Recently Adopted Accounting StandardsSegment Reporting
In 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07,
Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”), which requires public
entities to disclose significant segment expenses and other segment items. ASU 2023-07 also requires public entities to
provide in interim periods all disclosures about a reportable segment’s profit or loss and assets that are currently required
annually. ASU 2023-07 became effective for the annual period starting on January 1, 2024, and for the interim periods
starting on January 1, 2025. We have disclosed significant segment expenses, other segment items, and our measure of
segment profit or loss in Note Q, “Segment Information.”
Income Tax Disclosures
In 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU
2023-09”), which requires public entities to disclose in their rate reconciliation table additional categories of information
about federal, state and foreign income taxes and to provide more details about the reconciling items in some categories if
items meet a quantitative threshold. ASU 2023-09 became effective for the annual period starting on January 1, 2025. The
adoption of ASU 2023-09, on a prospective basis, resulted in expansion of our income tax footnote disclosures in Note O,
“Income Taxes,” including a more detailed effective tax rate reconciliation.
Recently Issued Accounting Standards
Disaggregation of Income Statement Expenses
In 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense
Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (“ASU 2024-03”), which
requires public entities, among other items, to disclose in a tabular format, on an annual and interim basis, purchases of
inventory, employee compensation, depreciation, intangible asset amortization and depletion for each income statement line
item that contains those expenses. ASU 2024-03 becomes effective for the annual period starting on January 1, 2027 and
interim periods starting on January 1, 2028. We are in the process of analyzing the impact that the adoption of ASU 2024-03
will have on our disclosures.
Internal-Use Software
In 2025, the FASB issued ASU 2025-06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40):
Targeted Improvements to the Accounting for Internal-Use Software (“ASU 2025-06”), which eliminates consideration of the
software project development stages and replaces them with modernized recognition and measurement guidance designed to
reflect current internal-use software development practices. ASU 2025-06 becomes effective for the annual and interim
periods starting on January 1, 2028. We are in the process of analyzing the impact that the adoption of ASU 2025-06 will
have on our consolidated financial statements and related disclosures.