PART II ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA Table of Con 23. SUBSEQUENT EVENT 24. SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) In April 2021, our Board of Directors authorized management to sell or abandon the Mexicali Brewery. Subsequently, management determined that we will be unable to use or repurpose certain assets at the Mexicali Brewery. Accordingly, in the first quarter of fiscal 2022, we expect to recognize a long-lived asset impairment of approximately $650 million to $680 million which will be included within our consolidated results of operations. The fair value will be determined based on the expected salvage value of the abandoned assets as of April 2021. We are continuing to work with government officials in Mexico to (i) determine next steps for our suspended Mexicali Brewery construction project and (ii) pursue various forms of recovery for capitalized costs and additional expenses incurred in establishing the brewery, however, there can be no assurance of any recoveries. In the medium-term, under normal operating conditions, we have ample capacity at the Nava and Obregon breweries to meet consumer needs based on current growth forecasts and current and planned production capabilities. To align with our anticipated future growth expectations we are also working with the Mexican government to explore options to add further capacity at another location in Southeastern Mexico where there is ample water and a skilled workforce to meet our long-term needs. A summary of selected quarterly financial information is as follows: Mexicali Brewery For the Three Months Ended February 28, 2021 February 29, 2020 (in millions, except per share data) Net sales $ 1,953.0  $ 1,902.9  Gross profit $ 993.7  $ 949.8  Net income (loss) attributable to CBI  $ 382.9  $ 398.4  Net income (loss) per common share attributable to CBI  : Basic – Class A Common Stock $ 2.00  $ 2.10  Basic – Class B Convertible Common Stock $ 1.81  $ 1.91  Diluted – Class A Common Stock $ 1.95  $ 2.04  Diluted – Class B Convertible Common Stock $ 1.80  $ 1.89  (1) (1) For the Three Months Ended February 28, 2021 February 29, 2020 (in millions, net of income tax effect) Unrealized net gain (loss) on securities measured at fair value $ 206.3  $ 56.9  Net gain (loss) on undesignated commodity derivative contracts $ 19.2  $ (19.2) Gain (loss) on sale of business $ 15.6  $ 5.2  Equity in earnings (losses) from Canopy $ (189.5) $ (15.6) (Loss on) recovery of write-down of certain inventory as a result of smoke damage sustained during wildfires $ (34.4) $ —  Net income tax (provision) benefit recognized for adjustments to valuation allowances $ (4.8) $ (25.0) Impairment of asset held for sale $ —  $ (33.2) Includes the following: (1) Constellation Brands, Inc. FY 2021 Form 10-K #WORTHREACHINGFOR I