Crown Cork & Seal Company, Inc. (Issuer), a 100% owned subsidiary of the Company, has $350 principal amount of 7.375% senior notes due 2026 and $40 principal amount of 7.5% senior notes due 2096 outstanding that are fully and unconditionally guaranteed by Crown Holdings, Inc. (Parent). No other subsidiary guarantees the debt and the guarantees are made on a joint and several basis.

The following condensed combining financial statements:

•statements of comprehensive income for the three months ended March 31, 2019 and 2018,

•balance sheets as of March 31, 2019 and December 31, 2018, and

•statements of cash flows for the three months ended March 31, 2019 and 2018

are presented on the following pages to comply with the Company’s requirements under Rule 3-10 of Regulation S-X.

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the three months ended March 31, 2019

(in millions)



	Parent		Issuer			Non- Guarantors			Eliminations			Total Company
Net sales						$	2,755					$	2,755
Cost of products sold, excluding depreciation and amortization						2,210						2,210
Depreciation and amortization						122						122
Selling and administrative expense			$	1		156						157
Restructuring and other						4						4
Income from operations	—		(1		)	263						262
Loss from early extinguishments of debt						6						6
Other pension and postretirement			2			(20		)				(18		)
Net interest expense			18			77						95
Foreign exchange						1						1
Income/(loss) before income taxes	—		(21		)	199						178
Provision for / (benefit from) income taxes			(4		)	52						48
Equity earnings / (loss) in affiliates	$	103	104			1			$	(207	)	1
Net income	103		87			148			(207		)	131
Net income attributable to noncontrolling interests						(28		)				(28		)
Net income attributable to Crown Holdings	$	103	$	87		$	120		$	(207	)	$	103

Total comprehensive income	$	188	$	170		$	233		$	(375	)	$	216
Comprehensive income attributable to noncontrolling interests						(28		)				(28		)
Comprehensive income attributable to Crown Holdings	$	188	$	170		$	205		$	(375	)	$	188

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the three months ended March 31, 2018

(in millions)



	Parent		Issuer			Non- Guarantors			Eliminations			Total Company
Net sales						$	2,197					$	2,197
Cost of products sold, excluding depreciation and amortization						1,808						1,808
Depreciation and amortization						65						65
Selling and administrative expense			$	2		88						90
Restructuring and other						13						13
Income from operations			(2		)	223						221
Other pension and postretirement						(17		)				(17		)
Net interest expense			19			49						68
Foreign exchange						18						18
Income/(loss) before income taxes			(21		)	173						152
Provision for / (benefit from) income taxes			(4		)	43						39
Equity earnings / (loss) in affiliates	$	90	95						$	(185	)	—
Net income	90		78			130			(185		)	113
Net income attributable to noncontrolling interests						(23		)				(23		)
Net income attributable to Crown Holdings	$	90	$	78		$	107		$	(185	)	$	90

Total comprehensive income	$	150	$	47		$	191		$	(214	)	$	174
Comprehensive income attributable to noncontrolling interests						(24		)				(24		)
Comprehensive income attributable to Crown Holdings	$	150	$	47		$	167		$	(214	)	$	150

CONDENSED COMBINING BALANCE SHEET

As of March 31, 2019

(in millions)



	Parent		Issuer		Non- Guarantors		Eliminations			Total Company
Assets
Current assets
Cash and cash equivalents					$	301				$	301
Receivables, net			$	9	1,677					1,686
Inventories					1,851					1,851
Prepaid expenses and other current assets	$	2	1		183					186
Total current assets	2		10		4,012					4,024

Intercompany debt receivables					3,562		$	(3,562	)	—
Investments	3,647		3,950				(7,597		)	—
Goodwill					4,418					4,418
Intangible assets, net					2,136					2,136
Property, plant and equipment, net					3,734					3,734
Operating lease right-of-use assets, net					213					213
Other non-current assets			147		685					832
Total	$	3,649	$	4,107	$	18,760	$	(11,159	)	$	15,357

Liabilities and equity
Current liabilities
Short-term debt					$	125				$	125
Current maturities of long-term debt					83					83
Current portion of operating lease liabilities					47					47
Accounts payable					2,223					2,223
Accrued liabilities	$	8	$	34	822					864
Total current liabilities	8		34		3,300					3,342

Long-term debt, excluding current maturities			388		8,426					8,814
Long-term intercompany debt	2,507		1,055				$	(3,562	)	—
Non-current portion of operating lease liabilities					167					167
Postretirement and pension liabilities					671					671
Other non-current liabilities			325		536					861
Commitments and contingent liabilities
Noncontrolling interests					368					368
Crown Holdings shareholders’ equity/(deficit)	1,134		2,305		5,292		(7,597		)	1,134
Total equity/(deficit)	1,134		2,305		5,660		(7,597		)	1,502
Total	$	3,649	$	4,107	$	18,760	$	(11,159	)	$	15,357

CONDENSED COMBINING BALANCE SHEET

As of December 31, 2018

(in millions)



	Parent		Issuer		Non- Guarantors		Eliminations			Total Company
Assets
Current assets
Cash and cash equivalents					$	607				$	607
Receivables, net			$	9	1,593					1,602
Inventories					1,690					1,690
Prepaid expenses and other current assets	$	1	1		178					180
Total current assets	1		10		4,068					4,079

Intercompany debt receivables					3,561		$	(3,561	)	—
Investments	$	3,458	$	3,764			(7,222		)	—
Goodwill					4,442					4,442
Intangible assets, net					2,193					2,193
Property, plant and equipment, net					3,745					3,745
Other non-current assets			156		647					803
Total	$	3,459	$	3,930	$	18,656	$	(10,783	)	$	15,262

Liabilities and equity
Current liabilities
Short-term debt					$	89				$	89
Current maturities of long-term debt					81					81
Accounts payable					2,732					2,732
Accrued liabilities	$	14	$	30	967					1,011
Total current liabilities	14		30		3,869					3,913

Long-term debt, excluding current maturities			388		8,105					8,493
Long-term intercompany debt	2,508		1,053				$	(3,561	)	—
Postretirement and pension liabilities					683					683
Other non-current liabilities			325		562					887
Commitments and contingent liabilities
Noncontrolling interests					349					349
Crown Holdings shareholders’ equity/(deficit)	937		2,134		5,088		(7,222		)	937
Total equity/(deficit)	937		2,134		5,437		(7,222		)	1,286
Total	$	3,459	$	3,930	$	18,656	$	(10,783	)	$	15,262

CONDENSED COMBINING STATEMENT OF CASH FLOWS

For the three months ended March 31, 2019

(in millions)



	Parent			Issuer			Non- Guarantors			Eliminations			Total Company
Net cash provided by/(used for) operating activities	$	—		$	(2	)	$	(662	)	$	(2	)	$	(666	)
Cash flows from investing activities
Capital expenditures							(75		)				(75		)
Proceeds from sale of property, plant and equipment							5						5
Net investment hedge							6						6
Net cash provided by/(used for) investing activities	—						(64		)	—			(64		)
Cash flows from financing activities
Payments of long-term debt							(281		)				(281		)
Net change in revolving credit facility and short-term debt							731						731
Net change in long-term intercompany balances	(1		)	2			(2		)				(1		)
Payments of finance leases							(14		)				(14		)
Common stock issued	2												2
Common stock repurchased	(1		)										(1		)
Dividends paid							(2		)	2			—
Dividend paid to noncontrolling interests							(9		)				(9		)
Foreign exchange derivatives related to debt							(11		)				(11		)
Net cash provided by/(used for) financing activities	—			2			412			2			416
Effect of exchange rate changes on cash, cash equivalents and restricted cash							2						2
Net change in cash, cash equivalents and restricted cash	—			—			(312		)	—			(312		)
Cash, cash equivalents and restricted cash at January 1							659						659
Cash, cash equivalents and restricted cash at March 31	$	—		$	—		$	347		$	—		$	347

CONDENSED COMBINING STATEMENT OF CASH FLOWS

For the three months ended March 31, 2018

(in millions)



	Parent			Issuer			Non- Guarantors			Eliminations		Total Company
Net cash provided by/(used for) operating activities	$	(22	)	$	(21	)	$	(708	)	$	—	$	(751	)
Cash flows from investing activities
Capital expenditures							(92		)			(92		)
Beneficial interests in transferred receivables							175					175
Foreign exchange derivatives related to acquisitions							(25		)			(25		)
Net cash provided by/(used for) investing activities	—						58			—		58
Cash flows from financing activities
Proceeds from long-term debt							1,912					1,912
Payments of long-term debt							(13		)			(13		)
Net change in revolving credit facility and short-term debt							576					576
Net change in long-term intercompany balances	23			21			(44		)			—
Debt issue costs							(29		)			(29		)
Common stock repurchased	(1		)									(1		)
Foreign exchange derivatives related to debt							10					10
Net cash provided by/(used for) financing activities	22			21			2,412			—		2,455
Effect of exchange rate changes on cash, cash equivalents and restricted cash							14					14
Net change in cash, cash equivalents and restricted cash	—			—			1,776			—		1,776
Cash, cash equivalents and restricted cash at January 1							435					435
Cash, cash equivalents and restricted cash at March 31	$	—		$	—		$	2,211		$	—	$	2,211

Crown Americas, LLC, Crown Americas Capital Corp. IV, Crown Americas Capital Corp. V and Crown Americas Capital Corp. VI (collectively, the Issuer), 100% owned subsidiaries of the Company, have outstanding $1,000 principal amount of 4.5% senior notes due 2023, $400 principal amount of 4.25% senior notes due 2026, and $875 principal amount of 4.75% senior notes due 2026, which are fully and unconditionally guaranteed by Crown Holdings, Inc. (Parent) and substantially all of its subsidiaries in the United States. The guarantors are 100% owned by the Company and the guarantees are made on a joint and several basis.

The following condensed combining financial statements:


•	statements of comprehensive income for the three months ended March 31, 2019 and 2018,


•	balance sheets as of March 31, 2019 and December 31, 2018, and


•	statements of cash flows for the three months ended March 31, 2019 and 2018

are presented on the following pages to comply with the Company’s requirements under Rule 3-10 of Regulation S-X.

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the three months ended March 31, 2019

(in millions)



	Parent		Issuer			Guarantors			Non- Guarantors			Eliminations			Total Company
Net sales						$	892		$	1,979		$	(116	)	$	2,755
Cost of products sold, excluding depreciation and amortization						740			1,586			(116		)	2,210
Depreciation and amortization						35			87						122
Selling and administrative expense			$	3		66			88						157
Restructuring and other									4						4
Income from operations	—		(3		)	51			214						262
Loss from early extinguishments of debt			6												6
Other pension and postretirement						(5		)	(13		)				(18		)
Net interest expense			19			33			43						95
Technology royalty						(9		)	9						—
Foreign exchange			(34		)				1			34			1
Income/(loss) before income taxes	—		6			32			174			(34		)	178
Provision for / (benefit from) income taxes			2			8			46			(8		)	48
Equity earnings / (loss) in affiliates	$	103	63			62						(227		)	1
Net income	103		67			86			128			(253		)	131
Net income attributable to noncontrolling interests									(28		)				(28		)
Net income attributable to Crown Holdings	$	103	$	67		$	86		$	100		$	(253	)	$	103

Total comprehensive income	$	188	$	73		$	169		$	193		$	(407	)	$	216
Comprehensive income attributable to noncontrolling interests									(28		)				(28		)
Comprehensive income attributable to Crown Holdings	$	188	$	73		$	169		$	165		$	(407	)	$	188

CONDENSED COMBINING STATEMENT OF COMPREHENSIVE INCOME

For the three months ended March 31, 2018

(in millions)



	Parent		Issuer			Guarantors			Non- Guarantors			Eliminations			Total Company
Net sales						$	602		$	1,692		$	(97	)	$	2,197
Cost of products sold, excluding depreciation and amortization						520			1,385			(97		)	1,808
Depreciation and amortization						11			54						65
Selling and administrative expense			$	2		33			55						90
Restructuring and other			3			2			8						13
Income from operations			(5		)	36			190						221
Other pension and postretirement						(5		)	(12		)				(17		)
Net interest expense			23			21			24						68
Technology royalty						(11		)	11						—
Foreign exchange			56			(1		)	19			(56		)	18
Income/(loss) before income taxes			(84		)	32			148			56			152
Provision for / (benefit from) income taxes			(20		)	9			37			13			39
Equity earnings / (loss) in affiliates	$	90	56			55						(201		)	—
Net income	90		(8		)	78			111			(158		)	113
Net income attributable to noncontrolling interests									(23		)				(23		)
Net income attributable to Crown Holdings	$	90	$	(8	)	$	78		$	88		$	(158	)	$	90

Total comprehensive income	$	150	$	(7	)	$	47		$	214		$	(230	)	$	174
Comprehensive income attributable to noncontrolling interests									(24		)				(24		)
Comprehensive income attributable to Crown Holdings	$	150	$	(7	)	$	47		$	190		$	(230	)	$	150

CONDENSED COMBINING BALANCE SHEET

As of March 31, 2019

(in millions)



	Parent		Issuer		Guarantors		Non- Guarantors		Eliminations			Total Company
Assets
Current assets
Cash and cash equivalents			$	28	$	5	$	268				$	301
Receivables, net			4		194		1,488					1,686
Intercompany receivables					30		17		$	(47	)	—
Inventories					565		1,286					1,851
Prepaid expenses and other current assets	$	2	2		24		158					186
Total current assets	2		34		818		3,217		(47		)	4,024

Intercompany debt receivables			3,004		3,368		12		(6,384		)	—
Investments	3,647		2,720		1,394				(7,761		)	—
Goodwill					1,178		3,240					4,418
Intangible assets, net					880		1,256					2,136
Property, plant and equipment, net			1		701		3,032					3,734
Operating lease right-of-use assets, net			4		74		135					213
Other non-current assets			46		189		597					832
Total	$	3,649	$	5,809	$	8,602	$	11,489	$	(14,192	)	$	15,357

Liabilities and equity
Current liabilities
Short-term debt							$	125				$	125
Current maturities of long-term debt			$	42			41					83
Current portion of operating lease liabilities					$	18	29					47
Accounts payable					630		1,593					2,223
Accrued liabilities	$	8	24		137		695					864
Intercompany payables					17		30		$	(47	)	—
Total current liabilities	8		66		802		2,513		(47		)	3,342

Long-term debt, excluding current maturities			3,372		1,004		4,438					8,814
Long-term intercompany debt	2,507		739		3,057		81		(6,384		)	—
Non-current portion of operating lease liabilities			4		58		105					167
Postretirement and pension liabilities					416		255					671
Other non-current liabilities					318		543					861
Commitments and contingent liabilities
Noncontrolling interests							368					368
Crown Holdings shareholders’ equity/(deficit)	1,134		1,628		2,947		3,186		(7,761		)	1,134
Total equity/(deficit)	1,134		1,628		2,947		3,554		(7,761		)	1,502
Total	$	3,649	$	5,809	$	8,602	$	11,489	$	(14,192	)	$	15,357

CONDENSED COMBINING BALANCE SHEET

As of December 31, 2018

(in millions)



	Parent		Issuer		Guarantors		Non- Guarantors		Eliminations			Total Company
Assets
Current assets
Cash and cash equivalents			$	117	$	19	$	471				$	607
Receivables, net			4		182		1,416					1,602
Intercompany receivables					33		13		$	(46	)	—
Inventories					485		1,205					1,690
Prepaid expenses and other current assets	$	1	1		17		161					180
Total current assets	1		122		736		3,266		(46		)	4,079

Intercompany debt receivables			2,577		3,449		12		(6,038		)	—
Investments	$	3,458	2,657		1,248				(7,363		)	—
Goodwill					1,178		3,264					4,442
Intangible assets, net					901		1,292					2,193
Property, plant and equipment, net			1		693		3,051					3,745
Other non-current assets			29		192		582					803
Total	$	3,459	$	5,386	$	8,397	$	11,467	$	(13,447	)	$	15,262

Liabilities and equity
Current liabilities
Short-term debt							$	89				$	89
Current maturities of long-term debt			$	37			44					81
Accounts payable					$	725	2,007					2,732
Accrued liabilities	$	14	49		144		804					1,011
Intercompany payables					13		33		$	(46	)	—
Total current liabilities	14		86		882		2,977		(46		)	3,913

Long-term debt, excluding current maturities			2,999		1,274		4,220					8,493
Long-term intercompany debt	2,508		746		2,700		84		(6,038		)	—
Postretirement and pension liabilities					432		251					683
Other non-current liabilities					332		555					887
Commitments and contingent liabilities
Noncontrolling interests							349					349
Crown Holdings shareholders’ equity/(deficit)	937		1,555		2,777		3,031		(7,363		)	937
Total equity/(deficit)	937		1,555		2,777		3,380		(7,363		)	1,286
Total	$	3,459	$	5,386	$	8,397	$	11,467	$	(13,447	)	$	15,262

CONDENSED COMBINING STATEMENT OF CASH FLOWS

For the three months ended March 31, 2019

(in millions)



	Parent			Issuer			Guarantors			Non- Guarantors			Eliminations			Total Company
Net cash provided by/(used for) operating activities	$	—		$	(31	)	$	(154	)	$	(473	)	$	(8	)	$	(666	)
Cash flows from investing activities
Capital expenditures							(16		)	(59		)				(75		)
Proceeds from sale of property, plant and equipment							1			4						5
Net investment hedge				6												6
Net cash provided by/(used for) investing activities	—			6			(15		)	(55		)	—			(64		)
Cash flows from financing activities
Payments of long-term debt				(5		)	(270		)	(6		)				(281		)
Net change in revolving credit facility and short-term debt				375						356						731
Net change in long-term intercompany balances	(1		)	(434		)	438			(3		)				—
Payments of finance leases							(13		)	(1		)				(14		)
Common stock issued	2															2
Common stock repurchased	(1		)													(1		)
Dividends paid										(8		)	8			—
Dividends paid to noncontrolling interests										(9		)				(9		)
Foreign exchange derivatives related to debt										(11		)				(11		)
Net cash provided by/(used for) financing activities	—			(64		)	155			318			8			417
Effect of exchange rate changes on cash, cash equivalents and restricted cash										2						2
Net change in cash, cash equivalents and restricted cash	—			(89		)	(14		)	(208		)	—			(311		)
Cash, cash equivalents and restricted cash at January 1				117			19			523						659
Cash, cash equivalents and restricted cash at March 31	$	—		$	28		$	5		$	315		$	—		$	348

CONDENSED COMBINING STATEMENT OF CASH FLOWS

For the three months ended March 31, 2018

(in millions)



	Parent			Issuer			Guarantors			Non- Guarantors			Eliminations		Total Company
Net cash provided by/(used for) operating activities	$	(22	)	$	(29	)	$	(55	)	$	(645	)			$	(751	)
Cash flows from investing activities
Capital expenditures							(20		)	(72		)			(92		)
Beneficial interests in transferred receivables										175					175
Foreign exchange derivatives related to acquisitions										(25		)			(25		)
Net cash provided by/(used for) investing activities	—			—			(20		)	78			—		58
Cash flows from financing activities
Proceeds from long-term debt				875						1,037					1,912
Payments of long-term debt				(4		)	(1		)	(8		)			(13		)
Net change in revolving credit facility and short-term debt				160						416					576
Net change in long-term intercompany balances	23			(349		)	75			251					—
Debt issue costs				(13		)				(16		)			(29		)
Common stock repurchased	(1		)												(1		)
Foreign exchange derivatives related to debt										10					10
Net cash provided by/(used for) financing activities	22			669			74			1,690			—		2,455
Effect of exchange rate changes on cash, cash equivalents and restricted cash										14					14
Net change in cash, cash equivalents and restricted cash	—			640			(1		)	1,137			—		1,776
Cash, cash equivalents and restricted cash at January 1				36			3			396					435
Cash, cash equivalents and restricted cash at March 31	$	—		$	676		$	2		$	1,533		$	—	$	2,211