| Schedule of Accumulated Other Comprehensive Income (Loss) |
The following table presents the gains (losses) on derivative instruments recognized in Comprehensive income attributable to The Andersons, Inc.: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Three months ended June 30, | | Six months ended June 30, | | (in thousands) | Classification | 2026 | | 2025 | | 2026 | | 2025 | | Designated as Hedging Instruments | | | | | | | | | | | | | | | | | | | Interest rate | Gain in Interest expense, net (a) | $ | 1,384 | | | $ | 2,077 | | | $ | 2,745 | | | $ | 4,151 | | | Gain (loss) in Other comprehensive income | 2,372 | | | (4,150) | | | 3,950 | | | (10,970) | | | | | | | | | | | | Not Designated as Hedging Instruments | | | | | | | | | | | | | | | | | | | Commodity | Gain (loss) in Cost of sales and merchandising revenues | $ | 92,224 | | | $ | (35,502) | | | $ | 17,427 | | | $ | 14,498 | | | | | | | | | | |
(a) The entire amount recognized within Interest expense, net was reclassified from Accumulated other comprehensive income. The following table summarizes the changes in accumulated other comprehensive income ("AOCI") attributable to the Company: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Three months ended June 30, | | Six months ended June 30, | | (in thousands) | | 2026 | | 2025 | | 2026 | | 2025 | | Currency Translation Adjustment | | | | | | | | | | Beginning balance | | $ | (6,767) | | | $ | (11,691) | | | $ | (4,334) | | | $ | (13,469) | | Other comprehensive (loss) income before reclassifications | | (1,914) | | | 8,886 | | | (4,347) | | | 10,664 | | | | | | | | | | | | Tax effect | | — | | | — | | | — | | | — | | Other comprehensive (loss) income, net of tax | | (1,914) | | | 8,886 | | | (4,347) | | | 10,664 | | | Ending balance | | $ | (8,681) | | | $ | (2,805) | | | $ | (8,681) | | | $ | (2,805) | | | Cash Flow Hedges | | | | | | | | | | Beginning balance | | $ | 12,831 | | | $ | 16,252 | | | $ | 11,469 | | | $ | 21,571 | | Other comprehensive income (loss) before reclassifications | | 3,756 | | | (2,073) | | | 6,695 | | | (6,819) | | Amounts reclassified from AOCI (a) | | (1,384) | | | (2,077) | | | (2,745) | | | (4,151) | | Tax effect (b) | | (446) | | | 926 | | | (662) | | | 2,427 | | Other comprehensive income (loss), net of tax | | 1,926 | | | (3,224) | | | 3,288 | | | (8,543) | | | Ending balance | | $ | 14,757 | | | $ | 13,028 | | | $ | 14,757 | | | $ | 13,028 | | | Pension and Other Postretirement Adjustment | | | | | | | | | | Beginning balance | | $ | 4,140 | | | $ | 4,038 | | | $ | 4,202 | | | $ | 4,225 | | Other comprehensive loss before reclassifications | | (81) | | | (22) | | | (161) | | | (1,489) | | Amounts reclassified from AOCI (c) | | — | | | (214) | | | — | | | (428) | | Tax effect (b) | | 18 | | | 51 | | | 36 | | | 1,545 | | Other comprehensive loss, net of tax | | (63) | | | (185) | | | (125) | | | (372) | | | Ending balance | | $ | 4,077 | | | $ | 3,853 | | | $ | 4,077 | | | $ | 3,853 | | | Investments in Convertible Preferred Securities Adjustment | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Ending balance | | $ | — | | | $ | 258 | | | $ | — | | | $ | 258 | | | | | | | | | | | | Total AOCI Ending Balance | | $ | 10,153 | | | $ | 14,334 | | | $ | 10,153 | | | $ | 14,334 | |
(a)Gains and losses on cash flow hedges are reclassified from AOCI to income when the hedged item affects earnings. Gains and losses from interest rate derivatives are recognized in Interest expense, net as interest payments are made on the Company's variable rate debt. When interest rate derivatives are settled prior to maturity the gain or loss is recognized in Other income, net. The Company expects to reclassify approximately $6.4 million into earnings over the next twelve months. See Note 7 for additional information. (b)The Company utilizes the aggregate approach for releasing disproportionate income tax effects in AOCI. (c)This accumulated other comprehensive income (loss) component is included in the computation of net periodic benefit cost recorded in Operating, administrative and general expenses.
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