
	Second Quarter Ended		Six Months Ended
	June 30		June 30
(millions)	2026	2025	2026	2025
Cost of sales
One Ecolab	$1.1	$2.5	$2.7	$7.3
Other restructuring	3.6	-	13.3	-
Cost of sales subtotal	4.7	2.5	16.0	7.3

Special (gains) and charges
One Ecolab	27.7	26.5	59.1	65.9
Other restructuring	0.5	(12.0)	0.5	(12.0)
Acquisition and integration activities	4.6	7.3	18.7	8.8
Sale of global surgical solutions business	-	0.8	-	2.4
Other	13.6	2.0	14.5	(11.0)
Special (gains) and charges subtotal	46.4	24.6	92.8	54.1

Interest expense, net	6.6	-	6.6	-

Total special (gains) and charges	$57.7	$27.1	$115.4	$61.4

On July 30, 2024, the Company announced the One Ecolab initiative, which will enhance its growth and margin expansion journey. As a program within this initiative, the Company also announced that it commenced a restructuring plan to leverage its digital technologies to realign the functional work done in many countries into global centers of excellence. In February 2026, the Company expanded the One Ecolab initiative and anticipates total restructuring costs of $328 million ($256 million after tax) and special charges of $97 million ($76 million after tax) by the end of 2027. The Company anticipates that the restructuring costs will primarily be cash expenditures for severance costs relating to team reorganization.

The Company recorded restructuring charges of $23.9 million ($18.3 million after tax) and $51.4 million ($38.9 million after tax) during the second quarter and first six months of 2026, respectively, primarily related to severance and professional services and $17.4 million ($13.2 million after tax) and $56.8 million ($43.7 million after tax) during the second quarter and first six months of 2025, respectively, primarily related to severance. In addition, the Company recorded non-restructuring special charges of $4.9 million ($3.7 million after tax) and $10.4 million ($7.9 million after tax) during the second quarter and first six months of 2026, respectively, primarily related to professional services and $11.6 million ($8.8 million after tax) and $16.4 million ($12.4 million after tax) during the second quarter and first six months of 2025, respectively, primarily related to professional services. The Company has recorded $250.2 million ($192.4 million after tax) of cumulative restructuring charges and $65.0 million ($49.2 million after tax) of cumulative special charges under the One Ecolab initiative.

The net restructuring liability related to the One Ecolab initiative was $83.4 million and $96.1 million as of June 30, 2026 and December 31, 2025, respectively. The remaining liability is expected to be paid over a period of a few months to several quarters and will continue to be funded from operating activities.


	Employee Costs	Other	Total
(millions)
2024- 2025 Activity
Recorded expense and accrual	$148.2	$45.3	$193.5
Net cash payments	(55.7)	(47.0)	(102.7)
Reclassification	-	5.3	5.3
Restructuring liability, December 31, 2025	$92.5	$3.6	$96.1

2026 Activity
Recorded expense and accrual	$40.4	$11.0	$51.4
Net cash payments	(57.0)	(7.1)	(64.1)
Restructuring liability, June 30, 2026	$75.9	$7.5	$83.4

Other restructuring is primarily related to other immaterial restructuring programs. These activities have been included as a component of cost of sales and special (gains) and charges on the Consolidated Statements of Income. Restructuring liabilities have been classified as a component of other current and other noncurrent liabilities on the Consolidated Balance Sheets.

In November 2022, the Company approved a Europe cost savings program and subsequently expanded the program to focus on its Institutional and Healthcare businesses in other regions (the “Combined Program”). The Company completed these restructuring charges at the end of 2024, with total costs of $184.1 million ($151.5 million after tax). Subsequent to the completion of the Combined Program, the Company finalized the sale of a facility, resulting in a gain of $12.0 million ($9.2 million after tax) in the second quarter of 2025.

The restructuring liability balance for all other restructuring plans excluding One Ecolab was $10.8 million and $8.8 million as of June 30, 2026 and December 31, 2025, respectively. The remaining liability is expected to be paid over a period of a few months to several quarters and will continue to be funded from operating activities.

Acquisition and integration related costs reported in special (gains) and charges on the Consolidated Statements of Income include $4.6 million ($2.2 million after tax) and $7.3 million ($5.6 million after tax) in the second quarter of 2026 and 2025, respectively, and $18.7 million ($14.5 million net of tax) and $8.8 million ($6.7 million after tax) in the first six months of 2026 and 2025, respectively, primarily related to the CoolIT Systems and Ovivo Electronics acquisitions.

On April 27, 2024, the Company reached a definitive agreement to sell its global surgical solutions business, which closed on August 1, 2024. The Company recorded charges of $0.8 million ($0.6 million after tax) and $2.4 million ($1.8 million after tax) in the second quarter and first six months of 2025.

Other special (gains) charges recorded in special (gains) and charges on the Consolidated Statements of Income in the second quarter and first six months of 2026 were $13.6 million ($17.3 million after tax) and $14.5 million ($17.9 million after tax), respectively, primarily related to certain legal charges and the estimated loss on sale of an investment. Other special (gains) charges recorded in the second quarter and first six months of 2025 were $2.0 million ($1.6 million after tax) and ($11.0 million) ($9.7 million gain after tax), respectively, primarily related to the sale of an equity method investment.

During the second quarter of 2026, the Company recorded special charges of $6.6 million ($5.7 million after tax) in interest expense, net on the Consolidated Statement of Income related to debt used to fund the CoolIT Systems acquisition.