SUPPLEMENTARY INFORMATION



Sundry Income - Net	Successor			Predecessor
(In millions)	Three Months Ended March 31, 2018			Three Months Ended March 31, 2017
Royalty income¹				$	45
Interest income	$	28		25
Equity in earnings of affiliates - net	14			18
Net gain on sales of businesses and other assets²	2			192
Net exchange losses	(132		)	(59		)
Non-operating pension and other post employment benefit credit (cost)³	92			(104		)
Miscellaneous income and expenses - net⁴	43			85
Sundry income - net	$	47		$	202


^1.	In the Successor period, royalty income of $40 million is included in Net Sales.


^2.	Includes a pre-tax gain of $162 million ($86 million net of tax) for the three months ended March 31, 2017 related to the sale of global food safety diagnostics. See Note 4 for additional information.


^3.	Includes non-service related components of net periodic benefit credits (costs) (interest cost, expected return on plan assets, amortization of unrecognized loss, and amortization of prior service benefit). See Note 2 for discussion of the retrospective adoption of ASU No. 2017-07.


^4.	Miscellaneous income and expenses - net, includes interest items (Predecessor period only), gains related to litigation settlements, and other items.

The following table summarizes the impacts of the company's foreign currency hedging program on the company's results of operations. The company routinely uses foreign currency exchange contracts to offset its net exposures, by currency, related to the foreign currency-denominated monetary assets and liabilities. The objective of this program is to maintain an approximately balanced position in foreign currencies in order to minimize, on an after-tax basis, the effects of exchange rate changes on net monetary asset positions. The hedging program gains (losses) are largely taxable (tax deductible) in the United States (U.S.), whereas the offsetting exchange gains (losses) on the remeasurement of the net monetary asset positions are often not taxable (tax deductible) in their local jurisdictions. The net pre-tax exchange gains (losses) are recorded in sundry income - net and the related tax impact is recorded in provision for income taxes on continuing operations in the interim Consolidated Statements of Operations.



	Successor			Predecessor
(In millions)	Three Months Ended March 31, 2018			Three Months Ended March 31, 2017
Subsidiary Monetary Position (Loss) Gain
Pre-tax exchange gain	$	49		$	26
Local tax benefits	32			36
Net after-tax impact from subsidiary exchange gain	$	81		$	62

Hedging Program Gain (Loss)
Pre-tax exchange loss¹	$	(181	)	$	(85	)
Tax benefits	42			30
Net after-tax impact from hedging program exchange loss	$	(139	)	$	(55	)

Total Exchange Gain (Loss)
Pre-tax exchange loss	$	(132	)	$	(59	)
Tax benefits	74			66
Net after-tax exchange (loss) gain	$	(58	)	$	7


^1.	Includes a $(50) million foreign exchange loss related to adjustments to foreign currency exchange contracts as a result of U.S. tax reform.

Cash, cash equivalents and restricted cash

The following table provides a reconciliation of cash and cash equivalents and restricted cash (included in other current assets) presented in the interim Condensed Consolidated Balance Sheets to the total cash, cash equivalents and restricted cash presented in the interim Condensed Consolidated Statements of Cash Flows.



	Successor
(In millions)	March 31, 2018		December 31, 2017
Cash and cash equivalents	$	5,095	$	7,250
Restricted cash	534		558
Total cash, cash equivalents and restricted cash	$	5,629	$	7,808

DuPont entered into a trust agreement in 2013 (as amended and restated in 2017), establishing and requiring DuPont to fund a trust (the "Trust") for cash obligations under certain non-qualified benefit and deferred compensation plans upon a change in control event as defined in the Trust agreement. Under the Trust agreement, the consummation of the Merger was a change in control event. Restricted cash at March 31, 2018 and December 31, 2017 is related to the Trust.