Qnity keeps $43M PFAS indemnity reserve unchanged

Qnity Electronics keeps its $43 million PFAS-related indemnification reserve unchanged as DuPont and affiliates reach a settlement with North Carolina and certain municipalities.

Rhea-AI Filing Summary

Qnity Electronics, Inc. (Q) reported that DuPont, Chemours, and Corteva entered into a Settlement Agreement with the State of North Carolina and certain municipalities to resolve claims related to PFAS and other emissions, including PFAS contamination unrelated to the Fayetteville Works facility.

Qnity previously recorded an indemnification liability of $43 million in the second quarter of 2026, which remains unchanged and represents the portion of 44% of DuPont’s after-tax liability that Qnity is contractually allocated to pay or indemnify. The companies agreed that this settlement and potential future settlements will be counted toward the 2021 Memorandum of Understanding limit at net present value using an 8% discount rate over 25 years, and that future MOU escrow contributions, including the one that would have been due in September 2026, will be deemed satisfied by payments tied to settlements with New Jersey and North Carolina.

8-K Event Classification

Item 8.01 — Other Events

1 item

Item 8.01 Other Events Other

Voluntary disclosure of events the company deems important to shareholders but not covered by other items.

Key Figures

Indemnification liability: $43 million Applicable Qnity Percentage basis: 44% of DuPont’s after-tax liability MOU settlement counting period: 25 years +3 more

6 metrics

Indemnification liability $43 million Established in the second quarter of 2026 and unchanged as Qnity’s share of DuPont’s after-tax liability for the settlement

Applicable Qnity Percentage basis 44% of DuPont’s after-tax liability Portion of DuPont’s after-tax liability used to calculate Qnity’s indemnification obligation

MOU settlement counting period 25 years Settlements treated as if payable in equal annual installments over 25 years under the 2021 MOU

Discount rate for MOU calculations 8% Rate used to compute net present value of settlements counted against the 2021 MOU limit

Escrow contribution timing reference September 2026 MOU escrow contribution that will be considered satisfied by payments for New Jersey and North Carolina settlements

Item 8.01 Other Events disclosure describing PFAS-related settlement and Qnity’s indemnification liability

Key Terms

indemnification liability, PFAS, Memorandum of Understanding, net present value, +1 more

5 terms

indemnification liability financial

"the Company established an indemnification liability of $43 million"

PFAS technical

"claims relating to PFAS and other emissions from the Fayetteville Works facility"

PFAS are a group of human-made chemicals used in many everyday products, such as non-stick cookware, water-repellent clothing, and food packaging, because they resist heat, water, and grease. They are often called "forever chemicals" because they do not break down easily in the environment or the human body, potentially leading to health concerns. For investors, the presence of PFAS-related risks can impact companies’ reputations, legal liabilities, and future costs.

Memorandum of Understanding regulatory

"count the Settlement and potential future litigation settlements against the 2021 Memorandum of Understanding"

A memorandum of understanding (MOU) is a formal agreement between two or more parties that outlines their shared intentions and plans to work together. It acts like a handshake in writing, clarifying each side’s roles and expectations before any official contract is signed. For investors, an MOU signals that parties are serious about collaboration, which can influence future business opportunities and potential growth.

net present value financial

"count the Settlement ... against the 2021 Memorandum of Understanding limit at net present value"

Net present value is a way to measure the value of a future amount of money today. It considers how money available in the future is worth less than money now because of potential earning opportunities or inflation. Investors use it to decide whether an investment is worthwhile, aiming for projects with positive net present value, meaning they are expected to generate more value than they cost.

escrow account financial

"all future contributions to the MOU escrow account will be considered satisfied"

An escrow account is a neutral holding account run by an independent third party where cash, shares, or documents are kept until specific contract conditions are met — like a referee holding the ball until both teams agree the play is fair. Investors care because escrows reduce counterparty risk in deals (mergers, stock purchases, property transactions), ensuring payments or assets are released only when agreed terms are satisfied.

FAQ

What PFAS-related settlement involving Qnity Electronics (Q) is described in this 8-K?

DuPont, Chemours, and Corteva entered into a Settlement Agreement with the State of North Carolina and certain municipalities to resolve claims related to PFAS and other emissions from the Fayetteville Works facility and PFAS contamination in North Carolina unrelated to that facility.

How much indemnification liability has Qnity Electronics (Q) recorded for this PFAS settlement?

Qnity Electronics has recorded an indemnification liability of $43 million, established in the second quarter of 2026. This amount remains unchanged and represents its contractually allocated portion of 44% of DuPont’s after-tax liability for the settlement.

What is the Applicable Qnity Percentage mentioned for Qnity Electronics (Q)?

The Applicable Qnity Percentage is the share of DuPont’s after-tax liability that Qnity is contractually allocated to pay or indemnify. For this settlement, Qnity’s liability of $43 million reflects a portion of 44% of DuPont’s after-tax liability.

How will the PFAS settlement be treated under the 2021 Memorandum of Understanding involving Qnity Electronics (Q)?

The settlement and potential future litigation settlements will be counted against the 2021 Memorandum of Understanding limit at net present value, assuming equal annual payments over 25 years and an 8% discount rate.

What happens to future escrow contributions under the MOU referenced by Qnity Electronics (Q)?

Chemours, Corteva, and DuPont agreed that all future contributions to the MOU escrow account will be considered satisfied by payments made in connection with settlements with New Jersey and North Carolina, including the escrow contribution that would have been due in September 2026.

Does this filing indicate a new financial charge for Qnity Electronics (Q)?

No new charge is described. Qnity states that it had already established a $43 million indemnification liability in the second quarter of 2026 and that this amount remains unchanged in connection with the PFAS settlement.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Available on EDGAR 09/10/2026 - 07:59 AM Accepted by SEC EDGAR 09/10/2026 - 07:58 AM Learn about SEC filing dates

0002058873FALSE00020588732026-09-102026-09-10

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): September 10, 2026

Qnity Electronics, Inc.

(Exact name of registrant as specified in its charter)

Delaware			001-42619			33-3002745
(State or other jurisdiction of incorporation)			(Commission File Number)			(IRS Employer Identification No.)

974 Centre Road,			Building 735						19805
Wilmington,			Delaware
(Address of principal executive offices)									(Zip Code)

1 (302) 450-5700

(Registrant’s Telephone Number, Including Area Code)

Not applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

❑ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

❑ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

❑ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

❑ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

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

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ❑

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. ❑

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Item 8.01 Other Events.

On September 10, 2026, DuPont de Nemours, Inc. (“DuPont”), The Chemours Company (“Chemours”), and Corteva Inc. and its wholly owned subsidiary EIDP, Inc. (together, “Corteva”) announced that they entered into a Settlement Agreement (the “Settlement”) with the State of North Carolina and certain municipalities, to resolve all claims asserted by certain plaintiffs relating to PFAS and other emissions from the Fayetteville Works facility, as well as claims asserted by the State of North Carolina related to PFAS contamination unrelated to such facility.

In the second quarter of 2026, Qnity Electronics, Inc. (the “Company”) established an indemnification liability of $43 million, which remains unchanged, and represents the Applicable Qnity Percentage (the portion for which the Company has been contractually allocated, and is required to directly pay or indemnify DuPont) of 44% of DuPont's after-tax liability for this Settlement.

Chemours, Corteva and DuPont have agreed to count the Settlement and potential future litigation settlements against the 2021 Memorandum of Understanding (“MOU”) limit at net present value as of the date of the applicable settlement as if payable in equal annual installments over 25 years and discounted using an 8% discount rate. In addition, Chemours, Corteva and DuPont have agreed that all future contributions to the MOU escrow account will be considered satisfied by payments in connection with settlements with New Jersey and North Carolina, including the escrow contribution that would have been due in September 2026.

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SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

QNITY ELECTRONICS, INC.

By:			/s/ Peter W. Hennessey
Name:						Peter W. Hennessey
Title:						Senior Vice President and General Counsel

Date: September 10, 2026

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Filing Exhibits & Attachments

4 documents

Other Documents

• EX-101 XBRL TAXONOMY EXTENSION SCHEMA DOCUMENT 2.3 KB
• EX-101 XBRL TAXONOMY EXTENSION DEFINITION LINKBASE DOCUMENT 13.7 KB
• EX-101 XBRL TAXONOMY EXTENSION LABEL LINKBASE DOCUMENT 26.8 KB
• EX-101 XBRL TAXONOMY EXTENSION PRESENTATION LINKBASE DOCUMENT 15.7 KB