Corteva, Inc. [CTVA] Filings

10-Q 1 dd-20220331.htm 10-Q dd-20220331

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2022


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number 001-38710

Corteva, Inc.

(Exact Name of Registrant as Specified in Its Charter)

Delaware

82-4979096

(State or other Jurisdiction of Incorporation or Organization)

(I.R.S. Employer Identification No.)

9330 Zionsville Road,

Indianapolis,

Indiana

46268

(833)

267-8382

(Address of Principal Executive Offices) (Zip Code)

(Registrant’s Telephone Number, including area code)

Commission File Number 1-815

E. I. du Pont de Nemours and Company

(Exact Name of Registrant as Specified in Its Charter)

Delaware

51-0014090

(State or other Jurisdiction of Incorporation or Organization)

(I.R.S. Employer Identification No.)

9330 Zionsville Road,

Indianapolis,

Indiana

46268

(833)

267-8382

(Address of Principal Executive Offices) (Zip Code)

(Registrant’s Telephone Number, including area code)

Securities registered pursuant to Section 12(b) of the Act for Corteva, Inc.:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $0.01 per share	CTVA	New York Stock Exchange

Securities registered pursuant to Section 12(b) of the Act for E. I. du Pont de Nemours and Company:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
$3.50 Series Preferred Stock	CTAPrA	New York Stock Exchange
$4.50 Series Preferred Stock	CTAPrB	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Corteva, Inc.

Yes

E. I. du Pont de Nemours and Company

Yes

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Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Corteva, Inc.

Yes

E. I. du Pont de Nemours and Company

Yes

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Corteva, Inc.

Large Accelerated Filer

Accelerated Filer o

Non-Accelerated Filer

Smaller reporting company o

Emerging growth company o

E. I. du Pont de Nemours and Company

Large Accelerated Filer

Accelerated Filer o

Non-Accelerated Filer

Smaller reporting company o

Emerging growth company o

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.


Corteva, Inc.			o
E. I. du Pont de Nemours and Company			o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Corteva, Inc.

Yes

E. I. du Pont de Nemours and Company

Yes

Corteva, Inc. had 723,700,000 shares of common stock, par value $0.01 per share, outstanding at April, 28, 2022.

E. I. du Pont de Nemours and Company had 200 shares of common stock, par value $0.30 per share, outstanding at April, 28, 2022, all of which are held by Corteva, Inc.

E. I. du Pont de Nemours and Company meets the conditions set forth in General Instruction H(1)(a) and (b) of Form 10-Q (as modified by a grant of no-action relief dated February 12, 2018) and is therefore filing this form with reduced disclosure format.

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CORTEVA, INC.

E. I. DU PONT DE NEMOURS AND COMPANY

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		Page
Explanatory Note
Part I	Financial Information

Item 1.	Consolidated Financial Statements (Unaudited)
	Consolidated Statements of Operations	3
	Consolidated Statements of Comprehensive Income (Loss)	4
	Consolidated Balance Sheets	5
	Consolidated Statements of Cash Flows	6
	Consolidated Statements of Equity	7
	Notes to the Interim Consolidated Financial Statements (Unaudited)	8

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	38
	Cautionary Statements About Forward-Looking Statements	38
	Recent Developments	39
	Overview	40
	Results of Operations	41

	Recent Accounting Pronouncements	43
	Segment Reviews	44
	Non-GAAP Financial Measures	47
	Liquidity & Capital Resources	48

	Contractual Obligations	51

Item 3.	Quantitative and Qualitative Disclosures About Market Risk	51
Item 4.	Controls and Procedures	52

Part II	Other Information

Item 1.	Legal Proceedings	53
Item 1A.	Risk Factors	55
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	55
Item 5.	Other Information	55
Item 6.	Exhibits	56
Exhibit Index		56
Signature		57
Consolidated Financial Statements of E.I. du Pont de Nemours and Company (Unaudited)		58

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Explanatory Note

Corteva owns 100% of the outstanding common stock of EID (defined below). EID is a subsidiary of Corteva, Inc. and continues to be a reporting company, subject to the requirements of the Securities Exchange Act of 1934, as amended.

Unless otherwise indicated or the context otherwise requires, references in this Quarterly Report on Form 10-Q to:

• "Corteva" or "the company" refers to Corteva, Inc. and its consolidated subsidiaries (including EID);

• "EID" refers to E. I. du Pont de Nemours and Company and its consolidated subsidiaries or E. I. du Pont de Nemours and Company excluding its consolidated subsidiaries, as the context may indicate;

• "DowDuPont" refers to DowDuPont Inc. and its subsidiaries prior to the Separation of Corteva (defined below);

• "Historical Dow" refers to The Dow Chemical Company and its consolidated subsidiaries prior to the Internal Reorganization (defined below);

• "Historical DuPont" refers to EID prior to the Internal Reorganization (defined below);

• "Internal Reorganizations" refers to the series of internal reorganization and realignment steps undertaken by Historical DuPont and Historical Dow to realign its business into three groups: agriculture, materials science and specialty products. As part of the Internal Reorganization:

1.the assets and liabilities aligned with EID’s material science business were transferred or conveyed to separate legal entities that were ultimately conveyed by DowDuPont to Dow on April 1, 2019;

2.the assets and liabilities of EID’s specialty products business were transferred or conveyed to separate legal entities that were ultimately distributed to DowDuPont on May 1, 2019;

3.the conveyance of Historical Dow's agriculture business to EID on May 2, 2019; and

4.the contribution of EID to Corteva, Inc. on May 31, 2019. Refer to the company’s Annual Report on Form 10-K for the year ended December 31, 2021 for further information.

• "Dow Distribution" refers to the separation of DowDuPont's materials science business into a separate and independent public company, on April 1, 2019 by way of a distribution of Dow Inc. through a pro rata dividend in-kind of all of the then-issued and outstanding shares of Dow Inc.’s common stock;

• "Merger” refers to the all-stock merger of equals strategic combination between Historical Dow and Historical DuPont on August 31, 2017;

• "Dow" refers to Dow Inc. after the Dow Distribution;

• "DuPont" refers to DuPont de Nemours, Inc. after the Separation of Corteva (on June 1, 2019, DowDuPont Inc. changed its registered name to DuPont de Nemours, Inc.);

• "Separation" or "Separation of Corteva" refers to June 1, 2019, when Corteva, Inc. became an independent, publicly
traded company;

• "Corteva Distribution" refers to the pro rata distribution of all of the then-issued and outstanding shares of Corteva, Inc.'s common stock on June 1, 2019, which was then a wholly-owned subsidiary of DowDuPont, to holders of DowDuPont's common stock as of the close of business on May 24, 2019;

• "Distributions" refers to the Dow Distribution and the Corteva Distribution; and

• “Letter Agreement” refers to the Letter Agreement executed by DuPont and Corteva on June 1, 2019, which sets forth certain additional terms and conditions related to the Separation, including certain limitations on each party’s ability to transfer certain businesses and assets to third parties without assigning certain of such party’s indemnification obligations under the Corteva Separation Agreement to the other party to the transferee of such businesses and assets or meeting certain other alternative conditions.

This Quarterly Report on Form 10-Q is a combined report being filed separately by Corteva, Inc. and EID. The information in this Quarterly Report on Form 10-Q is equally applicable to Corteva, Inc. and EID, except where otherwise indicated.

The separate EID financial statements and footnotes for areas that differ from Corteva, are included within this Quarterly Report on Form 10-Q and begin on page 58. Footnotes of EID that are identical to that of Corteva are cross-referenced accordingly.

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PART I. FINANCIAL INFORMATION

Item 1.CONSOLIDATED FINANCIAL STATEMENTS

Corteva, Inc.

Consolidated Statements of Operations (Unaudited)


(In millions, except per share amounts)	Three Months Ended March 31,
	2022		2021
Net sales	$	4,601	$	4,178
Cost of goods sold	2,724		2,420
Research and development expense	268		281
Selling, general and administrative expenses	735		733
Amortization of intangibles	179		183
Restructuring and asset related charges - net	5		100
Other income - net	17		337
Interest expense	9		7
Income (loss) from continuing operations before income taxes	698		791
Provision for (benefit from) income taxes on continuing operations	121		178
Income (loss) from continuing operations after income taxes	577		613
(Loss) income from discontinued operations after income taxes	(10)		(10)
Net income (loss)	567		603
Net income (loss) attributable to noncontrolling interests	3		3
Net income (loss) attributable to Corteva	$	564	$	600
Basic earnings (loss) per share of common stock:
Basic earnings (loss) per share of common stock from continuing operations	$	0.79	$	0.82
Basic earnings (loss) per share of common stock from discontinued operations	(0.01)		(0.01)
Basic earnings (loss) per share of common stock	$	0.78	$	0.81
Diluted earnings (loss) per share of common stock:
Diluted earnings (loss) per share of common stock from continuing operations	$	0.79	$	0.81
Diluted earnings (loss) per share of common stock from discontinued operations	(0.01)		(0.01)
Diluted earnings (loss) per share of common stock	$	0.78	$	0.80

See Notes to the Interim Consolidated Financial Statements beginning on page 8.

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Corteva, Inc.

Consolidated Statements of Comprehensive Income (Loss) (Unaudited)


(In millions)	Three Months Ended March 31,
	2022		2021
Net income (loss)	$	567	$	603
Other comprehensive income (loss) - net of tax:
Cumulative translation adjustments	91		(403)
Adjustments to pension benefit plans	8		8
Adjustments to other benefit plans	3		(157)
Unrealized gain (loss) on investments	—		10
Derivative instruments	(25)		65
Total other comprehensive income (loss)	77		(477)
Comprehensive income (loss)	644		126
Comprehensive income (loss) attributable to noncontrolling interests - net of tax	3		3
Comprehensive income (loss) attributable to Corteva	$	641	$	123

See Notes to the Interim Consolidated Financial Statements beginning on page 8.

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Corteva, Inc.

Consolidated Balance Sheets (Unaudited)


(In millions, except share amounts)	March 31, 2022		December 31, 2021		March 31, 2021
Assets
Current assets
Cash and cash equivalents	$	2,031	$	4,459	$	2,404
Marketable securities	290		86		114
Accounts and notes receivable - net	7,275		4,811		6,792
Inventories	4,986		5,180		4,321
Other current assets	1,296		1,010		1,405

Total current assets	15,878		15,546		15,036
Investment in nonconsolidated affiliates	91		76		64
Property, plant and equipment	8,483		8,364		8,173
Less: Accumulated depreciation	4,150		4,035		3,874
Net property, plant and equipment	4,333		4,329		4,299
Goodwill	10,109		10,107		10,146
Other intangible assets	9,865		10,044		10,584
Deferred income taxes	471		438		433
Other assets	1,886		1,804		1,987

Total Assets	$	42,633	$	42,344	$	42,549
Liabilities and Equity
Current liabilities
Short-term borrowings and finance lease obligations	$	1,018	$	17	$	1,250
Accounts payable	3,685		4,126		3,098
Income taxes payable	180		146		165
Deferred revenue	2,435		3,201		2,247
Accrued and other current liabilities	2,335		2,068		2,239

Total current liabilities	9,653		9,558		8,999
Long-term debt	1,154		1,100		1,102
Other noncurrent liabilities
Deferred income tax liabilities	1,203		1,220		902
Pension and other post employment benefits - noncurrent	2,983		3,124		4,954
Other noncurrent obligations	1,704		1,719		1,814

Total noncurrent liabilities	7,044		7,163		8,772
Commitments and contingent liabilities
Stockholders’ equity
Common stock, $0.01 par value; 1,666,667,000 shares authorized; issued at March 31, 2022 - 725,320,000; December 31, 2021 - 726,527,000; and March 31, 2021 - 738,321,000	7		7		7
Additional paid-in capital	27,760		27,751		27,630

Retained earnings	750		524		268
Accumulated other comprehensive income (loss)	(2,821)		(2,898)		(3,367)
Total Corteva stockholders’ equity	25,696		25,384		24,538
Noncontrolling interests	240		239		240
Total equity	25,936		25,623		24,778
Total Liabilities and Equity	$	42,633	$	42,344	$	42,549

See Notes to the Interim Consolidated Financial Statements beginning on page 8.

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Corteva, Inc.

Consolidated Statements of Cash Flows (Unaudited)


(In millions)	Three Months Ended March 31,
	2022		2021
Operating activities
Net income (loss)	$	567	$	603
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities:
Depreciation and amortization	307		304
Provision for (benefit from) deferred income tax	(37)		47
Net periodic pension and OPEB benefit, net	(71)		(318)
Pension and OPEB contributions	(55)		(84)
Net (gain) loss on sales of property, businesses, consolidated companies and investments	3		—
Restructuring and asset related charges - net	5		100
Other net loss	104		54
Changes in assets and liabilities, net
Accounts and notes receivable	(2,372)		(2,012)
Inventories	234		467
Accounts payable	(406)		(448)
Deferred revenue	(782)		(401)
Other assets and liabilities	(227)		(262)
Cash provided by (used for) operating activities	(2,730)		(1,950)
Investing activities
Capital expenditures	(179)		(137)
Proceeds from sales of property, businesses and consolidated companies - net of cash divested	5		20

Investments in and loans to nonconsolidated affiliates	(6)		—

Purchases of investments	(234)		(40)
Proceeds from sales and maturities of investments	10		194
Other investing activities, net	—		(1)
Cash provided by (used for) investing activities	(404)		36
Financing activities
Net change in borrowings (less than 90 days)	744		828
Proceeds from debt	311		419

Repurchase of common stock	(235)		(350)
Proceeds from exercise of stock options	40		38
Dividends paid to stockholders	(102)		(97)


Other financing activities, net	(44)		(17)
Cash provided by (used for) financing activities	714		821
Effect of exchange rate changes on cash, cash equivalents and restricted cash equivalents	(31)		(50)
Increase (decrease) in cash, cash equivalents and restricted cash equivalents	(2,451)		(1,143)
Cash, cash equivalents and restricted cash equivalents at beginning of period	4,836		3,873
Cash, cash equivalents and restricted cash equivalents at end of period1	$	2,385	$	2,730

1. See page 14 for reconciliation of cash and cash equivalents and restricted cash equivalents presented in interim Consolidated Balance Sheets to total cash, cash equivalents and restricted cash equivalents presented in the interim Consolidated Statements of Cash Flows.

See Notes to the Interim Consolidated Financial Statements beginning on page 8.

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Corteva, Inc.

Consolidated Statements of Equity (Unaudited)


(In millions, except per share amounts)	Common Stock		Additional Paid-in Capital "APIC"		Retained Earnings		Accumulated Other Comp Income (Loss)		Non-controlling Interests		Total Equity
2021
Balance at January 1, 2021	$	7	$	27,707	$	—	$	(2,890)	$	239	$	25,063
Net income (loss)					600				3		603
Other comprehensive income (loss)							(477)				(477)
Common dividends ($0.13 per share)			(97)								(97)
Issuance of Corteva stock			38								38
Share-based compensation											—
Repurchase of common stock			(18)		(332)						(350)
Other - net									(2)		(2)
Balance at March 31, 2021	$	7	$	27,630	$	268	$	(3,367)	$	240	$	24,778


(In millions, except per share amounts)	Common Stock		Additional Paid-in Capital "APIC"		Retained Earnings		Accumulated Other Comp Income (Loss)		Non-controlling Interests		Total Equity
2022
Balance at January 1, 2022	$	7	$	27,751	$	524	$	(2,898)	$	239	$	25,623
Net income (loss)					564				3		567
Other comprehensive income (loss)							77				77
Common dividends ($0.14 per share)					(102)						(102)
Issuance of Corteva stock			40								40
Share-based compensation			(31)								(31)
Repurchase of common stock					(235)						(235)
Other - net					(1)				(2)		(3)
Balance at March 31, 2022	$	7	$	27,760	$	750	$	(2,821)	$	240	$	25,936

See Notes to the Interim Consolidated Financial Statements beginning on page 8.

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NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)


			Corteva, Inc.
			Notes to the Interim Consolidated Financial Statements (Unaudited)

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Note		Page
1	Summary of Significant Accounting Policies	9
2	Recent Accounting Guidance	9
3	Revenue	9
4	Restructuring and Asset Related Charges - Net	12
5	Supplementary Information	13
6	Income Taxes	14
7	Earnings Per Share of Common Stock	15
8	Accounts and Notes Receivable - Net	16
9	Inventories	17
10	Other Intangible Assets	17
11	Short-Term Borrowings, Long-Term Debt and Available Credit Facilities	18
12	Commitments and Contingent Liabilities	19
13	Stockholders' Equity	26
14	Pension Plans and Other Post Employment Benefits	29
15	Financial Instruments	29
16	Fair Value Measurements	35
17	Segment Information	36
18	Subsequent Events	37

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NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The accompanying unaudited interim Consolidated Financial Statements have been prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP") for interim financial information and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair statement of the results for interim periods have been included. Results for interim periods should not be considered indicative of results for a full year. These interim Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and Notes thereto contained in the company’s Annual Report on Form 10-K for the year ended December 31, 2021, collectively referred to as the “2021 Annual Report.” The interim Consolidated Financial Statements include the accounts of the company and all of its subsidiaries in which a controlling interest is maintained.

Certain reclassifications of prior year's data have been made to conform to current year's presentation.

Since 2018, Argentina has been considered a hyper-inflationary economy under U.S. GAAP and therefore the U.S. Dollar (“USD”) is the functional currency for our related subsidiaries. Argentina contributes approximately 5 percent to both the company's annual Sales and EBITDA. We remeasure net monetary assets and translate our financial statements utilizing the official Argentine Peso (“Peso”) to USD exchange rate. The ability to draw down Peso cash balances is limited at this time due to government restrictions and market availability of U.S. Dollars. The devaluation of the Peso relative to the USD over the last several years has resulted in the recognition of exchange losses (refer to Note 5 – Supplementary Information, to the interim Consolidated Financial Statements, and Note 9 – Supplemental Information, to the company's 2021 Annual Report). As of March 31, 2022, a further 10 percent deterioration in the official Peso to USD exchange rate would reduce the USD value of our net monetary assets and negatively impact pre-tax earnings by approximately $15 million. We will continue to assess the implications to our operations and financial reporting.

NOTE 2 - RECENT ACCOUNTING GUIDANCE

Recently Adopted Accounting Guidance

In November 2021, the FASB issued ASU 2021-10, Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance, which requires business entities to disclose transactions with a governmental entity for which a grant or contribution accounting model is used in recognizing and measuring such transactions. This standard is effective for fiscal years beginning after December 15, 2021, and early adoption is permitted. The company adopted this guidance on January 1, 2022 and it did not have a material impact on the company’s disclosures.

NOTE 3 - REVENUE

Revenue Recognition

Products

Substantially all of Corteva's revenue is derived from product sales. Product sales consist of sales of Corteva's products to farmers, distributors, and manufacturers. Corteva considers purchase orders, which in some cases are governed by master supply agreements, to be a contract with a customer. Contracts with customers are considered to be short-term when the time between order confirmation and satisfaction of the performance obligations is equal to or less than one year. However, the company has some long-term contracts which can span multiple years.

Revenue from product sales is recognized when the customer obtains control of the company's product, which occurs at a point in time according to shipping terms. Payment terms are generally less than one year from invoicing. The company elected the practical expedient and does not adjust the promised amount of consideration for the effects of a significant financing component when the company expects it will be one year or less between when a customer obtains control of the company's product and when payment is due. When the company performs shipping and handling activities after the transfer of control to the customer (e.g., when control transfers prior to or at shipment), these are considered fulfillment activities, and accordingly, the costs are accrued when the related revenue is recognized. Taxes collected from customers relating to product sales and remitted to governmental authorities are excluded from revenues. In addition, the company elected the practical expedient to expense any costs to obtain contracts as incurred, as the amortization period for these costs would have been one year or less.

The transaction price includes estimates of variable consideration, such as rights of return, rebates, and discounts, that are reductions in revenue. All estimates are based on the company's historical experience, anticipated performance, and the company's best judgment at the time the estimate is made. Estimates of variable consideration included in the transaction price primarily utilize the expected value method based on historical experience. These estimates are reassessed each reporting period and are included in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized

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NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

will not occur upon resolution of uncertainty associated with the variable consideration. The majority of contracts have a single performance obligation satisfied at a point in time and the transaction price is stated in the contract, usually as quantity times price per unit. For contracts with multiple performance obligations, the company allocates the transaction price to each performance obligation based on the relative standalone selling price. The standalone selling price is the observable price which depicts the price as if sold to a similar customer in similar circumstances.

Licenses of Intellectual Property

Corteva enters into licensing arrangements with customers under which it licenses its intellectual property. Revenue from the majority of intellectual property licenses is derived from sales-based royalties. Revenue for licensing agreements that contain sales-based royalties is recognized at the later of (i) when the subsequent sale occurs or (ii) when the performance obligation to which some or all of the royalty has been allocated is satisfied.

Remaining Performance Obligations

Remaining performance obligations represent the transaction price allocated to unsatisfied or partially unsatisfied performance obligations. The company applies the practical expedient to disclose the transaction price allocated to the remaining performance obligations for only those contracts with an original duration of more than one year. The transaction price allocated to remaining performance obligations with an original duration of more than one year related to material rights granted to customers for contract renewal options were $120 million, $123 million and $113 million at March 31, 2022, December 31, 2021 and March 31, 2021, respectively. The company expects revenue to be recognized for the remaining performance obligations evenly over the period of one year to six years.

Contract Balances

Contract liabilities primarily reflect deferred revenue from prepayments under contracts with customers where the company receives advance payments for products to be delivered in future periods. Corteva classifies deferred revenue as current or noncurrent based on the timing of when the company expects to recognize revenue. Contract assets primarily include amounts related to conditional rights to consideration for completed performance not yet invoiced. Accounts receivable are recorded when the right to consideration becomes unconditional.


Contract Balances	March 31, 2022		December 31, 2021		March 31, 2021
(In millions)	March 31, 2022		December 31, 2021		March 31, 2021
Accounts and notes receivable - trade1	$	6,029	$	3,561	$	5,764
Contract assets - current2	$	24	$	24	$	22
Contract assets - noncurrent3	$	58	$	58	$	53
Deferred revenue - current	$	2,435	$	3,201	$	2,247
Deferred revenue - noncurrent4	$	104	$	120	$	111

1.Included in accounts and notes receivable - net in the interim Consolidated Balance Sheets.

2.Included in other current assets in the interim Consolidated Balance Sheets.

3.Included in other assets in the interim Consolidated Balance Sheets.

4.Included in other noncurrent obligations in the interim Consolidated Balance Sheets.

Revenue recognized during the three months ended March 31, 2022 and 2021 from amounts included in deferred revenue at the beginning of the period was $1,339 million and $924 million, respectively.

Disaggregation of Revenue

Corteva's operations are classified into two reportable segments: Seed and Crop Protection. The company disaggregates its revenue by major product line and geographic region, as the company believes it best depicts the nature, amount and timing of its revenue and cash flows. Net sales by major product line are included below:

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NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)


	Three Months Ended March 31,
(In millions)	2022		2021
Corn	$	1,930	$	1,888
Soybean	172		177
Other oilseeds	277		296
Other	145		131
Seed	2,524		2,492
Herbicides	1,205		986
Insecticides	418		385
Fungicides	304		261
Other	150		54
Crop Protection	2,077		1,686
Total	$	4,601	$	4,178

Sales are attributed to geographic regions based on customer location. Net sales by geographic region and segment are included below:


Seed	Three Months Ended March 31,
(In millions)	2022		2021
North America1	$	1,184	$	1,210
EMEA2	926		947
Latin America	323		274
Asia Pacific	91		61
Total	$	2,524	$	2,492


Crop Protection	Three Months Ended March 31,
(In millions)	2022		2021
North America1	$	821	$	533
EMEA2	656		655
Latin America	327		244
Asia Pacific	273		254
Total	$	2,077	$	1,686

1.Represents U.S. & Canada.

2.Europe, Middle East, and Africa ("EMEA").

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NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

NOTE 4 - RESTRUCTURING AND ASSET RELATED CHARGES - NET

2021 Restructuring Actions

During the first quarter of 2021, Corteva approved restructuring actions designed to right-size and optimize its footprint and organizational structure according to the business needs in each region with the focus on driving continued cost improvement and productivity. Through the first quarter of 2022, the company recorded net pre-tax restructuring charges of $