In June 2026, the Company announced a restructuring of its Global Technology group resulting in a workforce reduction. The purpose of the restructuring is to modernize and reshape our Global Technology function to meet the increasing needs of the Company and its customers.

The Company incurred employee termination costs including cash severance payments, employer payroll taxes, and other benefits provided to affected employees. These charges are accounted for as one-time employee termination benefits under ASC 420, Exit or Disposal Cost Obligations. A portion of the termination benefits requires affected employees to remain employed through specified dates. Accordingly, these charges are being recognized ratably over the applicable service periods, while charges for employees not subject to future service requirements were recognized at the communication date. Total expected charges associated with the plan are approximately $27 million, of which $25 million was recognized in the second quarter of 2026 within salaries and related expenses in the condensed consolidated statements of earnings. The remaining costs associated with the restructuring are all expected to be recognized during the second half of 2026.

The following table summarizes activity related to our restructuring liability, which was included in accrued expenses in the condensed consolidated balance sheets:


	Three months ended June 30, 2026
	Balance at March 31, 2026		Charges recognized		Cash paid		Balance at June 30, 2026
Accrued Employee Termination Benefits	$	—	$	25,428	$	1,898	$	23,530
Total	$	—	$	25,428	$	1,898	$	23,530