During the nine month period ended July 31, 2026, the company continued executing initiatives designed to drive sustainable supply-base, design-to-value, route-to-market, and operational efficiency transformation. During the first nine months of fiscal 2026, the company completed certain actions associated with its operational footprint optimization and product portfolio rationalization efforts, resulting in facility exit costs and product-line exit costs recognized during the period. Liabilities at the beginning and end of each respective period are immaterial. Total expenses incurred to date in connection with these activities are $124.4 million and remaining costs associated with these initiatives are expected to be immaterial. Charges associated with these initiatives are recorded within Other activities as these costs are not allocated to the company's reportable segments for purposes of evaluating segment operating performance.


	Three Months Ended				Nine Months Ended
(Dollars in millions)	July 31, 2026		August 1, 2025		July 31, 2026		August 1, 2025
Facility exit costs	$	1.8	$	6.6	$	17.4	$	10.8
Product-line exit costs	10.7		0.4		10.5		0.6
Severance and termination benefits	—		0.2		—		3.3
Cost of sales	$	12.5	$	7.2	$	27.9	$	14.7
Severance and termination benefits	—		0.2		—		12.2
Other1	0.6		0.7		4.9		3.0
Selling, general and administrative expense	$	0.6	$	0.9	$	4.9	$	15.2
Facility exit costs	32.4		—		32.4		—
Product-line exit costs	10.7		—		10.7		—
Non-cash impairment charges	$	43.1	$	—	$	43.1	$	—
Other income (expense)	(0.9)		(1.1)		3.9		(1.5)
Income tax provision	6.6		1.5		9.8		5.7
Total management actions	$	50.5	$	7.7	$	62.2	$	25.7

During the preparation of the financial statements for the third quarter of fiscal 2026, the company recorded an impairment charge related to the planned exit of the Monterrey manufacturing facility as part of the company's footprint optimization efforts. The impairment charge represents the excess of the assets’ carrying values over their estimated fair values, which were determined using the income approach and Level 3 inputs, including expected sublease rental rates, vacancy periods, and a discount rate. The Monterrey asset group is reported under the Residential segment.

During the preparation of the financial statements for the third quarter of fiscal 2026, the company also recorded an impairment charge related to the exit of a residential mower platform, resulting in non-cash impairment charges to property, plant, and equipment reported under the Residential segment.

As a result of these two actions, the company recorded non-cash impairment charges of an aggregate of $43.1 million for the third quarter of fiscal 2026 which were allocated to property, plant, and equipment and the Monterrey right-of-use asset. These charges resulted in a 1.4 million income tax benefit (deferred tax asset) associated with the remaining tax deductible basis of the assets.