Restructuring and Other Costs

12 Months Ended

Dec. 31, 2025

Restructuring and Related Activities [Abstract]

In February 2024, we approved and initiated a global restructuring initiative designed to better align our assets and further improve the efficiency of the business. This initiative included an announced voluntary retirement offer in the U.S. in 2024, along with a rationalization and optimization of certain distribution centers, stores and other facilities. The initiative was approved and funded by our corporate office and therefore these costs are not allocated to our segments.

We incurred $254 million and $221 million in restructuring and other costs for the year ended December 31, 2025 and December 31, 2024, respectively. The table below summarizes the activity related to the global restructuring initiative.


(in thousands)	Severance and other employee costs		Other restructuring costs (1)		Total
Liability as of January 1, 2024	$	—	$	—	$	—
Restructuring and other costs	90,851		122,669		213,520
Cash payments	(69,739)		(100,433)		(170,172)
Non-cash charges	3,198		(21,311)		(18,113)
Translation	(480)		1		(479)
Liability as of December 31, 2024	$	23,830	$	926	$	24,756
Restructuring and other costs	54,543		199,418		253,961
Cash payments	(61,995)		(173,809)		(235,804)
Non-cash charges	—		(25,867)		(25,867)
Translation	1,610		41		1,651
Liability as of December 31, 2025	$	17,988	$	709	$	18,697

(1)Amount reflects professional fees, accelerated rent, facility closure costs, moving expenses and asset impairment costs that are attributable to our restructuring. The 2024 amount excludes a $7 million non-cash charge reflected in cost of goods sold for inventory liquidated rather than moved during facility consolidation in connection with the restructuring.

In light of evolving business and market conditions, we are expanding our restructuring initiatives and now expect to incur an additional $235 million to $260 million of costs in 2026 as we complete this initiative. In total, we expect to incur costs of between $710 million and $735 million related to our global restructuring initiative in 2024 - 2026.

The estimated charges that we expect to incur are subject to a number of assumptions, and actual amounts may differ materially from such estimates. We may also incur additional charges not currently contemplated due to unanticipated events that may occur, including in connection with the implementation of these initiatives.