RESTRUCTURING ACTIVITIES

6 Months Ended

Jun. 30, 2026

RESTRUCTURING ACTIVITIES

RESTRUCTURING ACTIVITIES

NOTE 4—RESTRUCTURING ACTIVITIES

Refer to the Annual Report for further details regarding the Company’s previously announced restructuring activities included in the tables below. Restructuring charges are included within “Selling, general and administrative expenses” in the condensed consolidated statements of operations.

2025 Restructuring Plan

On October 2, 2025, the Company approved a restructuring plan to permanently close its methyl methacrylate production operations in Rho, Italy and its acetone cyanohydrin production operations in Porto Marghera, Italy (the “MMA Restructuring Plan”). The MMA Restructuring Plan is intended to streamline the company’s MMA production network and exit underperforming assets.

On December 5, 2025, the Company approved a restructuring plan to permanently close its polystyrene production operations in Schkopau, Germany with consolidation of remaining PS operations in Tessenderlo, Belgium.

The Company recorded net pre-tax restructuring charges of $146.1 million inception-to-date under the 2025 Restructuring Plan, consisting of $7.9 million of severance and related benefit costs, $107.2 million of asset related charges, and $31.0 million of contract terminations. Asset-related charges include decommissioning and other charges of $16.8 million, $34.5 million related to accelerated depreciation for the asset retirement costs at Porto Marghera and Schkopau, and $55.9 million in accelerated depreciation charges of plant, property and equipment primarily associated with the exit of the Company’s plants in Rho, Italy, Porto Marghera, Italy and Schkopau, Germany.

The Company expects to incur incremental contract termination charges of $2.0 million to $5.0 million and asset related charges of $4.4 million within the Engineered Materials segment, with $1.9 million related to decommissioning charges and $2.5 million related to accretion expense, and asset related charges of $0.5 million within the Polymer Solutions segment related to accretion expense. All incremental charges are expected to be incurred and paid by the end of 2028.

The following table summarizes the charges by segment related to the 2025 Restructuring Plan:


		Three Months Ended			Six Months Ended
		June 30,			June 30,
2025 Restructuring Plan Charges by Segment		2026			2026
Engineered Materials		$	5.9		$	12.5
Polymer Solutions			2.2			3.6
Total		$	8.1		$	16.1

The following table is a summary of charges (credits) incurred related to the 2025 Restructuring Plan:


		Three Months Ended			Six Months Ended
		June 30,			June 30,
2025 Restructuring Plan Charges (Credits)		2026			2026
Severance and related benefit credits (credits)		$	(3.0)		$	(3.0)
Asset related charges			4.5			9.6
Contract terminations			6.6			9.5
Total		$	8.1		$	16.1

At June 30, 2026 and December 31, 2025, total liabilities related to the 2025 Restructuring Plan includes $7.6 million and $11.1 million, respectively, for severance and related benefit costs, and $20.0 million and $21.9 million, respectively, for contract termination charges, were primarily included within "Accrued and other current liabilities" in the condensed consolidated balance sheets.

The following table summarizes the activities related to the 2025 Restructuring Plan:


2025 Restructuring Plan		Severance and Related Benefit Cost			Asset Related Charges (2)			Contract Terminations			Total
Reserve balance at December 31, 2025		$	11.1		$	—		$	21.9		$	33.0
Restructuring charges (credits)			(3.0)			6.3			9.5			12.8
Payments ⁽¹⁾			(0.5)			(4.6)			(11.4)			(16.5)
Asset write-offs			—			(1.7)			—			(1.7)
Reserve balance at June 30, 2026		$	7.6		$	—		$	20.0		$	27.6

(1)	Includes immaterial impacts of foreign currency remeasurement.

(2)

Does not include $1.9 million of accelerated depreciation and $1.4 million of accretion expense incurred during the six months ended June 30, 2026 related to the asset retirement obligation at Schkopau and Porto Marghera. Refer to Note 13 for further information on the asset retirement obligation activity at Schkopau and Porto Marghera.

2024 Restructuring Plan and Stade Shutdown

On September 26, 2024, the Board of Directors of the Company approved a restructuring plan (“2024 Restructuring Plan”) designed to reduce costs by streamlining commercial and operational activities and to further improve profitability and better position the Company for longer term growth and cash flow generation. The 2024 Restructuring Plan included: (i) combining the management of Engineered Materials, Plastics Solutions and Polystyrene businesses, (ii) a reduction in workforce of supporting functions, and (iii) the exit of virgin polycarbonate production at its Stade, Germany production facility. On November 13, 2024, the Company announced its decision to exit its Stade, Germany polycarbonate plant (“Stade Shutdown”).

The Company recorded net pre-tax restructuring charges of $64.6 million inception-to-date under the 2024 Restructuring Plan and Stade Shutdown, consisting of $22.5 million of severance and related benefit costs, $29.2 million of asset related charges, and $12.9 million of contract terminations. Asset-related charges include $19.9 million related to the accelerated depreciation for the asset retirement cost and $5.6 million in accelerated depreciation charges of plant, property and equipment associated with the exit of the Company’s Stade, Germany plant and other charges of $3.7 million.

The Company expects to incur incremental contract terminations of $7.0 million to $9.0 million and asset-related charges of $0.5 million within the Polymer Solutions segment. The majority of charges related to the 2024 Restructuring Plan and Stade Shutdown are expected to be paid by the end of 2027.

The following table summarizes the charges (credits) incurred by segment related to the 2024 Restructuring Plan and Stade Shutdown:


		Three Months Ended						Six Months Ended
		June 30,						June 30,
2024 Restructuring Plan and Stade Shutdown Charges (Credits) by Segment		2026			2025			2026			2025
Engineered Materials		$	(0.1)		$	0.1		$	(0.1)		$	(0.2)
Latex Binders			(0.2)			—			(0.2)			—
Polymer Solutions			1.3			6.0			2.6			8.6
Corporate ⁽¹⁾			—			(0.1)			—			—
Total		$	1.0		$	6.0		$	2.3		$	8.4

(1)	The charges related to this restructuring plan that were not allocated to a specific segment were included within Corporate as unallocated charges.

The following table is a summary of charges (credits) incurred related to the 2024 Restructuring Plan and Stade Shutdown:


		Three Months Ended						Six Months Ended
		June 30,						June 30,
2024 Restructuring Plan and Stade Shutdown Charges (Credits)		2026			2025			2026			2025
Severance and related benefit costs (credits)		$	(0.3)		$	0.5		$	(0.2)		$	(0.1)
Asset related charges			0.3			0.5			0.6			1.5
Contract terminations			1.0			5.0			1.9			7.0
Total		$	1.0		$	6.0		$	2.3		$	8.4

At June 30, 2026 and December 31, 2025, total liabilities related to the 2024 Restructuring Plan and Stade Shutdown were $4.1 million and $14.2 million, respectively for severance and related benefit costs, were included within "Accrued and other current liabilities" in the condensed consolidated balance sheets.

The following table summarizes the activities related to the 2024 Restructuring Plan and Stade Shutdown:


2024 Restructuring Plan and Stade Shutdown		Severance and Related Benefit Cost			Asset Related Charges ⁽²⁾			Contract Terminations			Total
Reserve balance at December 31, 2025		$	14.2		$	—		$	—		$	14.2
Restructuring charges (credits)			(0.2)			—			1.9			1.7
Payments ⁽¹⁾			(9.9)			—			(1.9)			(11.8)
Reserve balance at June 30, 2026		$	4.1		$	—		$	—		$	4.1

(1)	Includes immaterial impacts of foreign currency remeasurement.

(2)

Excludes $0.3 million and $0.6 million, respectively, of accretion expense incurred during the three and six months ended June 30, 2026 related to the asset retirement obligation liability at Stade, Germany. Refer to Note 13 for further information on the asset retirement obligation activity at Stade, Germany.

2023 Asset Optimization and Corporate Restructuring

On August 23, 2023, the Company announced a restructuring plan (“2023 Asset Optimization and Corporate Restructuring plan”) to optimize its polymethyl methacrylates (“PMMA”) sheet network, primarily in Europe, consolidate manufacturing operations and certain other workforce reductions to streamline its general & administrative network. The Asset Optimization and Corporate Restructuring plan includes closure of certain plants and product lines. On October 26, 2023, the Company approved additional actions.

The Company recorded net pre-tax restructuring charges of $87.4 million inception-to-date under the Asset Optimization and Corporate Restructuring plan, consisting of $17.4 million of severance and related benefit costs, $60.8 million of asset related charges, and $9.2 million of contract terminations costs. Asset-related charges include $32.6 million of accelerated depreciation charges of plant, property and equipment, and decommissioning and other charges of $28.2 million associated with the plant and production closures. The Company expects to incur an incremental $0.7 million of asset related charges through the end of 2026. The majority of the employee termination benefit charges are expected to be paid by the end of 2026.

The following table summarizes the charges (credits) incurred by segment related to the 2023 Asset Optimization and Corporate Restructuring plan:


		Three Months Ended						Six Months Ended
2023 Asset Optimization and Corporate Restructuring Plan		June 30,						June 30,
Charges (Credits) by Segment		2026			2025			2026			2025
Engineered Materials		$	—		$	—		$	—		$	0.1
Polymer Solutions			1.3			4.1			2.8			6.5
Corporate ⁽¹⁾			—			—			—			(0.1)
Total		$	1.3		$	4.1		$	2.8		$	6.5

(1)	The charges related to this restructuring plan that were not allocated to a specific segment were included within Corporate as unallocated charges.

The following table is a summary of charges incurred related to the 2023 Asset Optimization and Corporate Restructuring plan:


		Three Months Ended						Six Months Ended
2023 Asset Optimization and Corporate Restructuring Plan		June 30,						June 30,
Charges		2026			2025			2026			2025
Severance and related benefit costs		$	—		$	0.6		$	—		$	1.0
Asset related charges			1.3			3.5			2.8			5.5
Total		$	1.3		$	4.1		$	2.8		$	6.5

At June 30, 2026 and December 31, 2025, total liabilities related to the Asset Optimization and Corporate Restructuring were $1.0 million and $1.1 million, respectively for severance and related benefit costs, were included within "Accrued and other current liabilities" in the condensed consolidated balance sheets.

The following table summarizes the activities related to the 2023 Asset Optimization and Corporate Restructuring plan:


2023 Asset Optimization and Corporate Restructuring Plan		Severance and Related Benefit Cost			Asset Related Charges			Total
Reserve balance at December 31, 2025		$	1.1		$	—		$	1.1
Restructuring charges			—			2.8			2.8
Payments ⁽¹⁾			(0.1)			(2.8)			(2.9)
Reserve balance at June 30, 2026		$	1.0		$	—		$	1.0

(1)	Includes immaterial impacts of foreign currency remeasurement.

2022 Asset Restructuring Plan

In December 2022, the Company announced a restructuring plan designed to reduce costs, improve profitability, reduce exposure to cyclical markets and elevated natural gas prices, and address market overcapacity (“Asset Restructuring Plan”). The Asset Restructuring Plan encompassed closure of certain underperforming or uncompetitive plants and product lines, including (i) closure of manufacturing operations at the styrene production facility in Boehlen,

Germany, (ii) closure of one of its production lines at the Stade, Germany polycarbonate plant, and (iii) closure of the PMMA sheet manufacturing site in Matamoros, Mexico.

The Company recorded net pre-tax restructuring charges of $55.3 million inception-to-date under the 2022 Asset Restructuring Plan, consisting of $8.5 million of severance and related benefit costs, $33.3 million of asset related charges, and $13.5 million of contract terminations costs. Asset-related charges include $17.1 million related to the accelerated depreciation for the asset retirement cost at Boehlen, Germany, $7.7 million in accelerated depreciation charges of plant, property and equipment and decommissioning and other charges of $8.5 million.

Substantially all payments for severance and related benefit costs have been paid, the Company expects to incur an incremental $1.7 million primarily related to contract termination charges within the Polymer Solutions segment through 2027.

The following table summarizes the charges (credits) incurred by segment related to the 2022 Asset Restructuring Plan:


		Three Months Ended						Six Months Ended
		June 30,						June 30,
2022 Asset Restructuring Plan Charges (Credits) by Segment		2026			2025			2026			2025
Engineered Materials		$	—		$	—		$	—		$	(0.3)
Polymer Solutions			0.3			0.7			0.5			(6.8)
Total		$	0.3		$	0.7		$	0.5		$	(7.1)

The following table is a summary of charges (credits) incurred related to the 2022 Asset Restructuring Plan:


		Three Months Ended						Six Months Ended
		June 30,						June 30,
2022 Asset Restructuring Plan Charges (Credits) by Segment		2026			2025			2026			2025
Severance and related benefit costs (credits)		$	(0.1)		$	—		$	(0.1)		$	(0.3)
Asset related charges (credits) ⁽¹⁾			—			—			0.1			(8.1)
Contract terminations			0.4			0.7			0.5			1.3
Total		$	0.3		$	0.7		$	0.5		$	(7.1)

(1)

Asset related charges (credits) include activities related to an asset retirement obligation at Boehlen, Germany. For the six months ended June 30, 2025, the Company recorded a credit of $(8.1) million reflecting a change in cost estimate related to the asset retirement obligation as the Company was able to realize efficiencies during the initial phase of site demolition.

At June 30, 2026 and December 31, 2025, total liabilities related to the Asset Restructuring Plan were $0.0 million and $0.5 million, respectively for severance and related benefit costs, were included within "Accrued and other current liabilities" in the condensed consolidated balance sheets.

The following table summarizes the activities related to the 2022 Asset Restructuring Plan:


2022 Asset Restructuring Plan		Severance and Related Benefit Cost			Asset Related Charges			Contract Terminations			Total
Reserve balance at December 31, 2025		$	0.5		$	—		$	—		$	0.5
Restructuring charges (credits)			(0.1)			0.1			0.5			0.5
Payments ⁽¹⁾			(0.4)			(0.1)			(0.5)			(1.0)
Reserve balance at June 30, 2026		$	—		$	—		$	—		$	—

(1)	Includes immaterial impacts of foreign currency remeasurement.