What The Sherwin-Williams Company told the SEC could break it.

Sherwin-Williams' raw-material supply and prices are exposed to expanding export controls/foreign-investment limits affecting global raw-material supply, US-China trade-conflict actions, and geopolitical conflicts (e.g., Russia-Ukraine) that can decrease supply and raise prices; evolving tariff policies could further impact raw-material costs.

“Expanding export controls or limits on foreign investment, for example, has in the past and could in the future impact the global supply of raw materials. Government actions taken in connection with the United States-China trade conflict have in the past and could in the future impact business, including sales, imports and exports.”

Some IT systems Sherwin-Williams relies on are maintained or operated by third-party providers, including cloud-based systems; cybersecurity incidents, threats and attacks are increasingly sophisticated (including due to AI advances), constantly evolving and globally sourced, posing risk to its financial reporting, business and operations.

“Some of the information technology systems we rely on are maintained or operated by third-party providers, including cloud-based systems. Cybersecurity incidents, threats and attacks are increasingly sophisticated, including due to advances in artificial intelligence (AI) capabilities”

Net sales of Sherwin-Williams' consolidated foreign subsidiaries were ~19.6% of consolidated sales in 2025 (foreign subsidiaries = 27.9% of total assets), and its expansion into and operations in South America, Asia, Europe and other markets — including the newly acquired Suvinil Brazilian decorative-paints business bought from BASF — carry FX, integration and political/economic risk.

“Net sales of our consolidated foreign subsidiaries totaled approximately 19.6%, 19.2% and 19.2% of our[ consolidated net sales]”

On May 12, 2025 a Sherwin-Williams subsidiary (SWM) was sued alleging past operations violated Texas environmental regulations on air and water emissions, including events related to an August 8, 2023 fire at the facility; the petition seeks injunctive relief, civil penalties, response-cost reimbursement and fees, which SWM denies and intends to defend.

“y's past operations violated Texas environmental regulations related to air and water emissions, and includes events related to the fire experienced at that facility on August 8, 2023. The Petition seeks injunctive relief, civil penalties, reimbursement of response costs, expenses, and attorney fees and costs.”