What do the financial statements tell you about Kinberly-Clark's growth in revenues and profits, its liquidity, and its financial leverage and associated risks? What does Kimberly-Clark do with its cash flows? Provide examples with specific numbers. Additionally, locate one or more notes in the report that addresses how the firm handled/addressed issues related to one of the following: Inflation, Interest Rate Risk, or the firms Growth Rate.

KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES CONSOLIDATED INCOME STATEMENTS Year Ended December 31 2019 2020 2018 $ $ $ (Millions of dollars, except per share amounts) Net Sales Cost of products sold Gross Profit Marketing, research and general expenses Other (income, and expense, net Operating Profit Nonoperating expense Interest income Interest expense Income Before Income Taxes and Equity Interests Provision for income taxes Income Before Equity Interests Share of net income of equity companies Net Income Net income attributable to noncontrolling interests Net Income Attributable to Kimberly-Clark Corporation 19,140 12,318 6,822 3,632 (54) 3,244 (70) 8 (252) 2,930 (676) 2,254 142 2,396 (44) 2,352 18,450 12,415 6,035 3,254 (210) 2,991 (91) 11 (261) 2,650 (576) 2,074 123 2,197 (40) 2,157 18,486 12,889 5,597 3,367 1 2,229 (163) 10 (263) 1,813 (471) 1,342 103 1,445 (35) 1,410 $ $ $ Per Share Basis Net Income Attributable to Kimberly-Clark Corporation Basic $ 6.90 $ 6.28 $ 4.05 || Diluted $ 6.87 $ 6.24 $ 4.03 See notes to the consolidated financial statements. KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME Year Ended December 31 2019 2020 2018 $ 2,396 $ 2,197 $ 1,445 (Millions of dollars) Net Income Other Comprehensive Income (Loss), Net of Tax Unrealized currency translation adjustments Employee postretirement benefits Other Total Other Comprehensive Income (Loss), Net of Tax Comprehensive Income Comprehensive income attributable to noncontrolling interests Comprehensive Income Attributable to Kimberly-Clark Corporation 129 37 (34) 132 19 12 (34) (3) 2,194 (31) 2,163 $ (428) 140 51 (237) 1,208 (22) 1,186 2,528 (55) 2,473 $ $ See notes to the consolidated financial statements. KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS December 31 2020 2019 442 2,263 1,790 562 (Millions of dollars) ASSETS Current Assets Cash and cash equivalents Accounts receivable, net Inventories Other current assets Total Current Assets Property, Plant and Equipment, Net Investments in Equity Companies Goodwill Other Intangible Assets, Net Other Assets TOTAL ASSETS 303 $ 2,235 1,903 733 5,174 8,042 300 1,895 832 1,280 17,523 $ 5,057 7,450 268 1,467 29 1,012 15,283 486 $ 3,336 2,262 359 6,443 7,878 864 723 718 28 1,534 3,055 1,978 352 6,919 6,213 897 511 520 29 LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities Debt payable within one year Trade accounts payable Accrued expenses and other current liabilities Dividends payable Total Current Liabilities Long-Term Debt Noncurrent Employee Benefits Deferred Income Taxes Other Liabilities Redeemable Preferred Securities of Subsidiaries Stockholders' Equity Kimberly-Clark Corporation Preferred stock - no par value - authorized 20.0 million shares, none issued Common stock - $1.25 par value-authorized 1.2 billion shares; issued 378.6 million shares at December 31, 2020 and 2019 Additional paid-in capital Common stock held in treasury, at cost - 39.9 and 37.1 million shares at December 31, 2020 and 2019, respectively Retained earnings Accumulated other comprehensive income (loss) Total Kimberly-Clark Corporation Stockholders' Equity Noncontrolling Interests Total Stockholders' Equity TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY 473 657 473 556 (4,899) 7,567 (3,172) 626 243 869 17,523 (4,454) 6,686 (3,294) (33) 227 194 15,283 $ $ See notes to the consolidated financial statements. Non- controlling Interests 253 Total Stockholders' Equity S 882 - 31 1,441 (12) (236) (1,351) 62 (820) TILL 39 (32) 1 241 (1,423) 9 (46) - - - - 37 2,194 KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY Accumulated Common Stock (Millions of dollars, shares in Issued Additional Other Treasury Stock thousands, except per share Paid-in Retained Comprehensive amounts) Shares Amount Capital Shares Amount Earnings Income (Loss) Balance at December 31, 2017 378,597 S 473 594 27,491 $ (3,288) $ 5,769 $ (2,919) Net income in stockholders' equity, excludes redeemable interests' share 1,410 Other comprehensive income, net of tax, excludes redeemable interests' share (224) Stock-based awards exercised or vested (90) 152 Shares repurchased 7,495 (820) Recognition of stock-based compensation 39 Dividends declared ($4.00 per share) (1,391) Other 5 159 (156) Balance at December 31, 2018 378,597 473 548 33,635 (3,956) 5,947 (3,299) Net income in stockholders' equity, excludes redeemable interests' share 2,157 Other comprehensive income, net of tax, excludes redeemable interests' share 6 Stock-based awards exercised or vested (93) (2,817) 322 Shares repurchased 6,331 (820) Recognition of stock-based compensation 94 Dividends declared ($4.12 per share) (1,415) Other 7 (3) (1) Balance at December 31, 2019 378,597 473 556 37.149 (4,454) 6,686 (3,294) Net income in stockholders' equity, excludes redeemable interests' share 2,352 Other comprehensive income, net of tax, excludes redeemable interests' share 121 Stock-based awards exercised or vested (55) (2,339) 271 Shares repurchased 5,063 (716) Recognition of stock-based compensation 142 Dividends declared ($4.28 per share) (1,458) Other 14 (13) Balance at December 31, 2020 378,597 473 657 39,873 (4,899) $ 7,567 $ (3,172) (10) 229 (820) - 94 (42) 1 (1,457) 4 227 194 - - 41 2,393 12 133 TIL . 216 (716) | 142 (36) (1) 243 $ (1,494) 1 869 See notes to the consolidated financial statements. KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES CONSOLIDATED CASH FLOW STATEMENTS Year Ended December 31 2019 2020 2018 $ 2,197 $ 917 2,396 $ 796 17 147 45 68 (30) 363 (28) (45) 3,729 96 29 (193) (6) (288) 13 (29) 2,736 1,445 882 74 41 2 52 18 389 (25) 92 2,970 (877) (Millions of dollars) Operating Activities Net income Depreciation and amortization Asset impairments Stock-based compensation Deferred income taxes Net (gains) losses on asset dispositions Equity companies' earnings (in excess of) less than dividends paid Operating working capital Postretirement benefits Other Cash Provided by Operations Investing Activities Capital spending Acquisition, net of cash acquired Proceeds from dispositions of property Investments in time deposits Maturities of time deposits Other Cash Used for Investing Financing Activities Cash dividends paid Change in short-term debt Debt proceeds Debt repayments Proceeds from exercise of stock options Acquisitions of common stock for the treasury Other Cash Used for Financing Effect of Exchange Rate Changes on Cash and Cash Equivalents Change in Cash and Cash Equivalents Cash and Cash Equivalents - Beginning of Year Cash and Cash Equivalents - End of Year (1,217) (1,083) 31 (753) 690 27 (2,305) (1,209) (4) 242 (568) 542 (45) (1,042) 51 (353) 272 5 (902) (1,451) (561) 1,845 (854) 217 (700) (63) (1,567) 4 (139) 442 (1,408) 303 706 (707) 228 (800) (114) (1,792) 1 (97) 539 442 (1,386) (34) 507 (407) 62 (800) (57) (2,115) (30) (77) 616 539 $ 303 $ KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES CONSOLIDATED INCOME STATEMENTS Year Ended December 31 2019 2020 2018 $ $ $ (Millions of dollars, except per share amounts) Net Sales Cost of products sold Gross Profit Marketing, research and general expenses Other (income, and expense, net Operating Profit Nonoperating expense Interest income Interest expense Income Before Income Taxes and Equity Interests Provision for income taxes Income Before Equity Interests Share of net income of equity companies Net Income Net income attributable to noncontrolling interests Net Income Attributable to Kimberly-Clark Corporation 19,140 12,318 6,822 3,632 (54) 3,244 (70) 8 (252) 2,930 (676) 2,254 142 2,396 (44) 2,352 18,450 12,415 6,035 3,254 (210) 2,991 (91) 11 (261) 2,650 (576) 2,074 123 2,197 (40) 2,157 18,486 12,889 5,597 3,367 1 2,229 (163) 10 (263) 1,813 (471) 1,342 103 1,445 (35) 1,410 $ $ $ Per Share Basis Net Income Attributable to Kimberly-Clark Corporation Basic $ 6.90 $ 6.28 $ 4.05 || Diluted $ 6.87 $ 6.24 $ 4.03 See notes to the consolidated financial statements. KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME Year Ended December 31 2019 2020 2018 $ 2,396 $ 2,197 $ 1,445 (Millions of dollars) Net Income Other Comprehensive Income (Loss), Net of Tax Unrealized currency translation adjustments Employee postretirement benefits Other Total Other Comprehensive Income (Loss), Net of Tax Comprehensive Income Comprehensive income attributable to noncontrolling interests Comprehensive Income Attributable to Kimberly-Clark Corporation 129 37 (34) 132 19 12 (34) (3) 2,194 (31) 2,163 $ (428) 140 51 (237) 1,208 (22) 1,186 2,528 (55) 2,473 $ $ See notes to the consolidated financial statements. KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS December 31 2020 2019 442 2,263 1,790 562 (Millions of dollars) ASSETS Current Assets Cash and cash equivalents Accounts receivable, net Inventories Other current assets Total Current Assets Property, Plant and Equipment, Net Investments in Equity Companies Goodwill Other Intangible Assets, Net Other Assets TOTAL ASSETS 303 $ 2,235 1,903 733 5,174 8,042 300 1,895 832 1,280 17,523 $ 5,057 7,450 268 1,467 29 1,012 15,283 486 $ 3,336 2,262 359 6,443 7,878 864 723 718 28 1,534 3,055 1,978 352 6,919 6,213 897 511 520 29 LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities Debt payable within one year Trade accounts payable Accrued expenses and other current liabilities Dividends payable Total Current Liabilities Long-Term Debt Noncurrent Employee Benefits Deferred Income Taxes Other Liabilities Redeemable Preferred Securities of Subsidiaries Stockholders' Equity Kimberly-Clark Corporation Preferred stock - no par value - authorized 20.0 million shares, none issued Common stock - $1.25 par value-authorized 1.2 billion shares; issued 378.6 million shares at December 31, 2020 and 2019 Additional paid-in capital Common stock held in treasury, at cost - 39.9 and 37.1 million shares at December 31, 2020 and 2019, respectively Retained earnings Accumulated other comprehensive income (loss) Total Kimberly-Clark Corporation Stockholders' Equity Noncontrolling Interests Total Stockholders' Equity TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY 473 657 473 556 (4,899) 7,567 (3,172) 626 243 869 17,523 (4,454) 6,686 (3,294) (33) 227 194 15,283 $ $ See notes to the consolidated financial statements. Non- controlling Interests 253 Total Stockholders' Equity S 882 - 31 1,441 (12) (236) (1,351) 62 (820) TILL 39 (32) 1 241 (1,423) 9 (46) - - - - 37 2,194 KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY Accumulated Common Stock (Millions of dollars, shares in Issued Additional Other Treasury Stock thousands, except per share Paid-in Retained Comprehensive amounts) Shares Amount Capital Shares Amount Earnings Income (Loss) Balance at December 31, 2017 378,597 S 473 594 27,491 $ (3,288) $ 5,769 $ (2,919) Net income in stockholders' equity, excludes redeemable interests' share 1,410 Other comprehensive income, net of tax, excludes redeemable interests' share (224) Stock-based awards exercised or vested (90) 152 Shares repurchased 7,495 (820) Recognition of stock-based compensation 39 Dividends declared ($4.00 per share) (1,391) Other 5 159 (156) Balance at December 31, 2018 378,597 473 548 33,635 (3,956) 5,947 (3,299) Net income in stockholders' equity, excludes redeemable interests' share 2,157 Other comprehensive income, net of tax, excludes redeemable interests' share 6 Stock-based awards exercised or vested (93) (2,817) 322 Shares repurchased 6,331 (820) Recognition of stock-based compensation 94 Dividends declared ($4.12 per share) (1,415) Other 7 (3) (1) Balance at December 31, 2019 378,597 473 556 37.149 (4,454) 6,686 (3,294) Net income in stockholders' equity, excludes redeemable interests' share 2,352 Other comprehensive income, net of tax, excludes redeemable interests' share 121 Stock-based awards exercised or vested (55) (2,339) 271 Shares repurchased 5,063 (716) Recognition of stock-based compensation 142 Dividends declared ($4.28 per share) (1,458) Other 14 (13) Balance at December 31, 2020 378,597 473 657 39,873 (4,899) $ 7,567 $ (3,172) (10) 229 (820) - 94 (42) 1 (1,457) 4 227 194 - - 41 2,393 12 133 TIL . 216 (716) | 142 (36) (1) 243 $ (1,494) 1 869 See notes to the consolidated financial statements. KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES CONSOLIDATED CASH FLOW STATEMENTS Year Ended December 31 2019 2020 2018 $ 2,197 $ 917 2,396 $ 796 17 147 45 68 (30) 363 (28) (45) 3,729 96 29 (193) (6) (288) 13 (29) 2,736 1,445 882 74 41 2 52 18 389 (25) 92 2,970 (877) (Millions of dollars) Operating Activities Net income Depreciation and amortization Asset impairments Stock-based compensation Deferred income taxes Net (gains) losses on asset dispositions Equity companies' earnings (in excess of) less than dividends paid Operating working capital Postretirement benefits Other Cash Provided by Operations Investing Activities Capital spending Acquisition, net of cash acquired Proceeds from dispositions of property Investments in time deposits Maturities of time deposits Other Cash Used for Investing Financing Activities Cash dividends paid Change in short-term debt Debt proceeds Debt repayments Proceeds from exercise of stock options Acquisitions of common stock for the treasury Other Cash Used for Financing Effect of Exchange Rate Changes on Cash and Cash Equivalents Change in Cash and Cash Equivalents Cash and Cash Equivalents - Beginning of Year Cash and Cash Equivalents - End of Year (1,217) (1,083) 31 (753) 690 27 (2,305) (1,209) (4) 242 (568) 542 (45) (1,042) 51 (353) 272 5 (902) (1,451) (561) 1,845 (854) 217 (700) (63) (1,567) 4 (139) 442 (1,408) 303 706 (707) 228 (800) (114) (1,792) 1 (97) 539 442 (1,386) (34) 507 (407) 62 (800) (57) (2,115) (30) (77) 616 539 $ 303 $