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SEGMENTS
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
SEGMENTS SEGMENTS
The Company identifies an operating segment as a component: (i) that engages in business activities from which it may earn revenues and incur expenses; (ii) whose operating results are regularly reviewed by the Chief Operating Decision Maker (“CODM”) to make decisions about resources to be allocated to the segment and assess its performance; and (iii) that has available discrete financial information.
We have two operating segments, which are also our reportable segments: Performance Coatings and Mobility Coatings. The CODM reviews financial information at the operating segment level to allocate resources and to assess the operating results and financial performance for each operating segment. Our CODM is identified as the Chief Executive Officer because he has final authority over performance assessment and resource allocation decisions. Our segments are based on the type and concentration of customers served, service requirements, methods of distribution and major product lines.
Through our Performance Coatings segment, we provide high-quality liquid and powder coatings solutions to both large regional and global original equipment manufacturers (“OEMs”) and to a fragmented and local customer base. These customers comprise independent or multi-shop operator body shops as well as a wide variety of industrial manufacturers. We are one of only a few suppliers with the technology to provide precise color matching and highly durable coatings systems. The end-markets and reporting units within this segment are refinish and industrial.
Through our Mobility Coatings segment, we provide coatings technologies for light vehicle and commercial vehicle OEMs. These global customers are faced with evolving megatrends in electrification, sustainability, personalization and autonomous driving that require a high level of technical expertise. The OEMs require efficient, environmentally responsible coatings systems that can be applied with a high degree of precision, consistency and speed. The end-markets and reporting units within this segment are light vehicle and commercial vehicle.
Segment Adjusted EBITDA is the primary measure used by our CODM to evaluate financial performance of the operating segments and allocate resources and is therefore our measure of segment profitability in accordance with GAAP under ASC 280, Segment Reporting. Asset information is not reviewed or included with our internal management reporting. Therefore, we have not disclosed asset information for each reportable segment. The following tables present relevant information of our reportable segments.
Three Months Ended
September 30,		Nine Months Ended
September 30,
2025202420252024
Net sales (1):
Refinish$517 $554 $1,542 $1,619 
Industrial311 323 944 993 
Total Net sales Performance Coatings828 877 2,486 2,612 
Light Vehicle364 340 1,066 1,036 
Commercial Vehicle96 103 303 317 
Total Net sales Mobility Coatings460 443 1,369 1,353 
Total Net sales$1,288 $1,320 $3,855 $3,965 
Segment Adjusted EBITDA:
Performance Coatings211 221 608 640 
Mobility Coatings83 70 248 201 
Total$294 $291 $856 $841 
September 30, 2025December 31, 2024
Investment in unconsolidated affiliates:
Performance Coatings$2 $2 
Mobility Coatings10 9 
Total$12 $11 
(1)The Company has no intercompany sales between segments.
The following tables reconcile net sales to Segment Adjusted EBITDA for the periods presented:
 Three Months Ended
September 30, 2025		Nine Months Ended
September 30, 2025
Performance CoatingsMobility CoatingsTotalPerformance CoatingsMobility CoatingsTotal
Net sales
$828 $460 $1,288 $2,486 $1,369 $3,855 
Segment cost of goods sold (1)
440 295 735 1,331 879 2,210 
Other segment items (2)
177 82 259 547 242 789 
Segment Adjusted EBITDA$211 $83 $294 $608 $248 $856 
Three Months Ended
September 30, 2024		Nine Months Ended
September 30, 2024
Performance CoatingsMobility CoatingsTotalPerformance CoatingsMobility CoatingsTotal
Net sales
$877 $443 $1,320 $2,612 $1,353 $3,965 
Segment cost of goods sold (1)
461 290 751 1,400 903 2,303 
Other segment items (2)
195 83 278 572 249 821 
Segment Adjusted EBITDA$221 $70 $291 $640 $201 $841 
(1)    Certain amounts included in cost of goods sold on the consolidated statements of operations are excluded from Segment cost of goods sold regularly provided to the CODM.
(2)    Other segment items for both segments include certain cost of goods sold not regularly provided to the CODM, selling, general and administrative expenses, other operating charges, research and development expenses, and other expense (income), net. Certain amounts included in Segment cost of goods sold, including depreciation, are excluded from Segment Adjusted EBITDA and are adjusted for in other segment items.
The following table reconciles Segment Adjusted EBITDA to income before income taxes for the periods presented:
Three Months Ended
September 30,		Nine Months Ended
September 30,
2025202420252024
Segment Adjusted EBITDA (1):
Performance Coatings$211 $221 $608 $640 
Mobility Coatings83 70 248 201 
Total294 291 856 841 
Interest expense, net45 54 134 158 
Depreciation and amortization74 71 218 207 
Debt extinguishment and refinancing-related costs (a)
— — — 3 
Termination benefits and other employee-related costs (b)
2 11 22 67 
Acquisition-related costs (c)
5 4 11 8 
Site closure costs (d)
1 — 6 1 
Foreign exchange remeasurement losses (e)
4 — 11 8 
Long-term employee benefit plan adjustments (f)
3 3 9 8 
Stock-based compensation (g)
6 7 19 21 
Environmental charge (h)
2 — 2 4 
Other adjustments (i)
(3)(1)(3)(1)
Income before income taxes$155 $142 $427 $357 
(1)The primary measure of segment operating performance is Segment Adjusted EBITDA, which is defined as net income before interest, taxes, depreciation, amortization and select other items impacting operating results. These other items impacting operating results are items that management has concluded are (i) non-cash items included within net income, (ii) items the Company does not believe are indicative of ongoing operating performance or (iii) non-recurring, unusual or infrequent items that have not occurred within the last two years or the Company believes are not reasonably likely to recur within the next two years. Segment Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts and prior year financial results, providing a measure that management believes reflects the Company's core operating performance, which represents Segment EBITDA adjusted for the select items referred to above.
(a)Represents expenses and associated changes to estimates related to the prepayment, restructuring, and refinancing of our indebtedness, which are not considered indicative of our ongoing operating performance.
(b)Represents expenses and associated changes to estimates related to employee termination benefits, consulting, legal and other employee-related costs associated with restructuring programs and other employee-related costs. These amounts are not considered indicative of our ongoing operating performance.
(c)Represents acquisition-related diligence expenses associated with both consummated and unconsummated transactions, all of which are not considered indicative of our ongoing operating performance.
(d)Represents costs related to the closure of certain manufacturing sites, which we do not consider indicative of our ongoing operating performance.
(e)Represents foreign exchange losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies, net of the impacts of our foreign currency instruments used to hedge our balance sheet exposures.
(f)Represents the non-cash, non-service cost components of long-term employee benefit costs.
(g)Represents non-cash impacts associated with stock-based compensation.
(h)Represents costs related to certain environmental remediation activities, which are not considered indicative of our ongoing operating performance.
(i)Represents costs for certain non-operational or non-cash gains, net, unrelated to our core business and which we do not consider indicative of our ongoing operating performance.
Geographic Area Information:
The following tables provide disaggregated information related to our net sales and long-lived assets.
Net sales by region were as follows:
Three Months Ended
September 30,		Nine Months Ended
September 30,
2025202420252024
North America$444 $516 $1,363 $1,525 
EMEA455 430 1,370 1,351 
Asia Pacific223 212 657 621 
Latin America (1)
166 162 465 468 
Total (2)
$1,288 $1,320 $3,855 $3,965 
Net long-lived assets by region were as follows:
September 30, 2025December 31, 2024
North America$561 $539 
EMEA407 362 
Asia Pacific185 185 
Latin America (1)
126 95 
Total (3)
$1,279 $1,181 
(1)Includes Mexico.
(2)Net sales are attributed to countries based on the customer's location. Net sales to customers in China represented approximately 12%, 11%, 11% and 10% of the total net sales for the three and nine months ended September 30, 2025 and 2024, respectively. Net sales to customers in Germany represented approximately 7% of the total for the three and nine months ended September 30, 2025 and 2024. Net sales to customers in Mexico represented approximately 6% of the total for the three and nine months ended September 30, 2025 and 7% of the total for the three and nine months ended September 30, 2024. Net sales to customers in Canada, which is included in the North America region, represented approximately 3% of the total for the three and nine months ended September 30, 2025 and 2024.
(3)Long-lived assets consist of property, plant and equipment, net. Germany long-lived assets amounted to approximately $227 million and $204 million at September 30, 2025 and December 31, 2024, respectively. China long-lived assets amounted to approximately $156 million at both September 30, 2025 and December 31, 2024. Mexico long-lived assets amounted to approximately $85 million and $63 million at September 30, 2025 and December 31, 2024, respectively. Canada long-lived assets, which are included in the North America region, amounted to approximately $6 million at both September 30, 2025 and December 31, 2024.