10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☑	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the quarterly period ended June 30, 2022
	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 1-34370

WASTE CONNECTIONS, INC.

(Exact name of registrant as specified in its charter)

Ontario, Canada

(State or other jurisdiction of incorporation or organization)

98-1202763

(I.R.S. Employer Identification No.)

6220 Hwy 7, Suite 600

Woodbridge

Ontario L4H 4G3

Canada

(Address of principal executive offices)

(905) 532-7510

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Shares, no par value	WCN	New York Stock Exchange (“NYSE”) Toronto Stock Exchange (“TSX”)

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 þ 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 during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes þ 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. (Check one):

þ Large Accelerated
Filer ◻ Accelerated
Filer ◻ Non-accelerated
Filer ☐ Smaller Reporting
Company ☐ 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 þ

Indicate the number of shares outstanding of each of the issuer’s classes of common shares:

As of July 22, 2022: 257,181,326 common shares

WASTE CONNECTIONS, INC.

FORM 10-Q

TABLE OF CONTENTS

		Page
PART I – FINANCIAL INFORMATION (unaudited)
Item 1.	Financial Statements
	Condensed Consolidated Balance Sheets	1
	Condensed Consolidated Statements of Net Income	2
	Condensed Consolidated Statements of Comprehensive Income	3
	Condensed Consolidated Statements of Equity	4
	Condensed Consolidated Statements of Cash Flows	6
	Notes to Condensed Consolidated Financial Statements	7
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	30
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	54
Item 4.	Controls and Procedures	56
PART II – OTHER INFORMATION
Item 1.	Legal Proceedings	57
Item 6.	Exhibits	57
Signatures		58

PART I – FINANCIAL INFORMATION

Item 1. Financial Statements

WASTE CONNECTIONS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(In thousands of U.S. dollars, except share and per share amounts)

	June 30,		December 31,
	2022		2021
ASSETS
Current assets:
Cash and equivalents	$	217,808	$	147,441
Accounts receivable, net of allowance for credit losses of $20,253 and $18,480 at June 30, 2022 and December 31, 2021, respectively		797,877		709,614
Prepaid expenses and other current assets		242,050		175,722
Total current assets		1,257,735		1,032,777
Restricted cash		106,736		72,174
Restricted investments		56,234		59,014
Property and equipment, net		5,858,175		5,721,949
Operating lease right-of-use assets		167,099		160,567
Goodwill		6,457,910		6,187,643
Intangible assets, net		1,400,249		1,350,597
Other assets, net		112,103		115,203
Total assets	$	15,416,241	$	14,699,924
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	496,622	$	392,868
Book overdraft		16,668		16,721
Deferred revenue		305,724		273,720
Accrued liabilities		417,725		442,596
Current portion of operating lease liabilities		35,101		38,017
Current portion of contingent consideration		59,371		62,804
Current portion of long-term debt and notes payable		6,342		6,020
Total current liabilities		1,337,553		1,232,746
Long-term portion of debt and notes payable		5,633,524		5,040,500
Long-term portion of operating lease liabilities		139,191		129,628
Long-term portion of contingent consideration		31,264		31,504
Deferred income taxes		994,766		850,921
Other long-term liabilities		410,281		421,080
Total liabilities		8,546,579		7,706,379
Commitments and contingencies (Note 17)
Equity:
Common shares: 257,166,050 shares issued and 257,100,591 shares outstanding at June 30, 2022; 260,283,158 shares issued and 260,212,496 shares outstanding at December 31, 2021		3,270,242		3,693,027
Additional paid-in capital		210,767		199,482
Accumulated other comprehensive income		41,438		39,584
Treasury shares: 65,459 and 70,662 shares at June 30, 2022 and December 31, 2021, respectively		—		—
Retained earnings		3,342,431		3,056,845
Total Waste Connections’ equity		6,864,878		6,988,938
Noncontrolling interest in subsidiaries		4,784		4,607
Total equity		6,869,662		6,993,545
	$	15,416,241	$	14,699,924

The accompanying notes are an integral part of these condensed consolidated financial statements.

1

WASTE CONNECTIONS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF NET INCOME

(Unaudited)

(In thousands of U.S. dollars, except share and per share amounts)

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Revenues	$	1,816,435	$	1,533,931	$	3,462,690	$	2,929,874
Operating expenses:
Cost of operations		1,087,892		901,191		2,077,410		1,727,111
Selling, general and administrative		168,404		157,943		331,818		299,365
Depreciation		188,937		169,221		368,887		326,624
Amortization of intangibles		37,462		32,707		75,098		64,899
Impairments and other operating items		4,150		6,081		6,028		6,715
Operating income		329,590		266,788		603,449		505,160
Interest expense		(45,079)		(41,328)		(86,404)		(83,753)
Interest income		652		744		790		1,848
Other income (expense), net		(2,649)		(1,235)		(6,114)		2,312
Income before income tax provision		282,514		224,969		511,721		425,567
Income tax provision		(58,307)		(47,868)		(107,146)		(88,159)
Net income		224,207		177,101		404,575		337,408
Less: Net income attributable to noncontrolling interests		(133)		(54)		(177)		(52)
Net income attributable to Waste Connections	$	224,074	$	177,047	$	404,398	$	337,356
Earnings per common share attributable to Waste Connections’ common shareholders:
Basic	$	0.87	$	0.68	$	1.57	$	1.29
Diluted	$	0.87	$	0.68	$	1.57	$	1.29
Shares used in the per share calculations:
Basic		257,179,434		260,951,405		257,555,033		261,791,088
Diluted		257,736,745		261,418,573		258,140,714		262,269,600
Cash dividends per common share	$	0.230	$	0.205	$	0.460	$	0.410

The accompanying notes are an integral part of these condensed consolidated financial statements.

2

WASTE CONNECTIONS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

(In thousands of U.S. dollars)

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net income	$	224,207	$	177,101	$	404,575	$	337,408
Other comprehensive income (loss), before tax:
Interest rate swap amounts reclassified into interest expense		3,646		5,061		8,396		9,857
Changes in fair value of interest rate swaps		2,591		(6,257)		47,290		14,482
Foreign currency translation adjustment		(73,504)		32,973		(39,075)		61,027
Other comprehensive income (loss), before tax		(67,267)		31,777		16,611		85,366
Income tax (expense) benefit related to items of other comprehensive income (loss)		(1,653)		317		(14,757)		(6,450)
Other comprehensive income (loss), net of tax		(68,920)		32,094		1,854		78,916
Comprehensive income		155,287		209,195		406,429		416,324
Less: Comprehensive income attributable to noncontrolling interests		(133)		(54)		(177)		(52)
Comprehensive income attributable to Waste Connections	$	155,154	$	209,141	$	406,252	$	416,272

The accompanying notes are an integral part of these condensed consolidated financial statements.

3

WASTE CONNECTIONS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY

(Unaudited)

(In thousands of U.S. dollars, except share amounts)

	WASTE CONNECTIONS' EQUITY
						ACCUMULATED
				ADDITIONAL		OTHER
	COMMON SHARES			PAID-IN		COMPREHENSIVE		TREASURY SHARES			RETAINED		NONCONTROLLING
	SHARES	AMOUNT		CAPITAL		INCOME		SHARES	AMOUNT		EARNINGS		INTERESTS		TOTAL
Balances at December 31, 2021	260,212,496	$	3,693,027	$	199,482	$	39,584	70,662	$	—	$	3,056,845	$	4,607	$	6,993,545
Sale of common shares held in trust	2,203		305		—		—	(2,203)		—		—		—		305
Vesting of restricted share units	312,706		—		—		—	—		—		—		—		—
Vesting of performance-based restricted share units	57,677		—		—		—	—		—		—		—		—
Restricted share units released from deferred compensation plan	19,149		—		—		—	—		—		—		—		—
Tax withholdings related to net share settlements of equity-based compensation	(143,243)		—		(17,236)		—	—		—		—		—		(17,236)
Equity-based compensation	—		—		14,139		—	—		—		—		—		14,139
Exercise of warrants	11,560		—		—		—	—		—		—		—		—
Issuance of shares under employee share purchase plan	12,015		1,554		—		—	—		—		—		—		1,554
Repurchase of common shares	(3,388,155)		(424,999)		—		—	—		—		—		—		(424,999)
Cash dividends on common shares	—		—		—		—	—		—		(59,391)		—		(59,391)
Amounts reclassified into earnings, net of taxes	—		—		—		3,491	—		—		—		—		3,491
Changes in fair value of cash flow hedges, net of taxes	—		—		—		32,854	—		—		—		—		32,854
Foreign currency translation adjustment	—		—		—		34,429	—		—		—		—		34,429
Net income	—		—		—		—	—		—		180,324		44		180,368
Balances at March 31, 2022	257,096,408		3,269,887		196,385		110,358	68,459		—		3,177,778		4,651		6,759,059
Sale of common shares held in trust	3,000		355		—		—	(3,000)		—		—		—		355
Vesting of restricted share units	522		—		—		—	—		—		—		—		—
Tax withholdings related to net share settlements of equity-based compensation	(145)		—		(30)		—	—		—		—		—		(30)
Equity-based compensation	—		—		14,412		—	—		—		—		—		14,412
Exercise of warrants	806		—		—		—	—		—		—		—		—
Cash dividends on common shares	—		—		—		—	—		—		(59,421)		—		(59,421)
Amounts reclassified into earnings, net of taxes	—		—		—		2,680	—		—		—		—		2,680
Changes in fair value of cash flow hedges, net of taxes	—		—		—		1,904	—		—		—		—		1,904
Foreign currency translation adjustment	—		—		—		(73,504)	—		—		—		—		(73,504)
Net income	—		—		—		—	—		—		224,074		133		224,207
Balances at June 30, 2022	257,100,591	$	3,270,242	$	210,767	$	41,438	65,459	$	—	$	3,342,431	$	4,784	$	6,869,662

The accompanying notes are an integral part of these condensed consolidated financial statements.

4

WASTE CONNECTIONS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY

(Unaudited)

(In thousands of U.S. dollars, except share amounts)

	WASTE CONNECTIONS' EQUITY
						ACCUMULATED
				ADDITIONAL		OTHER
	COMMON SHARES			PAID-IN		COMPREHENSIVE		TREASURY SHARES			RETAINED		NONCONTROLLING
	SHARES	AMOUNT		CAPITAL		INCOME (LOSS)		SHARES	AMOUNT		EARNINGS		INTERESTS		TOTAL
Balances at December 31, 2020	262,824,990	$	4,030,368	$	170,555	$	(651)	74,184	$	—	$	2,659,001	$	4,165	$	6,863,438
Sale of common shares held in trust	1,318		131		—		—	(1,318)		—		—		—		131
Vesting of restricted share units	340,529		—		—		—	—		—		—		—		—
Vesting of performance-based restricted share units	154,251		—		—		—	—		—		—		—		—
Restricted share units released from deferred compensation plan	19,150		—		—		—	—		—		—		—		—
Tax withholdings related to net share settlements of equity-based compensation	(186,039)		—		(18,490)		—	—		—		—		—		(18,490)
Equity-based compensation	—		—		9,573		—	—		—		—		—		9,573
Exercise of warrants	3,490		—		—		—	—		—		—		—		—
Repurchase of common shares	(666,184)		(65,999)		—		—	—		—		—		—		(65,999)
Cash dividends on common shares	—		—		—		—	—		—		(53,909)		—		(53,909)
Amounts reclassified into earnings, net of taxes	—		—		—		3,525	—		—		—		—		3,525
Changes in fair value of cash flow hedges, net of taxes	—		—		—		15,243	—		—		—		—		15,243
Foreign currency translation adjustment	—		—		—		28,054	—		—		—		—		28,054
Net income (loss)	—		—		—		—	—		—		160,309		(2)		160,307
Balances at March 31, 2021	262,491,505		3,964,500		161,638		46,171	72,866		—		2,765,401		4,163		6,941,873
Vesting of restricted share units	647		—		—		—	—		—		—		—		—
Fair value adjustment for common shares in deferred compensation plan exchanged for other investment options	—		—		(1,177)		—	—		—		—		—		(1,177)
Tax withholdings related to net share settlements of equity-based compensation	(176)		—		(20)		—	—		—		—		—		(20)
Equity-based compensation	—		—		11,791		—	—		—		—		—		11,791
Exercise of warrants	21,280		—		—		—	—		—		—		—		—
Repurchase of common shares	(2,079,806)		(239,641)		—		—	—		—		—		—		(239,641)
Cash dividends on common shares	—		—		—		—	—		—		(53,421)		—		(53,421)
Amounts reclassified into earnings, net of taxes	—		—		—		3,720	—		—		—		—		3,720
Changes in fair value of cash flow hedges, net of taxes	—		—		—		(4,599)	—		—		—		—		(4,599)
Foreign currency translation adjustment	—		—		—		32,973	—		—		—		—		32,973
Net income	—		—		—		—	—		—		177,047		54		177,101
Balances at June 30, 2021	260,433,450	$	3,724,859	$	172,232	$	78,265	72,866	$	—	$	2,889,027	$	4,217	$	6,868,600

The accompanying notes are an integral part of these condensed consolidated financial statements.

5

WASTE CONNECTIONS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

(In thousands of U.S. dollars)

	Six Months Ended June 30,
	2022		2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$	404,575	$	337,408
Adjustments to reconcile net income to net cash provided by operating activities:
Loss on disposal of assets and impairments		6,048		6,229
Depreciation		368,887		326,624
Amortization of intangibles		75,098		64,899
Deferred income taxes, net of acquisitions		84,991		3,520
Current period provision for expected credit losses		6,907		4,903
Amortization of debt issuance costs		2,484		2,689
Share-based compensation		27,716		28,724
Interest accretion		8,798		8,199
Payment of contingent consideration recorded in earnings		—		(520)
Adjustments to contingent consideration		(1,030)		89
Other		(2,173)		(1,118)
Net change in operating assets and liabilities, net of acquisitions		(8,623)		66,832
Net cash provided by operating activities		973,678		848,478
CASH FLOWS FROM INVESTING ACTIVITIES:
Payments for acquisitions, net of cash acquired		(546,982)		(67,493)
Capital expenditures for property and equipment		(371,428)		(271,392)
Proceeds from disposal of assets		16,894		7,906
Other		9,566		(1,815)
Net cash used in investing activities		(891,950)		(332,794)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from long-term debt		1,517,732		311,000
Principal payments on notes payable and long-term debt		(920,107)		(267,050)
Payment of contingent consideration recorded at acquisition date		(8,898)		(5,595)
Change in book overdraft		(54)		(190)
Payments for repurchase of common shares		(424,999)		(305,640)
Payments for cash dividends		(118,812)		(107,330)
Tax withholdings related to net share settlements of equity-based compensation		(17,266)		(18,510)
Debt issuance costs		(4,668)		—
Proceeds from issuance of shares under employee share purchase plan		1,554		—
Proceeds from sale of common shares held in trust		660		131
Net cash provided by (used in) financing activities		25,142		(393,184)
Effect of exchange rate changes on cash, cash equivalents and restricted cash		(1,941)		873
Net increase in cash, cash equivalents and restricted cash		104,929		123,373
Cash, cash equivalents and restricted cash at beginning of period		219,615		714,389
Cash, cash equivalents and restricted cash at end of period	$	324,544	$	837,762
Non-cash financing activities:
Liabilities assumed and notes payable issued to sellers of businesses acquired	$	43,693	$	7,527

The accompanying notes are an integral part of these condensed consolidated financial statements.

6

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

1.BASIS OF PRESENTATION AND SUMMARY

The accompanying condensed consolidated financial statements relate to Waste Connections, Inc. and its subsidiaries (the “Company”) for the three and six month periods ended June 30, 2022 and 2021. In the opinion of management, the accompanying balance sheets and related interim statements of net income, comprehensive income, cash flows and equity include all adjustments, consisting only of normal recurring items, necessary for their fair statement in conformity with U.S. generally accepted accounting principles (“GAAP”). Preparing financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. Examples include accounting for landfills, self-insurance accruals, income taxes, allocation of acquisition purchase price, contingent consideration accruals and asset impairments. An additional area that involves estimation is when the Company estimates the amount of potential exposure it may have with respect to litigation, claims and assessments in accordance with the accounting guidance on contingencies. Actual results for all estimates could differ materially from the estimates and assumptions that the Company uses in the preparation of its condensed consolidated financial statements.

Interim results are not necessarily indicative of results for a full year. These interim financial statements should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2021.

2.REPORTING CURRENCY

The functional currency of the Company, as the parent corporate entity, and its operating subsidiaries in the United States, is the U.S. dollar. The functional currency of the Company’s Canadian operations is the Canadian dollar. The reporting currency of the Company is the U.S. dollar. The Company’s consolidated Canadian dollar financial position is translated to U.S. dollars by applying the foreign currency exchange rate in effect at the consolidated balance sheet date. The Company’s consolidated Canadian dollar results of operations and cash flows are translated to U.S. dollars by applying the average foreign currency exchange rate in effect during the reporting period. The resulting translation adjustments are included in other comprehensive income or loss. Gains and losses from foreign currency transactions are included in earnings for the period.

3.NEW ACCOUNTING STANDARDS

Accounting Standards Pending Adoption

Reference Rate Reform – Facilitation of the Effects of Reference Rate Reform on Financial Reporting.  In March 2020, the Financial Accounting Standards Board (“FASB”) issued guidance to provide temporary optional expedients and exceptions to the guidance in GAAP on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (“LIBOR”) and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate (“SOFR”).  One-week and two-month U.S. dollar LIBOR settings as well as all non-U.S. dollar LIBOR settings stopped being published on December 31, 2021, while the remaining U.S. dollar LIBOR settings will be discontinued on June 30, 2023.  Under the new guidance, entities can elect not to apply certain modification accounting requirements to contracts affected by reference rate reform, if certain criteria are met.  An entity that makes this election would not have to remeasure the contracts at the modification date or reassess a previous accounting determination.  Under the guidance, entities can also elect various optional expedients that would allow them to continue applying hedge accounting for hedging relationships affected by reference rate reform, if certain criteria are met.

The guidance was effective upon issuance.  The guidance on contract modifications was applied prospectively from March 12, 2020.  The guidance on hedging is applied to eligible hedging relationships existing as of the beginning of the

7

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

interim period that includes the effective date and to new eligible hedging relationships entered into after the beginning of that interim period.  The relief is temporary and generally cannot be applied to contract modifications that occur after December 31, 2022 or hedging relationships entered into or evaluated after that date.  However, certain optional expedients can be applied to hedging relationships evaluated in periods after December 31, 2022.  The Company is currently assessing the potential impact of implementing this new guidance on its consolidated financial statements.  The Company had a combined $1,373,500 of U.S. LIBOR based loans as of June 30, 2022. The Company estimates that if the reference rate for these loans had transitioned from LIBOR to SOFR as of June 30, 2022, the impact to annual interest expense would have been immaterial.  This relief is expected to permit the Company to maintain cash flow ‎hedge accounting as described in Note 11.

4.REVENUE

The Company’s operations primarily consist of providing non-hazardous waste collection, transfer, disposal and recycling services, non-hazardous oil and natural gas exploration and production (“E&P”) waste treatment, recovery and disposal services and intermodal services. The following table disaggregates the Company’s revenues by service line for the periods indicated:

		Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Commercial	$	538,525	$	444,044	$	1,038,201	$	870,439
Residential		463,320		416,975		903,608		817,794
Industrial and construction roll off		295,557		237,300		555,045		446,558
Total collection		1,297,402		1,098,319		2,496,854		2,134,791
Landfill		339,719		327,124		639,484		599,060
Transfer		261,475		217,133		479,432		406,456
Recycling		67,504		41,539		130,598		73,987
E&P		54,155		34,607		97,711		62,618
Intermodal and other		46,310		38,590		92,002		74,225
Intercompany		(250,130)		(223,381)		(473,391)		(421,263)
Total	$	1,816,435	$	1,533,931	$	3,462,690	$	2,929,874

The factors that impact the timing and amount of revenue recognized for each service line may vary based on the nature of the service performed. Generally, the Company recognizes revenue at the time it performs a service. In the event that the Company bills for services in advance of performance, it recognizes deferred revenue for the amount billed and subsequently recognizes revenue at the time the service is provided.  Substantially all of the deferred revenue recorded as of March 31, 2022 was recognized as revenue during the three months ended June 30, 2022 when the service was performed.

See Note 10 for additional information regarding revenue by reportable segment.

Contract Acquisition Costs

The incremental direct costs of obtaining a contract, which consist of sales incentives, are recognized as Other assets in the Company’s Condensed Consolidated Balance Sheet, and are amortized to Selling, general and administrative expense over the estimated life of the relevant customer relationship, which ranges from one to five years. The Company recognizes the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset

8

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

that the entity would have recognized is one year or less.  The Company had $19,627 and $18,954 of deferred sales incentives at June 30, 2022 and December 31, 2021, respectively.

5.ACCOUNTS RECEIVABLE

Accounts receivable are recorded when billed or accrued and represent claims against third parties that will be settled in cash. The carrying value of the Company’s receivables, net of the allowance for credit losses, represents their estimated net realizable value.

The allowance for credit losses is based on management’s assessment of the collectability of assets pooled together with similar risk characteristics.  The Company monitors the collectability of its trade receivables as one overall pool due to all trade receivables having similar risk characteristics.  The Company estimates its allowance for credit losses based on historical collection trends, the age of outstanding receivables, geographical location of the customer, existing economic conditions and reasonable forecasts. If events or changes in circumstances indicate that specific receivable balances may be impaired, further consideration is given to the collectability of those balances and the allowance is adjusted accordingly. Past-due receivable balances are written off when the Company’s internal collection efforts have been unsuccessful in collecting the amount due.

The following is a rollforward of the Company’s allowance for credit losses for the periods indicated:

	Six Months Ended June 30,
	2022		2021
Beginning balance	$	18,480	$	19,380
Current period provision for expected credit losses		6,907		4,903
Write-offs charged against the allowance		(7,522)		(7,152)
Recoveries collected		2,412		2,346
Impact of changes in foreign currency		(24)		50
Ending balance	$	20,253	$	19,527

6.LANDFILL ACCOUNTING

At June 30, 2022, the Company’s landfills consisted of 84 owned landfills, five landfills operated under life-of-site operating agreements and five landfills operated under limited-term operating agreements. The Company’s landfills had site costs with a net book value of $2,674,947 at June 30, 2022. For the Company’s landfills operated under limited-term operating agreements and life-of-site operating agreements, the owner of the property (generally a municipality) usually owns the permit and the Company operates the landfill for a contracted term. Where the contracted term is not the life of the landfill, the property owner is generally responsible for final capping, closure and post-closure obligations. The Company is responsible for all final capping, closure and post-closure liabilities at the landfills it operates under life-of-site operating agreements.

The Company’s internal and third-party engineers perform surveys at least annually to estimate the remaining disposal capacity at its landfills. Many of the Company’s existing landfills have the potential for expanded disposal capacity beyond the amount currently permitted. The Company’s landfill depletion rates are based on the remaining disposal capacity, considering both permitted and probable expansion airspace, at the landfills it owns and landfills it operates, but does not own, under life-of-site agreements. The Company’s landfill depletion rate is based on the term of the operating agreement at its operated landfill that has capitalized expenditures. Expansion airspace consists of additional disposal capacity being

9

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

pursued through means of an expansion that has not yet been permitted. Expansion airspace that meets certain criteria is included in the estimate of total landfill airspace.

Based on remaining permitted capacity as of June 30, 2022, and projected annual disposal volumes, the average remaining landfill life for the Company’s owned landfills and landfills operated under life-of-site operating agreements is estimated to be approximately 28 years. As of June 30, 2022, the Company is seeking to expand permitted capacity at nine of its owned landfills and three landfills that it operates under life-of-site operating agreements, and considers the achievement of these expansions to be probable. Although the Company cannot be certain that all future expansions will be permitted as designed, the average remaining life, when considering remaining permitted capacity, probable expansion capacity and projected annual disposal volume, of the Company’s owned landfills and landfills operated under life-of-site operating agreements is approximately 32 years.  The estimated remaining lives of the Company’s owned landfills and landfills operated under life-of-site operating agreements range from 1 to 330 years, with approximately 90% of the projected annual disposal volume from landfills with remaining lives of less than 70 years.

During the six months ended June 30, 2022 and 2021, the Company expensed $113,091 and $102,702, respectively, or an average of $4.83 and $4.54 per ton consumed, respectively, related to landfill depletion at owned landfills and landfills operated under life-of-site agreements.

The Company reserves for estimated final capping, closure and post-closure maintenance obligations at the landfills it owns and landfills it operates under life-of-site operating agreements. The Company calculates the net present value of its final capping, closure and post-closure liabilities by estimating the total obligation in current dollars, inflating the obligation based upon the expected date of the expenditure and discounting the inflated total to its present value using a credit-adjusted risk-free rate. Any changes in expectations that result in an upward revision to the estimated undiscounted cash flows are treated as a new liability and are inflated and discounted at rates reflecting market conditions. Any changes in expectations that result in a downward revision (or no revision) to the estimated undiscounted cash flows result in a liability that is inflated and discounted at rates reflecting the market conditions at the time the cash flows were originally estimated. This policy results in the Company’s final capping, closure and post-closure liabilities being recorded in “layers.”  The Company’s discount rate assumption for purposes of computing 2022 and 2021 “layers” for final capping, closure and post-closure obligations was 3.25% for both years, which reflects the Company’s long-term credit adjusted risk free rate as of the end of 2021 and 2020. The Company’s long-term inflation rate assumption is 2.25% for the years ending December 31, 2022 and 2021. The resulting final capping, closure and post-closure obligations are recorded on the Condensed Consolidated Balance Sheet along with an offsetting addition to site costs which is amortized to depletion expense as the remaining landfill airspace is consumed. Interest is accreted on the recorded liability using the corresponding discount rate. During the six months ended June 30, 2022 and 2021, the Company expensed $7,992 and $7,285, respectively, or an average of $0.34 and $0.32 per ton consumed, respectively, related to final capping, closure and post-closure accretion expense.

10

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

The following is a reconciliation of the Company’s final capping, closure and post-closure liability balance from December 31, 2021 to June 30, 2022:

Final capping, closure and post-closure liability at December 31, 2021	$	302,537
Liability adjustments		30,238
Accretion expense associated with landfill obligations		7,992
Closure payments		(5,239)
Assumption of closure liabilities from acquisitions		630
Disposition of closure liabilities from divested operations		(916)
Foreign currency translation adjustment		(509)
Final capping, closure and post-closure liability at June 30, 2022	$	334,733

Liability adjustments of $30,238 for the six months ended June 30, 2022, represent non-cash changes to final capping, closure and post-closure liabilities and are recorded on the Condensed Consolidated Balance Sheets along with an offsetting addition to site costs, which is amortized to depletion expense as the remaining landfill airspace is consumed. The final capping, closure and post-closure liability is included in Other long-term liabilities in the Condensed Consolidated Balance Sheets.  The Company performs its annual review of its cost and capacity estimates in the first quarter of each year.

At June 30, 2022 and December 31, 2021, $10,935 and $12,609, respectively, of the Company’s restricted cash balance and $53,568 and $56,289, respectively, of the Company’s restricted investments balance was for purposes of securing its performance of future final capping, closure and post-closure obligations.

7.ACQUISITIONS

The Company acquired eight individually immaterial non-hazardous solid waste collection, transfer and recycling businesses during the six months ended June 30, 2022.  The total acquisition-related costs incurred during the six months ended June 30, 2022 for these acquisitions were $8,232. These expenses are included in Selling, general and administrative expenses in the Company’s Condensed Consolidated Statements of Net Income.

The Company acquired five individually immaterial non-hazardous solid waste collection businesses during the six months ended June 30, 2021.  The total acquisition-related costs incurred during the six months ended June 30, 2021 for this acquisition were $583. These expenses are included in Selling, general and administrative expenses in the Company’s Condensed Consolidated Statements of Net Income.

The results of operations of the acquired businesses have been included in the Company’s Condensed Consolidated Financial Statements from their respective acquisition dates. The Company expects these acquired businesses to contribute

11

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

towards the achievement of the Company’s strategy to expand through acquisitions. Goodwill acquired is attributable to the synergies and ancillary growth opportunities expected to arise after the Company’s acquisition of these businesses.

	2022		2021
	Acquisitions		Acquisitions
Fair value of consideration transferred:
Cash	$	546,982	$	67,493
Debt assumed		—		532
		546,982		68,025
Recognized amounts of identifiable assets acquired and liabilities assumed associated with businesses acquired:
Accounts receivable		14,656		1,682
Prepaid expenses and other current assets		3,444		101
Operating lease right-of-use assets		2,852		1,499
Property and equipment		139,121		13,140
Long-term franchise agreements and contracts		17,482		615
Customer lists		53,099		8,193
Permits and other intangibles		62,406		—
Accounts payable and accrued liabilities		(21,347)		(464)
Current portion of operating lease liabilities		(947)		(658)
Deferred revenue		(4,877)		(1,620)
Contingent consideration		(5,543)		(1,512)
Long-term portion of operating lease liabilities		(1,905)		(841)
Other long-term liabilities		—		(1,900)
Deferred income taxes		(9,074)		—
Total identifiable net assets		249,367		18,235
Goodwill	$	297,615	$	49,790

Goodwill acquired during the six months ended June 30, 2022 and 2021, totaling $156,645 and $47,804, respectively, is expected to be deductible for tax purposes.

The fair value of acquired working capital related to eight individually immaterial acquisitions completed during the twelve months ended June 30, 2022, is provisional pending receipt of information from the acquirees to support the fair value of the assets acquired and liabilities assumed. Any adjustments recorded relating to finalizing the working capital for these eight acquisitions are not expected to be material to the Company’s financial position.

The gross amount of trade receivables due under contracts acquired during the six months ended June 30, 2022, was $17,436, of which $2,780 was expected to be uncollectible. The gross amount of trade receivables due under contracts acquired during the six months ended June 30, 2021, was $1,808, of which $126 was expected to be uncollectible. The Company did not acquire any other class of receivable as a result of the acquisition of these businesses.

12

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

8.INTANGIBLE ASSETS, NET

Intangible assets, exclusive of goodwill, consisted of the following at June 30, 2022:

	Gross				Accumulated		Net
	Carrying		Accumulated		Impairment		Carrying
	Amount		Amortization		Loss		Amount
Finite-lived intangible assets:
Long-term franchise agreements and contracts	$	714,419	$	(282,201)	$	—	$	432,218
Customer lists		761,543		(489,588)		—		271,955
Permits and other		599,799		(104,407)		—		495,392
		2,075,761		(876,196)		—		1,199,565
Indefinite-lived intangible assets:
Solid waste collection and transportation permits		181,613		—		—		181,613
E&P facility permits		59,855		—		(40,784)		19,071
		241,468		—		(40,784)		200,684
Intangible assets, exclusive of goodwill	$	2,317,229	$	(876,196)	$	(40,784)	$	1,400,249

The weighted-average amortization period of long-term franchise agreements and contracts acquired during the six months ended June 30, 2022 was 15.8 years. The weighted-average amortization period of customer lists acquired during the six months ended June 30, 2022 was 11.2 years.  The weighted-average amortization period of finite-lived permits and other acquired during the six months ended June 30, 2022 was 40.0 years.

Intangible assets, exclusive of goodwill, consisted of the following at December 31, 2021:

	Gross				Accumulated		Net
	Carrying		Accumulated		Impairment		Carrying
	Amount		Amortization		Loss		Amount
Finite-lived intangible assets:
Long-term franchise agreements and contracts	$	724,128	$	(278,827)	$	—	$	445,301
Customer lists		711,047		(450,109)		—		260,938
Permits and other		538,481		(94,807)		—		443,674
		1,973,656		(823,743)		—		1,149,913
Indefinite-lived intangible assets:
Solid waste collection and transportation permits		181,613		—		—		181,613
E&P facility permits		59,855		—		(40,784)		19,071
		241,468		—		(40,784)		200,684
Intangible assets, exclusive of goodwill	$	2,215,124	$	(823,743)	$	(40,784)	$	1,350,597

Estimated future amortization expense for the next five years relating to finite-lived intangible assets is as follows:

For the year ending December 31, 2022	$	150,085
For the year ending December 31, 2023	$	131,761
For the year ending December 31, 2024	$	114,631
For the year ending December 31, 2025	$	98,355
For the year ending December 31, 2026	$	83,219

13

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

9.LONG-TERM DEBT

The following table presents the Company’s long-term debt as of June 30, 2022 and December 31, 2021:

	June 30,		December 31,
	2022		2021
Revolver under Credit Agreement, bearing interest ranging from 2.67% to 3.70% (a)	$	901,980	$	803,944
Term loan under Credit Agreement, bearing interest at 2.67% (a)		650,000		650,000
4.25% Senior Notes due 2028		500,000		500,000
3.50% Senior Notes due 2029		500,000		500,000
2.60% Senior Notes due 2030		600,000		600,000
2.20% Senior Notes due 2032		650,000		650,000
3.20% Senior Notes due 2032		500,000		—
3.05% Senior Notes due 2050		500,000		500,000
2.95% Senior Notes due 2052		850,000		850,000
Notes payable to sellers and other third parties, bearing interest ranging from 2.42% to 10.35%, principal and interest payments due periodically with due dates ranging from 2028 to 2036 (a)		35,531		37,508
Finance leases, bearing interest ranging from 1.89% to 2.16%, with lease expiration dates ranging from 2026 to 2027 (a)		10,770		10,519
		5,698,281		5,101,971
Less – current portion		(6,342)		(6,020)
Less – unamortized debt discount and issuance costs		(58,415)		(55,451)
	$	5,633,524	$	5,040,500

____________________

(a) Interest rates represent the interest rates in effect at June 30, 2022.

Credit Agreement

Details of the Credit Agreement are as follows:

	June 30,			December 31,
	2022			2021
Revolver under Credit Agreement
Available	$	904,706		$	933,775
Letters of credit outstanding	$	43,314		$	112,281
Total amount drawn, as follows:	$	901,980		$	803,944
Amount drawn - U.S. LIBOR rate loan	$	723,500		$	631,000
Interest rate applicable - U.S. LIBOR rate loan		2.67	%		1.10	%
Amount drawn - U.S. base rate loan	$	—		$	158,000
Interest rate applicable - U.S. base rate loan		—	%		3.25	%
Amount drawn - U.S. swingline loan	$	—		$	11,000
Interest rate applicable - U.S. swingline loan		—	%		3.25	%
Amount drawn – Canadian prime rate loan	$	3,880		$	—
Interest rate applicable - Canadian prime rate loan		3.70	%		—	%
Amount drawn – Canadian bankers’ acceptance	$	174,600		$	3,944
Interest rate applicable – Canadian bankers’ acceptance		3.23	%		1.45	%
Commitment – rate applicable		0.09	%		0.09	%
Term loan under Credit Agreement
Amount drawn – U.S. based LIBOR loan	$	650,000		$	650,000
Interest rate applicable – U.S. based LIBOR loan		2.67	%		1.10	%

14

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

In addition to the $43,314 of letters of credit at June 30, 2022 issued and outstanding under the Credit Agreement, the Company has issued and outstanding letters of credit totaling $84,617 under a facility other than the Credit Agreement.

Senior Notes

On March 9, 2022, the Company completed an underwritten public offering of $500,000 aggregate principal amount of 3.20% Senior Notes due 2032 (the “New 2032 Senior Notes”). The Company issued the New 2032 Senior Notes under the Indenture, dated as of November 16, 2018 (the “Base Indenture”), by and between the Company and U.S. Bank Trust Company, National Association, as successor in interest to U.S. Bank National Association, as trustee (the “Trustee”), as supplemented by the Sixth Supplemental Indenture, dated as of March 9, 2022 (the “Supplemental Indenture” and the Base Indenture as so supplemented, the “Indenture”).

The Company will pay interest on the New 2032 Senior Notes semi-annually in arrears. The New 2032 Senior Notes will mature on June 1, 2032. The New 2032 Senior Notes are the Company’s senior unsecured obligations, ranking equally in right of payment with its other existing and future unsubordinated debt and senior to any of its future subordinated debt. The New 2032 Senior Notes are not guaranteed by any of the Company’s subsidiaries.

The Company may, prior to March 1, 2032 (three months before the maturity date) (the “Par Call Date”), redeem some or all of the New 2032 Senior Notes, at any time and from time to time, at a redemption price equal to the greater of 100% of the principal amount of the New 2032 Senior Notes redeemed, or the sum of the present values of the remaining scheduled payments of principal and interest on the New 2032 Senior Notes redeemed discounted to the redemption date (assuming the New 2032 Senior Notes matured on the Par Call Date), plus, in either case, accrued and unpaid interest thereon to the redemption date. Commencing on March 1, 2032 (three months before the maturity date), the Company may redeem some or all of the New 2032 Senior Notes, at any time and from time to time, at a redemption price equal to the principal amount of the New 2032 Senior Notes being redeemed plus accrued and unpaid interest thereon to the redemption date.

Under certain circumstances, the Company may become obligated to pay additional amounts (the “Additional Amounts”) with respect to the New 2032 Senior Notes to ensure that the net amounts received by each holder of the New 2032 Senior Notes will not be less than the amount such holder would have received if withholding taxes or deductions were not incurred on a payment under or with respect to the New 2032 Senior Notes. If such payment of Additional Amounts are a result of a change in the laws or regulations, including a change in any official position, the introduction of an official position or a holding by a court of competent jurisdiction, of any jurisdiction from or through which payment is made by or on behalf of the New 2032 Senior Notes having power to tax, and the Company cannot avoid such payments of Additional Amounts through reasonable measures, then the Company may redeem the New 2032 Senior Notes then outstanding at a redemption price equal to 100% of the principal amount thereof, plus accrued and unpaid interest, if any, to, but excluding, the redemption date (subject to the right of holders of record on the relevant record date to receive interest due on an interest payment date that is on or prior to the redemption date).

If the Company experiences certain kinds of changes of control, each holder of the New 2032 Senior Notes may require the Company to repurchase all or a portion of the New 2032 Senior Notes for cash at a price equal to 101% of the aggregate principal amount of such New 2032 Senior Notes, plus any accrued and unpaid interest, if any, to, but excluding the purchase date.

The covenants in the Indenture include limitations on liens, sale-leaseback transactions and mergers and sales of all or substantially all of the Company’s assets. The Indenture also includes customary events of default with respect to the New 2032 Senior Notes. As of June 30, 2022, the Company was in compliance with all applicable covenants in the Indenture.

15

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

Upon an event of default, the principal of and accrued and unpaid interest on all the New 2032 Senior Notes may be declared to be due and payable by the Trustee or the holders of not less than 25% in principal amount of the outstanding New 2032 Senior Notes. Upon such a declaration, such principal and accrued interest on all of the New 2032 Senior Notes will be due and payable immediately. In the case of an event of default resulting from certain events of bankruptcy, insolvency or reorganization, the principal (or such specified amount) of and accrued and unpaid interest, if any, on all outstanding New 2032 Senior Notes will become and be immediately due and payable without any declaration or other act on the part of the Trustee or any holder of the New 2032 Senior Notes. Under certain circumstances, the holders of a majority in principal amount of the outstanding New 2032 Senior Notes may rescind any such acceleration with respect to the New 2032 Senior Notes and its consequences.

10.SEGMENT REPORTING

The Company’s revenues are generated from the collection, transfer, recycling and disposal of non-hazardous solid waste and the treatment, recovery and disposal of non-hazardous E&P waste. No single contract or customer accounted for more than 10% of the Company’s total revenues at the consolidated or reportable segment level during the periods presented.

The Company manages its operations through the following five geographic solid waste operating segments: Eastern, Southern, Western, Central and Canada.  The Company’s five geographic solid waste operating segments comprise its reportable segments.  Each operating segment is responsible for managing several vertically integrated operations, which are comprised of districts.  

The Company’s Chief Operating Decision Maker evaluates operating segment profitability and determines resource allocations based on several factors, of which the primary financial measure is segment EBITDA. The Company defines segment EBITDA as earnings before interest, taxes, depreciation, amortization, impairments and other operating items, and other income (expense). Segment EBITDA is not a measure of operating income, operating performance or liquidity under GAAP and may not be comparable to similarly titled measures reported by other companies. The Company’s management uses segment EBITDA in the evaluation of segment operating performance as it is a profit measure that is generally within the control of the operating segments. A reconciliation of segment EBITDA to Income before income tax provision is included at the end of this Note 10.

Summarized financial information concerning the Company’s reportable segments for the three and six months ended June 30, 2022 and 2021, is shown in the following tables:

Three Months Ended			Intercompany		Reported		Segment
June 30, 2022	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	569,170	$	(90,431)	$	478,739	$	126,042
Southern		464,678		(48,214)		416,464		124,507
Western		404,513		(43,590)		360,923		110,602
Central		348,930		(39,003)		309,927		109,023
Canada		279,274		(28,892)		250,382		92,648
Corporate(a)		—		—		—		(2,683)
	$	2,066,565	$	(250,130)	$	1,816,435	$	560,139

16

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

Three Months Ended			Intercompany		Reported		Segment
June 30, 2021	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	440,799	$	(71,182)	$	369,617	$	99,382
Southern		413,194		(49,858)		363,336		98,928
Western		351,816		(38,027)		313,789		99,402
Central		303,905		(37,060)		266,845		94,886
Canada		247,598		(27,254)		220,344		88,641
Corporate(a)		—		—		—		(6,442)
	$	1,757,312	$	(223,381)	$	1,533,931	$	474,797

Six Months Ended			Intercompany		Reported		Segment
June 30, 2022	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	1,068,425	$	(168,090)	$	900,335	$	233,830
Southern		896,026		(92,498)		803,528		233,117
Western		794,141		(86,508)		707,633		215,349
Central		658,000		(71,896)		586,104		201,059
Canada		519,489		(54,399)		465,090		177,492
Corporate(a), (d)		—		—		—		(7,385)
	$	3,936,081	$	(473,391)	$	3,462,690	$	1,053,462

Six Months Ended			Intercompany		Reported		Segment
June 30, 2021	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	839,629	$	(133,550)	$	706,079	$	188,503
Southern		795,881		(94,384)		701,497		192,352
Western		684,636		(73,843)		610,793		193,228
Central		571,607		(69,376)		502,231		173,926
Canada		459,384		(50,110)		409,274		162,581
Corporate(a), (d)		—		—		—		(7,192)
	$	3,351,137	$	(421,263)	$	2,929,874	$	903,398

____________________

(a) The majority of Corporate expenses are allocated to the five operating segments.  Direct acquisition expenses, expenses associated with common shares held in the deferred compensation plan exchanged for other investment options and share-based compensation expenses associated with Progressive Waste share-based grants outstanding at June 1, 2016 that were continued by the Company are not allocated to the five operating segments and comprise the net EBITDA of the Company’s Corporate segment for the periods presented.

(b) Intercompany revenues reflect each segment’s total intercompany sales, including intercompany sales within a segment and between segments. Transactions within and between segments are generally made on a basis intended to reflect the market value of the service.

(c) For those items included in the determination of segment EBITDA, the accounting policies of the segments are the same as those described in the Company’s most recent Annual Report on Form 10-K.

17

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

Total assets for each of the Company’s reportable segments at June 30, 2022 and December 31, 2021, were as follows:

	June 30,		December 31,
	2022		2021
Eastern	$	3,929,648	$	3,652,311
Southern		3,493,347		3,513,355
Western		2,286,086		2,260,222
Central		2,365,545		2,332,564
Canada		2,729,406		2,513,608
Corporate		612,209		427,864
Total Assets	$	15,416,241	$	14,699,924

The following tables show changes in goodwill during the six months ended June 30, 2022 and 2021, by reportable segment:

	Eastern		Southern		Western		Central		Canada		Total
Balance as of December 31, 2021	$	1,607,723	$	1,588,467	$	539,732	$	892,209	$	1,559,512	$	6,187,643
Goodwill acquired		121,978		—		—		5,976		166,491		294,445
Goodwill acquisition adjustments		—		172		2,998		—		—		3,170
Goodwill divested		—		—		—		—		—		—
Impact of changes in foreign currency		—		—		—		—		(27,348)		(27,348)
Balance as of June 30, 2022	$	1,729,701	$	1,588,639	$	542,730	$	898,185	$	1,698,655	$	6,457,910

	Eastern		Southern		Western		Central		Canada		Total
Balance as of December 31, 2020	$	1,374,577	$	1,532,215	$	442,862	$	824,204	$	1,552,792	$	5,726,650
Goodwill acquired		1,647		—		2,305		45,843		—		49,795
Goodwill acquisition adjustments		—		(3)		—		—		(2)		(5)
Impact of changes in foreign currency		—		—		—		—		42,309		42,309
Balance as of June 30, 2021	$	1,376,224	$	1,532,212	$	445,167	$	870,047	$	1,595,099	$	5,818,749

A reconciliation of the Company’s primary measure of segment profitability (segment EBITDA) to Income before income tax provision in the Condensed Consolidated Statements of Net Income is as follows:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Eastern segment EBITDA	$	126,042	$	99,382	$	233,830	$	188,503
Southern segment EBITDA		124,507		98,928		233,117		192,352
Western segment EBITDA		110,602		99,402		215,349		193,228
Central segment EBITDA		109,023		94,886		201,059		173,926
Canada segment EBITDA		92,648		88,641		177,492		162,581
Subtotal reportable segments		562,822		481,239		1,060,847		910,590
Unallocated corporate overhead		(2,683)		(6,442)		(7,385)		(7,192)
Depreciation		(188,937)		(169,221)		(368,887)		(326,624)
Amortization of intangibles		(37,462)		(32,707)		(75,098)		(64,899)
Impairments and other operating items		(4,150)		(6,081)		(6,028)		(6,715)
Interest expense		(45,079)		(41,328)		(86,404)		(83,753)
Interest income		652		744		790		1,848
Other income (expense), net		(2,649)		(1,235)		(6,114)		2,312
Income before income tax provision	$	282,514	$	224,969	$	511,721	$	425,567

18

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

11.DERIVATIVE FINANCIAL INSTRUMENTS

The Company recognizes all derivatives on the Condensed Consolidated Balance Sheets at fair value. All of the Company’s derivatives have been designated as cash flow hedges; therefore, the gain or loss on the derivatives will be recognized in accumulated other comprehensive income (loss) (“AOCIL”) and reclassified into earnings in the same period during which the hedged transaction affects earnings and is presented in the same income statement line item as the earnings effect of the hedged item.  The Company classifies cash inflows and outflows from derivatives within operating activities on the Condensed Consolidated Statements of Cash Flows.

One of the Company’s objectives for utilizing derivative instruments is to reduce its exposure to fluctuations in cash flows due to changes in the variable interest rates of certain borrowings under the Credit Agreement. The Company’s strategy to achieve that objective involves entering into interest rate swaps. The interest rate swaps outstanding at June 30, 2022 were specifically designated to the Credit Agreement and accounted for as cash flow hedges.

At June 30, 2022, the Company’s derivative instruments included six interest rate swap agreements as follows:

			Fixed		Variable
	Notional		Interest		Interest Rate
Date Entered	Amount		Rate Paid*		Received	Effective Date	Expiration Date
August 2017	$	100,000	1.900	%	1-month LIBOR	July 2019	July 2022
August 2017	$	200,000	2.200	%	1-month LIBOR	October 2020	October 2025
August 2017	$	150,000	1.950	%	1-month LIBOR	February 2020	February 2023
June 2018	$	200,000	2.925	%	1-month LIBOR	October 2020	October 2025
June 2018	$	200,000	2.925	%	1-month LIBOR	October 2020	October 2025
December 2018	$	200,000	2.850	%	1-month LIBOR	July 2022	July 2027

____________________

* Plus applicable margin.

The fair values of derivative instruments designated as cash flow hedges as of June 30, 2022, were as follows:

Derivatives Designated as Cash	Asset Derivatives			Liability Derivatives
Flow Hedges	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Interest rate swaps	Prepaid expenses and other current assets(a)	$	2,548	Accrued liabilities(a)	$	(1,108)
	Other assets, net		3,165
Total derivatives designated as cash flow hedges		$	5,713		$	(1,108)

____________________

(a)Represents the estimated amount of the existing unrealized gains and losses on interest rate swaps as of June 30, 2022 (based on the interest rate yield curve at that date), included in AOCIL expected to be reclassified into pre-tax earnings within the next 12 months. The actual amounts reclassified into earnings are dependent on future movements in interest rates.

The fair values of derivative instruments designated as cash flow hedges as of December 31, 2021, were as follows:

Derivatives Designated as Cash	Asset Derivatives			Liability Derivatives
Flow Hedges	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Interest rate swaps	Prepaid expenses and other current assets	$	—	Accrued liabilities	$	(18,675)
				Other long-term liabilities		(32,406)
Total derivatives designated as cash flow hedges		$	—		$	(51,081)

19

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

The following table summarizes the impact of the Company’s cash flow hedges on the results of operations, comprehensive income (loss) and AOCIL for the three and six months ended June 30, 2022 and 2021:

Derivatives					Statement of	Amount of (Gain) or Loss Reclassified
Designated as Cash	Amount of Gain or (Loss) Recognized				Net Income	from AOCIL into Earnings,
Flow Hedges	as AOCIL on Derivatives, Net of Tax (a)				Classification	Net of Tax (b)
	Three Months Ended					Three Months Ended
	June 30,					June 30,
	2022		2021			2022		2021
Interest rate swaps	$	1,904	$	(4,599)	Interest expense	$	2,680	$	3,720

Derivatives					Statement of	Amount of (Gain) or Loss Reclassified
Designated as Cash	Amount of Gain or (Loss) Recognized				Net Income	from AOCIL into Earnings,
Flow Hedges	as AOCIL on Derivatives, Net of Tax (a)				Classification	Net of Tax (b)
	Six Months Ended					Six Months Ended
	June 30,					June 30,
	2022		2021			2022		2021
Interest rate swaps	$	34,758	$	10,644	Interest expense	$	6,171	$	7,245

____________________

(a)In accordance with the derivatives and hedging guidance, the changes in fair values of interest rate swaps have been recorded in equity as a component of AOCIL. As the critical terms of the interest rate swaps match the underlying debt being hedged, all unrealized changes in fair value are recorded in AOCIL.

(b)Amounts reclassified from AOCIL into earnings related to realized gains and losses on interest rate swaps are recognized when interest payments or receipts occur related to the swap contracts, which correspond to when interest payments are made on the Company’s hedged debt.

See Note 15 for further discussion on the impact of the Company’s hedge accounting to its consolidated comprehensive income (loss) and AOCIL.  

12.FAIR VALUE OF FINANCIAL INSTRUMENTS

The Company’s financial instruments consist primarily of cash and equivalents, trade receivables, restricted cash and investments, trade payables, debt instruments, contingent consideration obligations and interest rate swaps. As of June 30, 2022 and December 31, 2021, the carrying values of cash and equivalents, trade receivables, restricted cash and investments, trade payables and contingent consideration are considered to be representative of their respective fair values. The carrying values of the Company’s debt instruments, excluding certain notes as listed in the table below, approximate their fair values as of June 30, 2022 and December 31, 2021, based on current borrowing rates, current remaining average life to maturity and borrower credit quality for similar types of borrowing arrangements, and are classified as Level 2 within the fair value hierarchy. The carrying values and fair values of the Company’s debt instruments where the carrying values do not approximate their fair values as of June 30, 2022 and December 31, 2021, are as follows:

	Carrying Value at				Fair Value (a) at
	June 30,		December 31,		June 30,		December 31,
	2022		2021		2022		2021
4.25% Senior Notes due 2028	$	500,000	$	500,000	$	505,500	$	561,350
3.50% Senior Notes due 2029	$	500,000	$	500,000	$	470,200	$	539,500
2.60% Senior Notes due 2030	$	600,000	$	600,000	$	524,820	$	610,440
2.20% Senior Notes due 2032	$	650,000	$	650,000	$	532,675	$	637,065
3.20% Senior Notes due 2032	$	500,000	$	—	$	444,200	$	—
3.05% Senior Notes due 2050	$	500,000	$	500,000	$	366,200	$	496,350
2.95% Senior Notes due 2052	$	850,000	$	850,000	$	608,855	$	828,580

____________________

*Senior Notes are classified as Level 2 within the fair value hierarchy. Fair value inputs include third-party calculations of the market interest rate of notes with similar ratings in similar industries over the remaining note terms.

20

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

For details on the fair value of the Company’s interest rate swaps, restricted cash and investments and contingent consideration, refer to Note 14.

13.NET INCOME PER SHARE INFORMATION

The following table sets forth the calculation of the numerator and denominator used in the computation of basic and diluted net income per common share attributable to the Company’s shareholders for the three and six months ended June 30, 2022 and 2021:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Numerator:
Net income attributable to Waste Connections for basic and diluted earnings per share	$	224,074	$	177,047	$	404,398	$	337,356
Denominator:
Basic shares outstanding		257,179,434		260,951,405		257,555,033		261,791,088
Dilutive effect of equity-based awards		557,311		467,168		585,681		478,512
Diluted shares outstanding		257,736,745		261,418,573		258,140,714		262,269,600

14.FAIR VALUE MEASUREMENTS

The Company uses a three-tier fair value hierarchy to classify and disclose all assets and liabilities measured at fair value on a recurring basis in periods subsequent to their initial measurement. These tiers include:  Level 1, defined as quoted market prices in active markets for identical assets or liabilities; Level 2, defined as inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, model-based valuation techniques for which all significant assumptions are observable in the market, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and Level 3, defined as unobservable inputs that are not corroborated by market data.

The Company’s financial assets and liabilities recorded at fair value on a recurring basis include derivative instruments and restricted cash and investments. At June 30, 2022 and December 31, 2021, the Company’s derivative instruments included pay-fixed, receive-variable interest rate swaps. The Company’s interest rate swaps are recorded at their estimated fair values based on quotes received from financial institutions that trade these contracts. The Company verifies the reasonableness of these quotes using similar quotes from another financial institution as of each date for which financial statements are prepared. For the Company’s interest rate swaps, the Company also considers the Company’s creditworthiness in its determination of the fair value measurement of these instruments in a net liability position and the counterparties’ creditworthiness in its determination of the fair value measurement of these instruments in a net asset position. The Company’s restricted cash is valued at quoted market prices in active markets for identical assets, which the Company receives from the financial institutions that hold such investments on its behalf. The Company’s restricted cash measured at fair value is invested primarily in money market accounts, bank time deposits and U.S. government and agency securities. The Company’s restricted investments are valued at quoted market prices in active markets for similar assets, which the Company receives from the financial institutions that hold such investments on its behalf. The Company’s restricted investments measured at fair value are invested primarily in money market accounts, bank time deposits, U.S. government and agency securities and Canadian bankers’ acceptance notes.

21

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

The Company’s assets and liabilities measured at fair value on a recurring basis at June 30, 2022 and December 31, 2021, were as follows:

	Fair Value Measurement at June 30, 2022 Using
			Quoted Prices in		Significant
			Active Markets		Other		Significant
			for Identical		Observable		Unobservable
			Assets		Inputs		Inputs
	Total		(Level 1)		(Level 2)		(Level 3)
Interest rate swap derivative instruments – net asset position	$	4,605	$	—	$	4,605	$	—
Restricted cash	$	106,736	$	106,736	$	—	$	—
Restricted investments	$	55,013	$	—	$	55,013	$	—
Contingent consideration	$	(90,635)	$	—	$	—	$	(90,635)

	Fair Value Measurement at December 31, 2021 Using
			Quoted Prices in		Significant
			Active Markets		Other		Significant
			for Identical		Observable		Unobservable
			Assets		Inputs		Inputs
	Total		(Level 1)		(Level 2)		(Level 3)
Interest rate swap derivative instruments – net liability position	$	(51,081)	$	—	$	(51,081)	$	—
Restricted cash	$	72,174	$	72,174	$	—	$	—
Restricted investments	$	58,797	$	—	$	58,797	$	—
Contingent consideration	$	(94,308)	$	—	$	—	$	(94,308)

The following table summarizes the changes in the fair value for Level 3 liabilities related to contingent consideration for the six months ended June 30, 2022 and 2021:

	Six Months Ended June 30,
	2022		2021
Beginning balance	$	94,308	$	71,736
Contingent consideration recorded at acquisition date		5,543		1,512
Payment of contingent consideration recorded at acquisition date		(8,898)		(5,595)
Payment of contingent consideration recorded in earnings		—		(520)
Adjustments to contingent consideration		(1,030)		89
Interest accretion expense		712		821
Foreign currency translation adjustment		—		(14)
Ending balance	$	90,635	$	68,029

15.OTHER COMPREHENSIVE INCOME (LOSS)

Other comprehensive income (loss) includes changes in the fair value of interest rate swaps that qualify for hedge accounting. The components of other comprehensive income (loss) and related tax effects for the three and six months ended June 30, 2022 and 2021 are as follows:

	Three Months Ended June 30, 2022
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	3,646	$	(966)	$	2,680
Changes in fair value of interest rate swaps		2,591		(687)		1,904
Foreign currency translation adjustment		(73,504)		—		(73,504)
	$	(67,267)	$	(1,653)	$	(68,920)

22

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

	Three Months Ended June 30, 2021
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	5,061	$	(1,341)	$	3,720
Changes in fair value of interest rate swaps		(6,257)		1,658		(4,599)
Foreign currency translation adjustment		32,973		—		32,973
	$	31,777	$	317	$	32,094

	Six Months Ended June 30, 2022
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	8,396	$	(2,225)	$	6,171
Changes in fair value of interest rate swaps		47,290		(12,532)		34,758
Foreign currency translation adjustment		(39,075)		—		(39,075)
	$	16,611	$	(14,757)	$	1,854

	Six Months Ended June 30, 2021
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	9,857	$	(2,612)	$	7,245
Changes in fair value of interest rate swaps		14,482		(3,838)		10,644
Foreign currency translation adjustment		61,027		—		61,027
	$	85,366	$	(6,450)	$	78,916

A rollforward of the amounts included in AOCIL, net of taxes, for the six months ended June 30, 2022 and 2021, is as follows:

			Foreign		Accumulated
			Currency		Other
	Interest		Translation		Comprehensive
	Rate Swaps		Adjustment		Income (Loss)
Balance at December 31, 2021	$	(37,544)	$	77,128	$	39,584
Amounts reclassified into earnings		6,171		—		6,171
Changes in fair value		34,758		—		34,758
Foreign currency translation adjustment		—		(39,075)		(39,075)
Balance at June 30, 2022	$	3,385	$	38,053	$	41,438

			Foreign		Accumulated
			Currency		Other
	Interest		Translation		Comprehensive
	Rate Swaps		Adjustment		Income (Loss)
Balance at December 31, 2020	$	(69,596)	$	68,945	$	(651)
Amounts reclassified into earnings		7,245		—		7,245
Changes in fair value		10,644		—		10,644
Foreign currency translation adjustment		—		61,027		61,027
Balance at June 30, 2021	$	(51,707)	$	129,972	$	78,265

See Note 11 for further discussion on the Company’s derivative instruments.

23

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

16.SHAREHOLDERS’ EQUITY

Share-Based Compensation

Restricted Share Units

A summary of activity related to restricted share units (“RSUs”) during the six-month period ended June 30, 2022, is presented below:

	Unvested Shares
Outstanding at December 31, 2021	861,695
Granted	425,900
Forfeited	(34,124)
Vested and issued	(313,228)
Outstanding at June 30, 2022	940,243

The weighted average grant-date fair value per share for the common shares underlying the RSUs granted during the six-month period ended June 30, 2022 was $119.39.

Recipients of the Company’s RSUs who participate in the Company’s Nonqualified Deferred Compensation Plan may have elected in years prior to 2015 to defer some or all of their RSUs as they vest until a specified date or dates they choose. At the end of the deferral periods, unless a qualified participant makes certain other elections, the Company issues to recipients who deferred their RSUs common shares of the Company underlying the deferred RSUs. At June 30, 2022 and 2021, the Company had 81,712 and 101,221 vested deferred RSUs outstanding, respectively.

Performance-Based Restricted Share Units

A summary of activity related to performance-based restricted share units (“PSUs”) during the six-month period ended June 30, 2022, is presented below:

	Unvested Shares
Outstanding at December 31, 2021	392,043
Granted	95,038
Forfeited	(87,554)
Vested and issued	(57,677)
Outstanding at June 30, 2022	341,850

During the six months ended June 30, 2022, the Company’s Compensation Committee granted PSUs with three-year performance-based metrics that the Company must meet before those awards may be earned, and the performance period for those grants ends on December 31, 2024. The Compensation Committee will determine the achievement of performance results and corresponding vesting of PSUs for each performance period. The weighted average grant-date fair value per share for the common shares underlying all PSUs granted during the six-month period ended June 30, 2022 was $117.94.

24

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

Deferred Share Units

A summary of activity related to deferred share units (“DSUs”) during the six-month period ended June 30, 2022, is presented below:

	Vested Shares
Outstanding at December 31, 2021	24,442
Granted	2,094
Outstanding at June 30, 2022	26,536

The DSUs consist of a combination of DSU grants outstanding under the Progressive Waste share-based compensation plans that were continued by the Company following the Progressive Waste acquisition and DSUs granted by the Company since the Progressive Waste acquisition. The weighted average grant-date fair value per share for the common shares underlying the DSUs granted during the six-month period ended June 30, 2022 was $121.00.

Other Restricted Share Units

RSU grants outstanding under the Progressive Waste share-based compensation plans were continued by the Company following the Progressive Waste acquisition and allow for the issuance of shares or cash settlement to employees upon vesting. A summary of activity related to Progressive Waste RSUs during the six-month period ended June 30, 2022, is presented below:

Outstanding at December 31, 2021	63,032
Cash settled	(5,203)
Outstanding at June 30, 2022	57,829

No RSUs under the Progressive Waste share-based compensation plans were granted subsequent to June 1, 2016.  All remaining RSUs were vested as of March 31, 2019.

Share-Based Options

Share-based options outstanding under the Progressive Waste share-based compensation plans were continued by the Company following the Progressive Waste acquisition and allow for the issuance of shares or cash settlement to employees upon vesting. A summary of activity related to Progressive Waste share-based options during the six-month period ended June 30, 2022, is presented below:

Outstanding at December 31, 2021	45,869
Cash settled	—
Outstanding at June 30, 2022	45,869

No share-based options under the Progressive Waste share-based compensation plans were granted subsequent to June 1, 2016. All outstanding share-based options were vested as of December 31, 2017.

Employee Share Purchase Plan

On May 15, 2020, the Company’s shareholders approved the 2020 Employee Share Purchase Plan (the “ESPP”). Under the ESPP, qualified employees may elect to have payroll deductions withheld from their eligible compensation on

25

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

each payroll date in amounts equal to or greater than one percent (1%) but not in excess of ten percent (10%) of eligible compensation in order to purchase the Company’s common shares under certain terms and subject to certain restrictions set forth in the ESPP. The exercise price is equal to 95% of the closing price of the Company’s common shares on the last day of the relevant offering period, provided, however, that such exercise price will not be less than 85% of the volume weighted average price of the Company’s common shares as reflected on the Toronto Stock Exchange (the “TSX”) over the final five trading days of such offering period. The maximum number of shares that may be issued under the ESPP is 1,000,000.  Under the ESPP, employees purchased 12,015 of the Company’s common shares for $1,554 during the six months ended June 30, 2022.

Normal Course Issuer Bid

On July 27, 2021, the Board of Directors of the Company approved, subject to receipt of regulatory approvals, the annual renewal of the Company’s normal course issuer bid (the “NCIB”) to purchase up to 13,025,895 of the Company’s common shares during the period of August 10, 2021 to August 9, 2022 or until such earlier time as the NCIB is completed or terminated at the option of the Company. The renewal followed the conclusion of the Company’s NCIB that expired August 9, 2021. The Company received TSX approval for its annual renewal of the NCIB on August 6, 2021.  Under the NCIB, the Company may make share repurchases only in the open market, including on the New York Stock Exchange (the “NYSE”), the TSX, and/or alternative Canadian trading systems, at the prevailing market price at the time of the transaction.

In accordance with TSX rules, any daily repurchases made through the TSX and alternative Canadian trading systems is limited to a maximum of 75,704 common shares, which represents 25% of the average daily trading volume on the TSX of 302,816 common shares for the period from February 1, 2021 to July 31, 2021. The TSX rules also allow the Company to purchase, once a week, a block of common shares not owned by any insiders, which may exceed such daily limit. The maximum number of shares that can be purchased per day on the NYSE will be 25% of the average daily trading volume for the four calendar weeks preceding the date of purchase, subject to certain exceptions for block purchases.

The timing and amounts of any repurchases pursuant to the NCIB will depend on many factors, including the Company’s capital structure, the market price of the common shares and overall market conditions. All common shares purchased under the NCIB shall be immediately cancelled following their repurchase.

For the six months ended June 30, 2022, the Company repurchased 3,388,155 common shares pursuant to the NCIB in effect during that period at an aggregate cost of $424,999.  During the six months ended June 30, 2021, the Company repurchased 2,745,990 common shares pursuant to the NCIB at an aggregate cost of $305,640.  As of June 30, 2022, the remaining maximum number of shares available for repurchase under the current NCIB was 9,379,908.

Cash Dividend

In October 2021, the Company announced that its Board of Directors increased its regular quarterly cash dividend by $0.025, from $0.205 to $0.23 per Company common share. Cash dividends of $118,812 and $107,330 were paid during the six months ended June 30, 2022 and 2021, respectively.

17.COMMITMENTS AND CONTINGENCIES

In the normal course of its business and as a result of the extensive governmental regulation of the solid waste and E&P waste industries, the Company is subject to various judicial and administrative proceedings involving Canadian regulatory authorities as well as U.S. federal, state and local agencies. In these proceedings, an agency may subpoena the Company for records, or seek to impose fines on the Company or revoke or deny renewal of an authorization held by the

26

WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

Company, including an operating permit. From time to time, the Company may also be subject to actions brought by special interest or other groups, adjacent landowners or residents in connection with the permitting and licensing of landfills, transfer stations, and E&P waste treatment, recovery and disposal operations, or alleging environmental damage or violations of the permits and licenses pursuant to which the Company operates. The Company uses $1,000 as a threshold (up from the previously required threshold of $300) for disclosing environmental matters involving potential monetary sanctions.

In addition, the Company is a party to various claims and suits pending for alleged damages to persons and property, alleged violations of certain laws and alleged liabilities arising out of matters occurring during the normal operation of the Company’s business. Except as noted in the matters described below, as of June 30, 2022, there is no current proceeding or litigation involving the Company or its property that the Company believes could have a material adverse effect on its business, financial condition, results of operations or cash flows.

Lower Duwamish Waterway Superfund Site Allocation Process

In November 2012, the Company’s subsidiary, Northwest Container Services, Inc. (“NWCS”), was named by the U.S. Environmental Protection Agency, Region 10 (the “EPA”) as a potentially responsible party (“PRP”), along with more than 100 others, under the Comprehensive Environmental Response, Compensation and Liability Act, with respect to the Lower Duwamish Waterway Superfund Site (the “LDW Site”).  Listed on the National Priorities List in 2001, the LDW Site is a five-mile stretch of the Duwamish River flowing into Elliott Bay in Seattle, Washington.  A group of PRPs known as the Lower Duwamish Working Group (“LDWG”) and consisting of the City of Seattle, King County, the Port of Seattle, and Boeing Company conducted a Remedial Investigation/Feasibility Study for the LDW Site.  On December 2, 2014, the EPA issued its Record of Decision describing the selected clean-up remedy, and therein estimated that clean-up costs (in present value dollars as of November 2014) would total approximately $342,000. It is possible, however, that additional costs could be incurred based upon various factors, resulting in potentially even higher response costs.

In addition to potential response costs, PRPs could bear responsibility for natural resource damages (“NRD”).  NWCS has received correspondence from entities acting as natural resources trustees alleging that NWCS (and presumably other PRPs) could bear responsibility for NRD at the LDW Site.  This correspondence also notified NWCS of the opportunity to participate in the development and performance of an NRD Plan and Assessment.  NWCS formally declined to participate in that process, and since providing its response has not been approached regarding any NRD claim or settlement.

After receipt of its notice as a PRP, NWCS, several dozen other PRPs and a neutral allocator entered into an agreement to conduct a confidential and non-binding allocation of certain past response costs allegedly incurred at the LDW Site as well as anticipated future response costs.  In May 2022, the allocator issued its Final Allocation Report (“FAR”).  While the parties’ allocations are confidential, based upon NWCS’ allocation in the FAR, the Company believes that NWCS’ overall potential liability should be generally small relative to the majority of PRPs and does not believe that NWCS’ allocation for cleanup costs as well as potential responsibility for NRD will be material to the Company.  The settlement process, however, is complicated.  EPA has indicated that it will seek a PRP conducted remedy, but it is not unusual for parties with very small shares of liability to be able to negotiate cash out settlements in these matters.  For these and other reasons, the prospects for settlement at this time are uncertain, but NWCS will continue to vigorously defend itself in connection with any allocation of costs associated with cleanup as well as NRD.

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WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

Los Angeles County, California Landfill Expansion Litigation

A. Chiquita Canyon, LLC Lawsuit Against Los Angeles County

In October 2004, the Company’s subsidiary, Chiquita Canyon, LLC (“CCL”), then under prior ownership, filed an application (the “Application”) with the County of Los Angeles (the “County”) Department of Regional Planning (“DRP”) for a conditional use permit (the “CUP”) to authorize the continued operation and expansion of the Chiquita Canyon Landfill (the “Landfill”). The Landfill has operated since 1972, and as a regional landfill, accepted approximately two and a half million tons of materials for disposal and beneficial use in 2021.  The Application requested expansion of the existing waste footprint on CCL’s contiguous property, an increase in maximum elevation, creation of a new entrance and new support facilities, construction of a facility for the County or another third-party operator to host household hazardous waste collection events, designation of an area for mixed organics/composting, and other modifications.

After many years of reviews and delays, upon the recommendation of County staff, the County’s Regional Planning Commission (the “Commission”) approved the Application on April 19, 2017, but imposed operating conditions, fees and exactions that substantially reduce the historical landfill operations and represent a large increase in aggregate taxes and fees. CCL objected to many of the requirements imposed by the Commission.  Current estimates for new costs imposed on CCL under the CUP are in excess of $300,000.

CCL appealed the Commission’s decision to the County Board of Supervisors, but the appeal was not successful.  At a subsequent hearing, on July 25, 2017, the Board of Supervisors approved the CUP.  On October 20, 2017, CCL filed in the Superior Court of California, County of Los Angeles a verified petition for writ of mandate and complaint against the County and the County Board of Supervisors captioned Chiquita Canyon, LLC v. County of Los Angeles, No. BS171262 (Los Angeles Co. Super Ct.) (the “Complaint”).  The Complaint challenges the terms of the CUP in 13 counts generally alleging that the County violated multiple California and federal statutes and California and federal constitutional protections. CCL seeks the following relief: (a) an injunction and writ of mandate against certain of the CUP’s operational restrictions, taxes and fees, (b) a declaration that the challenged conditions are unconstitutional and in violation of state and federal statutes, (c) reimbursement for any such illegal fees paid under protest, (d) damages, (e) an award of just compensation for a taking, (f) attorney fees, and (g) all other appropriate legal and equitable relief.

Following extensive litigation in 2018 and 2019 on the permissible scope of CCL’s challenge, full briefing occurred on June 22, 2020 on six of CCL’s causes of action, and the Superior Court issued its decision on July 2, 2020, granting CCL’s petition for writ of mandate in part and denying it in part. CCL prevailed with respect to 12 of the challenged conditions, many of which imposed new fees and exactions on the Landfill.  Before entry of final judgment, the Superior Court will hear CCL’s remaining causes of action.  A trial on CCL’s remaining causes of action is scheduled for December 5, 2022.  Once the Superior Court has entered final judgment, CCL and the County will be permitted to appeal any adverse ruling to the California Court of Appeal.  After entry of final judgment and resolution of any appeals, the Superior Court will issue a writ directing the County Board of Supervisors to set aside its decision on the permit with respect to 12 of the challenged conditions.  The Board will be allowed to make additional findings to support four of those conditions and reconsider its permit decision in light of the Superior Court’s writ.  CCL will continue to vigorously prosecute the lawsuit.  However, at this point, the Company is not able to determine the likelihood of any outcome in this matter.

B. December 11, 2017 Notice of Violation Regarding Certain CUP Conditions.

The County, through its DRP, issued a Notice of Violation, dated December 11, 2017 (the “NOV”), alleging that CCL violated certain conditions of the CUP, including Condition 79(B)(6) of the CUP by failing to pay an $11,600 Bridge & Thoroughfare Fee (“B&T Fee”) that was purportedly due on July 25, 2017.  The alleged B&T fee was ostensibly to fund the construction of transportation infrastructure in the area of the Landfill.  At the time the NOV was issued, CCL had

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WASTE CONNECTIONS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(DOLLAR AMOUNTS IN THOUSANDS OF U.S. DOLLARS, EXCEPT PER SHARE, PER TON AND PER GALLON AMOUNTS)

already contested the legality of the B&T fee in the October 20, 2017 Complaint filed against the County in Los Angeles County Superior Court, described above under paragraph A (the “CUP lawsuit”).

On January 12, 2018, CCL filed an appeal of the alleged violations in the NOV.  Subsequently, CCL filed additional legal arguments and exhibits contesting the NOV.  On March 6, 2018, a DRP employee designated as hearing officer sustained the NOV, including the $11,600 B&T fee, and imposed an administrative penalty in the amount of $83 and a noncompliance fee of $0.75. A written decision memorializing the hearing officer’s findings and order was issued on July 10, 2018.  On April 13, 2018, CCL filed in the Superior Court of California, County of Los Angeles a Petition for Writ of Administrative Mandamus against the County seeking to overturn the decision sustaining the NOV, contending that the NOV and decision are not supported by the facts or law.  On July 17, 2018, the Court granted CCL leave to pay the $11,600 B&T fee and to amend its Complaint in the CUP lawsuit to reflect the payment under protest, allowing the challenge to the B&T fee under the Mitigation Fee Act to proceed in the CUP lawsuit.  CCL paid the B&T fee under protest on August 10, 2018, and also paid on that date the administrative penalty of $83 and a noncompliance fee of $0.75. The Court indicated that the NOV case would be coordinated with the CUP lawsuit.  The NOV case has been continued multiple times as the CUP lawsuit was adjudicated; it is now set for trial on December 13, 2022.  The Superior Court’s July 2, 2020 decision in the CUP lawsuit upheld the B&T fee against a Mitigation Fee Act challenge, and addressed two other conditions that were also the subject of the NOV, which may impact the scope of the B&T fee/NOV case.  CCL will continue to vigorously prosecute the lawsuit.  However, at this point, the Company is not able to determine the likelihood of any outcome in this matter.

18.SUBSEQUENT EVENTS

On August 2, 2022, the Company announced that its Board of Directors approved a regular quarterly cash dividend of $0.23 per Company common share. The dividend will be paid on September 1, 2022, to shareholders of record on the close of business on August 18, 2022.

On July 26, 2022, the Company’s Board of Directors approved, subject to receipt of regulatory approvals, the annual renewal of its NCIB.  The renewal is expected to commence following the conclusion of the Company’s current NCIB expiring August 9, 2022.  Upon approval, the Company anticipates that it will be authorized to make purchases during the period of August 10, 2022 to August 9, 2023 or until such earlier time as the NCIB is completed or terminated at the Company’s option.

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Item 2.Management’s Discussion and Analysis of Financial Condition and Results of Operations

FORWARD-LOOKING STATEMENTS

The following discussion should be read in conjunction with our Condensed Consolidated Financial Statements and the related notes included in Part I, Item 1 of this Quarterly Report on Form 10-Q.

We make statements in this Quarterly Report on Form 10-Q that are forward-looking in nature.  These include:

● Statements regarding our landfills, including capacity, duration, special projects, demand for and pricing of recyclables, landfill alternatives and related capital expenditures;

● Discussion of competition, loss of contracts, price increases and additional exclusive and/or long-term collection service arrangements;

● Forecasts of cash flows necessary for operations and free cash flow to reduce leverage as well as our ability to draw on our credit facility and access the capital markets to refinance or expand;

● Statements regarding our ability to access capital resources or credit markets at all or on favorable terms;

● Plans for, and the amounts of, certain capital expenditures for our existing and newly acquired properties and equipment;

● Statements regarding fuel, oil and natural gas demand, prices, and price volatility;

● Assessments of regulatory developments and potential changes in environmental, health, safety and tax laws and regulations; and

● Other statements on a variety of topics such as the coronavirus disease 2019 (“COVID-19”) pandemic, credit risk of customers, seasonality, labor/pension costs and labor union activity, operational and safety risks, acquisitions, litigation results, goodwill impairments, insurance costs and cybersecurity threats.

These statements can be ‎identified by the use of forward-looking terminology such as “believes,” “expects,” “intends,” “may,” “might,” “will,” ‎‎“could,” “should” or “anticipates,” or the negative thereof or comparable terminology, or by discussions of strategy.

Our ‎business and operations are subject to a variety of risks and uncertainties and, consequently, actual results may differ ‎materially from those projected by any forward-looking statements. Factors that could cause actual results to differ ‎from those projected include, but are not limited to, risk factors detailed from time to time in our filings with the SEC and the securities commissions or similar regulatory authorities in Canada.  

There may be additional risks of which we are not presently aware or that we currently believe are immaterial that ‎could have an adverse impact on our business. We make no commitment to revise or update any forward-looking ‎statements to reflect events or circumstances that may change, unless required under applicable securities laws.

OVERVIEW OF OUR BUSINESS

We are an integrated solid waste services company that provides non-hazardous waste collection, transfer and disposal services, along with resource recovery primarily through recycling and renewable fuels generation, in mostly exclusive and secondary markets across 43 states in the U.S. and six provinces in Canada. Waste Connections also provides non-hazardous oil and natural gas exploration and production (“E&P”) waste treatment, recovery and disposal services in several basins across the U.S., as well as intermodal services for the movement of cargo and solid waste containers in the Pacific Northwest.

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Environmental, organizational and financial sustainability initiatives have been key components of our success since we were founded in 1997.  We remain committed to growing and expanding these efforts as our industry and technology continue to evolve. To that end, in 2020 we made a $500 million commitment to the advancement of the long-term, aspirational targets outlined in our 2021 Sustainability Report. This report can be found at www.wasteconnections.com/sustainability but does not constitute a part of, and is not incorporated by reference into, this Quarterly Report on Form 10-Q.

We generally seek to avoid highly competitive, large urban markets and instead target markets where we can attain high market share either through exclusive contracts, vertical integration or asset positioning. In markets where waste collection services are provided under exclusive arrangements, or where waste disposal is municipally owned or funded or available at multiple municipal sources, we believe that controlling the waste stream by providing collection services under exclusive arrangements is often more important to our growth and profitability than owning or operating landfills. We also target niche markets, like non-hazardous E&P waste treatment, recovery and disposal services.

The solid waste industry is local and highly competitive in nature, requiring substantial labor and capital resources. We compete for collection accounts primarily on the basis of price and, to a lesser extent, the quality of service, and compete for landfill business on the basis of tipping fees, geographic location and quality of operations. The solid waste industry has been consolidating and continues to consolidate as a result of a number of factors, including the increasing costs and complexity associated with waste management operations and regulatory compliance. Many small independent operators and municipalities lack the capital resources, management, operating skills and technical expertise necessary to operate effectively in such an environment. The consolidation trend has caused solid waste companies to operate larger landfills that have complementary collection routes that can use company-owned disposal capacity. Controlling the point of transfer from haulers to landfills has become increasingly important as landfills continue to close and disposal capacity moves farther from the collection markets it serves.

Generally, the most profitable operators within the solid waste industry are those companies that are vertically integrated or enter into long-term collection contracts. A vertically integrated operator will benefit from:  (1) the internalization of waste, which is bringing waste to a company-owned landfill; (2) the ability to charge third-party haulers tipping fees either at landfills or at transfer stations; and (3) the efficiencies gained by being able to aggregate and process waste at a transfer station prior to landfilling.

The demand for our E&P waste services depends on the continued demand for, and production of, oil and natural gas. Crude oil and natural gas prices historically have been volatile. Subject to certain recent developments discussed below, macroeconomic and geopolitical conditions, including a significant decline in oil prices driven by both surplus production and supply, as well as the decrease in demand caused by factors including the COVID-19 pandemic, have resulted in decreased levels of E&P activity and a corresponding decrease in demand for our E&P waste services.  Additionally, across the industry there is uncertainty regarding future demand for oil and related services, as noted by several energy companies, many of whom are customers of our E&P operations.  These companies have written down the values of their oil and gas assets in anticipation of the potential for the decarbonization of their energy product mix given an increased global focus on reducing greenhouse gases and addressing climate change.  Such uncertainty regarding global demand has had a significant impact on the investment and operating plans of our E&P waste customers in the basins where we operate.   If the prices of crude oil and natural gas substantially decline, it could lead to declines in the level of production activity and demand for our E&P waste services, which could result in the recognition of impairment charges on our intangible assets and property and equipment associated with our E&P operations.  Conversely, sustained increases in prices of crude oil as a result of inflationary pressures, the uncertainty associated with the Ukrainian conflict and any related bans on oil sales from Russia or supply chain disruptions as recently experienced could result in increasing levels of production activity and demand for our E&P waste services.

THE COVID-19 PANDEMIC’S IMPACT ON OUR RESULTS OF OPERATIONS

March 11, 2022 marked the two-year anniversary of COVID-19 being declared a global pandemic by the World Health Organization. The related economic disruptions largely associated with closures or restrictions put into effect following the onset of the COVID-19 pandemic in the first quarter of 2020 resulted in declines in solid waste commercial collection, transfer station and landfill volumes, and roll off activity. Throughout the remaining fiscal year 2020 and during

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2021, solid waste revenue and reported volumes largely reflected the pace and shape of the closures and subsequent reopening activity, with the timing and magnitude of recovery varying by market.  Most of the impacts to solid waste volumes associated with the pandemic have largely abated, with landfill volumes and roll off pulls returning to pre-pandemic levels.  In certain markets, commercial collection volumes have not returned to pre-pandemic levels.

The COVID-19 pandemic also contributed to a decline in demand for and the value of crude oil, which impacted E&P drilling activity and resulted in lower E&P waste revenue.  In recent quarters, E&P waste revenue has improved sequentially on increased drilling activity in several of the major basins.

Since the onset of the COVID-19 pandemic, protecting the health, welfare and safety of our employees has been our top priority. Recognizing the potential for financial hardship and other challenges, we have looked to provide a safety net for our employees on issues of income and family health. To that end, since the onset of the pandemic through year-end 2021, we have incurred over $40 million in incremental COVID-19-related costs, primarily supplemental pay for frontline employees. Through the six months ended June 30, 2022, we continued to provide support for our employees and their families, including approximately $10 million in supplemental pay and benefits due to surges in cases related to certain variants of COVID-19.

As a result of the COVID-19 pandemic and subsequent reopening activity, we have also experienced an impact to our operating costs as a result of factors including supply chain disruptions and labor constraints, as demand has recovered and competition has increased.  As a result, we have incurred incremental costs associated with higher wages, increased overtime as a result of higher turnover, and increased reliance on third-party services.  

The impact of the COVID-19 pandemic on our business, results of operations, financial condition and cash flows in future periods will depend largely on future developments, including the duration and spread of the outbreak in the U.S. and Canada, the rate of vaccinations, the severity of COVID-19 variants, the actions to contain such coronavirus variants, and how quickly and to what extent normal economic and operating conditions can resume.

CRITICAL ACCOUNTING ESTIMATES AND ASSUMPTIONS

The preparation of financial statements in conformity with U.S. generally accepted accounting principles, or GAAP, requires estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses and related disclosures of contingent assets and liabilities in the condensed consolidated financial statements. As described by the SEC, critical accounting estimates and assumptions are those that may be material due to the levels of subjectivity and judgment necessary to account for highly uncertain matters or the susceptibility of such matters to change, and that have a material impact on the financial condition or operating performance of a company. Such critical accounting estimates and assumptions are applicable to our reportable segments. Refer to our most recent Annual Report on Form 10-K for a complete description of our critical accounting estimates and assumptions.

NEW ACCOUNTING PRONOUNCEMENTS

For a description of the new accounting standards that affect us, see Note 3 to our Condensed Consolidated Financial Statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q.

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RESULTS OF OPERATIONS FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2022 AND 2021

The following table sets forth items in our Condensed Consolidated Statements of Net Income in thousands of U.S. dollars and as a percentage of revenues for the periods indicated.

	Three Months Ended June 30,								Six Months Ended June 30,
	2022				2021				2022				2021
Revenues	$	1,816,435	100.0	%	$	1,533,931	100.0	%	$	3,462,690	100.0	%	$	2,929,874	100.0	%
Cost of operations		1,087,892	59.9			901,191	58.8			2,077,410	60.0			1,727,111	59.0
Selling, general and administrative		168,404	9.3			157,943	10.3			331,818	9.6			299,365	10.2
Depreciation		188,937	10.4			169,221	11.0			368,887	10.6			326,624	11.2
Amortization of intangibles		37,462	2.1			32,707	2.1			75,098	2.2			64,899	2.2
Impairments and other operating items		4,150	0.2			6,081	0.4			6,028	0.2			6,715	0.2
Operating income		329,590	18.1			266,788	17.4			603,449	17.4			505,160	17.2
Interest expense		(45,079)	(2.5)			(41,328)	(2.7)			(86,404)	(2.5)			(83,753)	(2.9)
Interest income		652	0.0			744	0.1			790	0.0			1,848	0.1
Other income (expense), net		(2,649)	(0.1)			(1,235)	(0.1)			(6,114)	(0.1)			2,312	0.1
Income tax provision		(58,307)	(3.2)			(47,868)	(3.2)			(107,146)	(3.1)			(88,159)	(3.0)
Net income		224,207	12.3			177,101	11.5			404,575	11.7			337,408	11.5
Net loss (income) attributable to noncontrolling interests		(133)	(0.0)			(54)	(0.0)			(177)	(0.0)			(52)	(0.0)
Net income attributable to Waste Connections	$	224,074	12.3	%	$	177,047	11.5	%	$	404,398	11.7	%	$	337,356	11.5	%

Revenues.  Total revenues increased $282.5 million, or 18.4%, to $1.816 billion for the three months ended June 30, 2022, from $1.534 billion for the three months ended June 30, 2021.  Total revenues increased $532.8 million, or 18.2%, to $3.463 billion for the six months ended June 30, 2022, from $2.930 billion for the six months ended June 30, 2021.

Acquisitions closed during, or subsequent to, the three months ended June 30, 2021 increased revenues by $144.2 million for the three months ended June 30, 2022.  Acquisitions closed during, or subsequent to, the six months ended June 30, 2021 increased revenues by $256.5 million for the six months ended June 30, 2022.  

Operations that were divested subsequent to June 30, 2021 decreased revenues by $2.8 million and $5.1 million, respectively, for the three and six months ended June 30, 2022.

During the three months ended June 30, 2022, the net increase in prices charged to our customers at our existing operations was $128.6 million, consisting of $105.6 million of core price increases and surcharges of $23.0 million.  During the six months ended June 30, 2022, the net increase in prices charged to our customers at our existing operations was $222.7 million, consisting of $189.1 million of core price increases and surcharges of $33.6 million.

During the three months ended June 30, 2022, we recognized volume losses totaling $10.4 million, which was comprised of $14.1 million of residential collection volume losses primarily associated with the nonrenewal of two collection contracts subsequent to June 30, 2021, partially offset by $3.7 million in volume growth primarily attributable to increases in commercial collection and roll off collection. During the six months ended June 30, 2022, we recognized volume losses totaling $2.0 million, which was comprised of $24.8 million of residential collection volume losses associated with the aforementioned collection contracts, partially offset by $22.8 million in volume growth primarily attributable to increases in commercial collection, roll off collection and landfill disposal.

E&P waste revenues at facilities owned during the three and six months ended June 30, 2022 and 2021 increased $19.9 million and $36.4 million, respectively, due to increases in overall demand for our E&P waste services resulting from higher demand for crude oil contributing to increases in drilling and production activity levels.

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Revenues from sales of recyclable commodities at facilities owned during the three and six months ended June 30, 2022 and 2021 increased $5.7 million and $19.2 million, respectively, due primarily to higher prices for old corrugated cardboard, aluminum, plastics and other paper products, higher volumes collected from commercial recycling customers, which declined in the prior year period due to economic disruptions resulting from the COVID-19 pandemic, and the impact of changes in our accounting policy associated with recognizing certain recyclable commodity sales gross of selling and processing expenses.

A decrease in the average Canadian dollar to U.S. dollar currency exchange rate resulted in a decrease in revenues of $8.5 million for the three months and six months ended June 30, 2022. The average Canadian dollar to U.S. dollar exchange rates on our Canadian revenues were 0.7833 and 0.8147 in the three months ended June 30, 2022 and 2021, respectively. The average Canadian dollar to U.S. dollar exchange rates on our Canadian revenues were 0.7863 and 0.8030 in the six months ended June 30, 2022 and 2021, respectively.

Other revenues increased $5.8 million during the three months ended June 30, 2022, due primarily to a $1.9 million increase resulting from higher prices for renewable energy credits associated with the generation of landfill gas at our Canada segment, a $1.9 million increase in intermodal revenues due primarily to reductions in shipping port logistical constraints which decreased intermodal cargo volumes in the prior year period and a $2.0 million increase in other non-core revenue sources.  Other revenues increased $13.6 million during the six months ended June 30, 2022, due primarily to a $4.7 million increase resulting from higher prices for renewable energy credits associated with the generation of landfill gas at our Canada segment, a $4.6 million increase in intermodal revenues, a $1.0 million increase in landfill gas sales at our U.S. segments and a $3.3 million increase in other non-core revenue sources.

Cost of Operations.  Total cost of operations increased $186.7 million, or 20.7%, to $1.088 billion for the three months ended June 30, 2022, from $901.2 million for the three months ended June 30, 2021. The increase was primarily the result of an increase in operating costs at our existing operations of $98.0 million, assuming foreign currency parity, and $95.4 million of additional operating costs from acquisitions closed during, or subsequent to, the three months ended June 30, 2021, partially offset by a decrease in operating costs of $4.3 million resulting from a decrease in the average foreign currency exchange rate in effect during the comparable reporting periods and a decrease of $2.4 million from operations divested subsequent to the three months ended June 30, 2021.

The increase in operating costs of $98.0 million, assuming foreign currency parity, at our existing operations for the three months ended June 30, 2022 consisted of an increase in labor and recurring incentive compensation expenses of $26.6 million due primarily to employee pay increases and headcount additions to support solid waste and E&P volume increases, an increase in fuel expense of $24.5 million due to higher diesel and natural gas prices, an increase in third-party trucking and transportation expenses of $15.6 million due primarily to higher rates charged by third-party providers, an increase in truck, container, equipment and facility maintenance and repair expenses of $11.3 million due primarily to increased collection routes and equipment operating hours and parts and service rate increases, an increase in third-party disposal expenses of $7.3 million due primarily to increased solid waste collection volumes, an increase in expenses for purchasing and processing recyclable commodities of $3.6 million due to higher recyclable commodity values and changes in our accounting policy associated with recognizing certain recyclable commodity sales gross of selling and processing expenses, an increase in taxes on revenues of $1.7 million due primarily to increased revenues, an increase in employee medical benefits expenses of $1.7 million due to an increase in the cost of provider services, an increase in intermodal rail expenses of $1.0 million due to higher cargo volumes and $4.7 million of other net expense increases.

Total cost of operations increased $350.3 million, or 20.3%, to $2.077 billion for the six months ended June 30, 2022, from $1.727 billion for the six months ended June 30, 2021. The increase was primarily the result of an increase in operating costs at our existing operations of $189.4 million, assuming foreign currency parity, and $169.6 million of additional operating costs from acquisitions closed during, or subsequent to, the six months ended June 30, 2021, partially offset by a decrease in operating costs of $4.4 million resulting from a decrease in the average foreign currency exchange rate in effect during the comparable reporting periods and a decrease of $4.3 million from operations divested subsequent to the six months ended June 30, 2021.

The increase in operating costs of $189.4 million, assuming foreign currency parity, at our existing operations for the six months ended June 30, 2022 consisted of an increase in labor and recurring incentive compensation expenses of $47.0

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million due primarily to employee pay increases and headcount additions to support solid waste and E&P volume increases, an increase in fuel expense of $40.6 million due to higher diesel and natural gas prices, an increase in third-party trucking and transportation expenses of $25.8 million due primarily to increased landfill special waste volumes requiring trucking and transportation services to our landfills and higher rates charged by third-party providers, an increase in truck, container, equipment and facility maintenance and repair expenses of $24.0 million due primarily to increased collection routes and equipment operating hours and parts and service rate increases, an increase in third-party disposal expenses of $14.1 million due primarily to increased solid waste collection volumes, an increase in supplemental compensation to non-management personnel of $9.0 million to provide financial assistance associated with the impact of COVID-19, an increase in expenses for purchasing and processing recyclable commodities of $7.1 million due to higher recyclable commodity values and changes in our accounting policy associated with recognizing certain recyclable commodity sales gross of selling and processing expenses, an increase in taxes on revenues of $6.0 million due primarily to increased revenues, an increase in expenses for auto and workers’ compensation claims of $3.0 million due primarily to adjustments recorded in the prior year period to decrease projected losses on outstanding claims originally recorded prior to 2021, an increase in leachate expense of $2.8 million due primarily to higher precipitation in certain markets where our landfills are located and higher costs charged by third parties to transport and treat leachate, an increase in intermodal rail expenses of $2.2 million due to higher cargo volumes, an increase in subcontracted hauling services at our solid waste operations of $1.6 million due to higher costs charged by third-party providers, an increase in 401(k) matching expenses of $1.0 million due to higher employee earnings and $5.2 million of other net expense increases.

Cost of operations as a percentage of revenues increased 1.1 percentage points to 59.9% for the three months ended June 30, 2022, from 58.8% for the three months ended June 30, 2021. The increase as a percentage of revenues consisted of a 1.1 percentage point increase from higher diesel and natural gas expenses, a 0.6 percentage point increase from higher third-party trucking and transportation expenses and a 0.4 percentage point increase from acquisitions closed during, or subsequent to, the three months ended June 30, 2021 having operating margins lower than our company average, partially offset by a combined 0.8 percentage point decrease from disposal, taxes on revenues and labor due to price-driven revenue increases and a 0.2 percentage point decrease from all other net changes.

Cost of operations as a percentage of revenues increased 1.0 percentage points to 60.0% for the six months ended June 30, 2022, from 59.0% for the six months ended June 30, 2021. The increase as a percentage of revenues consisted of a 0.9 percentage point increase from higher fuel expense, a 0.5 percentage point increase from higher third-party trucking and transportation expenses, a 0.4 percentage point increase from acquisitions closed during, or subsequent to, the six months ended June 30, 2021 having operating margins lower than our company average and a 0.1 percentage point increase from higher maintenance and repair expenses, partially offset by a combined 0.9 percentage point decrease from disposal, taxes on revenues and benefits expenses due to price-driven revenue increases.

SG&A.  SG&A expenses increased $10.5 million, or 6.6%, to $168.4 million for the three months ended June 30, 2022, from $157.9 million for the three months ended June 30, 2021. The increase was comprised of an increase of $0.8 million, assuming foreign currency parity, at our existing operations and $10.7 million from acquisitions closed during, or subsequent to, the three months ended June 30, 2021, partially offset by a decrease of $0.7 million resulting from a decrease in the average foreign currency exchange rate in effect during the comparable reporting periods and a decrease of $0.3 million from operations divested subsequent to the three months ended June 30, 2021.

The increase in SG&A expenses at our existing operations of $0.8 million, assuming foreign currency parity, for the three months ended June 30, 2022 was comprised of a collective increase in travel, meetings, training and community activity expenses of $7.8 million due to increased travel and social gatherings in the current year period due to a reduction in restrictions associated with the COVID-19 pandemic, an increase in direct acquisition expenses of $3.6 million due to an increase in acquisition activity in the current period, an increase in administrative payroll expenses of $2.4 million due primarily to annual pay and headcount increases and $2.5 million of other net expense increases, partially offset by a decrease in deferred compensation expenses of $6.2 million as a result of decreases in the market value of investments to which employee deferred compensation liability balances are tracked, a decrease in equity-based compensation expenses of $5.3 million due to the prior year SG&A expense including an adjustment to increase the fair value of our common shares held in our deferred compensation plan by certain key executives as a result of the shares being exchanged for other investment options, a decrease in equity-based compensation expenses of $2.0 million associated with decreases in our share price resulting in fair value measurement decreases to equity awards accounted for as liabilities that were granted to

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employees of Progressive Waste prior to June 1, 2016, which are subject to valuation adjustments each period, and a decrease in accrued recurring cash incentive compensation expense to our management of $2.0 million.

SG&A expenses increased $32.4 million, or 10.8%, to $331.8 million for the six months ended June 30, 2022, from $299.4 million for the six months ended June 30, 2021. The increase was comprised of an increase of $14.5 million, assuming foreign currency parity, at our existing operations and $19.2 million from acquisitions closed during, or subsequent to, the six months ended June 30, 2021, partially offset by a decrease of $0.7 million resulting from a decrease in the average foreign currency exchange rate in effect during the comparable reporting periods and a decrease of $0.6 million from operations divested subsequent to the six months ended June 30, 2021.

The increase in SG&A expenses at our existing operations of $14.5 million, assuming foreign currency parity, for the six months ended June 30, 2022 was comprised of a collective increase in travel, meetings, training and community activity expenses of $13.2 million due to increased travel and social gatherings in the current year period due to a reduction in restrictions associated with the COVID-19 pandemic, an increase in direct acquisition expenses of $7.6 million due to an increase in acquisition activity in the current period, an increase in administrative payroll expenses of $6.2 million due primarily to annual pay and headcount increases, an increase in equity-based compensation expenses of $2.7 million associated with our annual recurring grant of restricted share units to our personnel, an increase in professional fees of $1.8 million due primarily to increased legal services, an increase in software license fees of $1.2 million associated with new information technology applications, an increase of $0.8 million resulting from the payment of supplemental bonuses to non-management employees to provide financial assistance associated with the impact of COVID-19 and $1.6 million of other net expense increases, partially offset by a decrease in deferred compensation expenses of $9.3 million as a result of decreases in the market value of investments to which employee deferred compensation liability balances are tracked, a decrease of $5.2 million in equity-based compensation expenses associated with the prior year period including  adjustments to increase the fair value of our common shares held in our deferred compensation plan by certain key executives as a result of the shares being exchanged for other investment options, a decrease in accrued recurring cash incentive compensation expense to our management of $3.8 million and a decrease in equity-based compensation expenses of $2.3 million associated with decreases in our share price resulting in fair value measurement decreases to equity awards accounted for as liabilities that were granted to employees of Progressive Waste prior to June 1, 2016, which are subject to valuation adjustments each period.

SG&A expenses as a percentage of revenues decreased 1.0 percentage point to 9.3% for the three months ended June 30, 2022, from 10.3% for the three months ended June 30, 2021. The decrease as a percentage of revenues consisted of a 0.6 percentage point decrease from lower equity compensation expenses, a 0.4 percentage point decrease from lower deferred compensation expense, a 0.3 percentage point decrease from lower cash incentive compensation expense and a 0.3 percentage point decrease from all other net changes due primarily to price-led revenue increases, partially offset by a 0.4 percentage point increase from increased travel, meetings, training and community activity expenses and a 0.2 percentage point increase from higher direct acquisition expenses.

SG&A expenses as a percentage of revenues decreased 0.6 percentage points to 9.6% for the six months ended June 30, 2022, from 10.2% for the six months ended June 30, 2021. The decrease as a percentage of revenues consisted of a 0.3 percentage point decrease from lower equity compensation expenses, a 0.3 percentage point decrease from lower cash incentive compensation expense, a 0.3 percentage point decrease from lower deferred compensation expense and a 0.2 percentage point decrease from all other net changes due primarily to price-led revenue increases, partially offset by a 0.3 percentage point increase from increased travel, meetings, training and community activity expenses and a 0.2 percentage point increase from higher direct acquisition expenses.

Depreciation.  Depreciation expense increased $19.7 million, or 11.7%, to $188.9 million for the three months ended June 30, 2022, from $169.2 million for the three months ended June 30, 2021. The increase was comprised of an increase in depreciation and depletion expense of $13.7 million from acquisitions closed during, or subsequent to, the three months ended June 30, 2021, an increase in depreciation expense of $6.0 million from the impact of additions to our fleet and equipment purchased to support our existing operations and an increase in depletion expense of $2.0 million resulting from increased landfill E&P volumes and higher landfill development costs increasing our landfill depletion rates, partially offset by a decrease in depreciation and depletion expense of $1.1 million from operations divested subsequent to the three

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months ended June 30, 2021 and a decrease of $0.9 million resulting from a decrease in the average foreign currency exchange rate in effect during the comparable reporting periods.

Depreciation expense increased $42.3 million, or 12.9%, to $368.9 million for the six months ended June 30, 2022, from $326.6 million for the six months ended June 30, 2021. The increase was comprised of an increase in depreciation and depletion expense of $25.4 million from acquisitions closed during, or subsequent to, the six months ended June 30, 2021, an increase in depreciation expense of $11.3 million from the impact of additions to our fleet and equipment purchased to support our existing operations and an increase in depletion expense of $8.3 million resulting from increased landfill special waste and E&P volumes and higher landfill development costs increasing our per ton landfill depletion rates, partially offset by a decrease in depreciation and depletion expense of $1.8 million from operations divested subsequent to the six months ended June 30, 2021 and a decrease of $0.9 million resulting from a decrease in the average foreign currency exchange rate in effect during the comparable reporting periods.

Depreciation expense as a percentage of revenues decreased 0.6 percentage points to 10.4% for the three months ended June 30, 2022, from 11.0% for the three months ended June 30, 2021. Depreciation expense as a percentage of revenues decreased 0.6 percentage points to 10.6% for the six months ended June 30, 2022, from 11.2% for the six months ended June 30, 2021. The decreases as a percentage of revenues were primarily attributable to the impact of price-driven revenue increases in our solid waste services.

Amortization of Intangibles.  Amortization of intangibles expense increased $4.8 million, or 14.5%, to $37.5 million for the three months ended June 30, 2022, from $32.7 million for the three months ended June 30, 2021. The increase was the result of $9.7 million from intangible assets acquired in acquisitions closed during, or subsequent to, the three months ended June 30, 2021, partially offset by a decrease of $4.7 million from certain intangible assets becoming fully amortized subsequent to June 30, 2021 and a decrease of $0.2 million resulting from a decrease in the average foreign currency exchange rate in effect during the comparable reporting periods.

Amortization of intangibles expense increased $10.2 million, or 15.7%, to $75.1 million for the six months ended June 30, 2022, from $64.9 million for the six months ended June 30, 2021. The increase was the result of $19.0 million from intangible assets acquired in acquisitions closed during, or subsequent to, the six months ended June 30, 2021, partially offset by a decrease of $8.6 million from certain intangible assets becoming fully amortized subsequent to June 30, 2021 and a decrease of $0.2 million resulting from a decrease in the average foreign currency exchange rate in effect during the comparable reporting periods.

Amortization expense as a percentage of revenues was unchanged at 2.1% for the three months ended June 30, 2022 and 2021 and 2.2% for the six months ended June 30, 2022 and 2021.  

Impairments and Other Operating Items.  Impairments and other operating items decreased $2.0 million, to net losses totaling $4.1 million for the three months ended June 30, 2022, from net losses totaling $6.1 million for the three months ended June 30, 2021.

The net losses of $4.1 million recorded during the three months ended June 30, 2022 consisted of $2.6 million of losses on property and equipment disposals, $1.3 million of charges to write off the carrying cost of certain contracts that were not, or are not expected to be, renewed prior to the original estimated termination date and $0.2 million of other net charges.

The net losses of $6.1 million recorded during the three months ended June 30, 2021 consisted of a $4.6 million loss resulting from property and equipment damaged in a facility fire, $0.6 million of charges to write off the carrying cost of certain contracts that were not, or are not expected to be, renewed prior to the original estimated termination date and $0.9 million of other net charges.

Impairments and other operating items decreased $0.7 million, to net losses totaling $6.0 million for the six months ended June 30, 2022, from net losses totaling $6.7 million for the six months ended June 30, 2021.

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The net losses of $6.0 million recorded during the six months ended June 30, 2022 consisted of $4.9 million of charges to write off the carrying cost of certain contracts that were not, or are not expected to be, renewed prior to the original estimated termination date, $0.9 million of losses on property and equipment disposals and $0.2 million of other net charges.

The net losses of $6.7 million recorded during the six months ended June 30, 2021 consisted of a $4.6 million loss resulting from property and equipment damaged in a facility fire, $1.1 million of charges to write off the carrying cost of certain contracts that were not, or are not expected to be, renewed prior to the original estimated termination date and $1.0 million of other net charges.

Operating Income.  Operating income increased $62.8 million, or 23.5%, to $329.6 million for the three months ended June 30, 2022, from $266.8 million for the three months ended June 30, 2021. 

The increase in our operating income for the three months ended June 30, 2022 was due primarily to price increases for our solid waste services, operating income generated from acquisitions closed during, or subsequent to, the three months ended June 30, 2021 and an increase in earnings at our E&P waste operations.

Operating income increased $98.2 million, or 19.5%, to $603.4 million for the six months ended June 30, 2022, from $505.2 million for the six months ended June 30, 2021. 

The increase in our operating income for the six months ended June 30, 2022 was due primarily to price increases for our solid waste services, operating income contributions from increased sales of recyclable commodities and renewable energy credits associated with the generation of landfill gas, operating income generated from acquisitions closed during, or subsequent to, the six months ended June 30, 2021 and an increase in earnings at our E&P waste operations.

Operating income as a percentage of revenues increased 0.7 percentage points to 18.1% for the three months ended June 30, 2022, from 17.4% for the three months ended June 30, 2021.  The increase in operating income as a percentage of revenues was comprised of a 1.0 percentage point decrease in SG&A expense, a 0.6 percentage point decrease in depreciation expense and a 0.2 percentage point decrease in impairments and other operating items, partially offset by a 1.1 percentage point increase in cost of operations.

Operating income as a percentage of revenues increased 0.2 percentage points to 17.4% for the six months ended June 30, 2022, from 17.2% for the six months ended June 30, 2021.  The increase in operating income as a percentage of revenues was comprised of a 0.6 percentage point decrease in SG&A expense and a 0.6 percentage point decrease in depreciation expense, partially offset by a 1.0 percentage point increase in cost of operations.

Interest Expense.  Interest expense increased $3.8 million, or 9.1%, to $45.1 million for the three months ended June 30, 2022, from $41.3 million for the three months ended June 30, 2021. The increase was primarily attributable to an increase of $14.0 million from the issuance of $2.0 billion of senior unsecured notes subsequent to June 30, 2021, an increase of $2.1 million due to an increase in the average borrowings outstanding under our Credit Agreement and an increase of $0.5 million from higher interest rates on borrowings outstanding under our Credit Agreement, partially offset by a decrease of $12.6 million from the repayment of $1.75 billion of senior unsecured notes in 2021 and $0.2 million of other net decreases.

Interest expense increased $2.6 million, or 3.2%, to $86.4 million for the six months ended June 30, 2022, from $83.8 million for the six months ended June 30, 2021. The increase was primarily attributable to an increase of $25.0 million from the issuance of $2.0 billion of senior unsecured notes subsequent to June 30, 2021 and an increase of $5.3 million due to an increase in the average borrowings outstanding under our Credit Agreement, partially offset by a decrease of $26.6 million from the repayment of $1.75 billion of senior unsecured notes in 2021 and $1.1 million of other net decreases.

Other Income (Expense), Net.  Other income (expense), net decreased $1.4 million, to an expense total of $2.6 million for the three months ended June 30, 2022, from an expense total of $1.2 million for the three months ended June 30, 2021.

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Other expense of $2.6 million recorded during the three months ended June 30, 2022 consisted of $4.3 million from a decline in the value of investments purchased to fund our employee deferred compensation obligations and a $1.0 million adjustment to increase certain acquisition-related accrued liabilities recorded in prior periods, partially offset by foreign currency transaction gains of $2.5 million resulting from a decrease in the average foreign currency exchange rate in effect during the comparable reporting periods reducing the U.S. dollar consideration required to settle international liabilities and $0.2 million of other net income.

Other expense of $1.2 million recorded during the three months ended June 30, 2021 consisted of $1.8 million of adjustments to increase certain accrued liabilities acquired in prior period acquisitions and a $0.9 million increase in other net expenses, partially offset by $1.5 million of income earned on investments purchased to fund our employee deferred compensation obligations.

Other income (expense), net decreased $8.4 million, to an expense total of $6.1 million for the six months ended June 30, 2022, from an income total of $2.3 million for the six months ended June 30, 2021.

Other expense of $6.1 million recorded during the six months ended June 30, 2022 consisted of $6.2 million from a decline in the value of investments purchased to fund our employee deferred compensation obligations and a $2.0 million adjustment to increase certain acquisition-related accrued liabilities recorded in prior periods, partially offset by foreign currency transaction gains of $1.9 million resulting from a decrease in the average foreign currency exchange rate in effect during the comparable reporting periods reducing the U.S. dollar consideration required to settle international liabilities and $0.2 million of other net income.

Other income of $2.3 million recorded during the six months ended June 30, 2021 consisted of $2.7 million of income earned on investments purchased to fund our employee deferred compensation obligations and a $1.1 million increase in other net income sources, partially offset by $1.5 million of adjustments to increase certain accrued liabilities acquired in prior period acquisitions.

Income Tax Provision.  Income taxes increased $10.4 million, to $58.3 million for the three months ended June 30, 2022, from $47.9 million for the three months ended June 30, 2021.  Our effective tax rate for the three months ended June 30, 2022 was 20.6%. Our effective tax rate for the three months ended June 30, 2021 was 21.3%.  Income taxes increased $18.9 million, to $107.1 million for the six months ended June 30, 2022, from $88.2 million for the six months ended June 30, 2021.  Our effective tax rate for the six months ended June 30, 2022 was 20.9%. Our effective tax rate for the six months ended June 30, 2021 was 20.7%. 

The income tax provision for the three and six months ended June 30, 2022 included a benefit of $0.1 million and $2.5 million, respectively, from share-based payment awards being recognized in the income statement when settled, as well as a portion of our internal financing being taxed at effective rates substantially lower than the U.S. federal statutory rate.

The income tax provision for the six months ended June 30, 2021 included a benefit of $2.0 million from share-based payment awards being recognized in the income statement when settled, as well as a portion of our internal financing being taxed at effective rates substantially lower than the U.S. federal statutory rate.

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SEGMENT RESULTS

General

No single contract or customer accounted for more than 10% of our total revenues at the consolidated or reportable segment level during the periods presented. The following table disaggregates our revenue by service line for the periods indicated (dollars in thousands of U.S. dollars).

	Three Months Ended June 30,					Six Months Ended June 30,
	2022		2021		2022		2021
Commercial	$	538,525	$	444,044	$	1,038,201	$	870,439
Residential		463,320		416,975		903,608		817,794
Industrial and construction roll off		295,557		237,300		555,045		446,558
Total collection		1,297,402		1,098,319		2,496,854		2,134,791
Landfill		339,719		327,124		639,484		599,060
Transfer		261,475		217,133		479,432		406,456
Recycling		67,504		41,539		130,598		73,987
E&P		54,155		34,607		97,711		62,618
Intermodal and other		46,310		38,590		92,002		74,225
Intercompany		(250,130)		(223,381)		(473,391)		(421,263)
Total	$	1,816,435	$	1,533,931	$	3,462,690	$	2,929,874

We manage our operations through the following five geographic solid waste operating segments: Eastern, Southern, Western, Central and Canada. Our five geographic solid waste operating segments comprise our reportable segments.  Our Chief Operating Decision Maker evaluates operating segment profitability and determines resource allocations based on several factors, of which the primary financial measure is segment EBITDA. We define segment EBITDA as earnings before interest, taxes, depreciation, amortization, impairments and other operating items and other income (expense). Segment EBITDA is not a measure of operating income, operating performance or liquidity under GAAP and may not be comparable to similarly titled measures reported by other companies. Our management uses segment EBITDA in the evaluation of segment operating performance as it is a profit measure that is generally within the control of the operating segments.  Each operating segment is responsible for managing several vertically integrated operations, which are comprised of districts.

Summarized financial information for our reportable segments are shown in the following tables in thousands of U.S. dollars and as a percentage of total segment revenue for the periods indicated.

Three Months Ended					EBITDA		Depreciation and
June 30, 2022	Revenue		EBITDA(b)		Margin		Amortization
Eastern	$	478,739	$	126,042	26.3	%	$	70,126
Southern		416,464		124,507	29.9	%		49,598
Western		360,923		110,602	30.6	%		37,617
Central		309,927		109,023	35.2	%		38,016
Canada		250,382		92,648	37.0	%		31,914
Corporate(a)		—		(2,683)	—			(872)
	$	1,816,435	$	560,139	30.8	%	$	226,399

Three Months Ended					EBITDA		Depreciation and
June 30, 2021	Revenue		EBITDA(b)		Margin		Amortization
Eastern	$	369,617	$	99,382	26.9	%	$	59,032
Southern		363,336		98,928	27.2	%		46,414
Western		313,789		99,402	31.7	%		31,379
Central		266,845		94,886	35.6	%		33,030
Canada		220,344		88,641	40.2	%		30,133
Corporate(a)		—		(6,442)	—			1,940
	$	1,533,931	$	474,797	31.0	%	$	201,928

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Six Months Ended					EBITDA		Depreciation and
June 30, 2022	Revenue		EBITDA(b)		Margin		Amortization
Eastern	$	900,335	$	233,830	26.0	%	$	135,411
Southern		803,528		233,117	29.0	%		97,170
Western		707,633		215,349	30.4	%		74,180
Central		586,104		201,059	34.3	%		73,042
Canada		465,090		177,492	38.2	%		59,279
Corporate(a)		—		(7,385)	—			4,903
	$	3,462,690	$	1,053,462	30.4	%	$	443,985

Six Months Ended					EBITDA		Depreciation and
June 30, 2021	Revenue		EBITDA(b)		Margin		Amortization
Eastern	$	706,079	$	188,503	26.7	%	$	112,507
Southern		701,497		192,352	27.4	%		91,899
Western		610,793		193,228	31.6	%		61,469
Central		502,231		173,926	34.6	%		64,605
Canada		409,274		162,581	39.7	%		56,624
Corporate(a)		—		(7,192)	—			4,419
	$	2,929,874	$	903,398	30.8	%	$	391,523

(a) The majority of Corporate expenses are allocated to the five operating segments.  Direct acquisition expenses, expenses associated with common shares held in the deferred compensation plan exchanged for other investment options and share-based compensation expenses associated with Progressive Waste share-based grants outstanding at June 1, 2016 that were continued by the Company are not allocated to the five operating segments and comprise the net EBITDA for our Corporate segment for the periods presented.

(b) For those items included in the determination of segment EBITDA, the accounting policies of the segments are the same as those described in our most recent Annual Report on Form 10-K.

A reconciliation of segment EBITDA to Income before income tax provision is included in Note 10 to our Condensed Consolidated Financial Statements included in Part 1, Item 1 of this report.

Significant changes in revenue, EBITDA and depreciation, depletion and amortization for our reportable segments for the three and six month periods ended June 30, 2022, compared to the three and six month periods ended June 30, 2021, are discussed below.

Eastern

Revenue increased $109.1 million to $478.7 million for the three months ended June 30, 2022, from $369.6 million for the three months ended June 30, 2021, due to price increases, increased commercial and roll off collection, transfer station volume increases, landfill special waste volume increases, contributions from acquisitions closed subsequent to June 30, 2021 and higher prices for recyclable commodities, partially offset by decreased residential collection volumes.

Revenue increased $194.2 million to $900.3 million for the six months ended June 30, 2022, from $706.1 million for the six months ended June 30, 2021, due to price increases, increased commercial and roll off collection, municipal solid waste disposal volume increases, contributions from acquisitions closed subsequent to June 30, 2021 and higher prices for recyclable commodities, partially offset by decreased residential collection volumes.

EBITDA increased $26.6 million to $126.0 million for the three months ended June 30, 2022, from $99.4 million for the three months ended June 30, 2021. EBITDA margin was 26.3% and 26.9% for the three months ended June 30, 2022 and 2021, respectively. EBITDA increased $45.3 million to $233.8 million for the six months ended June 30, 2022, from $188.5 million for the six months ended June 30, 2021. EBITDA margin was 26.0% and 26.7% for the six months ended June 30, 2022 and 2021, respectively. The decrease in our EBITDA margin for the three and six months ended June 30, 2022 was due primarily to increased diesel fuel expenses, increased third-party trucking and transportation expenses, increased repair and maintenance expenses, increased leachate disposal expenses and increased travel, meetings, training and community activity expenses, partially offset by benefits from price-led revenue increases.

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Depreciation, depletion and amortization expense increased $11.1 million, to $70.1 million for the three months ended June 30, 2022, from $59.0 million for the three months ended June 30, 2021. Depreciation, depletion and amortization expense increased $22.9 million, to $135.4 million for the six months ended June 30, 2022, from $112.5 million for the six months ended June 30, 2021. The increase for the three and six months ended June 30, 2022 was due to assets acquired in acquisitions, additions to our fleet and equipment and higher depletion expense due to higher landfill development costs increasing our per ton landfill depletion rates.

Southern

Revenue increased $53.2 million to $416.5 million for the three months ended June 30, 2022, from $363.3 million for the three months ended June 30, 2021. Revenue increased $102.0 million to $803.5 million for the six months ended June 30, 2022, from $701.5 million for the six months ended June 30, 2021. The increase for the three and six months ended June 30, 2022 was due to solid waste price increases, increased E&P waste revenues attributable to increases in drilling and production activity levels resulting in increases in the demand for our E&P waste services, contributions from acquisitions closed subsequent to June 30, 2021 and increased roll off collection and landfill municipal solid waste volumes, partially offset by lower residential collection volumes due to the loss of a collection contract subsequent to June 30, 2021, a decrease resulting from the divestiture of certain non-strategic operating locations and lower landfill special waste volumes.

EBITDA increased $25.6 million to $124.5 million for the three months ended June 30, 2022, from $98.9 million for the three months ended June 30, 2021. EBITDA margin was 29.9% and 27.2% for the three months ended June 30, 2022 and 2021, respectively. EBITDA increased $40.7 million to $233.1 million for the six months ended June 30, 2022, from $192.4 million for the six months ended June 30, 2021. EBITDA margin was 29.0% and 27.4% for the six months ended June 30, 2022 and 2021, respectively. The increase in our EBITDA margin for the three and six months ended June 30, 2022 was due to increased earnings at our E&P operations and price-led increases in solid waste revenue, partially offset by increased diesel and natural gas fuel expenses, increased vehicle and equipment maintenance and repair expenses, the impact of acquisitions closed subsequent to June 30, 2021 having lower EBITDA margins than our segment average, increased travel, meetings, training and community activity expenses and increased legal expenses.

Depreciation, depletion and amortization expense increased $3.2 million, to $49.6 million for the three months ended June 30, 2022, from $46.4 million for the three months ended June 30, 2021. Depreciation, depletion and amortization expense increased $5.3 million, to $97.2 million for the six months ended June 30, 2022, from $91.9 million for the six months ended June 30, 2021. The increase for the three and six months ended June 30, 2022 was due to assets acquired in acquisitions, additions to our fleet and equipment and higher depletion expense due to increased landfill volumes and higher landfill development costs increasing our per ton landfill depletion rates, partially offset by a decrease resulting from the divestiture of certain non-strategic operating locations and a reduction in amortization expense associated with the loss of a large residential collection contract.

Western

Revenue increased $47.1 million to $360.9 million for the three months ended June 30, 2022, from $313.8 million for the three months ended June 30, 2021. Revenue increased $96.8 million to $707.6 million for the six months ended June 30, 2022, from $610.8 million for the six months ended June 30, 2021. The increase for the three and six months ended June 30, 2022 was due to contributions from acquisitions closed subsequent to June 30, 2021, price increases, increased collection volumes, higher prices for recyclable commodities and increased intermodal revenue.

EBITDA increased $11.2 million to $110.6 million for the three months ended June 30, 2022, from $99.4 million for the three months ended June 30, 2021. EBITDA margin was 30.6% and 31.7% for the three months ended June 30, 2022 and 2021, respectively. EBITDA increased $22.1 million to $215.3 million for the six months ended June 30, 2022, from $193.2 million for the six months ended June 30, 2021. EBITDA margin was 30.4% and 31.6% for the six months ended June 30, 2022 and 2021, respectively. The decrease in our EBITDA margin for the three and six months ended June 30, 2022 was due to increased diesel and natural gas fuel expenses, increased third-party trucking and transportation expenses, acquisitions closed subsequent to June 30, 2021 having operating margins lower than our segment average, increased cost

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of recyclable commodities expenses and increased travel, meetings, training and community activity expenses, partially offset by benefits from price-led increases in revenue.

Depreciation, depletion and amortization expense increased $6.2 million, to $37.6 million for the three months ended June 30, 2022, from $31.4 million for the three months ended June 30, 2021. Depreciation, depletion and amortization expense increased $12.7 million, to $74.2 million for the six months ended June 30, 2022, from $61.5 million for the six months ended June 30, 2021. The increase for the three and six months ended June 30, 2022 was due to assets acquired in acquisitions and additions to our fleet and equipment.

Central

Revenue increased $43.1 million to $309.9 million for the three months ended June 30, 2022, from $266.8 million for the three months ended June 30, 2021. Revenue increased $83.9 million to $586.1 million for the six months ended June 30, 2022, from $502.2 million for the six months ended June 30, 2021. The increase for the three and six months ended June 30, 2022 was due to price increases, contributions from acquisitions closed subsequent to June 30, 2021, higher roll off collection volumes and higher prices for recyclable commodities.

EBITDA increased $14.1 million to $109.0 million for the three months ended June 30, 2022, from $94.9 million for the three months ended June 30, 2021. EBITDA margin was 35.2% and 35.6% for the three months ended June 30, 2022 and 2021, respectively. EBITDA increased $27.2 million to $201.1 million for the six months ended June 30, 2022, from $173.9 million for the six months ended June 30, 2021. EBITDA margin was 34.3% and 34.6% for the six months ended June 30, 2022 and 2021, respectively. The decrease in our EBITDA margin for the three and six months ended June 30, 2022 was due to acquisitions closed subsequent to June 30, 2021 having operating margins lower than our segment average, increased diesel and natural gas fuel expenses, increased labor expenses attributable to pay rate increases, increased vehicle and equipment maintenance and repair expenses and increased travel, meetings, training and community activity expenses, partially offset by benefits from price-led increases in revenue.

Depreciation, depletion and amortization expense increased $5.0 million, to $38.0 million for the three months ended June 30, 2022, from $33.0 million for the three months ended June 30, 2021. Depreciation, depletion and amortization expense increased $8.4 million, to $73.0 million for the six months ended June 30, 2022, from $64.6 million for the six months ended June 30, 2021. The increase for the three and six months ended June 30, 2022 was due to assets acquired in acquisitions, additions to our fleet and equipment and higher depletion expense due to higher landfill development costs increasing our per ton landfill depletion rates.

Canada

Revenue increased $30.1 million to $250.4 million for the three months ended June 30, 2022, from $220.3 million for the three months ended June 30, 2021, due to price increases, contributions from acquisitions closed subsequent to June 30, 2021, higher commercial and roll off collection volumes, higher prices for renewable energy credits associated with the generation of landfill gas, higher prices for recyclable commodities and higher volumes collected from commercial recycling customers, partially offset by lower residential collection volumes due to the loss of a collection contract subsequent to June 30, 2021, lower landfill special waste volumes and the divestiture of a non-strategic operating location.

Revenue increased $55.8 million to $465.1 million for the six months ended June 30, 2022, from $409.3 million for the six months ended June 30, 2021, due to price increases, contributions from acquisitions closed subsequent to June 30, 2021, higher commercial and roll off collection volumes, higher landfill special waste volumes, higher prices for renewable energy credits associated with the generation of landfill gas, higher prices for recyclable commodities and higher volumes collected from commercial recycling customers, partially offset by lower residential collection volumes due to the loss of a collection contract subsequent to June 30, 2021 and the divestiture of a non-strategic operating location.

EBITDA increased $4.0 million to $92.6 million for the three months ended June 30, 2022, from $88.6 million for the three months ended June 30, 2021. EBITDA margin was 37.0% and 40.2% for the three months ended June 30, 2022 and 2021, respectively. EBITDA increased $14.9 million to $177.5 million for the six months ended June 30, 2022, from $162.6 million for the six months ended June 30, 2021. EBITDA margin was 38.2% and 39.7% for the six months ended

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June 30, 2022 and 2021, respectively. The decrease in our EBITDA margin during the three and six months ended June 30, 2022 was due to increased diesel fuel expenses, acquisitions closed subsequent to June 30, 2021 having operating margins lower than our segment average, increased cost of recyclable commodities expenses, increased disposal expenses, increased subcontracted hauling services and increased travel, meetings, training and community activity expenses, partially offset by benefits from price-led increases in revenue.

Depreciation, depletion and amortization expense increased $1.8 million, to $31.9 million for the three months ended June 30, 2022, from $30.1 million for the three months ended June 30, 2021 due to assets acquired in acquisitions and additions to our fleet and equipment, partially offset by a decrease resulting from the divestiture of a non-strategic operating location.

Depreciation, depletion and amortization expense increased $2.7 million, to $59.3 million for the six months ended June 30, 2022, from $56.6 million for the six months ended June 30, 2021 due to assets acquired in acquisitions, additions to our fleet and equipment and higher depletion expense due to increased landfill disposal volumes and higher landfill development costs increasing our per ton landfill depletion rates, partially offset by a decrease resulting from the divestiture of a non-strategic operating location.

Corporate

EBITDA increased $3.7 million, to a loss of $2.7 million for the three months ended June 30, 2022, from a loss of $6.4 million for the three months ended June 30, 2021. The increase was due to decreased equity-based compensation expenses and decreased deferred compensation expenses, partially offset by increased travel, meetings, training and community activity expenses, increased direct acquisition expenses and increased allocations of corporate overhead expenses to our segments.

EBITDA decreased $0.2 million, to a loss of $7.4 million for the six months ended June 30, 2022, from a loss of $7.2 million for the six months ended June 30, 2021. The decrease was due to increased travel, meetings, training and community activity expenses, increased direct acquisition expenses, increased legal expenses, increased software license fees and the payment of supplemental bonuses to non-management employees to provide financial assistance associated with the impact of COVID-19, partially offset by decreased equity-based compensation expenses, decreased deferred compensation expenses, decreased cash incentive compensation expense to our management and decreased allocations of corporate overhead expenses to our segments.

LIQUIDITY AND CAPITAL RESOURCES

The following table sets forth certain cash flow information for the six months ended June 30, 2022 and 2021 (in thousands of U.S. dollars):

	Six Months Ended
	June 30,
	2022		2021
Net cash provided by operating activities	$	973,678	$	848,478
Net cash used in investing activities		(891,950)		(332,794)
Net cash provided by (used in) financing activities		25,142		(393,184)
Effect of exchange rate changes on cash, cash equivalents and restricted cash		(1,941)		873
Net increase in cash, cash equivalents and restricted cash		104,929		123,373
Cash, cash equivalents and restricted cash at beginning of period		219,615		714,389
Cash, cash equivalents and restricted cash at end of period	$	324,544	$	837,762

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Operating Activities Cash Flows

For the six months ended June 30, 2022, net cash provided by operating activities was $973.7 million. For the six months ended June 30, 2021, net cash provided by operating activities was $848.5 million. The $125.2 million increase was due primarily to the following:

1) Increase in earnings — Our increase in net cash provided by operating activities was favorably impacted by $117.8 million from an increase in net income, excluding depreciation, amortization of intangibles, share-based compensation, adjustments to and payments of contingent consideration recorded in earnings and loss on disposal of assets and impairments, due primarily to price increases, earnings from acquisitions closed during, or subsequent to, the six months ended June 30, 2021, earnings generated from the increased sales of recyclable commodities and renewal energy credits associated with the generation of landfill gas and an increase in earnings at our E&P waste operations.

2) Deferred income taxes — Our increase in net cash provided by operating activities was favorably impacted by $81.5 million from deferred income taxes as changes in deferred income taxes resulted in an increase to operating cash flows of $85.0 million for the six months ended June 30, 2022, compared to an increase to operating cash flows of $3.5 million for the six months ended June 30, 2021. The increase for the six months ended June 30, 2022 was attributable to capital expenditures providing tax benefits resulting from accelerated depreciation and tax benefits resulting from the divestiture of certain non-strategic E&P disposal operating locations. The increase in deferred taxes for the six months ended June 30, 2021 was attributable to capital expenditures providing tax benefits resulting from accelerated tax depreciation.

3) Accounts payable and accrued liabilities — Our increase in net cash provided by operating activities was favorably impacted by $47.3 million from accounts payable and accrued liabilities as changes in accounts payable and accrued liabilities resulted in an increase to operating cash flows of $82.8 million for the six months ended June 30, 2022, compared to an increase to operating cash flows of $35.6 million for the six months ended June 30, 2021. The increase for the six months ended June 30, 2022 was due primarily to increases in operating expenses during the period which remained as outstanding obligations at June 30, 2022 and increased accrued interest due to the timing of interest payments for our senior unsecured notes issued subsequent to June 30, 2021, partially offset by the payment of annual cash incentive compensation to our management, which was accrued as a liability at year end. The increase for the six months ended June 30, 2021 was due primarily to increases in operating expenses during the period which remained as outstanding obligations at June 30, 2021 and the timing of payroll cycles.

4) Deferred revenue — Our increase in net cash provided by operating activities was favorably impacted by $13.0 million from deferred revenue as changes in deferred revenue resulted in an increase to operating cash flows of $27.5 million for the six months ended June 30, 2022, compared to an increase to operating cash flows of $14.5 million for the six months ended June 30, 2021. For both comparative periods, deferred revenue increased due to price increases on our advanced billed residential and commercial collection services.

5) Accounts receivable – Our increase in net cash provided by operating activities was unfavorably impacted by $64.2 million from accounts receivable as changes in accounts receivable resulted in a decrease to operating cash flows of $83.3 million for the six months ended June 30, 2022, compared to a decrease to operating cash flows of $19.1 million for the six months ended June 30, 2021. The decrease for the six months ended June 30, 2022 was due to increases in revenues, which remained as outstanding receivables at June 30, 2022. The decrease for the six months ended June 30, 2021 was due to increases in revenues, which remained as outstanding receivables at June 30, 2021.

6) Other long-term liabilities – Our increase in net cash provided by operating activities was unfavorably impacted by $22.7 million from other long-term liabilities as changes in other long-term liabilities resulted in a decrease to operating cash flows of $12.1 million for the six months ended June 30, 2022, compared to an increase to operating cash flows of $10.6 million for the six months ended June 30, 2021. The decrease for the six months ended June 30, 2022 was due primarily to decreased employee deferred compensation liabilities. The increase for the six months ended June 30, 2021 was primarily attributable to the receipt of funds associated with the eminent domain purchase of an operating facility that will be replaced with a newly constructed facility in a future period.

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7) Prepaid expenses – Our increase in net cash provided by operating activities was unfavorably impacted by $49.3 million from prepaid expenses as changes in prepaid expenses resulted in a decrease to operating cash flows of $18.3 million for the six months ended June 30, 2022, compared to an increase to operating cash flows of $31.0 million for the six months ended June 30, 2021. The decrease for the six months ended June 30, 2022 was due primarily to increases in fuel inventory, prepaid income taxes and prepaid information technology application licenses. The increase for the six months ended June 30, 2021 was due primarily to the benefit of utilizing prior period prepaid vendor payments and prepaid income taxes.

As of June 30, 2022, we had a working capital deficit of $79.8 million, including cash and equivalents of $217.8 million.  Our working capital increased $120.2 million from a working capital deficit of $200.0 million at December 31, 2021 including cash and equivalents of $147.4 million, due primarily to an increase in cash balances, accounts receivable and current income tax benefits, partially offset by an increase in accounts payable and deferred revenue. To date, we have experienced no loss or lack of access to our cash and equivalents; however, we can provide no assurances that access to our cash and equivalents will not be impacted by adverse conditions in the financial markets.  Our strategy in managing our working capital is generally to apply the cash generated from our operations that remains after satisfying our working capital and capital expenditure requirements, along with share repurchase and dividend programs, to reduce the unhedged portion of our indebtedness under our Credit Agreement and to minimize our cash balances.

Investing Activities Cash Flows

Net cash used in investing activities increased $559.1 million to $891.9 million for the six months ended June 30, 2022, from $332.8 million for the six months ended June 30, 2021. The significant components of the increase included the following:

1) An increase in cash paid for acquisitions of $479.5 million;

2) An increase in capital expenditures at operations owned in the comparable periods of $63.5 million due to increases in land and buildings, landfill site costs, trucks, equipment and containers; and

3) An increase in capital expenditures at operations acquired during the comparative periods of $36.5 million due to additional trucks, equipment and containers; less

4) An increase in proceeds from disposal of assets of $9.0 million due to additional disposal of non-strategic assets to provide funding toward new capital expenditures.

Financing Activities Cash Flows

Net cash provided by financing activities increased $418.3 million to $25.1 million for the six months ended June 30, 2022, from net cash used in financing activities of $393.2 million for the six months ended June 30, 2021. The significant components of the increase included the following:

1) An increase from the net change in long-term borrowings of $554.2 million (long-term borrowings increased $598.7 million during the six months ended June 30, 2022 and increased $44.5.million during the six months ended June 30, 2021); less

2) A decrease from higher payments to repurchase our common shares of $119.4 million due to an increased volume of shares repurchased; less

3) A decrease from higher cash dividends paid of $11.5 million due primarily to an increase in our quarterly dividend rate for the six months ended June 30, 2022 to $0.23 per share, from $0.205 per share for the six months ended June 30, 2021; less

4) A decrease from higher debt issuance costs of $4.7 million attributable to senior note offerings completed in 2022.

Our business is capital intensive. Our capital requirements include acquisitions and capital expenditures for landfill cell construction, landfill development, landfill closure activities and intermodal facility construction in the future.

On July 27, 2021, our Board of Directors approved, subject to receipt of regulatory approvals, the annual renewal of our normal course issuer bid, or the NCIB, to purchase up to 13,025,895 of our common shares during the period of

46

August 10, 2021 to August 9, 2022 or until such earlier time as the NCIB is completed or terminated at our option. Shareholders may obtain a copy of our TSX Form 12 – Notice of Intention to Make a Normal Course Issuer Bid, without charge, by request directed to our Executive Vice President and Chief Financial Officer at (832) 442-2200.  The timing and amounts of any repurchases pursuant to the NCIB will depend on many factors, including our capital structure, the market price of our common shares and overall market conditions. All common shares purchased under the NCIB will be immediately cancelled following their repurchase.  Information regarding our NCIB can be found under the “Normal Course Issuer Bid” section in Note 16 to the Condensed Consolidated Financial Statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q and is incorporated herein by reference.

On July 26, 2022, our Board of Directors approved, subject to receipt of regulatory approvals, the annual renewal of our NCIB.  The renewal is expected to commence following the conclusion of our current NCIB expiring August 9, 2022. Upon approval, we anticipate that we will be authorized to make purchases during the period of August 10, 2022 to August 9, 2023 or until such earlier time as the NCIB is completed or terminated at our option.

Our Board of Directors authorized the initiation of a quarterly cash dividend in October 2010 and has increased it on an annual basis. In October 2021, our Board of Directors authorized an increase to our regular quarterly cash dividend of $0.025, from $0.205 to $0.230 per share.  Cash dividends of $118.8 million and $107.3 million were paid during the six months ended June 30, 2022 and 2021, respectively. We cannot assure you as to the amounts or timing of future dividends.

We made $371.4 million in capital expenditures for property and equipment during the six months ended June 30, 2022, and we expect to make total capital expenditures for property and equipment of approximately $850 million in 2022.  We have funded and intend to fund the balance of our planned 2022 capital expenditures principally through cash on hand, internally generated funds and borrowings under our Credit Agreement. In addition, we may make substantial additional capital expenditures in acquiring land and solid waste businesses. If we acquire additional landfill disposal facilities, we may also have to make significant expenditures to bring them into compliance with applicable regulatory requirements, obtain permits or expand our available disposal capacity. We cannot currently determine the amount of these expenditures because they will depend on the number, nature, condition and permitted status of any acquired landfill disposal facilities. We believe that our cash and equivalents, Credit Agreement and the funds we expect to generate from operations will provide adequate cash to fund our working capital and other cash needs for the foreseeable future. However, disruptions in the capital and credit markets could adversely affect our ability to draw on our Credit Agreement or raise other capital. Our access to funds under the Credit Agreement is dependent on the ability of the banks that are parties to the agreement to meet their funding commitments. Those banks may not be able to meet their funding commitments if they experience shortages of capital and liquidity or if they experience excessive volumes of borrowing requests within a short period of time.

As of June 30, 2022, $650.0 million under the term loan and $902.0 million under the revolving credit facility were outstanding under the Credit Agreement, exclusive of outstanding standby letters of credit of $43.3 million. We also had $84.6 million of letters of credit issued and outstanding at June 30, 2022 under a facility other than the Credit Agreement.  Our Credit Agreement matures in July 2026.

On March 9, 2022, we completed an underwritten public offering (the “Offering”) of $500.0 million aggregate principal amount of 3.20% Senior Notes due 2032 (the “New 2032 Senior Notes”). We issued the New 2032 Senior Notes under the Indenture, dated as of November 16, 2018, by and between the Company and U.S. Bank Trust Company, National Association, as successor in interest to U.S. Bank National Association, as trustee, as supplemented by the Sixth Supplemental Indenture, dated as of March 9, 2022.

We will pay interest on the New 2032 Senior Notes semi-annually in arrears. The New 2032 Senior Notes will mature on June 1, 2032. The New 2032 Senior Notes are our senior unsecured obligations, ranking equally in right of payment with our other existing and future unsubordinated debt and senior to any of our future subordinated debt. The New 2032 Senior Notes are not guaranteed by any of our subsidiaries.

See Note 9 to our Condensed Consolidated Financial Statements included in Part I, Item 1 of this report for further details on the debt agreements.

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We are a well-known seasoned issuer with an effective shelf registration statement on Form S-3 filed in September 2021, which registers an unspecified amount of debt securities, including debentures, notes or other types of debt.   In the future, we may issue debt securities under our shelf registration statement or in private placements from time to time on an opportunistic basis, based on market conditions and available pricing. Unless otherwise indicated in the relevant offering documents, we expect to use the proceeds from any such offerings for general corporate purposes, including repaying, redeeming or repurchasing debt, acquiring additional assets or businesses, capital expenditures and increasing our working capital.

As of June 30, 2022, we had the following contractual obligations:

	Payments Due by Period
	(amounts in thousands of U.S. dollars)
			Less Than		1 to 3				Over 5
Recorded Obligations	Total		1 Year		Years		3 to 5 Years		Years
Long-term debt	$	5,698,281	$	6,342	$	13,175	$	1,563,894	$	4,114,870
Cash interest payments	$	2,088,954	$	179,844	$	359,104	$	304,257	$	1,245,749
Contingent consideration	$	108,549	$	59,023	$	12,999	$	3,224	$	33,303
Operating leases	$	202,360	$	20,588	$	65,409	$	38,641	$	77,722
Final capping, closure and post-closure	$	1,653,406	$	21,592	$	38,670	$	14,643	$	1,578,501

____________________

Long-term debt payments include:

1) $902.0 million in principal payments due July 2026 related to our revolving credit facility under our Credit Agreement.  We may elect to draw amounts on our Credit Agreement in U.S. dollar LIBOR rate loans, U.S. dollar base rate loans, Canadian-based bankers’ acceptances or BA equivalent notes, and Canadian dollar prime rate loans.  At June 30, 2022, $723.5 million of the outstanding borrowings drawn under the revolving credit facility were in U.S. LIBOR rate loans, which bear interest at the LIBOR rate plus the applicable margin (for a total rate of 2.67% on such date).  At June 30, 2022, $3.9 million of the outstanding borrowings drawn under the revolving credit facility were in Canadian dollar prime rate loans, which bear interest at the Canadian prime rate plus the applicable prime rate margin (for a total rate of 3.70% on such date).  At June 30, 2022, $174.6 million of the outstanding borrowings drawn under the revolving credit facility were in Canadian-based bankers’ acceptances, which bear interest at the Canadian Dollar Offered Rate plus the applicable acceptance fee (for a total rate of 3.23% on such date).

2) $650.0 million in principal payments due July 2026 related to our term loan under our Credit Agreement. Outstanding amounts on the term loan can be either base rate loans or LIBOR loans. At June 30, 2022, all amounts outstanding under the term loan were in LIBOR loans which bear interest at the LIBOR rate plus the applicable margin (for a total rate of 2.67% on such date).

3) $500.0 million in principal payments due 2028 related to our 2028 Senior Notes. The 2028 Senior Notes bear interest at a rate of 4.25%.

4) $500.0 million in principal payments due 2029 related to our 2029 Senior Notes. The 2029 Senior Notes bear interest at a rate of 3.50%.

5) $600.0 million in principal payments due 2030 related to our 2030 Senior Notes. The 2030 Senior Notes bear interest at a rate of 2.60%.

6) $650.0 million in principal payments due 2032 related to our 2032 Senior Notes. The 2032 Senior Notes bear interest at a rate of 2.20%.

7) $500.0 million in principal payments due 2032 related to our New 2032 Senior Notes. The New 2032 Senior Notes bear interest at a rate of 3.20%.

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8) $500.0 million in principal payments due 2050 related to our 2050 Senior Notes. The 2050 Senior Notes bear interest at a rate of 3.05%.

9) $850.0 million in principal payments due 2052 related to our 2052 Senior Notes. The 2052 Senior Notes bear interest at a rate of 2.95%.

10) $35.5 million in principal payments related to our notes payable to sellers and other third parties. Our notes payable to sellers and other third parties bear interest at rates between 2.42% and 10.35% at June 30, 2022, and have maturity dates ranging from 2028 to 2036.

11) $10.8 million in principal payments related to our financing leases.  Our financing leases bear interest at rates between 1.89% and 2.16% at June 30, 2022, and have expiration dates ranging from 2026 to 2027.

The following assumptions were made in calculating cash interest payments:

1) We calculated cash interest payments on the Credit Agreement using the LIBOR rate plus the applicable LIBOR margin, the base rate plus the applicable base rate margin, the Canadian Dollar Offered Rate plus the applicable acceptance fee and the Canadian prime rate plus the applicable prime rate margin at June 30, 2022. We assumed the Credit Agreement is paid off when it matures in July 2026.

2) We calculated cash interest payments on our interest rate swaps using the stated interest rate in the swap agreement less the LIBOR rate through the earlier expiration of the term of the swaps or the term of the credit facility.

Contingent consideration payments include $90.6 million recorded as liabilities in our Condensed Consolidated Financial Statements at June 30, 2022, and $17.9 million of future interest accretion on the recorded obligations.

We are party to operating lease agreements and finance leases. These lease agreements are established in the ordinary course of our business and are designed to provide us with access to facilities and equipment at competitive, market-driven prices.

The estimated final capping, closure and post-closure expenditures presented above are in current dollars.

	Amount of Commitment Expiration Per Period
	(amounts in thousands of U.S. dollars)
			Less Than		1 to 3		3 to 5		Over 5
Unrecorded Obligations(1)	Total		1 Year		Years		Years		Years
Unconditional purchase obligations	$	114,695	$	85,400	$	29,295	$	—	$	—

____________________

(1) We are party to unconditional purchase obligations. These purchase obligations are established in the ordinary course of our business and are designed to provide us with access to products at competitive, market-driven prices. At June 30, 2022, our unconditional purchase obligations consisted of multiple fixed-price fuel purchase contracts under which we have 42.9 million gallons remaining to be purchased for a total of $114.7 million. The current fuel purchase contracts expire on or before December 31, 2024. These arrangements have not materially affected our financial position, results of operations or liquidity during the six months ended June 30, 2022, nor are they expected to have a material impact on our future financial position, results of operations or liquidity.

We have obtained financial surety bonds, primarily to support our financial assurance needs and landfill and E&P operations. We provided customers and various regulatory authorities with surety bonds in the aggregate amounts of approximately $1.374 billion and $1.301 billion at June 30, 2022 and December 31, 2021, respectively. These arrangements have not materially affected our financial position, results of operations or liquidity during the six months ended June 30, 2022, nor are they expected to have a material impact on our future financial position, results of operations or liquidity.

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From time to time, we evaluate our existing operations and their strategic importance to us. If we determine that a given operating unit does not have future strategic importance, we may sell or otherwise dispose of those operations. Although we believe our reporting units would not be impaired by such dispositions, we could incur losses on them.

The disposal tonnage that we received in the six month periods ended June 30, 2022 and 2021, at all of our landfills during the respective period, is shown below (tons in thousands):

	Six Months Ended June 30,
	2022		2021
	Number	Total	Number	Total
	of Sites	Tons	of Sites	Tons
Owned operational landfills and landfills operated under life-of-site agreements	89	23,403	87	22,622
Operated landfills	5	296	4	274
	94	23,699	91	22,896

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NON-GAAP FINANCIAL MEASURES

Adjusted Free Cash Flow

We present adjusted free cash flow, a non-GAAP financial measure, supplementally because it is widely used by investors as a valuation and liquidity measure in the solid waste industry. Management uses adjusted free cash flow as one of the principal measures to evaluate and monitor the ongoing financial performance of our operations. We define adjusted free cash flow as net cash provided by operating activities, plus or minus change in book overdraft, plus proceeds from disposal of assets, less capital expenditures for property and equipment and distributions to noncontrolling interests. We further adjust this calculation to exclude the effects of items management believes impact the ability to assess the operating performance of our business. This measure is not a substitute for, and should be used in conjunction with, GAAP liquidity or financial measures. Other companies may calculate adjusted free cash flow differently. Our adjusted free cash flow for the six month periods ended June 30, 2022 and 2021, are calculated as follows (amounts in thousands of U.S. dollars):

	Six Months Ended
	June 30,
	2022		2021
Net cash provided by operating activities	$	973,678	$	848,478
Less: Change in book overdraft		(54)		(190)
Plus: Proceeds from disposal of assets		16,894		7,906
Less: Capital expenditures for property and equipment		(371,428)		(271,392)
Adjustments:
Payment of contingent consideration recorded in earnings (a)		—		520
Cash received for divestitures (b)		(5,671)		—
Transaction-related expenses (c)		27,096		583
Pre-existing Progressive Waste share-based grants (d)		12		144
Tax effect (e)		(2,165)		(214)
Adjusted free cash flow	$	638,362	$	585,835

____________________

(a) Reflects the addback of acquisition-related payments for contingent consideration that were recorded as expenses in earnings and as a component of cash flows from operating activities as the amounts paid exceeded the fair value of the contingent consideration recorded at the acquisition date.

(b) Reflects the elimination of cash received in conjunction with the divestiture of certain operations.

(c) Reflects the addback of acquisition-related transaction costs and the settlement of an acquired tax liability.

(d) Reflects the cash settlement of pre-existing Progressive Waste share-based awards during the period.

(e) The aggregate tax effect of footnotes (a) through (d) is calculated based on the applied tax rates for the respective periods.

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Adjusted EBITDA

We present adjusted EBITDA, a non-GAAP financial measure, supplementally because it is widely used by investors as a performance and valuation measure in the solid waste industry. Management uses adjusted EBITDA as one of the principal measures to evaluate and monitor the ongoing financial performance of our operations. We define adjusted EBITDA as net income attributable to Waste Connections, plus or minus net income (loss) attributable to noncontrolling interests, plus income tax provision, plus interest expense, less interest income, plus depreciation and amortization expense, plus closure and post-closure accretion expense, plus or minus any loss or gain on impairments and other operating items, plus other expense, less other income. We further adjust this calculation to exclude the effects of other items management believes impact the ability to assess the operating performance of our business. This measure is not a substitute for, and should be used in conjunction with, GAAP financial measures. Other companies may calculate adjusted EBITDA differently. Our adjusted EBITDA for the three and six month periods ended June 30, 2022 and 2021, are calculated as follows (amounts in thousands of U.S. dollars):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Net income attributable to Waste Connections	$	224,074	$	177,047	$	404,398	$	337,356
Plus: Net income attributable to noncontrolling interests		133		54		177		52
Plus: Income tax provision		58,307		47,868		107,146		88,159
Plus: Interest expense		45,079		41,328		86,404		83,753
Less: Interest income		(652)		(744)		(790)		(1,848)
Plus: Depreciation and amortization		226,399		201,928		443,985		391,523
Plus: Closure and post-closure accretion		3,992		3,666		8,087		7,375
Plus: Impairments and other operating items		4,150		6,081		6,028		6,715
Plus (less): Other expense (income), net		2,649		1,235		6,114		(2,312)
Adjustments:
Plus: Transaction-related expenses (a)		3,692		57		8,232		583
Plus: Fair value changes to equity awards (b)		(1,009)		6,385		(847)		6,723
Adjusted EBITDA	$	566,814	$	484,905	$	1,068,934	$	918,079

____________________

(a) Reflects the addback of acquisition-related transaction costs.

(b) Reflects fair value accounting changes associated with certain equity awards.

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Adjusted Net Income Attributable to Waste Connections and Adjusted Net Income per Diluted Share Attributable to Waste Connections

We present adjusted net income attributable to Waste Connections and adjusted net income per diluted share attributable to Waste Connections, both non-GAAP financial measures, supplementally because they are widely used by investors as a valuation measure in the solid waste industry. Management uses adjusted net income attributable to Waste Connections and adjusted net income per diluted share attributable to Waste Connections as one of the principal measures to evaluate and monitor the ongoing financial performance of our operations. We provide adjusted net income attributable to Waste Connections to exclude the effects of items management believes impact the comparability of operating results between periods. Adjusted net income attributable to Waste Connections has limitations due to the fact that it excludes items that have an impact on our financial condition and results of operations. Adjusted net income attributable to Waste Connections and adjusted net income per diluted share attributable to Waste Connections are not a substitute for, and should be used in conjunction with, GAAP financial measures. Other companies may calculate these non-GAAP financial measures differently. Our adjusted net income attributable to Waste Connections and adjusted net income per diluted share attributable to Waste Connections for the three and six month periods ended June 30, 2022 and 2021, are calculated as follows (amounts in thousands of U.S. dollars, except per share amounts):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Reported net income attributable to Waste Connections	$	224,074	$	177,047	$	404,398	$	337,356
Adjustments:
Amortization of intangibles (a)		37,462		32,707		75,098		64,899
Impairments and other operating items (b)		4,150		6,081		6,028		6,715
Transaction-related expenses (c)		3,692		57		8,232		583
Fair value changes to equity awards (d)		(1,009)		6,385		(847)		6,723
Tax effect (e)		(11,224)		(11,393)		(22,316)		(19,935)
Adjusted net income attributable to Waste Connections	$	257,145	$	210,884	$	470,593	$	396,341
Diluted earnings per common share attributable to Waste Connections’ common shareholders:
Reported net income	$	0.87	$	0.68	$	1.57	$	1.29
Adjusted net income	$	1.00	$	0.81	$	1.82	$	1.51

____________________

(a) Reflects the elimination of the non-cash amortization of acquisition-related intangible assets.

(b) Reflects the addback of impairments and other operating items.

(c) Reflects the addback of acquisition-related transaction costs.

(d) Reflects fair value accounting changes associated with certain equity awards.

(e) The aggregate tax effect of the adjustments in footnotes (a) through (d) is calculated based on the applied tax rates for the respective periods.

INFLATION

In the current environment, we have seen inflationary pressures resulting from higher fuel, materials and labor costs in certain markets and higher resulting third-party costs in areas such as brokerage, repairs and construction.  Consistent with industry practice, many of our contracts allow us to pass through certain costs to our customers, including increases in landfill tipping fees and, in some cases, fuel costs.  To the extent that there are decreases in fuel costs, in some cases, a portion of these reductions are passed through to customers in the form of lower fuel and material surcharges. Therefore, we believe that we should be able to increase prices to offset many cost increases that result from inflation in the ordinary course of business. However, competitive pressures or delays in the timing of rate increases under certain of our contracts may require us to absorb at least part of these cost increases, especially if cost increases exceed the average rate of inflation. Management’s estimates associated with inflation have an impact on our accounting for landfill liabilities.

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SEASONALITY

Based on historic trends, excluding any impact from the COVID-19 pandemic or an economic recession, we would expect our operating results to vary seasonally, with revenues typically lowest in the first quarter, higher in the second and third quarters and lower in the fourth quarter than in the second and third quarters. This seasonality reflects (a) the lower volume of solid waste generated during the late fall, winter and early spring because of decreased construction and demolition activities during winter months in Canada and the U.S. and (b) reduced E&P activity during harsh weather conditions, with expected fluctuation due to such seasonality between our highest and lowest quarters of approximately 10%. In addition, some of our operating costs may be higher in the winter months. Adverse winter weather conditions slow waste collection activities, resulting in higher labor and operational costs. Greater precipitation in the winter increases the weight of collected municipal solid waste, resulting in higher disposal costs, which are calculated on a per ton basis.

Item 3.Quantitative and Qualitative Disclosures About Market Risk

In the normal course of business, we are exposed to market risk, including changes in interest rates and prices of certain commodities, and to a lesser extent, foreign currency exchange rate risks. We use hedge agreements to manage a portion of our risks related to interest rates. While we are exposed to credit risk in the event of non-performance by counterparties to our hedge agreements, in all cases such counterparties are highly rated financial institutions and we do not anticipate non-performance under current market conditions. We do not hold or issue derivative financial instruments for trading purposes. We monitor our hedge positions by regularly evaluating the positions at market and by performing sensitivity analyses over the unhedged variable rate debt positions.

At June 30, 2022, our derivative instruments included six interest rate swap agreements that effectively fix the interest rate on the applicable notional amounts of our variable rate debt as follows (dollars in thousands of U.S. dollars):

			Fixed		Variable
	Notional		Interest		Interest Rate		Expiration
Date Entered	Amount		Rate Paid*		Received	Effective Date	Date
August 2017	$	100,000	1.900	%	1-month LIBOR	July 2019	July 2022
August 2017	$	200,000	2.200	%	1-month LIBOR	October 2020	October 2025
August 2017	$	150,000	1.950	%	1-month LIBOR	February 2020	February 2023
June 2018	$	200,000	2.925	%	1-month LIBOR	October 2020	October 2025
June 2018	$	200,000	2.925	%	1-month LIBOR	October 2020	October 2025
December 2018	$	200,000	2.850	%	1-month LIBOR	July 2022	July 2027

____________________

* Plus applicable margin.

Under derivatives and hedging guidance, the interest rate swap agreements are considered cash flow hedges for a portion of our variable rate debt, and we apply hedge accounting to account for these instruments. The notional amounts and all other significant terms of the swap agreements are matched to the provisions and terms of the variable rate debt being hedged.

We have performed sensitivity analyses to determine how market rate changes will affect the fair value of our unhedged floating rate debt. Such an analysis is inherently limited in that it reflects a singular, hypothetical set of assumptions. Actual market movements may vary significantly from our assumptions. Fair value sensitivity is not necessarily indicative of the ultimate cash flow or earnings effect we would recognize from the assumed market rate movements. We are exposed to cash flow risk due to changes in interest rates with respect to the unhedged floating rate balances owed at June 30, 2022 and December 31, 2021, of $702.0 million and $603.9 million, respectively, including floating rate debt under our Credit Agreement. A one percentage point increase in interest rates on our variable-rate debt as of June 30, 2022 and December 31, 2021, would decrease our annual pre-tax income by approximately $7.0 million and $6.0 million, respectively. All of our remaining debt instruments are at fixed rates, or effectively fixed under the interest rate swap agreements described above; therefore, changes in market interest rates under these instruments would not significantly impact our cash flows or results of operations, subject to counterparty default risk.

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The market price of diesel fuel is unpredictable and can fluctuate significantly.  Because of the volume of fuel we purchase each year, a significant increase in the price of fuel could adversely affect our business and reduce our operating margins.  To manage a portion of this risk, we periodically enter into fuel hedge agreements related to forecasted diesel fuel purchases, and we also enter into fixed price fuel purchase contracts.  At June 30, 2022, we had no fuel hedge agreements in place; however, we have entered into fixed price fuel purchase contracts for 2022 as described below.

For the year ending December 31, 2022, we expect to purchase approximately 87.0 million gallons of fuel, of which 44.3 million gallons will be purchased at market prices and 42.7 million gallons will be purchased under our fixed price fuel purchase contracts. We have performed sensitivity analyses to determine how market rate changes will affect the fair value of our unhedged, market rate diesel fuel purchases.  Such an analysis is inherently limited in that it reflects a singular, hypothetical set of assumptions.  Actual market movements may vary significantly from our assumptions.  Fair value sensitivity is not necessarily indicative of the ultimate cash flow or earnings effect we would recognize from the assumed market rate movements.  During the six month period of July 1, 2022 to December 31, 2022, we expect to purchase approximately 22.1 million gallons of fuel at market prices; therefore, a $0.10 per gallon increase in the price of fuel over the remaining six months in 2022 would decrease our pre-tax income during this period by approximately $2.2 million.

We market a variety of recyclable materials, including compost, cardboard, mixed paper, plastic containers, glass bottles and ferrous and aluminum metals. We own and operate recycling operations and market collected recyclable materials to third parties for processing before resale. Where possible, to reduce our exposure to commodity price risk with respect to recycled materials, we have adopted a pricing strategy of charging collection and processing fees for recycling volume collected from third parties. In the event of a decline in recycled commodity prices, a 10% decrease in average recycled commodity prices from the average prices that were in effect during the six months ended June 30, 2022 and 2021, would have had a $12.5 million and $7.2 million impact on revenues for the six months ended June 30, 2022 and 2021, respectively.

We have operations in Canada and, where significant, we have quantified and described the impact of foreign currency translation on components of income, including operating revenue and operating costs. However, the impact of foreign currency has not materially affected our results of operations in 2021 or 2022. A $0.01 change in the Canadian dollar to U.S. dollar exchange rate would impact our annual revenue and EBITDA by approximately $12.0 million and $4.5 million, respectively.

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Item 4.Controls and Procedures

As required by Rule 13a-15(b) under the U.S. Securities Exchange Act of 1934, as amended, or the Exchange Act, we carried out an evaluation, under the supervision and with the participation of our management, including our President and Chief Executive Officer and our Executive Vice President and Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures (as such term is defined in Rule 13a-15(e) under the Exchange Act) as of the end of the fiscal quarter covered by this Quarterly Report on Form 10-Q. In designing and evaluating the disclosure controls and procedures, our management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, and our management is required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures.

Based on this evaluation, our President and Chief Executive Officer and our Executive Vice President and Chief Financial Officer concluded as of June 30, 2022, that our disclosure controls and procedures were effective at the reasonable assurance level such that information required to be disclosed in our Exchange Act reports:  (1) is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms; and (2) is accumulated and communicated to our management, including our President and Chief Executive Officer and Executive Vice President and Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosure.

During the quarter ended June 30, 2022, there was no change in our internal control over financial reporting that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

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PART II – OTHER INFORMATION

Item 1.Legal Proceedings

Information regarding our legal proceedings can be found in Note 17 of our Condensed Consolidated Financial Statements included in Part I, Item 1 of this report and is incorporated herein by reference.

Item 6.Exhibits

Exhibit Number	Description of Exhibits
3.1	Articles of Amendment (incorporated by reference to Exhibit 3.1 of the Registrant’s Form 8-K filed on May 26, 2017)
3.2	Articles of Amalgamation (incorporated by reference to Exhibit 3.2 of the Registrant’s Form 8-K filed on June 7, 2016)
3.3	Articles of Amendment (incorporated by reference to Exhibit 3.1 of the Registrant’s Form 8-K filed on June 7, 2016)
3.4	By-law No. 1 of the Registrant (incorporated by reference to Exhibit 3.3 of the Registrant’s Form 8-K filed on June 7, 2016)
10.1 +	Separation Benefits Plan of Waste Connections US, Inc., as amended and restated effective July 26, 2022
31.1	Certification of Principal Executive Officer pursuant to Exchange Act Rules 13a-14(a)/15d-14(a)
31.2	Certification of Principal Financial Officer pursuant to Exchange Act Rules 13a-14(a)/15d-14(a)
32.1	Certification of Principal Executive Officer pursuant to 18 U.S.C. §1350
32.2	Certification of Principal Financial Officer pursuant to 18 U.S.C. §1350
101.INS	The instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document
101.SCH	XBRL Taxonomy Extension Schema Document
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
101.LAB	XBRL Taxonomy Extension Labels Linkbase Document
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
104	Cover Page Interactive Data File – The cover page interactive data file does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.

+ Management contract or compensatory plan, contract or arrangement.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	WASTE CONNECTIONS, INC.
Date: August 3, 2022	BY:	/s/ Worthing F. Jackman
		Worthing F. Jackman
		President and Chief Executive Officer
Date: August 3, 2022	BY:	/s/ Mary Anne Whitney
		Mary Anne Whitney
		Executive Vice President and Chief Financial Officer

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EX-10.1

Exhibit 10.1

SEPARATION BENEFITS PLAN

(AND SUMMARY PLAN DESCRIPTION)

EFFECTIVE JULY 24, 2018

(As Amended and Restated July 26, 2022)

Waste Connections US, Inc. (the “Company”) has established this Plan to provide for severance and change in control benefits to certain eligible executives of the Company in the event that employment with the Company is involuntarily terminated.  This Plan is hereby amended and restated as of the Effective Date.  This Plan is intended to be an unfunded “top hat” welfare plan subject to the ERISA.  This Plan document is also the summary plan description of this Plan.  This Plan is amended and restated effective July 26, 2022.

1. General Eligibility.  An executive is eligible for the benefits provided under this Plan only if (i) the Compensation Committee designates the executive as a Participant in the Plan, and (ii) the Company, through a duly authorized officer of the Company, and the executive execute a Letter Agreement confirming the executive’s eligibility for, and participation in, the Plan.  A Participant’s Letter Agreement shall designate his or her status as a “President/EVP Participant,” an “SVP Participant” or a “VP Participant”.  

2. Position and Responsibilities. The Participant’s position and responsibilities shall be as set forth in his or her Letter Agreement. The Participant shall devote such time and attention to his or her duties as are necessary to the proper discharge of his or her responsibilities hereunder. The Participant agrees to perform all duties consistent with (i) policies established from time to time by the Company, and (ii) all applicable legal requirements.

3. Term. The period of this Plan shall commence on the Effective Date and shall continue through to the third anniversary of the Effective Date (the “Term”).  On each anniversary of the Effective Date, this Plan shall be extended automatically an additional year, thus extending the Term of this Plan to three years from such date for each Participant in the Plan, unless the Company shall have given Notice of Termination or non-renewal hereof to the Participant or the Participant shall have given Notice of Termination to the Company, as provided herein.

4. Compensation and Benefits. The Participant’s Base Salary, Bonus, equity grant eligibility, benefits, and participation level shall be as set forth in his or her Letter Agreement.

5. Confidentiality. During the Employment Period and at all times thereafter, the Participant shall not, without the prior written consent of the Company, divulge to any third party or use for his or her own benefit or the benefit of any third party or for any purpose other than the exclusive benefit of the Company, any confidential or proprietary business or technical information revealed, obtained or developed in the course of his or her employment with the Company and which is otherwise the property of the Company or any of its affiliated entities, including, but not limited to, trade secrets, customer lists, formulae and business processes; provided, however, that nothing herein contained shall restrict the Participant’s ability to make such disclosures during the course of his or her employment as may be necessary or appropriate to the effective and efficient discharge of his or her duties to the Company.

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6. Property. Both during the Employment Period and thereafter, the Participant shall not remove from the Company’s offices or premises any Company documents, records, notebooks, files, correspondence, reports, memoranda and similar materials or property of any kind unless necessary in accordance with the duties and responsibilities of his or her employment. In the event that any such material or property is removed, it shall be returned to its proper file or place of safekeeping as promptly as possible. The Participant shall not make, retain, remove or distribute any copies, or divulge to any third person the nature or contents of any of the foregoing or of any other oral or written information to which he may have access, except as disclosure shall be necessary in the performance of his or her assigned duties. On the termination of his or her employment with the Company, the Participant shall leave with or return to the Company all originals and copies of the foregoing then in his or her possession or subject to his or her control, whether prepared by the Participant or by others.

7. Termination By Company.

a. Termination for Cause. The employment of the Participant may be terminated for Cause at any time by the Board on delivery to the Participant of a written Notice of Termination; provided, however, that before the Board may terminate the employment of a President/EVP Participant for Cause, the Board shall first send the Participant written notice of its intention to terminate the Participant’s employment with the Company for Cause, specifying in such notice the reasons for such Cause and those conditions that, if satisfied by the Participant, would cure the reasons for such Cause.

Immediately on termination of employment pursuant to this Section 7(a), the Company shall pay to the Participant in a lump sum his or her then current Base Salary on a prorated basis to the Date of Termination. For the avoidance of doubt, upon termination of employment for Cause, the Participant shall be subject to the non-competition and non-solicitation provisions of Section 13.  On the Participant’s termination of employment pursuant to this Section 7(a), the Participant (i) shall not be entitled to any additional benefits or compensation above accrued but unpaid amounts, except to the extent required by applicable law, (ii) shall forfeit his or her Bonus for the year in which such termination occurs, and (iii) shall forfeit all outstanding but unvested Equity Awards.  

b. Termination Without Cause. The employment of the Participant may be terminated without Cause at any time by the Board on delivery to the Participant of a written Notice of Termination.  On a termination of the Participant’s employment without Cause, in lieu of any payments under Section 4 for the remainder of the Term, the Company shall make the following payments to the Participant:

1. Severance Payment.  The Company shall pay to the Participant an amount equal to the Severance Amount.  Unless otherwise provided for in the Participant’s Letter Agreement, provided that the Participant has complied with the provisions of Section 13 hereof as of the date a payment is scheduled to be paid, the Severance Amount shall be paid as follows: (i) for

2

a President/EVP Participant, one-third on the Date of Termination and one-third on each of the first and second anniversaries of the Date of Termination, and (ii) for an SVP Participant or a VP Participant, in installments during the twelve month period following his or her Date of Termination in accordance with the Company’s normal payroll practices.

2. Accelerated Vesting.  On termination of the Participant under this Section 7(b), the Accelerated Vesting Benefit shall apply to the Participant’s then outstanding Equity Awards.  

3. Additional Benefits.  If the Participant is an SVP Participant, the Company also shall provide the Health Insurance Benefit and the Outplacement Benefit to the Participant.

c. Termination on Disability. If during the Term the Participant becomes Disabled, the Board shall have the right, on written Notice of Termination delivered to the Participant, to terminate the Participant’s employment under this Plan. During the period that the Participant shall have been incapacitated due to Disability, the Participant shall continue to receive the full Base Salary at the rate then in effect until the Date of Termination pursuant to this Section 7(c).  On a termination of the Participant’s employment due to Disability, in lieu of any payments under Section 4 for the remainder of the Term, the Company shall make each of the payments to the Participant as would be made if the Participant’s employment had been terminated by the Company without Cause under Section 7(b); provided, however, that (i) the Participant shall not receive the Outplacement Benefit, and (ii) if, following the Participant’s termination of employment pursuant to this Section 7(c), the Participant dies or becomes disabled (as such term is defined under Treasury Regulation Section 1.409A-3(i)(4)), any unpaid portion of the Severance Amount shall be paid to the Participant or, if applicable, the Participant’s heirs, executors, administrators, legatees, beneficiaries or assigns, in a single lump sum payment as soon as administratively practicable after the date  on which such death or disability occurs.

d. Death. If the Participant dies during the Term, the Company shall pay to the Participant’s estate each of the payments the Company would have paid if the Participant’s employment had been terminated by the Company without Cause under Section 7(b); provided, however, that the Participant’s estate shall not receive the Health Insurance Benefit or the Outplacement Benefit.  The provisions of this Section 7(d) shall not affect the entitlements of the Participant’s heirs, executors, administrators, legatees, beneficiaries or assigns under any employee benefit plan, fund or program of the WCI Group.

e. Release.  As a condition to the payment of any amount under this Section 7, including the acceleration of vesting or payment for any Equity Awards, the Participant (or the Participant’s executor, legal guardian, or other legal representative in the case of the Participant’s death or Disability) shall execute and not revoke a waiver and release of all claims against the WCI Group in a form

3

reasonably acceptable to the Company within 21 days following the Participant’s receipt of the release agreement; provided, however, that if the Participant’s employment is terminated due to his death or Disability, such release shall not apply to any claims the Participant or his estate may have against the Company or the Parent for wrongful death or gross negligence.

8. Termination By Participant.

a. Termination for Good Reason. Unless otherwise provided for in the Participant’s Letter Agreement, in the event the Participant terminates his or her employment with the Company for Good Reason, in lieu of any payments under Section 4 for the remainder of the Term, the Company shall make each of the payments to the Participant as would be made if the Participant’s employment had been terminated by the Company without Cause under Section 7(b).  For the avoidance of doubt, a Participant may not terminate his or her employment with the Company for Good Reason unless such Participant is, on his or her Date of Termination, eligible to terminate his or her employment with the Company for Good Reason.

b. Termination Without Good Reason. The Participant may terminate his or her employment hereunder without Good Reason on written Notice of Termination delivered to the Company.  If the Participant terminates his or her employment without Good Reason, he or she shall be entitled to receive, and the Company agrees to pay on the Date of Termination, his or her current Base Salary on a prorated basis to such Date of Termination.  For the avoidance of doubt, upon termination of employment without Good Reason, the Participant shall be subject to the non-competition and non-solicitation provisions of Section 13.  On the Participant’s termination of employment pursuant to this Section 8(b), the Participant shall not be entitled to any additional benefits or compensation above accrued but unpaid amounts, except to the extent required by applicable law; and, the Participant shall forfeit his or her Bonus for the year in which such termination occurs. In addition, the Participant shall forfeit all outstanding but unvested Equity Awards.  

c. Release.  As a condition to the payment of any benefit related to the termination of employment under Section 8(a), a Participant shall execute and not revoke a waiver and release of all claims against the WCI Group in a form reasonably acceptable to the Company within 21 days following the Participant’s receipt of the release agreement.

9. Provisions Applicable to Termination of Employment.

a. Notice of Termination. Any purported termination of Participant’s employment by the Company pursuant to Section 7 shall be communicated by delivery of a Notice of Termination to the Participant.  If the Participant terminates under Section 8, he or she shall give the Company a Notice of Termination.  

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b. Benefits on Termination. Except as otherwise provided herein, on termination of the Participant’s employment by the Company pursuant to Section 7 or by the Participant pursuant to Section 8, all profit-sharing, deferred compensation and other retirement benefits payable to the Participant under benefit plans in which the Participant then participated shall be paid to the Participant in accordance with the provisions of the respective plans.

c. Required Payment Delay.  Notwithstanding anything to the contrary in this Plan, no compensation or benefits payable by reason of the Participant’s termination of employment that are deemed non-qualified deferred compensation subject to Section 409A shall be payable by reason of the Participant’s termination of employment pursuant to this Plan unless such termination of employment constitutes a “separation from service” with the Company (“Separation from Service”) within the meaning of Section 409A.  If the Participant is deemed to be a “specified employee” (as determined by the Company in accordance with Section 409A) at the time of the Participant’s Separation from Service, to the extent delayed commencement of any portion of the benefits to which the Participant is entitled under this Plan is required in order to avoid a prohibited distribution under Section 409A, such portion of the Participant’s benefits shall not be provided to the Participant prior to the first business day following the expiration of the six-month period measured from the date of the Participant’s Separation from Service (or such earlier date upon which such amount can be paid under Section 409A without resulting in a prohibited distribution, including as a result of Participant’s death).  Upon the first business day following the expiration of the applicable period described in the foregoing sentence, all payments deferred pursuant to this Section shall be paid in a lump sum to the Participant, and any remaining payments due under this Plan shall be paid as otherwise provided herein.

d. Non-Renewal of Plan.  For the avoidance of doubt, the Company’s notice of its intent not to extend the Term of this Plan with respect to a Participant shall be treated as a termination of the Participant by the Company without Cause.    

10. Fixed Term Participant Status.  

a. Application Process.  A Participant who satisfies the criteria described in Section 10(c) below may submit an application to Parent’s Chief Executive Officer (the “CEO”) for designation as a Fixed Term Participant.  An application for Fixed Term Participant status must be submitted not later than December 31st of the calendar year immediately preceding the calendar year of the desired effective date of the change in status.  The CEO shall review each application and, in his or her sole discretion, will either (i) approve such designation, or (ii) for any Participant who is a Section 16 officer, recommend that the Compensation Committee approve such designation; provided, however, that the CEO may, in his or her sole discretion, decline to approve or recommend approval of, as applicable, a Participant’s application under this Section 10 and, in such event, that decision and any subsequent decision by the Compensation Committee declining to approve an application (including any denial of a request for waiver of one or more eligibility

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criteria by the CEO or the Compensation Committee, as applicable, under Section 8(c) below) will not be considered a basis for the Participant to terminate his or her employment with the Company for Good Reason.

b. Written Agreement.  If a Participant’s application for designation as a Fixed Term Participant is approved, the Participant will enter into an amended and restated Letter Agreement with the Company (“Fixed Term Agreement”) that will include: (i) the effective date of the change in status, which shall not be earlier than six (6) months or later than twelve (12) months after the date the request is made; (ii) a reduced level of Base Salary; (iii) the Participant’s new title and service location; (iv) the Participant’s fixed period of continued employment, which shall be not less than three (3) years from the effective date of the change in status, unless a shorter period of continued service is approved by the CEO or, if applicable, the Compensation Committee, at the time Fixed Term Participant status is granted; and (v) an acknowledgment by the Participant of the applicability of the policies established from time to time by the Company and Parent, including the Code of Conduct and Ethics, to the Participant’s continued employment during his or her Fixed Term Participant status.

c. Eligibility.  A Participant is eligible to apply for Fixed Term Participant status if the Participant has: (i) completed at least fifteen (15) years of continuous service with the Company (including its subsidiaries and affiliates); (ii) attained the age of sixty (60); and (iii) completed at least ten (10) years as a Participant.  A Participant may include  in his or her application a request for a waiver from the CEO or, if applicable, the Compensation Committee, of one or more of the criteria listed in this Section 10(c).  Any waiver of an application criteria shall be made in the sole discretion of the CEO or, if applicable, the Compensation Committee.

d. Additional Terms.  Notwithstanding any provision of this Plan to the contrary, the following shall apply to any Fixed Term Participant upon the effective date of the change in status specified in his or her Fixed Term Agreement: (i) the Participant will retain his or her prior status designation pursuant to Section 1 until the Participant’s Date of Termination; (ii) the Participant will retain all then outstanding Equity Awards, which shall continue to be administered in accordance with their terms; (iii) the Participant will not be eligible to Terminate his or her employment with the Company for Good Reason under this Plan or under any other compensation program sponsored by the WCI Group; and (iv) the Participant will not, in the ordinary course of business, receive any additional Bonuses, Equity Awards, grants or awards under the WCI Group’s performance bonus plan, equity compensation plan, or similar incentive compensation programs.

11. Change In Control.

a. Payments on Change in Control. Subject to Section 9(c) above, if a Change in Control occurs during the Term and the Participant’s employment with the Company is terminated by the Company without Cause or by the Participant for Good Reason, in each case within two (2) years after the effective date of the

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Change in Control, then (i) the Participant shall be entitled to receive and the Company agrees to pay to the Participant, in lieu of payments under Section 4 for the remainder of the Term, the amount payable under Section 7(b) or Section 8(a), as applicable, provided the Participant executes the associated waiver in Section 7(e) or Section 8(c), as applicable; and (ii) such amount shall be paid in a lump sum on or within 60 days following the Date of Termination.  

b. Section 409A Limitation.  No benefits deemed non-qualified deferred compensation subject to Section 409A shall be payable upon a Change in Control pursuant to this Plan unless such Change in Control constitutes a “change in control event” with respect to the Company within the meaning of Section 409A.

12. Limitation on Payments. Notwithstanding any other provisions of this Plan, in the event that any payment or benefit received or to be received by the Participant, whether pursuant to the terms of this Plan or any other plan, arrangement or agreement (all such payments and benefits being hereinafter referred to as the “Total Payments”), would be subject (in whole or part), to the excise tax imposed under Section 4999 of the Code (the “Excise Tax”), then, after taking into account any reduction in the Total Payments provided by reason of Section 280G of the Code in such other plan, arrangement or agreement, the Total Payments shall be reduced as set forth herein, to the extent necessary so that no portion of the Total Payments is subject to the Excise Tax but only if (i) the net amount of such Total Payments, as so reduced (and after subtracting the amount of all federal, state and local income and employment taxes payable with respect to the foregoing calculated at the maximum marginal income tax rate for each year in which the foregoing shall be paid to the Participant (based on the rate in effect for such year as set forth in the Code as in effect at the time of the first payment of the foregoing) on such reduced Total Payments and after taking into account the phase out of itemized deductions and personal exemptions attributable to such reduced Total Payments) is greater than or equal to (ii) the net amount of such Total Payments without such reduction (but after subtracting the amount of all federal, state and local income and employment taxes payable with respect to the foregoing calculated at the maximum marginal income tax rate for each year in which the foregoing shall be paid to the Participant (based on the rate in effect for such year as set forth in the Code as in effect at the time of the first payment of the foregoing) on such Total Payments and the amount of Excise Tax to which the Participant would be subject in respect of such unreduced Total Payments and after taking into account the phase out of itemized deductions and personal exemptions attributable to such unreduced Total Payments).  The Total Payments shall be reduced by the Company in its reasonable discretion in the following order: (A) reduction of any cash severance payments otherwise payable to the Participant that are exempt from Section 409A, (B) reduction of any other cash payments or benefits otherwise payable to the Participant that are exempt from Section 409A, but excluding any payment attributable to the acceleration of vesting or payment with respect to any Equity Award that is exempt from Section 409A, (C) reduction of any other payments or benefits otherwise payable to the Participant on a pro-rata basis or such other manner that complies with Section 409A, but excluding any payment attributable to the acceleration of vesting and payment with respect to any Equity Award that is exempt from Section 409A, and (D) reduction of any payments attributable to the acceleration of vesting or payment with respect to any Equity Award that is exempt from Section 409A.  For

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purposes of determining whether and the extent to which the Total Payments will be subject to the Excise Tax, (i) no portion of the Total Payments the receipt or enjoyment of which the Participant shall have waived at such time and in such manner as not to constitute a “payment” within the meaning of Section 280G(b) of the Code shall be taken into account, (ii) no portion of the Total Payments shall be taken into account which, in the opinion of independent counsel, consultants or advisors of nationally recognized standing (“Independent Advisors”) selected by the Company, does not constitute a “parachute payment” within the meaning of Section 280G(b)(2) of the Code (including by reason of Section 280G(b)(4)(A) of the Code) and, in calculating the Excise Tax, no portion of such Total Payments shall be taken into account which, in the opinion of Independent Advisors, constitutes reasonable compensation for services actually rendered, within the meaning of Section 280G(b)(4)(B) of the Code, in excess of the Base Amount (as defined in Section 280G(b)(3) of the Code) allocable to such reasonable compensation, and (iii) the value of any non-cash benefit or any deferred payment or benefit included in the Total Payments shall be determined by the Independent Advisors in accordance with the principles of Sections 280G(d)(3) and (4) of the Code.

13. Non-Competition and Non-Solicitation.

a.The Participant acknowledges that in his or her employment with the Company, the Participant occupies a position of trust and confidence.  The Participant agrees that the consideration and other benefits being given to him or her by the WCI Group clearly justify the following restrictions which, in any event, given the Participant’s skills and ability, will not prevent the Participant from earning a living.  The Participant acknowledges that all restrictions contained in this Section 13 are reasonable and valid as to time, geographical area, and scope of activity to be restrained for the adequate protection of the legitimate business interests and goodwill of the WCI Group, and are no broader than is necessary to protect such interests and goodwill.  The Participant agrees and acknowledges that due to the high-level nature of his or her duties for the WCI Group, the Participant’s key role within the Parent and the Company, and the nature and depth of the Confidential Information that the WCI Group shares with the Participant, it is reasonable for the Parent and the Company to expect the Participant not to engage in competition (as set forth in this Section 13(a)) anywhere in any county of any U.S. state, or any province or territory in Canada, in which the Participant provides services to the WCI Group, or about which the Participant has access to Confidential Information relating to the WCI Group’s current or planned operations in such county, province or territory (the “Restricted Territory”).¹  In consideration of the provisions hereof, during the Employment Period and for the twelve (12)-month period following the

¹ Within the state of Louisiana, the Restricted Territory shall include the following parishes: Caddo, Bossier, Webster, Bienville, Lincoln, Jackson, Union, Morehouse, West Carroll, East Carroll, Madison, Richland, Franklin, Tensas, Quachita, Winn, Caldwell, Red River, Desoto, Sabine, Natchitoches, Grant, LaSalle, Avoyelles, Beauregard, Allen, Evangeline, St Landry, Lafayette, Point Coupee, East Baton Rouge, West Baton Rouge, Iberville, Assumption, St. Martin, St. Mary, Calcasieu, Jeff Davis, Allen, Acadia, Vermillion, Cameron, Iberia, Terrebonne, Lafourche, Ascension, St John, St James, St Charles, Jefferson, St Tammany, Orleans, St Bernard, Plaquemines, and Tangipahoa.

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Date of Termination (the “Restricted Period”), the Participant will not, except as specifically provided below and/or for the benefit of the WCI Group, anywhere in the Restricted Territory, directly or indirectly, acting individually or as the owner, shareholder, partner or management employee of any entity (whether current or planned to be formed), or as a consultant to any such entity, (i) engage or prepare to engage in any business principally focusing on liquid, semi-solid or solid waste collection, transportation, disposal, recycling and/or composting, including disposal or treatment of exempt and non-exempt oil field wastes derived from the exploration and production of hydrocarbons, and the operation of transfer stations, recycling facilities, materials recovery facilities or landfills, and/or any other business engaged in by the WCI Group (collectively the “Restricted Business”); or (ii) enter the employ of, or render any personal services to or for the benefit of, or assist in or facilitate the solicitation of customers for, or receive remuneration in the form of management salary, commissions or otherwise from, or act as a consultant or in any other advisory role, whether paid or unpaid, to any Restricted Business; or (iii) receive or purchase a financial interest in, make a loan to, make a gift in support of, or otherwise provide financial support to any Restricted Business in any capacity, including without limitation, as a sole proprietor, partner, shareholder, officer, director, principal agent or trustee.  The term “solicit” and related terms such as “soliciting” or “solicitation” mean to knowingly engage in acts or communications, in person or through others, that are intended or can reasonably be expected to induce or encourage a particular responsive action (such as buying a good or service), regardless of which party first initiates the contact or communication or whether the communication is in response to an inquiry or not.  Provided, that the Participant may own, directly or indirectly, solely as an investment, securities of any business traded on any national securities exchange or quoted on any NASDAQ market, provided the Participant is not a controlling person of, or a member of a group which controls, such business and further provided that the Participant does not, in the aggregate, directly or indirectly, own Two Percent (2%) or more of any class of securities of such business.

b.During the Restricted Period, the Participant shall not (i) solicit any customer of the WCI Group to whom any such the WCI Group entity provides service pursuant to a franchise agreement with a public entity in the Restricted Territory, (ii) solicit on behalf of a competitor any customer of the WCI Group to enter into a relationship involving the Restricted Business with a competitor of the WCI Group in the Restricted Territory, (iii) solicit on behalf of a competitor any public entity with which the WCI Group has a franchise agreement to enter into a franchise agreement involving the Restricted Business with a competitor of the WCI Group in the Restricted Territory, (iv) solicit any officer or employee of the WCI Group to enter into employment with a competitor of the WCI Group, or otherwise interfere in any such relationship, or (v) solicit on behalf of a competitor of the WCI Group any prospective customer of the WCI Group in the Restricted Territory that the Participant called on or was involved in soliciting on behalf of the WCI Group during the Employment Period.

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c.If a court of competent jurisdiction declares that any term or provision of this Section 13 is invalid or unenforceable, the parties agree that the court making the determination of invalidity or unenforceability shall have the power to reduce the scope, duration or area of the term or provision, to delete specified words or phrases or to replace any invalid or unenforceable term or provision with a term or provision that is valid and enforceable and that comes closest to expressing the intention of the invalid or unenforceable term or provision.

14. Indemnification. As an officer, employee and/or agent of the WCI Group, the Participant shall be indemnified by Parent and/or Company to the fullest extent permitted by applicable law in connection with his employment hereunder, unless Participant is asserting claims against the WCI Group or any member entity thereof.  The indemnification provided under this Section 14 shall be in addition to, and shall not limit in any manner, any indemnification available to the Participant from the WCI Group under any other agreement, program or provision.  

15. Survival of Provisions. The obligations of the Participant under Sections 5, 6 and 13 of this Plan and of the Company under Section 14 of this Plan shall survive both the termination of the Participant’s employment and this Plan.

16. ERISA Matters.  

a. Generally.  This Plan is intended to be an unfunded “top hat” welfare plan within the meaning of US Department of Labor Regulation Section 2540.104-24 (a “Top Hat Plan”), and, to the extent applicable, shall be subject to ERISA.

b. Funding.  This Plan shall be maintained in a manner to be considered “unfunded” for purposes of ERISA.  The Company shall be required to make payments only as benefits become due and payable.  No person shall have any right, other than the right of an unsecured general creditor against the Company, with respect to the benefits payable hereunder, or which may be payable hereunder, to any Participant, surviving spouse or beneficiary hereunder.  If the Company, acting in its sole discretion, establishes a reserve or other fund associated with this Plan, no person shall have any right to or interest in any specific amount or asset of such reserve or fund by reason of amounts which may be payable to such person under this Plan, nor shall such person have any right to receive any payment under this Plan except as and to the extent expressly provided in this Plan.  The assets in any such reserve or fund shall be part of the general assets of the Company, subject to the control of the Company.

c. Claims Procedures.

1. Participant does not normally need to present a formal claim to receive benefits payable under this Plan.

2. If any person (the “Claimant”) believes that benefits are being denied improperly, that the Plan is not being operated properly, that fiduciaries of

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the Plan have breached their duties, or that the Claimant’s legal rights are being violated with respect to the Plan, the Claimant must file a formal claim, in writing, with the Board.  This requirement applies to all claims that any Claimant has with respect to the Plan, including claims against fiduciaries and former fiduciaries, except to the extent the Board determines, in its sole discretion, that it does not have the power to grant all relief reasonably being sought by the Claimant.

3. A formal claim must be filed within 90 days after the date the Claimant first knew or should have known of the facts on which the claim is based, unless Board in writing consents otherwise.  The Board will provide a Claimant, on request, with a copy of the claims procedures established under subsection (d).

4. The Board has adopted procedures for considering claims (which are set forth in Appendix A), which it may amend from time to time, as it sees fit.  These procedures will comply with all applicable legal requirements.  These procedures may provide that final and binding arbitration will be the ultimate means of contesting a denied claim (even if the Board or its delegates have failed to follow the prescribed procedures with respect to the claim).  The right to receive benefits under this Plan is contingent on a Claimant using the prescribed claims procedures to resolve any claim.

d. Rights Under ERISA.  Appendix B sets forth certain rights and information to which the Participant is entitled under ERISA.

17. Section 409A Matters.  

a. To the extent applicable, this Plan shall be interpreted and applied consistent and in accordance with or exempt from Section 409A.  Notwithstanding any provision of this Plan to the contrary, if the Company determines that any compensation or benefits payable under this Plan may not either be exempt from or compliant with Section 409A, the Company may, with the Participant’s prior written consent, adopt such amendments to this Plan or adopt other policies and procedures (including amendments, policies and procedures with retroactive effect), or take any other actions, that the Company determines are necessary or appropriate to (i) exempt the compensation and benefits payable under this Plan from Section 409A and/or preserve the intended tax treatment of such compensation and benefits, or (ii) comply with the requirements of Section 409A; provided, however, that this Section 17(a) does not create an obligation on the part of the Company to adopt any such amendment, policy or procedure or take any such other action, and in any event, no such action shall reduce the amount of compensation that is owed to the Participant under this Plan without the Participant’s prior written consent.

b. To the extent permitted under Section 409A, any separate payment or benefit under this Plan or otherwise shall not be deemed “nonqualified deferred compensation” subject to Section 409A to the extent provided in the exceptions in Treasury

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Regulation Section 1.409A-1(b)(4), Section 1.409A-1(b)(9) or any other applicable exception or provision of Section 409A.

c. To the extent that any payments or reimbursements provided to the Participant under this Plan are deemed to constitute compensation to which Treasury Regulation Section 1.409A-3(i)(1)(iv) would apply, such amounts shall be paid or reimbursed to the Participant reasonably promptly, but not later than December 31 of the year following the year in which the expense was incurred.  The amount of any such payments eligible for reimbursement in one year shall not affect the payments or expenses that are eligible for payment or reimbursement in any other taxable year, and the Participant’s right to such payments or reimbursement shall not be subject to liquidation or exchange for any other benefit.

d. For purposes of Section 409A, the Participant’s right to receive any installment payments under this Plan shall be treated as a right to receive a series of separate payments and, accordingly, each such installment payment shall at all times be considered a separate and distinct payment.

e. In the event that the Participant is required to execute a release to receive any payments from the Company that constitute nonqualified deferred compensation under Section 409A, payment of such amounts shall not be made or commence until the sixtieth (60th) day following the Participant’s Date of Termination.  Any payments that are suspended during the sixty (60) day period shall be paid on the date the first regular payroll is made immediately following the end of such period.

18. No Duty to Mitigate; No Offset. The Participant shall not be required to mitigate damages or the amount of any payment contemplated by this Plan, nor shall any such payment be reduced by any earnings that the Participant may receive from any other sources or offset against any other payments made to the Participant or required to be made to him or her pursuant to this Plan.

19. Assignment; Binding Plan. The Company, at the direction of the Board, may assign this Plan to any parent, subsidiary, affiliate or successor of the Company. This Plan is not assignable by the Participant and is binding on the Participant and his or her executors and other legal representatives. This Plan shall bind the Company and its successors and assigns and inure to the benefit of the Participant and his or her heirs, executors, administrators, personal representatives, legatees or devisees.  

20. Notice. Any written notice under this Plan shall be personally delivered to the other party or sent by certified or registered mail, return receipt requested and postage prepaid, to such party at the address set forth in the records of the Company or to such other address as either party may from time to time specify by written notice.

21. Entire Plan; Amendments. This Plan contains the entire agreement of the parties relating to the Participant’s employment and supersedes all oral or written prior discussions, agreements and understandings of every nature between them. This Plan may not be amended except by an agreement in writing signed by the Company and the Participant.  

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The provisions of this Plan which have been adopted on July 26, 2022 shall apply to (i) any individual who is designated as a Participant on or after such date, and (ii) any Participant who agrees to be subject to such provisions in a separate written acknowledgement, which may be in the form of an addendum or amendment to his or her Letter Agreement.

22. Waiver. The waiver of a breach of any provision of this Plan shall not operate as or be construed to be a waiver of any other provision or subsequent breach of this Plan.

23. Governing Law and Jurisdictional Agreement. This Plan is intended to be a Top Hat Plan and shall be interpreted, administered and enforced in accordance with ERISA.  It is expressly intended that ERISA preempt the application of state laws to this Plan to the maximum extent permitted by Section 514 of ERISA.  To the extent that state law is applicable, the statutes and common law of the State of Texas shall apply, excluding any that mandate the use of another jurisdiction’s laws. Except as otherwise provided in Appendix A, the parties irrevocably and unconditionally submit to the jurisdiction and venue of any court, federal or state, situated within Harris County, Texas, for the purpose of any suit, action or other proceeding arising out of, or relating to or in connection with, the Plan.

24. Severability. In case any one or more of the provisions contained in this Plan is, for any reason, held invalid in any respect, such invalidity shall not affect the validity of any other provision of this Plan, and such provision shall be deemed modified to the extent necessary to make it enforceable.

25. Enforcement. It is agreed that it is impossible to measure fully, in money, the damage which will accrue to the WCI Group in the event of a breach or threatened breach of Section 5, 6 or 13 of this Plan, and, in any action or proceeding to enforce the provisions of Section 5, 6 or 13 hereof, the Participant waives the claim or defense that the WCI Group has an adequate remedy at law and will not assert the claim or defense that such a remedy at law exists. Notwithstanding any claim procedure or arbitration requirement as set forth in Appendix A, the Company is entitled to injunctive relief to enforce the provisions of such sections as well as any and all other remedies available to it at law or in equity without the posting of any bond and the Company and the Participant hereby agree that the Company is entitled to seek such remedies in the jurisdiction set forth in Section 23 hereof. The Participant agrees that if the Participant breaches any provision of Section 13, the Company and the Parent may discontinue and terminate all severance payments and benefits under Sections 7 and 8 of this Plan, as applicable, and recover as partial damages all profits realized by the Participant at any time prior to such recovery arising from the acceleration of any Equity Award in connection with the Participant’s termination of employment, including the subsequent sale of common shares of the Parent received in connection with vesting of such awards, and may also cancel any or all outstanding Equity Awards held by the Participant.

26. Counterparts. This Plan may be executed in counterparts, each of which shall be deemed an original and both of which together shall constitute one and the same instrument.

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27. Due Authorization. The execution of this Plan has been duly authorized by the Company by all necessary corporate action.

28. Definitions.  Capitalized terms not otherwise defined herein shall have the following meanings unless specifically stated otherwise in a Participant’s Letter Agreement.

a. “Accelerated Vesting Benefit” shall mean, with respect to a Participant’s Equity Awards, the following:

1. all outstanding but unvested Equity Awards for which, on the Participant’s Date of Termination, only time-based vesting is applicable, shall, on the Participant’s Date of Termination (i) for Options, immediately vest and become exercisable, and (ii) for all other Equity Awards, any and all restrictions thereon shall immediately lapse and such Equity Awards shall become fully vested and settled as soon as administratively practicable thereafter;

2. all outstanding but unvested Equity Awards for which, on the Participant’s Date of Termination, performance-based vesting is applicable, the designated performance goals for such awards shall be deemed to have been satisfied (and, for any award with different levels of potential payment, such performance shall be deemed to be at the target level) and any remaining vesting conditions shall be deemed to be satisfied on the Participant’s Date of Termination and such Equity Awards shall be settled as soon as administratively practicable thereafter; and

3. the term of any Options shall be extended to the earlier of (i) the third anniversary of the Participant’s Date of Termination (or such other date, as provided for in the Participant’s Letter Agreement) or (ii) the expiration of the original term of such Options.  

By executing a Letter Agreement, a Participant acknowledges that extending the term of any incentive share option to which the Accelerated Vesting Benefit applies could cause such Equity Award to lose its tax-qualified status under the Code, and agrees that the Company shall have no obligation to compensate the Participant or, if applicable the Participant’s heirs, executors, administrators, legatees, beneficiaries or assigns the for any additional taxes incurred as a result of such extension.  

b. “Base Salary” means the Participant’s annual base salary from the Company.

c. “Board” means the Board of Directors of the Parent.

d. “Bonus” means the annual bonus that the Participant is eligible to receive under the WCI Group’s then current performance bonus plan.

e. “Cause”, for purposes of this Plan, shall mean:

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1. gross negligence or willful misconduct of a material nature in connection with the performance of the Participant’s duties;

2. the Participant’s conviction of (or pleading guilty or pleading no contest or nolo contendere to) a felony;

3. a non-de minimis intentional act of dishonesty or misappropriation (or attempted misappropriation) of property belonging to the Company or any member of the WCI Group (other than a good faith expense account dispute related to a business expense);

4. a material breach by the Participant of any of the obligations under this Agreement or any other agreement with the Company or any member of the WCI Group or any policy of the WCI Group; or

5. a breach (material or otherwise) of any of the provisions of Sections 5, 6 or 13.  

For a Participant who is a President/EVP Participant, he or she shall receive written notice of an opportunity to cure such failure or breach, to the extent such failure or breach is curable, during the sixty (60) day period which begins upon receipt of such written notice.  If such the failure or breach is cured within such sixty (60)-day period, the Board shall so advise the Participant in writing.  If such failure or breach is not cured within such sixty (60)-day period, the Board may thereafter terminate the Participant’s employment with the Company for Cause on written Notice of Termination delivered to the Participant describing with specificity the grounds for termination.

f. “Change in Control” means the occurrence of one of the following events:

1. there shall be consummated (i) any reorganization, liquidation or consolidation of Parent, or any merger or other business combination of Parent with any other corporation, other than any such merger or other combination that would result in the voting securities of Parent outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity) at least fifty percent (50%) of the total voting power represented by the voting securities of Parent or such surviving entity outstanding immediately after such transaction, or (ii) any sale, lease, exchange or other transfer (in one transaction or a series of related transactions) of all, or substantially all, of the assets of Parent, or

2. any “person” (as defined in Section 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)), shall become the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of fifty percent (50%) or more of the Parent’s outstanding voting securities; or

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3. during any period of two consecutive years, individuals who at the beginning of such period constituted the entire Board shall cease for any reason to constitute at least one-half of the membership thereof unless the election, or the nomination for election by Parent’s shareholders, of each new director was approved by a vote of at least one-half of the directors then still in office who were directors at the beginning of the period.  

g. “Code” means the Internal Revenue Code of 1986, as amended.

h. “Compensation Committee” means the Compensation Committee of the Board.

i. “Date of Termination” means: (i) if the Participant’s employment is terminated by the Board for Disability, thirty (30) days after Notice of Termination is given to the Participant (provided the Participant has not returned to duty on a full-time basis during such 30-day period); (ii) if the Participant’s employment is terminated by the Board for any reason other than Disability, the date specified in the Notice of Termination; (iii) if the Participant’s employment is terminated due to the Participant’s death, the date such death occurred; and (iv) if the Participant’s employment is terminated by the Participant for any reason, the date specified in the Notice of Termination which shall be within 30 days of the date such Notice of Termination is given.  

j. “Disabled” or “Disability” means a Participant is unable to perform his or her duties to the Company on account of physical or mental illness or other incapacity which the Board shall in good faith determine renders the Participant incapable of performing his or her duties to the Company, and such illness or other incapacity shall continue for a period of more than six (6) consecutive months.

k. “Effective Date” means July 26, 2022.  The Plan’s original effective date was February 13, 2012.

l. “Employment Period” means the term of a Participant’s employment with the Company.

m. “ERISA” means the Employee Retirement Income Security Act of 1974, as amended.

n. “Equity Award” means an award of restricted share units, performance share units, restricted shares, share options (“Options”), or any other unvested equity awards related to the common shares of the Parent.

o. “Good Reason”, for purposes of this Plan, shall mean, (i) for periods prior to a Change in Control, with respect to any Participant who is designated as a President/EVP Participant, and (ii) during the twenty-four (24) month period commencing on the date a Change in Control occurs, with respect to any Participant:

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1. assignment to the Participant of duties inconsistent with and resulting in a diminution of his or her position (including status, offices, titles, responsibilities and reporting requirements), authority, duties or responsibilities as they existed on the Effective Date of this Plan; or any other action by the Company which results in a diminution in such position, authority, duties or responsibilities; a substantial alteration in the title(s) of the Participant (so long as the existing corporate structure of the WCI Group is maintained); provided, however, that the Participant’s failure to serve in the same position (including status, offices, titles, responsibilities and reporting requirements) with the ultimate parent of the Company shall constitute “Good Reason”;

2. the relocation of the Participant’s principal place of employment to a location more than fifty (50) miles from its present location without the Participant’s prior approval;

3. a material reduction by the Company, without the Participant’s prior approval, (i) for periods prior to a Change in Control, in the Participant’s total annual cash compensation, defined as Base Salary and target Bonus; and (ii) for periods on or after a Change in Control, in the Participant’s total annual compensation, defined as Base Salary, target Bonus and equity incentive compensation opportunities;  

4. a failure by the WCI Group to continue in effect, without substantial change, any benefit plan or arrangement in which the Participant was participating or the taking of any action by the WCI Group which would adversely affect the Participant’s participation in or materially reduce his or her benefits under any benefit plan (unless such changes apply equally to all other management employees of Company);

5. any material breach by the Company of any provision of this Plan without the Participant having committed any material breach of his or her obligations hereunder, which breach is not cured within twenty (20) days following written notice thereof to the Company of such breach; or

6. the failure of the Parent to obtain the assumption of this Plan by any successor employer of the Participant which results from any reorganization of the WCI Group or a Change in Control or similar transaction which causes the Participant to be employed by an entity that is not a member of the WCI Group.

p. “Health Insurance Benefit” means a series of payments from the Company to the Participant during the one (1) year period immediately following the Participant’s Date of Termination during which the Company shall pay to the Participant an amount equal to the Company’s portion (but not the Participant’s portion) of the cost of medical insurance at the rate in effect on the Participant’s Date of Termination, which shall be paid in installments in accordance with the Company’s

17

normal payroll practices.  If the Company determines, in its sole discretion, that the payment of the Health Insurance Benefit will result in a potential violation of applicable law, or would potentially cause the Company or the Participant to incur penalties, excise taxes or fees pursuant to the Code and the Department of Treasury regulations promulgated thereunder (including, without limitation, Section 2716 of the Public Health Service Act), the Health Insurance Benefit shall immediately terminate and the Participant shall not have any further rights to receive such payments.  

q. “Letter Agreement” means a written agreement between the Company and an executive documenting the executive’s status as a Participant under the Plan.  The Letter Agreement shall be in the form attached hereto (which form may be amended from time to time in the sole discretion of the Plan Administrator) and shall designate the Participant as a President/EVP Participant, an SVP Participant, or a VP Participant, where applicable, for purposes of this Plan.

r. “Notice of Termination” means written notice delivered by the Board or the Participant, as applicable, which states that the Participant’s employment with the Company is being terminated and, to the extent applicable, cites the specific termination provisions in this Plan relied on and set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the Participant’s employment.  The Notice of Termination shall specify the Participant’s Date of Termination.

s. “Outplacement Benefit” means reimbursement by the Company of the Participant’s post-termination expenses for career counseling and resume development; provided, however, that (i) such amount shall not exceed Fifteen Thousand Dollars ($15,000), and (ii) such expenses shall be incurred within twelve (12) months after the Participant’s Date of Termination.  

t. “Parent” means Waste Connections, Inc., an Ontario corporation (f/k/a Progressive Waste Solutions Ltd.).

u. “Plan” means the Waste Connections US, Inc. Separation Benefits Plan, which shall be documented with respect to each Participant through (i) this plan document, and (ii) the individual Letter Agreement executed between the Company and such Participant.

v. “Plan Administrator” means the Compensation Committee of the Board.

w. “Section 409A” means Section 409A of the Code and the Department of Treasury regulations and other guidance promulgated thereunder.

x. “Severance Amount” means (i) for a President/EVP Participant, an amount as set forth in the Participant’s Letter Agreement; (ii) for an SVP Participant, the sum of (1) one year of the Participant’s then applicable Base Salary amount, plus (2) the target Bonus available to the Participant under Section 4 for the year in which the

18

termination occurs; and (iii) for a VP Participant, the sum of (1) one year of the Participant’s then applicable Base Salary amount, plus (2) a pro-rated portion of the target Bonus available to the Participant under Section 4 for the year in which the termination occurs.  

y. “WCI Group” means the Parent, the Company and each of their subsidiaries and affiliates.

19

APPENDIX A

Detailed Claims And Arbitration Procedures

1.Claims Procedure

Initial Claims

All claims shall be presented to the Plan Administrator in writing.  Within ninety (90) days after receiving a claim, a claims official appointed by the Plan Administrator shall consider the claim and issue his or her determination thereon in writing.  If the Plan Administrator or claims official determines that an extension of time is necessary, the claims official may extend the determination period for up to an additional ninety (90) days by giving the Claimant written notice indicating the special circumstances requiring the extension of time prior to the termination of the initial ninety (90) day period.  Any claims that the Claimant does not pursue in good faith through the initial claims stage shall be treated as having been irrevocably waived.  

Claims Decisions

If the claim is granted, the benefits or relief the Claimant seeks shall be provided.  If the claim is wholly or partially denied, the claims official shall, within ninety (90) days (or a longer period, as described above), provide the Claimant with written notice of the denial, setting forth, in a manner calculated to be understood by the Claimant: (1) the specific reason or reasons for the denial; (2) specific references to the provisions on which the denial is based; (3) a description of any additional material or information necessary for the Claimant to perfect the claim, together with an explanation of why the material or information is necessary; and (4) an explanation of the procedures for appealing denied claims.  If the Claimant can establish that the claims official has failed to respond to the claim in a timely manner, the Claimant may treat the claim as having been denied by the claims official.

Appeals of Denied Claims

Each Claimant shall have the opportunity to appeal the claims official’s denial of a claim in writing to an appeals official appointed by the Plan Administrator (which may be a person, committee, or other entity).  A Claimant must appeal a denied claim within sixty (60) days after receipt of written notice of denial of the claim, or within sixty (60) days after it was due if the Claimant did not receive it by its due date.  The Claimant shall have the opportunity to submit written comments, documents, records and other information relating to the Claimant’s claim.  The Claimant (or the Claimant’s duly authorized representative) shall be provided upon request and free of charge, reasonable access to, and copies of, all documents, records and other information relevant to the Claimant’s claim.  The appeals official shall take into account during its review all comments, documents, records and other information submitted by the Claimant relating to the claim, without regard to whether such information was submitted or considered in the initial benefits review.  Any claims that the Claimant does not pursue in good faith through the appeals stage, such as by failing to file a timely appeal request, shall be treated as having been irrevocably waived.

Appendix A-1

Appeals Decisions

The decision by the appeals official shall be made not later than sixty (60) days after the written appeal is received by the Plan Administrator, however, if the appeals official determines that an extension of time is necessary, the appeals official may extend the determination period for up to an additional sixty (60) days by giving the Claimant written notice indicating the special circumstances requiring the extension of time prior to the termination of the initial sixty (60) day period.  The appeal decision shall be in writing, shall be set forth in a manner calculated to be understood by the Claimant and shall include the following: (1) the specific reason or reasons for the denial; (2) specific references to the provisions on which the denial is based; (3) a statement that the Claimant is entitled to receive, upon request and free of charge, reasonable access to, and copies of, all documents, records and other information relevant to the Claimant’s claim.  If a Claimant does not receive the appeal decision by the date it is due, the Claimant may deem the appeal to have been denied.

Procedures

The Plan Administrator shall adopt procedures by which initial claims shall be considered and appeals shall be resolved; different procedures may be established for different claims.  All procedures shall be designed to afford a Claimant full and fair consideration of his or her claim.

Additional Disability Claims Procedures

Notwithstanding anything to the contrary above, disability claims and appeals under this Plan shall comply with the following requirements (in addition to any requirements above):

Initial Claims

Within forty-five (45) days after receiving a claim, a claims official appointed by the Plan Administrator shall consider the claim and issue his or her determination thereon in writing.  If the Plan Administrator or claims official determines that an extension of time is necessary, the claims official may extend the determination period twice by thirty (30) days by giving the Claimant prior written notice indicating the special circumstances requiring the extension of time and the date by which we expect to render a decision.  If such an extension is necessary due to the Claimant’s failure to submit the information necessary to decide the claim, the notice of extension will specifically describe the required information, and the Claimant will be afforded at least forty-five (45) days within which to provide the specified information.  If the Claimant delivers the requested information within the time specified, any thirty (30)-day extension period will begin after the Claimant has provided that information.

Appendix A-2

Appeals

A Claimant must appeal a denied claim within one hundred eighty (180) days after receipt of written notice of denial of the claim.  The decision by the appeals official shall be made not later than forty-five (45) days after the written appeal is received by the Plan Administrator, however, if the appeals official determines that an extension of time is necessary, the appeals official may extend the determination period for up to an additional forty-five (45) days by giving the Claimant written notice indicating the special circumstances requiring the extension of time prior to the termination of the initial forty-five (45) day period.  If an extension is necessary due to the Claimant’s failure to submit the information necessary to decide the appeal, the notice of extension will specifically describe the required information, and the Claimant will be afforded at least forty-five (45) days to provide the specified information.  If the Claimant delivers the requested information within the time specified, the forty-five (45) day extension of the appeal period will begin after the Claimant has provided that information.  

Effective as of April 1, 2018, the following provisions apply with respect to a claim for disability benefits under this Plan.  The claims requirements above shall apply as the internal claims process except as provided under DOL Reg. 2650.503-1 and any superseding guidance.

(1)Independent and Impartial Review.  The Plan must meet the conflict of interest requirements under DOL Reg. 2560.503-1(b)(7).  All claims and appeals for disability benefits must be adjudicated in a manner designed to ensure the independence and impartiality of the persons involved in making the decision. Accordingly, decisions regarding hiring, compensation, termination, promotion, or other similar matters with respect to any individual (such as a claims adjudicator or medical or vocational expert) must not be made based upon the likelihood that the individual will support the denial of benefits.

(2)Adverse Benefit Determination. An adverse benefit determination also includes any rescission of coverage as described in DOL Reg. 2560.503-1(m)(4)(ii).

(3)Full and Fair Review. A Claimant must be allowed to review the file and present evidence and testimony as part of the appeals process. Claimants must be provided, free of charge, with any new or additional evidence considered, relied upon or generated by the Plan in connection with the claim sufficiently in advance of the final adverse benefit determination to give the Claimant a reasonable opportunity to respond prior to that date in accordance with DOL Reg. 2560.503-1(h)(4).

(4)Deemed Exhaustion of Claims Process. If the Plan fails to adhere to the requirements of DOL Reg. 2560.503-1, except as provided under DOL Reg. 2560.503-1(l)(2)(ii), the Claimant may bring an action under section 502(a) of ERISA as provided in DOL Reg. 2560.503-1(l)(2)(i) and any superseding guidance.  

(5)Notices. A notice of adverse benefit determination must include the information required under DOL Reg. 2560.503-1(g)(vii), (j)(4) and (j)(6), as applicable. The notice of adverse benefit determination must include a discussion of the decision, including an explanation of the basis for disagreeing with or not following:

Appendix A-3

(A)The views presented by the Claimant to the Plan of health care professionals treating the Claimant and vocational professionals who evaluated the claimant;

(B)The views of medical or vocational experts whose advice was obtained on behalf of the plan in connection with a Claimant’s adverse benefit determination, without regard to whether the advice was relied upon in making the benefit determination; and

(C)A disability determination regarding the claimant presented by the Claimant to the Plan made by the Social Security Administration;

If the adverse benefit determination is based on a medical necessity or experimental treatment or similar exclusion or limit, the notice should contain an explanation of the scientific or clinical judgment for the determination, applying the terms of the Plan to the Claimant’s medical circumstances, or a statement that such explanation will be provided free of change upon request.  In addition, if any specific internal rules, guidelines, protocols, standards or other similar criteria of the plan were relied upon in making the adverse determination, the notice should describe such criteria or, alternatively, a statement that such rules, guidelines, protocols, standards or other similar criteria of the plan do not exist.

The notice must be provided in a culturally and linguistically appropriate manner as provided under DOL Reg. 2560.503-1(g)(viii), (j)(7), and (o).  If the Plan maintains a contractual deadline to file a civil action under section 502(a) of ERISA, the notice of adverse benefit determination shall disclose the specific deadline, including the calendar date on which the Claimant’s rights expire, as required by DOL Reg. 2560.503-1(j)(4)(ii).

Arbitration of Rejected Appeals

If a Claimant has pursued a claim through the appeal stage of these claims procedures, the Claimant may contest the actual or deemed denial of that claim through arbitration, as described below.  In no event shall any denied claim be subject to resolution by any means (such as in a court of law) other than arbitration in accordance with the following provisions.

2.Arbitration Procedure

Request for Arbitration

A Claimant must submit a request for arbitration to the Plan Administrator within 60 days after receipt of the written denial of an appeal (or within sixty (60) days after he or she should have received the determination). The Claimant or the Plan Administrator may bring an action in any court of appropriate jurisdiction to compel arbitration in accordance with these procedures.

Applicable Arbitration Rules

If the Claimant has entered into a separate and valid arbitration agreement with the Company, the arbitration shall be conducted in accordance with that agreement.  If not, the rules set forth in the balance of this Appendix shall apply: The arbitration shall be held under the auspices of the American Arbitration Association (“AAA”).  Except as provided below, the arbitration shall be in accordance with the AAA’s then-current employment dispute resolution

Appendix A-4

rules.  The Arbitrator shall apply the Federal Rules of Evidence and shall have the authority to entertain a motion to dismiss or a motion for summary judgment by any party and shall apply the standards governing such motions under the Federal Rules of Civil Procedure.  The Federal Arbitration Act shall govern all arbitrations that take place under these Detailed Claims and Arbitration Procedures (or that are required to take place under them), and shall govern the interpretation or enforcement of these Procedures or any arbitration award.  To the extent that the Federal Arbitration Act is inapplicable, Texas law pertaining to arbitration agreements shall apply.

Arbitrator

The arbitrator (the “Arbitrator”) shall be an attorney familiar with employee benefit matters who is licensed to practice law in the state in which the arbitration is convened.  The Arbitrator shall be selected in the following manner from a list of eleven arbitrators drawn by the sponsoring organization under whose auspices the arbitration is being conducted and taken from its panel of labor and employment arbitrators.  Each party shall designate all arbitrators on the list whom they find acceptable; the parties shall then alternately strike arbitrators from the list of arbitrators acceptable to both parties, with the party who did not initiate the arbitration striking first.  If only one arbitrator is acceptable to both parties, he or she will be the Arbitrator.  If none of the arbitrators is acceptable to both parties, a new panel of arbitrators shall be obtained from the sponsoring organization and the selection process shall be repeated.

Location

The arbitration will take place in or near the city in which the Claimant is or was last employed by the Company or in which the Plan is principally administered, whichever is specified by the Plan Administrator, or in such other location as may be acceptable to both the Claimant and the Plan Administrator.

Authority of Arbitrator

The Arbitrator shall have the authority to resolve any factual or legal claim relating to the Plan or relating to the interpretation, applicability, or enforceability of these arbitration procedures, including, but not limited to, any claim that these procedures are void or voidable.  The Arbitrator may grant a Claimant’s claim only if the Arbitrator determines that it is justified because: (1) the appeals official erred on an issue of law; or (2) the appeals official’s findings of fact, if applicable, were not supported by substantial evidence.  The arbitration shall be final and binding on all parties.

Limitation on Scope of Arbitration

The Claimant may not present any evidence, facts, arguments, or theories at the arbitration that the Claimant did not pursue in his or her appeal, except in response to new evidence, facts, arguments, or theories presented on behalf of the other parties to the arbitration.  However, an arbitrator may permit a Claimant to present additional evidence or theories if the Arbitrator determines that the Claimant was precluded from presenting them during the claim and appeal procedures due to procedural errors of the Plan Administrator or its delegates.

Appendix A-5

Administrative Record

The Plan Administrator shall submit to the Arbitrator a certified copy of the record on which the appeals official’s decision was made.

Experts, Depositions, and Discovery

Except as otherwise permitted by the Arbitrator on a showing of substantial need, either party may: (1) designate one expert witness; (2) take the deposition of one individual and the other party’s expert witness; (3) propound requests for production of documents; and (4) subpoena witnesses and documents relating to the discovery permitted in this paragraph.

Pre-Hearing Procedures

At least thirty (30) days before the arbitration hearing, the parties must exchange lists of witnesses, including any expert witnesses, and copies of all exhibits intended to be used at the hearing.  The Arbitrator shall have jurisdiction to hear and rule on pre-hearing disputes and is authorized to hold pre-hearing conferences by telephone or in person, as the Arbitrator deems necessary.

Transcripts

Either party may arrange for a court reporter to provide a stenographic record of the proceedings at the party’s own cost.

Post-Hearing Procedures

Either party, on request at the close of the hearing, may be given leave to file a post-hearing brief within the time limits established by the Arbitrator.

Costs and Attorneys’ Fees

The prevailing party shall be entitled to reasonable attorneys’ fees, costs and necessary disbursements in addition to any other relief to which such party may be entitled, except as required by applicable law.

Procedure for Collecting Costs From Claimant

Before the arbitration commences, the Claimant must deposit with the Plan Administrator a payment equal to the amount of any fees that he or she would pay to file a claim in court. The Company shall pay any portion of the anticipated fees and costs of the Arbitrator in excess of that amount.  In the event the Company is the prevailing party in any arbitration, the Arbitrator shall be permitted to reallocate the fees and costs associated with the arbitration from the Company to the Participant and in such event the Participant shall be obligated to reimburse the Company for such fees and costs within 10 days after such determination is made.  

Appendix A-6

Arbitration Award

The Arbitrator shall render an award and opinion in the form typically rendered in labor arbitrations.  Within twenty (20) days after issuance of the Arbitrator’s award and opinion, either party may file with the Arbitrator a motion to reconsider, which shall be accompanied by a supporting brief.  If such a motion is filed, the other party shall have twenty (20) days from the date of the motion to respond, after which the Arbitrator shall reconsider the issues raised by the motion and either promptly confirm or promptly change his or her decision.  The decision shall then be final and conclusive on the parties.  Arbitrator fees and other costs of a motion for reconsideration shall be borne by the losing party, unless the Arbitrator orders otherwise.  Either party may bring an action in any court of appropriate jurisdiction to enforce an arbitration award.  A party opposing enforcement of an arbitration award may not do so in an enforcement proceeding, but must bring a separate action in a court of competent jurisdiction to set aside the award.  In any such action, the standard of review shall be the same as that applied by an appellate court reviewing the decision of a trial court in a nonjury trial.

Severability

The invalidity or unenforceability of any part of these arbitration procedures shall not affect the validity of the rest of the procedures.

Appendix A-7

APPENDIX B

ADDITIONAL INFORMATION

Rights under ERISA

As a participant in the Plan, you are entitled to certain rights and protections under ERISA.  ERISA provides that all Plan participants will be entitled to:

Receive Information About Your Plan and Benefits

1.Examine, without charge, at the Company’s headquarters, all documents governing the Plan including collective bargaining agreements, if any, and annual reports and Plan descriptions.

2.Obtain, upon written request to the Plan administrator, copies of documents governing the operation of the Plan, including collective bargaining agreements, if any, and copies of the latest annual report (Form 5500 Series) and summary plan description.  The Plan Administrator may make a reasonable charge for the copies.

3.Receive a summary of the Plan’s annual financial report, if any.  The Plan administrator is required by law to furnish each participant with a copy of this summary annual report.

Prudent Actions by Plan Fiduciaries

In addition to creating rights for Plan participants, ERISA imposes duties upon the people who are responsible for the operation of the employee benefit plan. The people who operate your Plan, called “fiduciaries” of the Plan, have a duty to do so prudently and in the interest of you and other Plan participants and beneficiaries.  No one, including the Company, your union, or any other person, may fire you or otherwise discriminate against you in any way to prevent you from obtaining a welfare benefit or exercising your right under ERISA.

Enforce Your Rights

If your claim for a welfare benefit is denied or ignored, in whole or in part, you have a right to know why this was done, to obtain copies of documents relating to the decision without charge, and to appeal any denial, all within certain time schedules.  Under ERISA, there are steps you can take to enforce the above rights.  For instance, if you request a copy of plan documents or the latest annual report from the Plan and do not receive them within thirty (30) days, you may file suit in a Federal court.  In such a case, the court may require the Plan Administrator to provide the materials and pay you up to $110 a day until you receive the materials, unless the materials were not sent because of reasons beyond the control of the Plan administrator.  If you have a claim for benefits, which is denied or ignored, in whole or in part, you may file suit in a state or Federal court.  In addition, if you disagree with the Plan’s decision or lack thereof concerning the qualified status of a domestic relations order or a medical child support order, you may file suit in Federal court.  If it should happen that Plan fiduciaries misuse the Plan’s money, or if you are discriminated against for asserting your rights, you may seek assistance from the U.S. Department of Labor, or you may file suit in a federal court.  The court will decide who should pay court costs and legal fees.  If you are successful, the court may order the person you have sued to pay these costs and fees.  If you

Appendix B-1

lose, the court may order you to pay these costs and fees, for example, if it finds your claim is frivolous.

Assistance with Your Questions

If you have any questions about your Plan, you should contact the Plan Administrator.  If you should have any questions about this statement or about your rights under ERISA, or if you need assistance in obtaining documents from the Plan Administrator, you should contact the nearest office of the Employee Benefits Security Administration, U.S. Department of Labor, listed in your telephone directory or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue N. W., Washington, D. C. 20210.  You may also obtain certain publications about your rights and responsibilities under ERISA by calling the publications hotline of the Employee Benefits Security Administration.

ADMINISTRATIVE INFORMATION
Name of Plan:	Separation Benefits Plan
Plan Administrator and Sponsor:	Compensation Committee of the Board of Directors Waste Connections, Inc. 3 Waterway Square Place, Suite 110 The Woodlands, TX 77380 Tel: (832) 442-2200 Fax: (832) 442-2290
Type of Administration:	Self-Administered
Type of Plan:	Severance Pay “Top Hat” Welfare Benefit Plan
Employer Identification Number:	94-3283464
Direct Questions Regarding the Plan to:	Compensation Committee of the Board of Directors Waste Connections, Inc. 3 Waterway Square Place, Suite 110 The Woodlands, TX 77380 Tel: (832) 442-2200 Fax: (832) 442-2290
Agent for Service of Legal Process:	Corporate Secretary Waste Connections, Inc. 3 Waterway Square Place, Suite 110 The Woodlands, TX 77380 Tel: (832) 442-2200 Fax: (832) 442-2290 Service of Legal Process may also be made upon the Plan Administrator
Plan Year End:	December 31
Plan Number:	502

Appendix B-2

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO EXCHANGE ACT RULE 13a-14(a) OR RULE 15d-14(a) AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Worthing F. Jackman, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Waste Connections, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 3, 2022
	/s/ Worthing F. Jackman
	Worthing F. Jackman
	President and Chief Executive Officer (Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION PURSUANT TO EXCHANGE ACT RULE 13a-14(a) OR RULE 15d-14(a) AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Mary Anne Whitney, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Waste Connections, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 3, 2022
	/s/ Mary Anne Whitney
	Mary Anne Whitney
	Executive Vice President and Chief Financial Officer (Principal Financial Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

(Subsections (a) and (b) of Section 1350, Chapter 63 of Title 18, United States Code)

I, Worthing F. Jackman, being the duly elected and acting President and Chief Executive Officer of Waste Connections, Inc., a corporation organized under the laws of Ontario, Canada (the “Company”), hereby certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

1. The Quarterly Report of the Company on Form 10-Q for the period ended June 30, 2022 (the “Report”), fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

9
Date: August 3, 2022	By:	/s/ Worthing F. Jackman
		Worthing F. Jackman
		President and Chief Executive Officer

The foregoing certification is being furnished solely to accompany the Report pursuant to 18 U.S.C. Section 1350, and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and shall not be deemed to be incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing, except to the extent that the Company specifically incorporates it by reference.

EX-32.2

Exhibit 32.2

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

(Subsections (a) and (b) of Section 1350, Chapter 63 of Title 18, United States Code)

I, Mary Anne Whitney, being the duly elected and acting Executive Vice President and Chief Financial Officer of Waste Connections, Inc., a corporation organized under the laws of Ontario, Canada (the “Company”), hereby certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

1. The Quarterly Report of the Company on Form 10-Q for the period ended June 30, 2022 (the “Report”), fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: August 3, 2022	By:	/s/ Mary Anne Whitney
		Mary Anne Whitney
		Executive Vice President and
		Chief Financial Officer

The foregoing certification is being furnished solely to accompany the Report pursuant to 18 U.S.C. Section 1350, and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and shall not be deemed to be incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing, except to the extent that the Company specifically incorporates it by reference.

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Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2022	Jul. 22, 2022
Document And Entity Information [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2022
Document Transition Report	false
Entity File Number	1-34370
Entity Registrant Name	WASTE CONNECTIONS, INC.
Entity Incorporation, State or Country Code	A6
Entity Tax Identification Number	98-1202763
Entity Address, Address Line One	6220 Hwy 7
Entity Address, Address Line Two	Suite 600
Entity Address, City or Town	Woodbridge
Entity Address, State or Province	ON
Entity Address, Country	CA
Entity Address, Postal Zip Code	L4H 4G3
City Area Code	905
Local Phone Number	532-7510
Title of 12(b) Security	Common Shares, no par value
Trading Symbol	WCN
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		257,181,326
Entity Central Index Key	0001318220
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2022
Amendment Flag	false

XML

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Current assets:
Cash and equivalents	$ 217,808	$ 147,441
Accounts receivable, net of allowance for credit losses of $20,253 and $18,480 at June 30, 2022 and December 31, 2021, respectively	797,877	709,614
Prepaid expenses and other current assets	242,050	175,722
Total current assets	1,257,735	1,032,777
Restricted cash	106,736	72,174
Restricted investments	56,234	59,014
Property and equipment, net	5,858,175	5,721,949
Operating lease right-of-use assets	167,099	160,567
Goodwill	6,457,910	6,187,643
Intangible assets, net	1,400,249	1,350,597
Other assets, net	112,103	115,203
Total assets	15,416,241	14,699,924
Current liabilities:
Accounts payable	496,622	392,868
Book overdraft	16,668	16,721
Deferred revenue	305,724	273,720
Accrued liabilities	417,725	442,596
Current portion of operating lease liabilities	35,101	38,017
Current portion of contingent consideration	59,371	62,804
Current portion of long-term debt and notes payable	6,342	6,020
Total current liabilities	1,337,553	1,232,746
Long-term debt and notes payable	5,633,524	5,040,500
Long-term portion of operating lease liabilities	139,191	129,628
Long-term portion of contingent consideration	31,264	31,504
Deferred income taxes	994,766	850,921
Other long-term liabilities	410,281	421,080
Total liabilities	8,546,579	7,706,379
Commitments and contingencies (Note 17)
Equity:
Common shares: 257,166,050 shares issued and 257,100,591 shares outstanding at June 30, 2022; 260,283,158 shares issued and 260,212,496 shares outstanding at December 31, 2021	3,270,242	3,693,027
Additional paid-in capital	210,767	199,482
Accumulated other comprehensive income	41,438	39,584
Treasury shares: 65,459 and 70,662 shares at June 30, 2022 and December 31, 2021, respectively
Retained earnings	3,342,431	3,056,845
Total Waste Connections' equity	6,864,878	6,988,938
Noncontrolling interest in subsidiaries	4,784	4,607
Total equity	6,869,662	6,993,545
Total liabilities and shareholders' equity	$ 15,416,241	$ 14,699,924

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Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Statement Of Financial Position [Abstract]
Allowance for credit losses	$ 20,253	$ 18,480
Common shares, shares issued	257,166,050	260,283,158
Common shares, shares outstanding	257,100,591	260,212,496
Treasury shares	65,459	70,662

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Condensed Consolidated Statements of Net Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Statement [Abstract]
Revenues	$ 1,816,435	$ 1,533,931	$ 3,462,690	$ 2,929,874
Operating expenses:
Cost of operations	1,087,892	901,191	2,077,410	1,727,111
Selling, general and administrative	168,404	157,943	331,818	299,365
Depreciation	188,937	169,221	368,887	326,624
Amortization of intangibles	37,462	32,707	75,098	64,899
Impairments and other operating items	4,150	6,081	6,028	6,715
Operating income	329,590	266,788	603,449	505,160
Interest expense	(45,079)	(41,328)	(86,404)	(83,753)
Interest income	652	744	790	1,848
Other income (expense), net	(2,649)	(1,235)	(6,114)	2,312
Income before income tax provision	282,514	224,969	511,721	425,567
Income tax provision	(58,307)	(47,868)	(107,146)	(88,159)
Net income	224,207	177,101	404,575	337,408
Plus (less): Net loss (income) attributable to noncontrolling interests	(133)	(54)	(177)	(52)
Net income attributable to Waste Connections	$ 224,074	$ 177,047	$ 404,398	$ 337,356
Earnings per common share attributable to Waste Connections' common shareholders:
Basic	$ 0.87	$ 0.68	$ 1.57	$ 1.29
Diluted	$ 0.87	$ 0.68	$ 1.57	$ 1.29
Shares used in the per share calculations:
Basic	257,179,434	260,951,405	257,555,033	261,791,088
Diluted	257,736,745	261,418,573	258,140,714	262,269,600
Cash dividends per common share	$ 0.230	$ 0.205	$ 0.460	$ 0.410

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Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Net income (loss)	$ 224,207	$ 177,101	$ 404,575	$ 337,408
Other comprehensive income (loss), before tax:
Foreign currency translation adjustment	(73,504)	32,973	(39,075)	61,027
Other comprehensive income (loss), before tax	(67,267)	31,777	16,611	85,366
Income tax (expense) benefit related to items of other comprehensive income (loss)	(1,653)	317	(14,757)	(6,450)
Other comprehensive income (loss), net of tax	(68,920)	32,094	1,854	78,916
Comprehensive income	155,287	209,195	406,429	416,324
Plus (less): Comprehensive loss (income) attributable to noncontrolling interests	(133)	(54)	(177)	(52)
Comprehensive income attributable to Waste Connections	155,154	209,141	406,252	416,272
Interest Rate Swap [Member]
Other comprehensive income (loss), before tax:
Amounts reclassified, gross	3,646	5,061	8,396	9,857
Change in fair value, gross	$ 2,591	$ (6,257)	$ 47,290	$ 14,482

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Condensed Consolidated Statements of Equity - USD ($)	Common Stock [Member] Deferred Compensation Plan [Member]	Common Stock [Member] Performance Shares [Member]	Common Stock [Member]	Additional Paid-In Capital [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Treasury Stock, Common [Member]	Retained Earnings [Member]	Noncontrolling Interests [Member]	Total
Cumulative effect adjustment from adoption of new accounting pronouncement			$ 4,030,368,000	$ 170,555,000	$ (651,000)		$ 2,659,001,000	$ 4,165,000	$ 6,863,438,000
Beginning Balances at Dec. 31, 2020			$ 4,030,368,000	170,555,000	(651,000)		2,659,001,000	4,165,000	6,863,438,000
Beginning Balances, shares at Dec. 31, 2020			262,824,990
Beginning Balance, treasury shares at Dec. 31, 2020						74,184
Sale of common shares held in trust			$ 131,000						131,000
Sale of common shares held in trust, shares			1,318			(1,318)
Vesting of restricted share units (shares)	19,150	154,251	340,529
Tax withholdings related to net share settlements of equity-based compensation				(18,490,000)					(18,490,000)
Tax withholdings related to net share settlements of equity-based compensation, shares			(186,039)
Equity-based compensation				9,573,000					9,573,000
Exercise of warrants			3,490
Repurchase of common shares (shares)			(666,184)
Repurchase of common shares			$ (65,999,000)						(65,999,000)
Cash dividends on common shares							(53,909,000)		(53,909,000)
Amounts reclassified into earnings, net of taxes					3,525,000				3,525,000
Changes in fair value of cash flow hedges, net of taxes					15,243,000				15,243,000
Foreign currency translation adjustment					28,054,000				28,054,000
Net income (loss)							160,309,000	(2,000)	160,307,000
Ending Balances at Mar. 31, 2021			$ 3,964,500,000	161,638,000	46,171,000		2,765,401,000	4,163,000	6,941,873,000
Ending Balances, shares at Mar. 31, 2021			262,491,505
Ending Balance, treasury shares at Mar. 31, 2021						72,866
Beginning Balances at Dec. 31, 2020			$ 4,030,368,000	170,555,000	(651,000)		2,659,001,000	4,165,000	$ 6,863,438,000
Beginning Balances, shares at Dec. 31, 2020			262,824,990
Beginning Balance, treasury shares at Dec. 31, 2020						74,184
Repurchase of common shares (shares)									(2,745,990)
Repurchase of common shares									$ (305,640,000)
Cash dividends on common shares									(107,330,000)
Foreign currency translation adjustment					61,027,000				61,027,000
Net income (loss)									337,408,000
Ending Balances at Jun. 30, 2021			$ 3,724,859,000	172,232,000	78,265,000		2,889,027,000	4,217,000	6,868,600,000
Ending Balances, shares at Jun. 30, 2021			260,433,450
Ending Balance, treasury shares at Jun. 30, 2021						72,866
Cumulative effect adjustment from adoption of new accounting pronouncement			$ 3,964,500,000	161,638,000	46,171,000		2,765,401,000	4,163,000	6,941,873,000
Beginning Balances at Mar. 31, 2021			$ 3,964,500,000	161,638,000	46,171,000		2,765,401,000	4,163,000	6,941,873,000
Beginning Balances, shares at Mar. 31, 2021			262,491,505
Beginning Balance, treasury shares at Mar. 31, 2021						72,866
Vesting of restricted share units (shares)			647
Fair value adjustment for common shares in deferred compensation plan exchanged for other investment options				(1,177,000)					(1,177,000)
Tax withholdings related to net share settlements of equity-based compensation				(20,000)					(20,000)
Tax withholdings related to net share settlements of equity-based compensation, shares			(176)
Equity-based compensation				11,791,000					11,791,000
Exercise of warrants			21,280
Repurchase of common shares (shares)			(2,079,806)
Repurchase of common shares			$ (239,641,000)						(239,641,000)
Cash dividends on common shares							(53,421,000)		(53,421,000)
Amounts reclassified into earnings, net of taxes					3,720,000				3,720,000
Changes in fair value of cash flow hedges, net of taxes					(4,599,000)				(4,599,000)
Foreign currency translation adjustment					32,973,000				32,973,000
Net income (loss)							177,047,000	54,000	177,101,000
Ending Balances at Jun. 30, 2021			$ 3,724,859,000	172,232,000	78,265,000		2,889,027,000	4,217,000	6,868,600,000
Ending Balances, shares at Jun. 30, 2021			260,433,450
Ending Balance, treasury shares at Jun. 30, 2021						72,866
Cumulative effect adjustment from adoption of new accounting pronouncement			$ 3,724,859,000	172,232,000	78,265,000		2,889,027,000	4,217,000	6,868,600,000
Cumulative effect adjustment from adoption of new accounting pronouncement			3,693,027,000	199,482,000	39,584,000		3,056,845,000	4,607,000	6,993,545,000
Beginning Balances at Dec. 31, 2021			$ 3,693,027,000	199,482,000	39,584,000		3,056,845,000	4,607,000	$ 6,993,545,000
Beginning Balances, shares at Dec. 31, 2021			260,212,496						260,212,496
Beginning Balance, treasury shares at Dec. 31, 2021						70,662			70,662
Sale of common shares held in trust			$ 305,000						$ 305,000
Sale of common shares held in trust, shares			2,203			(2,203)
Vesting of restricted share units (shares)	19,149	57,677	312,706
Tax withholdings related to net share settlements of equity-based compensation				(17,236,000)					(17,236,000)
Tax withholdings related to net share settlements of equity-based compensation, shares			(143,243)
Equity-based compensation				14,139,000					14,139,000
Exercise of warrants			11,560
Repurchase of common shares (shares)			(3,388,155)
Repurchase of common shares			$ (424,999,000)						(424,999,000)
Issuance of shares under employee share purchase plan			$ 1,554,000						1,554,000
Issuance of shares under employee share purchase plan, shares			12,015
Cash dividends on common shares							(59,391,000)		(59,391,000)
Amounts reclassified into earnings, net of taxes					3,491,000				3,491,000
Changes in fair value of cash flow hedges, net of taxes					32,854,000				32,854,000
Foreign currency translation adjustment					34,429,000				34,429,000
Net income (loss)							180,324,000	44,000	180,368,000
Ending Balances at Mar. 31, 2022			$ 3,269,887,000	196,385,000	110,358,000		3,177,778,000	4,651,000	6,759,059,000
Ending Balances, shares at Mar. 31, 2022			257,096,408
Ending Balance, treasury shares at Mar. 31, 2022						68,459
Beginning Balances at Dec. 31, 2021			$ 3,693,027,000	199,482,000	39,584,000		3,056,845,000	4,607,000	$ 6,993,545,000
Beginning Balances, shares at Dec. 31, 2021			260,212,496						260,212,496
Beginning Balance, treasury shares at Dec. 31, 2021						70,662			70,662
Repurchase of common shares (shares)									(3,388,155)
Repurchase of common shares									$ (424,999,000)
Issuance of shares under employee share purchase plan									$ 1,554,000
Issuance of shares under employee share purchase plan, shares									12,015
Cash dividends on common shares									$ (118,812,000)
Foreign currency translation adjustment					(39,075,000)				(39,075,000)
Net income (loss)									404,575,000
Ending Balances at Jun. 30, 2022			$ 3,270,242,000	210,767,000	41,438,000		3,342,431,000	4,784,000	$ 6,869,662,000
Ending Balances, shares at Jun. 30, 2022			257,100,591						257,100,591
Ending Balance, treasury shares at Jun. 30, 2022						65,459			65,459
Cumulative effect adjustment from adoption of new accounting pronouncement			$ 3,269,887,000	196,385,000	110,358,000		3,177,778,000	4,651,000	$ 6,759,059,000
Beginning Balances at Mar. 31, 2022			$ 3,269,887,000	196,385,000	110,358,000		3,177,778,000	4,651,000	6,759,059,000
Beginning Balances, shares at Mar. 31, 2022			257,096,408
Beginning Balance, treasury shares at Mar. 31, 2022						68,459
Sale of common shares held in trust			$ 355,000			$ (3,000)			355,000
Sale of common shares held in trust, shares			3,000
Vesting of restricted share units (shares)			522
Tax withholdings related to net share settlements of equity-based compensation				(30,000)					(30,000)
Tax withholdings related to net share settlements of equity-based compensation, shares			(145)
Equity-based compensation				14,412,000					14,412,000
Exercise of warrants			806
Cash dividends on common shares							(59,421,000)		(59,421,000)
Amounts reclassified into earnings, net of taxes					2,680,000				2,680,000
Changes in fair value of cash flow hedges, net of taxes					1,904,000				1,904,000
Foreign currency translation adjustment					(73,504,000)				(73,504,000)
Net income (loss)							224,074,000	133,000	224,207,000
Ending Balances at Jun. 30, 2022			$ 3,270,242,000	210,767,000	41,438,000		3,342,431,000	4,784,000	$ 6,869,662,000
Ending Balances, shares at Jun. 30, 2022			257,100,591						257,100,591
Ending Balance, treasury shares at Jun. 30, 2022						65,459			65,459
Cumulative effect adjustment from adoption of new accounting pronouncement			$ 3,270,242,000	$ 210,767,000	$ 41,438,000		$ 3,342,431,000	$ 4,784,000	$ 6,869,662,000

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Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Cash flows from operating activities:
Net income (loss)	$ 404,575	$ 337,408
Adjustments to reconcile net income to net cash provided by operating activities:
Loss on disposal of assets and impairments	6,048	6,229
Depreciation	368,887	326,624
Amortization of intangibles	75,098	64,899
Deferred income taxes, net of acquisitions	84,991	3,520
Current period provision for expected credit losses	6,907	4,903
Amortization of debt issuance costs	2,484	2,689
Share-based compensation	27,716	28,724
Interest accretion	8,798	8,199
Payment of contingent consideration recorded in earnings		(520)
Adjustments to contingent consideration	(1,030)	89
Other	(2,173)	(1,118)
Net change in operating assets and liabilities, net of acquisitions	(8,623)	66,832
Net cash provided by operating activities	973,678	848,478
Cash flows from investing activities:
Payments for acquisitions, net of cash acquired	(546,982)	(67,493)
Capital expenditures for property and equipment	(371,428)	(271,392)
Proceeds from disposal of assets	16,894	7,906
Other	9,566	(1,815)
Net cash used in investing activities	(891,950)	(332,794)
Cash flows from financing activities:
Proceeds from long-term debt	1,517,732	311,000
Principal payments on notes payable and long-term debt	(920,107)	(267,050)
Payment of contingent consideration recorded at acquisition date	(8,898)	(5,595)
Change in book overdraft	(54)	(190)
Payments for repurchase of common shares	(424,999)	(305,640)
Payments for cash dividends	(118,812)	(107,330)
Tax withholdings related to net share settlements of equity-based compensation	(17,266)	(18,510)
Debt issuance costs	(4,668)
Proceeds from issuance of shares under employee share purchase plan	1,554
Proceeds from sale of common shares held in trust	660	131
Net cash provided by (used in) financing activities	25,142	(393,184)
Effect of exchange rate changes on cash, cash equivalents and restricted cash	(1,941)	873
Net increase in cash, cash equivalents and restricted cash	104,929	123,373
Cash, cash equivalents and restricted cash at beginning of period	219,615	714,389
Cash, cash equivalents and restricted cash at end of period	324,544	837,762
Non-cash financing activities:
Liabilities assumed and notes payable issued to sellers of businesses acquired	$ 43,693	$ 7,527

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Basis of Presentation and Summary

6 Months Ended

Jun. 30, 2022

Basis of Presentation and Summary [Abstract]

Basis of Presentation and Summary

1.BASIS OF PRESENTATION AND SUMMARY

The accompanying condensed consolidated financial statements relate to Waste Connections, Inc. and its subsidiaries (the “Company”) for the three and six month periods ended June 30, 2022 and 2021. In the opinion of management, the accompanying balance sheets and related interim statements of net income, comprehensive income, cash flows and equity include all adjustments, consisting only of normal recurring items, necessary for their fair statement in conformity with U.S. generally accepted accounting principles (“GAAP”). Preparing financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. Examples include accounting for landfills, self-insurance accruals, income taxes, allocation of acquisition purchase price, contingent consideration accruals and asset impairments. An additional area that involves estimation is when the Company estimates the amount of potential exposure it may have with respect to litigation, claims and assessments in accordance with the accounting guidance on contingencies. Actual results for all estimates could differ materially from the estimates and assumptions that the Company uses in the preparation of its condensed consolidated financial statements.

Interim results are not necessarily indicative of results for a full year. These interim financial statements should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2021.

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Reporting Currency

6 Months Ended

Jun. 30, 2022

Reporting Currency [Abstract]

Reporting Currency

2.REPORTING CURRENCY

The functional currency of the Company, as the parent corporate entity, and its operating subsidiaries in the United States, is the U.S. dollar. The functional currency of the Company’s Canadian operations is the Canadian dollar. The reporting currency of the Company is the U.S. dollar. The Company’s consolidated Canadian dollar financial position is translated to U.S. dollars by applying the foreign currency exchange rate in effect at the consolidated balance sheet date. The Company’s consolidated Canadian dollar results of operations and cash flows are translated to U.S. dollars by applying the average foreign currency exchange rate in effect during the reporting period. The resulting translation adjustments are included in other comprehensive income or loss. Gains and losses from foreign currency transactions are included in earnings for the period.

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New Accounting Standards

6 Months Ended

Jun. 30, 2022

New Accounting Standards [Abstract]

New Accounting Standards

3.NEW ACCOUNTING STANDARDS

Accounting Standards Pending Adoption

Reference Rate Reform – Facilitation of the Effects of Reference Rate Reform on Financial Reporting.  In March 2020, the Financial Accounting Standards Board (“FASB”) issued guidance to provide temporary optional expedients and exceptions to the guidance in GAAP on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (“LIBOR”) and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate (“SOFR”).  One-week and two-month U.S. dollar LIBOR settings as well as all non-U.S. dollar LIBOR settings stopped being published on December 31, 2021, while the remaining U.S. dollar LIBOR settings will be discontinued on June 30, 2023.  Under the new guidance, entities can elect not to apply certain modification accounting requirements to contracts affected by reference rate reform, if certain criteria are met.  An entity that makes this election would not have to remeasure the contracts at the modification date or reassess a previous accounting determination.  Under the guidance, entities can also elect various optional expedients that would allow them to continue applying hedge accounting for hedging relationships affected by reference rate reform, if certain criteria are met.

The guidance was effective upon issuance.  The guidance on contract modifications was applied prospectively from March 12, 2020.  The guidance on hedging is applied to eligible hedging relationships existing as of the beginning of the

interim period that includes the effective date and to new eligible hedging relationships entered into after the beginning of that interim period.  The relief is temporary and generally cannot be applied to contract modifications that occur after December 31, 2022 or hedging relationships entered into or evaluated after that date.  However, certain optional expedients can be applied to hedging relationships evaluated in periods after December 31, 2022.  The Company is currently assessing the potential impact of implementing this new guidance on its consolidated financial statements.  The Company had a combined $1,373,500 of U.S. LIBOR based loans as of June 30, 2022. The Company estimates that if the reference rate for these loans had transitioned from LIBOR to SOFR as of June 30, 2022, the impact to annual interest expense would have been immaterial.  This relief is expected to permit the Company to maintain cash flow ‎hedge accounting as described in Note 11.

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Revenue

6 Months Ended

Jun. 30, 2022

Revenue [Abstract]

Revenue

4.REVENUE

The Company’s operations primarily consist of providing non-hazardous waste collection, transfer, disposal and recycling services, non-hazardous oil and natural gas exploration and production (“E&P”) waste treatment, recovery and disposal services and intermodal services. The following table disaggregates the Company’s revenues by service line for the periods indicated:

		Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Commercial	$	538,525	$	444,044	$	1,038,201	$	870,439
Residential		463,320		416,975		903,608		817,794
Industrial and construction roll off		295,557		237,300		555,045		446,558
Total collection		1,297,402		1,098,319		2,496,854		2,134,791
Landfill		339,719		327,124		639,484		599,060
Transfer		261,475		217,133		479,432		406,456
Recycling		67,504		41,539		130,598		73,987
E&P		54,155		34,607		97,711		62,618
Intermodal and other		46,310		38,590		92,002		74,225
Intercompany		(250,130)		(223,381)		(473,391)		(421,263)
Total	$	1,816,435	$	1,533,931	$	3,462,690	$	2,929,874

The factors that impact the timing and amount of revenue recognized for each service line may vary based on the nature of the service performed. Generally, the Company recognizes revenue at the time it performs a service. In the event that the Company bills for services in advance of performance, it recognizes deferred revenue for the amount billed and subsequently recognizes revenue at the time the service is provided.  Substantially all of the deferred revenue recorded as of March 31, 2022 was recognized as revenue during the three months ended June 30, 2022 when the service was performed.

See Note 10 for additional information regarding revenue by reportable segment.

Contract Acquisition Costs

The incremental direct costs of obtaining a contract, which consist of sales incentives, are recognized as Other assets in the Company’s Condensed Consolidated Balance Sheet, and are amortized to Selling, general and administrative expense over the estimated life of the relevant customer relationship, which ranges from one to five years. The Company recognizes the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset

that the entity would have recognized is one year or less.  The Company had $19,627 and $18,954 of deferred sales incentives at June 30, 2022 and December 31, 2021, respectively.

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Accounts Receivable

6 Months Ended

Jun. 30, 2022

Accounts Receivable [Abstract]

Accounts Receivable

5.ACCOUNTS RECEIVABLE

Accounts receivable are recorded when billed or accrued and represent claims against third parties that will be settled in cash. The carrying value of the Company’s receivables, net of the allowance for credit losses, represents their estimated net realizable value.

The allowance for credit losses is based on management’s assessment of the collectability of assets pooled together with similar risk characteristics.  The Company monitors the collectability of its trade receivables as one overall pool due to all trade receivables having similar risk characteristics.  The Company estimates its allowance for credit losses based on historical collection trends, the age of outstanding receivables, geographical location of the customer, existing economic conditions and reasonable forecasts. If events or changes in circumstances indicate that specific receivable balances may be impaired, further consideration is given to the collectability of those balances and the allowance is adjusted accordingly. Past-due receivable balances are written off when the Company’s internal collection efforts have been unsuccessful in collecting the amount due.

The following is a rollforward of the Company’s allowance for credit losses for the periods indicated:

	Six Months Ended June 30,
	2022		2021
Beginning balance	$	18,480	$	19,380
Current period provision for expected credit losses		6,907		4,903
Write-offs charged against the allowance		(7,522)		(7,152)
Recoveries collected		2,412		2,346
Impact of changes in foreign currency		(24)		50
Ending balance	$	20,253	$	19,527

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Landfill Accounting

6 Months Ended

Jun. 30, 2022

Landfill Accounting [Abstract]

Landfill Accounting

6.LANDFILL ACCOUNTING

At June 30, 2022, the Company’s landfills consisted of 84 owned landfills, five landfills operated under life-of-site operating agreements and five landfills operated under limited-term operating agreements. The Company’s landfills had site costs with a net book value of $2,674,947 at June 30, 2022. For the Company’s landfills operated under limited-term operating agreements and life-of-site operating agreements, the owner of the property (generally a municipality) usually owns the permit and the Company operates the landfill for a contracted term. Where the contracted term is not the life of the landfill, the property owner is generally responsible for final capping, closure and post-closure obligations. The Company is responsible for all final capping, closure and post-closure liabilities at the landfills it operates under life-of-site operating agreements.

The Company’s internal and third-party engineers perform surveys at least annually to estimate the remaining disposal capacity at its landfills. Many of the Company’s existing landfills have the potential for expanded disposal capacity beyond the amount currently permitted. The Company’s landfill depletion rates are based on the remaining disposal capacity, considering both permitted and probable expansion airspace, at the landfills it owns and landfills it operates, but does not own, under life-of-site agreements. The Company’s landfill depletion rate is based on the term of the operating agreement at its operated landfill that has capitalized expenditures. Expansion airspace consists of additional disposal capacity being

pursued through means of an expansion that has not yet been permitted. Expansion airspace that meets certain criteria is included in the estimate of total landfill airspace.

Based on remaining permitted capacity as of June 30, 2022, and projected annual disposal volumes, the average remaining landfill life for the Company’s owned landfills and landfills operated under life-of-site operating agreements is estimated to be approximately 28 years. As of June 30, 2022, the Company is seeking to expand permitted capacity at nine of its owned landfills and three landfills that it operates under life-of-site operating agreements, and considers the achievement of these expansions to be probable. Although the Company cannot be certain that all future expansions will be permitted as designed, the average remaining life, when considering remaining permitted capacity, probable expansion capacity and projected annual disposal volume, of the Company’s owned landfills and landfills operated under life-of-site operating agreements is approximately 32 years.  The estimated remaining lives of the Company’s owned landfills and landfills operated under life-of-site operating agreements range from 1 to 330 years, with approximately 90% of the projected annual disposal volume from landfills with remaining lives of less than 70 years.

During the six months ended June 30, 2022 and 2021, the Company expensed $113,091 and $102,702, respectively, or an average of $4.83 and $4.54 per ton consumed, respectively, related to landfill depletion at owned landfills and landfills operated under life-of-site agreements.

The Company reserves for estimated final capping, closure and post-closure maintenance obligations at the landfills it owns and landfills it operates under life-of-site operating agreements. The Company calculates the net present value of its final capping, closure and post-closure liabilities by estimating the total obligation in current dollars, inflating the obligation based upon the expected date of the expenditure and discounting the inflated total to its present value using a credit-adjusted risk-free rate. Any changes in expectations that result in an upward revision to the estimated undiscounted cash flows are treated as a new liability and are inflated and discounted at rates reflecting market conditions. Any changes in expectations that result in a downward revision (or no revision) to the estimated undiscounted cash flows result in a liability that is inflated and discounted at rates reflecting the market conditions at the time the cash flows were originally estimated. This policy results in the Company’s final capping, closure and post-closure liabilities being recorded in “layers.”  The Company’s discount rate assumption for purposes of computing 2022 and 2021 “layers” for final capping, closure and post-closure obligations was 3.25% for both years, which reflects the Company’s long-term credit adjusted risk free rate as of the end of 2021 and 2020. The Company’s long-term inflation rate assumption is 2.25% for the years ending December 31, 2022 and 2021. The resulting final capping, closure and post-closure obligations are recorded on the Condensed Consolidated Balance Sheet along with an offsetting addition to site costs which is amortized to depletion expense as the remaining landfill airspace is consumed. Interest is accreted on the recorded liability using the corresponding discount rate. During the six months ended June 30, 2022 and 2021, the Company expensed $7,992 and $7,285, respectively, or an average of $0.34 and $0.32 per ton consumed, respectively, related to final capping, closure and post-closure accretion expense.

The following is a reconciliation of the Company’s final capping, closure and post-closure liability balance from December 31, 2021 to June 30, 2022:

Final capping, closure and post-closure liability at December 31, 2021	$	302,537
Liability adjustments		30,238
Accretion expense associated with landfill obligations		7,992
Closure payments		(5,239)
Assumption of closure liabilities from acquisitions		630
Disposition of closure liabilities from divested operations		(916)
Foreign currency translation adjustment		(509)
Final capping, closure and post-closure liability at June 30, 2022	$	334,733

Liability adjustments of $30,238 for the six months ended June 30, 2022, represent non-cash changes to final capping, closure and post-closure liabilities and are recorded on the Condensed Consolidated Balance Sheets along with an offsetting addition to site costs, which is amortized to depletion expense as the remaining landfill airspace is consumed. The final capping, closure and post-closure liability is included in Other long-term liabilities in the Condensed Consolidated Balance Sheets.  The Company performs its annual review of its cost and capacity estimates in the first quarter of each year.

At June 30, 2022 and December 31, 2021, $10,935 and $12,609, respectively, of the Company’s restricted cash balance and $53,568 and $56,289, respectively, of the Company’s restricted investments balance was for purposes of securing its performance of future final capping, closure and post-closure obligations.

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Acquisitions

6 Months Ended

Jun. 30, 2022

Acquisitions [Abstract]

Acquisitions

7.ACQUISITIONS

The Company acquired eight individually immaterial non-hazardous solid waste collection, transfer and recycling businesses during the six months ended June 30, 2022.  The total acquisition-related costs incurred during the six months ended June 30, 2022 for these acquisitions were $8,232. These expenses are included in Selling, general and administrative expenses in the Company’s Condensed Consolidated Statements of Net Income.

The Company acquired five individually immaterial non-hazardous solid waste collection businesses during the six months ended June 30, 2021.  The total acquisition-related costs incurred during the six months ended June 30, 2021 for this acquisition were $583. These expenses are included in Selling, general and administrative expenses in the Company’s Condensed Consolidated Statements of Net Income.

The results of operations of the acquired businesses have been included in the Company’s Condensed Consolidated Financial Statements from their respective acquisition dates. The Company expects these acquired businesses to contribute

towards the achievement of the Company’s strategy to expand through acquisitions. Goodwill acquired is attributable to the synergies and ancillary growth opportunities expected to arise after the Company’s acquisition of these businesses.

	2022		2021
	Acquisitions		Acquisitions
Fair value of consideration transferred:
Cash	$	546,982	$	67,493
Debt assumed		—		532
		546,982		68,025
Recognized amounts of identifiable assets acquired and liabilities assumed associated with businesses acquired:
Accounts receivable		14,656		1,682
Prepaid expenses and other current assets		3,444		101
Operating lease right-of-use assets		2,852		1,499
Property and equipment		139,121		13,140
Long-term franchise agreements and contracts		17,482		615
Customer lists		53,099		8,193
Permits and other intangibles		62,406		—
Accounts payable and accrued liabilities		(21,347)		(464)
Current portion of operating lease liabilities		(947)		(658)
Deferred revenue		(4,877)		(1,620)
Contingent consideration		(5,543)		(1,512)
Long-term portion of operating lease liabilities		(1,905)		(841)
Other long-term liabilities		—		(1,900)
Deferred income taxes		(9,074)		—
Total identifiable net assets		249,367		18,235
Goodwill	$	297,615	$	49,790

Goodwill acquired during the six months ended June 30, 2022 and 2021, totaling $156,645 and $47,804, respectively, is expected to be deductible for tax purposes.

The fair value of acquired working capital related to eight individually immaterial acquisitions completed during the twelve months ended June 30, 2022, is provisional pending receipt of information from the acquirees to support the fair value of the assets acquired and liabilities assumed. Any adjustments recorded relating to finalizing the working capital for these eight acquisitions are not expected to be material to the Company’s financial position.

The gross amount of trade receivables due under contracts acquired during the six months ended June 30, 2022, was $17,436, of which $2,780 was expected to be uncollectible. The gross amount of trade receivables due under contracts acquired during the six months ended June 30, 2021, was $1,808, of which $126 was expected to be uncollectible. The Company did not acquire any other class of receivable as a result of the acquisition of these businesses.

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Intangible Assets, Net

6 Months Ended

Jun. 30, 2022

Intangible Assets, Net [Abstract]

Intangible Assets, Net

8.INTANGIBLE ASSETS, NET

Intangible assets, exclusive of goodwill, consisted of the following at June 30, 2022:

	Gross				Accumulated		Net
	Carrying		Accumulated		Impairment		Carrying
	Amount		Amortization		Loss		Amount
Finite-lived intangible assets:
Long-term franchise agreements and contracts	$	714,419	$	(282,201)	$	—	$	432,218
Customer lists		761,543		(489,588)		—		271,955
Permits and other		599,799		(104,407)		—		495,392
		2,075,761		(876,196)		—		1,199,565
Indefinite-lived intangible assets:
Solid waste collection and transportation permits		181,613		—		—		181,613
E&P facility permits		59,855		—		(40,784)		19,071
		241,468		—		(40,784)		200,684
Intangible assets, exclusive of goodwill	$	2,317,229	$	(876,196)	$	(40,784)	$	1,400,249

The weighted-average amortization period of long-term franchise agreements and contracts acquired during the six months ended June 30, 2022 was 15.8 years. The weighted-average amortization period of customer lists acquired during the six months ended June 30, 2022 was 11.2 years.  The weighted-average amortization period of finite-lived permits and other acquired during the six months ended June 30, 2022 was 40.0 years.

Intangible assets, exclusive of goodwill, consisted of the following at December 31, 2021:

	Gross				Accumulated		Net
	Carrying		Accumulated		Impairment		Carrying
	Amount		Amortization		Loss		Amount
Finite-lived intangible assets:
Long-term franchise agreements and contracts	$	724,128	$	(278,827)	$	—	$	445,301
Customer lists		711,047		(450,109)		—		260,938
Permits and other		538,481		(94,807)		—		443,674
		1,973,656		(823,743)		—		1,149,913
Indefinite-lived intangible assets:
Solid waste collection and transportation permits		181,613		—		—		181,613
E&P facility permits		59,855		—		(40,784)		19,071
		241,468		—		(40,784)		200,684
Intangible assets, exclusive of goodwill	$	2,215,124	$	(823,743)	$	(40,784)	$	1,350,597

Estimated future amortization expense for the next five years relating to finite-lived intangible assets is as follows:

For the year ending December 31, 2022	$	150,085
For the year ending December 31, 2023	$	131,761
For the year ending December 31, 2024	$	114,631
For the year ending December 31, 2025	$	98,355
For the year ending December 31, 2026	$	83,219

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Long-Term Debt

6 Months Ended

Jun. 30, 2022

Long-Term Debt [Abstract]

Long-Term Debt

9.LONG-TERM DEBT

The following table presents the Company’s long-term debt as of June 30, 2022 and December 31, 2021:

	June 30,		December 31,
	2022		2021
Revolver under Credit Agreement, bearing interest ranging from 2.67% to 3.70% (a)	$	901,980	$	803,944
Term loan under Credit Agreement, bearing interest at 2.67% (a)		650,000		650,000
4.25% Senior Notes due 2028		500,000		500,000
3.50% Senior Notes due 2029		500,000		500,000
2.60% Senior Notes due 2030		600,000		600,000
2.20% Senior Notes due 2032		650,000		650,000
3.20% Senior Notes due 2032		500,000		—
3.05% Senior Notes due 2050		500,000		500,000
2.95% Senior Notes due 2052		850,000		850,000
Notes payable to sellers and other third parties, bearing interest ranging from 2.42% to 10.35%, principal and interest payments due periodically with due dates ranging from 2028 to 2036 (a)		35,531		37,508
Finance leases, bearing interest ranging from 1.89% to 2.16%, with lease expiration dates ranging from 2026 to 2027 (a)		10,770		10,519
		5,698,281		5,101,971
Less – current portion		(6,342)		(6,020)
Less – unamortized debt discount and issuance costs		(58,415)		(55,451)
	$	5,633,524	$	5,040,500

____________________

(a) Interest rates represent the interest rates in effect at June 30, 2022.

Credit Agreement

Details of the Credit Agreement are as follows:

	June 30,			December 31,
	2022			2021
Revolver under Credit Agreement
Available	$	904,706		$	933,775
Letters of credit outstanding	$	43,314		$	112,281
Total amount drawn, as follows:	$	901,980		$	803,944
Amount drawn - U.S. LIBOR rate loan	$	723,500		$	631,000
Interest rate applicable - U.S. LIBOR rate loan		2.67	%		1.10	%
Amount drawn - U.S. base rate loan	$	—		$	158,000
Interest rate applicable - U.S. base rate loan		—	%		3.25	%
Amount drawn - U.S. swingline loan	$	—		$	11,000
Interest rate applicable - U.S. swingline loan		—	%		3.25	%
Amount drawn – Canadian prime rate loan	$	3,880		$	—
Interest rate applicable - Canadian prime rate loan		3.70	%		—	%
Amount drawn – Canadian bankers’ acceptance	$	174,600		$	3,944
Interest rate applicable – Canadian bankers’ acceptance		3.23	%		1.45	%
Commitment – rate applicable		0.09	%		0.09	%
Term loan under Credit Agreement
Amount drawn – U.S. based LIBOR loan	$	650,000		$	650,000
Interest rate applicable – U.S. based LIBOR loan		2.67	%		1.10	%

In addition to the $43,314 of letters of credit at June 30, 2022 issued and outstanding under the Credit Agreement, the Company has issued and outstanding letters of credit totaling $84,617 under a facility other than the Credit Agreement.

Senior Notes

On March 9, 2022, the Company completed an underwritten public offering of $500,000 aggregate principal amount of 3.20% Senior Notes due 2032 (the “New 2032 Senior Notes”). The Company issued the New 2032 Senior Notes under the Indenture, dated as of November 16, 2018 (the “Base Indenture”), by and between the Company and U.S. Bank Trust Company, National Association, as successor in interest to U.S. Bank National Association, as trustee (the “Trustee”), as supplemented by the Sixth Supplemental Indenture, dated as of March 9, 2022 (the “Supplemental Indenture” and the Base Indenture as so supplemented, the “Indenture”).

The Company will pay interest on the New 2032 Senior Notes semi-annually in arrears. The New 2032 Senior Notes will mature on June 1, 2032. The New 2032 Senior Notes are the Company’s senior unsecured obligations, ranking equally in right of payment with its other existing and future unsubordinated debt and senior to any of its future subordinated debt. The New 2032 Senior Notes are not guaranteed by any of the Company’s subsidiaries.

The Company may, prior to March 1, 2032 (three months before the maturity date) (the “Par Call Date”), redeem some or all of the New 2032 Senior Notes, at any time and from time to time, at a redemption price equal to the greater of 100% of the principal amount of the New 2032 Senior Notes redeemed, or the sum of the present values of the remaining scheduled payments of principal and interest on the New 2032 Senior Notes redeemed discounted to the redemption date (assuming the New 2032 Senior Notes matured on the Par Call Date), plus, in either case, accrued and unpaid interest thereon to the redemption date. Commencing on March 1, 2032 (three months before the maturity date), the Company may redeem some or all of the New 2032 Senior Notes, at any time and from time to time, at a redemption price equal to the principal amount of the New 2032 Senior Notes being redeemed plus accrued and unpaid interest thereon to the redemption date.

Under certain circumstances, the Company may become obligated to pay additional amounts (the “Additional Amounts”) with respect to the New 2032 Senior Notes to ensure that the net amounts received by each holder of the New 2032 Senior Notes will not be less than the amount such holder would have received if withholding taxes or deductions were not incurred on a payment under or with respect to the New 2032 Senior Notes. If such payment of Additional Amounts are a result of a change in the laws or regulations, including a change in any official position, the introduction of an official position or a holding by a court of competent jurisdiction, of any jurisdiction from or through which payment is made by or on behalf of the New 2032 Senior Notes having power to tax, and the Company cannot avoid such payments of Additional Amounts through reasonable measures, then the Company may redeem the New 2032 Senior Notes then outstanding at a redemption price equal to 100% of the principal amount thereof, plus accrued and unpaid interest, if any, to, but excluding, the redemption date (subject to the right of holders of record on the relevant record date to receive interest due on an interest payment date that is on or prior to the redemption date).

If the Company experiences certain kinds of changes of control, each holder of the New 2032 Senior Notes may require the Company to repurchase all or a portion of the New 2032 Senior Notes for cash at a price equal to 101% of the aggregate principal amount of such New 2032 Senior Notes, plus any accrued and unpaid interest, if any, to, but excluding the purchase date.

The covenants in the Indenture include limitations on liens, sale-leaseback transactions and mergers and sales of all or substantially all of the Company’s assets. The Indenture also includes customary events of default with respect to the New 2032 Senior Notes. As of June 30, 2022, the Company was in compliance with all applicable covenants in the Indenture.

Upon an event of default, the principal of and accrued and unpaid interest on all the New 2032 Senior Notes may be declared to be due and payable by the Trustee or the holders of not less than 25% in principal amount of the outstanding New 2032 Senior Notes. Upon such a declaration, such principal and accrued interest on all of the New 2032 Senior Notes will be due and payable immediately. In the case of an event of default resulting from certain events of bankruptcy, insolvency or reorganization, the principal (or such specified amount) of and accrued and unpaid interest, if any, on all outstanding New 2032 Senior Notes will become and be immediately due and payable without any declaration or other act on the part of the Trustee or any holder of the New 2032 Senior Notes. Under certain circumstances, the holders of a majority in principal amount of the outstanding New 2032 Senior Notes may rescind any such acceleration with respect to the New 2032 Senior Notes and its consequences.

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Segment Reporting

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Segment Reporting

10.SEGMENT REPORTING

The Company’s revenues are generated from the collection, transfer, recycling and disposal of non-hazardous solid waste and the treatment, recovery and disposal of non-hazardous E&P waste. No single contract or customer accounted for more than 10% of the Company’s total revenues at the consolidated or reportable segment level during the periods presented.

The Company manages its operations through the following five geographic solid waste operating segments: Eastern, Southern, Western, Central and Canada.  The Company’s five geographic solid waste operating segments comprise its reportable segments.  Each operating segment is responsible for managing several vertically integrated operations, which are comprised of districts.  

The Company’s Chief Operating Decision Maker evaluates operating segment profitability and determines resource allocations based on several factors, of which the primary financial measure is segment EBITDA. The Company defines segment EBITDA as earnings before interest, taxes, depreciation, amortization, impairments and other operating items, and other income (expense). Segment EBITDA is not a measure of operating income, operating performance or liquidity under GAAP and may not be comparable to similarly titled measures reported by other companies. The Company’s management uses segment EBITDA in the evaluation of segment operating performance as it is a profit measure that is generally within the control of the operating segments. A reconciliation of segment EBITDA to Income before income tax provision is included at the end of this Note 10.

Summarized financial information concerning the Company’s reportable segments for the three and six months ended June 30, 2022 and 2021, is shown in the following tables:

Three Months Ended			Intercompany		Reported		Segment
June 30, 2022	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	569,170	$	(90,431)	$	478,739	$	126,042
Southern		464,678		(48,214)		416,464		124,507
Western		404,513		(43,590)		360,923		110,602
Central		348,930		(39,003)		309,927		109,023
Canada		279,274		(28,892)		250,382		92,648
Corporate(a)		—		—		—		(2,683)
	$	2,066,565	$	(250,130)	$	1,816,435	$	560,139

Three Months Ended			Intercompany		Reported		Segment
June 30, 2021	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	440,799	$	(71,182)	$	369,617	$	99,382
Southern		413,194		(49,858)		363,336		98,928
Western		351,816		(38,027)		313,789		99,402
Central		303,905		(37,060)		266,845		94,886
Canada		247,598		(27,254)		220,344		88,641
Corporate(a)		—		—		—		(6,442)
	$	1,757,312	$	(223,381)	$	1,533,931	$	474,797

Six Months Ended			Intercompany		Reported		Segment
June 30, 2022	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	1,068,425	$	(168,090)	$	900,335	$	233,830
Southern		896,026		(92,498)		803,528		233,117
Western		794,141		(86,508)		707,633		215,349
Central		658,000		(71,896)		586,104		201,059
Canada		519,489		(54,399)		465,090		177,492
Corporate(a), (d)		—		—		—		(7,385)
	$	3,936,081	$	(473,391)	$	3,462,690	$	1,053,462

Six Months Ended			Intercompany		Reported		Segment
June 30, 2021	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	839,629	$	(133,550)	$	706,079	$	188,503
Southern		795,881		(94,384)		701,497		192,352
Western		684,636		(73,843)		610,793		193,228
Central		571,607		(69,376)		502,231		173,926
Canada		459,384		(50,110)		409,274		162,581
Corporate(a), (d)		—		—		—		(7,192)
	$	3,351,137	$	(421,263)	$	2,929,874	$	903,398

____________________

(a) The majority of Corporate expenses are allocated to the five operating segments.  Direct acquisition expenses, expenses associated with common shares held in the deferred compensation plan exchanged for other investment options and share-based compensation expenses associated with Progressive Waste share-based grants outstanding at June 1, 2016 that were continued by the Company are not allocated to the five operating segments and comprise the net EBITDA of the Company’s Corporate segment for the periods presented.

(b) Intercompany revenues reflect each segment’s total intercompany sales, including intercompany sales within a segment and between segments. Transactions within and between segments are generally made on a basis intended to reflect the market value of the service.

(c) For those items included in the determination of segment EBITDA, the accounting policies of the segments are the same as those described in the Company’s most recent Annual Report on Form 10-K.

Total assets for each of the Company’s reportable segments at June 30, 2022 and December 31, 2021, were as follows:

	June 30,		December 31,
	2022		2021
Eastern	$	3,929,648	$	3,652,311
Southern		3,493,347		3,513,355
Western		2,286,086		2,260,222
Central		2,365,545		2,332,564
Canada		2,729,406		2,513,608
Corporate		612,209		427,864
Total Assets	$	15,416,241	$	14,699,924

The following tables show changes in goodwill during the six months ended June 30, 2022 and 2021, by reportable segment:

	Eastern		Southern		Western		Central		Canada		Total
Balance as of December 31, 2021	$	1,607,723	$	1,588,467	$	539,732	$	892,209	$	1,559,512	$	6,187,643
Goodwill acquired		121,978		—		—		5,976		166,491		294,445
Goodwill acquisition adjustments		—		172		2,998		—		—		3,170
Goodwill divested		—		—		—		—		—		—
Impact of changes in foreign currency		—		—		—		—		(27,348)		(27,348)
Balance as of June 30, 2022	$	1,729,701	$	1,588,639	$	542,730	$	898,185	$	1,698,655	$	6,457,910

	Eastern		Southern		Western		Central		Canada		Total
Balance as of December 31, 2020	$	1,374,577	$	1,532,215	$	442,862	$	824,204	$	1,552,792	$	5,726,650
Goodwill acquired		1,647		—		2,305		45,843		—		49,795
Goodwill acquisition adjustments		—		(3)		—		—		(2)		(5)
Impact of changes in foreign currency		—		—		—		—		42,309		42,309
Balance as of June 30, 2021	$	1,376,224	$	1,532,212	$	445,167	$	870,047	$	1,595,099	$	5,818,749

A reconciliation of the Company’s primary measure of segment profitability (segment EBITDA) to Income before income tax provision in the Condensed Consolidated Statements of Net Income is as follows:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Eastern segment EBITDA	$	126,042	$	99,382	$	233,830	$	188,503
Southern segment EBITDA		124,507		98,928		233,117		192,352
Western segment EBITDA		110,602		99,402		215,349		193,228
Central segment EBITDA		109,023		94,886		201,059		173,926
Canada segment EBITDA		92,648		88,641		177,492		162,581
Subtotal reportable segments		562,822		481,239		1,060,847		910,590
Unallocated corporate overhead		(2,683)		(6,442)		(7,385)		(7,192)
Depreciation		(188,937)		(169,221)		(368,887)		(326,624)
Amortization of intangibles		(37,462)		(32,707)		(75,098)		(64,899)
Impairments and other operating items		(4,150)		(6,081)		(6,028)		(6,715)
Interest expense		(45,079)		(41,328)		(86,404)		(83,753)
Interest income		652		744		790		1,848
Other income (expense), net		(2,649)		(1,235)		(6,114)		2,312
Income before income tax provision	$	282,514	$	224,969	$	511,721	$	425,567

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Derivative Financial Instruments

6 Months Ended

Jun. 30, 2022

Derivative Financial Instruments [Abstract]

Derivative Financial Instruments

11.DERIVATIVE FINANCIAL INSTRUMENTS

The Company recognizes all derivatives on the Condensed Consolidated Balance Sheets at fair value. All of the Company’s derivatives have been designated as cash flow hedges; therefore, the gain or loss on the derivatives will be recognized in accumulated other comprehensive income (loss) (“AOCIL”) and reclassified into earnings in the same period during which the hedged transaction affects earnings and is presented in the same income statement line item as the earnings effect of the hedged item.  The Company classifies cash inflows and outflows from derivatives within operating activities on the Condensed Consolidated Statements of Cash Flows.

One of the Company’s objectives for utilizing derivative instruments is to reduce its exposure to fluctuations in cash flows due to changes in the variable interest rates of certain borrowings under the Credit Agreement. The Company’s strategy to achieve that objective involves entering into interest rate swaps. The interest rate swaps outstanding at June 30, 2022 were specifically designated to the Credit Agreement and accounted for as cash flow hedges.

At June 30, 2022, the Company’s derivative instruments included six interest rate swap agreements as follows:

			Fixed		Variable
	Notional		Interest		Interest Rate
Date Entered	Amount		Rate Paid*		Received	Effective Date	Expiration Date
August 2017	$	100,000	1.900	%	1-month LIBOR	July 2019	July 2022
August 2017	$	200,000	2.200	%	1-month LIBOR	October 2020	October 2025
August 2017	$	150,000	1.950	%	1-month LIBOR	February 2020	February 2023
June 2018	$	200,000	2.925	%	1-month LIBOR	October 2020	October 2025
June 2018	$	200,000	2.925	%	1-month LIBOR	October 2020	October 2025
December 2018	$	200,000	2.850	%	1-month LIBOR	July 2022	July 2027

____________________

* Plus applicable margin.

The fair values of derivative instruments designated as cash flow hedges as of June 30, 2022, were as follows:

Derivatives Designated as Cash	Asset Derivatives			Liability Derivatives
Flow Hedges	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Interest rate swaps	Prepaid expenses and other current assets(a)	$	2,548	Accrued liabilities(a)	$	(1,108)
	Other assets, net		3,165
Total derivatives designated as cash flow hedges		$	5,713		$	(1,108)

____________________

(a)Represents the estimated amount of the existing unrealized gains and losses on interest rate swaps as of June 30, 2022 (based on the interest rate yield curve at that date), included in AOCIL expected to be reclassified into pre-tax earnings within the next 12 months. The actual amounts reclassified into earnings are dependent on future movements in interest rates.

The fair values of derivative instruments designated as cash flow hedges as of December 31, 2021, were as follows:

Derivatives Designated as Cash	Asset Derivatives			Liability Derivatives
Flow Hedges	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Interest rate swaps	Prepaid expenses and other current assets	$	—	Accrued liabilities	$	(18,675)
				Other long-term liabilities		(32,406)
Total derivatives designated as cash flow hedges		$	—		$	(51,081)

The following table summarizes the impact of the Company’s cash flow hedges on the results of operations, comprehensive income (loss) and AOCIL for the three and six months ended June 30, 2022 and 2021:

Derivatives					Statement of	Amount of (Gain) or Loss Reclassified
Designated as Cash	Amount of Gain or (Loss) Recognized				Net Income	from AOCIL into Earnings,
Flow Hedges	as AOCIL on Derivatives, Net of Tax (a)				Classification	Net of Tax (b)
	Three Months Ended					Three Months Ended
	June 30,					June 30,
	2022		2021			2022		2021
Interest rate swaps	$	1,904	$	(4,599)	Interest expense	$	2,680	$	3,720

Derivatives					Statement of	Amount of (Gain) or Loss Reclassified
Designated as Cash	Amount of Gain or (Loss) Recognized				Net Income	from AOCIL into Earnings,
Flow Hedges	as AOCIL on Derivatives, Net of Tax (a)				Classification	Net of Tax (b)
	Six Months Ended					Six Months Ended
	June 30,					June 30,
	2022		2021			2022		2021
Interest rate swaps	$	34,758	$	10,644	Interest expense	$	6,171	$	7,245

____________________

(a)In accordance with the derivatives and hedging guidance, the changes in fair values of interest rate swaps have been recorded in equity as a component of AOCIL. As the critical terms of the interest rate swaps match the underlying debt being hedged, all unrealized changes in fair value are recorded in AOCIL.

(b)Amounts reclassified from AOCIL into earnings related to realized gains and losses on interest rate swaps are recognized when interest payments or receipts occur related to the swap contracts, which correspond to when interest payments are made on the Company’s hedged debt.

See Note 15 for further discussion on the impact of the Company’s hedge accounting to its consolidated comprehensive income (loss) and AOCIL.  

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Fair Value of Financial Instruments

6 Months Ended

Jun. 30, 2022

Fair Value [Abstract]

Fair Value of Financial Instruments

12.FAIR VALUE OF FINANCIAL INSTRUMENTS

The Company’s financial instruments consist primarily of cash and equivalents, trade receivables, restricted cash and investments, trade payables, debt instruments, contingent consideration obligations and interest rate swaps. As of June 30, 2022 and December 31, 2021, the carrying values of cash and equivalents, trade receivables, restricted cash and investments, trade payables and contingent consideration are considered to be representative of their respective fair values. The carrying values of the Company’s debt instruments, excluding certain notes as listed in the table below, approximate their fair values as of June 30, 2022 and December 31, 2021, based on current borrowing rates, current remaining average life to maturity and borrower credit quality for similar types of borrowing arrangements, and are classified as Level 2 within the fair value hierarchy. The carrying values and fair values of the Company’s debt instruments where the carrying values do not approximate their fair values as of June 30, 2022 and December 31, 2021, are as follows:

	Carrying Value at				Fair Value (a) at
	June 30,		December 31,		June 30,		December 31,
	2022		2021		2022		2021
4.25% Senior Notes due 2028	$	500,000	$	500,000	$	505,500	$	561,350
3.50% Senior Notes due 2029	$	500,000	$	500,000	$	470,200	$	539,500
2.60% Senior Notes due 2030	$	600,000	$	600,000	$	524,820	$	610,440
2.20% Senior Notes due 2032	$	650,000	$	650,000	$	532,675	$	637,065
3.20% Senior Notes due 2032	$	500,000	$	—	$	444,200	$	—
3.05% Senior Notes due 2050	$	500,000	$	500,000	$	366,200	$	496,350
2.95% Senior Notes due 2052	$	850,000	$	850,000	$	608,855	$	828,580

____________________

*Senior Notes are classified as Level 2 within the fair value hierarchy. Fair value inputs include third-party calculations of the market interest rate of notes with similar ratings in similar industries over the remaining note terms.

For details on the fair value of the Company’s interest rate swaps, restricted cash and investments and contingent consideration, refer to Note 14.

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Net Income Per Share Information

6 Months Ended

Jun. 30, 2022

Net Income Per Share Information [Abstract]

Net Income Per Share Information

13.NET INCOME PER SHARE INFORMATION

The following table sets forth the calculation of the numerator and denominator used in the computation of basic and diluted net income per common share attributable to the Company’s shareholders for the three and six months ended June 30, 2022 and 2021:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Numerator:
Net income attributable to Waste Connections for basic and diluted earnings per share	$	224,074	$	177,047	$	404,398	$	337,356
Denominator:
Basic shares outstanding		257,179,434		260,951,405		257,555,033		261,791,088
Dilutive effect of equity-based awards		557,311		467,168		585,681		478,512
Diluted shares outstanding		257,736,745		261,418,573		258,140,714		262,269,600

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Fair Value Measurements

6 Months Ended

Jun. 30, 2022

Fair Value [Abstract]

Fair Value Measurements

14.FAIR VALUE MEASUREMENTS

The Company uses a three-tier fair value hierarchy to classify and disclose all assets and liabilities measured at fair value on a recurring basis in periods subsequent to their initial measurement. These tiers include:  Level 1, defined as quoted market prices in active markets for identical assets or liabilities; Level 2, defined as inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, model-based valuation techniques for which all significant assumptions are observable in the market, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and Level 3, defined as unobservable inputs that are not corroborated by market data.

The Company’s financial assets and liabilities recorded at fair value on a recurring basis include derivative instruments and restricted cash and investments. At June 30, 2022 and December 31, 2021, the Company’s derivative instruments included pay-fixed, receive-variable interest rate swaps. The Company’s interest rate swaps are recorded at their estimated fair values based on quotes received from financial institutions that trade these contracts. The Company verifies the reasonableness of these quotes using similar quotes from another financial institution as of each date for which financial statements are prepared. For the Company’s interest rate swaps, the Company also considers the Company’s creditworthiness in its determination of the fair value measurement of these instruments in a net liability position and the counterparties’ creditworthiness in its determination of the fair value measurement of these instruments in a net asset position. The Company’s restricted cash is valued at quoted market prices in active markets for identical assets, which the Company receives from the financial institutions that hold such investments on its behalf. The Company’s restricted cash measured at fair value is invested primarily in money market accounts, bank time deposits and U.S. government and agency securities. The Company’s restricted investments are valued at quoted market prices in active markets for similar assets, which the Company receives from the financial institutions that hold such investments on its behalf. The Company’s restricted investments measured at fair value are invested primarily in money market accounts, bank time deposits, U.S. government and agency securities and Canadian bankers’ acceptance notes.

The Company’s assets and liabilities measured at fair value on a recurring basis at June 30, 2022 and December 31, 2021, were as follows:

	Fair Value Measurement at June 30, 2022 Using
			Quoted Prices in		Significant
			Active Markets		Other		Significant
			for Identical		Observable		Unobservable
			Assets		Inputs		Inputs
	Total		(Level 1)		(Level 2)		(Level 3)
Interest rate swap derivative instruments – net asset position	$	4,605	$	—	$	4,605	$	—
Restricted cash	$	106,736	$	106,736	$	—	$	—
Restricted investments	$	55,013	$	—	$	55,013	$	—
Contingent consideration	$	(90,635)	$	—	$	—	$	(90,635)

	Fair Value Measurement at December 31, 2021 Using
			Quoted Prices in		Significant
			Active Markets		Other		Significant
			for Identical		Observable		Unobservable
			Assets		Inputs		Inputs
	Total		(Level 1)		(Level 2)		(Level 3)
Interest rate swap derivative instruments – net liability position	$	(51,081)	$	—	$	(51,081)	$	—
Restricted cash	$	72,174	$	72,174	$	—	$	—
Restricted investments	$	58,797	$	—	$	58,797	$	—
Contingent consideration	$	(94,308)	$	—	$	—	$	(94,308)

The following table summarizes the changes in the fair value for Level 3 liabilities related to contingent consideration for the six months ended June 30, 2022 and 2021:

	Six Months Ended June 30,
	2022		2021
Beginning balance	$	94,308	$	71,736
Contingent consideration recorded at acquisition date		5,543		1,512
Payment of contingent consideration recorded at acquisition date		(8,898)		(5,595)
Payment of contingent consideration recorded in earnings		—		(520)
Adjustments to contingent consideration		(1,030)		89
Interest accretion expense		712		821
Foreign currency translation adjustment		—		(14)
Ending balance	$	90,635	$	68,029

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Other Comprehensive Income (Loss)

6 Months Ended

Jun. 30, 2022

Other Comprehensive Income (Loss) [Abstract]

Other Comprehensive Income (Loss)

15.OTHER COMPREHENSIVE INCOME (LOSS)

Other comprehensive income (loss) includes changes in the fair value of interest rate swaps that qualify for hedge accounting. The components of other comprehensive income (loss) and related tax effects for the three and six months ended June 30, 2022 and 2021 are as follows:

	Three Months Ended June 30, 2022
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	3,646	$	(966)	$	2,680
Changes in fair value of interest rate swaps		2,591		(687)		1,904
Foreign currency translation adjustment		(73,504)		—		(73,504)
	$	(67,267)	$	(1,653)	$	(68,920)

	Three Months Ended June 30, 2021
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	5,061	$	(1,341)	$	3,720
Changes in fair value of interest rate swaps		(6,257)		1,658		(4,599)
Foreign currency translation adjustment		32,973		—		32,973
	$	31,777	$	317	$	32,094

	Six Months Ended June 30, 2022
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	8,396	$	(2,225)	$	6,171
Changes in fair value of interest rate swaps		47,290		(12,532)		34,758
Foreign currency translation adjustment		(39,075)		—		(39,075)
	$	16,611	$	(14,757)	$	1,854

	Six Months Ended June 30, 2021
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	9,857	$	(2,612)	$	7,245
Changes in fair value of interest rate swaps		14,482		(3,838)		10,644
Foreign currency translation adjustment		61,027		—		61,027
	$	85,366	$	(6,450)	$	78,916

A rollforward of the amounts included in AOCIL, net of taxes, for the six months ended June 30, 2022 and 2021, is as follows:

			Foreign		Accumulated
			Currency		Other
	Interest		Translation		Comprehensive
	Rate Swaps		Adjustment		Income (Loss)
Balance at December 31, 2021	$	(37,544)	$	77,128	$	39,584
Amounts reclassified into earnings		6,171		—		6,171
Changes in fair value		34,758		—		34,758
Foreign currency translation adjustment		—		(39,075)		(39,075)
Balance at June 30, 2022	$	3,385	$	38,053	$	41,438

			Foreign		Accumulated
			Currency		Other
	Interest		Translation		Comprehensive
	Rate Swaps		Adjustment		Income (Loss)
Balance at December 31, 2020	$	(69,596)	$	68,945	$	(651)
Amounts reclassified into earnings		7,245		—		7,245
Changes in fair value		10,644		—		10,644
Foreign currency translation adjustment		—		61,027		61,027
Balance at June 30, 2021	$	(51,707)	$	129,972	$	78,265

See Note 11 for further discussion on the Company’s derivative instruments.

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Shareholders' Equity

6 Months Ended

Jun. 30, 2022

Shareholders' Equity [Abstract]

Shareholders' Equity

16.SHAREHOLDERS’ EQUITY

Share-Based Compensation

Restricted Share Units

A summary of activity related to restricted share units (“RSUs”) during the six-month period ended June 30, 2022, is presented below:

	Unvested Shares
Outstanding at December 31, 2021	861,695
Granted	425,900
Forfeited	(34,124)
Vested and issued	(313,228)
Outstanding at June 30, 2022	940,243

The weighted average grant-date fair value per share for the common shares underlying the RSUs granted during the six-month period ended June 30, 2022 was $119.39.

Recipients of the Company’s RSUs who participate in the Company’s Nonqualified Deferred Compensation Plan may have elected in years prior to 2015 to defer some or all of their RSUs as they vest until a specified date or dates they choose. At the end of the deferral periods, unless a qualified participant makes certain other elections, the Company issues to recipients who deferred their RSUs common shares of the Company underlying the deferred RSUs. At June 30, 2022 and 2021, the Company had 81,712 and 101,221 vested deferred RSUs outstanding, respectively.

Performance-Based Restricted Share Units

A summary of activity related to performance-based restricted share units (“PSUs”) during the six-month period ended June 30, 2022, is presented below:

	Unvested Shares
Outstanding at December 31, 2021	392,043
Granted	95,038
Forfeited	(87,554)
Vested and issued	(57,677)
Outstanding at June 30, 2022	341,850

During the six months ended June 30, 2022, the Company’s Compensation Committee granted PSUs with three-year performance-based metrics that the Company must meet before those awards may be earned, and the performance period for those grants ends on December 31, 2024. The Compensation Committee will determine the achievement of performance results and corresponding vesting of PSUs for each performance period. The weighted average grant-date fair value per share for the common shares underlying all PSUs granted during the six-month period ended June 30, 2022 was $117.94.

Deferred Share Units

A summary of activity related to deferred share units (“DSUs”) during the six-month period ended June 30, 2022, is presented below:

	Vested Shares
Outstanding at December 31, 2021	24,442
Granted	2,094
Outstanding at June 30, 2022	26,536

The DSUs consist of a combination of DSU grants outstanding under the Progressive Waste share-based compensation plans that were continued by the Company following the Progressive Waste acquisition and DSUs granted by the Company since the Progressive Waste acquisition. The weighted average grant-date fair value per share for the common shares underlying the DSUs granted during the six-month period ended June 30, 2022 was $121.00.

Other Restricted Share Units

RSU grants outstanding under the Progressive Waste share-based compensation plans were continued by the Company following the Progressive Waste acquisition and allow for the issuance of shares or cash settlement to employees upon vesting. A summary of activity related to Progressive Waste RSUs during the six-month period ended June 30, 2022, is presented below:

Outstanding at December 31, 2021	63,032
Cash settled	(5,203)
Outstanding at June 30, 2022	57,829

No RSUs under the Progressive Waste share-based compensation plans were granted subsequent to June 1, 2016.  All remaining RSUs were vested as of March 31, 2019.

Share-Based Options

Share-based options outstanding under the Progressive Waste share-based compensation plans were continued by the Company following the Progressive Waste acquisition and allow for the issuance of shares or cash settlement to employees upon vesting. A summary of activity related to Progressive Waste share-based options during the six-month period ended June 30, 2022, is presented below:

Outstanding at December 31, 2021	45,869
Cash settled	—
Outstanding at June 30, 2022	45,869

No share-based options under the Progressive Waste share-based compensation plans were granted subsequent to June 1, 2016. All outstanding share-based options were vested as of December 31, 2017.

Employee Share Purchase Plan

On May 15, 2020, the Company’s shareholders approved the 2020 Employee Share Purchase Plan (the “ESPP”). Under the ESPP, qualified employees may elect to have payroll deductions withheld from their eligible compensation on

each payroll date in amounts equal to or greater than one percent (1%) but not in excess of ten percent (10%) of eligible compensation in order to purchase the Company’s common shares under certain terms and subject to certain restrictions set forth in the ESPP. The exercise price is equal to 95% of the closing price of the Company’s common shares on the last day of the relevant offering period, provided, however, that such exercise price will not be less than 85% of the volume weighted average price of the Company’s common shares as reflected on the Toronto Stock Exchange (the “TSX”) over the final five trading days of such offering period. The maximum number of shares that may be issued under the ESPP is 1,000,000.  Under the ESPP, employees purchased 12,015 of the Company’s common shares for $1,554 during the six months ended June 30, 2022.

Normal Course Issuer Bid

On July 27, 2021, the Board of Directors of the Company approved, subject to receipt of regulatory approvals, the annual renewal of the Company’s normal course issuer bid (the “NCIB”) to purchase up to 13,025,895 of the Company’s common shares during the period of August 10, 2021 to August 9, 2022 or until such earlier time as the NCIB is completed or terminated at the option of the Company. The renewal followed the conclusion of the Company’s NCIB that expired August 9, 2021. The Company received TSX approval for its annual renewal of the NCIB on August 6, 2021.  Under the NCIB, the Company may make share repurchases only in the open market, including on the New York Stock Exchange (the “NYSE”), the TSX, and/or alternative Canadian trading systems, at the prevailing market price at the time of the transaction.

In accordance with TSX rules, any daily repurchases made through the TSX and alternative Canadian trading systems is limited to a maximum of 75,704 common shares, which represents 25% of the average daily trading volume on the TSX of 302,816 common shares for the period from February 1, 2021 to July 31, 2021. The TSX rules also allow the Company to purchase, once a week, a block of common shares not owned by any insiders, which may exceed such daily limit. The maximum number of shares that can be purchased per day on the NYSE will be 25% of the average daily trading volume for the four calendar weeks preceding the date of purchase, subject to certain exceptions for block purchases.

The timing and amounts of any repurchases pursuant to the NCIB will depend on many factors, including the Company’s capital structure, the market price of the common shares and overall market conditions. All common shares purchased under the NCIB shall be immediately cancelled following their repurchase.

For the six months ended June 30, 2022, the Company repurchased 3,388,155 common shares pursuant to the NCIB in effect during that period at an aggregate cost of $424,999.  During the six months ended June 30, 2021, the Company repurchased 2,745,990 common shares pursuant to the NCIB at an aggregate cost of $305,640.  As of June 30, 2022, the remaining maximum number of shares available for repurchase under the current NCIB was 9,379,908.

Cash Dividend

In October 2021, the Company announced that its Board of Directors increased its regular quarterly cash dividend by $0.025, from $0.205 to $0.23 per Company common share. Cash dividends of $118,812 and $107,330 were paid during the six months ended June 30, 2022 and 2021, respectively.

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Commitments and Contingencies

6 Months Ended

Jun. 30, 2022

Commitments and Contingencies [Abstract]

Commitments and Contingencies

17.COMMITMENTS AND CONTINGENCIES

In the normal course of its business and as a result of the extensive governmental regulation of the solid waste and E&P waste industries, the Company is subject to various judicial and administrative proceedings involving Canadian regulatory authorities as well as U.S. federal, state and local agencies. In these proceedings, an agency may subpoena the Company for records, or seek to impose fines on the Company or revoke or deny renewal of an authorization held by the

Company, including an operating permit. From time to time, the Company may also be subject to actions brought by special interest or other groups, adjacent landowners or residents in connection with the permitting and licensing of landfills, transfer stations, and E&P waste treatment, recovery and disposal operations, or alleging environmental damage or violations of the permits and licenses pursuant to which the Company operates. The Company uses $1,000 as a threshold (up from the previously required threshold of $300) for disclosing environmental matters involving potential monetary sanctions.

In addition, the Company is a party to various claims and suits pending for alleged damages to persons and property, alleged violations of certain laws and alleged liabilities arising out of matters occurring during the normal operation of the Company’s business. Except as noted in the matters described below, as of June 30, 2022, there is no current proceeding or litigation involving the Company or its property that the Company believes could have a material adverse effect on its business, financial condition, results of operations or cash flows.

Lower Duwamish Waterway Superfund Site Allocation Process

In November 2012, the Company’s subsidiary, Northwest Container Services, Inc. (“NWCS”), was named by the U.S. Environmental Protection Agency, Region 10 (the “EPA”) as a potentially responsible party (“PRP”), along with more than 100 others, under the Comprehensive Environmental Response, Compensation and Liability Act, with respect to the Lower Duwamish Waterway Superfund Site (the “LDW Site”).  Listed on the National Priorities List in 2001, the LDW Site is a five-mile stretch of the Duwamish River flowing into Elliott Bay in Seattle, Washington.  A group of PRPs known as the Lower Duwamish Working Group (“LDWG”) and consisting of the City of Seattle, King County, the Port of Seattle, and Boeing Company conducted a Remedial Investigation/Feasibility Study for the LDW Site.  On December 2, 2014, the EPA issued its Record of Decision describing the selected clean-up remedy, and therein estimated that clean-up costs (in present value dollars as of November 2014) would total approximately $342,000. It is possible, however, that additional costs could be incurred based upon various factors, resulting in potentially even higher response costs.

In addition to potential response costs, PRPs could bear responsibility for natural resource damages (“NRD”).  NWCS has received correspondence from entities acting as natural resources trustees alleging that NWCS (and presumably other PRPs) could bear responsibility for NRD at the LDW Site.  This correspondence also notified NWCS of the opportunity to participate in the development and performance of an NRD Plan and Assessment.  NWCS formally declined to participate in that process, and since providing its response has not been approached regarding any NRD claim or settlement.

After receipt of its notice as a PRP, NWCS, several dozen other PRPs and a neutral allocator entered into an agreement to conduct a confidential and non-binding allocation of certain past response costs allegedly incurred at the LDW Site as well as anticipated future response costs.  In May 2022, the allocator issued its Final Allocation Report (“FAR”).  While the parties’ allocations are confidential, based upon NWCS’ allocation in the FAR, the Company believes that NWCS’ overall potential liability should be generally small relative to the majority of PRPs and does not believe that NWCS’ allocation for cleanup costs as well as potential responsibility for NRD will be material to the Company.  The settlement process, however, is complicated.  EPA has indicated that it will seek a PRP conducted remedy, but it is not unusual for parties with very small shares of liability to be able to negotiate cash out settlements in these matters.  For these and other reasons, the prospects for settlement at this time are uncertain, but NWCS will continue to vigorously defend itself in connection with any allocation of costs associated with cleanup as well as NRD.

Los Angeles County, California Landfill Expansion Litigation

A. Chiquita Canyon, LLC Lawsuit Against Los Angeles County

In October 2004, the Company’s subsidiary, Chiquita Canyon, LLC (“CCL”), then under prior ownership, filed an application (the “Application”) with the County of Los Angeles (the “County”) Department of Regional Planning (“DRP”) for a conditional use permit (the “CUP”) to authorize the continued operation and expansion of the Chiquita Canyon Landfill (the “Landfill”). The Landfill has operated since 1972, and as a regional landfill, accepted approximately two and a half million tons of materials for disposal and beneficial use in 2021.  The Application requested expansion of the existing waste footprint on CCL’s contiguous property, an increase in maximum elevation, creation of a new entrance and new support facilities, construction of a facility for the County or another third-party operator to host household hazardous waste collection events, designation of an area for mixed organics/composting, and other modifications.

After many years of reviews and delays, upon the recommendation of County staff, the County’s Regional Planning Commission (the “Commission”) approved the Application on April 19, 2017, but imposed operating conditions, fees and exactions that substantially reduce the historical landfill operations and represent a large increase in aggregate taxes and fees. CCL objected to many of the requirements imposed by the Commission.  Current estimates for new costs imposed on CCL under the CUP are in excess of $300,000.

CCL appealed the Commission’s decision to the County Board of Supervisors, but the appeal was not successful.  At a subsequent hearing, on July 25, 2017, the Board of Supervisors approved the CUP.  On October 20, 2017, CCL filed in the Superior Court of California, County of Los Angeles a verified petition for writ of mandate and complaint against the County and the County Board of Supervisors captioned Chiquita Canyon, LLC v. County of Los Angeles, No. BS171262 (Los Angeles Co. Super Ct.) (the “Complaint”).  The Complaint challenges the terms of the CUP in 13 counts generally alleging that the County violated multiple California and federal statutes and California and federal constitutional protections. CCL seeks the following relief: (a) an injunction and writ of mandate against certain of the CUP’s operational restrictions, taxes and fees, (b) a declaration that the challenged conditions are unconstitutional and in violation of state and federal statutes, (c) reimbursement for any such illegal fees paid under protest, (d) damages, (e) an award of just compensation for a taking, (f) attorney fees, and (g) all other appropriate legal and equitable relief.

Following extensive litigation in 2018 and 2019 on the permissible scope of CCL’s challenge, full briefing occurred on June 22, 2020 on six of CCL’s causes of action, and the Superior Court issued its decision on July 2, 2020, granting CCL’s petition for writ of mandate in part and denying it in part. CCL prevailed with respect to 12 of the challenged conditions, many of which imposed new fees and exactions on the Landfill.  Before entry of final judgment, the Superior Court will hear CCL’s remaining causes of action.  A trial on CCL’s remaining causes of action is scheduled for December 5, 2022.  Once the Superior Court has entered final judgment, CCL and the County will be permitted to appeal any adverse ruling to the California Court of Appeal.  After entry of final judgment and resolution of any appeals, the Superior Court will issue a writ directing the County Board of Supervisors to set aside its decision on the permit with respect to 12 of the challenged conditions.  The Board will be allowed to make additional findings to support four of those conditions and reconsider its permit decision in light of the Superior Court’s writ.  CCL will continue to vigorously prosecute the lawsuit.  However, at this point, the Company is not able to determine the likelihood of any outcome in this matter.

B. December 11, 2017 Notice of Violation Regarding Certain CUP Conditions.

The County, through its DRP, issued a Notice of Violation, dated December 11, 2017 (the “NOV”), alleging that CCL violated certain conditions of the CUP, including Condition 79(B)(6) of the CUP by failing to pay an $11,600 Bridge & Thoroughfare Fee (“B&T Fee”) that was purportedly due on July 25, 2017.  The alleged B&T fee was ostensibly to fund the construction of transportation infrastructure in the area of the Landfill.  At the time the NOV was issued, CCL had

already contested the legality of the B&T fee in the October 20, 2017 Complaint filed against the County in Los Angeles County Superior Court, described above under paragraph A (the “CUP lawsuit”).

On January 12, 2018, CCL filed an appeal of the alleged violations in the NOV.  Subsequently, CCL filed additional legal arguments and exhibits contesting the NOV.  On March 6, 2018, a DRP employee designated as hearing officer sustained the NOV, including the $11,600 B&T fee, and imposed an administrative penalty in the amount of $83 and a noncompliance fee of $0.75. A written decision memorializing the hearing officer’s findings and order was issued on July 10, 2018.  On April 13, 2018, CCL filed in the Superior Court of California, County of Los Angeles a Petition for Writ of Administrative Mandamus against the County seeking to overturn the decision sustaining the NOV, contending that the NOV and decision are not supported by the facts or law.  On July 17, 2018, the Court granted CCL leave to pay the $11,600 B&T fee and to amend its Complaint in the CUP lawsuit to reflect the payment under protest, allowing the challenge to the B&T fee under the Mitigation Fee Act to proceed in the CUP lawsuit.  CCL paid the B&T fee under protest on August 10, 2018, and also paid on that date the administrative penalty of $83 and a noncompliance fee of $0.75. The Court indicated that the NOV case would be coordinated with the CUP lawsuit.  The NOV case has been continued multiple times as the CUP lawsuit was adjudicated; it is now set for trial on December 13, 2022.  The Superior Court’s July 2, 2020 decision in the CUP lawsuit upheld the B&T fee against a Mitigation Fee Act challenge, and addressed two other conditions that were also the subject of the NOV, which may impact the scope of the B&T fee/NOV case.  CCL will continue to vigorously prosecute the lawsuit.  However, at this point, the Company is not able to determine the likelihood of any outcome in this matter.

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Subsequent Events

6 Months Ended

Jun. 30, 2022

Subsequent Events [Abstract]

Subsequent Events

18.SUBSEQUENT EVENTS

On August 2, 2022, the Company announced that its Board of Directors approved a regular quarterly cash dividend of $0.23 per Company common share. The dividend will be paid on September 1, 2022, to shareholders of record on the close of business on August 18, 2022.

On July 26, 2022, the Company’s Board of Directors approved, subject to receipt of regulatory approvals, the annual renewal of its NCIB.  The renewal is expected to commence following the conclusion of the Company’s current NCIB expiring August 9, 2022.  Upon approval, the Company anticipates that it will be authorized to make purchases during the period of August 10, 2022 to August 9, 2023 or until such earlier time as the NCIB is completed or terminated at the Company’s option.

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Revenue (Tables)

6 Months Ended

Jun. 30, 2022

Revenue [Abstract]

Total Reported Revenues by Service Line

		Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Commercial	$	538,525	$	444,044	$	1,038,201	$	870,439
Residential		463,320		416,975		903,608		817,794
Industrial and construction roll off		295,557		237,300		555,045		446,558
Total collection		1,297,402		1,098,319		2,496,854		2,134,791
Landfill		339,719		327,124		639,484		599,060
Transfer		261,475		217,133		479,432		406,456
Recycling		67,504		41,539		130,598		73,987
E&P		54,155		34,607		97,711		62,618
Intermodal and other		46,310		38,590		92,002		74,225
Intercompany		(250,130)		(223,381)		(473,391)		(421,263)
Total	$	1,816,435	$	1,533,931	$	3,462,690	$	2,929,874

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Accounts Receivable (Tables)

6 Months Ended

Jun. 30, 2022

Accounts Receivable [Abstract]

Allowance for Credit Loss

	Six Months Ended June 30,
	2022		2021
Beginning balance	$	18,480	$	19,380
Current period provision for expected credit losses		6,907		4,903
Write-offs charged against the allowance		(7,522)		(7,152)
Recoveries collected		2,412		2,346
Impact of changes in foreign currency		(24)		50
Ending balance	$	20,253	$	19,527

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Landfill Accounting (Tables)

6 Months Ended

Jun. 30, 2022

Landfill Accounting [Abstract]

Reconciliation of Final Capping, Closure and Post-Closure Liability Balance

The following is a reconciliation of the Company’s final capping, closure and post-closure liability balance from December 31, 2021 to June 30, 2022:

Final capping, closure and post-closure liability at December 31, 2021	$	302,537
Liability adjustments		30,238
Accretion expense associated with landfill obligations		7,992
Closure payments		(5,239)
Assumption of closure liabilities from acquisitions		630
Disposition of closure liabilities from divested operations		(916)
Foreign currency translation adjustment		(509)
Final capping, closure and post-closure liability at June 30, 2022	$	334,733

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Acquisitions (Tables)

6 Months Ended

Jun. 30, 2022

Acquisitions [Abstract]

Summary of Consideration Transferred to Acquire Businesses and Amounts of Identifiable Assets Acquired, Liabilities Assumed and Noncontrolling Interests

	2022		2021
	Acquisitions		Acquisitions
Fair value of consideration transferred:
Cash	$	546,982	$	67,493
Debt assumed		—		532
		546,982		68,025
Recognized amounts of identifiable assets acquired and liabilities assumed associated with businesses acquired:
Accounts receivable		14,656		1,682
Prepaid expenses and other current assets		3,444		101
Operating lease right-of-use assets		2,852		1,499
Property and equipment		139,121		13,140
Long-term franchise agreements and contracts		17,482		615
Customer lists		53,099		8,193
Permits and other intangibles		62,406		—
Accounts payable and accrued liabilities		(21,347)		(464)
Current portion of operating lease liabilities		(947)		(658)
Deferred revenue		(4,877)		(1,620)
Contingent consideration		(5,543)		(1,512)
Long-term portion of operating lease liabilities		(1,905)		(841)
Other long-term liabilities		—		(1,900)
Deferred income taxes		(9,074)		—
Total identifiable net assets		249,367		18,235
Goodwill	$	297,615	$	49,790

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Intangible Assets, Net (Tables)

6 Months Ended

Jun. 30, 2022

Intangible Assets, Net [Abstract]

Intangible Assets Exclusive of Goodwill

Intangible assets, exclusive of goodwill, consisted of the following at June 30, 2022:

	Gross				Accumulated		Net
	Carrying		Accumulated		Impairment		Carrying
	Amount		Amortization		Loss		Amount
Finite-lived intangible assets:
Long-term franchise agreements and contracts	$	714,419	$	(282,201)	$	—	$	432,218
Customer lists		761,543		(489,588)		—		271,955
Permits and other		599,799		(104,407)		—		495,392
		2,075,761		(876,196)		—		1,199,565
Indefinite-lived intangible assets:
Solid waste collection and transportation permits		181,613		—		—		181,613
E&P facility permits		59,855		—		(40,784)		19,071
		241,468		—		(40,784)		200,684
Intangible assets, exclusive of goodwill	$	2,317,229	$	(876,196)	$	(40,784)	$	1,400,249

Intangible assets, exclusive of goodwill, consisted of the following at December 31, 2021:

	Gross				Accumulated		Net
	Carrying		Accumulated		Impairment		Carrying
	Amount		Amortization		Loss		Amount
Finite-lived intangible assets:
Long-term franchise agreements and contracts	$	724,128	$	(278,827)	$	—	$	445,301
Customer lists		711,047		(450,109)		—		260,938
Permits and other		538,481		(94,807)		—		443,674
		1,973,656		(823,743)		—		1,149,913
Indefinite-lived intangible assets:
Solid waste collection and transportation permits		181,613		—		—		181,613
E&P facility permits		59,855		—		(40,784)		19,071
		241,468		—		(40,784)		200,684
Intangible assets, exclusive of goodwill	$	2,215,124	$	(823,743)	$	(40,784)	$	1,350,597

Estimated Future Amortization Expense of Amortizable Intangible Assets

Estimated future amortization expense for the next five years relating to finite-lived intangible assets is as follows:

For the year ending December 31, 2022	$	150,085
For the year ending December 31, 2023	$	131,761
For the year ending December 31, 2024	$	114,631
For the year ending December 31, 2025	$	98,355
For the year ending December 31, 2026	$	83,219

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Long-Term Debt (Tables)

6 Months Ended

Jun. 30, 2022

Long-Term Debt [Abstract]

Long-Term Debt

The following table presents the Company’s long-term debt as of June 30, 2022 and December 31, 2021:

	June 30,		December 31,
	2022		2021
Revolver under Credit Agreement, bearing interest ranging from 2.67% to 3.70% (a)	$	901,980	$	803,944
Term loan under Credit Agreement, bearing interest at 2.67% (a)		650,000		650,000
4.25% Senior Notes due 2028		500,000		500,000
3.50% Senior Notes due 2029		500,000		500,000
2.60% Senior Notes due 2030		600,000		600,000
2.20% Senior Notes due 2032		650,000		650,000
3.20% Senior Notes due 2032		500,000		—
3.05% Senior Notes due 2050		500,000		500,000
2.95% Senior Notes due 2052		850,000		850,000
Notes payable to sellers and other third parties, bearing interest ranging from 2.42% to 10.35%, principal and interest payments due periodically with due dates ranging from 2028 to 2036 (a)		35,531		37,508
Finance leases, bearing interest ranging from 1.89% to 2.16%, with lease expiration dates ranging from 2026 to 2027 (a)		10,770		10,519
		5,698,281		5,101,971
Less – current portion		(6,342)		(6,020)
Less – unamortized debt discount and issuance costs		(58,415)		(55,451)
	$	5,633,524	$	5,040,500

____________________

(a) Interest rates represent the interest rates in effect at June 30, 2022.

Details of the Company's Credit Agreement

Details of the Credit Agreement are as follows:

	June 30,			December 31,
	2022			2021
Revolver under Credit Agreement
Available	$	904,706		$	933,775
Letters of credit outstanding	$	43,314		$	112,281
Total amount drawn, as follows:	$	901,980		$	803,944
Amount drawn - U.S. LIBOR rate loan	$	723,500		$	631,000
Interest rate applicable - U.S. LIBOR rate loan		2.67	%		1.10	%
Amount drawn - U.S. base rate loan	$	—		$	158,000
Interest rate applicable - U.S. base rate loan		—	%		3.25	%
Amount drawn - U.S. swingline loan	$	—		$	11,000
Interest rate applicable - U.S. swingline loan		—	%		3.25	%
Amount drawn – Canadian prime rate loan	$	3,880		$	—
Interest rate applicable - Canadian prime rate loan		3.70	%		—	%
Amount drawn – Canadian bankers’ acceptance	$	174,600		$	3,944
Interest rate applicable – Canadian bankers’ acceptance		3.23	%		1.45	%
Commitment – rate applicable		0.09	%		0.09	%
Term loan under Credit Agreement
Amount drawn – U.S. based LIBOR loan	$	650,000		$	650,000
Interest rate applicable – U.S. based LIBOR loan		2.67	%		1.10	%

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Segment Reporting (Tables)

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Summary of Financial Information Concerning Company's Reportable Segments

Summarized financial information concerning the Company’s reportable segments for the three and six months ended June 30, 2022 and 2021, is shown in the following tables:

Three Months Ended			Intercompany		Reported		Segment
June 30, 2022	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	569,170	$	(90,431)	$	478,739	$	126,042
Southern		464,678		(48,214)		416,464		124,507
Western		404,513		(43,590)		360,923		110,602
Central		348,930		(39,003)		309,927		109,023
Canada		279,274		(28,892)		250,382		92,648
Corporate(a)		—		—		—		(2,683)
	$	2,066,565	$	(250,130)	$	1,816,435	$	560,139

Three Months Ended			Intercompany		Reported		Segment
June 30, 2021	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	440,799	$	(71,182)	$	369,617	$	99,382
Southern		413,194		(49,858)		363,336		98,928
Western		351,816		(38,027)		313,789		99,402
Central		303,905		(37,060)		266,845		94,886
Canada		247,598		(27,254)		220,344		88,641
Corporate(a)		—		—		—		(6,442)
	$	1,757,312	$	(223,381)	$	1,533,931	$	474,797

Six Months Ended			Intercompany		Reported		Segment
June 30, 2022	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	1,068,425	$	(168,090)	$	900,335	$	233,830
Southern		896,026		(92,498)		803,528		233,117
Western		794,141		(86,508)		707,633		215,349
Central		658,000		(71,896)		586,104		201,059
Canada		519,489		(54,399)		465,090		177,492
Corporate(a), (d)		—		—		—		(7,385)
	$	3,936,081	$	(473,391)	$	3,462,690	$	1,053,462

Six Months Ended			Intercompany		Reported		Segment
June 30, 2021	Revenue		Revenue(b)		Revenue		EBITDA(c)
Eastern	$	839,629	$	(133,550)	$	706,079	$	188,503
Southern		795,881		(94,384)		701,497		192,352
Western		684,636		(73,843)		610,793		193,228
Central		571,607		(69,376)		502,231		173,926
Canada		459,384		(50,110)		409,274		162,581
Corporate(a), (d)		—		—		—		(7,192)
	$	3,351,137	$	(421,263)	$	2,929,874	$	903,398

____________________

(a) The majority of Corporate expenses are allocated to the five operating segments.  Direct acquisition expenses, expenses associated with common shares held in the deferred compensation plan exchanged for other investment options and share-based compensation expenses associated with Progressive Waste share-based grants outstanding at June 1, 2016 that were continued by the Company are not allocated to the five operating segments and comprise the net EBITDA of the Company’s Corporate segment for the periods presented.

(b) Intercompany revenues reflect each segment’s total intercompany sales, including intercompany sales within a segment and between segments. Transactions within and between segments are generally made on a basis intended to reflect the market value of the service.

(c) For those items included in the determination of segment EBITDA, the accounting policies of the segments are the same as those described in the Company’s most recent Annual Report on Form 10-K.

Total Assets for Reportable Segments

Total assets for each of the Company’s reportable segments at June 30, 2022 and December 31, 2021, were as follows:

	June 30,		December 31,
	2022		2021
Eastern	$	3,929,648	$	3,652,311
Southern		3,493,347		3,513,355
Western		2,286,086		2,260,222
Central		2,365,545		2,332,564
Canada		2,729,406		2,513,608
Corporate		612,209		427,864
Total Assets	$	15,416,241	$	14,699,924

Changes in Goodwill by Reportable Segment

The following tables show changes in goodwill during the six months ended June 30, 2022 and 2021, by reportable segment:

	Eastern		Southern		Western		Central		Canada		Total
Balance as of December 31, 2021	$	1,607,723	$	1,588,467	$	539,732	$	892,209	$	1,559,512	$	6,187,643
Goodwill acquired		121,978		—		—		5,976		166,491		294,445
Goodwill acquisition adjustments		—		172		2,998		—		—		3,170
Goodwill divested		—		—		—		—		—		—
Impact of changes in foreign currency		—		—		—		—		(27,348)		(27,348)
Balance as of June 30, 2022	$	1,729,701	$	1,588,639	$	542,730	$	898,185	$	1,698,655	$	6,457,910

	Eastern		Southern		Western		Central		Canada		Total
Balance as of December 31, 2020	$	1,374,577	$	1,532,215	$	442,862	$	824,204	$	1,552,792	$	5,726,650
Goodwill acquired		1,647		—		2,305		45,843		—		49,795
Goodwill acquisition adjustments		—		(3)		—		—		(2)		(5)
Impact of changes in foreign currency		—		—		—		—		42,309		42,309
Balance as of June 30, 2021	$	1,376,224	$	1,532,212	$	445,167	$	870,047	$	1,595,099	$	5,818,749

Reconciliation of Primary Measure of Segment Profitability to Income Before Income Tax Provision

A reconciliation of the Company’s primary measure of segment profitability (segment EBITDA) to Income before income tax provision in the Condensed Consolidated Statements of Net Income is as follows:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Eastern segment EBITDA	$	126,042	$	99,382	$	233,830	$	188,503
Southern segment EBITDA		124,507		98,928		233,117		192,352
Western segment EBITDA		110,602		99,402		215,349		193,228
Central segment EBITDA		109,023		94,886		201,059		173,926
Canada segment EBITDA		92,648		88,641		177,492		162,581
Subtotal reportable segments		562,822		481,239		1,060,847		910,590
Unallocated corporate overhead		(2,683)		(6,442)		(7,385)		(7,192)
Depreciation		(188,937)		(169,221)		(368,887)		(326,624)
Amortization of intangibles		(37,462)		(32,707)		(75,098)		(64,899)
Impairments and other operating items		(4,150)		(6,081)		(6,028)		(6,715)
Interest expense		(45,079)		(41,328)		(86,404)		(83,753)
Interest income		652		744		790		1,848
Other income (expense), net		(2,649)		(1,235)		(6,114)		2,312
Income before income tax provision	$	282,514	$	224,969	$	511,721	$	425,567

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Derivative Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2022

Fair Value of Derivative Instrument Designated as Cash Flow Hedges

The fair values of derivative instruments designated as cash flow hedges as of June 30, 2022, were as follows:

Derivatives Designated as Cash	Asset Derivatives			Liability Derivatives
Flow Hedges	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Interest rate swaps	Prepaid expenses and other current assets(a)	$	2,548	Accrued liabilities(a)	$	(1,108)
	Other assets, net		3,165
Total derivatives designated as cash flow hedges		$	5,713		$	(1,108)

____________________

(a)Represents the estimated amount of the existing unrealized gains and losses on interest rate swaps as of June 30, 2022 (based on the interest rate yield curve at that date), included in AOCIL expected to be reclassified into pre-tax earnings within the next 12 months. The actual amounts reclassified into earnings are dependent on future movements in interest rates.

The fair values of derivative instruments designated as cash flow hedges as of December 31, 2021, were as follows:

Derivatives Designated as Cash	Asset Derivatives			Liability Derivatives
Flow Hedges	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Interest rate swaps	Prepaid expenses and other current assets	$	—	Accrued liabilities	$	(18,675)
				Other long-term liabilities		(32,406)
Total derivatives designated as cash flow hedges		$	—		$	(51,081)

Impact of Cash Flow Hedges on Results of Operations, Comprehensive Income (Loss) and Accumulated Other Comprehensive Income (Loss)

The following table summarizes the impact of the Company’s cash flow hedges on the results of operations, comprehensive income (loss) and AOCIL for the three and six months ended June 30, 2022 and 2021:

Derivatives					Statement of	Amount of (Gain) or Loss Reclassified
Designated as Cash	Amount of Gain or (Loss) Recognized				Net Income	from AOCIL into Earnings,
Flow Hedges	as AOCIL on Derivatives, Net of Tax (a)				Classification	Net of Tax (b)
	Three Months Ended					Three Months Ended
	June 30,					June 30,
	2022		2021			2022		2021
Interest rate swaps	$	1,904	$	(4,599)	Interest expense	$	2,680	$	3,720

Derivatives					Statement of	Amount of (Gain) or Loss Reclassified
Designated as Cash	Amount of Gain or (Loss) Recognized				Net Income	from AOCIL into Earnings,
Flow Hedges	as AOCIL on Derivatives, Net of Tax (a)				Classification	Net of Tax (b)
	Six Months Ended					Six Months Ended
	June 30,					June 30,
	2022		2021			2022		2021
Interest rate swaps	$	34,758	$	10,644	Interest expense	$	6,171	$	7,245

____________________

(a)In accordance with the derivatives and hedging guidance, the changes in fair values of interest rate swaps have been recorded in equity as a component of AOCIL. As the critical terms of the interest rate swaps match the underlying debt being hedged, all unrealized changes in fair value are recorded in AOCIL.

(b)Amounts reclassified from AOCIL into earnings related to realized gains and losses on interest rate swaps are recognized when interest payments or receipts occur related to the swap contracts, which correspond to when interest payments are made on the Company’s hedged debt.

Interest Rate Swap [Member]

Company's Derivative Instruments

At June 30, 2022, the Company’s derivative instruments included six interest rate swap agreements as follows:

			Fixed		Variable
	Notional		Interest		Interest Rate
Date Entered	Amount		Rate Paid*		Received	Effective Date	Expiration Date
August 2017	$	100,000	1.900	%	1-month LIBOR	July 2019	July 2022
August 2017	$	200,000	2.200	%	1-month LIBOR	October 2020	October 2025
August 2017	$	150,000	1.950	%	1-month LIBOR	February 2020	February 2023
June 2018	$	200,000	2.925	%	1-month LIBOR	October 2020	October 2025
June 2018	$	200,000	2.925	%	1-month LIBOR	October 2020	October 2025
December 2018	$	200,000	2.850	%	1-month LIBOR	July 2022	July 2027

____________________

* Plus applicable margin.

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Fair Value of Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2022

Fair Value [Abstract]

Carrying Values and Fair Values of Debt Instruments

	Carrying Value at				Fair Value (a) at
	June 30,		December 31,		June 30,		December 31,
	2022		2021		2022		2021
4.25% Senior Notes due 2028	$	500,000	$	500,000	$	505,500	$	561,350
3.50% Senior Notes due 2029	$	500,000	$	500,000	$	470,200	$	539,500
2.60% Senior Notes due 2030	$	600,000	$	600,000	$	524,820	$	610,440
2.20% Senior Notes due 2032	$	650,000	$	650,000	$	532,675	$	637,065
3.20% Senior Notes due 2032	$	500,000	$	—	$	444,200	$	—
3.05% Senior Notes due 2050	$	500,000	$	500,000	$	366,200	$	496,350
2.95% Senior Notes due 2052	$	850,000	$	850,000	$	608,855	$	828,580

____________________

*Senior Notes are classified as Level 2 within the fair value hierarchy. Fair value inputs include third-party calculations of the market interest rate of notes with similar ratings in similar industries over the remaining note terms.

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Net Income Per Share Information (Tables)

6 Months Ended

Jun. 30, 2022

Net Income Per Share Information [Abstract]

Basic and Diluted Net Income Per Common Share

The following table sets forth the calculation of the numerator and denominator used in the computation of basic and diluted net income per common share attributable to the Company’s shareholders for the three and six months ended June 30, 2022 and 2021:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Numerator:
Net income attributable to Waste Connections for basic and diluted earnings per share	$	224,074	$	177,047	$	404,398	$	337,356
Denominator:
Basic shares outstanding		257,179,434		260,951,405		257,555,033		261,791,088
Dilutive effect of equity-based awards		557,311		467,168		585,681		478,512
Diluted shares outstanding		257,736,745		261,418,573		258,140,714		262,269,600

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Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2022

Fair Value [Abstract]

Assets and Liabilities Measured at Fair Value on Recurring Basis

The Company’s assets and liabilities measured at fair value on a recurring basis at June 30, 2022 and December 31, 2021, were as follows:

	Fair Value Measurement at June 30, 2022 Using
			Quoted Prices in		Significant
			Active Markets		Other		Significant
			for Identical		Observable		Unobservable
			Assets		Inputs		Inputs
	Total		(Level 1)		(Level 2)		(Level 3)
Interest rate swap derivative instruments – net asset position	$	4,605	$	—	$	4,605	$	—
Restricted cash	$	106,736	$	106,736	$	—	$	—
Restricted investments	$	55,013	$	—	$	55,013	$	—
Contingent consideration	$	(90,635)	$	—	$	—	$	(90,635)

	Fair Value Measurement at December 31, 2021 Using
			Quoted Prices in		Significant
			Active Markets		Other		Significant
			for Identical		Observable		Unobservable
			Assets		Inputs		Inputs
	Total		(Level 1)		(Level 2)		(Level 3)
Interest rate swap derivative instruments – net liability position	$	(51,081)	$	—	$	(51,081)	$	—
Restricted cash	$	72,174	$	72,174	$	—	$	—
Restricted investments	$	58,797	$	—	$	58,797	$	—
Contingent consideration	$	(94,308)	$	—	$	—	$	(94,308)

Fair Value for Level 3 Liabilities

The following table summarizes the changes in the fair value for Level 3 liabilities related to contingent consideration for the six months ended June 30, 2022 and 2021:

	Six Months Ended June 30,
	2022		2021
Beginning balance	$	94,308	$	71,736
Contingent consideration recorded at acquisition date		5,543		1,512
Payment of contingent consideration recorded at acquisition date		(8,898)		(5,595)
Payment of contingent consideration recorded in earnings		—		(520)
Adjustments to contingent consideration		(1,030)		89
Interest accretion expense		712		821
Foreign currency translation adjustment		—		(14)
Ending balance	$	90,635	$	68,029

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Other Comprehensive Income (Loss) (Tables)

6 Months Ended

Jun. 30, 2022

Other Comprehensive Income (Loss) [Abstract]

Components of Other Comprehensive Income (Loss)

	Three Months Ended June 30, 2022
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	3,646	$	(966)	$	2,680
Changes in fair value of interest rate swaps		2,591		(687)		1,904
Foreign currency translation adjustment		(73,504)		—		(73,504)
	$	(67,267)	$	(1,653)	$	(68,920)

	Three Months Ended June 30, 2021
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	5,061	$	(1,341)	$	3,720
Changes in fair value of interest rate swaps		(6,257)		1,658		(4,599)
Foreign currency translation adjustment		32,973		—		32,973
	$	31,777	$	317	$	32,094

	Six Months Ended June 30, 2022
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	8,396	$	(2,225)	$	6,171
Changes in fair value of interest rate swaps		47,290		(12,532)		34,758
Foreign currency translation adjustment		(39,075)		—		(39,075)
	$	16,611	$	(14,757)	$	1,854

	Six Months Ended June 30, 2021
	Gross		Tax Effect		Net of Tax
Interest rate swap amounts reclassified into interest expense	$	9,857	$	(2,612)	$	7,245
Changes in fair value of interest rate swaps		14,482		(3,838)		10,644
Foreign currency translation adjustment		61,027		—		61,027
	$	85,366	$	(6,450)	$	78,916

Amounts Included in Accumulated Other Comprehensive Income (Loss)

A rollforward of the amounts included in AOCIL, net of taxes, for the six months ended June 30, 2022 and 2021, is as follows:

			Foreign		Accumulated
			Currency		Other
	Interest		Translation		Comprehensive
	Rate Swaps		Adjustment		Income (Loss)
Balance at December 31, 2021	$	(37,544)	$	77,128	$	39,584
Amounts reclassified into earnings		6,171		—		6,171
Changes in fair value		34,758		—		34,758
Foreign currency translation adjustment		—		(39,075)		(39,075)
Balance at June 30, 2022	$	3,385	$	38,053	$	41,438

			Foreign		Accumulated
			Currency		Other
	Interest		Translation		Comprehensive
	Rate Swaps		Adjustment		Income (Loss)
Balance at December 31, 2020	$	(69,596)	$	68,945	$	(651)
Amounts reclassified into earnings		7,245		—		7,245
Changes in fair value		10,644		—		10,644
Foreign currency translation adjustment		—		61,027		61,027
Balance at June 30, 2021	$	(51,707)	$	129,972	$	78,265

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Shareholders' Equity (Tables)

6 Months Ended

Jun. 30, 2022

Restricted Stock Units (RSUs) [Member]

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Summary of Activity Related to Restricted Share Units

A summary of activity related to restricted share units (“RSUs”) during the six-month period ended June 30, 2022, is presented below:

	Unvested Shares
Outstanding at December 31, 2021	861,695
Granted	425,900
Forfeited	(34,124)
Vested and issued	(313,228)
Outstanding at June 30, 2022	940,243

Performance Shares [Member]

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Summary of Performance-Based Restricted Share Units Activity and Related Information

A summary of activity related to performance-based restricted share units (“PSUs”) during the six-month period ended June 30, 2022, is presented below:

	Unvested Shares
Outstanding at December 31, 2021	392,043
Granted	95,038
Forfeited	(87,554)
Vested and issued	(57,677)
Outstanding at June 30, 2022	341,850

Deferred Share Units [Member]

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Summary of Activity Related to Restricted Share Units

A summary of activity related to deferred share units (“DSUs”) during the six-month period ended June 30, 2022, is presented below:

	Vested Shares
Outstanding at December 31, 2021	24,442
Granted	2,094
Outstanding at June 30, 2022	26,536

Progressive Waste Solutions Ltd. [Member]

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Summary of Stock Option Activity and Related Information

Outstanding at December 31, 2021	45,869
Cash settled	—
Outstanding at June 30, 2022	45,869

Progressive Waste Solutions Ltd. [Member] | Restricted Stock Units (RSUs) [Member]

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Summary of Activity Related to Restricted Share Units

Outstanding at December 31, 2021	63,032
Cash settled	(5,203)
Outstanding at June 30, 2022	57,829

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New Accounting Standards (Adoption of New Standard) (Details) - USD ($) $ in Thousands		Jun. 30, 2022	Dec. 31, 2021
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Operating lease right-of-use assets		$ 167,099	$ 160,567
Total assets		15,416,241	14,699,924
Current portion of operating lease liabilities		35,101	38,017
Total current liabilities		1,337,553	1,232,746
Long-term portion of operating lease liabilities		139,191	129,628
Deferred income taxes		994,766	850,921
Total liabilities		8,546,579	7,706,379
Retained earnings		3,342,431	3,056,845
Total liabilities and equity		15,416,241	14,699,924
Revolving Credit Facility [Member] | Credit Agreement [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Long term debt	[1]	901,980	803,944
Revolving Credit Facility [Member] | LIBOR [Member] | Credit Agreement [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Long term debt		723,500	631,000
Revolving Credit Facility [Member] | Base Rate [Member] | Credit Agreement [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Long term debt		0	158,000
Revolving Credit Facility [Member] | Canadian Prime Rate [Member] | Credit Agreement [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Long term debt		3,880	0
Revolving Credit Facility [Member] | Canadian Bankers Acceptance Loan [Member] | Credit Agreement [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Long term debt		174,600	3,944
Term Loan Facility [Member] | Credit Agreement [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Long term debt	[1]	650,000	$ 650,000
Term Loan Facility [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | Credit Agreement [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Long term debt		$ 1,373,500

[1] Interest rates represent the interest rates in effect at June 30, 2022

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Revenue (Total Reported Revenues by Service Line) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Revenue from External Customer [Line Items]
Revenues	$ 1,816,435	$ 1,533,931	$ 3,462,690	$ 2,929,874
Reportable Segments [Member] | Collection [Member]
Revenue from External Customer [Line Items]
Revenues	1,297,402	1,098,319	2,496,854	2,134,791
Reportable Segments [Member] | Commercial [Member] | Collection [Member]
Revenue from External Customer [Line Items]
Revenues	538,525	444,044	1,038,201	870,439
Reportable Segments [Member] | Residential [Member] | Collection [Member]
Revenue from External Customer [Line Items]
Revenues	463,320	416,975	903,608	817,794
Reportable Segments [Member] | Industrial and Construction Roll Off [Member] | Collection [Member]
Revenue from External Customer [Line Items]
Revenues	295,557	237,300	555,045	446,558
Reportable Segments [Member] | Landfill [Member]
Revenue from External Customer [Line Items]
Revenues	339,719	327,124	639,484	599,060
Reportable Segments [Member] | Transfer [Member]
Revenue from External Customer [Line Items]
Revenues	261,475	217,133	479,432	406,456
Reportable Segments [Member] | Recycling [Member]
Revenue from External Customer [Line Items]
Revenues	67,504	41,539	130,598	73,987
Reportable Segments [Member] | E&P [Member]
Revenue from External Customer [Line Items]
Revenues	54,155	34,607	97,711	62,618
Reportable Segments [Member] | Intermodal and Other [Member]
Revenue from External Customer [Line Items]
Revenues	46,310	38,590	92,002	74,225
Intercompany Revenue [Member]
Revenue from External Customer [Line Items]
Revenues	$ (250,130)	$ (223,381)	$ (473,391)	$ (421,263)

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Revenue (Narrative) (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Capitalized contract costs	$ 19,627	$ 18,954
Minimum [Member]
Estimated life of relevant customer relationship	1 year
Maximum [Member]
Estimated life of relevant customer relationship	5 years

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Accounts Receivable (Allowance for Credit Losses) (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Accounts Receivable [Abstract]
Beginning Balance	$ 18,480	$ 19,380
Current period provision for expected credit losses	6,907	4,903
Write-offs charged against the allowance	(7,522)	(7,152)
Recoveries collected	2,412	2,346
Impact of changes in foreign currency	(24)	50
Ending Balance	$ 20,253	$ 19,527

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Landfill Accounting (Narrative) (Details) $ in Thousands	6 Months Ended		12 Months Ended
	Jun. 30, 2022 USD ($) site $ / T	Jun. 30, 2021 USD ($) $ / T	Dec. 31, 2021 USD ($)
Landfill Accounting [Line Items]
Number of landfills owned and operated by company | site	84
Number of landfills operated, not owned, under life-of-site operating agreements | site	5
Number of landfills operated under limited-term operating agreements | site	5
Property and equipment, net	$ 5,858,175		$ 5,721,949
Average remaining landfill life based on permitted capacity and projected annual disposal volumes	28 years
Number of owned landfills the company is seeking to expand | site	9
Number of landfills operated under life-of-site operating agreements that the company is seeking to expand | site	3
Average remaining landfill life based on permitted capacity, projected annual disposal volumes and probable expansion capacity	32 years
Life of Company's owned landfills and landfills operated under life-of-site operating agreements min range	1 year
Life of Company's owned landfills and landfills operated under life of site operating agreements max range	330 years
Percentage of projected annual disposal volume from landfills with remaining lives within threshold period	90.00%
Threshold period used for measurement of projected annual disposal volume from landfills	70 years
Landfill depletion expense	$ 113,091	$ 102,702
Average rate per ton consumed related to landfill depletion at owned landfills and landfills operated under life-of-site agreements | $ / T	4.83	4.54
Accretion expense associated with landfill obligations	$ 7,992	$ 7,285
Average rate per ton consumed related to final capping, closure and post-closure landfill accretion expense | $ / T	0.34	0.32
Restricted cash	$ 106,736		72,174
Restricted investments	56,234		$ 59,014
Liability adjustments	30,238
Landfill [Member]
Landfill Accounting [Line Items]
Property and equipment, net	$ 2,674,947
Inflation rate for purposes of computing layers for final capping, closure and post-closure obligations	2.25%		2.25%
Restricted cash	$ 10,935		$ 12,609
Restricted investments	$ 53,568		$ 56,289
Landfill [Member] | Measurement Input, Discount Rate [Member]
Landfill Accounting [Line Items]
Discount rate for purposes of computing layers for final capping, closure and post-closure obligations	3.25%		3.25%

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Landfill Accounting (Reconciliation of Final Capping, Closure and Post-Closure Liability Balance) (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Landfill Accounting [Abstract]
Final capping, closure and post-closure liability at the beginning of the period	$ 302,537
Liability adjustments	30,238
Accretion expense associated with landfill obligations	7,992	$ 7,285
Closure payments	(5,239)
Assumption of closure liabilities from acquisitions	630
Disposition of closure liabilities from divested operations	(916)
Foreign currency translation adjustment	(509)
Final capping, closure and post-closure liability at the end of the period	$ 334,733

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Acquisitions (Narrative) (Detail) $ in Thousands	6 Months Ended		12 Months Ended
	Jun. 30, 2022 USD ($) entity	Jun. 30, 2021 USD ($) entity	Jun. 30, 2022 USD ($) entity
Acquisitions [Abstract]
Number of immaterial businesses acquired in period | entity	8	5
Number of individually immaterial acquisitions | entity			8
Acquisition-related costs	$ 8,232	$ 583
Goodwill expected to be deductible for tax purposes	156,645	47,804	$ 156,645
Trade receivables acquired in business combination gross contractual amount	17,436	1,808	17,436
Trade receivables acquired in business combination expected to be uncollectible amount	$ 2,780	$ 126	$ 2,780
Fair value of acquired working capital is provisional | entity			8

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Acquisitions (Summary of Consideration Transferred to Acquire Businesses and Amounts of Identifiable Assets Acquired, Liabilities Assumed and Noncontrolling Interests) (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Fair value of consideration transferred:
Cash	$ 546,982	$ 67,493
Consideration transferred	546,982	68,025
Recognized amounts of identifiable assets acquired and liabilities assumed associated with businesses acquired:
Accounts receivable	14,656	1,682
Prepaid expenses and other current assets	3,444	101
Operating lease right-of-use assets	2,852	1,499
Property and equipment	139,121	13,140
Current portion of operating lease liabilities	(947)	(658)
Deferred revenue	(4,877)	(1,620)
Long-term portion of operating lease liabilities	(1,905)	(841)
Other long-term liabilities		(1,900)
Deferred income taxes	(9,074)
Total identifiable net assets	249,367	18,235
Goodwill	297,615	49,790
Accounts Payable and Accrued Liabilities [Member]
Recognized amounts of identifiable assets acquired and liabilities assumed associated with businesses acquired:
Accounts payable and accrued liabilities	(21,347)	(464)
Debt [Member]
Fair value of consideration transferred:
Liabilities incurred		532
Contingent Consideration [Member]
Recognized amounts of identifiable assets acquired and liabilities assumed associated with businesses acquired:
Contingent consideration	(5,543)	(1,512)
Long Term Franchise Agreements And Contracts [Member]
Recognized amounts of identifiable assets acquired and liabilities assumed associated with businesses acquired:
Intangibles	17,482	615
Customer Lists [Member]
Recognized amounts of identifiable assets acquired and liabilities assumed associated with businesses acquired:
Intangibles	53,099	$ 8,193
Permits and Other [Member]
Recognized amounts of identifiable assets acquired and liabilities assumed associated with businesses acquired:
Intangibles	$ 62,406

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Intangible Assets, Net (Narrative) (Details)	6 Months Ended
	Jun. 30, 2022
Long-term Franchise Agreements and Contracts [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period of acquired intangible assets	15 years 9 months 18 days
Customer Lists [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period of acquired intangible assets	11 years 2 months 12 days
Permits and Other [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period of acquired intangible assets	40 years

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Intangible Assets, Net (Intangible Assets Exclusive of Goodwill) (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying amount	$ 2,075,761	$ 1,973,656
Intangible assets, exclusive of goodwill, gross	2,317,229	2,215,124
Indefinite-lived intangible assets, gross carrying amount	241,468	241,468
Finite-lived intangible assets, accumulated amortization	(876,196)	(823,743)
Intangible assets, accumulated impairment loss	(40,784)	(40,784)
Finite-lived intangible assets, net carrying amount	1,199,565	1,149,913
Intangible assets, net, exclusive of goodwill	1,400,249	1,350,597
Indefinite-lived intangible assets	200,684	200,684
Solid Waste Collection and Transportation Permits [Member]
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, gross carrying amount	181,613	181,613
Indefinite-lived intangible assets	181,613	181,613
Exploration and Production Facility Permits [Member]
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, gross carrying amount	59,855	59,855
Intangible assets, accumulated impairment loss	(40,784)	(40,784)
Indefinite-lived intangible assets	19,071	19,071
Long-term Franchise Agreements and Contracts [Member]
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying amount	714,419	724,128
Finite-lived intangible assets, accumulated amortization	(282,201)	(278,827)
Finite-lived intangible assets, net carrying amount	432,218	445,301
Customer Lists [Member]
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying amount	761,543	711,047
Finite-lived intangible assets, accumulated amortization	(489,588)	(450,109)
Finite-lived intangible assets, net carrying amount	271,955	260,938
Permits and Other [Member]
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying amount	599,799	538,481
Finite-lived intangible assets, accumulated amortization	(104,407)	(94,807)
Finite-lived intangible assets, net carrying amount	$ 495,392	$ 443,674

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Intangible Assets, Net (Estimated Future Amortization Expense of Amortizable Intangible Assets) (Details) $ in Thousands	Jun. 30, 2022 USD ($)
Intangible Assets, Net [Abstract]
For the year ending December 31, 2022	$ 150,085
For the year ending December 31, 2023	131,761
For the year ending December 31, 2024	114,631
For the year ending December 31, 2025	98,355
For the year ending December 31, 2026	$ 83,219

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Long-Term Debt (Long-Term Debt) (Details) - USD ($) $ in Thousands		6 Months Ended
		Jun. 30, 2022	Mar. 09, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Total debt and lease obligations		$ 5,698,281		$ 5,101,971
Less - current portion		(6,342)		(6,020)
Finance leases		10,770		10,519
Less - current portion		(6,342)		(6,020)
Less - unamortized debt discount and issuance costs		(58,415)		(55,451)
Long-term debt and notes payable		5,633,524		5,040,500
Long-term debt and lease obligation		$ 5,633,524		$ 5,040,500
Minimum [Member]
Debt Instrument [Line Items]
Finance leases interest rate		1.89%		1.89%
Finance leases, expiration year		2026
Maximum [Member]
Debt Instrument [Line Items]
Finance leases interest rate		2.16%
Finance leases, expiration year		2027
Credit Agreement [Member] | Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Long term debt	[1]	$ 901,980		$ 803,944
Credit Agreement [Member] | Revolving Credit Facility [Member] | Minimum [Member]
Debt Instrument [Line Items]
Line of credit, interest rate		2.67%
Credit Agreement [Member] | Revolving Credit Facility [Member] | Maximum [Member]
Debt Instrument [Line Items]
Line of credit, interest rate		3.70%
Credit Agreement [Member] | Term Loan Facility [Member]
Debt Instrument [Line Items]
Long term debt	[1]	$ 650,000		650,000
Line of credit, interest rate		2.67%
Senior Notes due 2028 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Long term debt		$ 500,000		$ 500,000
Interest rate		4.25%		4.25%
Senior note year due		2028
Senior Notes due 2029 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Long term debt		$ 500,000		$ 500,000
Interest rate		3.50%		3.50%
Senior note year due		2029
Senior Notes due 2030 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Long term debt		$ 600,000		$ 600,000
Interest rate		2.60%		2.60%
Senior note year due		2030
Senior Notes due 2032 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Long term debt		$ 650,000		$ 650,000
Interest rate		2.20%		2.20%
Senior note year due		2032
New Senior Note due 2032 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Long term debt		$ 500,000
Interest rate		3.20%	3.20%
Senior note year due		2032
Debt instrument, redemption period		Mar. 01, 2032
Senior Notes due 2050 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Long term debt		$ 500,000		$ 500,000
Interest rate		3.05%		3.05%
Senior note year due		2050
Senior Notes due 2052 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Long term debt		$ 850,000		$ 850,000
Interest rate		2.95%		2.95%
Senior note year due		2052
Notes Payable to Sellers and Other Third Parties [Member]
Debt Instrument [Line Items]
Long term debt	[1]	$ 35,531		$ 37,508
Notes Payable to Sellers and Other Third Parties [Member] | Minimum [Member]
Debt Instrument [Line Items]
Interest rate	[1]	2.42%
Senior note year due		2028
Notes Payable to Sellers and Other Third Parties [Member] | Maximum [Member]
Debt Instrument [Line Items]
Interest rate	[1]	10.35%
Senior note year due		2036

[1] Interest rates represent the interest rates in effect at June 30, 2022

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Long-Term Debt (Narrative) (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021	Mar. 09, 2022
Debt discount and issuance costs	$ 58,415	$ 55,451
Credit Agreement [Member] | Revolving Credit Facility [Member]
Commitment - rate applicable	0.09%	0.09%
Credit Agreement [Member] | Letter of Credit [Member]
Letter of credit	$ 43,314	$ 112,281
Other Facilities Not Affiliated With Credit Agreement [Member] | Letter of Credit [Member]
Letter of credit	$ 84,617
Senior Notes [Member]
Debt Instrument, Covenant Compliance	As of June 30, 2022, the Company was in compliance with all applicable covenants in the Indenture.
Senior Notes [Member] | Minimum [Member]
Percentage of principal amount redeemed	25.00%
Senior Notes [Member] | Senior Notes due 2029 [Member]
Interest rate	3.50%	3.50%
Senior Notes [Member] | Senior Notes due 2030 [Member]
Interest rate	2.60%	2.60%
Senior Notes [Member] | New Senior Note due 2032 [Member]
Aggregate principal amount			$ 500,000
Interest rate	3.20%		3.20%
Maturity date	Jun. 01, 2032
Debt instrument, redemption price, percentage	100.00%
Debt instrument, redemption period	Mar. 01, 2032
Senior Notes [Member] | New Senior Note due 2032 [Member] | Maximum [Member]
Debt instrument, redemption price, percentage	101.00%
Senior Notes [Member] | Senior Notes due 2032 [Member]
Interest rate	2.20%	2.20%
Senior Notes [Member] | Senior Notes due 2052 [Member]
Interest rate	2.95%	2.95%
Senior Notes [Member] | Senior Notes due 2050 [Member]
Interest rate	3.05%	3.05%

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Long-Term Debt (Details of the Company's Credit Agreement) (Details) - Credit Agreement [Member] - USD ($) $ in Thousands		6 Months Ended	12 Months Ended
		Jun. 30, 2022	Dec. 31, 2021
Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Available		$ 904,706	$ 933,775
Amount drawn	[1]	$ 901,980	$ 803,944
Commitment - rate applicable		0.09%	0.09%
Letter of Credit [Member]
Line of Credit Facility [Line Items]
Letter of credit		$ 43,314	$ 112,281
LIBOR [Member] | Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Amount drawn		$ 723,500	$ 631,000
Interest rate applicable		2.67%	1.10%
LIBOR [Member] | Term Loan Facility [Member]
Line of Credit Facility [Line Items]
Amount drawn		$ 650,000	$ 650,000
Interest rate applicable		2.67%	1.10%
Base Rate [Member] | Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Amount drawn		$ 0	$ 158,000
Interest rate applicable		0.00%	3.25%
US Swing Line Loan [Member] | Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Amount drawn		$ 0	$ 11,000
Interest rate applicable		0.00%	3.25%
Canadian Prime Rate [Member] | Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Amount drawn		$ 3,880	$ 0
Interest rate applicable		3.70%	0.00%
Canadian Bankers Acceptance Loan [Member] | Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Amount drawn		$ 174,600	$ 3,944
Interest rate applicable		3.23%	1.45%

[1] Interest rates represent the interest rates in effect at June 30, 2022

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Segment Reporting (Narrative) (Details)	6 Months Ended
	Jun. 30, 2022 segment
Segment Reporting [Abstract]
Number of contracts or customers accounted for more than 10% of the Company's total revenues at the consolidated or reportable segment level	No single contract or customer accounted for more than 10% of the Company’s total revenues at the consolidated or reportable segment level during the periods presented.
Number of reportable segments	5

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Segment Reporting (Summary of Financial Information Concerning Company's Reportable Segments) (Details) $ in Thousands		3 Months Ended				6 Months Ended
		Jun. 30, 2022 USD ($)		Jun. 30, 2021 USD ($)		Jun. 30, 2022 USD ($) segment	Jun. 30, 2021 USD ($)
Segment Reporting Information [Line Items]
Revenue		$ 1,816,435		$ 1,533,931		$ 3,462,690	$ 2,929,874
Segment EBITDA		560,139	[1]	474,797	[1]	$ 1,053,462	903,398
Number of Reportable Segments | segment						5
Reportable Segments [Member]
Segment Reporting Information [Line Items]
Revenue		2,066,565		1,757,312		$ 3,936,081	3,351,137
Segment EBITDA		562,822		481,239		1,060,847	910,590
Intercompany Revenue [Member]
Segment Reporting Information [Line Items]
Revenue		(250,130)	[2]	(223,381)	[2]	(473,391)	(421,263)
Southern [Member]
Segment Reporting Information [Line Items]
Revenue		416,464		363,336		803,528	701,497
Segment EBITDA		124,507	[1]	98,928	[1]	233,117	192,352
Southern [Member] | Reportable Segments [Member]
Segment Reporting Information [Line Items]
Revenue		464,678		413,194		896,026	795,881
Southern [Member] | Intercompany Revenue [Member]
Segment Reporting Information [Line Items]
Revenue		(48,214)	[2]	(49,858)	[2]	(92,498)	(94,384)
Eastern [Member]
Segment Reporting Information [Line Items]
Revenue		478,739		369,617		900,335	706,079
Segment EBITDA		126,042	[1]	99,382	[1]	233,830	188,503
Eastern [Member] | Reportable Segments [Member]
Segment Reporting Information [Line Items]
Revenue		569,170		440,799		1,068,425	839,629
Eastern [Member] | Intercompany Revenue [Member]
Segment Reporting Information [Line Items]
Revenue		(90,431)	[2]	(71,182)	[2]	(168,090)	(133,550)
Western [Member]
Segment Reporting Information [Line Items]
Revenue		360,923		313,789		707,633	610,793
Segment EBITDA		110,602	[1]	99,402	[1]	215,349	193,228
Western [Member] | Reportable Segments [Member]
Segment Reporting Information [Line Items]
Revenue		404,513		351,816		794,141	684,636
Western [Member] | Intercompany Revenue [Member]
Segment Reporting Information [Line Items]
Revenue		(43,590)	[2]	(38,027)	[2]	(86,508)	(73,843)
Central [Member]
Segment Reporting Information [Line Items]
Revenue		309,927		266,845		586,104	502,231
Segment EBITDA		109,023	[1]	94,886	[1]	201,059	173,926
Central [Member] | Reportable Segments [Member]
Segment Reporting Information [Line Items]
Revenue		348,930		303,905		658,000	571,607
Central [Member] | Intercompany Revenue [Member]
Segment Reporting Information [Line Items]
Revenue		(39,003)	[2]	(37,060)	[2]	(71,896)	(69,376)
Canada [Member]
Segment Reporting Information [Line Items]
Revenue		250,382		220,344		465,090	409,274
Segment EBITDA		92,648	[1]	88,641	[1]	177,492	162,581
Canada [Member] | Reportable Segments [Member]
Segment Reporting Information [Line Items]
Revenue		279,274		247,598		519,489	459,384
Canada [Member] | Intercompany Revenue [Member]
Segment Reporting Information [Line Items]
Revenue		(28,892)	[2]	(27,254)	[2]	(54,399)	(50,110)
Corporate [Member]
Segment Reporting Information [Line Items]
Revenue
Segment EBITDA		$ (2,683)	[1]	(6,442)	[1]	$ (7,385)	$ (7,192)
Corporate [Member] | Reportable Segments [Member]
Segment Reporting Information [Line Items]
Revenue
Corporate [Member] | Intercompany Revenue [Member]
Segment Reporting Information [Line Items]
Revenue	[2]

[1] For those items included in the determination of segment EBITDA, the accounting policies of the segments are the same as those described in the Company’s most recent Annual Report on Form 10-K.

[2] Intercompany revenues reflect each segment’s total intercompany sales, including intercompany sales within a segment and between segments. Transactions within and between segments are generally made on a basis intended to reflect the market value of the service.

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Segment Reporting (Total Assets for Reportable Segments) (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Segment Reporting Information [Line Items]
Assets	$ 15,416,241	$ 14,699,924
Southern [Member]
Segment Reporting Information [Line Items]
Assets	3,493,347	3,513,355
Eastern [Member]
Segment Reporting Information [Line Items]
Assets	3,929,648	3,652,311
Western [Member]
Segment Reporting Information [Line Items]
Assets	2,286,086	2,260,222
Central [Member]
Segment Reporting Information [Line Items]
Assets	2,365,545	2,332,564
Canada [Member]
Segment Reporting Information [Line Items]
Assets	2,729,406	2,513,608
Corporate [Member]
Segment Reporting Information [Line Items]
Assets	$ 612,209	$ 427,864

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Segment Reporting (Changes in Goodwill by Reportable Segment) (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Goodwill [Line Items]
Goodwill, Beginning Balance	$ 6,187,643	$ 5,726,650
Goodwill acquired	294,445	49,795
Goodwill acquisition adjustments	3,170	(5)
Impact of changes in foreign currency	(27,348)	42,309
Goodwill, Ending Balance	6,457,910	5,818,749
Southern [Member]
Goodwill [Line Items]
Goodwill, Beginning Balance	1,588,467	1,532,215
Goodwill acquisition adjustments	172	(3)
Goodwill, Ending Balance	1,588,639	1,532,212
Eastern [Member]
Goodwill [Line Items]
Goodwill, Beginning Balance	1,607,723	1,374,577
Goodwill acquired	121,978	1,647
Goodwill, Ending Balance	1,729,701	1,376,224
Western [Member]
Goodwill [Line Items]
Goodwill, Beginning Balance	539,732	442,862
Goodwill acquired		2,305
Goodwill acquisition adjustments	2,998
Goodwill, Ending Balance	542,730	445,167
Central [Member]
Goodwill [Line Items]
Goodwill, Beginning Balance	892,209	824,204
Goodwill acquired	5,976	45,843
Goodwill, Ending Balance	898,185	870,047
Canada [Member]
Goodwill [Line Items]
Goodwill, Beginning Balance	1,559,512	1,552,792
Goodwill acquired	166,491
Goodwill acquisition adjustments		(2)
Impact of changes in foreign currency	(27,348)	42,309
Goodwill, Ending Balance	$ 1,698,655	$ 1,595,099

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Segment Reporting (Reconciliation of Primary Measure of Segment Profitability to Income Before Income Tax Provision) (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2022		Jun. 30, 2021		Jun. 30, 2022	Jun. 30, 2021
Segment EBITDA	$ 560,139	[1]	$ 474,797	[1]	$ 1,053,462	$ 903,398
Depreciation	(188,937)		(169,221)		(368,887)	(326,624)
Amortization of intangibles	(37,462)		(32,707)		(75,098)	(64,899)
Impairments and other operating items	(4,150)		(6,081)		(6,028)	(6,715)
Interest expense	(45,079)		(41,328)		(86,404)	(83,753)
Interest income	652		744		790	1,848
Other income (expense), net	(2,649)		(1,235)		(6,114)	2,312
Income before income tax provision	282,514		224,969		511,721	425,567
Southern [Member]
Segment EBITDA	124,507	[1]	98,928	[1]	233,117	192,352
Eastern [Member]
Segment EBITDA	126,042	[1]	99,382	[1]	233,830	188,503
Western [Member]
Segment EBITDA	110,602	[1]	99,402	[1]	215,349	193,228
Central [Member]
Segment EBITDA	109,023	[1]	94,886	[1]	201,059	173,926
Canada [Member]
Segment EBITDA	92,648	[1]	88,641	[1]	177,492	162,581
Corporate [Member]
Segment EBITDA	(2,683)	[1]	(6,442)	[1]	(7,385)	(7,192)
Reportable Segments [Member]
Segment EBITDA	$ 562,822		$ 481,239		$ 1,060,847	$ 910,590

[1] For those items included in the determination of segment EBITDA, the accounting policies of the segments are the same as those described in the Company’s most recent Annual Report on Form 10-K.

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Derivative Financial Instruments (Narrative) (Details)	Jun. 30, 2022 agreement
Derivative Financial Instruments [Abstract]
Number of interest rate swap agreements	6

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Derivative Financial Instruments (Company's Derivative Instruments of Interest Rate Swaps) (Details) - LIBOR [Member] $ in Thousands	6 Months Ended
	Jun. 30, 2022 USD ($)
Interest Rate Swap One [Member]
Derivative [Line Items]
Date entered	2017-08
Notional amount	$ 100,000
Fixed interest rate paid	1.90%
Variable interest rate received	1-month LIBOR
Effective date	2019-07
Expiration date	2022-07
Interest Rate Swap Two [Member]
Derivative [Line Items]
Date entered	2017-08
Notional amount	$ 200,000
Fixed interest rate paid	2.20%
Variable interest rate received	1-month LIBOR
Effective date	2020-10
Expiration date	2025-10
Interest Rate Swap Three [Member]
Derivative [Line Items]
Date entered	2017-08
Notional amount	$ 150,000
Fixed interest rate paid	1.95%
Variable interest rate received	1-month LIBOR
Effective date	2020-02
Expiration date	2023-02
Interest Rate Swap Four [Member]
Derivative [Line Items]
Date entered	2018-06
Notional amount	$ 200,000
Fixed interest rate paid	2.925%
Variable interest rate received	1-month LIBOR
Effective date	2020-10
Expiration date	2025-10
Interest Rate Swap Five [Member]
Derivative [Line Items]
Date entered	2018-06
Notional amount	$ 200,000
Fixed interest rate paid	2.925%
Variable interest rate received	1-month LIBOR
Effective date	2020-10
Expiration date	2025-10
Interest Rate Swap Six [Member]
Derivative [Line Items]
Date entered	2018-12
Notional amount	$ 200,000
Fixed interest rate paid	2.85%
Variable interest rate received	1-month LIBOR
Effective date	2022-07
Expiration date	2027-07

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Derivative Financial Instruments (Fair Values of Derivative Instruments Designated as Cash Flow Hedges) (Details) - USD ($) $ in Thousands		Jun. 30, 2022		Dec. 31, 2021
Derivatives, Fair Value [Line Items]
Derivatives designated as cash flow hedges, asset derivatives		$ 5,713
Derivatives designated as cash flow hedges, liability derivatives		1,108		$ 51,081
Interest Rate Swap [Member] | Accrued Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivatives designated as cash flow hedges, liability derivatives		1,108	[1]	18,675
Interest Rate Swap [Member] | Other Long-term Liabilities [Member}
Derivatives, Fair Value [Line Items]
Derivatives designated as cash flow hedges, liability derivatives				$ 32,406
Interest Rate Swap [Member] | Prepaid Expenses and Other Current Assets [Member]
Derivatives, Fair Value [Line Items]
Derivatives designated as cash flow hedges, asset derivatives	[1]	2,548
Interest Rate Swap [Member] | Other Assets [Member]
Derivatives, Fair Value [Line Items]
Derivatives designated as cash flow hedges, asset derivatives		$ 3,165

[1] Represents the estimated amount of the existing unrealized gains and losses on interest rate swaps as of June 30, 2022 (based on the interest rate yield curve at that date), included in AOCIL expected to be reclassified into pre-tax earnings within the next 12 months. The actual amounts reclassified into earnings are dependent on future movements in interest rates.

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Derivative Financial Instruments (Impact of Cash Flow Hedges on Results of Operations, Comprehensive Income (Loss) and Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands	3 Months Ended						6 Months Ended
	Jun. 30, 2022		Mar. 31, 2022	Jun. 30, 2021		Mar. 31, 2021	Jun. 30, 2022	Jun. 30, 2021
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Recognized as AOCIL on Derivatives, Net of Tax	$ (1,904)		$ (32,854)	$ 4,599		$ (15,243)
Amounts reclassified into earnings, net of taxes	2,680		$ 3,491	3,720		$ 3,525
Interest Rate Swap [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Recognized as AOCIL on Derivatives, Net of Tax	(1,904)			4,599			$ (34,758)	$ (10,644)
Amounts reclassified into earnings, net of taxes	2,680			3,720			6,171	7,245
Cash Flow Hedging [Member] | Interest Expense [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amounts reclassified into earnings, net of taxes	2,680	[1]		3,720	[1]		6,171	7,245
Cash Flow Hedging [Member] | Interest Rate Swap [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Recognized as AOCIL on Derivatives, Net of Tax	$ (1,904)	[2]		$ (4,599)	[2]		$ 34,758	$ 10,644

[1] Amounts reclassified from AOCIL into earnings related to realized gains and losses on interest rate swaps are recognized when interest payments or receipts occur related to the swap contracts, which correspond to when interest payments are made on the Company’s hedged debt.

[2] In accordance with the derivatives and hedging guidance, the changes in fair values of interest rate swaps have been recorded in equity as a component of AOCIL. As the critical terms of the interest rate swaps match the underlying debt being hedged, all unrealized changes in fair value are recorded in AOCIL.

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Fair Value of Financial Instruments (Carrying Values and Fair Values of Debt Instruments) (Details) - Senior Notes [Member] - USD ($) $ in Thousands		6 Months Ended
		Jun. 30, 2022	Mar. 09, 2022	Dec. 31, 2021
Senior Notes due 2028 [Member]
Debt Instrument [Line Items]
Carrying value of senior notes		$ 500,000		$ 500,000
Fair value of senior notes	[1]	$ 505,500		$ 561,350
Interest rate		4.25%		4.25%
Senior note year due		2028
Senior Notes due 2029 [Member]
Debt Instrument [Line Items]
Carrying value of senior notes		$ 500,000		$ 500,000
Fair value of senior notes	[1]	$ 470,200		$ 539,500
Interest rate		3.50%		3.50%
Senior note year due		2029
Senior Notes due 2030 [Member]
Debt Instrument [Line Items]
Carrying value of senior notes		$ 600,000		$ 600,000
Fair value of senior notes	[1]	$ 524,820		$ 610,440
Interest rate		2.60%		2.60%
Senior note year due		2030
Senior Notes due 2032 [Member]
Debt Instrument [Line Items]
Carrying value of senior notes		$ 650,000		$ 650,000
Fair value of senior notes	[1]	$ 532,675		$ 637,065
Interest rate		2.20%		2.20%
Senior note year due		2032
New Senior Note due 2032 [Member]
Debt Instrument [Line Items]
Carrying value of senior notes		$ 500,000
Fair value of senior notes	[1]	$ 444,200
Interest rate		3.20%	3.20%
Senior note year due		2032
Senior Notes due 2050 [Member]
Debt Instrument [Line Items]
Carrying value of senior notes		$ 500,000		$ 500,000
Fair value of senior notes	[1]	$ 366,200		$ 496,350
Interest rate		3.05%		3.05%
Senior note year due		2050
Senior Notes due 2052 [Member]
Debt Instrument [Line Items]
Carrying value of senior notes		$ 850,000		$ 850,000
Fair value of senior notes	[1]	$ 608,855		$ 828,580
Interest rate		2.95%		2.95%
Senior note year due		2052

[1] Senior Notes are classified as Level 2 within the fair value hierarchy. Fair value inputs include third-party calculations of the market interest rate of notes with similar ratings in similar industries over the remaining note terms.

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Net Income Per Share Information (Basic and Diluted Net Income Per Common Share) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Numerator:
Net income attributable to Waste Connections for basic and diluted earnings per share	$ 224,074	$ 177,047	$ 404,398	$ 337,356
Denominator:
Basic shares outstanding	257,179,434	260,951,405	257,555,033	261,791,088
Dilutive effect of equity-based awards	557,311	467,168	585,681	478,512
Diluted shares outstanding	257,736,745	261,418,573	258,140,714	262,269,600

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Fair Value Measurements (Assets and Liabilities Measured at Fair Value on Recurring Basis) (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Restricted cash	$ 106,736	$ 72,174
Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Restricted cash	106,736	72,174
Restricted investments	55,013	58,797
Contingent consideration	(90,635)	(94,308)
Fair Value, Measurements, Recurring [Member] | Interest Rate Swap [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative instrument - net	4,605	(51,081)
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Restricted cash	106,736	72,174
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Restricted investments	55,013	58,797
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Interest Rate Swap [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative instrument - net	4,605	(51,081)
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent consideration	$ (90,635)	$ (94,308)

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Fair Value Measurements (Fair Value for Level 3 Liabilities) (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Fair Value [Abstract]
Beginning balance	$ 94,308	$ 71,736
Contingent consideration recorded at acquisition date	5,543	1,512
Payment of contingent consideration recorded at acquisition date	(8,898)	(5,595)
Payment of contingent consideration recorded in earnings		(520)
Adjustments to contingent consideration	(1,030)	89
Interest accretion expense	712	821
Foreign currency translation adjustment		(14)
Ending balance	$ 90,635	$ 68,029
Payment of contingent consideration recorded in earnings, location	Interest Expense

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Other Comprehensive Income (Loss) (Components of Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2022	Jun. 30, 2021
Accumulated Other Comprehensive Income (Loss) [Line Items]
Amounts reclassified into earnings, net of taxes	$ 2,680	$ 3,491	$ 3,720	$ 3,525
Amount of Gain or (Loss) Recognized as AOCIL on Derivatives, Net of Tax	1,904	32,854	(4,599)	15,243
Foreign currency translation adjustment, gross	(73,504)		32,973		$ (39,075)	$ 61,027
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Total	(73,504)	34,429	32,973	28,054	(39,075)	61,027
Other Comprehensive Income (Loss), before Tax	(67,267)		31,777		16,611	85,366
Other Comprehensive Income (Loss), Tax	(1,653)		317		(14,757)	(6,450)
Other comprehensive income (loss), net of tax	(68,920)		32,094		1,854	78,916
Accumulated Other Comprehensive Income (Loss) [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Amounts reclassified into earnings, net of taxes	2,680	3,491	3,720	3,525
Amount of Gain or (Loss) Recognized as AOCIL on Derivatives, Net of Tax	1,904	32,854	(4,599)	15,243
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Total	(73,504)	$ 34,429	32,973	$ 28,054	(39,075)	61,027
Interest Rate Swap [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Amounts reclassified, gross	3,646		5,061		8,396	9,857
Amounts reclassified, tax	(966)		(1,341)		(2,225)	(2,612)
Amounts reclassified into earnings, net of taxes	2,680		3,720		6,171	7,245
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification and Tax	2,591		(6,257)		47,290	14,482
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, Tax	(687)		1,658		(12,532)	(3,838)
Amount of Gain or (Loss) Recognized as AOCIL on Derivatives, Net of Tax	$ 1,904		$ (4,599)		$ 34,758	$ 10,644

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Other Comprehensive Income (Loss) (Amounts Included in Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2022	Jun. 30, 2021
Components of Other Comprehensive Income (Loss) [Line Items]
Stockholders' Equity Attributable to Parent, Beginning Balance		$ 6,988,938			$ 6,988,938
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax	$ (73,504)	34,429	$ 32,973	$ 28,054	(39,075)	$ 61,027
Stockholders' Equity Attributable to Parent, Ending Balance	6,864,878				6,864,878
Foreign currency translation adjustment	(73,504)	34,429	32,973	28,054	(39,075)	61,027
Accumulated Other Comprehensive Income (Loss) [Member]
Components of Other Comprehensive Income (Loss) [Line Items]
Stockholders' Equity Attributable to Parent, Beginning Balance		39,584		(651)	39,584	(651)
Amounts reclassified into earnings					6,171	(7,245)
Change in fair value					34,758	10,644
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax	(73,504)	34,429	32,973	28,054	(39,075)	61,027
Stockholders' Equity Attributable to Parent, Ending Balance	41,438		78,265		41,438	78,265
Foreign currency translation adjustment	(73,504)	34,429	32,973	28,054	(39,075)	61,027
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | Interest Rate Swap [Member]
Components of Other Comprehensive Income (Loss) [Line Items]
Stockholders' Equity Attributable to Parent, Beginning Balance		(37,544)		(69,596)	(37,544)	(69,596)
Amounts reclassified into earnings					6,171	(7,245)
Change in fair value					34,758	10,644
Stockholders' Equity Attributable to Parent, Ending Balance	3,385		(51,707)		3,385	(51,707)
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | Foreign Currency Translation Adjustment [Member]
Components of Other Comprehensive Income (Loss) [Line Items]
Stockholders' Equity Attributable to Parent, Beginning Balance		$ 77,128		$ 68,945	77,128	68,945
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax					(39,075)	61,027
Stockholders' Equity Attributable to Parent, Ending Balance	$ 38,053		$ 129,972		38,053	129,972
Foreign currency translation adjustment					$ (39,075)	$ 61,027

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Shareholders' Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	3 Months Ended					6 Months Ended			73 Months Ended
	Oct. 31, 2021	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2022	Jul. 31, 2021	Jun. 30, 2021	Jun. 30, 2022	Dec. 31, 2021	Jul. 27, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Issuance of shares under employee share purchase plan			$ 1,554				$ 1,554
Issuance of shares under employee share purchase plan, shares							12,015
Maximum number of shares authorized for repurchase												13,025,895
Share repurchase plan expiration date							Aug. 09, 2022
Daily repurchase of shares, maximum								75,704
Average daily trading volume during period								302,816
Repurchase of common stock (shares)							3,388,155		2,745,990
Aggregate cost of stock repurchased			424,999		$ 239,641	$ 65,999	$ 424,999		$ 305,640
Maximum remaining number of shares available for repurchase		9,379,908					9,379,908			9,379,908
Cash dividend per share	$ 0.23	$ 0.230		$ 0.205	$ 0.205		$ 0.460		$ 0.410
Cash dividend per common share, increase	$ 0.025
Cash dividends on common stock		$ 59,421	$ 59,391		$ 53,421	$ 53,909	$ 118,812		$ 107,330
Employee Share Purchase Plan 2020 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Minimum percent of eligible compensation to purchase shares		1.00%					1.00%			1.00%
Maximum percent of eligible compensation to purchase shares		10.00%					10.00%			10.00%
Maximum number of share authorized to be issued under plan		1,000,000					1,000,000			1,000,000
Minimum [Member] | Employee Share Purchase Plan 2020 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise price percentage of closing price of common shares							85.00%
Maximum [Member] | Employee Share Purchase Plan 2020 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise price percentage of closing price of common shares							95.00%
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average grant-date fair value of award							$ 119.39
Units granted in period							425,900
Vested deferred RSUs outstanding		81,712			101,221		81,712		101,221	81,712
Restricted Stock Units (RSUs) [Member] | Progressive Waste Solutions Ltd. [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Units granted in period										0
Performance Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average grant-date fair value of award							$ 117.94
Units granted in period							95,038
Performance Shares [Member] | 2022 Performance Based Restricted Share Units Plan One [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period of award							3 years
Performance period end date							Dec. 31, 2024
Employee Stock Option [Member] | Progressive Waste Solutions Ltd. [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options granted in period										0
Deferred Share Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average grant-date fair value of award							$ 121.00
Units granted in period							2,094
Vested deferred RSUs outstanding		26,536					26,536			26,536	24,442
Progressive Waste Solutions Ltd. [Member] | Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vested deferred RSUs outstanding		57,829					57,829			57,829	63,032

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Shareholders' Equity (Summary of Activity Related to Restricted Stock Units) (Details)	6 Months Ended
	Jun. 30, 2022 shares
Restricted Stock Units (RSUs) [Member]
Unvested shares
Outstanding, shares at beginning	861,695
Granted	425,900
Forfeited	(34,124)
Vested and issued	(313,228)
Outstanding at ending	81,712
Outstanding, shares at ending	940,243
Performance Shares [Member]
Unvested shares
Outstanding, shares at beginning	392,043
Granted	95,038
Forfeited	(87,554)
Vested and issued	(57,677)
Outstanding, shares at ending	341,850
Progressive Waste Solutions Ltd. [Member] | Restricted Stock Units (RSUs) [Member]
Unvested shares
Outstanding at beginning	63,032
Cash settled	(5,203)
Outstanding at ending	57,829

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Shareholders' Equity (Summary of Warrant and Deferred Share Unit Activity) (Details) - Deferred Share Units [Member]	6 Months Ended
	Jun. 30, 2022 shares
Warrant
Outstanding at beginning	24,442
Granted	2,094
Outstanding at ending	26,536

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Shareholders' Equity (Summary of Vesting Activity Related to Restricted Share Units) (Details) - Restricted Stock Units (RSUs) [Member]	6 Months Ended
	Jun. 30, 2022 shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vested over remaining service period	313,228
Forfeited	(34,124)
Progressive Waste Solutions Ltd. [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Cash settled	(5,203)

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Shareholders' Equity (Summary of Stock Option Activity and Related Information) (Details) - Progressive Waste Solutions Ltd. [Member]	Jun. 30, 2022 shares
Number of Shares (Options)
Outstanding at beginning	45,869
Outstanding at ending	45,869

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Commitments and Contingencies (Narrative) (Details) T in Millions			7 Months Ended	12 Months Ended
	Aug. 10, 2018 USD ($)	Mar. 06, 2018 USD ($)	Jul. 25, 2017 USD ($)	Dec. 31, 2021 T	Jun. 30, 2022 USD ($)	Dec. 02, 2014 USD ($)
Contingencies And Commitments [Line Items]
Threshold used for disclosing environmental matters involving potential monetary sanctions					$ 1,000,000
Minimum required threshold for disclosing environmental matters involving potential monetary sanctions					300,000
Estimated clean up costs						$ 342,000,000
Bridge and Thoroughfare Fee [Member]
Contingencies And Commitments [Line Items]
Loss contingency amount sought		$ 83,000	$ 11,600,000
Noncompliance fee		$ 750
Chiquita Canyon, LLC [Member]
Contingencies And Commitments [Line Items]
Annual tons of waste accepted at landfill | T				2.5
Estimate of total new fees and other new taxes over the life of the conditional use permit					$ 300,000,000
Penalties [Member] | Bridge and Thoroughfare Fee [Member]
Contingencies And Commitments [Line Items]
Fee paid	$ 83,000
Fees [Member] | Bridge and Thoroughfare Fee [Member]
Contingencies And Commitments [Line Items]
Fee paid	$ 750

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Subsequent Events (Details) - $ / shares		6 Months Ended
	Aug. 02, 2022	Jun. 30, 2022
Subsequent Event [Line Items]
Share repurchase plan expiration date		Aug. 09, 2022
Subsequent Event [Member]
Subsequent Event [Line Items]
Dividends, date of record	Aug. 18, 2022
Dividends, date to be paid	Sep. 01, 2022
Dividends per share amount	$ 0.23
Dividends, declared date	Aug. 02, 2022