
	Three Months Ended June 30,				Six Months Ended June 30,				Cumulative Total
	2026		2025		2026		2025
(Dollars in millions)
Stickney Shutdown:
Severance, retention and employee benefits	$	2.0	$	0.0	$	2.0	$	0.0	$	2.0
Impairment	164.6		0.0		164.6		0.0		164.6
Depreciation and asset disposal costs	8.5		0.0		8.5		0.0		8.5
Plant cleaning, waste disposal and demolition costs	36.4		0.0		36.4		0.0		36.4
Phthalic Anhydride Shutdown:
Severance and employee benefits	0.0		0.5		0.1		0.6		1.1
Depreciation and asset disposal costs	0.2		4.6		0.2		18.5		26.8
Plant cleaning, waste disposal and demolition costs	0.9		7.9		1.3		7.9		14.7
Workforce reduction program	0.0		0.2		0.0		3.3		8.3
Consulting services	2.7		4.4		5.1		7.3		21.0
Other restructuring costs	0.5		0.0		5.4		0.0		9.0
Total impairment and restructuring	$	215.8	$	17.6	$	223.6	$	37.6	$	292.4

Stickney Shutdown – We have made the decision to discontinue distillation and chemical manufacturing operations at our Carbon Materials and Chemicals facility in Stickney, Illinois. The decision was driven by challenging market conditions over the past decade, including unit operating costs outpacing our ability to capture higher pricing, reduced raw material supply from North American steel manufacturers and increased capital requirements. We anticipate winding down the remaining distillation and chemical production activities by December 31, 2026 at the latest and are tentatively targeting fourth quarter 2026 for shifting production to our coal tar distillation facility located in Nyborg, Denmark. We continue to evaluate potentially appropriate uses for the Stickney facility following the end of production activities.

Phthalic Anhydride Shutdown – In December 2024, we made the decision to discontinue phthalic anhydride production at our Carbon Materials & Chemicals facility in Stickney, Illinois. The decision was driven by significant near-term capital spending requirements that could not be economically justified by end-market projections and will substantially reduce annual emissions of certain regulated air contaminants. During the second quarter of 2025, we completed the shutdown of the phthalic anhydride plant.


Expected Totals	Low		High
(Dollars in millions)
Severance, retention and employee benefits (cash)	$	5.0	$	5.0
Impairment, depreciation and asset disposal costs (non-cash)	176.0		185.0
Plant cleaning, waste disposal and demolition costs (cash)	52.0		62.0
Stickney Shutdown Total Pre-tax Charges	$	233.0	$	252.0

Severance, retention and employee benefits (cash)	$	1.0	$	1.0
Depreciation and asset disposal costs (non-cash)	28.0		28.0
Plant cleaning, waste disposal and demolition costs (cash)	21.0		25.0
Phthalic Anhydride Shutdown Total Pre-tax Charges	$	50.0	$	54.0

Total Cash Charges	$	79.0	$	93.0
Total Non-Cash Charges	$	204.0	$	213.0

Workforce Reduction Program – In November 2024, we committed to a workforce reduction program across select U.S. locations, which is intended to streamline operations and reduce costs. This workforce reduction program resulted in the reallocation of people and resources, included voluntary and involuntary reductions in employees and ended in the fourth quarter of 2025.

Consulting Services – We have incurred and will continue to incur consulting and other professional service fees starting with a comprehensive assessment of each of our businesses and functions which began in the fourth quarter of 2024 and was completed during the third quarter of 2025. We then started the multi-year company-wide transformative project to design and implement changes that we believe will enable us to reach our full potential and improve profitability, modernize business processes and pursue portfolio realignment, if necessary.

Other Restructuring Costs – In the first quarter of 2026, we announced plans to idle two of our facilities. Consolidating production of these facilities will help us optimize our network, better align capacity with demand, reduce operating costs and strengthen the long-term competitiveness of our operations.

We made the decision to idle production activities at our Utility and Industrial Products facility in Vance, Alabama, effective in February 2026. Substantially all production handled at this location was transitioned to our Kennedy, Alabama plant. These facilities were located within 60 miles of each other and served the same market which resulted in plant underutilization, redundancy and higher operating costs.

We also announced our plan to idle production activities at our Railroad Products and Services facility in Florence, South Carolina due to lower overall future forecasted demand from the facility's largest customer. We expect to ramp down production at Florence over the next several months with plant idling activities to be completed by November 2026. During this time period, we will transition incremental production to our facility in Guthrie, Kentucky.


	Stickney Shutdown		Phthalic Anhydride Shutdown		Workforce Reduction Program
(Dollars in millions)
Liability at December 31, 2024	$	0.0	$	0.0	$	4.4
Accrual	0.0		13.5		1.2
Cash paid	0.0		(8.1)		(5.0)
Liability at December 31, 2025	$	0.0	$	5.4	$	0.6
Accrual(1)	38.4		1.3		0.0
Cash paid	0.0		(2.3)		(0.6)
Liability at June 30, 2026	$	38.4	$	4.4	$	0.0

(1)Approximately $18.5 million of the Stickney shutdown accrual is a short-term asset retirement obligation, which is included in accrued liabilities in the condensed consolidated balance sheet.

KCCC Liquidation – In July 2024, Koppers and Tangshan Iron & Steel Group Co. Ltd. (TISCO) signed an agreement to effectuate the ultimate liquidation of Koppers (China) Carbon & Chemical Company Limited (KCCC), which ceased operations in 2015. The liquidation of KCCC was completed in February 2026 which resulted in a non-cash gain of approximately $4 million during the first quarter of 2026.