Quarterly report pursuant to Section 13 or 15(d)

Stockholders' Equity

v3.22.2.2
Stockholders' Equity
 9 Months Ended
Sep. 30, 2022
Equity [Abstract]  
Stockholders' Equity
6. Stockholders' Equity:
Accumulated Other Comprehensive Income (Loss)
The stockholders’ equity footnote disclosures have been revised to include the impact of discontinued operations on pensions and postretirement benefits and foreign currency translation for the three and nine months ended September 30, 2021 in other comprehensive income (loss) and accumulated other comprehensive income (loss). See Note 1 to these condensed consolidated financial statements for further information on the reclassification and correction of errors in historical presentation.
The following tables present the tax effects of each component of other comprehensive income (loss) for the three and nine months ended September 30, 2022 and 2021:
Three months ended September 30,
2022 2021
Pre-tax
amount		 Tax benefit/
(expense)		 After-tax amount Pre-tax
amount		 Tax benefit/
(expense)		 After-tax amount
Defined benefit and other postretirement plans:
Amortization of net loss $ 2  $ (1) $ 1  $ 5,041  $ (1,297) $ 3,744 
Amortization of prior service credit (53) 13  (40) (58) 14  (44)
Settlement (loss) gain (1,228) 305  (923) 1,507  (374) 1,133 
Benefit plans, net (1,279) 317  (962) 6,490  (1,657) 4,833 
Net gain from hedging activities 12,188  (3,047) 9,141  613  (153) 460 
Foreign currency translation(1)
(7,207) —  (7,207) (12,391) 4,507  (7,884)
Other comprehensive income $ 3,702  $ (2,730) $ 972  $ (5,288) $ 2,697  $ (2,591)
Nine months ended September 30,
2022 2021
Pre-tax
amount		 Tax benefit/
(expense)		 After-tax amount Pre-tax
amount		 Tax benefit/
(expense)		 After-tax amount
Defined benefit and other postretirement plans:
Amortization of net loss $ 3  $ (1) $ 2  $ 5,044  $ (1,298) $ 3,746 
Amortization of prior service credit (158) 39  (119) (174) 43  (131)
Settlement (loss) gain (1,228) 305  (923) 1,507  (374) 1,133 
Benefit plans, net (1,383) 343  (1,040) 6,377  (1,629) 4,748 
Net gain from hedging activities 36,827  (9,207) 27,620  2,184  (546) 1,638 
Foreign currency translation(1)
(17,506) —  (17,506) (6,536) 6,954  418 
Other comprehensive income $ 17,938  $ (8,864) $ 9,074  $ 2,025  $ 4,779  $ 6,804 
(1)The income tax benefit or expense included in other comprehensive income is attributed to the portion of foreign currency translation associated with the Company’s cross-currency interest rate swaps for the three and nine months ended September 30, 2021, for which the tax effect is based on the applicable U.S. deferred income tax rate. See Note 14 to these condensed consolidated financial statements for information regarding the Company’s cross-currency interest rate swaps, which were settled in March 2021.
The following table presents the changes in accumulated other comprehensive income (loss), net of tax, by component for the nine months ended September 30, 2022 and 2021:
Defined benefit
and other
postretirement
plans 		 Net gain (loss)
from hedging
activities		 Foreign
currency
translation 		 Total 
December 31, 2021 $ 11,072  $ 2,254  $ (19,118) $ (5,792)
Other comprehensive (loss) income before reclassifications (1,157) 27,148  (17,506) 8,485 
Amounts reclassified from accumulated other comprehensive income(1)
117  472  —  589 
September 30, 2022 $ 10,032  $ 29,874  $ (36,624) $ 3,282 
December 31, 2020 $ 5,278  $ (660) $ (19,883) $ (15,265)
Other comprehensive income (loss) before reclassifications 877  1,425  11,474  13,776 
Amounts reclassified from accumulated other comprehensive income(1)
3,871  213  (11,779) (7,695)
September 30, 2021 $ 10,026  $ 978  $ (20,188) $ (9,184)
(1)See the following table for details about these reclassifications. Amounts in parentheses indicate debits.
The following table presents the reclassifications out of accumulated other comprehensive income for the three and nine months ended September 30, 2022 and 2021:
Details about Accumulated Other Comprehensive
Income Components
Amounts Reclassified from Accumulated Other
Comprehensive Income(1)
Affected Line Item where
Income is Presented
Three months ended
September 30,		 Nine months ended
September 30,
2022 2021 2022 2021
Amortization of defined benefit and other postretirement items:
Prior service credit $ (53) $ (58) $ (158) $ (174)
Other income (expense)(2)
Actuarial gains 1  2  3  4 
Other income (expense)(2)
Release of actuarial losses —  (3,717) —  (3,717) Net loss from discontinued operations, net of tax
(52) (3,773) (155) (3,887) Total before tax
12  (11) 38  16  Tax benefit (expense)
$ (40) $ (3,784) $ (117) $ (3,871) Net of tax
Gains and losses on cash flow hedges:
Interest rate caps $ (29) $ (104) $ (627) $ (283) Interest expense
7  26  155  70  Tax benefit
$ (22) $ (78) $ (472) $ (213) Net of tax
Release of foreign currency translation $ —  $ 11,779  $ —  $ 11,779  Net loss from discontinued operations, net of tax
Total reclassifications for the period $ (62) $ 7,917  $ (589) $ 7,695  Net of tax
(1)Amounts in parentheses indicate debits to profit/loss.
(2)These accumulated other comprehensive income (loss) components are components of net periodic pension and other postretirement cost (see Note 16 to these condensed consolidated financial statements for additional details).
Treasury Stock Repurchases
The Company records repurchases of its common stock for treasury at cost. Upon the reissuance of the Company’s common stock from treasury, differences between the proceeds from reissuance and the average cost of the treasury stock are credited or charged to capital in excess of par value to the extent of prior credits related to the reissuance of treasury stock. If no such credits exist, the differences are charged to retained earnings.
2020 Stock Repurchase Program
On March 12, 2020, the Company’s Board of Directors (the “Board”) approved a plan to purchase up to $50,000 of the Company’s common stock under a stock repurchase program approved by the Board. Under the plan, the Company could repurchase shares from time to time for cash in open market transactions or in privately negotiated transactions in accordance with applicable federal securities laws. The Company determined the timing and the amount of any repurchases based on its evaluation of market conditions, share price and other factors. The stock repurchase program expired in March 2022, with no repurchases made in 2022 through the expiration of the program, nor during the three or nine months ended September 30, 2021.
2022 Stock Repurchase Program
On April 27, 2022, the Board approved a stock repurchase program that permits the Company to purchase up to $450,000 of the Company’s common stock over the next four years. Under the plan, the Company can repurchase shares from time to time for cash in open market transactions or in privately negotiated transactions in accordance with applicable federal securities laws. The Company will determine the timing and the amount of any repurchases based on its evaluation of market conditions, share price and other factors.
During the nine months ended September 30, 2022, the Company repurchased 1,970,763 shares of its common stock on the open market at an average price of $9.82 per share, for a total of $19,356. Additionally, in connection with a secondary offering of the Company’s common stock in August 2022, the Company repurchased 6,500,000 shares of its common stock sold in the offering from underwriters at a price of $8.36 per share simultaneous with the closing of the offering, for a total of $54,316.
As of September 30, 2022, $376,328 was available for additional share repurchases under the program. There were no repurchases during September 2022.
Tax Withholdings on Equity Award Vesting
In connection with the vesting of restricted stock awards, restricted stock units and performance stock units, shares of common stock may be delivered to the Company by employees to satisfy withholding tax obligations at the instruction of the employee award holders. These transactions, when they occur, are accounted for as stock repurchases by the Company, with the shares returned to treasury stock at a cost representing the payment by the Company of the tax obligations on behalf of the employees in lieu of shares for the vesting unit. There were no shares delivered to the Company to cover tax payments for the three months ended September 30, 2022 and 2021, and the fair value of the shares withheld to cover tax payments were $332 and $1,470 for the nine months ended September 30, 2022 and 2021, respectively.
Dividends Paid
On August 4, 2021, the Board declared a special cash dividend of $3.20 per share, using after tax cash proceeds from the sale of the Performance Chemicals business. The dividend was paid on August 23, 2021 to the Company’s stockholders of record at the close of business on August 12, 2021. Refer to Note 3 of these condensed consolidated financial statements for additional details on the sale of the Performance Chemicals business.