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HEDGING TRANSACTIONS AND DERIVATIVE FINANCIAL INSTRUMENTS
 6 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
HEDGING TRANSACTIONS AND DERIVATIVE FINANCIAL INSTRUMENTS HEDGING TRANSACTIONS AND DERIVATIVE FINANCIAL INSTRUMENTS
The Company is directly and indirectly affected by changes in foreign currency market conditions, fluctuating interest rates and commodity prices on items such as diesel fuel, propane, and petroleum-based products. These changes in market conditions, interest rates and commodity prices may adversely impact the Company's financial performance and are referred to as market risks. When deemed appropriate by management, the Company uses derivatives as a risk management tool to mitigate the potential impact of foreign currency market risks, rising interest rates and commodity price risks.
The Company uses foreign exchange forward contracts to manage the foreign exchange risk associated with the principal balance of the Company's €441.9 million 3.875% Senior Secured Notes due October 31, 2028 and €8.1 million non-tendered 3.875% Senior Notes (collectively, the ‘Euro Notes’). Forward contracts are agreements to buy or sell a quantity of a currency at a predetermined future date, and at a predetermined rate or price and are traded over-the-counter. The Company uses interest rate swaps to mitigate the exposure from the variation of interest rates. The Company also uses commodity futures, forwards, and option contracts to manage commodity price risk associated with diesel fuel, propane, and petroleum-based products based on its anticipated consumption of these commodities for periods of up to 24 months.
All derivatives are carried at fair value on the Condensed Consolidated Balance Sheets. The carrying values of the derivatives reflect the impact of legally enforceable agreements with the same counterparties. The Company has elected to report the fair value of its derivatives on a gross basis.
The accounting for gains and losses that result from changes in the fair values of derivative instruments depends on whether the derivatives have been designated and qualify as hedging instruments and the types of hedging relationships. Derivatives can be designated as fair value hedges, cash flow hedges or hedges of net investments in foreign operations. The changes in the fair values of derivatives that have been designated and qualify for fair value hedge accounting are recorded in the same line item in the Condensed Consolidated Statements of Operations as the changes in the fair value of the hedged items attributable to the risk being hedged. Due to the high degree of effectiveness between the hedging instruments and the underlying exposures being hedged, fluctuations in the value of the derivative instruments are generally offset by changes in the fair values or cash flows of the underlying exposures being hedged. The changes in fair values of derivatives that were not designated and/or did not qualify as hedging instruments are immediately recognized into earnings. The Company classifies cash inflows and outflows related to derivative and hedging instruments within the appropriate cash flows section associated with the item being hedged.
For derivatives that will be accounted for as hedging instruments, the Company formally designates and documents, at inception, the financial instrument as a hedge of a specific underlying exposure, the risk management objective and the strategy for undertaking the hedge transaction. In addition, the Company formally assesses, both at inception and at least quarterly thereafter, whether the financial instruments used in hedging transactions are highly effective at offsetting changes in either the fair values or cash flows of the related underlying exposures.
The Company estimates the fair values of its derivatives based on quoted market prices or pricing models using current market rates. The notional amounts of the derivative financial instruments do not necessarily represent amounts exchanged by the parties and, therefore, are not a direct measure of the Company's exposure to the financial risks described above. The amounts exchanged are calculated by reference to the notional amounts and by other terms of the derivatives, such as interest rates, foreign currency exchange rates or other financial indices. The Company does not view the fair values of its derivatives in isolation, but rather in relation to the fair values or cash flows of the underlying hedged transactions. All of the Company's derivatives are over-the-counter instruments with liquid markets.
Credit Risk Associated with Derivatives
The Company has established strict counterparty credit guidelines and enters into transactions only with financial institutions of investment grade or better. The Company monitors counterparty exposures regularly and reviews promptly any downgrade in counterparty credit rating. The Company mitigates pre-settlement risk by being permitted to net settle for transactions with the same counterparty. To minimize the concentration of credit risk, the Company may enter into derivative transactions with a portfolio of financial institutions. Based on these factors, the Company considers the risk of counterparty default to be minimal.
Cash Flow Hedging Strategy
During the year ended December 31, 2025, the Company entered into two float-to-fixed interest rate swaps with notional amounts of $250.0 million each, maturing December 31, 2026 and December 31, 2027, respectively, to hedge the variable interest rate risk associated with $500.0 million of Term Loans principal. The interest rate swaps were effective for the interest payments beginning in 2026. The interest rate swap contracts are designated as cash flow hedges and recognized on the Condensed Consolidated Balance Sheets at fair value and changes in the fair value are recorded as a component of AOCI on the Condensed Consolidated Balance Sheets. The gains and losses in AOCI are reclassified to Interest and financing expense, net when the underlying forecasted transaction occurs.
Fair Value Hedging Strategy
In connection with the Transaction, the Company acquired foreign exchange contracts with a combined notional amount of €450.0 million and a maturity date of October 31, 2025 (the "2024 FX Forwards"). The derivative financial instruments were utilized to hedge the foreign exchange risk associated with the Euro Notes.
On August 6, 2025, the Company net settled the 2024 FX Forwards and simultaneously entered into new foreign exchange contracts with a combined notional amount of €450.0 million and a maturity date of November 1, 2027 to hedge the foreign exchange risk associated with the Euro Notes.
The Company designated the foreign exchange contracts as fair value hedges. The foreign exchange contracts are recognized on the Condensed Consolidated Balance Sheets at fair value and changes in the fair value of the foreign exchange contracts are recorded in the same line as the hedged item, which is Other expense (income), net in the Condensed Consolidated Statements of Operations. The Company excludes forward points from its assessment of hedge effectiveness and amortizes them on a straight-line basis over the life of the hedging instruments in Other expense (income), net in the Condensed Consolidated Statements of Operations. The difference between fair value changes of the excluded component and the amount amortized to Other expense (income), net is recorded as a component of AOCI on the Condensed Consolidated Balance Sheets.
The following amounts were recorded on the Condensed Consolidated Balance Sheets related to fair value hedged items as of June 30, 2026 and December 31, 2025:
($ in millions)
June 30, 2026December 31, 2025
Line Item in Condensed Consolidated Balance Sheets in Which the Hedged Item Is IncludedCarrying Amount of the Hedged Liability
Long-term debt, less current portion 1
$513.3 $529.3 
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1 Carrying amount excludes the unamortized debt discounts as of June 30, 2026 and December 31, 2025.
The following tables present information about the Company's derivative financial instruments designated as cash flow and fair value hedging transactions.
The fair value of the Company's derivative assets and liabilities included in the Condensed Consolidated Balance Sheets, as of June 30, 2026 and December 31, 2025 was as follows:

June 30, 2026
December 31, 2025
Foreign exchange contractsForeign exchange contracts
($ in millions)
Assets
Liabilities
AssetsLiabilities
Derivative Assets in Fair Value Hedging Relationships
Other non-current assets
$— $— $11.6 $— 
Other non-current liabilities
— 3.2 — — 
June 30, 2026
December 31, 2025
Interest rate swapsInterest rate swaps
($ in millions)AssetsLiabilitiesAssetsLiabilities
Derivative Assets in Cash Flow Hedging Relationships
Prepaid expenses and other current assets
$2.4 $— $— $— 
Other non-current assets
0.9 — — — 
The amount of gains or (losses) recognized in the Condensed Consolidated Statements of Operations for fair value and cash flow hedging relationships, presented on a pre-tax basis, for the periods presented, is shown in the table below:
Three Months Ended June 30,Six Months Ended June 30,
($ in millions)
2026202520262025
Affected Line Item in the Statement Where Net Income Is Presented
Derivatives in Fair Value Hedging Relationships
Foreign exchange contracts
Hedged item$3.4 $(40.7)$16.0 $(58.2)Other expense (income), net
Derivative designated as hedging instrument(3.4)40.7 (16.0)58.2 Other expense (income), net
Amount reclassified from AOCI to expense (amortized)(2.0)(2.4)(4.0)(4.7)Other expense (income), net
Derivatives in Cash Flow Hedging Relationships
Interest rate swaps
Amount reclassified from AOCI to expense
$0.5 $— $1.0 $— Interest and financing expense, net
The amount of gains or (losses), net of tax, recognized in the Condensed Consolidated Statements of Comprehensive Income for fair value and cash flow hedging relationships for the periods presented, is shown in the table below:
Three Months Ended June 30,Six Months Ended June 30,
($ in millions)
2026202520262025
Derivatives in Fair Value Hedging Relationships
Foreign exchange contracts
Amount excluded from the assessment of effectiveness 1
$(0.1)$(1.7)$0.8 $(1.4)
Derivatives in Cash Flow Hedging Relationships
Interest rate swaps
Unrealized gains 2
$1.2 $— $3.0 $— 
______________________
1 Amount is net of tax impact of nil and $0.3 million for the three and six months ended June 30, 2026, respectively. Amount is net of tax impact of $0.6 million and $0.5 million for the three and six months ended June 30, 2025, respectively.
2 Amount is net of tax impact of $0.3 million and $0.9 million for the three and six months ended June 30, 2026, respectively.
There were no settlements of the Company's foreign exchange contracts during the three and six months ended June 30, 2026 or the three and six months ended June 30, 2025.
The estimated net gain on the Company's derivative instruments designated as cash flow hedges as of June 30, 2026 that is expected to be reclassified from AOCI into earnings, net of tax, within the next twelve months is $2.4 million. The accumulated net gain on derivative instruments designated as cash flow hedges in AOCI was $3.3 million as of June 30, 2026.
Economic (Non-Designated) Hedging Strategy
In addition to derivative instruments that have been designated and qualify for hedge accounting, the Company also uses certain derivatives as economic hedges of commodity exposure. Although these derivatives were not designated and/or did not qualify for hedge accounting, they are effective economic hedges. The changes in the fair values of economic hedges are immediately recognized in earnings.
As of June 30, 2026, the fair value of the Company's commodity forwards were short-term assets of $16.8 million recorded in Prepaid expenses and other current assets, long-term assets of $2.0 million recorded in Other non-current assets, short-term liabilities of $1.6 million recorded in Accruals and other current liabilities and long-term liabilities of $1.7 million recorded in Other non-current liabilities on the Condensed Consolidated Balance Sheets.
As of December 31, 2025, the fair value of the Company's commodity forwards were liabilities of $3.5 million recorded in Accruals and other current liabilities on the Condensed Consolidated Balance Sheets.
For the three and six months ended June 30, 2026, unrealized losses on commodity forwards of $12.2 million and unrealized gains on commodity forwards of $18.9 million, respectively, were recorded within Other operating expense (income), net in the Condensed Consolidated Statements of Operations. For the three and six months ended June 30, 2025, unrealized gains on commodity forwards of $0.9 million and $2.0 million, respectively, were recorded within Other operating expense (income), net in the Condensed Consolidated Statements of Operations