The following summarizes the notional amounts and related fair values of the Company’s foreign currency derivative instruments in U.S. Dollars (in millions):


	Notional or contractual amount		Fair Value of
			Assets (1)		Liabilities (2)
As of July 3, 2026
Derivative instruments with hedge accounting designation:
Cash flow hedges	$	470.3	$	1.4	$	13.7

Derivative instruments without hedge accounting designation:
Currency derivatives	147.6		0.6		0.4
			$	2.0	$	14.1

As of December 31, 2025
Derivative instruments with hedge accounting designation:
Cash flow hedges	$	386.7	$	0.3	$	—

Derivative instruments without hedge accounting designation:
Currency derivatives	190.5		0.1		—
			$	0.4	$	—

Cash flow hedges and currency derivatives are measured at fair value using a discounted cash flow model based on observable forward exchange rates and credit‑adjusted discount rates, and are classified as Level 2 fair value measurements. Gains and losses on cash flow hedges and currency derivatives were immaterial for the quarters and six months ended July 3, 2026 and July 4, 2025.

The Company maintains a foreign currency cash flow hedging program to reduce the risk that its U.S. dollar net cash outflows from procurement activities will be adversely affected by fluctuations in foreign currency exchange rates. The Company enters into forward contracts (principally Philippine peso, Korean won and Czech koruna) to hedge certain portions of forecasted cash flows denominated in foreign currencies. These contracts generally mature within 18 months and are designated as cash flow hedges for accounting purposes. The Company did not identify any ineffectiveness with respect to the notional amounts of the foreign currency forward contracts effective as of July 3, 2026.

As of July 3, 2026 and December 31, 2025, the Company had net outstanding foreign exchange contracts that hedged existing assets and liabilities associated with transactions on its balance sheet, which were undesignated hedges for accounting purposes. Such contracts were obtained through financial institutions and were scheduled to mature within two months from the time of purchase. Management believes that these financial instruments should not subject the Company to increased risks from foreign exchange movements because gains and losses on these contracts should offset losses and gains on the underlying assets, liabilities and transactions to which they relate.

The Company entered into convertible note hedges in connection with the issuance of the 0% Notes, the 2031 0% Notes, and 0.50% Notes. See Note 7: ''Long-Term Debt'' for more information.

As of July 3, 2026, the Company had no outstanding commodity derivatives, currency swaps, options or equity contracts held at subsidiaries or affiliated companies. The Company does not hedge the value of its equity investments in its subsidiaries or affiliated companies.

The Company is exposed to credit-related losses if its hedge counterparties fail to perform their obligations. As of July 3, 2026, the counterparties to the Company's hedge contracts were held at financial institutions which the Company believes to be highly rated, and no credit-related losses are anticipated.