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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
10-Q
☒
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the Quarterly Period Ended
March 31,
2023
or
☐
Transition Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the transition period from to
Commission File Number
1-8472
Hexcel Corporation
(Exact name of registrant as specified in its charter)
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Delaware
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94-1109521
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(State
or Other Jurisdiction of Incorporation or
Organization)
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(I.R.S. Employer Identification No.)
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Two Stamford Plaza
281 Tresser Boulevard
Stamford,
Connecticut
06901-3238
(Address of principal executive offices and zip code)
Registrant’s telephone number, including area code:
(203)
969-0666
Securities registered pursuant to Section 12(b) of the
Act:
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Title of each class
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Trading
Symbol(s)
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Name of each exchange on which registered
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Common Stock, par value $0.01
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HXL
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New York Stock Exchange
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Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months (or
for such shorter period that the registrant was required to file
such reports), and (2) has been subject to such filing requirements
for the past 90 days.
Yes
No
Indicate by check mark whether the registrant has submitted
electronically every Interactive Data File required to be submitted
pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter)
during the preceding 12 months (or for such shorter period that the
registrant was required to submit such files).
Yes
No
Indicate by check mark whether the registrant is a large
accelerated filer, an accelerated filer, a non-accelerated filer, a
smaller reporting company, or an emerging growth company. See the
definitions of “large accelerated filer,” “accelerated filer,”
“smaller reporting company,” and “emerging growth company” in Rule
12b-2 of the Exchange Act.
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Large accelerated filer
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Accelerated filer
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Non-accelerated filer
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Smaller reporting company
☐
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Emerging growth company
☐
|
If an emerging growth company, indicate by check mark if the
registrant has elected not to use the extended transition period
for complying with any new or revised financial accounting
standards provided pursuant to Section 13(a) of the Exchange
Act.
Indicate by check mark whether the registrant is a shell company
(as defined in Rule 12b-2 of the Exchange Act). Yes
☐
No
Indicate the number of shares outstanding of each of the issuer’s
classes of common stock, as of the latest practicable
date.
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Class
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Outstanding at April 20, 2023
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COMMON STOCK
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84,372,361
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HEXCEL CORPORATION AND SUBSIDIARIES
INDEX
2
PART I. FINANCIAL
INFORMATION
ITEM 1.
Condensed Consolidated Financial
Statements
Hexcel Corporation and Subsidiaries
Condensed Consolidated Balance Sheets
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(Unaudited)
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March 31,
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December 31,
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(In millions)
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2023
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2022
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Assets
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Current assets:
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|
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Cash and cash equivalents
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$
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105.7
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|
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$
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112.0
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|
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Accounts receivable, net
|
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265.3
|
|
|
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222.7
|
|
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Inventories, net
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354.6
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|
|
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319.3
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|
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Contract assets
|
|
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28.6
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|
|
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32.0
|
|
|
Prepaid expenses and other current assets
|
|
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44.2
|
|
|
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38.9
|
|
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Assets held for sale
|
|
|
9.5
|
|
|
|
9.5
|
|
|
Total current assets
|
|
|
807.9
|
|
|
|
734.4
|
|
|
|
|
|
|
|
|
|
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Property, plant and equipment
|
|
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3,116.1
|
|
|
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3,087.9
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|
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Less accumulated depreciation
|
|
|
(1,465.4
|
)
|
|
|
(1,430.1
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)
|
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Net property, plant and equipment
|
|
|
1,650.7
|
|
|
|
1,657.8
|
|
|
|
|
|
|
|
|
|
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Goodwill and other intangible assets, net
|
|
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255.2
|
|
|
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256.0
|
|
|
Investments in affiliated companies
|
|
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52.7
|
|
|
|
47.6
|
|
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Other assets
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|
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140.8
|
|
|
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141.5
|
|
|
Total assets
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$
|
2,907.3
|
|
|
$
|
2,837.3
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|
|
|
|
|
|
|
|
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Liabilities and Stockholders' Equity
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|
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Current liabilities:
|
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|
|
|
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|
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Short-term borrowings
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$
|
0.2
|
|
|
$
|
0.2
|
|
|
Accounts payable
|
|
|
122.0
|
|
|
|
155.5
|
|
|
Accrued compensation and benefits
|
|
|
61.0
|
|
|
|
69.6
|
|
|
Financial instruments
|
|
|
15.0
|
|
|
|
22.0
|
|
|
Accrued liabilities
|
|
|
91.9
|
|
|
|
82.5
|
|
|
Total current liabilities
|
|
|
290.1
|
|
|
|
329.8
|
|
|
|
|
|
|
|
|
|
|
Long-term debt
|
|
|
768.5
|
|
|
|
723.3
|
|
|
Retirement obligations
|
|
|
44.3
|
|
|
|
42.7
|
|
|
Deferred income taxes
|
|
|
123.9
|
|
|
|
126.4
|
|
|
Other non-current liabilities
|
|
|
58.3
|
|
|
|
60.9
|
|
|
Total liabilities
|
|
|
1,285.1
|
|
|
|
1,283.1
|
|
|
Stockholders' equity:
|
|
|
|
|
|
|
|
Common stock, $0.01 par
value,
200.0 shares
authorized,
110.6 shares
and
110.4 shares
issued at March 31, 2023 and December 31, 2022,
respectively
|
|
|
1.1
|
|
|
|
1.1
|
|
|
Additional paid-in capital
|
|
|
920.8
|
|
|
|
905.0
|
|
|
Retained earnings
|
|
|
2,137.2
|
|
|
|
2,104.9
|
|
|
Accumulated other comprehensive loss
|
|
|
(152.1
|
)
|
|
|
(174.4
|
)
|
|
|
|
|
2,907.0
|
|
|
|
2,836.6
|
|
|
Less – Treasury stock, at cost,
26.2 shares
at March 31, 2023 and
26.2 shares
at December 31, 2022
|
|
|
(1,284.8
|
)
|
|
|
(1,282.4
|
)
|
|
Total stockholders' equity
|
|
|
1,622.2
|
|
|
|
1,554.2
|
|
|
Total liabilities and stockholders' equity
|
|
$
|
2,907.3
|
|
|
$
|
2,837.3
|
|
The accompanying notes are an integral part of these condensed
consolidated financial statements.
3
|
|
|
|
|
|
|
|
|
|
Hexcel Corporation and Subsidiaries
|
|
|
|
|
|
|
|
Condensed Consolidated Statements of Operations
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
Quarter Ended March 31,
|
|
|
(In millions, except per share data)
|
|
2023
|
|
|
2022
|
|
|
Net sales
|
|
$
|
457.7
|
|
|
$
|
390.6
|
|
|
Cost of sales
|
|
|
330.0
|
|
|
|
303.9
|
|
|
Gross margin
|
|
|
127.7
|
|
|
|
86.7
|
|
|
Selling, general and administrative expenses
|
|
|
50.8
|
|
|
|
44.7
|
|
|
Research and technology expenses
|
|
|
13.9
|
|
|
|
10.9
|
|
|
Other operating expense
|
|
|
0.2
|
|
|
|
1.0
|
|
|
Operating income
|
|
|
62.8
|
|
|
|
30.1
|
|
|
Interest expense, net
|
|
|
9.4
|
|
|
|
9.1
|
|
|
Income before income taxes, and equity in
earnings from affiliated companies
|
|
|
53.4
|
|
|
|
21.0
|
|
|
Income tax expense
|
|
|
11.7
|
|
|
|
4.7
|
|
|
Income before equity in earnings from
affiliated companies
|
|
|
41.7
|
|
|
|
16.3
|
|
|
Equity in earnings from affiliated companies
|
|
|
1.0
|
|
|
|
1.5
|
|
|
Net income
|
|
$
|
42.7
|
|
|
$
|
17.8
|
|
|
Basic net income per common share
|
|
$
|
0.50
|
|
|
$
|
0.21
|
|
|
Diluted net income per common share
|
|
$
|
0.50
|
|
|
$
|
0.21
|
|
|
Weighted-average common shares:
|
|
|
|
|
|
|
|
Basic
|
|
|
84.6
|
|
|
|
84.3
|
|
|
Diluted
|
|
|
85.5
|
|
|
|
84.9
|
|
|
|
|
|
|
|
|
|
|
|
Hexcel Corporation and Subsidiaries
|
|
|
|
|
|
|
|
Condensed Consolidated Statements of Comprehensive
Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
Quarter Ended March 31,
|
|
|
(In millions)
|
|
2023
|
|
|
2022
|
|
|
Net income
|
|
$
|
42.7
|
|
|
$
|
17.8
|
|
|
Currency translation adjustments
|
|
|
12.0
|
|
|
|
(15.7
|
)
|
|
Net unrealized pension and other benefit actuarial gains and prior
service credits (net of tax)
|
|
|
-
|
|
|
|
3.2
|
|
|
Net unrealized gain (loss) on financial instruments (net of
tax)
|
|
|
10.3
|
|
|
|
(5.1
|
)
|
|
Total other comprehensive income (loss)
|
|
|
22.3
|
|
|
|
(17.6
|
)
|
|
Comprehensive income
|
|
$
|
65.0
|
|
|
$
|
0.2
|
|
The accompanying notes are an integral part of these condensed
consolidated financial statements.
4
Hexcel Corporation and Subsidiaries
Condensed
Consolidated Statements of Cash Flows
|
|
|
|
|
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
Three Months Ended March 31,
|
|
|
(In millions)
|
|
2023
|
|
|
2022
|
|
|
Cash flows from operating activities
|
|
|
|
|
|
|
|
Net income
|
|
$
|
42.7
|
|
|
$
|
17.8
|
|
|
Reconciliation to net cash used for operating
activities:
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
|
30.7
|
|
|
|
32.2
|
|
|
Amortization related to financing
|
|
|
0.1
|
|
|
|
0.3
|
|
|
Deferred income taxes
|
|
|
(2.1
|
)
|
|
|
(1.8
|
)
|
|
Equity in earnings from affiliated companies
|
|
|
(1.0
|
)
|
|
|
(1.5
|
)
|
|
Stock-based compensation
|
|
|
12.9
|
|
|
|
10.4
|
|
|
Restructuring expenses, net of payments
|
|
|
(2.1
|
)
|
|
|
(5.0
|
)
|
|
Impairment of assets
|
|
|
1.7
|
|
|
|
-
|
|
|
Changes in assets and liabilities:
|
|
|
|
|
|
|
|
Increase in accounts receivable
|
|
|
(40.5
|
)
|
|
|
(54.7
|
)
|
|
Increase in inventories
|
|
|
(32.6
|
)
|
|
|
(24.4
|
)
|
|
Decrease (increase) in prepaid expenses and other current
assets
|
|
|
0.1
|
|
|
|
(8.6
|
)
|
|
(Decrease) increase in accounts payable/accrued
liabilities
|
|
|
(31.0
|
)
|
|
|
13.4
|
|
|
Other
– net
|
|
|
(2.3
|
)
|
|
|
2.9
|
|
|
Net cash used for operating activities
|
|
|
(23.4
|
)
|
|
|
(19.0
|
)
|
|
|
|
|
|
|
|
|
|
Cash flows from investing activities
|
|
|
|
|
|
|
|
Capital expenditures
|
|
|
(18.1
|
)
|
|
|
(20.9
|
)
|
|
Net cash used for investing activities
|
|
|
(18.1
|
)
|
|
|
(20.9
|
)
|
|
|
|
|
|
|
|
|
|
Cash flows from financing activities
|
|
|
|
|
|
|
|
Borrowing from senior unsecured credit facility - 2024
|
|
|
65.0
|
|
|
|
35.0
|
|
|
Repayment of senior unsecured credit facility - 2024
|
|
|
(20.0
|
)
|
|
|
-
|
|
|
Repayment of finance lease obligation and other debt,
net
|
|
|
(0.1
|
)
|
|
|
(0.3
|
)
|
|
Dividends paid
|
|
|
(10.5
|
)
|
|
|
(8.5
|
)
|
|
Activity under stock plans
|
|
|
0.4
|
|
|
|
(0.3
|
)
|
|
Net cash provided by financing activities
|
|
|
34.8
|
|
|
|
25.9
|
|
|
Effect of exchange rate changes on cash and cash
equivalents
|
|
|
0.4
|
|
|
|
(0.9
|
)
|
|
Net decrease in cash and cash equivalents
|
|
|
(6.3
|
)
|
|
|
(14.9
|
)
|
|
Cash and cash equivalents at beginning of period
|
|
|
112.0
|
|
|
|
127.7
|
|
|
Cash and cash equivalents at end of period
|
|
$
|
105.7
|
|
|
$
|
112.8
|
|
|
Supplemental data:
|
|
|
|
|
|
|
|
Accrual basis additions to plant, property and equipment
|
|
$
|
16.8
|
|
|
$
|
11.1
|
|
The accompanying notes are an integral part of these condensed
consolidated financial statements.
5
Hexcel Corporation and Subsidiaries
Condensed Consolidated Statements
of
Stockholders’ Equity (Unaudited)
For the Quarters ended March 31, 2023, and March 31,
2022
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additional
|
|
|
|
|
|
Other
|
|
|
|
|
|
Total
|
|
|
|
|
|
|
|
Paid-In
|
|
|
Retained
|
|
|
Comprehensive
|
|
|
Treasury
|
|
|
Stockholders’
|
|
|
(In millions)
|
|
Par
|
|
|
Capital
|
|
|
Earnings
|
|
|
Loss
|
|
|
Stock
|
|
|
Equity
|
|
|
Balance, December 31, 2021
|
|
$
|
1.1
|
|
|
$
|
878.6
|
|
|
$
|
2,012.5
|
|
|
$
|
(126.5
|
)
|
|
$
|
(1,280.2
|
)
|
|
$
|
1,485.5
|
|
|
Net income
|
|
—
|
|
|
—
|
|
|
|
17.8
|
|
|
—
|
|
|
—
|
|
|
|
17.8
|
|
|
Dividends on common stock ($0.10 per
share)
|
|
—
|
|
|
—
|
|
|
|
(8.5
|
)
|
|
—
|
|
|
—
|
|
|
|
(8.5
|
)
|
|
Change in other comprehensive income (loss)– net of tax
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
(17.6
|
)
|
|
—
|
|
|
|
(17.6
|
)
|
|
Stock-based activity
|
|
—
|
|
|
|
11.3
|
|
|
—
|
|
|
—
|
|
|
|
(1.4
|
)
|
|
|
9.9
|
|
|
Balance, March 31, 2022
|
|
$
|
1.1
|
|
|
$
|
889.9
|
|
|
$
|
2,021.8
|
|
|
$
|
(144.1
|
)
|
|
$
|
(1,281.6
|
)
|
|
$
|
1,487.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additional
|
|
|
|
|
|
Other
|
|
|
|
|
|
Total
|
|
|
|
|
|
|
|
Paid-In
|
|
|
Retained
|
|
|
Comprehensive
|
|
|
Treasury
|
|
|
Stockholders’
|
|
|
(In millions)
|
|
Par
|
|
|
Capital
|
|
|
Earnings
|
|
|
Loss
|
|
|
Stock
|
|
|
Equity
|
|
|
Balance, December 31, 2022
|
|
$
|
1.1
|
|
|
$
|
905.0
|
|
|
$
|
2,104.9
|
|
|
$
|
(174.4
|
)
|
|
$
|
(1,282.4
|
)
|
|
$
|
1,554.2
|
|
|
Net income
|
|
—
|
|
|
—
|
|
|
|
42.7
|
|
|
—
|
|
|
—
|
|
|
|
42.7
|
|
|
Dividends on common stock ($0.125 per
share)
|
|
—
|
|
|
—
|
|
|
|
(10.4
|
)
|
|
—
|
|
|
—
|
|
|
|
(10.4
|
)
|
|
Change in other comprehensive income (loss)– net of tax
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
22.3
|
|
|
—
|
|
|
|
22.3
|
|
|
Stock-based activity
|
|
—
|
|
|
|
15.8
|
|
|
—
|
|
|
—
|
|
|
|
(2.4
|
)
|
|
|
13.4
|
|
|
Balance, March 31, 2023
|
|
$
|
1.1
|
|
|
$
|
920.8
|
|
|
$
|
2,137.2
|
|
|
$
|
(152.1
|
)
|
|
$
|
(1,284.8
|
)
|
|
$
|
1,622.2
|
|
The accompanying notes are an integral part of these condensed
consolidated financial statements.
6
HEXCEL CORPORATION AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
Note 1 — Significant Accounting
Policies
In these notes, the terms “Hexcel,” “the Company,” “we,” “us,” or
“our” mean Hexcel Corporation and subsidiary companies. The
accompanying condensed consolidated financial statements are those
of Hexcel Corporation. Refer to Note 1 to the consolidated
financial statements included in the Annual Report on Form 10-K for
the year ended December 31, 2022 for a discussion of our
significant accounting policies.
Basis of Presentation
The accompanying condensed consolidated financial statements have
been prepared from the unaudited accounting records of Hexcel
pursuant to rules and regulations of the Securities and Exchange
Commission (“SEC”) and in accordance with accounting principles
generally accepted in the United States of America (“GAAP”) for
interim financial information. Certain information and footnote
disclosures normally included in financial statements have been
omitted pursuant to rules and regulations of the SEC. In the
opinion of management, the condensed consolidated financial
statements include all normal recurring adjustments as well as any
non-recurring adjustments necessary to present fairly the statement
of financial position, results of operations, cash flows and
statement of stockholders’ equity for the interim periods
presented. The Condensed Consolidated Balance Sheet as of December
31, 2022 was derived from the audited 2022 consolidated balance
sheet. Interim results are not necessarily indicative of results
expected for any other interim period or for the full year. These
consolidated financial statements should be read in conjunction
with the consolidated financial statements and notes thereto
included in our 2022 Annual Report on Form 10-K.
Investments in Affiliated Companies
We have a
50%
equity investment in Aerospace Composites Malaysia Sdn. Bhd. This
investment is accounted for using the equity method of
accounting.
Assets Held for Sale
In November 2020, we closed our wind energy prepreg production
facility in Windsor, Colorado and in 2022 we further reduced the
carrying value of the Windsor facility by approximately
$3
million. The plant assets to be sold have been recorded in “Assets
held for sale” in the Consolidated Balance Sheets at both March 31,
2023 and December 31, 2022. The sale of these assets is expected to
occur during 2023.
Note 2 — Net Income Per Common Share
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended March 31,
|
|
|
(In millions, except per share data)
|
|
2023
|
|
|
2022
|
|
|
Basic net income per common share:
|
|
|
|
|
|
|
|
Net income
|
|
$
|
42.7
|
|
|
$
|
17.8
|
|
|
Weighted average common shares outstanding
|
|
|
84.6
|
|
|
|
84.3
|
|
|
|
|
|
|
|
|
|
|
Basic net income per common share
|
|
$
|
0.50
|
|
|
$
|
0.21
|
|
|
|
|
|
|
|
|
|
|
Diluted net income per common share:
|
|
|
|
|
|
|
|
Net income
|
|
$
|
42.7
|
|
|
$
|
17.8
|
|
|
|
|
|
|
|
|
|
|
Weighted average common shares outstanding — Basic
|
|
|
84.6
|
|
|
|
84.3
|
|
|
Plus incremental shares from assumed conversions:
|
|
|
|
|
|
|
|
Restricted stock units
|
|
|
0.5
|
|
|
|
0.4
|
|
|
Stock options
|
|
|
0.4
|
|
|
|
0.2
|
|
|
Weighted average common shares outstanding — Dilutive
|
|
|
85.5
|
|
|
|
84.9
|
|
|
|
|
|
|
|
|
|
|
Diluted net income per common share
|
|
$
|
0.50
|
|
|
$
|
0.21
|
|
Total common stock equivalents of
0.5
million and
0.7
million were
excluded from the computation of diluted net income per
share
for the three months ended March 31, 2023 and 2022, respectively,
because to do so would have been anti-dilutive.
7
Note 3
—
Inventories
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In millions)
|
|
March 31, 2023
|
|
|
December 31, 2022
|
|
|
Raw materials
|
|
$
|
164.7
|
|
|
$
|
153.3
|
|
|
Work in progress
|
|
|
50.8
|
|
|
|
42.8
|
|
|
Finished goods
|
|
|
139.1
|
|
|
|
123.2
|
|
|
Total Inventory
|
|
$
|
354.6
|
|
|
$
|
319.3
|
|
Note 4
—
Retirement and Other Postretirement Benefit Plans
We maintain qualified and nonqualified defined benefit retirement
plans covering certain current and former U.S. and European
employees, retirement savings plans covering eligible U.S. and U.K.
employees and certain postretirement health care and life insurance
benefit plans covering eligible U.S. retirees. We also participate
in a union sponsored multi-employer pension plan covering certain
U.S. employees with union affiliations.
Defined Benefit Retirement Plans
Net Periodic Benefit Costs
Net periodic benefit costs of our defined benefit retirement plans
for the three months ended March 31, 2023 and 2022 were as
follows:
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended March 31,
|
|
|
(In millions)
|
|
2023
|
|
|
2022
|
|
|
U.S. Nonqualified Defined Benefit Retirement Plans
|
|
|
|
|
|
|
|
Service cost
|
|
$
|
0.3
|
|
|
$
|
0.3
|
|
|
Interest cost
|
|
|
0.1
|
|
|
|
0.1
|
|
|
Net amortization
|
|
|
0.2
|
|
|
|
0.2
|
|
|
Net periodic benefit cost
|
|
$
|
0.6
|
|
|
$
|
0.6
|
|
|
|
|
|
|
|
|
|
|
|
(In millions)
|
|
March 31, 2023
|
|
|
December 31, 2022
|
|
|
Amounts recognized on the balance sheet for U.S. nonqualified
defined benefit retirement plans:
|
|
|
|
|
|
|
|
Accrued liabilities
|
|
$
|
1.2
|
|
|
$
|
1.4
|
|
|
Other non-current liabilities
|
|
|
18.9
|
|
|
|
18.5
|
|
|
Total accrued benefit
|
|
$
|
20.1
|
|
|
$
|
19.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended March 31,
|
|
|
(In millions)
|
|
2023
|
|
|
2022
|
|
|
European Defined Benefit Retirement Plans
|
|
|
|
|
|
|
|
Service cost
|
|
$
|
0.2
|
|
|
$
|
0.2
|
|
|
Interest cost
|
|
|
1.2
|
|
|
|
0.6
|
|
|
Expected return on plan assets
|
|
|
(1.2
|
)
|
|
|
(0.6
|
)
|
|
Net amortization and deferral
|
|
|
0.6
|
|
|
|
0.6
|
|
|
Net periodic benefit cost
|
|
$
|
0.8
|
|
|
$
|
0.8
|
|
|
|
|
|
|
|
|
|
|
|
(In millions)
|
|
March 31, 2023
|
|
|
December 31, 2022
|
|
|
Amounts recognized on the balance sheet for European defined
benefit retirement plans:
|
|
|
|
|
|
|
|
Other assets
|
|
$
|
6.1
|
|
|
$
|
5.6
|
|
|
|
|
|
|
|
|
|
|
Accrued liabilities
|
|
|
1.2
|
|
|
|
0.1
|
|
|
Other non-current liabilities
|
|
|
13.4
|
|
|
|
12.1
|
|
|
Total accrued benefit
|
|
$
|
14.6
|
|
|
$
|
12.2
|
|
8
All costs related to our pensions are included as a component of
operating income in our Condensed Consolidated Statements of
Operations. For both the three months ended March 31, 2023 and
2022, amounts unrelated to service costs were a charge of
$0.9
million.
Contributions
We generally fund our U.S. non-qualified defined benefit retirement
plans when benefit payments are incurred. We contributed
approximately $0.2
million in the first three months of 2023 to cover unfunded
benefits. We expect to contribute a total of $1.5
million in 2023 to cover unfunded benefits. We contributed
$0.2
million to our U.S. non-qualified defined benefit retirement plans
during the quarter ended March 31, 2022.
Contributions to our European defined benefit retirement plans
during the three months ended March 31, 2023 and 2022 were not
material. We plan to contribute approximately $0.7
million d