During Fiscal 2025, the Company's Board of Directors approved a restructuring plan (the "2025 restructuring plan"), designed to strengthen and support the Company's financial and operational efficiencies. On May 11, 2026, the Company's Board of Directors approved an increase of up to $50 million of additional charges. The 2025 restructuring plan now is expected to include up to $305 million of pre-tax restructuring and related charges, consisting of:

•Up to $166 million in non-cash charges, including approximately $7 million in employee severance and benefits costs, and $159 million in contract terminations, facility, software, and other asset-related charges and impairments.

As of June 30, 2026, the Company has recorded $266.3 million of restructuring and related charges under the 2025 restructuring plan. The 2025 restructuring plan is expected to be substantially complete by December 31, 2026.

Restructuring and related charges are excluded from the Company's segment profitability measures. The Company reports restructuring and related charges within Corporate Other, which is designed to provide increased transparency and comparability of operating segments' performance.

The restructuring and related charges for the three months ended June 30, 2026 include $6.6 million relating to North America, $0.5 million relating to Asia-Pacific, and $0.2 million relating to Latin America. These charges were offset by a net benefit of $1.5 million relating to EMEA.

The restructuring and related charges for the three months ended June 30, 2025 include $18.9 million relating to North America, $1.5 million relating to Asia-Pacific and $0.7 million relating to EMEA.

The following table summarizes the costs recorded during the periods indicated in connection with the 2025 restructuring plan:


	Three Months Ended June 30,				Estimated Restructuring and Related Charges
	2026		2025		Remaining to be incurred		Total to be incurred
Costs recorded in cost of goods sold:
Inventory-related costs	$	—	$	—
Total costs recorded in cost of goods sold	$	—	$	—	$	—	$	13,193
Costs recorded in restructuring charges:
Employee-related costs	$	5,438	$	4,649
Facility-related costs	(1,600)		6,311
Other restructuring costs	170		1,868
Total costs recorded in restructuring charges	$	4,008	$	12,828	$	30,037	$	219,733
Costs recorded in selling, general and administrative expenses:
Employee-related costs	$	(417)	$	—
Other transformation initiatives	2,060		8,259
Total costs recorded in selling, general and administrative expenses	$	1,643	$	8,259	$	8,643	$	72,074
Total restructuring and related charges	$	5,651	$	21,087	$	38,680	$	305,000

Restructuring and related charges and recoveries require the Company to make certain judgments and estimates regarding the amount and timing as to when these charges or recoveries occur. The estimated liability could change subsequent to its recognition, requiring adjustments to the expense and the liability recorded. The restructuring reserve is recorded within current liabilities on the Condensed Consolidated Balance Sheets. On a quarterly basis, the Company conducts an evaluation of the related liabilities and expenses and revises its assumptions and estimates as appropriate, as new or updated information becomes available.


	Employee-Related Costs		Facility-Related Costs		Other Restructuring Related Costs		Total
Balance as of March 31, 2026	$	721	$	551	$	1,886	$	3,158
Net additions (recoveries) charged to expense (1)	5,438		139		162		5,739
Cash payments	(520)		(383)		(1,869)		(2,772)
Foreign exchange and other	(2)		—		—		(2)
Balance as of June 30, 2026	$	5,637	$	307	$	179	$	6,123