Coca Cola : Reconciliation of Q2 2020 GAAP and Non-GAAP Financial Measures for Earnings Release

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

The company reports its financial results in accordance with accounting principles generally accepted in the United States ("GAAP" or referred to herein as "reported"). To supplement our consolidated financial statements reported on a GAAP basis, we provide the following non-GAAP financial measures: "comparable net revenues", "comparable currency neutral net revenues", "organic revenues", "comparable operating margin", "underlying operating margin", "comparable operating income", "comparable currency neutral operating income", "comparable EPS", "comparable currency neutral EPS", "underlying effective tax rate" and "free cash flow", each of which are defined below. Management believes these non- GAAP financial measures provide investors with additional meaningful financial information that should be considered when assessing our underlying business performance and trends. Further, management believes these non-GAAP financial measures also enhance investors' ability to compare period-to-period financial results. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, the company's reported results prepared in accordance with GAAP. Our non-GAAP financial measures do not represent a comprehensive basis of accounting. Therefore, our non-GAAP financial measures may not be comparable to similarly titled measures reported by other companies. Reconciliations of each of these non-GAAP financial measures to GAAP information are also included below. Management uses these non-GAAP financial measures in making financial, operating, compensation and planning decisions and in evaluating the company's performance. Disclosing these non-GAAP financial measures allows investors and management to view our operating results excluding the impact of items that are not reflective of the underlying operating performance.

DEFINITIONS

• "Currency neutral operating results" are determined by dividing or multiplying, as appropriate, our current period actual U.S. dollar operating results, by the current period actual exchange rates (that include the impact of current period currency hedging activities), to derive our current period local currency operating results. We then multiply or divide, as appropriate, the derived current period local currency operating results by the foreign currency exchange rates (that also include the impact of the comparable prior period currency hedging activities) used to translate the company's financial statements in the comparable prior year period to determine what the current period U.S. dollar operating results would have been if the foreign currency exchange rates had not changed from the comparable prior year period.
• "Structural changes" generally refer to acquisitions and divestitures of bottling operations including the impact of intercompany transactions among our operating segments. In 2019, the company acquired controlling interests in bottling operations in Zambia, Eswatini and Kenya. The impact of these acquisitions has been included as a structural change in our analysis of net operating revenues on a consolidated basis as well as for the Europe, Middle East and Africa and Bottling Investments operating segments. In 2019, the company refranchised certain of its bottling operations in India. The impact of this refranchising activity has been included as a structural change in our analysis of net operating revenues on a consolidated basis as well as for the Asia Pacific and Bottling Investments operating segments.
• "Comparable net revenues" is a non-GAAP financial measure that excludes or has otherwise been adjusted for items impacting comparability (discussed further below). "Comparable currency neutral net revenues" is a non-GAAP financial measure that excludes or has otherwise been adjusted for items impacting comparability (discussed further below) as well as the impact of changes in foreign currency exchange rates. Management believes the comparable net revenues (non-GAAP) growth measure and the comparable currency neutral net revenues (non-GAAP) growth measure provide investors with useful supplemental information to enhance their understanding of the company's revenue performance and trends by improving their ability to compare our period- to-period results. "Organic revenues" is a non-GAAP financial measure that excludes or has otherwise been adjusted for the impact of acquisitions, divestitures and structural changes, as applicable, and the impact of changes in foreign currency exchange rates. Management believes the organic revenue (non-GAAP) growth measure provides users with useful supplemental information regarding the company's ongoing revenue performance and trends by presenting revenue growth excluding the impact of foreign exchange as well as the impact of acquisitions, divestitures and structural changes. The adjustments related to acquisitions, divestitures and structural changes for the three and six months ended June 26, 2020 and June 28, 2019 consisted of the structural changes discussed above. Additionally, in 2020, the company acquired the remaining equity ownership interest in fairlife, LLC ("fairlife"). The impact on revenues for fairlife products not previously sold by the company has been included in acquisitions and divestitures in our analysis of net operating revenues on a consolidated basis as well as

16

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

for the North America operating segment. In 2019, the company acquired the remaining equity ownership interest in C.H.I. Limited ("CHI"). The impact of this acquisition has been included in acquisitions and divestitures in our analysis of net operating revenues on a consolidated basis as well as for the Europe, Middle East and Africa operating segment for the six months ended June 26, 2020.

• "Comparable operating income" is a non-GAAP financial measure that excludes or has otherwise been adjusted for items impacting comparability (discussed further below). "Comparable currency neutral operating income" is a non- GAAP financial measure that excludes or has otherwise been adjusted for items impacting comparability (discussed further below) and the impact of changes in foreign currency exchange rates. "Comparable operating margin" is a non-GAAP financial measure that excludes or has otherwise been adjusted for items impacting comparability (discussed further below). "Underlying operating margin" is a non-GAAP financial measure that excludes or has otherwise been adjusted for items impacting comparability (discussed further below), the impact of changes in foreign currency exchange rates, and the impact of acquisitions, divestitures and structural changes, as applicable. Management uses these non-GAAP financial measures to evaluate the company's performance and make resource allocation decisions. Further, management believes the comparable operating income (non-GAAP) growth measure, comparable currency neutral operating income (non-GAAP) growth measure, comparable operating margin (non- GAAP) measure and underlying operating margin (non-GAAP) measure enhance its ability to communicate the underlying operating results and provide investors with useful supplemental information to enhance their understanding of the company's underlying business performance and trends by improving their ability to compare our period-to-period financial results.
• "Comparable EPS" and "comparable currency neutral EPS" are non-GAAP financial measures that exclude or have otherwise been adjusted for items impacting comparability (discussed further below). Comparable currency neutral EPS (non-GAAP) has also been adjusted for the impact of changes in foreign currency exchange rates.
  Management uses these non-GAAP financial measures to evaluate the company's performance and make resource allocation decisions. Further, management believes the comparable EPS (non-GAAP) and comparable currency neutral EPS (non-GAAP) growth measures enhance its ability to communicate the underlying operating results and provide investors with useful supplemental information to enhance their understanding of the company's underlying business performance and trends by improving their ability to compare our period-to-period financial results.
• "Underlying effective tax rate" is a non-GAAP financial measure that represents the estimated annual effective income tax rate on income before income taxes, which excludes or has otherwise been adjusted for items impacting comparability (discussed further below).
• "Free cash flow" is a non-GAAP financial measure that represents net cash provided by operating activities less purchases of property, plant and equipment. Management uses this non-GAAP financial measure to evaluate the company's performance and make resource allocation decisions.

ITEMS IMPACTING COMPARABILITY

The following information is provided to give qualitative and quantitative information related to items impacting comparability. Items impacting comparability are not defined terms within GAAP. Therefore, our non-GAAP financial information may not be comparable to similarly titled measures reported by other companies. We determine which items to consider as "items impacting comparability" based on how management views our business; makes financial, operating, compensation and planning decisions; and evaluates the company's ongoing performance. Items such as charges, gains and accounting changes which are viewed by management as impacting only the current period or the comparable period, but not both, or as pertaining to different and unrelated underlying activities or events across comparable periods, are generally considered "items impacting comparability." Items impacting comparability include, but are not limited to, asset impairments, charges related to our productivity and reinvestment initiatives, and transaction gains/losses, in each case when exceeding a U.S. dollar threshold. Also included are our proportionate share of similar items incurred by our equity method investees, timing differences related to our economic (non-designated) hedging activities, and timing differences related to unrealized mark-to-market adjustments of equity securities and trading debt securities, regardless of size. In addition, we provide the impact that changes in foreign currency exchange rates had on our financial results ("currency neutral operating results" defined above).

17

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

Asset Impairments

During the three and six months ended June 26, 2020, the company recorded impairment charges of $8 million and $160 million, respectively, related to discontinuing our Odwalla juice business and recorded an impairment charge of $55 million related to a trademark in North America, which was primarily driven by the impact of the COVID-19 pandemic, revised projections of future operating results and a change in brand focus in the company's portfolio. The company also recorded an other-than-temporary impairment charge of $38 million related to one of our equity method investees in Latin America. This impairment charge was primarily driven by the impact of the COVID-19 pandemic and management's view of the timing and extent of recovery. The company also recorded a charge of $13 million for the impairment of goodwill in our bottling operations in the Middle East, which was primarily driven by a recent change in sugar tax laws, and recorded impairment charges totaling $10 million related to several trademarks in Latin America, which were primarily driven by the impact of the COVID-19 pandemic and management's view of the timing and extent of recovery.

During the six months ended June 26, 2020, the company recorded an impairment charge of $26 million associated with an investment in an equity security without a readily determinable fair value, which was primarily driven by revised projections of future operating results.

During the three and six months ended June 28, 2019, the company recorded an other-than-temporary impairment charge of $49 million related to one of our equity method investees in Latin America. During the six months ended June 28, 2019, the company recorded an other-than-temporary impairment charge of $286 million related to Coca-Cola Bottlers Japan Holdings Inc. ("CCBJHI"), an equity method investee. Based on the length of time and the extent to which the market value of our investment in CCBJHI was less than our carrying value and the financial condition and near-term prospects of the issuer, management determined that the decline in fair value was other than temporary in nature. During the six months ended June 28, 2019, the company also recorded an other-than-temporary impairment charge of $57 million related to one of our equity method investees in North America. This impairment charge was primarily driven by revised projections of future operating results.

Productivity and Reinvestment

During the three and six months ended June 26, 2020, the company recorded charges of $22 million and $61 million, respectively. During the three and six months ended June 28, 2019, the company recorded charges of $55 million and $123 million, respectively. These charges were related to our productivity and reinvestment initiatives. The costs incurred in 2019 were related to initiatives focused on four key areas: restructuring the company's global supply chain; implementing zero-based work, an evolution of zero-based budget principles across the organization; streamlining and simplifying the company's operating model; and further driving increased discipline and efficiency in direct marketing investments. Under this operating model, our business units will be supported by an expanded enabling services organization and a corporate center focused on a few strategic initiatives, policy and governance. The expanded enabling services organization will focus on both simplifying and standardizing key transactional processes and providing support to business units through global centers of excellence. The savings realized from the program will enable the company to fund marketing initiatives and innovation required to deliver sustainable net revenue growth. The savings will also support margin expansion and increased returns on invested capital over time. The costs incurred in 2020 were primarily related to certain remaining initiatives designed to further simplify and standardize our enabling services organization.

Equity Investees

During the three and six months ended June 26, 2020, the company recorded net charges of $63 million and $101 million, respectively. During the three and six months ended June 28, 2019, the company recorded net charges of $26 million and $68 million, respectively. These amounts represent the company's proportionate share of significant operating and nonoperating items recorded by certain of our equity method investees.

Transaction Gains/Losses

During the three and six months ended June 26, 2020, the company recorded charges of $18 million and $29 million, respectively, related to the remeasurement of our contingent consideration liability to fair value in conjunction with the

18

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

fairlife acquisition. The company also recognized a $2 million gain related to the 2017 refranchising of our China bottling operations, resulting from post-closing adjustments as contemplated by the related agreements.

During the six months ended June 26, 2020, the company recognized a gain of $902 million in conjunction with our acquisition of the remaining equity ownership interest in fairlife, which resulted from the remeasurement of our previously held equity interest in fairlife to fair value. The company also recognized a gain of $23 million related to the sale of a portion of our ownership interest in certain unconsolidated bottling operations.

During the three and six months ended June 28, 2019, the company recorded an adjustment to reduce the carrying amount of Coca-Cola Beverages Africa Proprietary Limited's ("CCBA") fixed assets and definite-lived intangible assets by $160 million as a result of the company's change in plans for CCBA as it now intends to maintain its controlling stake in CCBA for the foreseeable future.

During the three and six months ended June 28, 2019, the company recorded charges of $29 million and $40 million, respectively, primarily related to costs incurred to refranchise certain of our North America bottling operations. These costs include, among other items, internal and external costs for individuals directly working on the refranchising efforts, severance, special termination benefits, and costs associated with the implementation of information technology systems to facilitate consistent data standards and availability throughout our bottling systems. During the six months ended June 28, 2019, the company recorded a charge of $4 million, primarily related to payments made to certain of our unconsolidated bottling partners in North America in order to convert their bottling agreements to a comprehensive beverage agreement with additional requirements. The company also recorded a net charge of $4 million related to the refranchising of certain bottling territories in North America, primarily resulting from post-closing adjustments as contemplated by the related agreements.

During the three and six months ended June 28, 2019, the company also recorded charges of $8 million for noncapitalizable transaction costs associated with pending and closed transactions.

During the six months ended June 28, 2019, the company recognized a loss of $121 million in conjunction with our acquisition of the remaining equity ownership interest in CHI, which included the remeasurement of our previously held equity interest in CHI to fair value and the reversal of the related cumulative translation adjustments. The company also incurred transaction costs of $46 million associated with the purchase of Costa Limited and recorded a gain of $39 million related to the sale of a portion of our equity ownership interest in Embotelladora Andina S.A.

CCBA Unrecognized Depreciation and Amortization

While the company had discussions about a sale of a controlling interest in CCBA with a number of potential partners throughout the period that CCBA was held for sale, during the second quarter of 2019 the company updated its plans for CCBA and now intends to maintain a controlling interest in CCBA for the foreseeable future. As a result, CCBA no longer qualified as held for sale. The amounts in this line item represent the depreciation and amortization that the company would have recorded had CCBA not been classified as held for sale.

Other Items

Economic (Non-Designated) Hedges

The company uses derivatives as economic hedges primarily to mitigate the foreign exchange risk for certain currencies and the price risk associated with the purchase of materials used in the manufacturing process as well as the purchase of vehicle fuel. Although these derivatives were not designated and/or did not qualify for hedge accounting, they are effective economic hedges. The changes in fair values of these economic hedges are immediately recognized into earnings.

The company excludes the net impact of mark-to-market adjustments for outstanding hedges and realized gains/losses for settled hedges from our non-GAAP financial information until the period in which the underlying exposure being hedged impacts our condensed consolidated statement of income. Management believes this adjustment provides meaningful information related to the impact of our economic hedging activities. During the three and six months ended June 26, 2020, the net impact of the company's adjustment related to our economic hedging activities resulted in a decrease of $19 million and an increase of $32 million, respectively, to our non-GAAP income before income taxes.

19

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

During the three and six months ended June 28, 2019, the net impact of the company's adjustment related to our economic hedging activities resulted in an increase of $9 million and a decrease of $10 million, respectively, to our non-GAAP income before income taxes.

Unrealized Gains and Losses on Equity and Trading Debt Securities

The company excludes the net impact of unrealized gains and losses resulting from mark-to-market adjustments on our equity and trading debt securities from our non-GAAP financial information until the period in which the underlying securities are sold and the associated gains or losses are realized. Management believes this adjustment provides meaningful information related to the impact of our investments in equity and trading debt securities. During the three and six months ended June 26, 2020, the net impact of the company's adjustment related to unrealized gains and losses on our equity and trading debt securities resulted in a decrease of $253 million and an increase of $118 million, respectively, to our non-GAAP income before income taxes.

During the three and six months ended June 28, 2019, the net impact of the company's adjustment related to unrealized gains and losses on our equity and trading debt securities resulted in an increase of $23 million and a decrease of $138 million, respectively, to our non-GAAP income before income taxes.

Other

During the three and six months ended June 26, 2020, the company recorded charges of $44 million related to restructuring our water manufacturing operations in the United States and charges of $39 million related to discontinuing our Odwalla juice business.

During the six months ended June 28, 2019, the company recorded a charge of $2 million related to tax litigation expense.

Certain Tax Matters

During the three and six months ended June 26, 2020, the company recorded $1 million and $57 million, respectively, of excess tax benefits associated with the company's stock-based compensation arrangements. During the three and six months ended June 26, 2020, the company also recorded $10 million and $58 million, respectively, of net tax benefits for changes to our uncertain tax positions, including interest and penalties, as well as for agreed-upon tax matters. During the six months ended June 26, 2020, the company recorded $38 million of net tax benefits related to changes in tax laws in certain foreign jurisdictions.

During the three and six months ended June 28, 2019, the company recorded $108 million and $135 million, respectively, related to excess tax benefits associated with the company's stock-based compensation arrangements and the reversal of a U.S. state valuation allowance. During the three and six months ended June 28, 2019, the excess tax benefits were partially offset by net tax charges of $98 million and $103 million, respectively, for changes to our uncertain tax positions, including interest and penalties, as well as for agreed-upon tax matters.

20

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

(In millions except per share data)

						Three Months Ended June 26, 2020
		Net	Cost of					Selling,		Other
			Gross	Gross	general and		Operating	Operating
	operating		goods		administrative	operating
	revenues		sold		profit	margin		expenses	charges		income	margin
Reported (GAAP)	$	7,150	$	3,013	$	4,137	57.9%	$	1,983	$	173	$	1,981	27.7%
Items Impacting Comparability:
Asset Impairments		-		-		-			-		(86)		86
Productivity and Reinvestment		-		-		-			-		(22)		22
Equity Investees		-		-		-			-		-		-
Transaction Gains/Losses		-		-		-			-		(18)		18
CCBA Unrecognized Depreciation and Amortization		-		-		-			-		-		-
Other Items		25		25		-			-		(47)		47
Certain Tax Matters		-		-		-			-		-		-
Comparable (Non-GAAP)	$	7,175	$	3,038	$	4,137	57.7%	$	1,983	$	-	$	2,154	30.0%
						Three Months Ended June 28, 2019
		Net	Cost of					Selling,		Other
			Gross	Gross	general and		Operating	Operating
	operating		goods		administrative	operating
	revenues		sold		profit	margin		expenses	charges		income	margin
Reported (GAAP)	$	9,997	$	3,921	$	6,076	60.8%	$	2,996	$	92	$	2,988	29.9%
Items Impacting Comparability:
Asset Impairments		-		-		-			-		-		-
Productivity and Reinvestment		-		-		-			-		(55)		55
Equity Investees		-		-		-			-		-		-
Transaction Gains/Losses		-		-		-			-		(37)		37
CCBA Unrecognized Depreciation and Amortization		-		16		(16)			44		-		(60)
Other Items		-		(10)		10			-		-		10
Certain Tax Matters		-		-		-			-		-		-
Comparable (Non-GAAP)	$	9,997	$	3,927	$	6,070	60.7%	$	3,040	$	-	$	3,030	30.3%
		Net	Cost of					Selling,		Other
			Gross		general and		Operating
	operating		goods			administrative	operating
	revenues		sold		profit			expenses	charges		income
% Change - Reported (GAAP)		(28)		(23)		(32)			(34)		87		(34)
% Currency Impact		(3)		(2)		(4)			(2)		-		(5)
% Change - Currency Neutral (Non-GAAP)		(26)		(21)		(28)			(32)		-		(29)
% Change - Comparable (Non-GAAP)		(28)		(23)		(32)			(35)		-		(29)
% Comparable Currency Impact (Non-GAAP)		(3)		(2)		(3)			(2)		-		(4)
% Change - Comparable Currency Neutral (Non-		(26)		(21)		(29)			(33)		-		(25)
GAAP)

Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.

21

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

(In millions except per share data)

					Three Months Ended June 26, 2020
	Equity	Other		Income							Diluted
	income	income		before	Income	Effective		Net		net
	(loss)	(loss)		income			income
	- net	- net		taxes	taxes1	tax rate	income2	per share
Reported (GAAP)	$	176	$	214	$	2,197	$	438	19.9%	$	1,779	$	0.41
Items Impacting Comparability:
Asset Impairments		-		38		124		18			106		0.02
Productivity and Reinvestment		-		-		22		5			17		-
Equity Investees		63		-		63		2			61		0.01
Transaction Gains/Losses		-		(2)		16		4			12		-
CCBA Unrecognized Depreciation and Amortization		-		-		-		-			-		-
Other Items		-		(236)		(189)		(42)			(147)		(0.03)
Certain Tax Matters		-		-		-		11			(11)		-
Comparable (Non-GAAP)	$	239	$	14	$	2,233	$	436	19.5%	$	1,817	$	0.42
					Three Months Ended June 28, 2019
	Equity	Other		Income							Diluted
	income	income		before	Income	Effective		Net		net
	(loss)	(loss)		income			income
	- net	- net		taxes	taxes1	tax rate	income2	per share
Reported (GAAP)	$	329	$	(174)	$	3,049	$	421	13.8%	$	2,607	$	0.61
Items Impacting Comparability:
Asset Impairments		-		49		49		-			49		0.01
Productivity and Reinvestment		-		-		55		13			42		0.01
Equity Investees		26		-		26		1			25		0.01
Transaction Gains/Losses		-		160		197		206			6		-
CCBA Unrecognized Depreciation and Amortization		-		-		(60)		(17)			(27)		(0.01)
Other Items		-		22		32		9			23		0.01
Certain Tax Matters		-		-		-		10			(10)		-
Comparable (Non-GAAP)	$	355	$	57	$	3,348	$	643	19.2%	$	2,715	$	0.63
	Equity	Other		Income							Diluted
	income	income		before	Income			Net		net
	(loss)	(loss)		income				income
	- net	- net		taxes		taxes1		income2	per share
% Change - Reported (GAAP)		(46)		-		(28)		4			(32)		(32)
% Change - Comparable (Non-GAAP)		(33)		(75)		(33)		(32)			(33)		(33)

Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.

• The income tax adjustments are the calculated income tax benefits (charges) at the applicable tax rate for each of the items impacting comparability with the exception of certain tax matters previously discussed.

• Represents net income attributable to shareowners of The Coca-Cola Company.

22

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

(In millions except per share data)

						Six Months Ended June 26, 2020
		Net	Cost of					Selling,		Other
			Gross	Gross	general and		Operating	Operating
	operating		goods		administrative	operating
	revenues		sold		profit	margin		expenses	charges		income	margin
Reported (GAAP)	$	15,751	$	6,384	$	9,367	59.5%	$	4,631	$	375	$	4,361	27.7%
Items Impacting Comparability:
Asset Impairments		-		-		-			-		(238)		238
Productivity and Reinvestment		-		-		-			-		(61)		61
Equity Investees		-		-		-			-		-		-
Transaction Gains/Losses		-		-		-			-		(29)		29
CCBA Unrecognized Depreciation and Amortization		-		-		-			-		-		-
Other Items		(3)		(55)		52			-		(47)		99
Certain Tax Matters		-		-		-			-		-		-
Comparable (Non-GAAP)	$	15,748	$	6,329	$	9,419	59.8%	$	4,631	$	-	$	4,788	30.4%
						Six Months Ended June 28, 2019
		Net	Cost of					Selling,		Other
			Gross	Gross	general and		Operating	Operating
	operating		goods		administrative	operating
	revenues		sold		profit	margin		expenses	charges		income	margin
Reported (GAAP)	$	18,691	$	7,286	$	11,405	61.0%	$	5,763	$	219	$	5,423	29.0%
Items Impacting Comparability:
Asset Impairments		-		-		-			-		-		-
Productivity and Reinvestment		-		-		-			-		(123)		123
Equity Investees		-		-		-			-		-		-
Transaction Gains/Losses		-		-		-			-		(94)		94
CCBA Unrecognized Depreciation and Amortization		-		39		(39)			109		-		(148)
Other Items		4		12		(8)			-		(2)		(6)
Certain Tax Matters		-		-		-			-		-		-
Comparable (Non-GAAP)	$	18,695	$	7,337	$	11,358	60.8%	$	5,872	$	-	$	5,486	29.3%
		Net	Cost of					Selling,		Other
			Gross		general and		Operating
	operating		goods			administrative	operating
	revenues		sold		profit			expenses	charges		income
% Change - Reported (GAAP)		(16)		(12)		(18)			(20)		71		(20)
% Currency Impact		(2)		(1)		(3)			(2)		-		(4)
% Change - Currency Neutral (Non-GAAP)		(13)		(11)		(15)			(18)		-		(16)
% Change - Comparable (Non-GAAP)		(16)		(14)		(17)			(21)		-		(13)
% Comparable Currency Impact (Non-GAAP)		(2)		(1)		(3)			(2)		-		(4)
% Change - Comparable Currency Neutral (Non-		(13)		(12)		(14)			(19)		-		(8)
GAAP)

Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.

23

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

(In millions except per share data)

					Six Months Ended June 26, 2020
	Equity	Other		Income							Diluted
	income	income		before	Income	Effective		Net		net
	(loss)	(loss)		income			income
	- net	- net		taxes	taxes1	tax rate	income2	per share
Reported (GAAP)	$	343	$	758	$	5,207	$	653	12.5%	$	4,554	$	1.05
Items Impacting Comparability:
Asset Impairments		-		64		302		61			241		0.06
Productivity and Reinvestment		-		-		61		14			47		0.01
Equity Investees		101		-		101		3			98		0.02
Transaction Gains/Losses		-		(927)		(898)		39			(937)		(0.22)
CCBA Unrecognized Depreciation and Amortization		-		-		-		-			-		-
Other Items		-		134		233		53			180		0.04
Certain Tax Matters		-		-		-		153			(153)		(0.04)
Comparable (Non-GAAP)	$	444	$	29	$	5,006	$	976	19.5%	$	4,030	$	0.93
					Six Months Ended June 28, 2019
	Equity	Other		Income							Diluted
	income	income		before	Income	Effective		Net		net
	(loss)	(loss)		income			income
	- net	- net		taxes	taxes1	tax rate	income2	per share
Reported (GAAP)	$	462	$	(405)	$	5,274	$	943	17.9%	$	4,285	$	1.00
Items Impacting Comparability:
Asset Impairments		-		392		392		36			356		0.08
Productivity and Reinvestment		-		-		123		29			94		0.02
Equity Investees		68		-		68		2			66		0.02
Transaction Gains/Losses		-		250		344		183			176		0.04
CCBA Unrecognized Depreciation and Amortization		-		-		(148)		(42)			(67)		(0.02)
Other Items		-		(140)		(146)		(31)			(115)		(0.03)
Certain Tax Matters		-		-		-		32			(32)		(0.01)
Comparable (Non-GAAP)	$	530	$	97	$	5,907	$	1,152	19.5%	$	4,763	$	1.11
	Equity	Other		Income							Diluted
	income	income		before	Income			Net		net
	(loss)	(loss)		income				income
	- net	- net		taxes		taxes1		income2	per share
% Change - Reported (GAAP)		(26)		-		(1)		(31)			6		6
% Change - Comparable (Non-GAAP)		(16)		(70)		(15)		(15)			(15)		(16)

Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.

• The income tax adjustments are the calculated income tax benefits (charges) at the applicable tax rate for each of the items impacting comparability with the exception of certain tax matters previously discussed.

• Represents net income attributable to shareowners of The Coca-Cola Company.

24

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)
Diluted Net Income Per Share:
	Three Months Ended
	June 26, 2020
% Change - Reported (GAAP)	(32)
% Currency Impact	(6)
% Change - Currency Neutral (Non-GAAP)	(26)
% Impact of Items Impacting Comparability (Non-GAAP)	1
% Change - Comparable (Non-GAAP)	(33)
% Comparable Currency Impact (Non-GAAP)	(5)
% Change - Comparable Currency Neutral (Non-GAAP)	(28)
	Six Months Ended
	June 26, 2020
% Change - Reported (GAAP)	6
% Currency Impact	(4)
% Change - Currency Neutral (Non-GAAP)	10
% Impact of Items Impacting Comparability (Non-GAAP)	22
% Change - Comparable (Non-GAAP)	(16)
% Comparable Currency Impact (Non-GAAP)	(4)
% Change - Comparable Currency Neutral (Non-GAAP)	(12)

Note: Certain columns may not add due to rounding.

25

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

(In millions)

Net Operating Revenues by Operating Segment and Corporate:

								Three Months Ended June 26, 2020
		Europe,		Latin		North		Asia	Global		Bottling
	Middle East					Corporate	Eliminations	Consolidated
		& Africa	America	America	Pacific	Ventures	Investments
Reported (GAAP)	$	1,210	$	755	$	2,648	$	1,183	$	295	$	1,263	$	(12)	$	(192)	$	7,150
Items Impacting Comparability:
Other Items		-		-		4		-		-		-		21		-		25
Comparable (Non-GAAP)	$	1,210	$	755	$	2,652	$	1,183	$	295	$	1,263	$	9	$	(192)	$	7,175
								Three Months Ended June 28, 2019
		Europe,		Latin		North		Asia	Global		Bottling
	Middle East					Corporate	Eliminations	Consolidated
		& Africa	America	America	Pacific	Ventures	Investments
Reported (GAAP)	$	1,930	$	1,003	$	3,162	$	1,540	$	635	$	2,026	$	23	$	(322)	$	9,997
Items Impacting Comparability:
Other Items		-		-		-		-		-		-		-		-		-
Comparable (Non-GAAP)	$	1,930	$	1,003	$	3,162	$	1,540	$	635	$	2,026	$	23	$	(322)	$	9,997
		Europe,		Latin		North		Asia	Global		Bottling
	Middle East					Corporate	Eliminations	Consolidated
		& Africa	America	America	Pacific	Ventures	Investments
% Change - Reported (GAAP)		(37)		(25)		(16)		(23)		(53)		(38)		-		40		(28)
% Currency Impact		(3)		(11)		0		(1)		(2)		(5)		-		-		(3)
% Change - Currency Neutral		(35)		(13)		(16)		(22)		(52)		(33)		-		-		(26)
(Non-GAAP)
% Acquisitions, Divestitures and		0		0		1		0		0		(3)		-		-		0
Structural Changes
% Change - Organic Revenues		(35)		(13)		(18)		(22)		(52)		(30)		-		-		(26)
(Non-GAAP)
% Change - Comparable (Non-GAAP)		(37)		(25)		(16)		(23)		(53)		(38)		(62)		-		(28)
% Comparable Currency Impact		(3)		(11)		0		(1)		(2)		(5)		2		-		(3)
(Non-GAAP)
% Change - Comparable Currency		(35)		(13)		(16)		(22)		(52)		(33)		(63)		-		(26)
Neutral (Non-GAAP)

Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.

26

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

(In millions)

Net Operating Revenues by Operating Segment and Corporate:

								Six Months Ended June 26, 2020
		Europe,		Latin		North		Asia	Global		Bottling
	Middle East					Corporate	Eliminations	Consolidated
		& Africa	America	America	Pacific	Ventures	Investments
Reported (GAAP)	$	2,935	$	1,685	$	5,498	$	2,311	$	868	$	2,921	$	19	$	(486)	$	15,751
Items Impacting Comparability:
Other Items		-		-		4		-		-		-		(7)		-		(3)
Comparable (Non-GAAP)	$	2,935	$	1,685	$	5,502	$	2,311	$	868	$	2,921	$	12	$	(486)	$	15,748
								Six Months Ended June 28, 2019
		Europe,		Latin		North		Asia	Global		Bottling
	Middle East					Corporate	Eliminations	Consolidated
		& Africa	America	America	Pacific	Ventures	Investments
Reported (GAAP)	$	3,702	$	1,899	$	5,845	$	2,727	$	1,220	$	3,836	$	55	$	(593)	$	18,691
Items Impacting Comparability:
Other Items		-		-		-		-		-		-		4		-		4
Comparable (Non-GAAP)	$	3,702	$	1,899	$	5,845	$	2,727	$	1,220	$	3,836	$	59	$	(593)	$	18,695
		Europe,		Latin		North		Asia	Global		Bottling
	Middle East					Corporate	Eliminations	Consolidated
		& Africa	America	America	Pacific	Ventures	Investments
% Change - Reported (GAAP)		(21)		(11)		(6)		(15)		(29)		(24)		(66)		18		(16)
% Currency Impact		(3)		(11)		0		(1)		(1)		(3)		0		-		(2)
% Change - Currency Neutral		(18)		(1)		(6)		(14)		(28)		(21)		(66)		-		(13)
(Non-GAAP)
% Acquisitions, Divestitures and		1		0		2		1		0		(2)		0		-		0
Structural Changes
% Change - Organic Revenues		(19)		(1)		(8)		(15)		(28)		(19)		(66)		-		(14)
(Non-GAAP)
% Change - Comparable (Non-GAAP)		(21)		(11)		(6)		(15)		(29)		(24)		(80)		-		(16)
% Comparable Currency Impact		(3)		(11)		0		(1)		(1)		(3)		(20)		-		(2)
(Non-GAAP)
% Change - Comparable Currency		(18)		(1)		(6)		(14)		(28)		(21)		(61)		-		(13)
Neutral (Non-GAAP)

Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.

27

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

(In millions)

Operating Income (Loss) by Operating Segment and Corporate:

						Three Months Ended June 26, 2020
		Europe,		Latin		North		Asia		Global		Bottling
	Middle East						Corporate	Consolidated
		& Africa	America	America	Pacific		Ventures	Investments
Reported (GAAP)	$	715	$	504	$	489	$	652	$	(102)	$	12	$	(289)	$	1,981
Items Impacting Comparability:
Asset Impairments		-		10		63		-		-		13		-		86
Productivity and Reinvestment		-		-		-		-		-		-		22		22
Transaction Gains/Losses		-		-		-		-		-		-		18		18
CCBA Unrecognized Depreciation and		-		-		-		-		-		-		-		-
Amortization
Other Items		-		-		32		-		1		(5)		19		47
Comparable (Non-GAAP)	$	715	$	514	$	584	$	652	$	(101)	$	20	$	(230)	$	2,154
						Three Months Ended June 28, 2019
		Europe,		Latin		North		Asia		Global		Bottling
	Middle East						Corporate	Consolidated
		& Africa	America	America	Pacific		Ventures	Investments
Reported (GAAP)	$	1,038	$	588	$	711	$	731	$	73	$	119	$	(272)	$	2,988
Items Impacting Comparability:
Asset Impairments		-		-		-		-		-		-		-		-
Productivity and Reinvestment		-		-		13		-		-		1		41		55
Transaction Gains/Losses		-		-		-		-		-		29		8		37
CCBA Unrecognized Depreciation and		-		-		-		-		-		(60)		-		(60)
Amortization
Other Items		-		-		10		-		-		1		(1)		10
Comparable (Non-GAAP)	$	1,038	$	588	$	734	$	731	$	73	$	90	$	(224)	$	3,030
		Europe,		Latin		North		Asia		Global		Bottling
	Middle East						Corporate	Consolidated
		& Africa	America	America	Pacific		Ventures	Investments
% Change - Reported (GAAP)		(31)		(14)		(31)		(11)		-		(89)		(6)		(34)
% Currency Impact		(4)		(18)		0		(2)		-		16		(6)		(5)
% Change - Currency Neutral (Non-GAAP)		(27)		4		(31)		(9)		-		(105)		0		(29)
% Impact of Items Impacting Comparability
	0		(2)		(11)		0		-		(12)		(4)		(5)
(Non-GAAP)
% Change - Comparable (Non-GAAP)		(31)		(13)		(21)		(11)		-		(77)		(2)		(29)
% Comparable Currency Impact (Non-GAAP)		(4)		(18)		0		(2)		-		21		2		(4)
% Change - Comparable Currency Neutral		(27)		6		(21)		(9)		-		(98)		(5)		(25)
(Non-GAAP)

Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.

28

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

(In millions)

Operating Income (Loss) by Operating Segment and Corporate:

						Six Months Ended June 26, 2020
		Europe,		Latin		North		Asia		Global		Bottling
	Middle East						Corporate	Consolidated
		& Africa	America	America	Pacific		Ventures	Investments
Reported (GAAP)	$	1,675	$	1,043	$	876	$	1,163	$	(83)	$	75	$	(388)	$	4,361
Items Impacting Comparability:
Asset Impairments		-		10		215		-		-		13		-		238
Productivity and Reinvestment		-		-		-		-		-		-		61		61
Transaction Gains/Losses		-		-		-		-		-		-		29		29
CCBA Unrecognized Depreciation and		-		-		-		-		-		-		-		-
Amortization
Other Items		-		-		100		-		1		9		(11)		99
Comparable (Non-GAAP)	$	1,675	$	1,053	$	1,191	$	1,163	$	(82)	$	97	$	(309)	$	4,788
						Six Months Ended June 28, 2019
		Europe,		Latin		North		Asia		Global		Bottling
	Middle East						Corporate	Consolidated
		& Africa	America	America	Pacific		Ventures	Investments
Reported (GAAP)	$	2,016	$	1,084	$	1,297	$	1,273	$	139	$	219	$	(605)	$	5,423
Items Impacting Comparability:
Asset Impairments		-		-		-		-		-		-		-		-
Productivity and Reinvestment		1		-		30		-		-		3		89		123
Transaction Gains/Losses		-		-		-		-		-		40		54		94
CCBA Unrecognized Depreciation and		-		-		-		-		-		(148)		-		(148)
Amortization
Other Items		-		-		(11)		-		-		(3)		8		(6)
Comparable (Non-GAAP)	$	2,017	$	1,084	$	1,316	$	1,273	$	139	$	111	$	(454)	$	5,486
		Europe,		Latin		North		Asia		Global		Bottling
	Middle East						Corporate	Consolidated
		& Africa	America	America	Pacific		Ventures	Investments
% Change - Reported (GAAP)		(17)		(4)		(32)		(9)		-		(66)		36		(20)
% Currency Impact		(4)		(16)		0		(1)		-		13		0		(4)
% Change - Currency Neutral (Non-GAAP)		(13)		12		(32)		(7)		-		(79)		36		(16)
% Impact of Items Impacting Comparability
	0		(1)		(23)		0		-		(53)		4		(7)
(Non-GAAP)
% Change - Comparable (Non-GAAP)		(17)		(3)		(10)		(9)		-		(13)		32		(13)
% Comparable Currency Impact (Non-GAAP)		(4)		(16)		0		(1)		-		26		(3)		(4)
% Change - Comparable Currency Neutral		(13)		13		(10)		(7)		-		(39)		35		(8)
(Non-GAAP)

Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.

29

THE COCA-COLA COMPANY AND SUBSIDIARIES

Reconciliation of GAAP and Non-GAAP Financial Measures

(UNAUDITED)

(In millions)

Operating Margin:

Reported Operating Margin (GAAP)

Items Impacting Comparability (Non-GAAP)

Comparable Operating Margin (Non-GAAP)

Comparable Currency Impact (Non-GAAP)

Comparable Currency Neutral Operating Margin (Non-GAAP)

Impact of Acquisitions and Structural Changes on Comparable Currency Neutral Operating Margin (Non-GAAP)

Underlying Operating Margin (Non-GAAP)

Reported Operating Margin (GAAP)

Items Impacting Comparability (Non-GAAP)

Comparable Operating Margin (Non-GAAP)

Comparable Currency Impact (Non-GAAP)

Comparable Currency Neutral Operating Margin (Non-GAAP)

Impact of Acquisitions and Structural Changes on Comparable Currency Neutral Operating Margin (Non-GAAP)

Underlying Operating Margin (Non-GAAP)

Free Cash Flow:

Net Cash Provided by Operating Activities (GAAP) Purchases of Property, Plant and Equipment (GAAP)

Free Cash Flow (Non-GAAP)

Three Months Ended	Three Months Ended	Basis Point
	June 26, 2020		June 28, 2019	Growth (Decline)
	27.71 %		29.89 %	(218)
	(2.30)%		(0.43)%
	30.01 %		30.32 %	(31)
	(0.70)%		0.00 %
	30.71 %		30.32 %	39
	(0.13)%		(0.13)%
	30.84 %		30.45 %	39
	Six Months Ended		Six Months Ended	Basis Point
	June 26, 2020		June 28, 2019	Growth (Decline)
	27.69 %		29.01 %	(132)
	(2.71)%		(0.34)%
	30.40 %		29.35 %	105
	(0.62)%		0.00 %
	31.02 %		29.35 %	167
	(0.23)%		(0.23)%
	31.25 %		29.58 %	167
	Six Months Ended		Six Months Ended	% Change
	June 26, 2020		June 28, 2019
$	2,786	$	4,501	(38)
	(536)		(767)	(30)
$	2,250	$	3,734	(40)

Note: Certain growth rates may not recalculate using the rounded dollar amounts provided.

30