000016918-26-000011 vs Item 7, 10-K 0000016918-25-000022

Risk Factors 178 words changed in this paragraph; it is 47% similar to last year's version.
We have incurred indebtedness to finance investments and acquisitions, refinance other indebtedness, fund beer operations expansion, optimization, and construction activities capacity additions and other capital expenditures, pay cash dividends, repurchase shares of our common stock, and fund other general corporate purposes, including working capital. In the future, we may continue to incur additional indebtedness for any or all of these activities. We are exposed to risks associated with interest rate fluctuations, and while the U.S. Federal Reserve has recently been reducing the federal funds rate, we continue to experience an elevated interest rate environment relative to recent historically low interest rates. We could experience further changes in our ability to manage fluctuations in interest rates, including for our variable interest rate debt debt, and disruption or volatility in the credit markets. The current interest rate environment is elevated relative to the interest rates on certain of our outstanding indebtedness that will be maturing over the next several years. If we experience reduced access to credit or if we need higher future interest rates to refinance indebtedness. our maturing indebtedness, to incur additional indebtedness, or on our variable interest rate exposures, it could increase our overall interest expense and adversely affect our liquidity and capital resources. In addition, our business may not generate sufficient cash flow from operations to meet all our debt service requirements, return value to stockholders such as through payment of dividends or repurchases of shares of our common stock, achieve or maintain our target comparable net leverage ratio, and fund our general corporate and capital requirements.

Source: Item 1A, 10-K 0000016918-26-000011 vs Item 1A, 10-K 0000016918-25-000022

Accounting Policies 52 words changed in this paragraph; it is 83% similar to last year's version.
Our revenue (referred to in our financial statements as “sales”) consists primarily of the sale of beer, wine, and spirits domestically in the U.S. Sales of products are for cash or otherwise agreed-upon credit terms. Our payment terms vary by location and customer, however, the time period between when revenue is recognized and when payment is due is not significant. Our customers Customers consist primarily of wholesale distributors. Our revenue generating activities have a single performance obligation and are recognized at the point in time when control transfers and our obligation has been fulfilled, which is when the related goods are shipped or delivered to the customer, depending upon the method of distribution, and shipping terms. We have elected to treat shipping as a fulfillment activity. Revenue is measured as the amount of consideration we expect to receive in exchange for the sale of our product. Our sales terms do not allow for a right of return except for matters related to any manufacturing defects on our part. Amounts billed to customers for shipping and handling are included in sales.

Source: Item 8, Note 1 – DESCRIPTION OF BUSINESS, BASIS OF PRESENTATION, AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, 10-K 0000016918-26-000011 vs Item 8, Note 1 – DESCRIPTION OF BUSINESS, BASIS OF PRESENTATION, AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, 10-K 0000016918-25-000022

Legal Proceedings 42 words changed in this paragraph; it is 80% similar to last year's version.
In connection with prior divestitures, we have indemnified respective parties against certain liabilities that may arise subsequent to the divestiture. As of February 28, 2025, 2026, and February 29, 2024, 28, 2025, these liabilities consist primarily of indemnifications related to certain income tax matters and lease contracts. As of February 28, 2025, 2026, and February 29, 2024, 28, 2025, the carrying amount of our indemnification liabilities was $18.4 $12.2 million and $32.9 $18.4 million, respectively, and are included in other accrued expenses and liabilities and deferred income taxes and other liabilities. We do not expect to be required to make material payments under the indemnifications and we believe that the likelihood is remote that the indemnifications could have a material adverse effect on our business, liquidity, financial condition, and/or results of operations.

Source: Item 3, via Note 17 – COMMITMENTS AND CONTINGENCIES, 10-K 0000016918-26-000011 vs Item 3, via Note 16 – COMMITMENTS AND CONTINGENCIES, 10-K 0000016918-25-000022

Every change, by type

Sentences and paragraphs added, removed or reworded

Sentences and paragraphs of STZ's Risk Factors and MD&A, 10-K 2026-04-22 against 10-K 2025-04-23. Each links to the text at sec.gov.

AddedRisk Factors
Nicholas Fink became our President and Chief Executive Officer on April 13, 2026. Our future performance will depend, in part, on the successful transition of Mr. Fink as our new President and Chief Executive Officer. Leadership transitions and the onboarding process can be inherently difficult to manage, will take time, and could result in changes in our business strategy, operations, processes, and workforce. If we do not successfully manage this transition, it may cause disruption to our business and be viewed negatively by various stakeholders, including our consumers, Customers, stockholders, employees, and/or suppliers. Our future performance will also continue to depend on the services and contributions of our other senior management and key employees to execute on our strategy and business plans and to identify and pursue new opportunities and product innovations. The loss of services of senior management or other key employees and the onboarding and transition of new senior leaders and key employees could significantly delay or prevent the achievement of our strategic objectives. Each of these risks could adversely affect our business, liquidity, financial condition, and/or results of operations.

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedRisk Factors
Our continued success also depends on our ability to attract and retain a high-quality workforce that reflects the consumers and communities we serve in a competitive environment for talent and to implement our human capital

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedRisk Factors
•significant additional changes in U.S. trade policy and actions which include threatened, new, and increased tariffs imposed by the U.S. government on other countries, such as tariffs on aluminum and aluminum derivative product imports and other product imports from certain countries, including Mexico, Italy and the rest of the European Union, and New Zealand, and the ongoing review of the U.S.-Mexico-Canada Agreement;

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedRisk Factors
•retaliatory or other tariffs and actions imposed on certain U.S. goods, including restrictions on beverage alcohol sales from U.S. producers imposed by some Canadian provinces; and

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedRisk Factors
•subsequent modifications and delays to or invalidation of various tariffs and associated refund procedures, litigation, and developments, including impacts from the U.S. Supreme Court decision invalidating the use of IEEPA to authorize certain tariffs.

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedRisk Factors
generate sufficient cash flow from operations to meet all our debt service requirements, return value to stockholders such as through payment of dividends or repurchases of shares of our common stock, achieve or maintain our target comparable net leverage ratio, and fund our general corporate and capital requirements. Interest rate fluctuations and credit market disruption or volatility may also impact our consumers, Customers, and/or suppliers which could, in turn, adversely effect our business, liquidity, financial condition, and/or results of operations.

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedMD&A
may include subdued spend, depressed sentiment, value-seeking behaviors, and reductions in the discretionary income available to purchase our products among consumers, elevated unemployment, changing prices, inflation, other unfavorable global and regional economic conditions, demographic trends in the U.S., global supply chain disruptions and constraints, geopolitical events and tensions, wars, and military conflicts, including the conflict in the Middle East.

Read it in 10-K 2026-04-22 at sec.gov ↗

Show the other 11
AddedMD&A
On June 2, 2025, we sold and, in certain instances, exclusively licensed the trademarks of a portion of our wine and spirits business, primarily centered around our then-owned mainstream wine brands and associated inventory, wineries, vineyards, offices, and facilities. We received $845.9 million of cash proceeds, which were used for the repayment of debt.

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedMD&A
Largely in connection with (i) the commitment to dismantling and abandonment of certain aged long-lived assets at the Obregón Brewery (Fiscal 2026), (ii) the 2025 Wine Divestitures we recognized contract liabilities and inventory obsolescence expenses, partially offset by changes in then-existing net assets held for sale (Fiscal 2026), and

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedMD&A
(iii) certain then-existing wine and spirits assets that met held for sale criteria (Fiscal 2025). For additional information, refer to Notes 2, 6, and 8.

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedMD&A
As previously discussed, the decrease in Corporate Operations and Other operating loss is primarily attributable to cost savings measures implemented as part of the 2025 Restructuring Initiative.

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedMD&A
•(i) Fiscal 2025 non-deductible portion of the Wine and Spirits goodwill impairment, (ii) Fiscal 2026 adjustments to tax attributes, (iii) resolution of tax examinations and assessments related to prior periods, and (iv) SVEDKA Divestiture; partially offset by

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedMD&A
Fiscal Fiscal Dollar 2026 2025 Change (in millions) Net proceeds from (payments of) debt, current and long-term, and related activities $ (950.5) $ (391.8) $ (558.7) Dividends paid (715.7) (731.8) 16.1 Purchases of treasury stock (924.1) (1,123.8) 199.7 Net cash provided by (used in) stock-based compensation activities (1.7) 60.0 (61.7) Distributions to noncontrolling interests (62.5) (57.5) (5.0) Payment of contingent consideration (1.5) (0.7) (0.8) Purchase of noncontrolling interest — (16.2) 16.2 Net cash provided by (used in) financing activities $ (2,656.0) $ (2,261.8) $ (394.2)

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedMD&A
In May 2025, we entered into the 2025 Term Credit Agreement, which provided for a six-month delayed draw $500.0 million term loan facility. Effective October 21, 2025, we terminated all commitments under the 2025 Term Credit Agreement.

Read it in 10-K 2026-04-22 at sec.gov ↗

AddedMD&A
In April 2025, we entered into the 2025 Restatement Agreement that amended and restated our then-existing senior credit facility. The 2025 Restatement Agreement resulted in (i) refinancing the existing $2.25 billion revolving credit facility, (ii) extending its maturity to April 28, 2030, and (iii) refining certain negative covenants. There are no borrowings outstanding under the 2025 Credit Agreement.

Read it in 10-K 2026-04-22 at sec.gov ↗

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