CONTINGENT LIABILITIES AND ENVIRONMENTAL RESERVES

3 Months Ended

Dec. 31, 2025

Environmental Remediation Obligations [Abstract]

CONTINGENT LIABILITIES AND ENVIRONMENTAL RESERVES

CONTINGENT LIABILITIES AND ENVIRONMENTAL RESERVES

Environmental Reserves

As of December 31, 2025, and September 30, 2025, the Company’s environmental reserves were $17.0 million and $17.3 million, respectively (including $9.8 million for the Diamond Alkali Superfund Site in New Jersey). These reserves are principally based on environmental studies and cost estimates provided by third parties, but also take into account management estimates. The estimated liabilities are reduced to reflect the anticipated participation of other potentially responsible parties in those instances where it is probable that such parties are legally responsible and financially capable of paying their respective shares of relevant costs. For sites that involve formal actions subject to joint and several liabilities, these actions have formal agreements in place to apportion the liability. It is possible that there could be resolution of uncertainties in the future that would require the Company to record charges that could be material to future earnings.

The Company’s exposure to adverse developments with respect to any individual site is not expected to be material. Although environmental remediation could have a material effect on results of operations if a series of adverse developments occur in a particular quarter or year, the Company believes that the chance of a series of adverse developments occurring in the same quarter or year is remote. Future information and developments will require the Company to continually reassess the expected impact of these environmental matters. The Company is not a party to any pending legal proceedings that are material to its business or interim condensed consolidated financial statements.