Derivatives

9 Months Ended

Sep. 30, 2026

Interest Rate Cap

In 2022, the Company entered into an interest rate cap agreement to manage its exposure to interest rate fluctuations related

to the Company’s Term Loan in the amount of $25.5 million. The interest rate cap had a $1,000.0 million notional amount,

2.75% strike, and terminated on December 31, 2025. At inception, the Company formally designated the interest rate cap

as a cash flow hedge, which remained effective through the instrument’s termination date.

For the three and nine months ended September 30, 2025, the decreases of $3.9 million and $10.8 million, respectively, in

the fair value of the interest rate cap were recognized in OCI. See Note 16, Income Taxes, for further information on the tax

effects on OCI related to the interest rate cap. The location and gains (losses) related to the interest rate cap were

recognized on the Consolidated Statements of Income as follows:


	Income Statement Caption	Three Months Ended September 30, 2025	Nine Months Ended September 30, 2025
Interest rate cap premium amortization	Interest expense, net	$(1,739)	$(5,216)
Amounts reclassified out of other comprehensive income related to the interest rate cap	Interest expense, net	4,045	11,978
Total impact of derivatives designated as hedging instruments		$2,306	$6,762

See Note 13, Fair Value Measurements, for information on the fair value of the interest rate cap.