v3.26.1
CAPITAL STOCK
 6 Months Ended
Jun. 30, 2026
Share-Based Payment Arrangement [Abstract]  
CAPITAL STOCK CAPITAL STOCK
Capital transactions:

Activities with respect to our capital stock for the periods indicated are set forth below:
Number of shares (in millions)Common Shares
Issued and outstanding at December 31, 2024
116.1 
Issued from treasury to settle vested SBC0.1 
Cancelled under normal course issuer bids (NCIB)
(1.2)
Issued and outstanding at June 30, 2025
115.0 
Issued and outstanding at December 31, 2025
114.9 
Issued from treasury to settle vested SBC
0.2 
Cancelled under NCIB(0.1)
Issued and outstanding at June 30, 2026
115.0 
Common Share Repurchase Plans:

We have repurchased Common Shares in the open market, or as otherwise permitted, for cancellation through NCIBs, which allow us to repurchase a limited number of Common Shares during a specified period. The maximum number of Common Shares we are permitted to repurchase for cancellation under each NCIB is reduced by the number of Common Shares we arrange to be purchased by any non-independent broker in the open market during the term of such NCIB to satisfy delivery obligations under our SBC plans. We from time-to-time enter into automatic share purchase plans (ASPPs) with a broker, instructing the broker to purchase our Common Shares in the open market on our behalf, either for cancellation under an NCIB (NCIB ASPPs) or for delivery obligations under our SBC plans (SBC ASPPs), including during any applicable trading blackout periods, up to specified maximums (and subject to certain pricing and other conditions) through the term of each ASPP.

On October 30, 2024, the TSX accepted our notice to launch an NCIB (2024 NCIB), which allowed us to repurchase, at our discretion, from November 1, 2024 until the earlier of October 31, 2025 or the completion of purchases thereunder, up to approximately 8.6 million of our Common Shares in the open market, or as otherwise permitted, subject to the normal terms and limitations of such bids. One SBC ASPP and one NCIB ASPP were in effect during 1H 2025.

On October 29, 2025, the TSX accepted our notice to launch another NCIB (2025 NCIB), which allows us to repurchase, at our discretion, from November 3, 2025 until the earlier of November 2, 2026 or the completion of purchases thereunder, up to approximately 5.7 million of our Common Shares in the open market, or as otherwise permitted, subject to the normal terms and limitations of such bids. At June 30, 2026, approximately 5.5 million Common Shares remained available for repurchase under the 2025 NCIB either for cancellation or for SBC delivery purposes.

Information regarding Common Shares purchases in Q2 2026, 1H 2026 and respective prior year periods, for cancellation and for SBC plan delivery obligations (including under ASPPs) is set forth below:
Three months ended June 30Six months ended June 30
2026202520262025
Aggregate cost (including transaction fees and excluding share buyback taxes) of Common Shares repurchased for cancellation$— $40.0 $20.0 $115.0 
Number of Common Shares repurchased for cancellation (in millions) (1)
— 0.6 0.1 1.2 
Weighted average price per share for repurchases$— $70.48 $273.60 $94.05 
Aggregate cost (including transaction fees) of Common Shares repurchased for delivery under SBC plans$— $— $— $221.6 
Number of Common Shares repurchased for delivery under SBC plans (in millions) (2)
— — — 1.7 
(1)    For Q2 2025 and 1H 2025, includes 0.6 million Common Shares purchased for cancellation under NCIB ASPPs.
(2)    Consists entirely of SBC ASPP purchases through an independent broker.

SBC:

From time to time, we pay cash to a broker to purchase Common Shares in the open market to satisfy delivery requirements under our SBC plans (see table above). In Q2 2026 and 1H 2026, we used 0.002 million Common Shares and 1.6 million Common Shares, respectively (Q2 2025 — 0.03 million; 1H 2025 — 2.0 million) to settle SBC awards. At June 30, 2026, the broker held 0.2 million Common Shares with a value of $20.7 (December 31, 2025 — 1.8 million Common Shares with a value of $153.8) for this purpose, which we report as treasury stock on our consolidated statements of changes in equity.

We grant restricted share units (RSUs) and performance share units (PSUs), and occasionally, stock options, to employees under our SBC plans. The majority of RSUs vest one-third per year over a three-year period. Stock options generally vest 25% per year over a four-year period. The number of outstanding PSUs that will actually vest varies from 0% to 200% of a target amount granted. The number of PSUs that will vest are based on the level of achievement of a pre-determined non-market performance measurement, subject to modification by our relative total shareholder return compared to a pre-defined group of companies, in each case over the relevant three-year performance period. We also granted deferred share units and director share units (collectively, DSUs), RSUs and Director RSUs (D-RSUs) to directors. DSUs vest upon retirement. D-RSUs vest on the first anniversary of the grant date, subject to continued service. See note 2(l) to the 2025 AFS for further detail.
Information regarding RSU, PSU, DSU and D-RSU grants to employees and directors, as applicable, for the periods indicated is set forth below (no stock options were granted in the periods below):
Three months ended June 30Six months ended June 30
 2026202520262025
RSUs Granted:
Number of awards (in millions)0.03 0.04 0.2 0.3 
Weighted average grant date fair value per unit$423.30 $112.21 $304.70 $119.55 
PSUs Granted:
Number of awards (in millions, representing 100% of target)
— 0.02 0.1 0.2 
Weighted average grant date fair value per unit$482.27 $139.53 $329.08 $146.35 
DSUs Granted:
Number of awards (in millions)0.001 0.002 0.002 0.01 
Weighted average grant date fair value per unit$342.67 $152.67 $282.41 $103.83 
D-RSUs Granted:
Number of awards (in millions)0.01 — 0.01 — 
Weighted average grant date fair value per unit$339.13 $— $339.13 $— 

In Q2 2026 and 1H 2026, we made a cash payment of $0.8 and $326.3, respectively, for withholding taxes in connection with the SBC awards that vested during such periods (Q2 2025 — nil; 1H 2025 — $156.0).

We use the TRS agreement (TRS Agreement) to manage cash flow requirements and our exposure to fluctuations in the share price of our Common Shares in connection with the settlement of certain outstanding equity awards under our SBC plans. See note 14 for further detail.

Information regarding employee and director SBC expense and TRS FVAs (which represent changes in fair value of the TRS) for the periods indicated is set forth below:
Three months ended June 30Six months ended June 30
 2026202520262025
Employee SBC expense in cost of sales$9.6 $7.3 $23.2 $17.4 
Employee SBC expense in SG&A9.7 7.9 26.6 23.8 
Total employee SBC expense$19.3 $15.2 $49.8 $41.2 
TRS FVAs: gains in cost of sales$(48.4)$(40.6)$(40.9)$(33.1)
TRS FVAs: gains in SG&A(55.7)(56.8)(46.2)(45.2)
Total TRS FVAs: gains$(104.1)$(97.4)$(87.1)$(78.3)
Combined effect of employee SBC expense and TRS FVAs$(84.8)$(82.2)$(37.3)$(37.1)
Director SBC expense in SG&A(1)
$0.6 $0.5 $1.2 $1.1 
(1) Expense consists of director compensation to be settled with Common Shares, or Common Shares and cash.