Annual report pursuant to Section 13 and 15(d)

MARKETABLE SECURITIES

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MARKETABLE SECURITIES
 12 Months Ended
Dec. 31, 2024
Marketable Securities [Abstract]  
MARKETABLE SECURITIES
NOTE 5. MARKETABLE SECURITIES
A summary of marketable securities, all of which are classified as current, was as follows:
December 31,
  2024 2023
In millions Cost
Gross unrealized gains/(losses) (1)
Estimated
fair value		 Cost
Gross unrealized gains/(losses) (1)
Estimated
fair value
Equity securities            
Level 1
Publicly-traded shares $ 7  $ (6) $ 1  $ —  $ —  $ — 
Level 2
Debt mutual funds 262  1  263  272  —  272 
Certificates of deposit 262  —  262  246  —  246 
Equity mutual funds 19  7  26  22  6  28 
Debt securities 41  —  41  16  —  16 
Marketable securities $ 591  $ 2  $ 593  $ 556  $ 6  $ 562 
(1) Unrealized gains and losses for debt securities are recorded in other comprehensive income while unrealized gains and losses for equity securities are recorded in our Consolidated Statements of Net Income.
The fair value of Level 1 securities is derived from the market price at the end of the period. The fair value of Level 2 securities is estimated using actively quoted prices for similar instruments from brokers and observable inputs where available, including market transactions and third-party pricing services, or net asset values provided to investors. We do not currently have any Level 3 securities, and there were no transfers between Level 2 or 3 during 2024 or 2023. All debt securities are classified as available-for-sale.
A description of the valuation techniques and inputs used for our Level 2 fair value measures is as follows:
•Debt mutual funds— The fair value measures for the vast majority of these investments are the daily net asset values published on a regulated governmental website. Daily quoted prices are available from the issuing brokerage and are used on a test basis to corroborate this Level 2 input measure.
•Certificates of deposit— These investments provide us with a contractual rate of return and generally range in maturity from three months to five years. The counterparties to these investments are reputable financial institutions with investment grade credit ratings. Since these instruments are not tradable and must be settled directly by us with the respective financial institution, our fair value measure is the financial institution's month-end statement.
•Equity mutual funds— The fair value measures for these investments are the net asset values published by the issuing brokerage. Daily quoted prices are available from reputable third-party pricing services and are used on a test basis to corroborate this Level 2 input measure.
•Debt securities— The fair value measures for these securities are broker quotes received from reputable firms. These securities are infrequently traded on a national exchange and these values are used on a test basis to corroborate our Level 2 input measure.
The proceeds from sales and maturities of marketable securities were as follows:
Years ended December 31,
In millions 2024 2023 2022
Proceeds from sales of marketable securities $ 1,227  $ 1,075  $ 750 
Proceeds from maturities of marketable securities 233  259  401 
Investments in marketable securities - liquidations $ 1,460  $ 1,334  $ 1,151