Project Momentum - In November 2022, the Board of Directors approved a profit recovery program, Project Momentum, which included an enterprise-wide restructuring focused on recovering operating margins, optimizing our manufacturing, distribution

In July 2023, the Company's Board of Directors approved an expansion to the Project Momentum profit recovery program and delegated authority to the Company's management to determine the final actions with respect to the plan. The expansion allowed for additional optimization of our battery manufacturing, distribution and global supply chain networks, further review of our global real estate footprint and the implementation of IT systems that allowed us to streamline our organization and fully execute the program. Following the Belgium Acquisition in the first quarter of fiscal 2024, the Company expanded the Project Momentum program and increased the savings and cost expectations, partially due to the impact the expanded manufacturing capacity had on the Company's battery network. Through the first three years of Project Momentum, the Company incurred total pre-tax exit-related costs associated with these plans of $215.8 through the end of fiscal year 2025.

Project Momentum - Tariff Mitigation & Operational Efficiency Program - During the fourth quarter of 2025, the Company decided to extend the Project Momentum program to a fourth year to help offset the impact of tariffs and the challenging macroeconomic environment. The Company plans to achieve this through network and sourcing changes to mitigate tariffs, a redesign of the European manufacturing network to best utilize the acquired APS manufacturing facility, the redesign and investment in our U.S. based manufacturing footprint to increase operational efficiency and production, as well as overall SG&A cost reduction initiatives. During the second quarter the Company continued to evaluate cost cutting initiatives and decided to outsource certain battery raw materials, which reduced the need for internal capacity resulting in a non-cash increase to the restructuring cost range for the write-off of machinery and equipment.

The estimated restructuring and related pre-tax costs associated with this fourth year of the program is now expected to be between $65.0 and $75.0 with additional restructuring related costs of $15.0 to $20.0 around U.S. manufacturing efficiency initiatives. The increase in projected costs are primarily related to non-cash write-offs of machinery and equipment and costs related to an expansion of SG&A cost reduction initiatives. Restructuring costs for these initiatives were $10.6 and $61.9 for the quarter and nine months ended June 30, 2026, respectively. Restructuring related costs were $3.8 and $14.9 for the quarter and nine months ended June 30, 2026, respectively.

The pre-tax expense for charges related to the restructuring for the quarters and nine months ended June 30, 2026 and 2025 are noted in the table below, and were reflected in the Consolidated (Condensed) Statement of Earnings and Comprehensive Income:


	For the Quarters Ended June 30,				For the Nine Months Ended June 30,
	2026		2025			2026		2025

Costs of products sold (COGS)
Severance and related benefit costs	$	0.6	$	0.1		$	2.7	$	0.3
Accelerated depreciation & fixed asset write-offs	—		—			22.0		3.3
Other restructuring related costs(1)	3.1		2.8			10.3		17.4
Selling, general and administrative expense (SG&A)
Severance and related benefit costs	5.6		1.6			24.0		3.7
Accelerated depreciation & fixed asset write-offs	—		—			—		0.9
Other restructuring related costs(2)	1.3		1.8			2.9		7.4
Other items, net
Entity liquidation	—		—			—		(0.3)

Momentum Restructuring Cost Total	$	10.6	$	6.3		$	61.9	$	32.7
US manufacturing efficiency project(3)	3.8		—			14.9		—
IT enablement(4)	—		1.7			—		13.2
Total restructuring and related costs	$	14.4	$	8.0		$	76.8	$	45.9

(3) Relates to initiatives to optimize the Company's cost structure and operational efficiency in the U.S. as we exit less efficient production lines and reinvest in the expansion of U.S. manufacturing production. These restructuring related costs are recorded in COGS in the Consolidated (Condensed) Statement of Earnings and Comprehensive Income.

(4) Relates to operating expenses for new IT systems, primarily the organizational design and change management costs, which enabled the Company to complete restructuring initiatives, and a non-cash impairment of capitalized software. Costs are included in SG&A in the Consolidated (Condensed) Statement of Earnings and Comprehensive Income.

Although the Company's restructuring costs are recorded outside of segment profit, if allocated to our reportable segments, the pre-tax restructuring and related costs for the quarter and nine months ended June 30, 2026 would be incurred within the Batteries & Lights segment in the amount of $12.8 and $73.7, respectively, and the Auto Care segment in the amount of $1.6 and $3.1, respectively. For the quarter and nine months ended June 30, 2025, the pre-tax restructuring and related costs would have been incurred within the Batteries & Lights segment in the amount of $7.1 and $41.5, respectively and the Auto Care segment in the amount of $0.9 and $4.4, respectively.


					Utilized
	September 30, 2025 (1)		Charge to Income		Cash		Non-Cash		June 30, 2026 (1)
Severance & termination related costs	$	7.5	$	26.7	$	23.2	$	—	$	11.0
Accelerated depreciation & fixed asset write-offs	—		22.0		—		22.0		—
Other restructuring related costs	0.9		13.2		14.0		—		0.1
U.S. manufacturing efficiency project	—		14.9		10.9		4.0		—
IT enablement	0.3		—		0.3		—		—
Total restructuring and related costs	$	8.7	$	76.8	$	48.4	$	26.0	$	11.1


					Utilized
	September 30, 2024		Charge to Income		Cash		Non-Cash		June 30, 2025
Severance & termination related costs	$	7.2	$	4.0	$	3.8	$	—	$	7.4
Accelerated depreciation & fixed asset write-offs	—		4.2		—		4.2		—
Other restructuring related costs	12.4		24.5		33.6		—		3.3
IT enablement	2.1		13.2		12.9		2.1		0.3
Total restructuring and related costs	$	21.7	$	45.9	$	50.3	$	6.3	$	11.0