Trane Technologies plc (TT) Risk Factors

Recent key developments

Concrete developments — dated events, named agreements and instruments, legal proceedings — that Trane Technologies plc surfaced in its latest filing.

• Aldrich and Murray, indirect wholly-owned subsidiaries, filed voluntary Chapter 11 petitions under the Bankruptcy Code to resolve asbestos-related claims through a plan of reorganization creating a section 524(g) trust.
• An agreement in principle has been reached with the court-appointed legal representative of future asbestos claimants (FCR).
• Negotiations are ongoing with the committee representing current asbestos claimants (ACC) and insurers on trust size, structure, and funding.
• The ACC is pursuing certain causes of action against us and may oppose efforts to prosecute the Chapter 11 cases.
• Parties may bring claims against us, including by challenging the 2020 corporate restructuring or alleging we are liable for asbestos-related liabilities, as set forth in pleadings filed by the ACC.2020
• On December 18, 2023, Ireland enacted laws related to a global minimum tax rate (proposed 15%), effective January 1, 2024.December 18, 2023
• European Commission investigations into whether tax regimes or private tax rulings constitute State Aid could affect us.
• Military conflict between Russia and Ukraine.
• Conflicts in the Middle East.
• U.S., China, United Kingdom, and European Union imposed export controls and sanctions on certain industry sectors and parties in Russia.
• Retaliatory sanctions by Russian government and its allies.
• The U.S. has imposed tariffs on certain goods imported from several countries, resulting in retaliatory tariffs.
• Additional tariffs have been proposed by the current U.S. administration.
• There are active negotiations for extending trade treaties.
• Regulations and other guidance under the One Big Beautiful Bill Act of 2025 (OBBBA) may have retroactive application.2025
• OECD Pillar One and Pillar Two rules will adversely impact us as enacted in countries where we do business.
• Potential energy shortages or rationing that may adversely impact manufacturing facilities and consumer spending, particularly in Europe.
• Supply chain delays experienced during the COVID-19 pandemic.
• We announced a 2030 commitment targeting reducing one gigaton of carbon dioxide equivalent (CO2e) from our customers' footprint by 2030.2030