10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

FORM 10-Q

☒ 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 001-03970

HARSCO CORPORATION

(Exact name of registrant as specified in its charter) 

Delaware			23-1483991
(State or other jurisdiction of incorporation or organization)			(I.R.S. employer identification number)
350 Poplar Church Road,	Camp Hill,	Pennsylvania	17011
(Address of principal executive offices)			(Zip Code)

Registrant’s telephone number, including area code  717-763-7064 

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 stock, par value $1.25 per share	HSC	New York Stock Exchange

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 ☒ 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 (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).   Yes ☒  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.

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 ☒

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date.

Class	Outstanding at July 29, 2022
Common stock, par value $1.25 per share	79,431,694

HARSCO CORPORATION

FORM 10-Q

INDEX

		Page
PART I — FINANCIAL INFORMATION
Item 1.	Financial Statements	4
	Condensed Consolidated Balance Sheets (Unaudited)	4
	Condensed Consolidated Statements of Operations (Unaudited)	5
	Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited)	6
	Condensed Consolidated Statements of Cash Flows (Unaudited)	7
	Condensed Consolidated Statements of Equity (Unaudited)	8
	Notes to Condensed Consolidated Financial Statements (Unaudited)	10
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	32
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	39
Item 4.	Controls and Procedures	39
PART II — OTHER INFORMATION
Item 1.	Legal Proceedings	40
Item 1A.	Risk Factors	40
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	40
Item 6.	Exhibits	41
SIGNATURES		42

2

Glossary of Defined Terms

Unless the context requires otherwise, "Harsco," the "Company," "we," "our," or "us" refers to Harsco Corporation on a consolidated basis. The Company also uses several other terms in this Quarterly Report on Form 10-Q, which are further defined below:

Term	Description
AOCI	Accumulated Other Comprehensive Income (Loss)
CERCLA	Comprehensive Environmental Response, Compensation, and Liability Act of 1980
COVID-19	The COVID-19 coronavirus pandemic
Credit Agreement	Credit Agreement governing the Senior Secured Credit Facilities
DEA	United States Drug Enforcement Agency
Deutsche Bahn	National railway company in Germany
DTSC	California Department of Toxic Substances Control
EBITDA	Earnings before interest, tax, depreciation and amortization
ESOL	Stericycle Environmental Solutions business
FASB	Financial Accounting Standards Board
IBORs	Interbank offered rates
ICMS	Type of value-added tax in Brazil
IKG	The former Harsco Industrial IKG business
ISDA	International Swaps and Derivatives Association
LIBOR	London Interbank Offered Rates
Network Rail	Infrastructure manager for most of the railway in the U.K.
New Term Loan	$500 million term loan raised in March 2021 under the Senior Secured Credit Facilities, maturing on March 10, 2028
OCI	Other Comprehensive Income (Loss)
PA DEP	Pennsylvania Department of Environmental Protection
Revolving Credit Facility	Multi-year revolving credit facility under the Senior Secured Credit Facility, with a facility limit of $700 million
ROU	Right of use
SBB	Federal railway system of Switzerland
SCE	Supreme Council for Environment in Bahrain
SEC	Securities and Exchange Commission
Senior Notes	5.75% Notes due July 31, 2027
Senior Secured Credit Facilities	Primary source of borrowings comprised of the Revolving Credit Facility and the New Term Loan
SPRA	State Revenue Authorities from the State of São Paulo, Brazil
TSDF	Treatment, storage, and disposal facility permits issued under the Resource Conservation and Recovery Act
U.S. GAAP	Accounting principles generally accepted in the U.S.

3

PART I — FINANCIAL INFORMATION

ITEM 1.      FINANCIAL STATEMENTS

HARSCO CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)

(In thousands)	June 30 2022		December 31 2021
ASSETS
Current assets:
Cash and cash equivalents	$	96,782	$	82,908
Restricted cash	4,025		4,220
Trade accounts receivable, net	267,747		377,881
Other receivables	28,174		33,059
Inventories	80,999		70,493
Prepaid expenses	21,906		31,065
Current portion of assets held-for-sale	263,913		265,413
Other current assets	26,508		9,934
Total current assets	790,054		874,973
Property, plant and equipment, net	637,480		653,913
Right-of-use assets, net	104,212		101,576
Goodwill	759,439		883,109
Intangible assets, net	382,741		402,801
Deferred income tax assets	16,551		17,883
Assets held-for-sale	65,079		71,234
Other assets	43,403		48,419
Total assets	$	2,798,959	$	3,053,908
LIABILITIES
Current liabilities:
Short-term borrowings	$	2,196	$	7,748
Current maturities of long-term debt	17,952		10,226
Accounts payable	213,037		186,126
Accrued compensation	40,744		48,165
Current portion of operating lease liabilities	26,073		25,590
Current portion of liabilities of assets held-for-sale	151,369		161,999
Other current liabilities	147,022		161,537
Total current liabilities	598,393		601,391
Long-term debt	1,302,857		1,359,446
Retirement plan liabilities	60,424		93,693
Operating lease liabilities	77,104		74,571
Liabilities of assets held-for-sale	7,827		8,492
Environmental liabilities	26,669		28,435
Deferred tax liabilities	27,372		33,826
Other liabilities	46,610		48,284
Total liabilities	2,147,256		2,248,138
COMMITMENTS AND CONTINGENCIES
HARSCO CORPORATION STOCKHOLDERS’ EQUITY
Common stock	145,319		144,883
Additional paid-in capital	221,117		215,528
Accumulated other comprehensive loss	(573,872)		(560,139)
Retained earnings	1,649,080		1,794,510
Treasury stock	(848,320)		(846,622)
Total Harsco Corporation stockholders’ equity	593,324		748,160
Noncontrolling interests	58,379		57,610
Total equity	651,703		805,770
Total liabilities and equity	$	2,798,959	$	3,053,908

See accompanying notes to unaudited condensed consolidated financial statements.

4

HARSCO CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands, except per share amounts)	2022		2021		2022			2021
Revenues from continuing operations:
Service revenues	$	439,618	$	429,651	$	858,053		$	843,990
Product revenues	41,434		39,023		75,796			71,949
Total revenues	481,052		468,674		933,849			915,939
Costs and expenses from continuing operations:
Cost of services sold	368,994		344,982		715,351			674,835
Cost of products sold	34,205		30,466		64,867			57,980
Selling, general and administrative expenses	67,935		70,805		137,088			142,419
Research and development expenses	296		323		352			480
Goodwill impairment charge	104,580		—		104,580			—
Other (income) expenses, net	2,045		(4,167)		866			(5,158)
Total costs and expenses	578,055		442,409		1,023,104			870,556
Operating income (loss) from continuing operations	(97,003)		26,265		(89,255)			45,383
Interest income	693		577		1,337			1,124
Interest expense	(16,692)		(15,643)		(31,784)			(31,899)
Facility fees and debt-related income (expense)	2,149		(50)		1,617			(5,308)
Defined benefit pension income	2,247		3,956		4,657			7,890
Income (loss) from continuing operations before income taxes and equity income	(108,606)		15,105		(113,428)			17,190
Income tax benefit (expense) from continuing operations	3,115		(4,797)		1,894			(6,898)
Equity income (loss) of unconsolidated entities, net	(114)		(76)		(245)			(195)
Income (loss) from continuing operations	(105,605)		10,232		(111,779)			10,097
Discontinued operations:
Income (loss) from discontinued businesses	1,879		8,239		(37,218)			11,603
Income tax benefit (expense) from discontinued businesses	(770)		(3,391)		5,821			(5,055)
Income (loss) from discontinued operations, net of tax	1,109		4,848		(31,397)			6,548
Net income (loss)	(104,496)		15,080		(143,176)			16,645
Less: Net (income) loss attributable to noncontrolling interests	(1,095)		(1,692)		(2,254)			(3,122)
Net income (loss) attributable to Harsco Corporation	$	(105,591)	$	13,388	$	(145,430)		$	13,523
Amounts attributable to Harsco Corporation common stockholders:
Income (loss) from continuing operations, net of tax	$	(106,700)	$	8,540	$	(114,033)		$	6,975
Income (loss) from discontinued operations, net of tax	1,109		4,848		(31,397)			6,548
Net income (loss) attributable to Harsco Corporation common stockholders	$	(105,591)	$	13,388	$	(145,430)		$	13,523
Weighted-average shares of common stock outstanding	79,509		79,265		79,437			79,177
Basic earnings (loss) per common share attributable to Harsco Corporation common stockholders:
Continuing operations	$	(1.34)	$	0.11	$	(1.44)		$	0.09
Discontinued operations	0.01		0.06		(0.40)			0.08
Basic earnings (loss) per share attributable to Harsco Corporation common stockholders	$	(1.33)	$	0.17	$	(1.83)	(a)	$	0.17
Diluted weighted-average shares of common stock outstanding	79,509		80,774		79,437			80,397
Diluted earnings (loss) per common share attributable to Harsco Corporation common stockholders:
Continuing operations	$	(1.34)	$	0.11	$	(1.44)		$	0.09
Discontinued operations	0.01		0.06		(0.40)			0.08
Diluted earnings (loss) per share attributable to Harsco Corporation common stockholders	$	(1.33)	$	0.17	$	(1.83)	(a)	$	0.17

(a) Does not total due to rounding

See accompanying notes to unaudited condensed consolidated financial statements.

5

HARSCO CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited)

	Three Months Ended
	June 30
(In thousands)	2022		2021
Net income (loss)	$	(104,496)	$	15,080
Other comprehensive income (loss):
Foreign currency translation adjustments, net of deferred income taxes of $(4,616) and $552 in 2022 and 2021, respectively	(58,646)		15,446
Net gain (loss) on cash flow hedging instruments, net of deferred income taxes of $(301) and $(158) in 2022 and 2021, respectively	720		234
Pension liability adjustments, net of deferred income taxes of $(312) and $(358) in 2022 and 2021, respectively	28,810		2,225
Unrealized gain on marketable securities, net of deferred income taxes of $4 and $(2) in 2022 and 2021, respectively	(10)		8
Total other comprehensive income (loss)	(29,126)		17,913
Total comprehensive income (loss)	(133,622)		32,993
Comprehensive income attributable to noncontrolling interests	1,808		(2,365)
Comprehensive income (loss) attributable to Harsco Corporation	$	(131,814)	$	30,628

	Six Months Ended
	June 30
(In thousands)	2022		2021
Net income (loss)	$	(143,176)	$	16,645
Other comprehensive income (loss):
Foreign currency translation adjustments, net of deferred income taxes of $(6,454) and $1,175 in 2022 and 2021, respectively	(61,493)		12,150
Net gain (loss) on cash flow hedging instruments, net of deferred income taxes of $(631) and $(302) in 2022 and 2021, respectively	1,860		923
Pension liability adjustments, net of deferred income taxes of $(664) and $(696) in 2022 and 2021, respectively	42,528		6,044
Unrealized gain (loss) on marketable securities, net of deferred income taxes of $4 and $(9) in 2022 and 2021, respectively	(13)		25
Total other comprehensive income (loss)	(17,118)		19,142
Total comprehensive income (loss)	(160,294)		35,787
Less: Comprehensive income attributable to noncontrolling interests	1,131		(2,729)
Comprehensive income (loss) attributable to Harsco Corporation	$	(159,163)	$	33,058

See accompanying notes to unaudited condensed consolidated financial statements.

6

HARSCO CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

	Six Months Ended June 30
(In thousands)	2022		2021
Cash flows from operating activities:
Net income (loss)	$	(143,176)	$	16,645
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation	66,067		64,904
Amortization	17,067		17,783
Deferred income tax (benefit) expense	(10,396)		(6,407)
Equity (income) loss of unconsolidated entities, net	245		195
Dividends from unconsolidated entities	526		—
(Gain) loss on early extinguishment of debt	(2,254)		2,668
Goodwill impairment charge	104,580		—
Other, net	1,020		(2,149)
Changes in assets and liabilities, net of acquisitions and dispositions of businesses:
Accounts receivable	87,607		(23,484)
Income tax refunds receivable, reimbursable to seller	7,687		—
Inventories	(8,435)		15,456
Contract assets	7,836		(37,866)
Right-of-use assets	14,383		13,897
Accounts payable	18,847		(13,491)
Accrued interest payable	(740)		(137)
Accrued compensation	(5,884)		4,701
Advances on contracts	(13,626)		(13,351)
Operating lease liabilities	(14,095)		(13,506)
Retirement plan liabilities, net	(21,587)		(27,858)
Other assets and liabilities	12,067		15,530
Net cash provided by operating activities	117,739		13,530
Cash flows from investing activities:
Purchases of property, plant and equipment	(61,791)		(68,646)
Proceeds from sales of assets	6,591		10,042
Expenditures for intangible assets	(100)		(132)
Proceeds from notes receivable	8,605		6,400
Net proceeds (payments) from settlement of foreign currency forward exchange contracts	4,999		(978)
Payments for settlements of interest rate swaps	(2,123)		—
Other investing activities, net	153		133
Net cash used by investing activities	(43,666)		(53,181)
Cash flows from financing activities:
Short-term borrowings, net	(31)		4,444
Current maturities and long-term debt:
Additions	104,961		465,518
Reductions	(152,861)		(413,481)
Dividends paid to noncontrolling interests	—		(3,094)
Sale of noncontrolling interests	1,901		—
Stock-based compensation - Employee taxes paid	(1,698)		(3,172)
Payment of contingent consideration	(6,915)		—
Deferred financing costs	—		(7,828)
Other financing activities, net	—		(601)
Net cash (used) provided by financing activities	(54,643)		41,786
Effect of exchange rate changes on cash and cash equivalents, including restricted cash	(5,751)		483
Net increase in cash and cash equivalents, including restricted cash	13,679		2,618
Cash and cash equivalents, including restricted cash, at beginning of period	87,128		79,669
Cash and cash equivalents, including restricted cash, at end of period	$	100,807	$	82,287
Supplementary cash flow information:
Change in accrual for purchases of property, plant and equipment included in accounts payable	$	6,836	$	2,158

See accompanying notes to unaudited condensed consolidated financial statements.

7

HARSCO CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (Unaudited)

	Harsco Corporation Stockholders’ Equity
	Common Stock				Additional Paid-in Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Noncontrolling Interests
(In thousands, except share  amounts)	Issued		Treasury										Total
Balances, December 31, 2020	$	144,288	$	(843,230)	$	204,078	$	1,797,759	$	(645,741)	$	56,245	$	713,399
Net income							135				1,430		1,565
Total other comprehensive income (loss), net of deferred income taxes of $134									2,295		(1,066)		1,229
Stock appreciation rights exercised, net 3,842 shares	9		(70)		(9)								(70)
Vesting of restricted stock units and other stock grants, net 144,967 shares	312		(1,850)		(312)								(1,850)
Vesting of performance share units, net 69,127 shares	155		(1,032)		(155)								(1,032)
Amortization of unearned portion of stock-based compensation, net of forfeitures					3,342								3,342
Balances, March 31, 2021	144,764		(846,182)		206,944		1,797,894		(643,446)		56,609		716,583
Net income							13,388				1,692		15,080
Cash dividends declared:
Noncontrolling interests											(3,094)		(3,094)
Total other comprehensive income, net of deferred income taxes of $34									17,240		673		17,913
Stock appreciation rights exercised, net 13,061 shares	28		(219)		(28)								(219)
Vesting of restricted stock units and other stock grants, net 34,986 shares	44				(44)								—
Amortization of unearned portion of stock-based compensation, net of forfeitures					3,120								3,120
Balances, June 30, 2021	$	144,836	$	(846,401)	$	209,992	$	1,811,282	$	(626,206)	$	55,880	$	749,383

8

	Harsco Corporation Stockholders’ Equity
(In thousands, except share amounts)	Common Stock				Additional Paid-in Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Noncontrolling Interests
	Issued		Treasury										Total
Balances, December 31, 2021	$	144,883	$	(846,622)	$	215,528	$	1,794,510	$	(560,139)	$	57,610	$	805,770
Net income							(39,839)				1,159		(38,680)
Total other comprehensive income (loss), net of deferred income taxes of $(2,520)									12,490		(482)		12,008
Vesting of restricted stock units and other stock grants, net 176,253 shares	378		(1,632)		(378)								(1,632)
Amortization of unearned portion of stock-based compensation, net of forfeitures					3,629								3,629
Balances, March 31, 2022	145,261		(848,254)		218,779		1,754,671		(547,649)		58,287		781,095
Net income							(105,591)				1,095		(104,496)
Total other comprehensive income, net of deferred income taxes of $(5,225)									(26,223)		(2,903)		(29,126)
Contributions from noncontrolling interests											1,900		1,900
Stock appreciation rights exercised, net 16,671 shares	29		(66)		(29)								(66)
Vesting of restricted stock units and other stock grants, net 23,224 shares	29				(29)								—
Amortization of unearned portion of stock-based compensation, net of forfeitures					2,396								2,396
Balances, June 30, 2022	$	145,319	$	(848,320)	$	221,117	$	1,649,080	$	(573,872)	$	58,379	$	651,703

See accompanying notes to unaudited condensed consolidated financial statements.

9

HARSCO CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

1.     Basis of Presentation

The Company has prepared these unaudited condensed consolidated financial statements in accordance with U.S. GAAP for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X of the SEC. Accordingly, the unaudited condensed consolidated financial statements do not include all information and disclosure required by U.S. GAAP for annual financial statements. The December 31, 2021 Condensed Consolidated Balance Sheet information contained in this Quarterly Report on Form 10-Q was derived from the 2021 audited consolidated financial statements.  The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements, including the notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. In the opinion of management, all adjustments (all of which are of a normal recurring nature) that are necessary for a fair statement are reflected in the unaudited condensed consolidated financial statements. 

The components of the Condensed Consolidated Statements of Operations caption Facility fees and debt-related income (expense) were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(in thousands)	2022		2021		2022		2021
Gain (loss) on extinguishment of debt	$	2,254	$	—	$	2,254	$	(2,668)
Unused debt commitment and amendment fees	(6)		(50)		(538)		(2,640)
Securitization and factoring fees	(99)		—		(99)		—
Facility fees and debt-related income (expense)	$	2,149	$	(50)	$	1,617	$	(5,308)

Liquidity

The Company’s cash flow forecasts, combined with existing cash and cash equivalents, indicate sufficient liquidity to fund the Company’s operations for at least the next twelve months. As such, the Company’s consolidated financial statements have been prepared on the basis that it will continue as a going concern for a period extending beyond twelve months from the date the consolidated financial statements are issued. This assessment includes the expected ability to meet required financial covenants and the continued ability to draw down on the Senior Secured Credit Facilities (see Note 9).

Reclassifications

Certain reclassifications have been made to prior year amounts to conform with current year classifications.

During the second quarter of 2022, the Company recognized $2.6 million in service revenues as an out-of-period adjustment in the Harsco Clean Earth Segment. The adjustment was not considered material to the interim or annual consolidated financial statements for the interim periods ended June 30, 2022 or the financial statements of any previously filed interim or annual periods.

2.     Recently Adopted and Recently Issued Accounting Standards

The following accounting standards have been adopted in 2022:

On January 1, 2022, the Company adopted changes issued by the FASB which simplified the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts on an entity's own equity. The adoption of these changes did not have a material impact on the Company's condensed consolidated financial statements.

On January 1, 2022, the Company adopted changes issued by the FASB which improve the transparency of government assistance received by entities. Other than expanded annual disclosures, the adoption of these changes did not have a material impact on the Company's consolidated financial statements.

The following accounting standard has been issued and becomes effective for the Company at a future date:

10

In March 2020, the FASB issued changes that provide companies with optional guidance to ease the potential accounting burden associated with transitioning from reference rates that are expected to be discontinued. In response to the concerns about risks of IBORs and, particularly, the risk of cessation of LIBOR, regulators in several jurisdictions around the world have undertaken reference rate reform initiatives to identify alternative reference rates that are more observable or transaction-based and less susceptible to manipulation. The changes provide optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. In January 2021, the FASB issued additional clarification changes. The changes can be adopted no later than December 31, 2022 with early adoption permitted. Management does not believe these changes will have a material impact on the Company's consolidated financial statements.

3. Dispositions

Harsco Rail Segment

In November 2021, the Company announced its intention to sell its Rail business. The sales process was ongoing during the second quarter of 2022. The former Harsco Rail Segment has historically been a separate reportable segment with primary operations in the United States, Europe and Asia Pacific.

The former Harsco Rail Segment's balance sheet positions as of June 30, 2022 and December 31, 2021 are presented as Assets held-for-sale and Liabilities of assets held-for-sale in the Condensed Consolidated Balance Sheets and are summarized as follows:

(in thousands)	June 30 2022		December 31 2021
Trade accounts receivable, net	$	44,953	$	33,689
Other receivables	4,102		4,740
Inventories	97,916		103,560
Current portion of contract assets	89,867		94,597
Other current assets	26,463		25,442
Property, plant and equipment, net	39,993		39,524
Right-of-use assets, net	2,308		3,108
Goodwill	13,026		13,026
Intangible assets, net	2,883		3,081
Deferred income tax assets	5,690		6,064
Other assets	1,179		6,432
Total Rail assets included in Assets held-for-sale	$	328,380	$	333,263
Accounts payable	$	38,906	$	46,076
Accrued compensation	1,995		2,171
Current portion of operating lease liabilities	1,229		1,619
Current portion of advances on contracts	44,817		62,401
Other current liabilities	64,422		49,732
Operating lease liabilities	1,246		1,775
Deferred tax liabilities	5,699		5,736
Other liabilities	882		981
Total Rail liabilities included in Liabilities of assets held-for-sale	$	159,196	$	170,491

11

The results of the former Harsco Rail Segment are presented as discontinued operations and, as such, have been excluded from both continuing operations and segment results for the three and six months ended June 30, 2022, and 2021. Certain key selected financial information included in Income (loss) from discontinued operations, net of tax for the former Harsco Rail Segment is as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Amounts directly attributable to the former Harsco Rail Segment:
Service revenues	$	7,488	$	7,081	$	14,198	$	17,190
Product revenues (a)	64,396		94,065		109,392		165,546
Cost of services sold	4,589		3,527		9,264		8,180
Cost of products sold	53,260		75,396		126,421		134,458
Income (loss) from discontinued businesses	5,163		9,690		(30,732)		14,845
Additional amounts allocated to the former Harsco Rail Segment:
Selling, general and administrative expenses (b)	$	1,862	$	—	$	3,511	$	—

(a) The decrease in product revenues for the six months ended June 30, 2022 as compared to the six months ended June 30, 2021 is due to liquidated damages and penalties on certain long-term contracts, as discussed below.

(b) The Company has allocated directly attributable transaction costs to discontinued operations.

The Company has retained corporate overhead expenses previously allocated to the former Harsco Rail Segment of $1.1 million and $2.1 million for each of the three and six months ended June 30, 2022, and 2021, respectively, as part of Selling, general and administrative expenses on the Condensed Consolidated Statements of Operations.

The Company's former Harsco Rail Segment is currently manufacturing highly-engineered equipment under large long-term fixed-price contracts with SBB, Network Rail, and Deutsche Bahn. As disclosed previously, in the fourth quarter of 2021, the Company recognized an estimated forward loss provision of $33.4 million related to these contracts. In the first quarter of 2022, the Company encountered continued supply chain related delays and additional costs in the build of the machines.

For the Network Rail contracts, the Company encountered additional supply chain delays in the build of the initial machine, and there were further changes to the production schedule based on the manufacturing experience gained from assembling the first unit during the quarter which had a cascading effect on the delivery schedule of remaining machines. During the three and six months ended June 30, 2022, the Company recorded forward loss provisions of $0.3 million and $24.5 million, respectively, principally for additional estimated contractual liquidated damages. The Company continues to negotiate with Network Rail regarding a reduction to these liquidated damages, which could result in additional favorable or unfavorable adjustments in future periods.

For the Deutsche Bahn contract, on March 8, 2022 a European-based supplier of critical components to the project indicated it would be significantly late on the delivery of these components to the project, which has the impact of delaying the overall delivery schedule for the project. As a result, the Company recorded an additional $7.4 million estimated forward loss provision during the first quarter of 2022 due principally to the estimated contractual penalties that would be triggered by this delay. Additionally, this supplier filed for bankruptcy during the second quarter of 2022, although it continues to operate. Should this supplier cease operations, the Company many incur further losses if there are additional costs to change suppliers, an inability to recover the value of prepayments made to the supplier, as well as additional penalties and damages under the contract with Deutsche Bahn in the event of further production delays.

For the second SBB contract, the Company recorded an additional $3.5 million forward estimated loss provision during the first quarter of 2022 due to additional supply chain delays and cost overruns.

The estimated forward loss provisions represent the Company's best estimate based on currently available information. It is possible that the Company's overall estimate of liquidated damages, penalties and costs to complete these contracts may change, which would result in an additional estimated forward loss provision at such time.

The first contract with SBB is complete, and the second contract is 81% complete as of June 30, 2022. The contracts with Network Rail and Deutsche Bahn are 48% and 26% complete, respectively, as of June 30, 2022.

12

The following is selected financial information included on the Condensed Consolidated Statements of Cash Flows attributable to the former Harsco Rail Segment:

	Six Months Ended June 30
(In thousands)	2022		2021
Non-cash operating items
Depreciation and amortization	$	—	$	2,588
Cash flows from investing activities
Purchases of property, plant and equipment	1,031		800

4.    Accounts Receivable and Note Receivable

Accounts receivable consist of the following:

	June 30 2022		December 31 2021
Trade accounts receivable (a)	$	275,946	$	389,535
Less: Allowance for expected credit losses (a)	(8,199)		(11,654)
Trade accounts receivable, net	$	267,747	$	377,881
Other receivables (b)	$	28,174	$	33,059

(a) The December 31, 2021 amounts for trade accounts receivable and allowance for expected credit losses have been corrected from their previous presentation. These corrections did not impact the amount of the allowance for expected credit losses recorded in the June 30, 2022 Condensed Consolidated Balance Sheets or the Condensed Consolidated Statement of Operations for the three and six months ended June 30, 2022.

(b) Other receivables include employee receivables, insurance receivable, tax claims and refunds and other miscellaneous items not included in Trade accounts receivable, net.

The provision for expected credit losses related to trade accounts receivable was as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Provision for expected credit losses and doubtful accounts related to trade accounts receivable	$	(268)	$	74	$	57	$	728

At June 30, 2022, $5.6 million of the Company's trade accounts receivable were past due by twelve months or more, with $2.9 million of this amount reserved. Collection of the remaining balance is still ultimately expected.

Accounts Receivable Securitization Facility

On June 24, 2022, the Company entered into a trade receivables securitization facility (“AR Facility”) to accelerate cash flows from trade accounts receivable. Under the AR Facility, the Company and its subsidiaries continuously sell their trade receivables as they are originated to a wholly-owned special purpose entity (“SPE”). The SPE transfers ownership and control of qualifying receivables to PNC Bank, National Association (“PNC”) and other unaffiliated purchasers in exchange for cash. None of the assets or credit of the SPE is available to satisfy the debts and obligations owed to the creditors of the Company or any other person until the obligations of the SPE under the facility have been satisfied. The Company controls and consolidates the SPE in its condensed consolidated financial statements. The AR Facility has a term of three years.

As cash is collected on the trade receivables, the SPE has the ability to continuously transfer ownership and control of new qualifying receivables to PNC and the other unaffiliated purchasers such that the total outstanding balance of trade receivables sold can be up to $150 million at any point in time, which is the maximum purchase commitment of PNC and the other unaffiliated purchasers. The future outstanding balance of trade receivables that are sold is expected to vary based on the level of activity and other factors and could be less than the maximum purchase commitment of $150 million. The Company accounts for receivables sold under the AR Facility as a sale of financial assets and derecognizes these trade receivables from the Company’s Condensed Consolidated Balance Sheets. The total outstanding balance of trade receivables that have been sold and derecognized by the SPE is $120 million as of June 30, 2022. The SPE owned $92.0 million of trade receivables as of June 30, 2022, and these amounts are included in the caption Trade accounts receivable, net on the Condensed Consolidated Balance Sheets. The Company continues to be involved with the trade receivables after they are sold to PNC by acting as servicer.

13

The fees incurred for the AR Facility are included in Facility fees and debt-related income (expense) on the Condensed Consolidated Statements of Operations. See Note 1, Basis of Presentation, for additional details. The Company capitalized fees of $1.8 million related to the securitization facility, which will be amortized over the term of the agreement.

Upon execution of the AR Facility during the second quarter of 2022, the Company received proceeds of $120.0 million, which is presented as a cash flow from operating activities in the Condensed Consolidated Statements of Cash Flows.

Factoring Arrangement

The Company maintains a factoring arrangement with a financial institution to sell certain accounts receivable that are also accounted for as a sale of financial assets. At June 30, 2022 and December 31, 2021, the amounts outstanding under the arrangement was $12.6 million and $12.9 million, respectively, under a program capacity of $18.8 million and $16.5 million, respectively.

Note Receivable

In January 2020 the Company sold IKG for $85.0 million including cash and a note receivable, subject to post-closing adjustments. The note receivable from the buyer has a face value of $40.0 million, bearing interest at 2.50%, that is paid in kind and matures on January 31, 2027. Any unpaid principal, along with any accrued but unpaid interest is payable at maturity. Prepayment is required in case of a change in control or a percentage of excess cash flow, as defined in the note receivable agreement. Because there are no scheduled payments under the terms of the note receivable, the balance is not classified as current as of June 30, 2022 and is included in the caption Other assets on the Condensed Consolidated Balance Sheet. The initial fair value of the note receivable was $34.3 million which was calculated using an average of various discounted cash flow scenarios based on anticipated timing of repayments (Level 3) and was a non-cash transaction. The note receivable is subsequently measured at amortized cost. Key inputs into the valuation model include: projected timing and amount of cash flows, pro forma debt rating, option-adjusted spread and U.S. Treasury spot rate. During the three and six months ended June 30, 2022, the Company received a payment of $8.6 million related to excess cash flow. At June 30, 2022 the amortized cost of the note receivable was $23.2 million, compared with a fair value of $23.3 million.

(In thousands)	June 30 2022		December 31 2021
Note receivable	$	23,205	$	31,025

5.    Inventories

Inventories consist of the following:

(In thousands)	June 30 2022		December 31 2021
Finished goods	$	8,821	$	8,323
Work-in-process	4,894		5,393
Raw materials and purchased parts	27,866		21,188
Stores and supplies	39,418		35,589
Total inventories	$	80,999	$	70,493

6.     Property, Plant and Equipment

Property, plant and equipment consist of the following:

(In thousands)	June 30 2022		December 31 2021
Land	$	72,678	$	73,067
Land improvements	16,706		16,970
Buildings and improvements	218,950		221,236
Machinery and equipment	1,490,695		1,507,214
Uncompleted construction	61,594		63,816
Gross property, plant and equipment	1,860,623		1,882,303
Less: Accumulated depreciation	(1,223,143)		(1,228,390)
Property, plant and equipment, net	$	637,480	$	653,913

14

In the third quarter of 2020, a customer of the Harsco Environmental Segment in China ceased steel making operations at its steel mill site in order to relocate the operations to a new site, as a result of a government mandate to improve environmental conditions of the area. The Company continues to provide services to the same customer at the new site. The net book value of the idled equipment associated with the previous location is approximately $19 million. The customer has entered into an agreement with the government where it will receive compensation for the losses the customer has incurred as a result of the forced shutdown. The Company has continued discussions with the customer regarding compensation, which are expected to be protracted. While the customer has initially indicated that they will not provide compensation, the Company and the customer continue to discuss and the Company is evaluating its legal position. In addition, there may be other avenues of pursuing recovery, including seeking relief directly from the local government. Considering the ongoing discussions with the customer, and other available avenues, the Company believes it will recover the book value of the equipment and thus does not believe it has an asset impairment as of June 30, 2022. The Company continues to evaluate changes in facts and circumstances and will record any impairment charge, when and if indicated.

7. Leases

The components of lease expense were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Finance leases:
Amortization expense	$	979	$	474	$	1,957	$	949
Interest on lease liabilities	182		109		365		211
Operating leases	8,432		7,933		16,501		15,829
Variable and short-term lease expense	11,986		13,024		25,329		25,126
Sublease income	(1)		(2)		(3)		(51)
Total lease expense from continuing operations	$	21,578	$	21,538	$	44,149	$	42,064

As of June 30, 2022, the Company had additional operating leases for equipment that had not yet commenced with estimated operating lease obligations of approximately $19 million to be recognized upon anticipated lease commencement in the third and fourth quarters of 2022.

8.     Goodwill and Other Intangible Assets

The following table reflects the changes in carrying amounts of goodwill by segment for the six months ended June 30, 2022:

(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Balance at December 31, 2021	$	399,230	$	483,879	$	883,109
Goodwill impairment	—		(104,580)		(104,580)
Foreign currency translation	(19,090)		—		(19,090)
Balance at June 30, 2022	$	380,140	$	379,299	$	759,439

The Company tests for goodwill impairment annually, or more frequently if indicators of impairment exist, or if a decision is made to dispose of a business.  The Company performs its annual goodwill impairment test as of October 1 and monitors for triggering events on an ongoing basis.

15

As of June 30, 2022, the Company determined that an interim test of goodwill was required. The triggering event was principally due to lower near-term earnings expectations due to the impacts of inflation. The Company used a discounted cash flow model (“DCF model”) to estimate the current fair value of the Clean Earth reporting unit (Level 3), which is defined as the Clean Earth Segment. A number of significant assumptions and estimates are involved in the preparation of DCF models including future revenues and operating margin growth, the weighted-average cost of capital (“WACC”), tax rates, capital spending, pension funding, the impact of business initiatives and working capital projections. The DCF model is based on approved forecasts for the early years and historical relationships and projections for later years. The WACC rate is derived from internal and external factors including, but not limited to, the average market price of the Company's stock, shares outstanding, book value of the Company's debt, the long-term risk-free interest rate, and both market and size-specific risk premiums. As a result of this testing, the Company recorded a goodwill impairment charge of $104.6 million for the Clean Earth Segment in the second quarter of 2022. This charge had no impact on the Company's cash flows or compliance with debt covenants.    

For the Harsco Environmental Segment and the Rail business, the Company determined that, as of June 30, 2022, no interim goodwill impairment testing was necessary.  However, a continued economic downturn, including continued cost inflation and labor shortages could impact the Company's future projected cash flows used to estimate fair value, which could result in an impairment charge to any of the Company's segments in a future period.

Other Intangibles

Because of lower-than-expected results for the Altek Group of the Harsco Environmental Segment for 2021 due to the timing of customer orders, the Company tested Altek's asset group's recoverability in the fourth quarter of 2021 and no impairment was recorded. The long-lived assets (other than goodwill) of the Altek Group within the Harsco Environmental Segment primarily consist of intangible assets which have a carrying value of approximately $33 million at June 30, 2022. The Company has not identified any triggering events for the Altek asset group in the second quarter of 2022. However, if actual results prove inconsistent with the Company’s assumptions and judgments of the projected cash flows, it could result in impairment of the Altek intangible assets in future periods.

9. Debt and Credit Agreements

On February 22, 2022, the Company amended its Senior Secured Credit Facilities to reset the levels of its net debt to consolidated adjusted EBITDA ratio covenant. As a result of this amendment, the total net debt to consolidated adjusted EBITDA ratio covenant was set at 5.50 for the quarter ending June 30, 2022, and decreases quarterly by 0.25 until reaching 4.00 for the quarter ending December 31, 2023 and thereafter. In addition, upon closing on the divestiture of the former Harsco Rail Segment, the total net debt to consolidated adjusted EBITDA ratio covenant will decrease by an additional 0.25, provided, however, it will not go below 4.00 and a minimum consolidated adjusted EBITDA to consolidated interest charges ratio covenant, which is not to be less than 3.0. At June 30, 2022 the Company was in compliance with these covenants, as the total net debt to consolidated adjusted EBITDA ratio (as defined in the Credit Agreement) was 4.98 and total interest coverage ratio was 3.8.

The Company believes it will continue to maintain compliance with these covenants based on its current outlook. However, the Company’s estimates of compliance with these covenants could change in the future with a continued deterioration in economic conditions or an inability to successfully execute its plans to realize increased pricing and to implement cost reduction initiatives that substantially mitigate the impacts of inflation and other factors adversely impacting its realized operating margins.

In connection with entering into the AR Facility on June 24, 2022, the Company amended its Senior Secured Credit Facilities to increase the permitted maximum outstanding amount of a securitization facility to $150 million and certain other covenants and definitions were modified to facilitate the AR Facility.

16

In June 2022, the Company repurchased $25.0 million of its 5.75% Senior Notes on the open market at a discount for $22.4 million. The Company recognized a gain on the extinguishment of debt of $2.3 million, net of the write-off of $0.3 million of previously recorded deferred financing costs, in the caption Facility fees and debt-related income (expense) on the Condensed Consolidated Statement of Operations.

Long-term debt consists of the following:

(In thousands)	June 30 2022		December 31 2021
Senior Secured Credit Facilities:
New Term Loan	$	495,000	$	497,500
Revolving Credit Facility	341,000		362,000
5.75% Senior Notes	475,000		500,000
Other financing payable (including finance leases) in varying amounts	26,392		28,389
Total debt obligations	1,337,392		1,387,889
Less: deferred financing costs	(16,583)		(18,217)
Total debt obligations, net of deferred financing costs	1,320,809		1,369,672
Less: current maturities of long-term debt	(17,952)		(10,226)
Long-term debt	$	1,302,857	$	1,359,446

10.  Employee Benefit Plans

	Three Months Ended
	June 30
Defined Benefit Pension Plan Net Periodic Pension Cost (Benefit)	U.S. Plans				International Plans
(In thousands)	2022		2021		2022		2021
Service costs	$	—	$	—	$	417	$	467
Interest costs	1,429		1,203		4,128		3,205
Expected return on plan assets	(2,698)		(3,050)		(9,720)		(11,392)
Recognized prior service costs	—		—		113		128
Recognized actuarial losses	1,183		1,385		3,313		4,586
Defined benefit pension plan net periodic pension cost (benefit)	$	(86)	$	(462)	$	(1,749)	$	(3,006)

	Six Months Ended
	June 30
Defined Benefit Pension Plans Net Periodic Pension Cost (Benefit)	U.S. Plans				International Plans
(In thousands)	2022		2021		2022		2021
Service costs	$	—	$	—	$	849	$	929
Interest costs	2,858		2,406		8,522		6,382
Expected return on plan assets	(5,397)		(6,100)		(20,104)		(22,723)
Recognized prior service costs	—		—		233		255
Recognized actuarial losses	2,366		2,770		6,857		9,149
Defined benefit pension plans net periodic pension cost (benefit)	$	(173)	$	(924)	$	(3,643)	$	(6,008)

	Three Months Ended				Six Months Ended
Company Contributions	June 30				June 30
(In thousands)	2022		2021		2022		2021
Defined benefit pension plans (U.S.)	$	441	$	451	$	887	$	3,317
Defined benefit pension plans (International)	4,230		4,301		15,587		16,923
Multiemployer pension plans	478		421		935		861
Defined contribution pension plans	3,135		3,051		6,929		6,430

The Company's estimate of expected cash contributions to be paid during the remainder of 2022 for the U.S. and international defined benefit pension plans is $0.9 million and $6.6 million, respectively.

17

11.     Income Taxes 

Income tax benefit related to continuing operations for the three and six months ended June 30, 2022 was $3.1 million and $1.9 million, respectively. Income tax expense related to continuing operations for the three and six months ended June 30, 2021 was $4.8 million and $6.9 million, respectively. The change in the income tax benefit for the three and six months ended June 30, 2022 compared with the income tax expense for the three months and six months ended June 30, 2021 is the result of lower taxable income, primarily resulting from decreased operating income as a result of cost increases due to inflation and labor shortages, as well as the tax benefit on a portion of the Harsco Clean Earth Segment goodwill impairment.

The reserve for uncertain tax positions at June 30, 2022 was $4.9 million, including interest and penalties.  Within the next twelve months, it is reasonably possible that $0.4 million unrecognized income tax benefits will be recognized upon settlement of tax examinations and the expiration of various statutes of limitations.

12.   Commitments and Contingencies

Environmental        

The Company is involved in a number of environmental remediation investigations and cleanups and, along with other companies, has been identified as a “potentially responsible party” for certain byproduct disposal sites.  While each of these matters is subject to various uncertainties, it is probable that the Company will agree to make payments toward funding certain of these activities, and it is possible that some of these matters will be decided unfavorably to the Company.  The Company has evaluated its potential liability and its financial exposure is dependent upon such factors as the continuing evolution of environmental laws and regulatory requirements, the availability and application of technology, the allocation of cost among potentially responsible parties, the years of remedial activity required and the remediation methods selected. 

The Company evaluates its liability for future environmental remediation costs on a quarterly basis. Although actual costs to be incurred at identified sites in future periods may vary from the estimates (given inherent uncertainties in evaluating environmental exposures), the Company does not expect that any costs that are reasonably possible to be incurred by the Company in connection with environmental matters in excess of the amounts accrued would have a material adverse effect on the Company's financial condition, results of operations or cash flows.

The following table summarizes information related to the location and undiscounted amount of the Company's environmental liabilities:

(In thousands)	June 30 2022		December 31 2021
Current portion of environmental liabilities (a)	$	8,900	$	7,338
Long-term environmental liabilities	26,669		28,435
Total environmental liabilities	$	35,569	$	35,773

(a)    The current portion of environmental liabilities is included in the caption Other current liabilities on the Condensed Consolidated Balance Sheets.

Legal Proceedings

In the ordinary course of business, the company is a defendant or party to various claims and lawsuits, including those discussed below.

On March 28, 2018, the United States Environmental Protection Agency (the “EPA”) conducted an inspection of ESOL’s off-site waste management facility in Detroit, MI. On November 23, 2021, the EPA proposed a civil penalty of $390,092 as part of a proposed Administrative Consent Order for alleged improper air emissions at the site. The allegations in the proposed Administrative Consent Order and civil penalty relate exclusively to the period prior the Company’s purchase of the ESOL business. The Company is vigorously contesting the allegations. While it is the Company's position that any loss related to this issue will be recoverable under indemnity rights under the ESOL purchase agreement and representations and warranties insurance policies purchased by the Company, there can be no assurance that the Company's position will ultimately prevail.

18

On January 27, 2020, the U.S. EPA issued a Notice of Potential Liability to the Company, along with several other companies, concerning the Newtown Creek Superfund Site located in Kings and Queens Counties in New York. The Notice alleges certain facilities formerly owned or operated by subsidiaries of the Company may have resulted in the discharge of hazardous substances into Newtown Creek or its Dutch Kills tributary. The site has been subject to CERCLA response activities since approximately 2011. The U.S. EPA expects to propose a sitewide cleanup plan no sooner than 2024 and announced in July 2021 that it would defer its decision on a potential early action response for the lower two miles of the Creek until the sitewide studies are completed. The Company is one of approximately twenty (20) Potentially Responsible Parties that have received notices, though it is believed other PRPs may exist. The Company vigorously contests the allegations of the Notice and currently does not believe that this matter will have a material effect on the Company’s financial position or results from operations.

On June 25 and 26, 2018, the DTSC conducted a compliance enforcement inspection of ESOL’s facility in Rancho Cordova, California, which was then owned by Stericycle, Inc. On February 14, 2020, the DTSC filed an action in the Superior Court for the State of California, Sacramento Division, alleging violations of California’s Hazardous Waste Control Law and the facility’s hazardous waste permit arising from the inspection. On August 27, 2020 the DTSC issued a Notice of Denial of Hazardous Waste Facility Permit Application, denying the renewal of the facility's hazardous waste permit. On April 8, 2022, the DTSC denied the Company's appeal of the Notice of Denial. On June 3, 2022, the Company's Motion for Temporary Restraining Order to stop the closure pending its appeal of the DTSC action was denied. The Company has the ability to appeal the Denial of Hazardous Waste Facility Permit Application, and is currently reviewing the decision and its options. The Company continues to utilize the site for non-hazardous waste and is evaluating potential alternate uses for the site. The DTSC investigation and compliance issues leading to the compliance tier assignment were ongoing well before the Company's acquisition of the ESOL business, and the Company was aware of the investigation and many of the issues raised in the investigation at the time of the purchase. Accordingly, the Company is indemnified for certain fines and other costs and expenses associated with this matter by Stericycle, Inc. As a result, the administrative appeal and public hearing process is led by Stericycle, Inc. The Company has not accrued any amounts in respect of these alleged violations and cannot estimate the reasonably possible loss or the range of reasonably possible losses that it may incur.

As previously disclosed, the Company has had ongoing meetings with the SCE over processing salt cakes, a processing byproduct, stored at the Al Hafeerah site. The Company’s Bahrain operations that produced the salt cakes has ceased operations. An Environmental Impact Assessment and Technical Feasibility Study for facilities to process the salt cakes was approved by the SCE during the first quarter of 2018. Commissioning of the facilities was completed during the third quarter of 2021 and the processing of the salt cakes has commenced. The current reserve of $6.7 million continues to represent the Company's best estimate of the ultimate costs to be incurred to resolve this matter. The Company continues to evaluate this reserve and any future change in estimated costs which could be material to the Company’s results of operations in any one period.

On July 27, 2018, Brazil’s Federal and Rio de Janeiro State Public Prosecution Offices (MPF and MPE) filed a Civil Public Action against one of the Company's customers (CSN), the Company’s Brazilian subsidiary, the Municipality of Volta Redonda, Brazil, and the Instituto Estadual do Ambiente (local environmental protection agency) seeking the implementation of various measures to limit and reduce the accumulation of customer-owned slag at the site in Brazil. On August 6, 2018 the 3rd Federal Court in Volta Redonda granted the MPF and MPE an injunction against the same parties requiring, among other things, CSN and the Company’s Brazilian subsidiary to limit the volume of slag sent to the site. Because the customer owns the site and the slag located on the site, the Company believes that complying with this injunction is the steel producer’s responsibility.  On March 18, 2019 the Court issued an order fining the Company 5,000 Brazilian reais per day (or approximately $1 thousand per day) and CSN 20,000 Brazilian reais per day (or approximately $4 thousand per day) until the requirements of the injunction are met. On November 1, 2019 the Court issued an additional order increasing the fines assessed to the Company to 25,000 Brazilian reais per day (or approximately $5 thousand per day) and raising the fines assessed to CSN to 100,000 Brazilian reais per day (or approximately $19 thousand per day). The Court also assessed an additional fine of 10,000,000 Brazilian reais (or approximately $2 million) against CSN and the Company jointly. The Company is appealing the fines and the underlying injunction.  Both the Company and CSN continue to have discussions with the Prosecution Offices and governmental authorities on the injunction and the possible resolution of the underlying case. Beginning on March 25, 2022, the Courts entered a series of orders suspending the litigation proceedings as well as the accrual of interest and penalties while the parties discuss a possible resolution of the matter. The Company does not believe that a loss relating to this matter is probable or estimable at this point.

19

On October 19, 2018, local environmental authorities issued an enforcement action against the Company concerning the Company’s operations at a customer site in Ijmuiden, Netherlands. The enforcement action alleged violations of the Company’s environmental permit at the site, which restricts the release of any visible dust emissions. On January 12, 2022, the Administrative Supreme Court upheld the Company’s challenge of these enforcement actions as they relate to the slag tipping area of the site. As a result, all fines asserted against the Company to date have been invalidated and all fines paid to date have been reimbursed. This order is not appealable. On or about October 14, 2021, the Company received a subpoena and two indictments on this matter before the Amsterdam District Court in the Netherlands. The Amsterdam Public Prosecutor’s Office issued the two indictments against the Company, alleging violations in connection with dust releases and/or events alleged to have occurred in 2018 through May 2020 at the site. The action cites provisions which permit fines for the alleged infractions and seeks €100,000 in fines with a smaller amount held in abeyance. On February 25, 2022, the Amsterdam District Court ruled that the Company was liable for only one alleged violation and that this alleged violation was unintentional. The court issued a fine of €5,000, to be held in abeyance. Both the Company and the Public Prosecutor’s Office have appealed this ruling. On February 2, 2022, the prosecutor announced that they would further investigate residents’ claims related to this matter. The Company is vigorously contesting all allegations against it and is also working with its customer to ensure the control of emissions. The Company has contractual indemnity rights from its customer that it believes will substantially cover any fines or penalties.

On March 22, 2022, the U.S. EPA issued a Notice of Intent to File an Administrative Complaint (NOI) alleging violations of the federal Emergency Planning and Community Right-to-Know Act at the Company’s facilities in Tacoma, WA and Kent, WA. The NOI relates exclusively or almost exclusively to the period when Stericycle owned and operated the sites. The NOI proposes a penalty of $3,000,000. The Company is currently reviewing the veracity of the allegations and the corresponding proposed penalty amount. While it is the Company’s position that it has recourse for some or all liabilities, if any, that arise from this matter under the ESOL purchase agreement and representations and warranties insurance policies purchased by the Company, there can be no assurances that the Company’s position will ultimately prevail.

On March 21, 2022, the Company received a draft penalty matrix from the PA DEP concerning alleged reporting, monitoring and related issues at the Company’s Hatfield, PA site prior to the time the Company acquired the site from Stericycle. The draft penalty matrix proposes a penalty of $1,000,000 . On June 29, 2022, the PA DEP issued a draft Consent Assessment of Civil Penalty ("CACP") related to the alleged issues at the site, although the draft CACP does not propose a specific penalty. The Company is currently reviewing the veracity of the allegations. While it is the Company’s position that it has recourse for some or all liabilities, if any, that arise from this matter under the ESOL purchase agreement and representations and warranties insurance policies purchased by the Company, there can be no assurances that the Company’s position will ultimately prevail.

On November 5, 2020, a worker suffered a fatal injury at a site owned by the Company’s customer, Gerdau Ameristeel US, Inc., in Midlothian, TX. Although the Company was not directly involved in the accident, the worker was employed by a sub-contractor of a sub-contractor of the Company. The worker’s family filed suit in the 125th Judicial District Court of Harris County, TX against multiple parties including the Company. The Company is vigorously defending the lawsuit and has insurance coverage subject to a $5 million deductible. The Company has recorded a liability for its insurance deductible and an indemnification receivable from its customer for the recovery of certain losses based upon the contractual indemnity rights. However, there can be no assurances that the Company's position will ultimately prevail.

DEA Investigation

Prior to the Company’s acquisition of ESOL, Stericycle, Inc. notified the Company that the DEA had served an administrative subpoena on Stericycle, Inc. and executed a search warrant at a facility in Rancho Cordova, California and an administrative inspection warrant at a facility in Indianapolis, Indiana. The Company has determined that the DEA and the DTSC have launched investigations involving, at least in part, the ESOL business of collecting, transporting, and destroying controlled substances from retail customers that transferred from Stericycle, Inc. to the Company. In connection with these investigations, the DEA also executed a search warrant on an ESOL facility in Austin Texas on July 2, 2020. The Company is cooperating with these inquiries, which relate primarily to the period before the Company owned the ESOL business. Since the acquisition of the ESOL business, the Company has performed a vigorous review of ESOL’s compliance program related to controlled substances and has made material changes to the manner in which controlled substances are transported from retail customers to DEA-registered facilities for destruction. The Company has not accrued any amounts in respect of these investigations and cannot estimate the reasonably possible loss or the range of reasonably possible losses that it may incur, if any. Investigations of this type are, by their nature, uncertain and unpredictable. While it is the Company’s position that it has recourse for some or all liabilities, if any, that arise from these matters under the ESOL purchase agreement and representations and warranties insurance policies purchased by the Company, there can be no assurances that the Company’s position will ultimately prevail.

20

Brazilian Tax Disputes

The Company is involved in a number of tax disputes with federal, state and municipal tax authorities in Brazil. These disputes are at various stages of the legal process, including the administrative review phase and the collection action phase, and include assessments of fixed amounts of principal and penalties, plus interest charges that increase at statutorily determined amounts per month and are assessed on the aggregate amount of the principal and penalties. In addition, the losing party, at the collection action or court of appeals phase, could be subject to a charge to cover statutorily mandated legal fees, which are generally calculated as a percentage of the total assessed amounts due, inclusive of penalty and interest. Many of the claims relate to ICMS, services and social security tax disputes. The largest proportion of the assessed amounts relate to ICMS claims filed by the SPRA, encompassing the period from January 2002 to May 2005.

In October 2009, the Company received notification of the SPRA’s final administrative decision regarding the levying of ICMS in the State of São Paulo in relation to services provided to a customer in the State between January 2004 and May 2005.  As of June 30, 2022 the principal amount of the tax assessment from the SPRA with regard to this case is approximately $1.2 million, with penalty, interest and fees assessed to date increasing such amount by an additional $16.8 million.  On June 4, 2018 the Appellate Court of the State of Sao Paulo ruled in favor of the SPRA but ruled that the assessed penalty should be reduced to approximately $1.2 million. After calculating the interest accrued on the penalty, the Company estimates that this ruling reduces the current overall potential liability for this case to approximately $7.1 million. All such amounts include the effect of foreign currency translation. The Company has appealed the ruling in favor of the SPRA to the Superior Court of Justice. Due to multiple court precedents in the Company’s favor, as well as the Company’s ability to appeal, the Company does not believe a loss is probable.

Another ICMS tax case involving the SPRA refers to the tax period from January 2002 to December 2003. In December 2018, the administrative tribunal hearing the case upheld the Company's liability. The Company has appealed to the judicial phase. The aggregate amount assessed by the tax authorities in August 2005 was $4.9 million (the amounts with regard to this claim are valued as of the date of the assessment since it has not yet reached the collection phase), composed of a principal amount of $1.2 million, with penalty and interest assessed through that date increasing such amount by an additional $3.7 million.  On December 6, 2018 the administrative tribunal reduced the applicable penalties to $0.8 million. After calculating the interest accrued on the current penalty, the Company estimates that the current overall liability for this case to be approximately $5.4 million. All such amounts include the effect of foreign currency translation. Due to multiple court precedents in the Company's favor, the Company does not believe a loss is probable.

The Company continues to believe that sufficient coverage for these claims exists as a result of the indemnification obligations of the Company's customer and such customer’s pledge of assets in connection with the October 2009 notice, as required by Brazilian law.

On December 30, 2020, the Company received an assessment from the municipal authority in Ipatinga, Brazil alleging $2.0 million in unpaid service taxes from the period 2015 to 2020. After calculating the interest and penalties accrued, the Company estimates that the current overall potential liability for this case to be approximately $3.4 million. On January 18, 2021, the Company filed a challenge to the assessment. Due to the multiple defenses that are available, the Company does not believe a loss is probable.

The Company intends to continue its practice of vigorously defending itself against these tax claims under various alternatives, including judicial appeal. The Company will continue to evaluate its potential liability with regard to these claims on a quarterly basis; however, it is not possible to predict the ultimate outcome of these tax-related disputes in Brazil. No loss provision has been recorded in the Company's condensed consolidated financial statements for the disputes described above because the loss contingency is not deemed probable, and the Company does not expect that any costs that are reasonably possible to be incurred by the Company in connection with Brazilian tax disputes would have a material adverse effect on the Company's financial condition, results of operations or cash flows.

Brazilian Labor Disputes

The Company is subject to ongoing collective bargaining and individual labor claims in Brazil through the Harsco Environmental Segment which allege, among other things, the Company's failure to pay required amounts for overtime and vacation at certain sites. The Company is vigorously defending itself against these claims; however, litigation is inherently unpredictable, particularly in foreign jurisdictions. While the Company does not currently expect that the ultimate resolution of these claims will have a material adverse effect on the Company’s financial condition, results of operations or cash flows, it is not possible to predict the ultimate outcome of these labor-related disputes. As of June 30, 2022 and December 31, 2021, the Company has established reserves of $3.0 million and $3.2 million, respectively, on the Company's Condensed Consolidated Balance Sheets for amounts considered to be probable and estimable.

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Other

The Company is named as one of many defendants (approximately 90 or more in most cases) in legal actions in the U.S. alleging personal injury from exposure to airborne asbestos over the past several decades.  In their suits, the plaintiffs have named as defendants, among others, many manufacturers, distributors and installers of numerous types of equipment or products that allegedly contained asbestos.

The Company believes that the claims against it are without merit. The Company has never been a producer, manufacturer or processor of asbestos fibers. Any asbestos-containing part of a Company product used in the past was purchased from a supplier and the asbestos encapsulated in other materials such that airborne exposure, if it occurred, was not harmful and is not associated with the types of injuries alleged in the pending actions.

At June 30, 2022, there were approximately 17,210 pending asbestos personal injury actions filed against the Company.  Of those actions, approximately 16,590 were filed in the New York Supreme Court (New York County), approximately 115 were filed in other New York State Supreme Court Counties and approximately 505 were filed in courts located in other states.

The complaints in most of those actions generally follow a form that contains a standard damages demand of $20 million or $25 million, regardless of the individual plaintiff’s alleged medical condition, and without identifying any specific Company product.

At June 30, 2022, approximately 16,550 of the actions filed in New York Supreme Court (New York County) were on the Deferred/Inactive Docket created by the court in December 2002 for all pending and future asbestos actions filed by persons who cannot demonstrate that they have a malignant condition or discernible physical impairment. The remaining approximately 40 cases in New York County are pending on the Active or In Extremis Docket created for plaintiffs who can demonstrate a malignant condition or physical impairment.

The Company has liability insurance coverage under various primary and excess policies that the Company believes will be available, if necessary, to substantially cover any liability that might ultimately be incurred in the asbestos actions referred to above. The costs and expenses of the asbestos actions are being paid by the Company's insurers.

In view of the persistence of asbestos litigation in the U.S., the Company expects to continue to receive additional claims in the future. The Company intends to continue its practice of vigorously defending these claims and cases. At June 30, 2022, the Company has obtained dismissal in approximately 28,400 cases by stipulation or summary judgment prior to trial.

It is not possible to predict the ultimate outcome of asbestos-related actions in the U.S. due to the unpredictable nature of this litigation, and no loss provision has been recorded in the Company's condensed consolidated financial statements because a loss contingency is not deemed probable or estimable. Despite this uncertainty, and although results of operations and cash flows for a given period could be adversely affected by asbestos-related actions, the Company does not expect that any costs that are reasonably possible to be incurred by the Company in connection with asbestos litigation would have a material adverse effect on the Company's financial condition, results of operations or cash flows.

The Company is subject to various other claims and legal proceedings covering a wide range of matters that arose in the ordinary course of business. In the opinion of management, all such matters are adequately covered by insurance or by established reserves, and, if not so covered, are without merit or are of such kind, or involve such amounts, as would not have a material adverse effect on the financial position, results of operations or cash flows of the Company.

Insurance liabilities are recorded when it is probable that a liability has been incurred for a particular event and the amount of loss associated with the event can be reasonably estimated. Insurance reserves have been estimated based primarily upon actuarial calculations and reflect the undiscounted estimated liabilities for ultimate losses, including claims incurred but not reported. Inherent in these estimates are assumptions that are based on the Company's history of claims and losses, a detailed analysis of existing claims with respect to potential value, and current legal and legislative trends. If actual claims differ from those projected by management, changes (either increases or decreases) to insurance reserves may be required and would be recorded through income in the period the change was determined. When a recognized liability has been determined to be covered by third-party insurance, the Company records an insurance claim receivable to reflect the covered liability. Insurance claim receivables are included in Other receivables on the Company's Condensed Consolidated Balance Sheets. See Note 1, Summary of Significant Accounting Policies, to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 for additional information on Accrued insurance and loss reserves.

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13.  Reconciliation of Basic and Diluted Shares

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands, except per share amounts)	2022		2021		2022		2021
Income (loss) from continuing operations attributable to Harsco Corporation common stockholders	$	(106,700)	$	8,540	$	(114,033)	$	6,975
Weighted-average shares outstanding:
Weighted-average shares outstanding - basic	79,509		79,265		79,437		79,177
Dilutive effect of stock-based compensation	—		1,509		—		1,220
Weighted-average shares outstanding - diluted	79,509		80,774		79,437		80,397
Earnings (loss) from continuing operations per common share, attributable to Harsco Corporation common stockholders:
Basic	$	(1.34)	$	0.11	$	(1.44)	$	0.09
Diluted	$	(1.34)	$	0.11	$	(1.44)	$	0.09

The following average outstanding stock-based compensation units were not included in the computation of diluted earnings per share because the effect was either antidilutive or the market conditions for the performance share units were not met:

	Three Months Ended		Six Months Ended
	June 30		June 30
(In thousands)	2022	2021	2022	2021
Restricted stock units	797	—	811	—
Stock appreciation rights	2,193	467	2,422	656
Performance share units	1,128	690	1,177	851

14.   Derivative Instruments, Hedging Activities and Fair Value

Derivative Instruments and Hedging Activities

The Company uses derivative instruments, including foreign currency exchange forward contracts and interest rate swaps to manage certain foreign currency and interest rate exposures.  Derivative instruments are viewed as risk management tools by the Company and are not used for trading or speculative purposes. All derivative instruments are recorded on the Company's Condensed Consolidated Balance Sheets at fair value.  The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risks, even though hedge accounting does not apply or the Company elects not to apply hedge accounting.

The Company primarily applies the market approach for recurring fair value measurements and endeavors to utilize the best available information.  Accordingly, the Company utilizes valuation techniques that maximize the use of observable inputs, such as forward rates, interest rates, the Company’s credit risk and counterparties’ credit risks, and which minimize the use of unobservable inputs.  The Company is able to classify fair value balances based on the ability to observe those inputs.  Foreign currency exchange forward contracts and interest rate swaps are based upon pricing models using market-based inputs (Level 2).  Model inputs can be verified and valuation techniques do not involve significant management judgment.

The fair value of outstanding derivative contracts recorded as assets and liabilities on the Company's Condensed Consolidated Balance Sheets was as follows:

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(In thousands)	Balance Sheet Location	Fair Value of Derivatives Designated as Hedging Instruments		Fair Value of Derivatives Not Designated as Hedging Instruments		Total Fair Value
June 30, 2022
Asset derivatives (Level 2):
Foreign currency exchange forward contracts	Other current assets	$	1,710	$	16,075	$	17,785
Total		$	1,710	$	16,075	$	17,785
Liability derivatives (Level 2):
Foreign currency exchange forward contracts	Other current liabilities	$	465	$	502	$	967
Interest rate swaps	Other current liabilities	423		—		423
Total		$	888	$	502	$	1,390
December 31, 2021
Asset derivatives (Level 2):
Foreign currency exchange forward contracts	Other current assets	$	719	$	1,405	$	2,124
Total		$	719	$	1,405	$	2,124
Liability derivatives (Level 2):
Foreign currency exchange forward contracts	Other current liabilities	$	560	$	2,905	$	3,465
Interest rate swaps	Other current liabilities	4,157		—		4,157
Total		$	4,717	$	2,905	$	7,622

All of the Company's derivatives are recorded on the Condensed Consolidated Balance Sheets at gross amounts and do not offset. All of the Company's interest rate swaps and certain foreign currency exchange forward contracts are transacted under ISDA documentation. Each ISDA master agreement permits the net settlement of amounts owed in the event of default. The Company's derivative assets and liabilities subject to enforceable master netting arrangements, if offset, would have resulted in a net asset of $2.2 million and $0.9 million at June 30, 2022 and December 31, 2021, respectively.

The effect of derivative instruments on the Company's Condensed Consolidated Statements of Operations and Condensed Consolidated Statements of Comprehensive Income (Loss) was as follows:

Derivatives Designated as Hedging Instruments

	Amount Recognized in OCI on Derivatives				Location of Amount Reclassified from  AOCI into Income	Amount Reclassified from AOCI into Income - Effective Portion or Equity
	Three Months Ended					Three Months Ended
	June 30					June 30
(In thousands)	2022		2021			2022		2021
Foreign currency exchange forward contracts	$	957	$	(440)	Income (loss) from discontinued businesses	$	(998)	$	3
Interest rate swaps	—		(33)		Interest expense	1,061		862
	$	957	$	(473)		$	63	$	865

	Amount Recognized in OCI on Derivatives				Location of Amount Reclassified from AOCI into Income	Amount Reclassified from AOCI into Income - Effective Portion or Equity
	Six Months Ended					Six Months Ended
	June 30					June 30
(In thousands)	2022		2021			2022		2021
Foreign currency exchange forward contracts	$	1,966	$	(441)	Income (loss) from discontinued businesses	$	(1,586)	$	(47)
Interest rate swaps	—		(14)		Interest expense	2,111		1,727
	$	1,966	$	(455)		$	525	$	1,680

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The location and amount of gain (loss) recognized on the Company's Condensed Consolidated Statements of Operations was as follows:

	Three Months Ended
	June 30
	2022				2021
(in thousands)	Interest Expense		Income (loss) from Discontinued Businesses		Interest Expense		Income (loss) from Discontinued Businesses
Total amounts in the Condensed Consolidated Statement of Operations in which the effects of derivatives designated as hedging instruments are recorded	$	(16,692)	$	1,109	$	(15,643)	$	4,848
Interest rate swaps:
Gain or (loss) reclassified from AOCI into income	(1,061)		—		(862)		—
Amount recognized in earnings due to ineffectiveness	720		—		—		—
Foreign exchange contracts:
Gain or (loss) reclassified from AOCI into income			998		—		(3)
Amount excluded from effectiveness testing recognized in earnings based on changes in fair value			(23)		—		9
Amount excluded from the effectiveness testing recognized in earnings based on an amortization approach			(3)		—		1

	Six Months Ended
	June 30
	2022				2021
(in thousands)	Interest Expense		Loss from Discontinued Businesses			Interest Expense		Income From Discontinued Operations
Total amounts in the Condensed Consolidated Statement of Operations in which the effects of cash flow hedges are recorded	$	(31,784)	$	(31,397)		$	(31,899)	$	6,548
Interest rate swaps:
Gain or (loss) reclassified from AOCI into income	(2,111)		—			(1,727)		—
Amount recognized in earnings due to ineffectiveness	1,611		—			—		—
Foreign exchange contracts:
Gain or (loss) reclassified from AOCI into income	—		1,586			—		47
Amount excluded from effectiveness testing recognized in earnings based on changes in fair value	—		(64)			—		38
Amount excluded from the effectiveness testing recognized in earnings based on an amortization approach	—		(5)			—		—

Derivatives Not Designated as Hedging Instruments

	Location of Gain (Loss) Recognized in Income on Derivatives	Amount of Gain (Loss) Recognized in Income on Derivatives (a)
		Three Months Ended				Six Months Ended
		June 30				June 30
(In thousands)		2022		2021		2022		2021
Foreign currency exchange forward contracts	Cost of services and products sold	$	18,234	$	(740)	$	22,072	$	4,004

(a)      These gains (losses) offset amounts recognized in cost of services and products sold principally as a result of intercompany or third party foreign currency         

exposures.

Foreign Currency Exchange Forward Contracts

The Company conducts business in multiple currencies and, accordingly, is subject to the inherent risks associated with foreign exchange rate movements.  Foreign currency-denominated assets and liabilities are translated into U.S. dollars at the exchange rates existing at the respective consolidated balance sheet dates, and income and expense items are translated at the average exchange rates during the respective periods. 

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The Company uses derivative instruments to hedge cash flows related to foreign currency fluctuations.  Foreign currency exchange forward contracts outstanding are part of a worldwide program to minimize foreign currency exchange operating income and balance sheet exposure by offsetting foreign currency exposures of certain future payments between the Company and various subsidiaries, suppliers or customers.  The unsecured contracts are with major financial institutions. The Company may be exposed to credit loss in the event of non-performance by the contract counterparties. The Company evaluates the creditworthiness of the counterparties and does not expect default by them.  Foreign currency exchange forward contracts are used to hedge commitments, such as foreign currency debt, firm purchase commitments and foreign currency cash flows for certain export sales transactions.

Changes in the fair value of derivatives used to hedge foreign currency denominated balance sheet items are reported directly in earnings, along with offsetting transaction gains and losses on the items being hedged. Derivatives used to hedge forecasted cash flows associated with foreign currency commitments may be accounted for as cash flow hedges, as deemed appropriate, if the criteria for hedge accounting are met.  Gains and losses on derivatives designated as cash flow hedges are deferred in AOCI, a separate component of equity, and reclassified to earnings in a manner that matches the timing of the earnings impact of the hedged transactions. The ineffective portion of all hedges, if any, is recognized currently in earnings.

The recognized gains and losses offset amounts recognized in cost of services and products sold principally as a result of intercompany or third-party foreign currency exposures. At June 30, 2022 and December 31, 2021 the notional amounts of foreign currency exchange forward contracts were $450.9 million and $425.8 million, respectively. These contracts are primarily denominated in British Pound Sterling and Euros and mature through September 2023.

In addition to foreign currency exchange forward contracts, the Company designates certain loans as hedges of net investments in international subsidiaries. The Company recorded pre-tax net losses of $0.6 million and $1.2 million for the three and six months ended June 30, 2022, respectively, and pre-tax net gains of $0.3 million and $3.6 million for the three and six months ended June 30, 2021, respectively, in AOCI.

Interest Rate Swaps

The Company uses interest rate swaps in conjunction with certain variable rate debt issuances in order to secure a fixed interest rate. Changes in the fair value attributed to the effect of the swaps’ interest spread and changes in the credit worthiness of the counter-parties are recorded in AOCI and are reclassified into income as interest payments are made.

At June 30, 2022, the Company had a series of interest rate swaps that are in effect through 2022 and have the effect of converting $200.0 million of the Term Loan Facility from floating-rate to fixed-rate. The fixed rates provided by the swaps replace the adjusted LIBOR rate in the interest calculation to 3.12% for 2022. In the fourth quarter of 2021, the interest rate swaps were deemed ineffective and, thus, the subsequent changes in fair value continue to be recorded in earnings in the current period. The amounts previously recorded in AOCI will continue to be amortized into earnings over the remaining maturity of the interest rate swap.

Fair Value of Other Financial Instruments

The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities and short-term borrowings approximate fair value due to the short-term maturities of these assets and liabilities. At June 30, 2022 and December 31, 2021, the total fair value of long-term debt and current maturities (excluding deferred financing costs) was $1,202.8 million and $1,394.2 million, respectively, compared with a carrying value of $1,337.4 million and $1,387.9 million, respectively.  Fair values for debt are based on pricing models using market-based inputs (Level 2) for similar issues or on the current rates offered to the Company for debt of the same remaining maturities.

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15. Review of Operations by Segment 

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Revenues From Continuing Operations
Harsco Environmental	$	277,599	$	272,546	$	539,650	$	530,532
Harsco Clean Earth	203,453		196,128		394,199		385,407
Total Revenues From Continuing Operations	$	481,052	$	468,674	$	933,849	$	915,939
Operating Income (Loss) From Continuing Operations
Harsco Environmental	$	23,547	$	30,223	$	41,814	$	56,158
Harsco Clean Earth	(111,668)		7,386		(112,965)		10,564
Corporate	(8,882)		(11,344)		(18,104)		(21,339)
Total Operating Income From Continuing Operations	$	(97,003)	$	26,265	$	(89,255)	$	45,383
Depreciation
Harsco Environmental	$	27,467	$	25,550	$	55,539	$	51,267
Harsco Clean Earth	4,536		4,905		9,637		10,242
Corporate	460		494		891		977
Total Depreciation	$	32,463	$	30,949	$	66,067	$	62,486
Amortization
Harsco Environmental	$	1,714	$	2,035	$	3,542	$	4,083
Harsco Clean Earth	6,131		6,063		12,206		12,146
Corporate (a)	636		633		1,319		1,384
Total Amortization	$	8,481	$	8,731	$	17,067	$	17,613
Capital Expenditures
Harsco Environmental	$	23,585	$	35,993	$	48,375	$	60,412
Harsco Clean Earth	3,550		4,725		10,246		7,255
Corporate	1,172		111		2,138		179
Total Capital Expenditures	$	28,307	$	40,829	$	60,759	$	67,846

(a)     Amortization expense on Corporate relates to the amortization of deferred financing costs.

Reconciliation of Segment Operating Income to Income (Loss) From Continuing Operations Before Income Taxes and Equity Income

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Segment operating income	$	(88,121)	$	37,609	$	(71,151)	$	66,722
General Corporate expense	(8,882)		(11,344)		(18,104)		(21,339)
Operating income (loss) from continuing operations	(97,003)		26,265		(89,255)		45,383
Interest income	693		577		1,337		1,124
Interest expense	(16,692)		(15,643)		(31,784)		(31,899)
Facility fees and debt-related income (expense)	2,149		(50)		1,617		(5,308)
Defined benefit pension income	2,247		3,956		4,657		7,890
Income (loss) from continuing operations before income taxes and equity income	$	(108,606)	$	15,105	$	(113,428)	$	17,190

16. Revenue Recognition

The Company recognizes revenues to depict the transfer of promised services and products to customers in an amount that reflects the consideration the Company expects to receive in exchange for those services or products. Service revenues include the Harsco Clean Earth Segment revenue and the service components of the Harsco Environmental Segment. Product revenues include portions of the Harsco Environmental Segment.

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A summary of the Company's revenues by primary geographical markets as well as by key product and service groups is as follows:

	Three Months Ended
	June 30, 2022
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	80,709	$	203,453	$	284,162
Western Europe	99,591		—		99,591
Latin America (b)	39,202		—		39,202
Asia-Pacific	31,950		—		31,950
Middle East and Africa	20,762		—		20,762
Eastern Europe	5,385		—		5,385
Total Revenues	$	277,599	$	203,453	$	481,052
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	236,165	$	—	$	236,165
Ecoproducts	38,083		—		38,083
Environmental systems for aluminum dross and scrap processing	3,351		—		3,351
Waste processing, recycling, reuse and transportation solutions	—		203,453		203,453
Total Revenues	$	277,599	$	203,453	$	481,052

	Three Months Ended
	June 30, 2021
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	69,735	$	196,128	$	265,863
Western Europe	116,981		—		116,981
Latin America (b)	33,799		—		33,799
Asia-Pacific	26,922		—		26,922
Middle East and Africa	19,873		—		19,873
Eastern Europe	5,236		—		5,236
Total Revenues	$	272,546	$	196,128	$	468,674
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	233,523	$	—	$	233,523
Ecoproducts	34,830		—		34,830
Environmental systems for aluminum dross and scrap processing	4,193		—		4,193
Waste processing, recycling, reuse and transportation solutions	—		196,128		196,128
Total Revenues	$	272,546	$	196,128	$	468,674

	Six Months Ended
	June 30, 2022
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	151,788	$	394,199	$	545,987
Western Europe	201,670		—		201,670
Latin America (b)	75,007		—		75,007
Asia-Pacific	60,018		—		60,018
Middle East and Africa	40,648		—		40,648
Eastern Europe	10,519		—		10,519
Total Revenues	$	539,650	$	394,199	$	933,849

28

	Six Months Ended
	June 30, 2022
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	463,854	$	—	$	463,854
Ecoproducts	70,048		—		70,048
Environmental systems for aluminum dross and scrap processing	5,748		—		5,748
Waste processing, recycling, reuse and transportation solutions	—		394,199		394,199
Total Revenues	$	539,650	$	394,199	$	933,849

	Six Months Ended
	June 30, 2021
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	136,916	$	385,407	$	522,323
Western Europe	229,152		—		229,152
Latin America (b)	64,452		—		64,452
Asia-Pacific	50,292		—		50,292
Middle East and Africa	39,994		—		39,994
Eastern Europe	9,726		—		9,726
Total Revenues	$	530,532	$	385,407	$	915,939
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	458,583	$	—	$	458,583
Ecoproducts	64,615		—		64,615
Environmental systems for aluminum dross and scrap processing	7,334		—		7,334
Waste processing, recycling, reuse and transportation solutions	—		385,407		385,407
Total Revenues	$	530,532	$	385,407	$	915,939

(a)     Revenues are attributed to individual countries based on the location of the facility generating the revenue.

(b)     Includes Mexico.

The Company may receive payments in advance of earning revenue (advances on contracts), which is included in Other current liabilities and Other liabilities on the Condensed Consolidated Balance Sheets. The Company may recognize revenue in advance of being able to contractually invoice the customer (contract assets), which is included in Other current assets on the Condensed Consolidated Balance Sheets. Contract assets are transferred to Trade accounts receivable, net, when the right to payment becomes unconditional. Contract assets and advances on contracts are reported as a net position, on a contract-by-contract basis, at the end of each reporting period.

The Company had contract assets totaling $3.9 million and $3.1 million at June 30, 2022 and December 31, 2021, respectively. The increase is due principally to additional contract assets recognized in excess of the transfer of contract assets to accounts receivable. The Company had advances on contracts totaling $4.2 million and $4.1 million at June 30, 2022 and December 31, 2021, respectively. During the three and six months ended June 30, 2022, the Company recognized approximately $7 million and $10 million, respectively, of revenue related to amounts previously included in advances on contracts. During the three and six months ended June 30, 2021, the Company recognized approximately $4 million and $6 million, respectively, of revenue related to amounts previously included in advances on contracts.

At June 30, 2022 the Harsco Environmental Segment had remaining, fixed, unsatisfied performance obligations where the expected contract duration exceeds one year totaling $69.2 million. Of this amount, $19.2 million is expected to be fulfilled by June 30, 2023, $17.6 million by June 30, 2024, $17.1 million by June 30, 2025, $9.0 million by June 30, 2026 and the remainder thereafter. These amounts exclude any variable fees, fixed fees subject to indexation and any performance obligations expected to be satisfied within one year.

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17.   Other (Income) Expenses, Net

The major components of this Condensed Consolidated Statements of Operations caption were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Employee termination benefit costs	$	605	$	656	$	297	$	1,166
Other costs to exit activities	477		400		1,058		638
Impaired asset write-downs	296		140		355		162
Net gains	(92)		(5,354)		(1,904)		(7,047)
Other	759		(9)		1,060		(77)
Other (income) expenses, net	$	2,045	$	(4,167)	$	866	$	(5,158)

18. Components of Accumulated Other Comprehensive Loss

AOCI is included on the Condensed Consolidated Statements of Stockholders' Equity. The components of AOCI, net of the effect of income taxes, and activity for the six months ended June 30, 2021 and 2022 was as follows:

	Components of AOCI, Net of Tax
(In thousands)	Cumulative Foreign Exchange Translation Adjustments			Effective Portion of Derivatives Designated as Hedging Instruments			Cumulative Unrecognized Actuarial Losses on Pension Obligations			Unrealized Gain (Loss) on Marketable Securities		Total
Balance at December 31, 2020	$	(125,392)		$	(5,840)		$	(514,500)		$	(9)	$	(645,741)
OCI before reclassifications	12,150		(a)	(259)		(b)	(5,451)		(a)	25		6,465
Amounts reclassified from AOCI, net of tax	—			1,182			11,495			—		12,677
Total OCI	12,150			923			6,044			25		19,142
Less: OCI attributable to noncontrolling interests	(393)			—			—			—		(393)
OCI attributable to Harsco Corporation	12,543			923			6,044			25		19,535
Balance at June 30, 2021	$	(112,849)		$	(4,917)		$	(508,456)		$	16	$	(626,206)

	Components of AOCI, Net of Tax
(In thousands)	Cumulative Foreign Exchange Translation Adjustments			Effective Portion of Derivatives Designated as Hedging Instruments			Cumulative Unrecognized Actuarial Losses on Pension Obligations			Unrealized Gain (Loss) on Marketable Securities		Total
Balance at December 31, 2021	$	(134,889)		$	(3,024)		$	(422,248)		$	22	$	(560,139)
OCI before reclassifications	(61,493)		(a)	1,692		(b)	33,697		(a)	(13)		(26,117)
Amounts reclassified from AOCI, net of tax	—			168			8,831			—		8,999
Total OCI	(61,493)			1,860			42,528			(13)		(17,118)
Less: OCI attributable to noncontrolling interests	(3,385)			—			—			—		(3,385)
OCI attributable to Harsco Corporation	(58,108)			1,860			42,528			(13)		(13,733)
Balance at June 30, 2022	$	(192,997)		$	(1,164)		$	(379,720)		$	9	$	(573,872)

(a)    Principally foreign currency fluctuation.

(b)     Net change from periodic revaluations.

30

Amounts reclassified from AOCI were as follows:

(In thousands)	Three Months Ended				Six Months Ended				Location on the Condensed Consolidated Statements of Operations
	June 30				June 30
	2022		2021		2022		2021
Amortization of cash flow hedging instruments:
Foreign currency exchange forward contracts	$	(998)	$	3	$	(1,586)	$	(47)	Income (loss) from discontinued operations
Interest rate swaps	1,061		862		2,111		1,727		Interest expense
Total before taxes	63		865		525		1,680
Income taxes	(233)		(253)		(357)		(498)
Total reclassification of cash flow hedging instruments, net of tax	$	(170)	$	612	$	168	$	1,182
Amortization of defined benefit pension items (c):
Actuarial losses	$	4,496	$	6,007	$	9,223	$	11,955	Defined benefit pension income
Prior service costs	113		129		233		256		Defined benefit pension income
Total before taxes	4,609		6,136		9,456		12,211
Income taxes	(312)		(358)		(625)		(716)
Total reclassification of defined benefit pension items, net of tax	$	4,297	$	5,778	$	8,831	$	11,495

(c)    These AOCI components are included in the computation of net periodic pension costs. See Note 10, Employee Benefit Plans, for additional details.

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ITEM 2.                 MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion should be read in conjunction with the accompanying unaudited condensed consolidated financial statements as well as the audited consolidated financial statements of the Company, including the notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 which includes additional information about the Company’s critical accounting policies, contractual obligations, practices and the transactions that support the financial results, and provides a more comprehensive summary of the Company’s outlook, trends and strategies for 2022 and beyond.

Certain amounts included in Item 2 of this Quarterly Report on Form 10-Q are rounded in millions and all percentages are calculated based on actual amounts.  As a result, minor differences may exist due to rounding.

Forward-Looking Statements

The nature of the Company's business, together with the number of countries in which it operates, subject it to changing economic, competitive, regulatory and technological conditions, risks and uncertainties. In accordance with the "safe harbor" provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, the Company provides the following cautionary remarks regarding important factors that, among others, could cause future results to differ materially from the results contemplated by forward-looking statements, including the expectations and assumptions expressed or implied herein. Forward-looking statements contained herein could include, among other things, statements about management's confidence in and strategies for performance; expectations for new and existing products, technologies and opportunities and expectations regarding growth, sales, cash flows, and earnings. Forward-looking statements can be identified by the use of such terms as "may," "could," "expect," "anticipate," "intend," "believe," "likely," "estimate," "outlook," "plan" or other comparable terms.

Factors that could cause actual results to differ, perhaps materially, from those implied by forward-looking statements include, but are not limited to: (1) changes in the worldwide business environment in which the Company operates, including changes in general economic conditions or changes due to COVID-19 and governmental and market reactions to COVID-19; (2) changes in currency exchange rates, interest rates, commodity and fuel costs and capital costs; (3) changes in the performance of equity and bond markets that could affect, among other things, the valuation of the assets in the Company's pension plans and the accounting for pension assets, liabilities and expenses; (4) changes in governmental laws and regulations, including environmental, occupational health and safety, tax and import tariff standards and amounts; (5) market and competitive changes, including pricing pressures, market demand and acceptance for new products, services and technologies; (6) the Company's inability or failure to protect its intellectual property rights from infringement in one or more of the many countries in which the Company operates; (7) failure to effectively prevent, detect or recover from breaches in the Company's cybersecurity infrastructure; (8) unforeseen business disruptions in one or more of the many countries in which the Company operates due to political instability, civil disobedience, armed hostilities, public health issues or other calamities; (9) disruptions associated with labor disputes and increased operating costs associated with union organization; (10) the seasonal nature of the Company's business; (11) the Company's ability to successfully enter into new contracts and complete new acquisitions or strategic ventures in the time-frame contemplated, or at all; (12) the Company's ability to negotiate, complete, and integrate strategic transactions; (13) failure to complete a process for the divestiture of the Rail division, as announced on November 2, 2021 on satisfactory terms, or at all; (14) potential severe volatility in the capital or commodity markets; (15) failure to retain key management and employees; (16) the outcome of any disputes with customers, contractors and subcontractors; (17) the financial condition of the Company's customers, including the ability of customers (especially those that may be highly leveraged, have inadequate liquidity or whose business is significantly impacted by COVID-19) to maintain their credit availability; (18) implementation of environmental remediation matters; (19) risk and uncertainty associated with intangible assets; (20) the risk that the Company may be unable to implement fully and successfully the expected incremental actions at the Harsco Clean Earth Segment due to market conditions or otherwise and may fail to deliver the expected resulting benefits; and (21) other risk factors listed from time to time in the Company's SEC reports. A further discussion of these, along with other potential risk factors, can be found in Part II, Item 1A, "Risk Factors," below, as well as Part I, Item 1A, "Risk Factors," of the Company's Annual Report on Form 10-K for the year ended December 31, 2021. The Company cautions that these factors may not be exhaustive and that many of these factors are beyond the Company's ability to control or predict. Accordingly, forward-looking statements should not be relied upon as a prediction of actual results. The Company undertakes no duty to update forward-looking statements except as may be required by law.

32

Executive Overview

The Company is a market-leading, global provider of environmental solutions for industrial, retail and medical waste streams. The Company's operations consist of two reportable segments: Harsco Environmental and Harsco Clean Earth. The Harsco Environmental Segment operates primarily under long-term contracts, providing critical environmental services and material processing to the global steel and metals industries, including zero waste solutions for manufacturing byproducts within the metals industry. The Harsco Clean Earth Segment provides waste management services including transportation, specialty waste processing, recycling and beneficial reuse solutions for hazardous waste and soil and dredged materials. The Company has locations in approximately 30 countries, including the U.S. The Company was incorporated in 1956.

The Company maintains a positive long-term outlook across all businesses supported by favorable underlying growth characteristics in its businesses and investments by the Company to further supplement growth. Please refer to Part I, Item 1A, "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2021 for additional information related to the potential impacts of COVID-19 on the Company.

•Harsco Environmental's 2022 results are expected to be modestly below prior-year performance primarily due to the impacts of foreign exchange translation. Higher environmental services demand and growth in ecoproducts, as well as benefit from new service contracts, are expected to be fully offset by the impacts of foreign exchange translation, inflation, and exited contracts. The global steel market is in the process of rebalancing because of the Russia-Ukraine conflict, however the impacts on the Company are currently anticipated to be limited. Harsco Environmental is anticipated to realize improved year-over-year performance in the second-half of 2022, and over the longer-term, the Company expects that the Harsco Environmental Segment's growth will be driven by economic growth that supports higher global steel consumption as well as investments and innovation that support the environmental solutions needs of customers.

•Harsco Clean Earth results in 2022 are anticipated to be below prior-year levels due to unprecedented inflation in certain operating costs, including transportation, containers and disposal, and challenges related to labor availability. These impacts will be partially offset by commercial initiatives and cost-reduction actions. Clean Earth recently implemented a number of actions to improve profitability in the second half of 2022. These actions include price increases and additional cost and efficiency initiatives focused on mitigating the impact of these inflationary costs. Clean Earth is not expecting to fully offset this underlying inflation until early 2023. As a result of lower earnings expectations and higher discount, the Company recognized a goodwill impairment charge of $104.6 million in the second quarter of 2022. Long term, the Company expects this segment to benefit from positive underlying market trends and further growth opportunities, as well as from the less cyclical and recurring nature of this business.

Results of Operations

Segment Results

	Three Months Ended						Six Months Ended
	June 30						June 30
(In millions, except percentages)	2022			2021			2022			2021
Revenues:
Harsco Environmental	$	277.6		$	272.5		$	539.7		$	530.5
Harsco Clean Earth	203.5			196.1			394.2			385.4
Total Revenues	$	481.1		$	468.7		$	933.8		$	915.9
Operating Income (Loss):
Harsco Environmental	$	23.5		$	30.2		$	41.8		$	56.2
Harsco Clean Earth	(111.7)			7.4			(113.0)			10.6
Corporate	(8.9)			(11.3)			(18.1)			(21.3)
Total Operating Income	$	(97.0)		$	26.3		$	(89.3)		$	45.4
Operating Margins:
Harsco Environmental	8.5		%	11.1		%	7.7		%	10.6		%
Harsco Clean Earth	(54.9)		%	3.8		%	(28.7)		%	2.7		%
Consolidated Operating Margin	(20.2)		%	5.6		%	(9.6)		%	5.0		%

33

Harsco Environmental Segment:

	June 30, 2022
Significant Effects on Revenues (In millions)	Three Months Ended		Six Months Ended
Revenues — 2021	$	272.5	$	530.5
Net effects of price/volume changes, primarily attributable to volume changes	25.6		44.3
Impact of foreign currency translation	(19.6)		(26.8)
Net impact of new and lost contracts	(0.4)		(7.2)
Other	(0.5)		(1.1)
Revenues — 2022	$	277.6	$	539.7

The following factors contributed to the changes in operating income during the three and six months ended June 30, 2022.

Factors Positively Affecting Operating Income:

•Operating income was positively affected by increased revenue under environmental services contracts due, in part, to improved overall steel production by customers for the three and six months ended June 30, 2022.

•Operating income was positively affected by higher contributions from certain ecoproducts of $2.5 million and $1.1 million for the three and six months ended June 30, 2022.

Factors Negatively Impacting Operating Income:

•Lower asset sale gains of $5.3 million and $6.0 million during the three and six months ended June 30,2022, respectively, as compared to the three and six months ended June 30, 2021.

•Lower recovery of Brazil non-income tax expense of $1.4 million and $2.4 million during the three and six months ended June 30, 2022, respectively, as compared to the three and six months ended June 30, 2021.

•Foreign currency translation reduced operating income by $2.7 million and $2.9 million during the three and six months ended June 30, 2022, respectively.

•Impact of cost increases relating to raw materials, labor, maintenance, and freight due to inflation, including the impact of increased fuel costs on existing contracts of $5.4 million and $8.9 million for the three and six months ended June 30, 2022, respectively.

Harsco Clean Earth Segment:

	June 30, 2022
Significant Effects on Revenues (In millions)	Three Months Ended		Six Months Ended
Revenues—2021	$	196.1	$	385.4
Net effects of price/volume changes	7.5		9.0
Other	(0.1)		(0.2)
Revenues — 2022	$	203.5	$	394.2

The following factors contributed to the changes in operating income (loss) during the three and six months ended June 30, 2022.

Factors Positively Affecting Operating Income:

•Lower selling, general and administrative expense ("SG&A") of $2.1 million due principally to a reduction in professional fees for the six months ended June 30, 2022, when compared to the six months ended June 30, 2021.

Factors Negatively Impacting Operating Income:

•Goodwill impairment charge of $104.6 million recorded during the three and six months ended June 30, 2022.

•Impact of cost inflation on transportation, disposal, container and fuel costs, partially offset by favorable volume and price in the hazardous waste business decreased operating income by $10.5 million and $17.1 million for the three and six months ended June 30, 2022, respectively.

34

Consolidated Results

	June 30
	Three Months Ended						Six Months Ended
(In millions, except per share amounts)	2022			2021			2022			2021
Total revenues	$	481.1		$	468.7		$	933.8		$	915.9
Cost of services and products sold	403.2			375.4			780.2			732.8
Selling, general and administrative expenses	67.9			70.8			137.1			142.4
Research and development expenses	0.3			0.3			0.4			0.5
Goodwill impairment charge	104.6			—			104.6			—
Other (income) expenses, net	2.0			(4.2)			0.9			(5.2)
Operating income (loss) from continuing operations	(97.0)			26.3			(89.3)			45.4
Interest income	0.7			0.6			1.3			1.1
Interest expense	(16.7)			(15.6)			(31.8)			(31.9)
Facility fees and debt-related income (expense)	2.1			(0.1)			1.6			(5.3)
Defined benefit pension income	2.2			4.0			4.7			7.9
Income tax benefit (expense) from continuing operations	3.1			(4.8)			1.9			(6.9)
Equity income (loss) of unconsolidated entities, net	(0.1)			(0.1)			(0.2)			(0.2)
Income (loss) from continuing operations	(105.6)			10.2			(111.8)			10.1
Income (loss) from discontinued businesses	1.9			8.2			(37.2)			11.6
Income tax benefit (expense) related to discontinued operations	(0.8)			(3.4)			5.8			(5.1)
Income (loss) from discontinued operations, net of tax	1.1			4.8			(31.4)			6.5
Net income (loss)	(104.5)			15.1			(143.2)			16.6
Total other comprehensive income (loss)	(29.1)			17.9			(17.1)			19.1
Total comprehensive income (loss)	(133.6)			33.0			(160.3)			35.8
Diluted earnings (loss) per common share from continuing operations attributable to Harsco Corporation common stockholders	(1.34)			0.11			(1.44)			0.09
Effective income tax rate for continuing operations	2.9		%	31.8		%	1.7		%	40.1		%

Comparative Analysis of Consolidated Results

Revenues

Revenues for the second quarter of 2022 increased $12.4 million, or 2.6%, from the second quarter of 2021. Revenues for the six months ended June 30, 2022 increased $17.9 million, or 2.0%, from the six months ended June 30, 2021. Foreign currency translation decreased revenues by $19.6 million and $26.8 million for the second quarter and six months ended June 30, 2022, respectively, compared with the same period in the prior year. Refer to the discussion of segment results above for information pertaining to factors positively affecting and negatively impacting revenues.

35

Cost of Services and Products Sold

Cost of services and products sold for the second quarter of 2022 increased $27.8 million, or 7.4%, from the second quarter of 2021. Costs of services and products sold for the six months ended June 30, 2022 increased $47.4 million, or 6.5%, from the six months ended June 30, 2021. The changes in cost of services and products sold were attributable to the following significant items:

	June 30, 2022
(In millions)	Three Months Ended		Six Months Ended
Change in costs due to changes in revenues volume	$	23.3	$	32.4
Changes in costs due to change in prices, including materials, labor, fuel, transportation and maintenance	17.6		31.6
Impact of foreign currency translation	(16.4)		(23.0)
Other	3.3		6.4
Total change in cost of services and products sold — 2022 vs. 2021	$	27.8	$	47.4

Selling, General and Administrative Expenses

SG&A for the second quarter of 2022 decreased $2.9 million, or 4.1%, from the second quarter of 2021. SG&A for the six months ended June 30, 2022 decreased $5.3 million, or 3.7%, from the six months ended June 30, 2021. The decreases during the three and six months ended June 30, 2022 are due principally to a reduction of professional fees of $1.5 million and $4.4 million, respectively, in the Clean Earth and Corporate segments.

Goodwill Impairment Charge

In the second quarter of 2022, the Company recorded a goodwill impairment charge of $104.6 million in the Harsco Clean Earth Segment. See Note 8, Goodwill and Other Intangible Assets, in Part I, Item 1, Financial Statements for further discussion regarding the goodwill impairment charge.

Other (Income) Expenses, Net

The major components of this Condensed Consolidated Statements of Operations caption are as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Employee termination benefit costs	$	605	$	656	$	297	$	1,166
Other costs to exit activities	477		400		1,058		638
Impaired asset write-downs	296		140		355		162
Net gains	(92)		(5,354)		(1,904)		(7,047)
Other	759		(9)		1,060		(77)
Other (income) expenses, net	$	2,045	$	(4,167)	$	866	$	(5,158)

Interest Expense

Interest expense during the second quarter of 2022 increased by $1.0 million, compared to the second quarter of 2021. Interest expense during the six months ended June 30, 2022 decreased by $0.1 million, compared with the six months ended June 30, 2021. The increase in the second quarter of 2022 primarily relates to higher weighted average interest rates, in addition to higher borrowings, related to the amended Senior Secured Credit Facilities.

Facility Fees and Debt-Related Income (Expense)

During the three and six months ended June 30, 2022, the Company recognized income of $2.1 million and $1.6 million, respectively, related to a $2.3 million gain on the repurchase of $25.0 million of Senior Notes recognized in the second quarter of 2022, partially offset by fees to amend the Senior Secured Credit Facilities. See Note 1, Basis of Presentation, in Part I, Item 1, Financial Statements.

During the three and six months ended June 30, 2021, the Company recognized $0.1 million and $5.3 million, respectively, of fees and other costs primarily related to the amended Senior Secured Credit Facilities.

36

Defined Benefit Pension Income

Defined benefit pension income for the second quarter of 2022 was $2.2 million, compared with defined benefit pension income of $4.0 million during the second quarter of 2021. Defined benefit pension income for the six months ended June 30, 2022 was $4.7 million, compared with defined benefit pension income of $7.9 million for the six months ended June 30, 2021. The decrease is primarily the result of a lower assumed rate of return on plan assets at December 31, 2021.

Income Tax Benefit (Expense)

Income tax benefit from continuing operations for the three and six months ended of 2022 was $3.1 million and $1.9 million, respectively. Income tax expense from continuing operations for the three and six months ended June 30, 2021 was $4.8 million and $6.9 million, respectively. This change is the result of lower taxable income, primarily resulting from decreased operating income as a result of cost increases due to inflation and labor shortages, and the tax benefit on a portion of the Harsco Clean Earth Segment goodwill impairment.

Income (Loss) from Continuing Operations

Loss from continuing operations was $105.6 million and $111.8 million for the three and six months ended June 30, 2022, respectively, compared to income from continuing operations of $10.2 million and $10.1 million for the three and six months ended June 30, 2021, respectively. The primary drivers for these increases are noted above.

Income (Loss) from Discontinued Operations

The operating results of the former Harsco Rail Segment and costs directly attributable to the sale of the business, have been reflected as discontinued operations in the Company's Condensed Consolidated Statement of Operations for all periods presented. In addition, this caption includes costs directly attributable to retained contingent liabilities of other previously disposed businesses. The decrease in income during the three and six months ended June 30, 2022 was related primarily to the recognition of additional forward estimated loss provisions of $0.3 million and $35.4 million, respectively, for certain contracts in the Rail business as well lower business performance due to reduced revenue for railway track maintenance equipment, when compared to the three and six months ended June 30, 2021. It is possible that the Company's overall estimate of liquidated damages, penalties and costs to complete these contracts may increase, which would result in an additional estimated forward loss provision at such time. See Note 3, Dispositions, in Part I, Item 1, Financial Statements.

Total Other Comprehensive Income (Loss)

Total other comprehensive loss was $29.1 million and $17.1 million in the three and six months ended June 30, 2022, respectively, compared with total other comprehensive income of $17.9 million and $19.1 million in the three and six months ended of June 30, 2021, respectively. The primary driver of these changes is the fluctuation of the U.S. dollar against certain currencies inclusive of the impact of foreign currency translation of cumulative unrecognized actuarial losses on the Company’s pension obligations, reflective of the strengthening of the U.S dollar in the first six months of 2022.

Liquidity and Capital Resources

Cash Flow Summary

The Company currently expects to have sufficient financial liquidity and borrowing capacity to support the strategies within each of its businesses. The Company currently expects operational and business needs to be met by cash provided by operations supplemented with borrowings from time to time, principally under the Senior Secured Credit Facilities. The Company supplements the cash provided by operations with borrowings from time to time due to historical patterns of seasonal cash flow and the funding of various projects. The Company regularly assesses capital needs in the context of operational trends and strategic initiatives.

37

The Company’s cash flows from operating, investing and financing activities, as reflected on the Condensed Consolidated Statements of Cash Flows, are summarized in the following table:

	Six Months Ended
	June 30
(In millions)	2022		2021
Net cash provided (used) by:
Operating activities	$	117.7	$	13.5
Investing activities	(43.7)		(53.2)
Financing activities	(54.6)		41.8
Effect of exchange rate changes on cash and cash equivalents, including restricted cash	(5.8)		0.5
Net change in cash and cash equivalents, including restricted cash	$	13.7	$	2.6

Net cash provided by operating activities — Net cash used by operating activities in the first six months of 2022 was $117.7 million, an increase in cash flows of $104.2 million from the first six months of 2021. The primary drivers of this increase is due to the sale of $120 million of its accounts receivable through its AR Facility with PNC and favorable changes in working capital partially offset by lower cash net income. The primary drivers of the favorable change in working capital included a decrease in contract assets in the Rail business and the timing of accounts payable in all segments, including the Rail business and Corporate, partially offset by an unfavorable change in accounts receivable not sold to PNC and the timing of inventory.

Net cash used by investing activities — Net cash used by investing activities in the first six months of 2022 was $43.7 million, an increase in cash flows of $9.5 million from the cash used in the first six months of 2021. The increase is primarily due to decreased capital expenditure purchases and higher net proceeds received from the settlement of foreign currency forward exchange contracts, partially offset by a decrease in the proceeds from sales of assets in the Harsco Environmental Segment and payments made for settlements of interest rate swaps.

Net cash (used) provided by financing activities — Net cash used by financing activities in the first six months of 2022 was $54.6 million, a decrease of $96.4 million from the first six months of 2021. The decrease was primarily due to lower net cash borrowings of $104.4 million in the first six months of 2022 resulting from the use of the AR Facility proceeds to reduce long-term debt.

Sources and Uses of Cash

The Company’s principal sources of liquidity are cash provided by operations on an annual basis and borrowings under the Senior Secured Credit Facilities, augmented by cash proceeds from asset sales. In addition, the Company has other bank credit facilities available throughout the world.  The Company expects to continue to utilize all of these sources to meet future cash requirements for operations and growth initiatives.

AR Facility

The Company maintains a trade receivables securitization facility to accelerate cash flows from trade accounts receivable. Under the AR Facility, the Company and its designated subsidiaries continuously sell their trade receivables as they are originated to the wholly-owned bankruptcy-remote SPE. During the six months ended June 30, 2022, the Company received proceeds of $120.0 million related to the facility.

Summary of Senior Secured Credit Facilities and Notes: (In millions)	June 30 2022		December 31 2021
By type:
New Term Loan	$	495.0	$	497.5
Revolving Credit Facility	341.0		362.0
5.75% Senior Notes	475.0		500.0
Total	$	1,311.0	$	1,359.5
By classification:
Current	$	5.0	$	5.0
Long-term	1,306.0		1,354.5
Total	$	1,311.0	$	1,359.5

38

	June 30, 2022
(In millions)	Facility Limit		Outstanding Balance		Outstanding Letters of Credit		Available Credit
Revolving credit facility (a U.S.-based program)	$	700.0	$	341.0	$	29.8	$	329.2

Debt Covenants

The Senior Secured Credit Facilities contain a consolidated net debt to consolidated adjusted EBITDA ratio covenant, which is not to exceed 5.50 for the quarter ending June 30, 2022 and then decreasing quarterly until reaching 4.00 on December 31, 2023, and a minimum consolidated adjusted EBITDA to consolidated interest charges ratio covenant, which is not to be less than 3.0.  At June 30, 2022 the Company was in compliance with these covenants, as the total net debt to adjusted EBITDA ratio (as defined in the Credit Agreement) was 4.98 and total interest coverage ratio was 3.8. Based on balances and covenants in effect at June 30, 2022 the Company could increase net debt by $131.0 million and remain in compliance with these debt covenants. Alternatively, adjusted EBITDA could decrease by $23.8 million, and the Company would remain in compliance with these covenants. The Company believes it will continue to maintain compliance with these covenants based on its current outlook.  However, the Company’s estimates of compliance with these covenants could change in the future with a continued deterioration in economic conditions or an inability to successfully execute its plans to realize increased pricing and to implement cost reduction initiatives that substantially mitigate the impacts of inflation and other factors adversely impacting its realized operating margins.

Cash Management

The Company has various cash management systems throughout the world that centralize cash in various bank accounts where it is economically justifiable and legally permissible to do so. These centralized cash balances are then redeployed to other operations to reduce short-term borrowings and to finance working capital needs or capital expenditures. Due to the transitory nature of cash balances, they are normally invested in bank deposits that can be withdrawn at will or in very liquid short-term bank time deposits and government obligations. The Company's policy is to use the largest banks in the various countries in which the Company operates. The Company monitors the creditworthiness of banks and, when appropriate, will adjust banking operations to reduce or eliminate exposure to less creditworthy banks.

At June 30, 2022, the Company's consolidated cash and cash equivalents included $94.8 million held by non-U.S. subsidiaries. At June 30, 2022, approximately 13.7% of the Company's consolidated cash and cash equivalents had regulatory restrictions that would preclude the transfer of funds with and among subsidiaries. Non-U.S. subsidiaries also held $34.2 million of cash and cash equivalents in consolidated strategic ventures. The strategic venture agreements may require strategic venture partner approval to transfer funds with and among subsidiaries. While the Company's remaining non-U.S. cash and cash equivalents can be transferred with and among subsidiaries, the majority of these non-U.S. cash balances will be used to support the ongoing working capital needs and continued growth of the Company's non-U.S. operations.

Recently Adopted and Recently Issued Accounting Standards

Information on recently adopted and recently issued accounting standards is included in Note 2, Recently Adopted and Recently Issued Accounting Standards, in Part I, Item 1, Financial Statements.

ITEM 3.     QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Market risks have not changed significantly from those disclosed in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2021.

39

ITEM 4.        CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

As of June 30, 2022, an evaluation was performed, under the supervision and with the participation of the Company’s management, including the Company's Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of the Company’s disclosure controls and procedures pursuant to Rule 13a – 15 under the Securities and Exchange Act of 1934, as amended. Based upon that evaluation, such officers concluded that the Company's disclosure controls and procedures are effective to ensure that information required to be disclosed by the Company in the reports it files or submits under the Securities and Exchange Act of 1934, as amended (1) is recorded, processed, summarized, and reported within the time periods specified in the Securities and Exchange Commission's rules and forms and (2) is accumulated and communicated to the Company's management, including the Chief Executive Officer and Chief Financial Officer, as appropriate, to allow for timely decisions regarding required disclosure.

Changes in Internal Control Over Financial Reporting

There were no changes in the Company's internal control over financial reporting during the Company's most recent fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Company's internal control over financial reporting.

PART II — OTHER INFORMATION 

ITEM 1.        LEGAL PROCEEDINGS

Information on legal proceedings is included in Note 12, Commitments and Contingencies, in Part I, Item 1, Financial Statements.

ITEM 1A.     RISK FACTORS

The Company's risk factors as of June 30, 2022 have not changed materially from those described in Part 1, Item 1A, "Risk Factors" of the Company's Annual Report on Form 10-K for the year ended December 31, 2021.

ITEM 2.        UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

None.

40

ITEM 6.        EXHIBITS

The following exhibits are included as part of this report by reference:

Exhibit Number	Description
10.1	Receivables Purchase Agreement, dated as of June 24, 2022, by and among Harsco Receivables LLC, Harsco Corporation, the person from time to time party thereto as purchasers, PNC Bank, National Association, as administrative agent, and PNC Capital Markets LLC, as structuring agent (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K dated June 24, 2022. Commission file Number 001-3970)
10.2	Purchase and Contribution Agreement, dated as of June 24, 2022, by and among Harsco Receivables LLC, Harsco Corporation, and various entities party thereto as originators (incorporated by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K dated June 24, 2022. Commission file Number 001-3970)
10.3	Amendment No. 10 to Third Amended and Restated Credit Agreement and Second Amendment to Guarantee and Collateral Agreement, dated as of June 24, 2022, among Harsco Corporation, the Subsidiary Guarantors party thereto, Bank of America, N.A. as administrative agent and collateral agent, and the lenders party thereto (incorporated by reference to Exhibit 10.3 to the Company’s Current Report on Form 8-K dated June 24, 2022. Commission File Number 001-03970)
10.4	Form of Restricted Stock Units Agreement (Non-Employee Director) (incorporated by reference to the Company’s Quarterly Report on Form 10-Q for the period ended June 30, 2020. Commission file Number 001-3970)
31.1	Certification Pursuant to Rule 13a-14(a) or 15d-14(a), as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (Chairman, President and Chief Executive Officer).
31.2	Certification Pursuant to Rule 13a-14(a) or 15d-14(a), as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (Chief Financial Officer).
32	Certifications Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (Chairman, President and Chief Executive Officer and Chief Financial Officer).
101.Def	Definition Linkbase Document
101.Pre	Presentation Linkbase Document
101.Lab	Labels Linkbase Document
101.Cal	Calculation Linkbase Document
101.Sch	Schema Document
101.Ins	Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
104	Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)

41

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.

HARSCO CORPORATION

(Registrant)

DATE	August 5, 2022	/s/ ANSHOOMAN AGA
		Anshooman Aga
		Senior Vice President and Chief Financial Officer
		(On behalf of the registrant and as Principal Financial Officer)
DATE	August 5, 2022	/s/ SAMUEL C. FENICE
		Samuel C. Fenice
		Vice President and Corporate Controller
		(Principal Accounting Officer)

42

EX-31.1

Exhibit 31.1

HARSCO CORPORATION

CERTIFICATION PURSUANT TO RULE 13a-14(a) OR 15d-14(a)

AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, F. Nicholas Grasberger, III, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Harsco Corporation;

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(s) 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 (the registrant’s fourth fiscal quarter in the case of an annual report) 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(s) 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. 

August 5, 2022

/s/ F. NICHOLAS GRASBERGER III

F. Nicholas Grasberger III

Chairman, President and Chief Executive Officer

EX-31.2

Exhibit 31.2

HARSCO CORPORATION

CERTIFICATION PURSUANT TO RULE 13a-14(a) OR 15d-14(a)

AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Anshooman Aga, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Harsco Corporation;

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(s) 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 (the registrant’s fourth fiscal quarter in the case of an annual report) 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(s) 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. 

August 5, 2022

/s/ ANSHOOMAN AGA

Anshooman Aga

Senior Vice President and Chief Financial Officer

EX-32

Exhibit 32

HARSCO CORPORATION

CERTIFICATIONS PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Harsco Corporation (the "Company") on Form 10-Q for the period ending June 30, 2022, as filed with the Securities and Exchange Commission on the date hereof (the "Report"), we certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to the best of our knowledge:

(1)The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

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

August 5, 2022

/s/ F. NICHOLAS GRASBERGER III

F. Nicholas Grasberger III

Chairman, President and Chief Executive Officer

/s/ ANSHOOMAN AGA

Anshooman Aga

Senior Vice President and Chief Financial Officer

A signed original of this written statement required by Section 906 has been provided to Harsco Corporation and will be retained by Harsco Corporation and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Cover Page - shares	6 Months Ended
	Jun. 30, 2022	Jul. 29, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2022
Document Transition Report	false
Entity File Number	001-03970
Entity Registrant Name	HARSCO CORP
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	23-1483991
Entity Address, Address Line One	350 Poplar Church Road,
Entity Address, City or Town	Camp Hill,
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	17011
City Area Code	717
Local Phone Number	763-7064
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Shell Company	false
Entity Small Business	false
Entity Emerging Growth Company	false
Title of 12(b) Security	Common stock, par value $1.25 per share
Trading Symbol	HSC
Security Exchange Name	NYSE
Entity Common Stock, Shares Outstanding		79,431,694
Entity Central Index Key	0000045876
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Amendment Flag	false

XML

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 96,782	$ 82,908
Restricted cash	4,025	4,220
Trade accounts receivable, net	267,747	377,881
Other receivables	28,174	33,059
Inventories	80,999	70,493
Prepaid expenses	21,906	31,065
Current portion of assets held-for-sale	263,913	265,413
Other current assets	26,508	9,934
Total current assets	790,054	874,973
Property, plant and equipment, net	637,480	653,913
Right-of-use assets, net	104,212	101,576
Goodwill	759,439	883,109
Intangible assets, net	382,741	402,801
Deferred income tax assets	16,551	17,883
Assets held-for-sale	65,079	71,234
Other assets	43,403	48,419
Total assets	2,798,959	3,053,908
Current liabilities:
Short-term borrowings	2,196	7,748
Current maturities of long-term debt	17,952	10,226
Accounts payable	213,037	186,126
Accrued compensation	40,744	48,165
Current portion of operating lease liabilities	26,073	25,590
Current portion of liabilities of assets held-for-sale	151,369	161,999
Other current liabilities	147,022	161,537
Total current liabilities	598,393	601,391
Long-term debt	1,302,857	1,359,446
Retirement plan liabilities	60,424	93,693
Operating lease liabilities	77,104	74,571
Liabilities of assets held-for-sale	7,827	8,492
Environmental liabilities	26,669	28,435
Deferred tax liabilities	27,372	33,826
Other liabilities	46,610	48,284
Total liabilities	2,147,256	2,248,138
COMMITMENTS AND CONTINGENCIES
HARSCO CORPORATION STOCKHOLDERS' EQUITY
Common stock	145,319	144,883
Additional paid-in capital	221,117	215,528
Accumulated other comprehensive loss	(573,872)	(560,139)
Retained earnings	1,649,080	1,794,510
Treasury stock	(848,320)	(846,622)
Total Harsco Corporation stockholders’ equity	593,324	748,160
Noncontrolling interests	58,379	57,610
Total equity	651,703	805,770
Total liabilities and equity	$ 2,798,959	$ 3,053,908

XML

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Revenues from continuing operations:
Total revenues	$ 481,052	$ 468,674	$ 933,849	$ 915,939
Costs and expenses from continuing operations:
Selling, general and administrative expenses	67,935	70,805	137,088	142,419
Research and development expenses	296	323	352	480
Goodwill impairment	104,580	0	104,580	0
Other (income) expenses, net	2,045	(4,167)	866	(5,158)
Total costs and expenses	578,055	442,409	1,023,104	870,556
Operating income (loss) from continuing operations	(97,003)	26,265	(89,255)	45,383
Interest income	693	577	1,337	1,124
Interest expense	(16,692)	(15,643)	(31,784)	(31,899)
Facility fees and debt-related income (expense)	2,149	(50)	1,617	(5,308)
Defined benefit pension income	2,247	3,956	4,657	7,890
Income (loss) from continuing operations before income taxes and equity income	(108,606)	15,105	(113,428)	17,190
Income tax benefit (expense) from continuing operations	3,115	(4,797)	1,894	(6,898)
Equity income (loss) of unconsolidated entities, net	(114)	(76)	(245)	(195)
Income (loss) from continuing operations	(105,605)	10,232	(111,779)	10,097
Discontinued operations:
Income (loss) from discontinued businesses	1,879	8,239	(37,218)	11,603
Income tax benefit (expense) from discontinued businesses	(770)	(3,391)	5,821	(5,055)
Income (loss) from discontinued operations, net of tax	1,109	4,848	(31,397)	6,548
Net income (loss)	(104,496)	15,080	(143,176)	16,645
Less: Net (income) loss attributable to noncontrolling interests	(1,095)	(1,692)	(2,254)	(3,122)
Net income (loss) attributable to Harsco Corporation	(105,591)	13,388	(145,430)	13,523
Amounts attributable to Harsco Corporation common stockholders:
Income (loss) from continuing operations, net of tax	(106,700)	8,540	(114,033)	6,975
Income (loss) from discontinued operations, net of tax	1,109	4,848	(31,397)	6,548
Net income (loss) attributable to Harsco Corporation	$ (105,591)	$ 13,388	$ (145,430)	$ 13,523
Weighted-average shares of common stock outstanding	79,509	79,265	79,437	79,177
Basic earnings (loss) per common share attributable to Harsco Corporation common stockholders:
Continuing operations (in dollars per share)	$ (1.34)	$ 0.11	$ (1.44)	$ 0.09
Discontinued operations (in dollars per share)	0.01	0.06	(0.40)	0.08
Basic earnings (loss) per share attributable to Harsco Corporation common stockholders (in dollars per share)	$ (1.33)	$ 0.17	$ (1.83)	$ 0.17
Diluted weighted-average shares of common stock outstanding (in shares)	79,509	80,774	79,437	80,397
Diluted earnings (loss) per common share attributable to Harsco Corporation common stockholders:
Continuing operations (in dollars per share)	$ (1.34)	$ 0.11	$ (1.44)	$ 0.09
Discontinued operations (in dollars per share)	0.01	0.06	(0.40)	0.08
Diluted earnings (loss) per share attributable to Harsco Corporation common stockholders (in dollars per share)	$ (1.33)	$ 0.17	$ (1.83)	$ 0.17
Products And Services, Service Revenue
Revenues from continuing operations:
Total revenues	$ 439,618	$ 429,651	$ 858,053	$ 843,990
Costs and expenses from continuing operations:
Cost of services sold	368,994	344,982	715,351	674,835
Product Revenues
Revenues from continuing operations:
Total revenues	41,434	39,023	75,796	71,949
Costs and expenses from continuing operations:
Cost of services sold	$ 34,205	$ 30,466	$ 64,867	$ 57,980

XML

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ (104,496)	$ 15,080	$ (143,176)	$ 16,645
Other comprehensive income (loss):
Foreign currency translation adjustments, net of deferred income taxes	(58,646)	15,446	(61,493)	12,150
Net loss on cash flow hedging instruments, net of deferred income taxes	720	234	1,860	923
Pension liability adjustments, net of deferred income taxes	28,810	2,225	42,528	6,044
Unrealized gain (loss) on marketable securities, net of deferred income taxes	(10)	8	(13)	25
Total other comprehensive income (loss)	(29,126)	17,913	(17,118)	19,142
Total comprehensive income (loss)	(133,622)	32,993	(160,294)	35,787
Less: Comprehensive (income) loss attributable to noncontrolling interests	1,808	(2,365)	1,131	(2,729)
Comprehensive income (loss) attributable to Harsco Corporation	$ (131,814)	$ 30,628	$ (159,163)	$ 33,058

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement of Comprehensive Income [Abstract]
Foreign currency translation adjustments, deferred income taxes	$ (4,616)	$ 552	$ (6,454)	$ 1,175
Net gain (loss) on cash flow hedging instruments, deferred income taxes	(301)	(158)	(631)	(302)
Pension liability adjustments, deferred income taxes	(312)	(358)	(664)	(696)
Unrealized gain (loss) on marketable securities, deferred income taxes	$ 4	$ (2)	$ 4	$ (9)

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Cash flows from operating activities:
Net income (loss)	$ (143,176)	$ 16,645
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation	66,067	64,904
Amortization	17,067	17,783
Deferred income tax (benefit) expense	(10,396)	(6,407)
Equity (income) loss of unconsolidated entities, net	245	195
Dividends from unconsolidated entities	526	0
(Gain) loss on early extinguishment of debt	(2,254)	2,668
Goodwill impairment charge	104,580	0
Other, net	1,020	(2,149)
Changes in assets and liabilities, net of acquisitions and dispositions of businesses:
Accounts receivable	87,607	(23,484)
Increase (Decrease) in Income Taxes Receivable	7,687	0
Inventories	(8,435)	15,456
Contract assets	7,836	(37,866)
Right-of-use assets	14,383	13,897
Accounts payable	18,847	(13,491)
Accrued interest payable	(740)	(137)
Accrued compensation	(5,884)	4,701
Advances on contracts	(13,626)	(13,351)
Operating lease liabilities	(14,095)	(13,506)
Retirement plan liabilities, net	(21,587)	(27,858)
Other assets and liabilities	12,067	15,530
Net cash provided by operating activities	117,739	13,530
Cash flows from investing activities:
Purchases of property, plant and equipment	(61,791)	(68,646)
Proceeds from sales of assets	6,591	10,042
Expenditures for intangible assets	(100)	(132)
Proceeds from notes receivable	8,605	6,400
Net proceeds (payments) from settlement of foreign currency forward exchange contracts	4,999	(978)
Payments for settlements of interest rate swaps	2,123	0
Other investing activities, net	153	133
Net cash used by investing activities	(43,666)	(53,181)
Cash flows from financing activities:
Short-term borrowings, net	(31)	4,444
Current maturities and long-term debt:
Additions	104,961	465,518
Reductions	(152,861)	(413,481)
Dividends paid to noncontrolling interests	0	(3,094)
Noncontrolling Interest - purchase or sale	1,901	0
Stock-based compensation - Employee taxes paid	(1,698)	(3,172)
Payment of contingent consideration	(6,915)	0
Deferred financing costs	0	(7,828)
Other financing activities, net	0	(601)
Net cash (used) provided by financing activities	(54,643)	41,786
Effect of exchange rate changes on cash and cash equivalents, including restricted cash	(5,751)	483
Net increase in cash and cash equivalents, including restricted cash	13,679	2,618
Cash and cash equivalents, including restricted cash, at beginning of period	87,128	79,669
Cash and cash equivalents, including restricted cash, at end of period	100,807	82,287
Supplemental Cash Flow Information [Abstract]
Change in accrual for purchases of property, plant and equipment included in accounts payable	$ 6,836	$ 2,158

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CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (Unaudited) - USD ($) $ in Thousands	Total	Common Stock Issued	Common Stock Treasury	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Loss	Noncontrolling Interests
Beginning balance at Dec. 31, 2020	$ 713,399	$ 144,288	$ (843,230)	$ 204,078	$ 1,797,759	$ (645,741)	$ 56,245
Increase (Decrease) in Stockholders' Equity
Net income (loss)	1,565				135		1,430
Total other comprehensive income	1,229					2,295	(1,066)
Stock appreciation rights exercised, net	(70)	9	(70)	(9)
Vesting of restricted stock units and other stock grants, net	(1,850)	312	(1,850)	(312)
Vesting of performance share units, net	(1,032)	155	(1,032)	(155)
Amortization of unearned portion of stock-based compensation, net of forfeitures	3,342			3,342
Ending balance at Mar. 31, 2021	716,583	144,764	(846,182)	206,944	1,797,894	(643,446)	56,609
Beginning balance at Dec. 31, 2020	713,399	144,288	(843,230)	204,078	1,797,759	(645,741)	56,245
Increase (Decrease) in Stockholders' Equity
Net income (loss)	16,645
Total other comprehensive income	19,142
Ending balance at Jun. 30, 2021	749,383	144,836	(846,401)	209,992	1,811,282	(626,206)	55,880
Beginning balance at Mar. 31, 2021	716,583	144,764	(846,182)	206,944	1,797,894	(643,446)	56,609
Increase (Decrease) in Stockholders' Equity
Net income (loss)	15,080				13,388		1,692
Noncontrolling interests	(3,094)						(3,094)
Total other comprehensive income	17,913					17,240	673
Stock appreciation rights exercised, net	(219)	28	(219)	(28)
Vesting of performance share units, net	0	44		(44)
Amortization of unearned portion of stock-based compensation, net of forfeitures	3,120			3,120
Ending balance at Jun. 30, 2021	749,383	144,836	(846,401)	209,992	1,811,282	(626,206)	55,880
Beginning balance at Dec. 31, 2021	805,770	144,883	(846,622)	215,528	1,794,510	(560,139)	57,610
Increase (Decrease) in Stockholders' Equity
Net income (loss)	(38,680)				(39,839)		1,159
Total other comprehensive income	12,008					12,490	(482)
Vesting of restricted stock units and other stock grants, net	(1,632)	378	(1,632)	(378)
Amortization of unearned portion of stock-based compensation, net of forfeitures	3,629			3,629
Ending balance at Mar. 31, 2022	781,095	145,261	(848,254)	218,779	1,754,671	(547,649)	58,287
Beginning balance at Dec. 31, 2021	805,770	144,883	(846,622)	215,528	1,794,510	(560,139)	57,610
Increase (Decrease) in Stockholders' Equity
Net income (loss)	(143,176)
Total other comprehensive income	(17,118)
Ending balance at Jun. 30, 2022	651,703	145,319	(848,320)	221,117	1,649,080	(573,872)	58,379
Beginning balance at Mar. 31, 2022	781,095	145,261	(848,254)	218,779	1,754,671	(547,649)	58,287
Increase (Decrease) in Stockholders' Equity
Net income (loss)	(104,496)				(105,591)		1,095
Total other comprehensive income	(29,126)					(26,223)	(2,903)
Contributions from noncontrolling interests	1,900						1,900
Stock appreciation rights exercised, net	(66)	29	(66)	(29)
Vesting of restricted stock units and other stock grants, net	0	29		(29)
Amortization of unearned portion of stock-based compensation, net of forfeitures	2,396			2,396
Ending balance at Jun. 30, 2022	$ 651,703	$ 145,319	$ (848,320)	$ 221,117	$ 1,649,080	$ (573,872)	$ 58,379

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CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (Unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Mar. 31, 2021
Statement of Stockholders' Equity [Abstract]
Total other comprehensive income, deferred income taxes	$ (5,225)	$ (2,520)	$ 34	$ 134
Vesting of restricted stock units and other stock grants (in shares)	23,224	176,253	34,986	144,967
Stock appreciation rights exercised (in shares)	16,671		13,061	3,842
Stock Issued During Period, Shares, Other				69,127
Noncontrolling interests			$ (3,094)

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Basis of Presentation

6 Months Ended

Jun. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

Basis of Presentation

The Company has prepared these unaudited condensed consolidated financial statements in accordance with U.S. GAAP for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X of the SEC. Accordingly, the unaudited condensed consolidated financial statements do not include all information and disclosure required by U.S. GAAP for annual financial statements. The December 31, 2021 Condensed Consolidated Balance Sheet information contained in this Quarterly Report on Form 10-Q was derived from the 2021 audited consolidated financial statements.  The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements, including the notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. In the opinion of management, all adjustments (all of which are of a normal recurring nature) that are necessary for a fair statement are reflected in the unaudited condensed consolidated financial statements. 

The components of the Condensed Consolidated Statements of Operations caption Facility fees and debt-related income (expense) were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(in thousands)	2022		2021		2022		2021
Gain (loss) on extinguishment of debt	$	2,254	$	—	$	2,254	$	(2,668)
Unused debt commitment and amendment fees	(6)		(50)		(538)		(2,640)
Securitization and factoring fees	(99)		—		(99)		—
Facility fees and debt-related income (expense)	$	2,149	$	(50)	$	1,617	$	(5,308)

Liquidity

The Company’s cash flow forecasts, combined with existing cash and cash equivalents, indicate sufficient liquidity to fund the Company’s operations for at least the next twelve months. As such, the Company’s consolidated financial statements have been prepared on the basis that it will continue as a going concern for a period extending beyond twelve months from the date the consolidated financial statements are issued. This assessment includes the expected ability to meet required financial covenants and the continued ability to draw down on the Senior Secured Credit Facilities (see Note 9).

Reclassifications

Certain reclassifications have been made to prior year amounts to conform with current year classifications.

During the second quarter of 2022, the Company recognized $2.6 million in service revenues as an out-of-period adjustment in the Harsco Clean Earth Segment. The adjustment was not considered material to the interim or annual consolidated financial statements for the interim periods ended June 30, 2022 or the financial statements of any previously filed interim or annual periods.

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Recently Adopted and Recently Issued Accounting Standards

6 Months Ended

Jun. 30, 2022

Accounting Changes and Error Corrections [Abstract]

Recently Adopted and Recently Issued Accounting Standards

Recently Adopted and Recently Issued Accounting Standards

The following accounting standards have been adopted in 2022:

On January 1, 2022, the Company adopted changes issued by the FASB which simplified the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts on an entity's own equity. The adoption of these changes did not have a material impact on the Company's condensed consolidated financial statements.

On January 1, 2022, the Company adopted changes issued by the FASB which improve the transparency of government assistance received by entities. Other than expanded annual disclosures, the adoption of these changes did not have a material impact on the Company's consolidated financial statements.

The following accounting standard has been issued and becomes effective for the Company at a future date:

In March 2020, the FASB issued changes that provide companies with optional guidance to ease the potential accounting burden associated with transitioning from reference rates that are expected to be discontinued. In response to the concerns about risks of IBORs and, particularly, the risk of cessation of LIBOR, regulators in several jurisdictions around the world have undertaken reference rate reform initiatives to identify alternative reference rates that are more observable or transaction-based and less susceptible to manipulation. The changes provide optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. In January 2021, the FASB issued additional clarification changes. The changes can be adopted no later than December 31, 2022 with early adoption permitted. Management does not believe these changes will have a material impact on the Company's consolidated financial statements.

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Dispositions

6 Months Ended

Jun. 30, 2022

Business Combinations [Abstract]

Dispositions

Dispositions

Harsco Rail Segment

In November 2021, the Company announced its intention to sell its Rail business. The sales process was ongoing during the second quarter of 2022. The former Harsco Rail Segment has historically been a separate reportable segment with primary operations in the United States, Europe and Asia Pacific.

The former Harsco Rail Segment's balance sheet positions as of June 30, 2022 and December 31, 2021 are presented as Assets held-for-sale and Liabilities of assets held-for-sale in the Condensed Consolidated Balance Sheets and are summarized as follows:

(in thousands)	June 30 2022		December 31 2021
Trade accounts receivable, net	$	44,953	$	33,689
Other receivables	4,102		4,740
Inventories	97,916		103,560
Current portion of contract assets	89,867		94,597
Other current assets	26,463		25,442
Property, plant and equipment, net	39,993		39,524
Right-of-use assets, net	2,308		3,108
Goodwill	13,026		13,026
Intangible assets, net	2,883		3,081
Deferred income tax assets	5,690		6,064
Other assets	1,179		6,432
Total Rail assets included in Assets held-for-sale	$	328,380	$	333,263
Accounts payable	$	38,906	$	46,076
Accrued compensation	1,995		2,171
Current portion of operating lease liabilities	1,229		1,619
Current portion of advances on contracts	44,817		62,401
Other current liabilities	64,422		49,732
Operating lease liabilities	1,246		1,775
Deferred tax liabilities	5,699		5,736
Other liabilities	882		981
Total Rail liabilities included in Liabilities of assets held-for-sale	$	159,196	$	170,491

The results of the former Harsco Rail Segment are presented as discontinued operations and, as such, have been excluded from both continuing operations and segment results for the three and six months ended June 30, 2022, and 2021. Certain key selected financial information included in Income (loss) from discontinued operations, net of tax for the former Harsco Rail Segment is as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Amounts directly attributable to the former Harsco Rail Segment:
Service revenues	$	7,488	$	7,081	$	14,198	$	17,190
Product revenues (a)	64,396		94,065		109,392		165,546
Cost of services sold	4,589		3,527		9,264		8,180
Cost of products sold	53,260		75,396		126,421		134,458
Income (loss) from discontinued businesses	5,163		9,690		(30,732)		14,845
Additional amounts allocated to the former Harsco Rail Segment:
Selling, general and administrative expenses (b)	$	1,862	$	—	$	3,511	$	—

(a) The decrease in product revenues for the six months ended June 30, 2022 as compared to the six months ended June 30, 2021 is due to liquidated damages and penalties on certain long-term contracts, as discussed below.

(b) The Company has allocated directly attributable transaction costs to discontinued operations.

The Company has retained corporate overhead expenses previously allocated to the former Harsco Rail Segment of $1.1 million and $2.1 million for each of the three and six months ended June 30, 2022, and 2021, respectively, as part of Selling, general and administrative expenses on the Condensed Consolidated Statements of Operations.

The Company's former Harsco Rail Segment is currently manufacturing highly-engineered equipment under large long-term fixed-price contracts with SBB, Network Rail, and Deutsche Bahn. As disclosed previously, in the fourth quarter of 2021, the Company recognized an estimated forward loss provision of $33.4 million related to these contracts. In the first quarter of 2022, the Company encountered continued supply chain related delays and additional costs in the build of the machines.

For the Network Rail contracts, the Company encountered additional supply chain delays in the build of the initial machine, and there were further changes to the production schedule based on the manufacturing experience gained from assembling the first unit during the quarter which had a cascading effect on the delivery schedule of remaining machines. During the three and six months ended June 30, 2022, the Company recorded forward loss provisions of $0.3 million and $24.5 million, respectively, principally for additional estimated contractual liquidated damages. The Company continues to negotiate with Network Rail regarding a reduction to these liquidated damages, which could result in additional favorable or unfavorable adjustments in future periods.

For the Deutsche Bahn contract, on March 8, 2022 a European-based supplier of critical components to the project indicated it would be significantly late on the delivery of these components to the project, which has the impact of delaying the overall delivery schedule for the project. As a result, the Company recorded an additional $7.4 million estimated forward loss provision during the first quarter of 2022 due principally to the estimated contractual penalties that would be triggered by this delay. Additionally, this supplier filed for bankruptcy during the second quarter of 2022, although it continues to operate. Should this supplier cease operations, the Company many incur further losses if there are additional costs to change suppliers, an inability to recover the value of prepayments made to the supplier, as well as additional penalties and damages under the contract with Deutsche Bahn in the event of further production delays.

For the second SBB contract, the Company recorded an additional $3.5 million forward estimated loss provision during the first quarter of 2022 due to additional supply chain delays and cost overruns.

The estimated forward loss provisions represent the Company's best estimate based on currently available information. It is possible that the Company's overall estimate of liquidated damages, penalties and costs to complete these contracts may change, which would result in an additional estimated forward loss provision at such time.

The first contract with SBB is complete, and the second contract is 81% complete as of June 30, 2022. The contracts with Network Rail and Deutsche Bahn are 48% and 26% complete, respectively, as of June 30, 2022.

The following is selected financial information included on the Condensed Consolidated Statements of Cash Flows attributable to the former Harsco Rail Segment:

	Six Months Ended June 30
(In thousands)	2022		2021
Non-cash operating items
Depreciation and amortization	$	—	$	2,588
Cash flows from investing activities
Purchases of property, plant and equipment	1,031		800

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Accounts Receivable (Notes)

6 Months Ended

Jun. 30, 2022

Receivables [Abstract]

Accounts Receivable and Note Receivable

Accounts Receivable and Note Receivable

Accounts receivable consist of the following:

	June 30 2022		December 31 2021
Trade accounts receivable (a)	$	275,946	$	389,535
Less: Allowance for expected credit losses (a)	(8,199)		(11,654)
Trade accounts receivable, net	$	267,747	$	377,881
Other receivables (b)	$	28,174	$	33,059

(a) The December 31, 2021 amounts for trade accounts receivable and allowance for expected credit losses have been corrected from their previous presentation. These corrections did not impact the amount of the allowance for expected credit losses recorded in the June 30, 2022 Condensed Consolidated Balance Sheets or the Condensed Consolidated Statement of Operations for the three and six months ended June 30, 2022.

(b) Other receivables include employee receivables, insurance receivable, tax claims and refunds and other miscellaneous items not included in Trade accounts receivable, net.

The provision for expected credit losses related to trade accounts receivable was as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Provision for expected credit losses and doubtful accounts related to trade accounts receivable	$	(268)	$	74	$	57	$	728

At June 30, 2022, $5.6 million of the Company's trade accounts receivable were past due by twelve months or more, with $2.9 million of this amount reserved. Collection of the remaining balance is still ultimately expected.

Accounts Receivable Securitization Facility

On June 24, 2022, the Company entered into a trade receivables securitization facility (“AR Facility”) to accelerate cash flows from trade accounts receivable. Under the AR Facility, the Company and its subsidiaries continuously sell their trade receivables as they are originated to a wholly-owned special purpose entity (“SPE”). The SPE transfers ownership and control of qualifying receivables to PNC Bank, National Association (“PNC”) and other unaffiliated purchasers in exchange for cash. None of the assets or credit of the SPE is available to satisfy the debts and obligations owed to the creditors of the Company or any other person until the obligations of the SPE under the facility have been satisfied. The Company controls and consolidates the SPE in its condensed consolidated financial statements. The AR Facility has a term of three years.

As cash is collected on the trade receivables, the SPE has the ability to continuously transfer ownership and control of new qualifying receivables to PNC and the other unaffiliated purchasers such that the total outstanding balance of trade receivables sold can be up to $150 million at any point in time, which is the maximum purchase commitment of PNC and the other unaffiliated purchasers. The future outstanding balance of trade receivables that are sold is expected to vary based on the level of activity and other factors and could be less than the maximum purchase commitment of $150 million. The Company accounts for receivables sold under the AR Facility as a sale of financial assets and derecognizes these trade receivables from the Company’s Condensed Consolidated Balance Sheets. The total outstanding balance of trade receivables that have been sold and derecognized by the SPE is $120 million as of June 30, 2022. The SPE owned $92.0 million of trade receivables as of June 30, 2022, and these amounts are included in the caption Trade accounts receivable, net on the Condensed Consolidated Balance Sheets. The Company continues to be involved with the trade receivables after they are sold to PNC by acting as servicer.

The fees incurred for the AR Facility are included in Facility fees and debt-related income (expense) on the Condensed Consolidated Statements of Operations. See Note 1, Basis of Presentation, for additional details. The Company capitalized fees of $1.8 million related to the securitization facility, which will be amortized over the term of the agreement.

Upon execution of the AR Facility during the second quarter of 2022, the Company received proceeds of $120.0 million, which is presented as a cash flow from operating activities in the Condensed Consolidated Statements of Cash Flows.

Factoring Arrangement

The Company maintains a factoring arrangement with a financial institution to sell certain accounts receivable that are also accounted for as a sale of financial assets. At June 30, 2022 and December 31, 2021, the amounts outstanding under the arrangement was $12.6 million and $12.9 million, respectively, under a program capacity of $18.8 million and $16.5 million, respectively.

Note Receivable

In January 2020 the Company sold IKG for $85.0 million including cash and a note receivable, subject to post-closing adjustments. The note receivable from the buyer has a face value of $40.0 million, bearing interest at 2.50%, that is paid in kind and matures on January 31, 2027. Any unpaid principal, along with any accrued but unpaid interest is payable at maturity. Prepayment is required in case of a change in control or a percentage of excess cash flow, as defined in the note receivable agreement. Because there are no scheduled payments under the terms of the note receivable, the balance is not classified as current as of June 30, 2022 and is included in the caption Other assets on the Condensed Consolidated Balance Sheet. The initial fair value of the note receivable was $34.3 million which was calculated using an average of various discounted cash flow scenarios based on anticipated timing of repayments (Level 3) and was a non-cash transaction. The note receivable is subsequently measured at amortized cost. Key inputs into the valuation model include: projected timing and amount of cash flows, pro forma debt rating, option-adjusted spread and U.S. Treasury spot rate. During the three and six months ended June 30, 2022, the Company received a payment of $8.6 million related to excess cash flow. At June 30, 2022 the amortized cost of the note receivable was $23.2 million, compared with a fair value of $23.3 million.

(In thousands)	June 30 2022		December 31 2021
Note receivable	$	23,205	$	31,025

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Inventories

6 Months Ended

Jun. 30, 2022

Inventory Disclosure [Abstract]

Inventories

Inventories

Inventories consist of the following:

(In thousands)	June 30 2022		December 31 2021
Finished goods	$	8,821	$	8,323
Work-in-process	4,894		5,393
Raw materials and purchased parts	27,866		21,188
Stores and supplies	39,418		35,589
Total inventories	$	80,999	$	70,493

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Property, Plant and Equipment

6 Months Ended

Jun. 30, 2022

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment

Property, Plant and Equipment

Property, plant and equipment consist of the following:

(In thousands)	June 30 2022		December 31 2021
Land	$	72,678	$	73,067
Land improvements	16,706		16,970
Buildings and improvements	218,950		221,236
Machinery and equipment	1,490,695		1,507,214
Uncompleted construction	61,594		63,816
Gross property, plant and equipment	1,860,623		1,882,303
Less: Accumulated depreciation	(1,223,143)		(1,228,390)
Property, plant and equipment, net	$	637,480	$	653,913

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Leases

6 Months Ended

Jun. 30, 2022

Leases [Abstract]

Leases

Leases

The components of lease expense were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Finance leases:
Amortization expense	$	979	$	474	$	1,957	$	949
Interest on lease liabilities	182		109		365		211
Operating leases	8,432		7,933		16,501		15,829
Variable and short-term lease expense	11,986		13,024		25,329		25,126
Sublease income	(1)		(2)		(3)		(51)
Total lease expense from continuing operations	$	21,578	$	21,538	$	44,149	$	42,064

As of June 30, 2022, the Company had additional operating leases for equipment that had not yet commenced with estimated operating lease obligations of approximately $19 million to be recognized upon anticipated lease commencement in the third and fourth quarters of 2022.

Leases

Leases

The components of lease expense were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Finance leases:
Amortization expense	$	979	$	474	$	1,957	$	949
Interest on lease liabilities	182		109		365		211
Operating leases	8,432		7,933		16,501		15,829
Variable and short-term lease expense	11,986		13,024		25,329		25,126
Sublease income	(1)		(2)		(3)		(51)
Total lease expense from continuing operations	$	21,578	$	21,538	$	44,149	$	42,064

As of June 30, 2022, the Company had additional operating leases for equipment that had not yet commenced with estimated operating lease obligations of approximately $19 million to be recognized upon anticipated lease commencement in the third and fourth quarters of 2022.

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Goodwill and Other Intangible Assets

6 Months Ended

Jun. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

The following table reflects the changes in carrying amounts of goodwill by segment for the six months ended June 30, 2022:

(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Balance at December 31, 2021	$	399,230	$	483,879	$	883,109
Goodwill impairment	—		(104,580)		(104,580)
Foreign currency translation	(19,090)		—		(19,090)
Balance at June 30, 2022	$	380,140	$	379,299	$	759,439

The Company tests for goodwill impairment annually, or more frequently if indicators of impairment exist, or if a decision is made to dispose of a business.  The Company performs its annual goodwill impairment test as of October 1 and monitors for triggering events on an ongoing basis.

As of June 30, 2022, the Company determined that an interim test of goodwill was required. The triggering event was principally due to lower near-term earnings expectations due to the impacts of inflation. The Company used a discounted cash flow model (“DCF model”) to estimate the current fair value of the Clean Earth reporting unit (Level 3), which is defined as the Clean Earth Segment. A number of significant assumptions and estimates are involved in the preparation of DCF models including future revenues and operating margin growth, the weighted-average cost of capital (“WACC”), tax rates, capital spending, pension funding, the impact of business initiatives and working capital projections. The DCF model is based on approved forecasts for the early years and historical relationships and projections for later years. The WACC rate is derived from internal and external factors including, but not limited to, the average market price of the Company's stock, shares outstanding, book value of the Company's debt, the long-term risk-free interest rate, and both market and size-specific risk premiums. As a result of this testing, the Company recorded a goodwill impairment charge of $104.6 million for the Clean Earth Segment in the second quarter of 2022. This charge had no impact on the Company's cash flows or compliance with debt covenants.    

For the Harsco Environmental Segment and the Rail business, the Company determined that, as of June 30, 2022, no interim goodwill impairment testing was necessary.  However, a continued economic downturn, including continued cost inflation and labor shortages could impact the Company's future projected cash flows used to estimate fair value, which could result in an impairment charge to any of the Company's segments in a future period.

Other Intangibles

Because of lower-than-expected results for the Altek Group of the Harsco Environmental Segment for 2021 due to the timing of customer orders, the Company tested Altek's asset group's recoverability in the fourth quarter of 2021 and no impairment was recorded. The long-lived assets (other than goodwill) of the Altek Group within the Harsco Environmental Segment primarily consist of intangible assets which have a carrying value of approximately $33 million at June 30, 2022. The Company has not identified any triggering events for the Altek asset group in the second quarter of 2022. However, if actual results prove inconsistent with the Company’s assumptions and judgments of the projected cash flows, it could result in impairment of the Altek intangible assets in future periods.

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Debt and Credit Agreements

6 Months Ended

Jun. 30, 2022

Debt Disclosure [Abstract]

Debt and Credit Agreements

Debt and Credit Agreements

On February 22, 2022, the Company amended its Senior Secured Credit Facilities to reset the levels of its net debt to consolidated adjusted EBITDA ratio covenant. As a result of this amendment, the total net debt to consolidated adjusted EBITDA ratio covenant was set at 5.50 for the quarter ending June 30, 2022, and decreases quarterly by 0.25 until reaching 4.00 for the quarter ending December 31, 2023 and thereafter. In addition, upon closing on the divestiture of the former Harsco Rail Segment, the total net debt to consolidated adjusted EBITDA ratio covenant will decrease by an additional 0.25, provided, however, it will not go below 4.00 and a minimum consolidated adjusted EBITDA to consolidated interest charges ratio covenant, which is not to be less than 3.0. At June 30, 2022 the Company was in compliance with these covenants, as the total net debt to consolidated adjusted EBITDA ratio (as defined in the Credit Agreement) was 4.98 and total interest coverage ratio was 3.8.

The Company believes it will continue to maintain compliance with these covenants based on its current outlook. However, the Company’s estimates of compliance with these covenants could change in the future with a continued deterioration in economic conditions or an inability to successfully execute its plans to realize increased pricing and to implement cost reduction initiatives that substantially mitigate the impacts of inflation and other factors adversely impacting its realized operating margins.

In connection with entering into the AR Facility on June 24, 2022, the Company amended its Senior Secured Credit Facilities to increase the permitted maximum outstanding amount of a securitization facility to $150 million and certain other covenants and definitions were modified to facilitate the AR Facility.

In June 2022, the Company repurchased $25.0 million of its 5.75% Senior Notes on the open market at a discount for $22.4 million. The Company recognized a gain on the extinguishment of debt of $2.3 million, net of the write-off of $0.3 million of previously recorded deferred financing costs, in the caption Facility fees and debt-related income (expense) on the Condensed Consolidated Statement of Operations.

Long-term debt consists of the following:

(In thousands)	June 30 2022		December 31 2021
Senior Secured Credit Facilities:
New Term Loan	$	495,000	$	497,500
Revolving Credit Facility	341,000		362,000
5.75% Senior Notes	475,000		500,000
Other financing payable (including finance leases) in varying amounts	26,392		28,389
Total debt obligations	1,337,392		1,387,889
Less: deferred financing costs	(16,583)		(18,217)
Total debt obligations, net of deferred financing costs	1,320,809		1,369,672
Less: current maturities of long-term debt	(17,952)		(10,226)
Long-term debt	$	1,302,857	$	1,359,446

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Employee Benefit Plans

6 Months Ended

Jun. 30, 2022

Retirement Benefits [Abstract]

Employee Benefit Plans

Employee Benefit Plans

	Three Months Ended
	June 30
Defined Benefit Pension Plan Net Periodic Pension Cost (Benefit)	U.S. Plans				International Plans
(In thousands)	2022		2021		2022		2021
Service costs	$	—	$	—	$	417	$	467
Interest costs	1,429		1,203		4,128		3,205
Expected return on plan assets	(2,698)		(3,050)		(9,720)		(11,392)
Recognized prior service costs	—		—		113		128
Recognized actuarial losses	1,183		1,385		3,313		4,586
Defined benefit pension plan net periodic pension cost (benefit)	$	(86)	$	(462)	$	(1,749)	$	(3,006)

	Six Months Ended
	June 30
Defined Benefit Pension Plans Net Periodic Pension Cost (Benefit)	U.S. Plans				International Plans
(In thousands)	2022		2021		2022		2021
Service costs	$	—	$	—	$	849	$	929
Interest costs	2,858		2,406		8,522		6,382
Expected return on plan assets	(5,397)		(6,100)		(20,104)		(22,723)
Recognized prior service costs	—		—		233		255
Recognized actuarial losses	2,366		2,770		6,857		9,149
Defined benefit pension plans net periodic pension cost (benefit)	$	(173)	$	(924)	$	(3,643)	$	(6,008)

	Three Months Ended				Six Months Ended
Company Contributions	June 30				June 30
(In thousands)	2022		2021		2022		2021
Defined benefit pension plans (U.S.)	$	441	$	451	$	887	$	3,317
Defined benefit pension plans (International)	4,230		4,301		15,587		16,923
Multiemployer pension plans	478		421		935		861
Defined contribution pension plans	3,135		3,051		6,929		6,430

The Company's estimate of expected cash contributions to be paid during the remainder of 2022 for the U.S. and international defined benefit pension plans is $0.9 million and $6.6 million, respectively.

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Income Taxes	6 Months Ended
	Jun. 30, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Income tax benefit related to continuing operations for the three and six months ended June 30, 2022 was $3.1 million and $1.9 million, respectively. Income tax expense related to continuing operations for the three and six months ended June 30, 2021 was $4.8 million and $6.9 million, respectively. The change in the income tax benefit for the three and six months ended June 30, 2022 compared with the income tax expense for the three months and six months ended June 30, 2021 is the result of lower taxable income, primarily resulting from decreased operating income as a result of cost increases due to inflation and labor shortages, as well as the tax benefit on a portion of the Harsco Clean Earth Segment goodwill impairment.The reserve for uncertain tax positions at June 30, 2022 was $4.9 million, including interest and penalties.  Within the next twelve months, it is reasonably possible that $0.4 million unrecognized income tax benefits will be recognized upon settlement of tax examinations and the expiration of various statutes of limitations.

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Commitments and Contingencies

6 Months Ended

Jun. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies

Environmental        

The Company is involved in a number of environmental remediation investigations and cleanups and, along with other companies, has been identified as a “potentially responsible party” for certain byproduct disposal sites.  While each of these matters is subject to various uncertainties, it is probable that the Company will agree to make payments toward funding certain of these activities, and it is possible that some of these matters will be decided unfavorably to the Company.  The Company has evaluated its potential liability and its financial exposure is dependent upon such factors as the continuing evolution of environmental laws and regulatory requirements, the availability and application of technology, the allocation of cost among potentially responsible parties, the years of remedial activity required and the remediation methods selected. 

The Company evaluates its liability for future environmental remediation costs on a quarterly basis. Although actual costs to be incurred at identified sites in future periods may vary from the estimates (given inherent uncertainties in evaluating environmental exposures), the Company does not expect that any costs that are reasonably possible to be incurred by the Company in connection with environmental matters in excess of the amounts accrued would have a material adverse effect on the Company's financial condition, results of operations or cash flows.

The following table summarizes information related to the location and undiscounted amount of the Company's environmental liabilities:

(In thousands)	June 30 2022		December 31 2021
Current portion of environmental liabilities (a)	$	8,900	$	7,338
Long-term environmental liabilities	26,669		28,435
Total environmental liabilities	$	35,569	$	35,773

(a)    The current portion of environmental liabilities is included in the caption Other current liabilities on the Condensed Consolidated Balance Sheets.

Legal Proceedings

In the ordinary course of business, the company is a defendant or party to various claims and lawsuits, including those discussed below.

On March 28, 2018, the United States Environmental Protection Agency (the “EPA”) conducted an inspection of ESOL’s off-site waste management facility in Detroit, MI. On November 23, 2021, the EPA proposed a civil penalty of $390,092 as part of a proposed Administrative Consent Order for alleged improper air emissions at the site. The allegations in the proposed Administrative Consent Order and civil penalty relate exclusively to the period prior the Company’s purchase of the ESOL business. The Company is vigorously contesting the allegations. While it is the Company's position that any loss related to this issue will be recoverable under indemnity rights under the ESOL purchase agreement and representations and warranties insurance policies purchased by the Company, there can be no assurance that the Company's position will ultimately prevail.

On January 27, 2020, the U.S. EPA issued a Notice of Potential Liability to the Company, along with several other companies, concerning the Newtown Creek Superfund Site located in Kings and Queens Counties in New York. The Notice alleges certain facilities formerly owned or operated by subsidiaries of the Company may have resulted in the discharge of hazardous substances into Newtown Creek or its Dutch Kills tributary. The site has been subject to CERCLA response activities since approximately 2011. The U.S. EPA expects to propose a sitewide cleanup plan no sooner than 2024 and announced in July 2021 that it would defer its decision on a potential early action response for the lower two miles of the Creek until the sitewide studies are completed. The Company is one of approximately twenty (20) Potentially Responsible Parties that have received notices, though it is believed other PRPs may exist. The Company vigorously contests the allegations of the Notice and currently does not believe that this matter will have a material effect on the Company’s financial position or results from operations.

On June 25 and 26, 2018, the DTSC conducted a compliance enforcement inspection of ESOL’s facility in Rancho Cordova, California, which was then owned by Stericycle, Inc. On February 14, 2020, the DTSC filed an action in the Superior Court for the State of California, Sacramento Division, alleging violations of California’s Hazardous Waste Control Law and the facility’s hazardous waste permit arising from the inspection. On August 27, 2020 the DTSC issued a Notice of Denial of Hazardous Waste Facility Permit Application, denying the renewal of the facility's hazardous waste permit. On April 8, 2022, the DTSC denied the Company's appeal of the Notice of Denial. On June 3, 2022, the Company's Motion for Temporary Restraining Order to stop the closure pending its appeal of the DTSC action was denied. The Company has the ability to appeal the Denial of Hazardous Waste Facility Permit Application, and is currently reviewing the decision and its options. The Company continues to utilize the site for non-hazardous waste and is evaluating potential alternate uses for the site. The DTSC investigation and compliance issues leading to the compliance tier assignment were ongoing well before the Company's acquisition of the ESOL business, and the Company was aware of the investigation and many of the issues raised in the investigation at the time of the purchase. Accordingly, the Company is indemnified for certain fines and other costs and expenses associated with this matter by Stericycle, Inc. As a result, the administrative appeal and public hearing process is led by Stericycle, Inc. The Company has not accrued any amounts in respect of these alleged violations and cannot estimate the reasonably possible loss or the range of reasonably possible losses that it may incur.

As previously disclosed, the Company has had ongoing meetings with the SCE over processing salt cakes, a processing byproduct, stored at the Al Hafeerah site. The Company’s Bahrain operations that produced the salt cakes has ceased operations. An Environmental Impact Assessment and Technical Feasibility Study for facilities to process the salt cakes was approved by the SCE during the first quarter of 2018. Commissioning of the facilities was completed during the third quarter of 2021 and the processing of the salt cakes has commenced. The current reserve of $6.7 million continues to represent the Company's best estimate of the ultimate costs to be incurred to resolve this matter. The Company continues to evaluate this reserve and any future change in estimated costs which could be material to the Company’s results of operations in any one period.

On July 27, 2018, Brazil’s Federal and Rio de Janeiro State Public Prosecution Offices (MPF and MPE) filed a Civil Public Action against one of the Company's customers (CSN), the Company’s Brazilian subsidiary, the Municipality of Volta Redonda, Brazil, and the Instituto Estadual do Ambiente (local environmental protection agency) seeking the implementation of various measures to limit and reduce the accumulation of customer-owned slag at the site in Brazil. On August 6, 2018 the 3rd Federal Court in Volta Redonda granted the MPF and MPE an injunction against the same parties requiring, among other things, CSN and the Company’s Brazilian subsidiary to limit the volume of slag sent to the site. Because the customer owns the site and the slag located on the site, the Company believes that complying with this injunction is the steel producer’s responsibility.  On March 18, 2019 the Court issued an order fining the Company 5,000 Brazilian reais per day (or approximately $1 thousand per day) and CSN 20,000 Brazilian reais per day (or approximately $4 thousand per day) until the requirements of the injunction are met. On November 1, 2019 the Court issued an additional order increasing the fines assessed to the Company to 25,000 Brazilian reais per day (or approximately $5 thousand per day) and raising the fines assessed to CSN to 100,000 Brazilian reais per day (or approximately $19 thousand per day). The Court also assessed an additional fine of 10,000,000 Brazilian reais (or approximately $2 million) against CSN and the Company jointly. The Company is appealing the fines and the underlying injunction.  Both the Company and CSN continue to have discussions with the Prosecution Offices and governmental authorities on the injunction and the possible resolution of the underlying case. Beginning on March 25, 2022, the Courts entered a series of orders suspending the litigation proceedings as well as the accrual of interest and penalties while the parties discuss a possible resolution of the matter. The Company does not believe that a loss relating to this matter is probable or estimable at this point.

On October 19, 2018, local environmental authorities issued an enforcement action against the Company concerning the Company’s operations at a customer site in Ijmuiden, Netherlands. The enforcement action alleged violations of the Company’s environmental permit at the site, which restricts the release of any visible dust emissions. On January 12, 2022, the Administrative Supreme Court upheld the Company’s challenge of these enforcement actions as they relate to the slag tipping area of the site. As a result, all fines asserted against the Company to date have been invalidated and all fines paid to date have been reimbursed. This order is not appealable. On or about October 14, 2021, the Company received a subpoena and two indictments on this matter before the Amsterdam District Court in the Netherlands. The Amsterdam Public Prosecutor’s Office issued the two indictments against the Company, alleging violations in connection with dust releases and/or events alleged to have occurred in 2018 through May 2020 at the site. The action cites provisions which permit fines for the alleged infractions and seeks €100,000 in fines with a smaller amount held in abeyance. On February 25, 2022, the Amsterdam District Court ruled that the Company was liable for only one alleged violation and that this alleged violation was unintentional. The court issued a fine of €5,000, to be held in abeyance. Both the Company and the Public Prosecutor’s Office have appealed this ruling. On February 2, 2022, the prosecutor announced that they would further investigate residents’ claims related to this matter. The Company is vigorously contesting all allegations against it and is also working with its customer to ensure the control of emissions. The Company has contractual indemnity rights from its customer that it believes will substantially cover any fines or penalties.

On March 22, 2022, the U.S. EPA issued a Notice of Intent to File an Administrative Complaint (NOI) alleging violations of the federal Emergency Planning and Community Right-to-Know Act at the Company’s facilities in Tacoma, WA and Kent, WA. The NOI relates exclusively or almost exclusively to the period when Stericycle owned and operated the sites. The NOI proposes a penalty of $3,000,000. The Company is currently reviewing the veracity of the allegations and the corresponding proposed penalty amount. While it is the Company’s position that it has recourse for some or all liabilities, if any, that arise from this matter under the ESOL purchase agreement and representations and warranties insurance policies purchased by the Company, there can be no assurances that the Company’s position will ultimately prevail.

On March 21, 2022, the Company received a draft penalty matrix from the PA DEP concerning alleged reporting, monitoring and related issues at the Company’s Hatfield, PA site prior to the time the Company acquired the site from Stericycle. The draft penalty matrix proposes a penalty of $1,000,000 . On June 29, 2022, the PA DEP issued a draft Consent Assessment of Civil Penalty ("CACP") related to the alleged issues at the site, although the draft CACP does not propose a specific penalty. The Company is currently reviewing the veracity of the allegations. While it is the Company’s position that it has recourse for some or all liabilities, if any, that arise from this matter under the ESOL purchase agreement and representations and warranties insurance policies purchased by the Company, there can be no assurances that the Company’s position will ultimately prevail.

On November 5, 2020, a worker suffered a fatal injury at a site owned by the Company’s customer, Gerdau Ameristeel US, Inc., in Midlothian, TX. Although the Company was not directly involved in the accident, the worker was employed by a sub-contractor of a sub-contractor of the Company. The worker’s family filed suit in the 125th Judicial District Court of Harris County, TX against multiple parties including the Company. The Company is vigorously defending the lawsuit and has insurance coverage subject to a $5 million deductible. The Company has recorded a liability for its insurance deductible and an indemnification receivable from its customer for the recovery of certain losses based upon the contractual indemnity rights. However, there can be no assurances that the Company's position will ultimately prevail.

DEA Investigation

Prior to the Company’s acquisition of ESOL, Stericycle, Inc. notified the Company that the DEA had served an administrative subpoena on Stericycle, Inc. and executed a search warrant at a facility in Rancho Cordova, California and an administrative inspection warrant at a facility in Indianapolis, Indiana. The Company has determined that the DEA and the DTSC have launched investigations involving, at least in part, the ESOL business of collecting, transporting, and destroying controlled substances from retail customers that transferred from Stericycle, Inc. to the Company. In connection with these investigations, the DEA also executed a search warrant on an ESOL facility in Austin Texas on July 2, 2020. The Company is cooperating with these inquiries, which relate primarily to the period before the Company owned the ESOL business. Since the acquisition of the ESOL business, the Company has performed a vigorous review of ESOL’s compliance program related to controlled substances and has made material changes to the manner in which controlled substances are transported from retail customers to DEA-registered facilities for destruction. The Company has not accrued any amounts in respect of these investigations and cannot estimate the reasonably possible loss or the range of reasonably possible losses that it may incur, if any. Investigations of this type are, by their nature, uncertain and unpredictable. While it is the Company’s position that it has recourse for some or all liabilities, if any, that arise from these matters under the ESOL purchase agreement and representations and warranties insurance policies purchased by the Company, there can be no assurances that the Company’s position will ultimately prevail.

Brazilian Tax Disputes

The Company is involved in a number of tax disputes with federal, state and municipal tax authorities in Brazil. These disputes are at various stages of the legal process, including the administrative review phase and the collection action phase, and include assessments of fixed amounts of principal and penalties, plus interest charges that increase at statutorily determined amounts per month and are assessed on the aggregate amount of the principal and penalties. In addition, the losing party, at the collection action or court of appeals phase, could be subject to a charge to cover statutorily mandated legal fees, which are generally calculated as a percentage of the total assessed amounts due, inclusive of penalty and interest. Many of the claims relate to ICMS, services and social security tax disputes. The largest proportion of the assessed amounts relate to ICMS claims filed by the SPRA, encompassing the period from January 2002 to May 2005.

In October 2009, the Company received notification of the SPRA’s final administrative decision regarding the levying of ICMS in the State of São Paulo in relation to services provided to a customer in the State between January 2004 and May 2005.  As of June 30, 2022 the principal amount of the tax assessment from the SPRA with regard to this case is approximately $1.2 million, with penalty, interest and fees assessed to date increasing such amount by an additional $16.8 million.  On June 4, 2018 the Appellate Court of the State of Sao Paulo ruled in favor of the SPRA but ruled that the assessed penalty should be reduced to approximately $1.2 million. After calculating the interest accrued on the penalty, the Company estimates that this ruling reduces the current overall potential liability for this case to approximately $7.1 million. All such amounts include the effect of foreign currency translation. The Company has appealed the ruling in favor of the SPRA to the Superior Court of Justice. Due to multiple court precedents in the Company’s favor, as well as the Company’s ability to appeal, the Company does not believe a loss is probable.

Another ICMS tax case involving the SPRA refers to the tax period from January 2002 to December 2003. In December 2018, the administrative tribunal hearing the case upheld the Company's liability. The Company has appealed to the judicial phase. The aggregate amount assessed by the tax authorities in August 2005 was $4.9 million (the amounts with regard to this claim are valued as of the date of the assessment since it has not yet reached the collection phase), composed of a principal amount of $1.2 million, with penalty and interest assessed through that date increasing such amount by an additional $3.7 million.  On December 6, 2018 the administrative tribunal reduced the applicable penalties to $0.8 million. After calculating the interest accrued on the current penalty, the Company estimates that the current overall liability for this case to be approximately $5.4 million. All such amounts include the effect of foreign currency translation. Due to multiple court precedents in the Company's favor, the Company does not believe a loss is probable.

The Company continues to believe that sufficient coverage for these claims exists as a result of the indemnification obligations of the Company's customer and such customer’s pledge of assets in connection with the October 2009 notice, as required by Brazilian law.

On December 30, 2020, the Company received an assessment from the municipal authority in Ipatinga, Brazil alleging $2.0 million in unpaid service taxes from the period 2015 to 2020. After calculating the interest and penalties accrued, the Company estimates that the current overall potential liability for this case to be approximately $3.4 million. On January 18, 2021, the Company filed a challenge to the assessment. Due to the multiple defenses that are available, the Company does not believe a loss is probable.

The Company intends to continue its practice of vigorously defending itself against these tax claims under various alternatives, including judicial appeal. The Company will continue to evaluate its potential liability with regard to these claims on a quarterly basis; however, it is not possible to predict the ultimate outcome of these tax-related disputes in Brazil. No loss provision has been recorded in the Company's condensed consolidated financial statements for the disputes described above because the loss contingency is not deemed probable, and the Company does not expect that any costs that are reasonably possible to be incurred by the Company in connection with Brazilian tax disputes would have a material adverse effect on the Company's financial condition, results of operations or cash flows.

Brazilian Labor Disputes

The Company is subject to ongoing collective bargaining and individual labor claims in Brazil through the Harsco Environmental Segment which allege, among other things, the Company's failure to pay required amounts for overtime and vacation at certain sites. The Company is vigorously defending itself against these claims; however, litigation is inherently unpredictable, particularly in foreign jurisdictions. While the Company does not currently expect that the ultimate resolution of these claims will have a material adverse effect on the Company’s financial condition, results of operations or cash flows, it is not possible to predict the ultimate outcome of these labor-related disputes. As of June 30, 2022 and December 31, 2021, the Company has established reserves of $3.0 million and $3.2 million, respectively, on the Company's Condensed Consolidated Balance Sheets for amounts considered to be probable and estimable.

Other

The Company is named as one of many defendants (approximately 90 or more in most cases) in legal actions in the U.S. alleging personal injury from exposure to airborne asbestos over the past several decades.  In their suits, the plaintiffs have named as defendants, among others, many manufacturers, distributors and installers of numerous types of equipment or products that allegedly contained asbestos.

The Company believes that the claims against it are without merit. The Company has never been a producer, manufacturer or processor of asbestos fibers. Any asbestos-containing part of a Company product used in the past was purchased from a supplier and the asbestos encapsulated in other materials such that airborne exposure, if it occurred, was not harmful and is not associated with the types of injuries alleged in the pending actions.

At June 30, 2022, there were approximately 17,210 pending asbestos personal injury actions filed against the Company.  Of those actions, approximately 16,590 were filed in the New York Supreme Court (New York County), approximately 115 were filed in other New York State Supreme Court Counties and approximately 505 were filed in courts located in other states.

The complaints in most of those actions generally follow a form that contains a standard damages demand of $20 million or $25 million, regardless of the individual plaintiff’s alleged medical condition, and without identifying any specific Company product.

At June 30, 2022, approximately 16,550 of the actions filed in New York Supreme Court (New York County) were on the Deferred/Inactive Docket created by the court in December 2002 for all pending and future asbestos actions filed by persons who cannot demonstrate that they have a malignant condition or discernible physical impairment. The remaining approximately 40 cases in New York County are pending on the Active or In Extremis Docket created for plaintiffs who can demonstrate a malignant condition or physical impairment.

The Company has liability insurance coverage under various primary and excess policies that the Company believes will be available, if necessary, to substantially cover any liability that might ultimately be incurred in the asbestos actions referred to above. The costs and expenses of the asbestos actions are being paid by the Company's insurers.

In view of the persistence of asbestos litigation in the U.S., the Company expects to continue to receive additional claims in the future. The Company intends to continue its practice of vigorously defending these claims and cases. At June 30, 2022, the Company has obtained dismissal in approximately 28,400 cases by stipulation or summary judgment prior to trial.

It is not possible to predict the ultimate outcome of asbestos-related actions in the U.S. due to the unpredictable nature of this litigation, and no loss provision has been recorded in the Company's condensed consolidated financial statements because a loss contingency is not deemed probable or estimable. Despite this uncertainty, and although results of operations and cash flows for a given period could be adversely affected by asbestos-related actions, the Company does not expect that any costs that are reasonably possible to be incurred by the Company in connection with asbestos litigation would have a material adverse effect on the Company's financial condition, results of operations or cash flows.

The Company is subject to various other claims and legal proceedings covering a wide range of matters that arose in the ordinary course of business. In the opinion of management, all such matters are adequately covered by insurance or by established reserves, and, if not so covered, are without merit or are of such kind, or involve such amounts, as would not have a material adverse effect on the financial position, results of operations or cash flows of the Company.

Insurance liabilities are recorded when it is probable that a liability has been incurred for a particular event and the amount of loss associated with the event can be reasonably estimated. Insurance reserves have been estimated based primarily upon actuarial calculations and reflect the undiscounted estimated liabilities for ultimate losses, including claims incurred but not reported. Inherent in these estimates are assumptions that are based on the Company's history of claims and losses, a detailed analysis of existing claims with respect to potential value, and current legal and legislative trends. If actual claims differ from those projected by management, changes (either increases or decreases) to insurance reserves may be required and would be recorded through income in the period the change was determined. When a recognized liability has been determined to be covered by third-party insurance, the Company records an insurance claim receivable to reflect the covered liability. Insurance claim receivables are included in Other receivables on the Company's Condensed Consolidated Balance Sheets. See Note 1, Summary of Significant Accounting Policies, to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 for additional information on Accrued insurance and loss reserves.

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Reconciliation of Basic and Diluted Shares

6 Months Ended

Jun. 30, 2022

Earnings Per Share [Abstract]

Reconciliation of Basic and Diluted Shares

Reconciliation of Basic and Diluted Shares

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands, except per share amounts)	2022		2021		2022		2021
Income (loss) from continuing operations attributable to Harsco Corporation common stockholders	$	(106,700)	$	8,540	$	(114,033)	$	6,975
Weighted-average shares outstanding:
Weighted-average shares outstanding - basic	79,509		79,265		79,437		79,177
Dilutive effect of stock-based compensation	—		1,509		—		1,220
Weighted-average shares outstanding - diluted	79,509		80,774		79,437		80,397
Earnings (loss) from continuing operations per common share, attributable to Harsco Corporation common stockholders:
Basic	$	(1.34)	$	0.11	$	(1.44)	$	0.09
Diluted	$	(1.34)	$	0.11	$	(1.44)	$	0.09

The following average outstanding stock-based compensation units were not included in the computation of diluted earnings per share because the effect was either antidilutive or the market conditions for the performance share units were not met:

	Three Months Ended		Six Months Ended
	June 30		June 30
(In thousands)	2022	2021	2022	2021
Restricted stock units	797	—	811	—
Stock appreciation rights	2,193	467	2,422	656
Performance share units	1,128	690	1,177	851

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Derivative Instruments, Hedging Activities and Fair Value

6 Months Ended

Jun. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments, Hedging Activities and Fair Value

Derivative Instruments, Hedging Activities and Fair Value

Derivative Instruments and Hedging Activities

The Company uses derivative instruments, including foreign currency exchange forward contracts and interest rate swaps to manage certain foreign currency and interest rate exposures.  Derivative instruments are viewed as risk management tools by the Company and are not used for trading or speculative purposes. All derivative instruments are recorded on the Company's Condensed Consolidated Balance Sheets at fair value.  The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risks, even though hedge accounting does not apply or the Company elects not to apply hedge accounting.

The Company primarily applies the market approach for recurring fair value measurements and endeavors to utilize the best available information.  Accordingly, the Company utilizes valuation techniques that maximize the use of observable inputs, such as forward rates, interest rates, the Company’s credit risk and counterparties’ credit risks, and which minimize the use of unobservable inputs.  The Company is able to classify fair value balances based on the ability to observe those inputs.  Foreign currency exchange forward contracts and interest rate swaps are based upon pricing models using market-based inputs (Level 2).  Model inputs can be verified and valuation techniques do not involve significant management judgment.

The fair value of outstanding derivative contracts recorded as assets and liabilities on the Company's Condensed Consolidated Balance Sheets was as follows:

(In thousands)	Balance Sheet Location	Fair Value of Derivatives Designated as Hedging Instruments		Fair Value of Derivatives Not Designated as Hedging Instruments		Total Fair Value
June 30, 2022
Asset derivatives (Level 2):
Foreign currency exchange forward contracts	Other current assets	$	1,710	$	16,075	$	17,785
Total		$	1,710	$	16,075	$	17,785
Liability derivatives (Level 2):
Foreign currency exchange forward contracts	Other current liabilities	$	465	$	502	$	967
Interest rate swaps	Other current liabilities	423		—		423
Total		$	888	$	502	$	1,390
December 31, 2021
Asset derivatives (Level 2):
Foreign currency exchange forward contracts	Other current assets	$	719	$	1,405	$	2,124
Total		$	719	$	1,405	$	2,124
Liability derivatives (Level 2):
Foreign currency exchange forward contracts	Other current liabilities	$	560	$	2,905	$	3,465
Interest rate swaps	Other current liabilities	4,157		—		4,157
Total		$	4,717	$	2,905	$	7,622

All of the Company's derivatives are recorded on the Condensed Consolidated Balance Sheets at gross amounts and do not offset. All of the Company's interest rate swaps and certain foreign currency exchange forward contracts are transacted under ISDA documentation. Each ISDA master agreement permits the net settlement of amounts owed in the event of default. The Company's derivative assets and liabilities subject to enforceable master netting arrangements, if offset, would have resulted in a net asset of $2.2 million and $0.9 million at June 30, 2022 and December 31, 2021, respectively.

The effect of derivative instruments on the Company's Condensed Consolidated Statements of Operations and Condensed Consolidated Statements of Comprehensive Income (Loss) was as follows:

Derivatives Designated as Hedging Instruments

	Amount Recognized in OCI on Derivatives				Location of Amount Reclassified from  AOCI into Income	Amount Reclassified from AOCI into Income - Effective Portion or Equity
	Three Months Ended					Three Months Ended
	June 30					June 30
(In thousands)	2022		2021			2022		2021
Foreign currency exchange forward contracts	$	957	$	(440)	Income (loss) from discontinued businesses	$	(998)	$	3
Interest rate swaps	—		(33)		Interest expense	1,061		862
	$	957	$	(473)		$	63	$	865

	Amount Recognized in OCI on Derivatives				Location of Amount Reclassified from AOCI into Income	Amount Reclassified from AOCI into Income - Effective Portion or Equity
	Six Months Ended					Six Months Ended
	June 30					June 30
(In thousands)	2022		2021			2022		2021
Foreign currency exchange forward contracts	$	1,966	$	(441)	Income (loss) from discontinued businesses	$	(1,586)	$	(47)
Interest rate swaps	—		(14)		Interest expense	2,111		1,727
	$	1,966	$	(455)		$	525	$	1,680

The location and amount of gain (loss) recognized on the Company's Condensed Consolidated Statements of Operations was as follows:

	Three Months Ended
	June 30
	2022				2021
(in thousands)	Interest Expense		Income (loss) from Discontinued Businesses		Interest Expense		Income (loss) from Discontinued Businesses
Total amounts in the Condensed Consolidated Statement of Operations in which the effects of derivatives designated as hedging instruments are recorded	$	(16,692)	$	1,109	$	(15,643)	$	4,848
Interest rate swaps:
Gain or (loss) reclassified from AOCI into income	(1,061)		—		(862)		—
Amount recognized in earnings due to ineffectiveness	720		—		—		—
Foreign exchange contracts:
Gain or (loss) reclassified from AOCI into income			998		—		(3)
Amount excluded from effectiveness testing recognized in earnings based on changes in fair value			(23)		—		9
Amount excluded from the effectiveness testing recognized in earnings based on an amortization approach			(3)		—		1

	Six Months Ended
	June 30
	2022				2021
(in thousands)	Interest Expense		Loss from Discontinued Businesses			Interest Expense		Income From Discontinued Operations
Total amounts in the Condensed Consolidated Statement of Operations in which the effects of cash flow hedges are recorded	$	(31,784)	$	(31,397)		$	(31,899)	$	6,548
Interest rate swaps:
Gain or (loss) reclassified from AOCI into income	(2,111)		—			(1,727)		—
Amount recognized in earnings due to ineffectiveness	1,611		—			—		—
Foreign exchange contracts:
Gain or (loss) reclassified from AOCI into income	—		1,586			—		47
Amount excluded from effectiveness testing recognized in earnings based on changes in fair value	—		(64)			—		38
Amount excluded from the effectiveness testing recognized in earnings based on an amortization approach	—		(5)			—		—

Derivatives Not Designated as Hedging Instruments

	Location of Gain (Loss) Recognized in Income on Derivatives	Amount of Gain (Loss) Recognized in Income on Derivatives (a)
		Three Months Ended				Six Months Ended
		June 30				June 30
(In thousands)		2022		2021		2022		2021
Foreign currency exchange forward contracts	Cost of services and products sold	$	18,234	$	(740)	$	22,072	$	4,004

(a)      These gains (losses) offset amounts recognized in cost of services and products sold principally as a result of intercompany or third party foreign currency         

exposures.

Foreign Currency Exchange Forward Contracts

The Company conducts business in multiple currencies and, accordingly, is subject to the inherent risks associated with foreign exchange rate movements.  Foreign currency-denominated assets and liabilities are translated into U.S. dollars at the exchange rates existing at the respective consolidated balance sheet dates, and income and expense items are translated at the average exchange rates during the respective periods. 

The Company uses derivative instruments to hedge cash flows related to foreign currency fluctuations.  Foreign currency exchange forward contracts outstanding are part of a worldwide program to minimize foreign currency exchange operating income and balance sheet exposure by offsetting foreign currency exposures of certain future payments between the Company and various subsidiaries, suppliers or customers.  The unsecured contracts are with major financial institutions. The Company may be exposed to credit loss in the event of non-performance by the contract counterparties. The Company evaluates the creditworthiness of the counterparties and does not expect default by them.  Foreign currency exchange forward contracts are used to hedge commitments, such as foreign currency debt, firm purchase commitments and foreign currency cash flows for certain export sales transactions.

Changes in the fair value of derivatives used to hedge foreign currency denominated balance sheet items are reported directly in earnings, along with offsetting transaction gains and losses on the items being hedged. Derivatives used to hedge forecasted cash flows associated with foreign currency commitments may be accounted for as cash flow hedges, as deemed appropriate, if the criteria for hedge accounting are met.  Gains and losses on derivatives designated as cash flow hedges are deferred in AOCI, a separate component of equity, and reclassified to earnings in a manner that matches the timing of the earnings impact of the hedged transactions. The ineffective portion of all hedges, if any, is recognized currently in earnings.

The recognized gains and losses offset amounts recognized in cost of services and products sold principally as a result of intercompany or third-party foreign currency exposures. At June 30, 2022 and December 31, 2021 the notional amounts of foreign currency exchange forward contracts were $450.9 million and $425.8 million, respectively. These contracts are primarily denominated in British Pound Sterling and Euros and mature through September 2023.

In addition to foreign currency exchange forward contracts, the Company designates certain loans as hedges of net investments in international subsidiaries. The Company recorded pre-tax net losses of $0.6 million and $1.2 million for the three and six months ended June 30, 2022, respectively, and pre-tax net gains of $0.3 million and $3.6 million for the three and six months ended June 30, 2021, respectively, in AOCI.

Interest Rate Swaps

The Company uses interest rate swaps in conjunction with certain variable rate debt issuances in order to secure a fixed interest rate. Changes in the fair value attributed to the effect of the swaps’ interest spread and changes in the credit worthiness of the counter-parties are recorded in AOCI and are reclassified into income as interest payments are made.

At June 30, 2022, the Company had a series of interest rate swaps that are in effect through 2022 and have the effect of converting $200.0 million of the Term Loan Facility from floating-rate to fixed-rate. The fixed rates provided by the swaps replace the adjusted LIBOR rate in the interest calculation to 3.12% for 2022. In the fourth quarter of 2021, the interest rate swaps were deemed ineffective and, thus, the subsequent changes in fair value continue to be recorded in earnings in the current period. The amounts previously recorded in AOCI will continue to be amortized into earnings over the remaining maturity of the interest rate swap.

Fair Value of Other Financial Instruments

The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities and short-term borrowings approximate fair value due to the short-term maturities of these assets and liabilities. At June 30, 2022 and December 31, 2021, the total fair value of long-term debt and current maturities (excluding deferred financing costs) was $1,202.8 million and $1,394.2 million, respectively, compared with a carrying value of $1,337.4 million and $1,387.9 million, respectively.  Fair values for debt are based on pricing models using market-based inputs (Level 2) for similar issues or on the current rates offered to the Company for debt of the same remaining maturities.

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Review of Operations by Segment

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Review of Operations by Segment

Review of Operations by Segment 

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Revenues From Continuing Operations
Harsco Environmental	$	277,599	$	272,546	$	539,650	$	530,532
Harsco Clean Earth	203,453		196,128		394,199		385,407
Total Revenues From Continuing Operations	$	481,052	$	468,674	$	933,849	$	915,939
Operating Income (Loss) From Continuing Operations
Harsco Environmental	$	23,547	$	30,223	$	41,814	$	56,158
Harsco Clean Earth	(111,668)		7,386		(112,965)		10,564
Corporate	(8,882)		(11,344)		(18,104)		(21,339)
Total Operating Income From Continuing Operations	$	(97,003)	$	26,265	$	(89,255)	$	45,383
Depreciation
Harsco Environmental	$	27,467	$	25,550	$	55,539	$	51,267
Harsco Clean Earth	4,536		4,905		9,637		10,242
Corporate	460		494		891		977
Total Depreciation	$	32,463	$	30,949	$	66,067	$	62,486
Amortization
Harsco Environmental	$	1,714	$	2,035	$	3,542	$	4,083
Harsco Clean Earth	6,131		6,063		12,206		12,146
Corporate (a)	636		633		1,319		1,384
Total Amortization	$	8,481	$	8,731	$	17,067	$	17,613
Capital Expenditures
Harsco Environmental	$	23,585	$	35,993	$	48,375	$	60,412
Harsco Clean Earth	3,550		4,725		10,246		7,255
Corporate	1,172		111		2,138		179
Total Capital Expenditures	$	28,307	$	40,829	$	60,759	$	67,846

(a)     Amortization expense on Corporate relates to the amortization of deferred financing costs.

Reconciliation of Segment Operating Income to Income (Loss) From Continuing Operations Before Income Taxes and Equity Income

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Segment operating income	$	(88,121)	$	37,609	$	(71,151)	$	66,722
General Corporate expense	(8,882)		(11,344)		(18,104)		(21,339)
Operating income (loss) from continuing operations	(97,003)		26,265		(89,255)		45,383
Interest income	693		577		1,337		1,124
Interest expense	(16,692)		(15,643)		(31,784)		(31,899)
Facility fees and debt-related income (expense)	2,149		(50)		1,617		(5,308)
Defined benefit pension income	2,247		3,956		4,657		7,890
Income (loss) from continuing operations before income taxes and equity income	$	(108,606)	$	15,105	$	(113,428)	$	17,190

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Revenue Recognition

6 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Revenue Recognition

Revenue RecognitionThe Company recognizes revenues to depict the transfer of promised services and products to customers in an amount that reflects the consideration the Company expects to receive in exchange for those services or products. Service revenues include the Harsco Clean Earth Segment revenue and the service components of the Harsco Environmental Segment. Product revenues include portions of the Harsco Environmental Segment.

A summary of the Company's revenues by primary geographical markets as well as by key product and service groups is as follows:

	Three Months Ended
	June 30, 2022
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	80,709	$	203,453	$	284,162
Western Europe	99,591		—		99,591
Latin America (b)	39,202		—		39,202
Asia-Pacific	31,950		—		31,950
Middle East and Africa	20,762		—		20,762
Eastern Europe	5,385		—		5,385
Total Revenues	$	277,599	$	203,453	$	481,052
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	236,165	$	—	$	236,165
Ecoproducts	38,083		—		38,083
Environmental systems for aluminum dross and scrap processing	3,351		—		3,351
Waste processing, recycling, reuse and transportation solutions	—		203,453		203,453
Total Revenues	$	277,599	$	203,453	$	481,052

	Three Months Ended
	June 30, 2021
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	69,735	$	196,128	$	265,863
Western Europe	116,981		—		116,981
Latin America (b)	33,799		—		33,799
Asia-Pacific	26,922		—		26,922
Middle East and Africa	19,873		—		19,873
Eastern Europe	5,236		—		5,236
Total Revenues	$	272,546	$	196,128	$	468,674
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	233,523	$	—	$	233,523
Ecoproducts	34,830		—		34,830
Environmental systems for aluminum dross and scrap processing	4,193		—		4,193
Waste processing, recycling, reuse and transportation solutions	—		196,128		196,128
Total Revenues	$	272,546	$	196,128	$	468,674

	Six Months Ended
	June 30, 2022
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	151,788	$	394,199	$	545,987
Western Europe	201,670		—		201,670
Latin America (b)	75,007		—		75,007
Asia-Pacific	60,018		—		60,018
Middle East and Africa	40,648		—		40,648
Eastern Europe	10,519		—		10,519
Total Revenues	$	539,650	$	394,199	$	933,849

	Six Months Ended
	June 30, 2022
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	463,854	$	—	$	463,854
Ecoproducts	70,048		—		70,048
Environmental systems for aluminum dross and scrap processing	5,748		—		5,748
Waste processing, recycling, reuse and transportation solutions	—		394,199		394,199
Total Revenues	$	539,650	$	394,199	$	933,849

	Six Months Ended
	June 30, 2021
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	136,916	$	385,407	$	522,323
Western Europe	229,152		—		229,152
Latin America (b)	64,452		—		64,452
Asia-Pacific	50,292		—		50,292
Middle East and Africa	39,994		—		39,994
Eastern Europe	9,726		—		9,726
Total Revenues	$	530,532	$	385,407	$	915,939
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	458,583	$	—	$	458,583
Ecoproducts	64,615		—		64,615
Environmental systems for aluminum dross and scrap processing	7,334		—		7,334
Waste processing, recycling, reuse and transportation solutions	—		385,407		385,407
Total Revenues	$	530,532	$	385,407	$	915,939

(a)     Revenues are attributed to individual countries based on the location of the facility generating the revenue.

(b)     Includes Mexico.

The Company may receive payments in advance of earning revenue (advances on contracts), which is included in Other current liabilities and Other liabilities on the Condensed Consolidated Balance Sheets. The Company may recognize revenue in advance of being able to contractually invoice the customer (contract assets), which is included in Other current assets on the Condensed Consolidated Balance Sheets. Contract assets are transferred to Trade accounts receivable, net, when the right to payment becomes unconditional. Contract assets and advances on contracts are reported as a net position, on a contract-by-contract basis, at the end of each reporting period.

The Company had contract assets totaling $3.9 million and $3.1 million at June 30, 2022 and December 31, 2021, respectively. The increase is due principally to additional contract assets recognized in excess of the transfer of contract assets to accounts receivable. The Company had advances on contracts totaling $4.2 million and $4.1 million at June 30, 2022 and December 31, 2021, respectively. During the three and six months ended June 30, 2022, the Company recognized approximately $7 million and $10 million, respectively, of revenue related to amounts previously included in advances on contracts. During the three and six months ended June 30, 2021, the Company recognized approximately $4 million and $6 million, respectively, of revenue related to amounts previously included in advances on contracts.

At June 30, 2022 the Harsco Environmental Segment had remaining, fixed, unsatisfied performance obligations where the expected contract duration exceeds one year totaling $69.2 million. Of this amount, $19.2 million is expected to be fulfilled by June 30, 2023, $17.6 million by June 30, 2024, $17.1 million by June 30, 2025, $9.0 million by June 30, 2026 and the remainder thereafter. These amounts exclude any variable fees, fixed fees subject to indexation and any performance obligations expected to be satisfied within one year.

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Other (Income) Expenses, Net

6 Months Ended

Jun. 30, 2022

Other Income and Expenses [Abstract]

Other (Income) Expenses

Other (Income) Expenses, Net

The major components of this Condensed Consolidated Statements of Operations caption were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Employee termination benefit costs	$	605	$	656	$	297	$	1,166
Other costs to exit activities	477		400		1,058		638
Impaired asset write-downs	296		140		355		162
Net gains	(92)		(5,354)		(1,904)		(7,047)
Other	759		(9)		1,060		(77)
Other (income) expenses, net	$	2,045	$	(4,167)	$	866	$	(5,158)

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Components of Accumulated Other Comprehensive Loss

6 Months Ended

Jun. 30, 2022

Equity [Abstract]

Components of Accumulated Other Comprehensive Loss

Components of Accumulated Other Comprehensive Loss

AOCI is included on the Condensed Consolidated Statements of Stockholders' Equity. The components of AOCI, net of the effect of income taxes, and activity for the six months ended June 30, 2021 and 2022 was as follows:

	Components of AOCI, Net of Tax
(In thousands)	Cumulative Foreign Exchange Translation Adjustments			Effective Portion of Derivatives Designated as Hedging Instruments			Cumulative Unrecognized Actuarial Losses on Pension Obligations			Unrealized Gain (Loss) on Marketable Securities		Total
Balance at December 31, 2020	$	(125,392)		$	(5,840)		$	(514,500)		$	(9)	$	(645,741)
OCI before reclassifications	12,150		(a)	(259)		(b)	(5,451)		(a)	25		6,465
Amounts reclassified from AOCI, net of tax	—			1,182			11,495			—		12,677
Total OCI	12,150			923			6,044			25		19,142
Less: OCI attributable to noncontrolling interests	(393)			—			—			—		(393)
OCI attributable to Harsco Corporation	12,543			923			6,044			25		19,535
Balance at June 30, 2021	$	(112,849)		$	(4,917)		$	(508,456)		$	16	$	(626,206)

	Components of AOCI, Net of Tax
(In thousands)	Cumulative Foreign Exchange Translation Adjustments			Effective Portion of Derivatives Designated as Hedging Instruments			Cumulative Unrecognized Actuarial Losses on Pension Obligations			Unrealized Gain (Loss) on Marketable Securities		Total
Balance at December 31, 2021	$	(134,889)		$	(3,024)		$	(422,248)		$	22	$	(560,139)
OCI before reclassifications	(61,493)		(a)	1,692		(b)	33,697		(a)	(13)		(26,117)
Amounts reclassified from AOCI, net of tax	—			168			8,831			—		8,999
Total OCI	(61,493)			1,860			42,528			(13)		(17,118)
Less: OCI attributable to noncontrolling interests	(3,385)			—			—			—		(3,385)
OCI attributable to Harsco Corporation	(58,108)			1,860			42,528			(13)		(13,733)
Balance at June 30, 2022	$	(192,997)		$	(1,164)		$	(379,720)		$	9	$	(573,872)

(a)    Principally foreign currency fluctuation.

(b)     Net change from periodic revaluations.

Amounts reclassified from AOCI were as follows:

(In thousands)	Three Months Ended				Six Months Ended				Location on the Condensed Consolidated Statements of Operations
	June 30				June 30
	2022		2021		2022		2021
Amortization of cash flow hedging instruments:
Foreign currency exchange forward contracts	$	(998)	$	3	$	(1,586)	$	(47)	Income (loss) from discontinued operations
Interest rate swaps	1,061		862		2,111		1,727		Interest expense
Total before taxes	63		865		525		1,680
Income taxes	(233)		(253)		(357)		(498)
Total reclassification of cash flow hedging instruments, net of tax	$	(170)	$	612	$	168	$	1,182
Amortization of defined benefit pension items (c):
Actuarial losses	$	4,496	$	6,007	$	9,223	$	11,955	Defined benefit pension income
Prior service costs	113		129		233		256		Defined benefit pension income
Total before taxes	4,609		6,136		9,456		12,211
Income taxes	(312)		(358)		(625)		(716)
Total reclassification of defined benefit pension items, net of tax	$	4,297	$	5,778	$	8,831	$	11,495

(c)    These AOCI components are included in the computation of net periodic pension costs. See Note 10, Employee Benefit Plans, for additional details.

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Basis of Presentation (Policies)

6 Months Ended

Jun. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

Basis of Presentation

The Company has prepared these unaudited condensed consolidated financial statements in accordance with U.S. GAAP for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X of the SEC. Accordingly, the unaudited condensed consolidated financial statements do not include all information and disclosure required by U.S. GAAP for annual financial statements. The December 31, 2021 Condensed Consolidated Balance Sheet information contained in this Quarterly Report on Form 10-Q was derived from the 2021 audited consolidated financial statements.  The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements, including the notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. In the opinion of management, all adjustments (all of which are of a normal recurring nature) that are necessary for a fair statement are reflected in the unaudited condensed consolidated financial statements. 

The components of the Condensed Consolidated Statements of Operations caption Facility fees and debt-related income (expense) were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(in thousands)	2022		2021		2022		2021
Gain (loss) on extinguishment of debt	$	2,254	$	—	$	2,254	$	(2,668)
Unused debt commitment and amendment fees	(6)		(50)		(538)		(2,640)
Securitization and factoring fees	(99)		—		(99)		—
Facility fees and debt-related income (expense)	$	2,149	$	(50)	$	1,617	$	(5,308)

Liquidity

The Company’s cash flow forecasts, combined with existing cash and cash equivalents, indicate sufficient liquidity to fund the Company’s operations for at least the next twelve months. As such, the Company’s consolidated financial statements have been prepared on the basis that it will continue as a going concern for a period extending beyond twelve months from the date the consolidated financial statements are issued. This assessment includes the expected ability to meet required financial covenants and the continued ability to draw down on the Senior Secured Credit Facilities (see Note 9).

Reclassifications

Certain reclassifications have been made to prior year amounts to conform with current year classifications.

During the second quarter of 2022, the Company recognized $2.6 million in service revenues as an out-of-period adjustment in the Harsco Clean Earth Segment. The adjustment was not considered material to the interim or annual consolidated financial statements for the interim periods ended June 30, 2022 or the financial statements of any previously filed interim or annual periods.

Recently Adopted and Recently Issued Accounting Standards

Recently Adopted and Recently Issued Accounting Standards

The following accounting standards have been adopted in 2022:

On January 1, 2022, the Company adopted changes issued by the FASB which simplified the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts on an entity's own equity. The adoption of these changes did not have a material impact on the Company's condensed consolidated financial statements.

On January 1, 2022, the Company adopted changes issued by the FASB which improve the transparency of government assistance received by entities. Other than expanded annual disclosures, the adoption of these changes did not have a material impact on the Company's consolidated financial statements.

The following accounting standard has been issued and becomes effective for the Company at a future date:

In March 2020, the FASB issued changes that provide companies with optional guidance to ease the potential accounting burden associated with transitioning from reference rates that are expected to be discontinued. In response to the concerns about risks of IBORs and, particularly, the risk of cessation of LIBOR, regulators in several jurisdictions around the world have undertaken reference rate reform initiatives to identify alternative reference rates that are more observable or transaction-based and less susceptible to manipulation. The changes provide optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. In January 2021, the FASB issued additional clarification changes. The changes can be adopted no later than December 31, 2022 with early adoption permitted. Management does not believe these changes will have a material impact on the Company's consolidated financial statements.

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Basis of Presentation (Tables)

6 Months Ended

Jun. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Facility Fees and Debt-Related Income (Expense)

The components of the Condensed Consolidated Statements of Operations caption Facility fees and debt-related income (expense) were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(in thousands)	2022		2021		2022		2021
Gain (loss) on extinguishment of debt	$	2,254	$	—	$	2,254	$	(2,668)
Unused debt commitment and amendment fees	(6)		(50)		(538)		(2,640)
Securitization and factoring fees	(99)		—		(99)		—
Facility fees and debt-related income (expense)	$	2,149	$	(50)	$	1,617	$	(5,308)

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Dispositions (Tables)

6 Months Ended

Jun. 30, 2022

Business Combinations [Abstract]

Balance sheet positions and financial information included in net income from discontinued operations and statements of cash flows

The former Harsco Rail Segment's balance sheet positions as of June 30, 2022 and December 31, 2021 are presented as Assets held-for-sale and Liabilities of assets held-for-sale in the Condensed Consolidated Balance Sheets and are summarized as follows:

(in thousands)	June 30 2022		December 31 2021
Trade accounts receivable, net	$	44,953	$	33,689
Other receivables	4,102		4,740
Inventories	97,916		103,560
Current portion of contract assets	89,867		94,597
Other current assets	26,463		25,442
Property, plant and equipment, net	39,993		39,524
Right-of-use assets, net	2,308		3,108
Goodwill	13,026		13,026
Intangible assets, net	2,883		3,081
Deferred income tax assets	5,690		6,064
Other assets	1,179		6,432
Total Rail assets included in Assets held-for-sale	$	328,380	$	333,263
Accounts payable	$	38,906	$	46,076
Accrued compensation	1,995		2,171
Current portion of operating lease liabilities	1,229		1,619
Current portion of advances on contracts	44,817		62,401
Other current liabilities	64,422		49,732
Operating lease liabilities	1,246		1,775
Deferred tax liabilities	5,699		5,736
Other liabilities	882		981
Total Rail liabilities included in Liabilities of assets held-for-sale	$	159,196	$	170,491

Certain key selected financial information included in Income (loss) from discontinued operations, net of tax for the former Harsco Rail Segment is as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Amounts directly attributable to the former Harsco Rail Segment:
Service revenues	$	7,488	$	7,081	$	14,198	$	17,190
Product revenues (a)	64,396		94,065		109,392		165,546
Cost of services sold	4,589		3,527		9,264		8,180
Cost of products sold	53,260		75,396		126,421		134,458
Income (loss) from discontinued businesses	5,163		9,690		(30,732)		14,845
Additional amounts allocated to the former Harsco Rail Segment:
Selling, general and administrative expenses (b)	$	1,862	$	—	$	3,511	$	—

(a) The decrease in product revenues for the six months ended June 30, 2022 as compared to the six months ended June 30, 2021 is due to liquidated damages and penalties on certain long-term contracts, as discussed below.

(b) The Company has allocated directly attributable transaction costs to discontinued operations.

The following is selected financial information included on the Condensed Consolidated Statements of Cash Flows attributable to the former Harsco Rail Segment:

	Six Months Ended June 30
(In thousands)	2022		2021
Non-cash operating items
Depreciation and amortization	$	—	$	2,588
Cash flows from investing activities
Purchases of property, plant and equipment	1,031		800

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Accounts Receivable (Tables)

6 Months Ended

Jun. 30, 2022

Receivables [Abstract]

Schedule of accounts receivable

Accounts receivable consist of the following:

	June 30 2022		December 31 2021
Trade accounts receivable (a)	$	275,946	$	389,535
Less: Allowance for expected credit losses (a)	(8,199)		(11,654)
Trade accounts receivable, net	$	267,747	$	377,881
Other receivables (b)	$	28,174	$	33,059

(a) The December 31, 2021 amounts for trade accounts receivable and allowance for expected credit losses have been corrected from their previous presentation. These corrections did not impact the amount of the allowance for expected credit losses recorded in the June 30, 2022 Condensed Consolidated Balance Sheets or the Condensed Consolidated Statement of Operations for the three and six months ended June 30, 2022.

(b) Other receivables include employee receivables, insurance receivable, tax claims and refunds and other miscellaneous items not included in Trade accounts receivable, net.

(In thousands)	June 30 2022		December 31 2021
Note receivable	$	23,205	$	31,025

Schedule of provision for doubtful accounts related to trade accounts receivable

The provision for expected credit losses related to trade accounts receivable was as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Provision for expected credit losses and doubtful accounts related to trade accounts receivable	$	(268)	$	74	$	57	$	728

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Inventories (Tables)

6 Months Ended

Jun. 30, 2022

Inventory Disclosure [Abstract]

Schedule of inventories

Inventories consist of the following:

(In thousands)	June 30 2022		December 31 2021
Finished goods	$	8,821	$	8,323
Work-in-process	4,894		5,393
Raw materials and purchased parts	27,866		21,188
Stores and supplies	39,418		35,589
Total inventories	$	80,999	$	70,493

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Property, Plant and Equipment (Tables)

6 Months Ended

Jun. 30, 2022

Property, Plant and Equipment [Abstract]

Schedule of property, plant and equipment

Property, plant and equipment consist of the following:

(In thousands)	June 30 2022		December 31 2021
Land	$	72,678	$	73,067
Land improvements	16,706		16,970
Buildings and improvements	218,950		221,236
Machinery and equipment	1,490,695		1,507,214
Uncompleted construction	61,594		63,816
Gross property, plant and equipment	1,860,623		1,882,303
Less: Accumulated depreciation	(1,223,143)		(1,228,390)
Property, plant and equipment, net	$	637,480	$	653,913

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Leases (Tables)

6 Months Ended

Jun. 30, 2022

Leases [Abstract]

Components of Lease Expense and Supplemental Cash Flow and Additional Information

The components of lease expense were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Finance leases:
Amortization expense	$	979	$	474	$	1,957	$	949
Interest on lease liabilities	182		109		365		211
Operating leases	8,432		7,933		16,501		15,829
Variable and short-term lease expense	11,986		13,024		25,329		25,126
Sublease income	(1)		(2)		(3)		(51)
Total lease expense from continuing operations	$	21,578	$	21,538	$	44,149	$	42,064

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Goodwill and Other Intangible Assets (Tables)

6 Months Ended

Jun. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of changes in carrying amounts of goodwill by segment

The following table reflects the changes in carrying amounts of goodwill by segment for the six months ended June 30, 2022:

(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Balance at December 31, 2021	$	399,230	$	483,879	$	883,109
Goodwill impairment	—		(104,580)		(104,580)
Foreign currency translation	(19,090)		—		(19,090)
Balance at June 30, 2022	$	380,140	$	379,299	$	759,439

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Debt and Credit Agreements (Tables)

6 Months Ended

Jun. 30, 2022

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

Long-term debt consists of the following:

(In thousands)	June 30 2022		December 31 2021
Senior Secured Credit Facilities:
New Term Loan	$	495,000	$	497,500
Revolving Credit Facility	341,000		362,000
5.75% Senior Notes	475,000		500,000
Other financing payable (including finance leases) in varying amounts	26,392		28,389
Total debt obligations	1,337,392		1,387,889
Less: deferred financing costs	(16,583)		(18,217)
Total debt obligations, net of deferred financing costs	1,320,809		1,369,672
Less: current maturities of long-term debt	(17,952)		(10,226)
Long-term debt	$	1,302,857	$	1,359,446

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Employee Benefit Plans (Tables)

6 Months Ended

Jun. 30, 2022

Retirement Benefits [Abstract]

Schedule of net benefit costs

	Three Months Ended
	June 30
Defined Benefit Pension Plan Net Periodic Pension Cost (Benefit)	U.S. Plans				International Plans
(In thousands)	2022		2021		2022		2021
Service costs	$	—	$	—	$	417	$	467
Interest costs	1,429		1,203		4,128		3,205
Expected return on plan assets	(2,698)		(3,050)		(9,720)		(11,392)
Recognized prior service costs	—		—		113		128
Recognized actuarial losses	1,183		1,385		3,313		4,586
Defined benefit pension plan net periodic pension cost (benefit)	$	(86)	$	(462)	$	(1,749)	$	(3,006)

	Six Months Ended
	June 30
Defined Benefit Pension Plans Net Periodic Pension Cost (Benefit)	U.S. Plans				International Plans
(In thousands)	2022		2021		2022		2021
Service costs	$	—	$	—	$	849	$	929
Interest costs	2,858		2,406		8,522		6,382
Expected return on plan assets	(5,397)		(6,100)		(20,104)		(22,723)
Recognized prior service costs	—		—		233		255
Recognized actuarial losses	2,366		2,770		6,857		9,149
Defined benefit pension plans net periodic pension cost (benefit)	$	(173)	$	(924)	$	(3,643)	$	(6,008)

Schedule of contributions to pension plans

	Three Months Ended				Six Months Ended
Company Contributions	June 30				June 30
(In thousands)	2022		2021		2022		2021
Defined benefit pension plans (U.S.)	$	441	$	451	$	887	$	3,317
Defined benefit pension plans (International)	4,230		4,301		15,587		16,923
Multiemployer pension plans	478		421		935		861
Defined contribution pension plans	3,135		3,051		6,929		6,430

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Commitment and Contingencies (Tables)

6 Months Ended

Jun. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Schedule of Loss Contingencies by Contingency

The following table summarizes information related to the location and undiscounted amount of the Company's environmental liabilities:

(In thousands)	June 30 2022		December 31 2021
Current portion of environmental liabilities (a)	$	8,900	$	7,338
Long-term environmental liabilities	26,669		28,435
Total environmental liabilities	$	35,569	$	35,773

(a)    The current portion of environmental liabilities is included in the caption Other current liabilities on the Condensed Consolidated Balance Sheets.

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Reconciliation of Basic and Diluted Shares (Tables)

6 Months Ended

Jun. 30, 2022

Earnings Per Share [Abstract]

Reconciliation of basic and diluted shares

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands, except per share amounts)	2022		2021		2022		2021
Income (loss) from continuing operations attributable to Harsco Corporation common stockholders	$	(106,700)	$	8,540	$	(114,033)	$	6,975
Weighted-average shares outstanding:
Weighted-average shares outstanding - basic	79,509		79,265		79,437		79,177
Dilutive effect of stock-based compensation	—		1,509		—		1,220
Weighted-average shares outstanding - diluted	79,509		80,774		79,437		80,397
Earnings (loss) from continuing operations per common share, attributable to Harsco Corporation common stockholders:
Basic	$	(1.34)	$	0.11	$	(1.44)	$	0.09
Diluted	$	(1.34)	$	0.11	$	(1.44)	$	0.09

Schedule of antidilutive securities excluded from computation of earnings per share

The following average outstanding stock-based compensation units were not included in the computation of diluted earnings per share because the effect was either antidilutive or the market conditions for the performance share units were not met:

	Three Months Ended		Six Months Ended
	June 30		June 30
(In thousands)	2022	2021	2022	2021
Restricted stock units	797	—	811	—
Stock appreciation rights	2,193	467	2,422	656
Performance share units	1,128	690	1,177	851

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Derivative Instruments, Hedging Activities and Fair Value (Tables)

6 Months Ended

Jun. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of fair value of outstanding derivative contracts

The fair value of outstanding derivative contracts recorded as assets and liabilities on the Company's Condensed Consolidated Balance Sheets was as follows:

(In thousands)	Balance Sheet Location	Fair Value of Derivatives Designated as Hedging Instruments		Fair Value of Derivatives Not Designated as Hedging Instruments		Total Fair Value
June 30, 2022
Asset derivatives (Level 2):
Foreign currency exchange forward contracts	Other current assets	$	1,710	$	16,075	$	17,785
Total		$	1,710	$	16,075	$	17,785
Liability derivatives (Level 2):
Foreign currency exchange forward contracts	Other current liabilities	$	465	$	502	$	967
Interest rate swaps	Other current liabilities	423		—		423
Total		$	888	$	502	$	1,390
December 31, 2021
Asset derivatives (Level 2):
Foreign currency exchange forward contracts	Other current assets	$	719	$	1,405	$	2,124
Total		$	719	$	1,405	$	2,124
Liability derivatives (Level 2):
Foreign currency exchange forward contracts	Other current liabilities	$	560	$	2,905	$	3,465
Interest rate swaps	Other current liabilities	4,157		—		4,157
Total		$	4,717	$	2,905	$	7,622

Schedule of effect of derivative instruments

The effect of derivative instruments on the Company's Condensed Consolidated Statements of Operations and Condensed Consolidated Statements of Comprehensive Income (Loss) was as follows:

Derivatives Designated as Hedging Instruments

	Amount Recognized in OCI on Derivatives				Location of Amount Reclassified from  AOCI into Income	Amount Reclassified from AOCI into Income - Effective Portion or Equity
	Three Months Ended					Three Months Ended
	June 30					June 30
(In thousands)	2022		2021			2022		2021
Foreign currency exchange forward contracts	$	957	$	(440)	Income (loss) from discontinued businesses	$	(998)	$	3
Interest rate swaps	—		(33)		Interest expense	1,061		862
	$	957	$	(473)		$	63	$	865

	Amount Recognized in OCI on Derivatives				Location of Amount Reclassified from AOCI into Income	Amount Reclassified from AOCI into Income - Effective Portion or Equity
	Six Months Ended					Six Months Ended
	June 30					June 30
(In thousands)	2022		2021			2022		2021
Foreign currency exchange forward contracts	$	1,966	$	(441)	Income (loss) from discontinued businesses	$	(1,586)	$	(47)
Interest rate swaps	—		(14)		Interest expense	2,111		1,727
	$	1,966	$	(455)		$	525	$	1,680

The location and amount of gain (loss) recognized on the Company's Condensed Consolidated Statements of Operations was as follows:

	Three Months Ended
	June 30
	2022				2021
(in thousands)	Interest Expense		Income (loss) from Discontinued Businesses		Interest Expense		Income (loss) from Discontinued Businesses
Total amounts in the Condensed Consolidated Statement of Operations in which the effects of derivatives designated as hedging instruments are recorded	$	(16,692)	$	1,109	$	(15,643)	$	4,848
Interest rate swaps:
Gain or (loss) reclassified from AOCI into income	(1,061)		—		(862)		—
Amount recognized in earnings due to ineffectiveness	720		—		—		—
Foreign exchange contracts:
Gain or (loss) reclassified from AOCI into income			998		—		(3)
Amount excluded from effectiveness testing recognized in earnings based on changes in fair value			(23)		—		9
Amount excluded from the effectiveness testing recognized in earnings based on an amortization approach			(3)		—		1

	Six Months Ended
	June 30
	2022				2021
(in thousands)	Interest Expense		Loss from Discontinued Businesses			Interest Expense		Income From Discontinued Operations
Total amounts in the Condensed Consolidated Statement of Operations in which the effects of cash flow hedges are recorded	$	(31,784)	$	(31,397)		$	(31,899)	$	6,548
Interest rate swaps:
Gain or (loss) reclassified from AOCI into income	(2,111)		—			(1,727)		—
Amount recognized in earnings due to ineffectiveness	1,611		—			—		—
Foreign exchange contracts:
Gain or (loss) reclassified from AOCI into income	—		1,586			—		47
Amount excluded from effectiveness testing recognized in earnings based on changes in fair value	—		(64)			—		38
Amount excluded from the effectiveness testing recognized in earnings based on an amortization approach	—		(5)			—		—

Derivatives Not Designated as Hedging Instruments

	Location of Gain (Loss) Recognized in Income on Derivatives	Amount of Gain (Loss) Recognized in Income on Derivatives (a)
		Three Months Ended				Six Months Ended
		June 30				June 30
(In thousands)		2022		2021		2022		2021
Foreign currency exchange forward contracts	Cost of services and products sold	$	18,234	$	(740)	$	22,072	$	4,004

(a)      These gains (losses) offset amounts recognized in cost of services and products sold principally as a result of intercompany or third party foreign currency         

exposures.

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Review of Operations by Segment (Tables)

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Schedule of operations by segment

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Revenues From Continuing Operations
Harsco Environmental	$	277,599	$	272,546	$	539,650	$	530,532
Harsco Clean Earth	203,453		196,128		394,199		385,407
Total Revenues From Continuing Operations	$	481,052	$	468,674	$	933,849	$	915,939
Operating Income (Loss) From Continuing Operations
Harsco Environmental	$	23,547	$	30,223	$	41,814	$	56,158
Harsco Clean Earth	(111,668)		7,386		(112,965)		10,564
Corporate	(8,882)		(11,344)		(18,104)		(21,339)
Total Operating Income From Continuing Operations	$	(97,003)	$	26,265	$	(89,255)	$	45,383
Depreciation
Harsco Environmental	$	27,467	$	25,550	$	55,539	$	51,267
Harsco Clean Earth	4,536		4,905		9,637		10,242
Corporate	460		494		891		977
Total Depreciation	$	32,463	$	30,949	$	66,067	$	62,486
Amortization
Harsco Environmental	$	1,714	$	2,035	$	3,542	$	4,083
Harsco Clean Earth	6,131		6,063		12,206		12,146
Corporate (a)	636		633		1,319		1,384
Total Amortization	$	8,481	$	8,731	$	17,067	$	17,613
Capital Expenditures
Harsco Environmental	$	23,585	$	35,993	$	48,375	$	60,412
Harsco Clean Earth	3,550		4,725		10,246		7,255
Corporate	1,172		111		2,138		179
Total Capital Expenditures	$	28,307	$	40,829	$	60,759	$	67,846

(a)     Amortization expense on Corporate relates to the amortization of deferred financing costs.

Reconciliation of segment operating income to income from continuing operations before income taxes and equity income

Reconciliation of Segment Operating Income to Income (Loss) From Continuing Operations Before Income Taxes and Equity Income

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Segment operating income	$	(88,121)	$	37,609	$	(71,151)	$	66,722
General Corporate expense	(8,882)		(11,344)		(18,104)		(21,339)
Operating income (loss) from continuing operations	(97,003)		26,265		(89,255)		45,383
Interest income	693		577		1,337		1,124
Interest expense	(16,692)		(15,643)		(31,784)		(31,899)
Facility fees and debt-related income (expense)	2,149		(50)		1,617		(5,308)
Defined benefit pension income	2,247		3,956		4,657		7,890
Income (loss) from continuing operations before income taxes and equity income	$	(108,606)	$	15,105	$	(113,428)	$	17,190

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Revenue Recognition (Tables)

6 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Summary of revenues by primary geographical markets

A summary of the Company's revenues by primary geographical markets as well as by key product and service groups is as follows:

	Three Months Ended
	June 30, 2022
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	80,709	$	203,453	$	284,162
Western Europe	99,591		—		99,591
Latin America (b)	39,202		—		39,202
Asia-Pacific	31,950		—		31,950
Middle East and Africa	20,762		—		20,762
Eastern Europe	5,385		—		5,385
Total Revenues	$	277,599	$	203,453	$	481,052
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	236,165	$	—	$	236,165
Ecoproducts	38,083		—		38,083
Environmental systems for aluminum dross and scrap processing	3,351		—		3,351
Waste processing, recycling, reuse and transportation solutions	—		203,453		203,453
Total Revenues	$	277,599	$	203,453	$	481,052

	Three Months Ended
	June 30, 2021
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	69,735	$	196,128	$	265,863
Western Europe	116,981		—		116,981
Latin America (b)	33,799		—		33,799
Asia-Pacific	26,922		—		26,922
Middle East and Africa	19,873		—		19,873
Eastern Europe	5,236		—		5,236
Total Revenues	$	272,546	$	196,128	$	468,674
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	233,523	$	—	$	233,523
Ecoproducts	34,830		—		34,830
Environmental systems for aluminum dross and scrap processing	4,193		—		4,193
Waste processing, recycling, reuse and transportation solutions	—		196,128		196,128
Total Revenues	$	272,546	$	196,128	$	468,674

	Six Months Ended
	June 30, 2022
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	151,788	$	394,199	$	545,987
Western Europe	201,670		—		201,670
Latin America (b)	75,007		—		75,007
Asia-Pacific	60,018		—		60,018
Middle East and Africa	40,648		—		40,648
Eastern Europe	10,519		—		10,519
Total Revenues	$	539,650	$	394,199	$	933,849

	Six Months Ended
	June 30, 2022
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	463,854	$	—	$	463,854
Ecoproducts	70,048		—		70,048
Environmental systems for aluminum dross and scrap processing	5,748		—		5,748
Waste processing, recycling, reuse and transportation solutions	—		394,199		394,199
Total Revenues	$	539,650	$	394,199	$	933,849

	Six Months Ended
	June 30, 2021
(In thousands)	Harsco Environmental Segment		Harsco Clean Earth Segment		Consolidated Totals
Primary Geographical Markets (a):
North America	$	136,916	$	385,407	$	522,323
Western Europe	229,152		—		229,152
Latin America (b)	64,452		—		64,452
Asia-Pacific	50,292		—		50,292
Middle East and Africa	39,994		—		39,994
Eastern Europe	9,726		—		9,726
Total Revenues	$	530,532	$	385,407	$	915,939
Key Product and Service Groups:
Environmental services related to resource recovery for metals manufacturing and related logistical services	$	458,583	$	—	$	458,583
Ecoproducts	64,615		—		64,615
Environmental systems for aluminum dross and scrap processing	7,334		—		7,334
Waste processing, recycling, reuse and transportation solutions	—		385,407		385,407
Total Revenues	$	530,532	$	385,407	$	915,939

(a)     Revenues are attributed to individual countries based on the location of the facility generating the revenue.

(b)     Includes Mexico.

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Other (Income) Expenses, Net (Tables)

6 Months Ended

Jun. 30, 2022

Other Income and Expenses [Abstract]

Schedule of other (income) expenses

The major components of this Condensed Consolidated Statements of Operations caption were as follows:

	Three Months Ended				Six Months Ended
	June 30				June 30
(In thousands)	2022		2021		2022		2021
Employee termination benefit costs	$	605	$	656	$	297	$	1,166
Other costs to exit activities	477		400		1,058		638
Impaired asset write-downs	296		140		355		162
Net gains	(92)		(5,354)		(1,904)		(7,047)
Other	759		(9)		1,060		(77)
Other (income) expenses, net	$	2,045	$	(4,167)	$	866	$	(5,158)

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Components of Accumulated Other Comprehensive Loss (Tables)

6 Months Ended

Jun. 30, 2022

Equity [Abstract]

Schedule of accumulated other comprehensive loss

The components of AOCI, net of the effect of income taxes, and activity for the six months ended June 30, 2021 and 2022 was as follows:

	Components of AOCI, Net of Tax
(In thousands)	Cumulative Foreign Exchange Translation Adjustments			Effective Portion of Derivatives Designated as Hedging Instruments			Cumulative Unrecognized Actuarial Losses on Pension Obligations			Unrealized Gain (Loss) on Marketable Securities		Total
Balance at December 31, 2020	$	(125,392)		$	(5,840)		$	(514,500)		$	(9)	$	(645,741)
OCI before reclassifications	12,150		(a)	(259)		(b)	(5,451)		(a)	25		6,465
Amounts reclassified from AOCI, net of tax	—			1,182			11,495			—		12,677
Total OCI	12,150			923			6,044			25		19,142
Less: OCI attributable to noncontrolling interests	(393)			—			—			—		(393)
OCI attributable to Harsco Corporation	12,543			923			6,044			25		19,535
Balance at June 30, 2021	$	(112,849)		$	(4,917)		$	(508,456)		$	16	$	(626,206)

	Components of AOCI, Net of Tax
(In thousands)	Cumulative Foreign Exchange Translation Adjustments			Effective Portion of Derivatives Designated as Hedging Instruments			Cumulative Unrecognized Actuarial Losses on Pension Obligations			Unrealized Gain (Loss) on Marketable Securities		Total
Balance at December 31, 2021	$	(134,889)		$	(3,024)		$	(422,248)		$	22	$	(560,139)
OCI before reclassifications	(61,493)		(a)	1,692		(b)	33,697		(a)	(13)		(26,117)
Amounts reclassified from AOCI, net of tax	—			168			8,831			—		8,999
Total OCI	(61,493)			1,860			42,528			(13)		(17,118)
Less: OCI attributable to noncontrolling interests	(3,385)			—			—			—		(3,385)
OCI attributable to Harsco Corporation	(58,108)			1,860			42,528			(13)		(13,733)
Balance at June 30, 2022	$	(192,997)		$	(1,164)		$	(379,720)		$	9	$	(573,872)

(a)    Principally foreign currency fluctuation.

(b)     Net change from periodic revaluations.

Reclassification out of accumulated other comprehensive income

Amounts reclassified from AOCI were as follows:

(In thousands)	Three Months Ended				Six Months Ended				Location on the Condensed Consolidated Statements of Operations
	June 30				June 30
	2022		2021		2022		2021
Amortization of cash flow hedging instruments:
Foreign currency exchange forward contracts	$	(998)	$	3	$	(1,586)	$	(47)	Income (loss) from discontinued operations
Interest rate swaps	1,061		862		2,111		1,727		Interest expense
Total before taxes	63		865		525		1,680
Income taxes	(233)		(253)		(357)		(498)
Total reclassification of cash flow hedging instruments, net of tax	$	(170)	$	612	$	168	$	1,182
Amortization of defined benefit pension items (c):
Actuarial losses	$	4,496	$	6,007	$	9,223	$	11,955	Defined benefit pension income
Prior service costs	113		129		233		256		Defined benefit pension income
Total before taxes	4,609		6,136		9,456		12,211
Income taxes	(312)		(358)		(625)		(716)
Total reclassification of defined benefit pension items, net of tax	$	4,297	$	5,778	$	8,831	$	11,495

(c)    These AOCI components are included in the computation of net periodic pension costs. See Note 10, Employee Benefit Plans, for additional details.

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Basis of Presentation - Schedule of Facility Fees and Debt-Related Income (Expense) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Schedule of Facility Fees and Debt-Related Income [Line Items]
Facility fees and debt-related income (expense)	$ 2,149	$ (50)	$ 1,617	$ (5,308)
Facility Fees And Debt-Related Income (Expense)
Schedule of Facility Fees and Debt-Related Income [Line Items]
Gain (loss) on extinguishment of debt	2,254	0	2,254	(2,668)
Unused debt commitment and amendment fees	(6)	(50)	(538)	(2,640)
Securitization and factoring fees	$ (99)	$ 0	$ (99)	$ 0

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Basis of Presentation - Narrative (Details) $ in Millions	3 Months Ended
	Jun. 30, 2022 USD ($)
Harsco Clean Earth Segment
Reclassification [Line Items]
Revenue from contract with customer, excluding assessed tax, out of period adjustment	$ 2.6

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Dispositions - Schedule of Balance Sheet from Disposal of Harsco Rail Segment (Details) (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Total Rail liabilities included in Liabilities of assets held-for-sale	$ 151,369	$ 161,999
Discontinued Operations, Held-for-sale | Harsco Rail Segment
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Trade accounts receivable, net	44,953	33,689
Other receivables	4,102	4,740
Inventories	97,916	103,560
Current portion of contract assets	89,867	94,597
Other current assets	26,463	25,442
Property, plant and equipment, net	39,993	39,524
Right-of-use assets, net	2,308	3,108
Goodwill	13,026	13,026
Intangible assets, net	2,883	3,081
Deferred income tax assets	5,690	6,064
Other assets	1,179	6,432
Total Rail assets included in Assets held-for-sale	328,380	333,263
Accounts payable	38,906	46,076
Accrued compensation	1,995	2,171
Current portion of operating lease liabilities	1,229	1,619
Current portion of advances on contracts	44,817	62,401
Other current liabilities	64,422	49,732
Operating lease liabilities	5,699	5,736
Deferred tax liabilities	1,246	1,775
Other liabilities	882	981
Total Rail liabilities included in Liabilities of assets held-for-sale	$ 159,196	$ 170,491

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Dispositions - Schedule of Income (Loss) from Discontinued Operations Harsco Rail (Details) - Discontinued Operations, Held-for-sale - Harsco Rail Segment - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Income (loss) from discontinued businesses	$ 5,163	$ 9,690	$ (30,732)	$ 14,845
Selling, general and administrative expenses	1,862	0	3,511	0
Service revenues
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Disposal Group, Including Discontinued Operation, Revenue	7,488	7,081	14,198	17,190
Disposal Group, Including Discontinued Operation, Costs of Goods Sold	4,589	3,527	9,264	8,180
Product Revenues
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Disposal Group, Including Discontinued Operation, Revenue	64,396	94,065	109,392	165,546
Disposal Group, Including Discontinued Operation, Costs of Goods Sold	$ 53,260	$ 75,396	$ 126,421	$ 134,458

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Dispositions - Narrative (Details) - USD ($) $ in Millions	3 Months Ended			6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021	Jun. 30, 2022
Business Acquisition [Line Items]
Contract estimated forward loss provision			$ 33.4
Network Rail
Business Acquisition [Line Items]
Contract estimated forward loss provision	$ 0.3			$ 24.5
Percentage complete	48.00%			48.00%
Deutsche Bahn
Business Acquisition [Line Items]
Contract estimated forward loss provision		$ 7.4
Percentage complete	26.00%			26.00%
Contract 2 [Member] | SBB
Business Acquisition [Line Items]
Contract estimated forward loss provision		$ 3.5
Percentage complete	81.00%			81.00%

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Dispositions - Summary of Cash Flow Information from Disposal of Harsco Rail Segment (Details) - Discontinued Operations, Held-for-sale - Harsco Rail Segment - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Business Acquisition [Line Items]
Depreciation and amortization			$ 0	$ 2,588
Purchases of property, plant and equipment			1,031	800
Disposal Group, Including Discontinued Operation, Corporate Overhead	$ 1,100	$ 1,100	$ 2,100	$ 2,100

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Accounts Receivable - Narrative (Details) - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2022	Jun. 24, 2022	Dec. 31, 2021	Jan. 31, 2020	Jan. 01, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Trade accounts receivable (a)	$ 275,946,000	$ 275,946,000		$ 389,535,000
Accounts Receivable Greater than 12 Months Reserved	2,900,000	2,900,000
Trade accounts receivable, net	267,747,000	267,747,000		377,881,000
Accounts receivable under factoring arrangement, program capacity	18,800,000	18,800,000		16,500,000
Receivable with Imputed Interest, Face Amount					$ 40,000,000
Note Receivable; Interest Rate; Stated percentage					2.50%
Receivables, Fair Value Disclosure	23,300,000	23,300,000			$ 34,300,000
Accounts Receivable Securitization, Deferred Financing Cost			$ 1,800,000
Proceeds from Accounts Receivable Securitization	120,000,000.0
Proceeds from sale of notes receivable, excess cash flow	8,600,000	8,600,000
PNC
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts Receivable from Securitization	92,000,000.0	92,000,000.0
Accounts Receivable Securitization, Maximum Purchase Commitment			$ 150,000,000
Accounts Receivable Securitization, Amount Sold	120,000,000	120,000,000
Accounts Receivable Under Factoring Arrangement
Accounts, Notes, Loans and Financing Receivable [Line Items]
Trade accounts receivable, net	12,600,000	12,600,000		$ 12,900,000
Greater than 12 months
Accounts, Notes, Loans and Financing Receivable [Line Items]
Trade accounts receivable (a)	$ 5,600,000	$ 5,600,000
Harsco Industrial IKG | Disposal Group, Disposed of by Sale, Not Discontinued Operations
Accounts, Notes, Loans and Financing Receivable [Line Items]
Selling price						$ 85,000,000

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Accounts Receivable - Schedule of Receivables (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Accounts, Notes, Loans and Financing Receivable [Line Items]
Trade accounts receivable (a)	$ 275,946	$ 389,535
Less: Allowance for expected credit losses (a)	(8,199)	(11,654)
Trade accounts receivable, net	267,747	377,881
Other receivables	$ 28,174	$ 33,059

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Accounts Receivable - Schedule of Changes in Provisions For Allowance For Credit Loss (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Receivables [Abstract]
Provision for expected credit losses and doubtful accounts related to trade accounts receivable	$ (268)	$ 74	$ 57	$ 728

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Accounts Receivable - Schedule of Fair Value of Notes Receivable (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021	Jan. 31, 2020
Receivables [Abstract]
Receivable with Imputed Interest, Net Amount	$ 23,205	$ 31,025
Receivables, Fair Value Disclosure	$ 23,300		$ 34,300

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Inventories - Schedule of Inventory (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Inventory Disclosure [Abstract]
Finished goods	$ 8,821	$ 8,323
Work-in-process	4,894	5,393
Raw materials and purchased parts	27,866	21,188
Stores and supplies	39,418	35,589
Total inventories	$ 80,999	$ 70,493

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Property, Plant and Equipment (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Property, Plant and Equipment
Gross property, plant and equipment	$ 1,860,623	$ 1,882,303
Less: Accumulated depreciation	(1,223,143)	(1,228,390)
Property, plant and equipment, net	637,480	653,913
Land
Property, Plant and Equipment
Gross property, plant and equipment	72,678	73,067
Land improvements
Property, Plant and Equipment
Gross property, plant and equipment	16,706	16,970
Buildings and improvements
Property, Plant and Equipment
Gross property, plant and equipment	218,950	221,236
Machinery and equipment
Property, Plant and Equipment
Gross property, plant and equipment	1,490,695	1,507,214
Construction in progress
Property, Plant and Equipment
Gross property, plant and equipment	$ 61,594	$ 63,816

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Property, Plant and Equipment - Narrative (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Property, Plant and Equipment
Property, plant and equipment, net	$ 637,480	$ 653,913
CHINA | Harsco Environmental Segment
Property, Plant and Equipment
Property, plant and equipment, net	$ 19,000

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Leases - Narrative (Details) $ in Thousands	Jun. 30, 2022 USD ($)
Lessee, Lease, Description [Line Items]
Estimated ROU Assets And Lease Liabilities To Be Recognized	$ 19,000

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Leases - Components of Lease Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Finance leases:
Amortization expense	$ 979	$ 474	$ 1,957	$ 949
Interest on lease liabilities	182	109	365	211
Operating leases	8,432	7,933	16,501	15,829
Variable and short-term lease expense	11,986	13,024	25,329	25,126
Sublease Income	(1)	(2)	(3)	(51)
Total lease expense from continuing operations	$ 21,578	$ 21,538	$ 44,149	$ 42,064

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Goodwill and Other Intangible Assets - Changes in Carrying Amounts of Goodwill by Segment (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Changes in carrying amounts of goodwill
Balance at December 31, 2021			$ 883,109
Goodwill impairment	$ 104,580	$ 0	104,580	$ 0
Foreign currency translation			(19,090)
Balance at June 30, 2022	759,439		759,439
Harsco Environmental Segment
Changes in carrying amounts of goodwill
Balance at December 31, 2021			399,230
Goodwill impairment			0
Foreign currency translation			(19,090)
Balance at June 30, 2022	380,140		380,140
Harsco Clean Earth Segment
Changes in carrying amounts of goodwill
Balance at December 31, 2021			483,879
Goodwill impairment			104,580
Foreign currency translation			0
Balance at June 30, 2022	$ 379,299		$ 379,299

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Goodwill and Other Intangible Assets - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Intangible Assets, by category
Goodwill impairment	$ 104,580	$ 0	$ 104,580	$ 0
Harsco Environmental Segment
Intangible Assets, by category
Goodwill impairment			0
Harsco Environmental Segment | Altek Group
Intangible Assets, by category
Finite-Lived Intangible Assets, Gross	$ 33,000		33,000
Harsco Clean Earth Segment
Intangible Assets, by category
Goodwill impairment			$ 104,580

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Debt and Credit Agreements - Narrative (Details) $ in Millions	1 Months Ended	18 Months Ended
	Jun. 30, 2022 USD ($)	Dec. 31, 2023	Feb. 22, 2022
Debt Instrument [Line Items]
Threshold Consolidated Adjusted EBITDA To Consolidated Interest Charges Ratio Covenant			3.0
Consolidated Adjusted EBITDA To Consolidated Interest Charges Ratio	3.8
5.75% Senior Notes | Senior Notes
Debt Instrument [Line Items]
Debt Instrument, Repurchased Face Amount	$ 25.0
Interest rate	5.75%
Debt Instrument, Repurchase Amount	$ 22.4
Gain (Loss) on Repurchase of Debt Instrument	2.3
Write off of deferred debt issuance cost	$ 0.3
Revolving Credit Facility
Debt Instrument [Line Items]
Net debt to consolidated adjusted EBITDA ratio	5.50
Net Debt to Consolidated Adjusted EBITDA Ratio Covenant, Increase (Decrease) Related To Divesture Of Business			0.25
Threshold Net Debt to Consolidated Adjusted EBITDA Ratio Covenant			4.00
Net Debt to Consolidated Adjusted EBITDA Ratio	4.98
Revolving Credit Facility | Forecast
Debt Instrument [Line Items]
Net debt to consolidated adjusted EBITDA ratio		4.00
Net Debt to Consolidated Adjusted EBITDA Ratio Covenant, Quarterly Increase (Decrease)		0.25
Account Receivable Facility
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 150.0

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Debt and Credit Agreements - Schedule of Long-term Debt (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Debt Obligation	$ 1,337,392	$ 1,387,889
Less: deferred financing costs	(16,583)	(18,217)
Total debt obligations, net of deferred financing costs	1,320,809	1,369,672
Current maturities of long-term debt	(17,952)	(10,226)
Long-term debt	1,302,857	1,359,446
Other financing payable (including finance leases) in varying amounts
Debt Instrument [Line Items]
Debt Obligation	26,392	28,389
Term Loan Facility | New Term Loan
Debt Instrument [Line Items]
Debt Obligation	495,000	497,500
Line of Credit | Revolving Credit Facility
Debt Instrument [Line Items]
Debt Obligation	341,000	362,000
Senior Notes | 5.75% Senior Notes
Debt Instrument [Line Items]
Debt Obligation	$ 475,000	$ 500,000

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Employee Benefit Plans (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Defined benefit plans:
Multiemployer pension plans	$ 478	$ 421	$ 935	$ 861
Defined contribution pension plans	3,135	3,051	6,929	6,430
Pension Plan | U.S. Plans
Defined benefit plans:
Service cost	0	0	0	0
Interest cost	1,429	1,203	2,858	2,406
Expected return on plan assets	(2,698)	(3,050)	(5,397)	(6,100)
Recognized prior service costs	0	0	0	0
Recognized loss	1,183	1,385	2,366	2,770
Defined benefit pension plans net periodic pension cost (benefit)	(86)	(462)	(173)	(924)
Defined benefit pension plan	441	451	887	3,317
Anticipated contributions to defined benefit pension plans during the remainder of the fiscal year	900		900
Pension Plan | International Plans
Defined benefit plans:
Service cost	417	467	849	929
Interest cost	4,128	3,205	8,522	6,382
Expected return on plan assets	(9,720)	(11,392)	(20,104)	(22,723)
Recognized prior service costs	113	128	233	255
Recognized loss	3,313	4,586	6,857	9,149
Defined benefit pension plans net periodic pension cost (benefit)	(1,749)	(3,006)	(3,643)	(6,008)
Defined benefit pension plan	4,230	$ 4,301	15,587	$ 16,923
Anticipated contributions to defined benefit pension plans during the remainder of the fiscal year	$ 6,600		$ 6,600

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Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Tax Disclosure [Abstract]
Income tax expense (benefit)	$ (3,115)	$ 4,797	$ (1,894)	$ 6,898
Unrecognized income tax benefits including interest and penalties	4,900		4,900
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Amount of Unrecorded Benefit	$ 400		$ 400

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Commitments and Contingencies (Details) € in Thousands		1 Months Ended		6 Months Ended
	Jun. 04, 2018 USD ($)	Dec. 31, 2018 USD ($)	Aug. 31, 2005 USD ($)	Jun. 30, 2022 USD ($) defendant claim case	Mar. 22, 2022 USD ($)	Mar. 21, 2022 USD ($)	Feb. 25, 2022 EUR (€)	Dec. 31, 2021 USD ($)	Nov. 23, 2021 USD ($)	Oct. 14, 2021 EUR (€)	Dec. 30, 2020 USD ($)	Nov. 05, 2020 USD ($)	Jan. 27, 2020 party	Nov. 01, 2019 USD ($)	Nov. 01, 2019 BRL (R$)	Mar. 18, 2019 USD ($)	Mar. 18, 2019 BRL (R$)
Commitments and Contingencies
Number Of Potentially Related Parties | party													20
Reserve for loss contingencies				$ 6,700,000
Penalties per day														$ 5,000	R$ 25,000	$ 1,000	R$ 5,000
Penalties														2,000,000	10,000,000
Current Portion of Environmental Liabilities				8,900,000				$ 7,338,000
Environmental liabilities				26,669,000				28,435,000
Total environmental liabilities				35,569,000				35,773,000
Proposed Civil Penalty									$ 390,092
BRAZIL
Commitments and Contingencies
Loss Contingencies, Unpaid Service Taxes											$ 2,000,000
Loss Contingencies, Overall Liability				3,400,000
Brazilian Tax Disputes - Jan 2004 through May 2005 | Sao Paulo State Revenue Authority
Commitments and Contingencies
Damages sought - interest, penalties and fees				16,800,000
Damages sought - principal				1,200,000
Loss contingency, reduced penalty	$ 1,200,000
Amount of damages sought	$ 7,100,000
Brazilian Tax Disputes - Jan 2002 through Dec 2003 | Sao Paulo State Revenue Authority
Commitments and Contingencies
Damages sought - interest, penalties and fees			$ 3,700,000
Damages sought - principal			1,200,000
Loss contingency, reduced penalty		$ 800,000
Amount of damages sought			$ 4,900,000
Loss contingency, reduced penalty, including interest		$ 5,400,000
Brazilian Labor Claims
Commitments and Contingencies
Loss contingency reserves				$ 3,000,000				$ 3,200,000
Other
Commitments and Contingencies
Approximate number of defendants that includes the company named in legal actions | defendant				90
Number of pending claims | claim				17,210
Number of claims dismissed to date by stipulation or summary judgment prior to trial | case				28,400
Other | Active or In Extremis docket
Commitments and Contingencies
Number of pending claims | claim				40
Other | Minimum
Commitments and Contingencies
Amount of damages sought				$ 20,000,000
Other | Maximum
Commitments and Contingencies
Amount of damages sought				$ 25,000,000
Other | New York County as managed by the New York Supreme Court
Commitments and Contingencies
Number of pending claims | case				16,590
Other | New York County as managed by the New York Supreme Court | Pending And Future Litigation, Deferred Or Inactive Docket
Commitments and Contingencies
Number of pending claims | claim				16,550
Other | New York State Supreme Court, Counties Excluding New York County
Commitments and Contingencies
Number of pending claims | case				115
Other | Courts Located In States Other Than New York
Commitments and Contingencies
Number of pending claims | case				505
U.S. EPA Notice of Intent
Commitments and Contingencies
Penalties					$ 3,000,000
Penalty Matrix From PA DEP
Commitments and Contingencies
Penalties						$ 1,000,000
Law Suit Related To A Worker's Fatal Injury
Commitments and Contingencies
Insurance Coverage, Deductible Amount												$ 5,000,000
Alleged Violation of Environmental Permit in Ijmuiden, Netherland | Amsterdam Public Prosecutor’s Office
Commitments and Contingencies
Loss Contingency, Amount Seeking From Other Party | €										€ 100
Loss Contingency, Fine Issued By Court | €							€ 5
CSN
Commitments and Contingencies
Penalties per day														$ 19,000	R$ 100,000	$ 4,000	R$ 20,000

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Commitments and Contingencies - Schedule of Loss Contingencies by Contingency (Details) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Current Portion of Environmental Liabilities	$ 8,900,000	$ 7,338,000
Long-term environmental liabilities	26,669,000	28,435,000
Total environmental liabilities	$ 35,569,000	$ 35,773,000

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Reconciliation of Basic and Diluted Shares - Reconciliation of Basic and Diluted Shares (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Earnings Per Share [Abstract]
Income (loss) from continuing operations, net of tax	$ (106,700)	$ 8,540	$ (114,033)	$ 6,975
Weighted-average shares outstanding - basic (in shares)	79,509	79,265	79,437	79,177
Dilutive effect of stock-based compensation (in shares)	0	1,509	0	1,220
Weighted-average shares outstanding - diluted (in shares)	79,509	80,774	79,437	80,397
Earnings (loss) from continuing operations per common share, attributable to Harsco Corporation common stockholders:
Basic (in dollars per share)	$ (1.34)	$ 0.11	$ (1.44)	$ 0.09
Diluted (in dollars per share)	$ (1.34)	$ 0.11	$ (1.44)	$ 0.09

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Reconciliation of Basic and Diluted Shares - Antidilutive Securities Excluded from Computation of Earnings per Share (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Restricted Stock Units (RSUs) [Member]
Antidilutive securities
Number of securities not included in computation of diluted earnings per share (in shares)	797	0	811	0
Stock appreciation rights
Antidilutive securities
Number of securities not included in computation of diluted earnings per share (in shares)	2,193	467	2,422	656
Performance share units
Antidilutive securities
Number of securities not included in computation of diluted earnings per share (in shares)	1,128	690	1,177	851

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Derivative Instruments, Hedging Activities and Fair Value - Fair Value of Outstanding Derivative Contracts (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Derivative contracts
Asset derivatives	$ 17,785	$ 2,124
Liability derivatives	1,390	7,622
Foreign currency exchange forward contracts | Other current assets
Derivative contracts
Asset derivatives	17,785	2,124
Foreign currency exchange forward contracts | Other current liabilities
Derivative contracts
Liability derivatives	967	3,465
Interest rate swaps | Other current liabilities
Derivative contracts
Liability derivatives	423	4,157
Fair Value of Derivatives Designated as Hedging Instruments
Derivative contracts
Asset derivatives	1,710	719
Liability derivatives	888	4,717
Fair Value of Derivatives Designated as Hedging Instruments | Foreign currency exchange forward contracts | Other current assets
Derivative contracts
Asset derivatives	1,710	719
Fair Value of Derivatives Designated as Hedging Instruments | Foreign currency exchange forward contracts | Other current liabilities
Derivative contracts
Liability derivatives	465	560
Fair Value of Derivatives Designated as Hedging Instruments | Interest rate swaps | Other current liabilities
Derivative contracts
Liability derivatives	423	4,157
Fair Value of Derivatives Not Designated as Hedging Instruments
Derivative contracts
Asset derivatives	16,075	1,405
Liability derivatives	502	2,905
Fair Value of Derivatives Not Designated as Hedging Instruments | Foreign currency exchange forward contracts | Other current assets
Derivative contracts
Asset derivatives	16,075	1,405
Fair Value of Derivatives Not Designated as Hedging Instruments | Foreign currency exchange forward contracts | Other current liabilities
Derivative contracts
Liability derivatives	502	2,905
Fair Value of Derivatives Not Designated as Hedging Instruments | Interest rate swaps | Other current liabilities
Derivative contracts
Liability derivatives	$ 0	$ 0

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Derivative Instruments, Hedging Activities and Fair Value - Narrative (Details) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2022	Dec. 31, 2021
Foreign Currency Derivatives
Derivative Liability, Fair Value, Amount Not Offset Against Collateral	$ 2,200,000		$ 2,200,000			$ 900,000
Pre-tax net gains (losses) on certain loans designated as hedges of net investments in foreign subsidiaries	600,000	$ 300,000	1,200,000	$ 3,600,000
Long-term debt, fair value	1,202,800,000		1,202,800,000			1,394,200,000
Foreign currency exchange forward contracts
Foreign Currency Derivatives
Derivative, Notional Amount	450,900,000		450,900,000			425,800,000
Term Loan Facility, Fixed-Rate | Term Loan
Foreign Currency Derivatives
Principal amount	200,000,000		200,000,000
LIBOR | Forecast | Term Loan Facility, Fixed-Rate | Term Loan
Foreign Currency Derivatives
Variable rate basis spread					3.12%
Reported Value Measurement
Foreign Currency Derivatives
Long-term Debt	$ 1,337,400,000		$ 1,337,400,000			$ 1,387,900,000

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Derivative Instruments, Hedging Activities and Fair Value - Effect of Derivative Instruments (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Effect of derivative instruments
Amount Recognized in OCI on Derivatives	$ 957	$ (473)	$ 1,966	$ (455)
Amount Reclassified from AOCI into Income - Effective Portion or Equity	(63)	(865)	(525)	(1,680)
Income (loss) from discontinued businesses	1,879	8,239	(37,218)	11,603
Interest expense	(16,692)	(15,643)	(31,784)	(31,899)
Fair Value of Derivatives Designated as Hedging Instruments
Effect of derivative instruments
Income (loss) from discontinued businesses	1,109	4,848	(31,397)	6,548
Interest expense	(16,692)	(15,643)	(31,784)	(31,899)
Foreign currency exchange forward contracts
Effect of derivative instruments
Amount Recognized in OCI on Derivatives	957	(440)	1,966	(441)
Foreign currency exchange forward contracts | Income (loss) from discontinued businesses
Effect of derivative instruments
Amount Reclassified from AOCI into Income - Effective Portion or Equity	998	(3)	1,586	47
Interest rate swaps
Effect of derivative instruments
Amount Recognized in OCI on Derivatives	0	(33)	0	(14)
Interest rate swaps | Income (loss) from discontinued businesses
Effect of derivative instruments
Amount Reclassified from AOCI into Income - Effective Portion or Equity	0	0	0	0
Interest rate swaps | Interest Expense
Effect of derivative instruments
Amount Reclassified from AOCI into Income - Effective Portion or Equity	$ 1,061	$ 862	$ (2,111)	$ (1,727)

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Derivative Instruments, Hedging Activities and Fair Value - Derivatives Designated as Hedging Instruments (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Derivative [Line Items]
Gain or (loss) reclassified from AOCI into income	$ (63)	$ (865)	$ (525)	$ (1,680)
Total revenues	481,052	468,674	933,849	915,939
Interest expense	(16,692)	(15,643)	(31,784)	(31,899)
Fair Value of Derivatives Designated as Hedging Instruments
Derivative [Line Items]
Interest expense	(16,692)	(15,643)	(31,784)	(31,899)
Product Revenues
Derivative [Line Items]
Total revenues	41,434	39,023	75,796	71,949
Cost of services sold	34,205	30,466	64,867	57,980
Products And Services, Service Revenue
Derivative [Line Items]
Total revenues	439,618	429,651	858,053	843,990
Cost of services sold	368,994	344,982	715,351	674,835
Interest Expense | Interest rate swaps
Derivative [Line Items]
Gain or (loss) reclassified from AOCI into income	1,061	862	(2,111)	(1,727)
Gain (Loss) on Discontinuation of Cash Flow Hedge Due to Forecasted Transaction Probable of Not Occurring, Net	720	0	1,611	0
Interest Expense | Foreign exchange contracts
Derivative [Line Items]
Gain or (loss) reclassified from AOCI into income		0	0	0
Amount excluded from effectiveness testing recognized in earnings		0	0	0
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease) Based On Amortization Approach, before Adjustments and Tax		0	0	0
Income (loss) from discontinued businesses | Interest rate swaps
Derivative [Line Items]
Gain or (loss) reclassified from AOCI into income	0	0	0	0
Gain (Loss) on Discontinuation of Cash Flow Hedge Due to Forecasted Transaction Probable of Not Occurring, Net	0	0	0	0
Income (loss) from discontinued businesses | Foreign currency exchange forward contracts
Derivative [Line Items]
Gain or (loss) reclassified from AOCI into income	998	(3)	1,586	47
Income (loss) from discontinued businesses | Foreign exchange contracts
Derivative [Line Items]
Gain or (loss) reclassified from AOCI into income	998	(3)	1,586	47
Amount excluded from effectiveness testing recognized in earnings	(23)	9	(64)	38
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease) Based On Amortization Approach, before Adjustments and Tax	$ (3)	$ 1	$ (5)	$ 0

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Derivative Instruments, Hedging Activities and Fair Value - Instrument Not Designated As Hedging Instrument (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Foreign currency exchange forward contracts | Cost of services and products sold
Derivative [Line Items]
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net	$ 18,234	$ (740)	$ 22,072	$ 4,004

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Review of Operations by Segment (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Operations by segment
Revenues	$ 481,052	$ 468,674	$ 933,849	$ 915,939
Operating income from continuing operations	(97,003)	26,265	(89,255)	45,383
Interest income	693	577	1,337	1,124
Interest expense	(16,692)	(15,643)	(31,784)	(31,899)
Facility fees and debt-related income (expense)	2,149	(50)	1,617	(5,308)
Defined benefit pension income (expense)	(2,247)	(3,956)	(4,657)	(7,890)
Income (loss) from continuing operations before income taxes and equity income	(108,606)	15,105	(113,428)	17,190
Capital Expenditures	28,307	40,829	60,759	67,846
Depreciation	32,463		66,067	64,904
Amortization	8,481		17,067	17,783
Amortization, Excluding Discontinued Operations		8,731		17,613
Depreciation Excluding Industrial Segment		30,949		62,486
Operating Segments
Operations by segment
Operating income from continuing operations	(88,121)	37,609	(71,151)	66,722
Corporate
Operations by segment
Operating income from continuing operations	(8,882)	(11,344)	(18,104)	(21,339)
Capital Expenditures	1,172	111	2,138	179
Depreciation	460	494	891	977
Amortization	636	633	1,319	1,384
Harsco Environmental Segment | Operating Segments
Operations by segment
Revenues	277,599	272,546	539,650	530,532
Operating income from continuing operations	23,547	30,223	41,814	56,158
Capital Expenditures	23,585	35,993	48,375	60,412
Depreciation	27,467	25,550	55,539	51,267
Amortization	1,714	2,035	3,542	4,083
Harsco Clean Earth Segment | Operating Segments
Operations by segment
Revenues	203,453	196,128	394,199	385,407
Operating income from continuing operations	(111,668)	7,386	(112,965)	10,564
Capital Expenditures	3,550	4,725	10,246	7,255
Depreciation	4,536	4,905	9,637	10,242
Amortization	$ 6,131	$ 6,063	$ 12,206	$ 12,146

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Revenue Recognition - Revenues by Primary Geographical Markets (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Disaggregation of Revenue [Line Items]
Total revenues	$ 481,052	$ 468,674	$ 933,849	$ 915,939
Waste Processing and Reuse Solutions
Disaggregation of Revenue [Line Items]
Total revenues	203,453	196,128	394,199	385,407
Environmental services related to resource recovery for metals manufacturing and related logistical services
Disaggregation of Revenue [Line Items]
Total revenues	236,165	233,523	463,854	458,583
Applied Products
Disaggregation of Revenue [Line Items]
Total revenues	38,083	34,830	70,048	64,615
Aluminum Dross and Scrap Processing Systems
Disaggregation of Revenue [Line Items]
Total revenues	3,351	4,193	5,748	7,334
North America
Disaggregation of Revenue [Line Items]
Total revenues	284,162	265,863	545,987	522,323
Western Europe
Disaggregation of Revenue [Line Items]
Total revenues	99,591	116,981	201,670	229,152
Latin America
Disaggregation of Revenue [Line Items]
Total revenues	39,202	33,799	75,007	64,452
Asia-Pacific
Disaggregation of Revenue [Line Items]
Total revenues	31,950	26,922	60,018	50,292
Middle East and Africa
Disaggregation of Revenue [Line Items]
Total revenues	20,762	19,873	40,648	39,994
Eastern Europe
Disaggregation of Revenue [Line Items]
Total revenues	5,385	5,236	10,519	9,726
Operating Segments | Harsco Environmental Segment
Disaggregation of Revenue [Line Items]
Total revenues	277,599	272,546	539,650	530,532
Operating Segments | Harsco Environmental Segment | Waste Processing and Reuse Solutions
Disaggregation of Revenue [Line Items]
Total revenues	0	0	0	0
Operating Segments | Harsco Environmental Segment | Environmental services related to resource recovery for metals manufacturing and related logistical services
Disaggregation of Revenue [Line Items]
Total revenues	236,165	233,523	463,854	458,583
Operating Segments | Harsco Environmental Segment | Applied Products
Disaggregation of Revenue [Line Items]
Total revenues	38,083	34,830	70,048	64,615
Operating Segments | Harsco Environmental Segment | Aluminum Dross and Scrap Processing Systems
Disaggregation of Revenue [Line Items]
Total revenues	3,351	4,193	5,748	7,334
Operating Segments | Harsco Environmental Segment | North America
Disaggregation of Revenue [Line Items]
Total revenues	80,709	69,735	151,788	136,916
Operating Segments | Harsco Environmental Segment | Western Europe
Disaggregation of Revenue [Line Items]
Total revenues	99,591	116,981	201,670	229,152
Operating Segments | Harsco Environmental Segment | Latin America
Disaggregation of Revenue [Line Items]
Total revenues	39,202	33,799	75,007	64,452
Operating Segments | Harsco Environmental Segment | Asia-Pacific
Disaggregation of Revenue [Line Items]
Total revenues	31,950	26,922	60,018	50,292
Operating Segments | Harsco Environmental Segment | Middle East and Africa
Disaggregation of Revenue [Line Items]
Total revenues	20,762	19,873	40,648	39,994
Operating Segments | Harsco Environmental Segment | Eastern Europe
Disaggregation of Revenue [Line Items]
Total revenues	5,385	5,236	10,519	9,726
Operating Segments | Harsco Clean Earth Segment
Disaggregation of Revenue [Line Items]
Total revenues	203,453	196,128	394,199	385,407
Operating Segments | Harsco Clean Earth Segment | Waste Processing and Reuse Solutions
Disaggregation of Revenue [Line Items]
Total revenues	203,453	196,128	394,199	385,407
Operating Segments | Harsco Clean Earth Segment | Environmental services related to resource recovery for metals manufacturing and related logistical services
Disaggregation of Revenue [Line Items]
Total revenues	0	0	0	0
Operating Segments | Harsco Clean Earth Segment | Applied Products
Disaggregation of Revenue [Line Items]
Total revenues	0	0	0	0
Operating Segments | Harsco Clean Earth Segment | Aluminum Dross and Scrap Processing Systems
Disaggregation of Revenue [Line Items]
Total revenues	0	0	0	0
Operating Segments | Harsco Clean Earth Segment | North America
Disaggregation of Revenue [Line Items]
Total revenues	203,453	196,128	394,199	385,407
Operating Segments | Harsco Clean Earth Segment | Western Europe
Disaggregation of Revenue [Line Items]
Total revenues	0	0	0	0
Operating Segments | Harsco Clean Earth Segment | Latin America
Disaggregation of Revenue [Line Items]
Total revenues	0	0	0	0
Operating Segments | Harsco Clean Earth Segment | Asia-Pacific
Disaggregation of Revenue [Line Items]
Total revenues	0	0	0	0
Operating Segments | Harsco Clean Earth Segment | Middle East and Africa
Disaggregation of Revenue [Line Items]
Total revenues	0	0	0	0
Operating Segments | Harsco Clean Earth Segment | Eastern Europe
Disaggregation of Revenue [Line Items]
Total revenues	$ 0	$ 0	$ 0	$ 0

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Revenue Recognition - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Disaggregation of Revenue [Line Items]
Total contract assets	$ 3,900		$ 3,900		$ 3,100
Contract with Customer, Liability, Revenue Recognized, Including Opening Balance	7,000	$ 4,000	10,000	$ 6,000
Total advances on contracts	4,200		4,200		$ 4,100
Revenues	$ 481,052	$ 468,674	$ 933,849	$ 915,939

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Revenue Recognition - Remaining Performance Obligation (Details) - Harsco Environmental Segment $ in Millions	Jun. 30, 2022 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 69.2
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 19.2
Period of expected timing of satisfaction	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 17.6
Period of expected timing of satisfaction	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 17.1
Period of expected timing of satisfaction	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 9.0
Period of expected timing of satisfaction	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Period of expected timing of satisfaction

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Other (Income) Expenses, Net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Other Income and Expenses [Abstract]
Employee termination benefit costs	$ 605	$ 656	$ 297	$ 1,166
Net gains	(92)	(5,354)	(1,904)	(7,047)
Other costs to exit activities	477	400	1,058	638
Impaired asset write-downs	296	140	355	162
Other	759	(9)	1,060	(77)
Other (income) expenses, net	$ 2,045	$ (4,167)	$ 866	$ (5,158)

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Components of Accumulated Other Comprehensive Loss - 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 Accumulated Other Comprehensive Income [Roll Forward]
Beginning balance	$ 781,095	$ 805,770	$ 716,583	$ 713,399	$ 805,770	$ 713,399
Other comprehensive income (loss) before reclassifications					(26,117)	6,465
Amounts reclassified from accumulated other comprehensive loss					8,999	12,677
Total other comprehensive income (loss)	(29,126)	12,008	17,913	1,229	(17,118)	19,142
Less: OCI attributable to noncontrolling interests					(3,385)	(393)
Other comprehensive income (loss) attributable to Harsco Corporation					(13,733)	19,535
Ending balance	651,703	781,095	749,383	716,583	651,703	749,383
Accumulated Foreign Currency Adjustment Attributable to Parent [Member]
Components of Accumulated Other Comprehensive Income [Roll Forward]
Beginning balance		(134,889)		(125,392)	(134,889)	(125,392)
Other comprehensive income (loss) before reclassifications					(61,493)	12,150
Amounts reclassified from accumulated other comprehensive loss					0	0
Total other comprehensive income (loss)					(61,493)	12,150
Less: OCI attributable to noncontrolling interests					(3,385)	(393)
Other comprehensive income (loss) attributable to Harsco Corporation					(58,108)	12,543
Ending balance	(192,997)		(112,849)		(192,997)	(112,849)
Effective Portion of Deriviatives Designated as Hedging Instruments
Components of Accumulated Other Comprehensive Income [Roll Forward]
Beginning balance		(3,024)		(5,840)	(3,024)	(5,840)
Other comprehensive income (loss) before reclassifications					1,692	(259)
Amounts reclassified from accumulated other comprehensive loss					168	1,182
Total other comprehensive income (loss)					1,860	923
Less: OCI attributable to noncontrolling interests					0	0
Other comprehensive income (loss) attributable to Harsco Corporation					1,860	923
Ending balance	(1,164)		(4,917)		(1,164)	(4,917)
Cumulative Unrecognized Actuarial Losses on Pension Obligations
Components of Accumulated Other Comprehensive Income [Roll Forward]
Beginning balance		(422,248)		(514,500)	(422,248)	(514,500)
Other comprehensive income (loss) before reclassifications					33,697	(5,451)
Amounts reclassified from accumulated other comprehensive loss					8,831	11,495
Total other comprehensive income (loss)					42,528	6,044
Less: OCI attributable to noncontrolling interests					0	0
Other comprehensive income (loss) attributable to Harsco Corporation					42,528	6,044
Ending balance	(379,720)		(508,456)		(379,720)	(508,456)
Unrealized Loss on Marketable Securities
Components of Accumulated Other Comprehensive Income [Roll Forward]
Beginning balance		22		(9)	22	(9)
Other comprehensive income (loss) before reclassifications					(13)	25
Amounts reclassified from accumulated other comprehensive loss					0	0
Total other comprehensive income (loss)					(13)	25
Less: OCI attributable to noncontrolling interests					0	0
Other comprehensive income (loss) attributable to Harsco Corporation					(13)	25
Ending balance	9		16		9	16
Accumulated Other Comprehensive Loss
Components of Accumulated Other Comprehensive Income [Roll Forward]
Beginning balance	(547,649)	(560,139)	(643,446)	(645,741)	(560,139)	(645,741)
Total other comprehensive income (loss)	(26,223)	12,490	17,240	2,295
Ending balance	$ (573,872)	$ (547,649)	$ (626,206)	$ (643,446)	$ (573,872)	$ (626,206)

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Components of Accumulated Other Comprehensive Loss - Reclassification out of Accumulated Other Comprehensive Income (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
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Interest expense	$ 16,692		$ 15,643		$ 31,784	$ 31,899
Income from continuing operations before income taxes	(108,606)		15,105		(113,428)	17,190
Income tax expense (benefit)	(3,115)		4,797		(1,894)	6,898
Net income (loss)	(104,496)	$ (38,680)	15,080	$ 1,565	(143,176)	16,645
Amount Reclassified from Accumulated Other Comprehensive Loss | Cumulative Unrecognized Actuarial Losses on Pension Obligations
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Income from continuing operations before income taxes	4,609		6,136		9,456	12,211
Income tax expense (benefit)	(312)		(358)		(625)	(716)
Net income (loss)	4,297		5,778		8,831	11,495
Amount Reclassified from Accumulated Other Comprehensive Loss | Effective Portion of Deriviatives Designated as Hedging Instruments
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Income from continuing operations before income taxes	63		865		525	1,680
Income tax expense (benefit)	(233)		(253)		(357)	(498)
Net income (loss)	(170)		612		168	1,182
Amount Reclassified from Accumulated Other Comprehensive Loss | Effective Portion of Deriviatives Designated as Hedging Instruments | Foreign currency exchange forward contracts
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Income (loss) from discontinued operations	(998)		3		(1,586)	(47)
Amount Reclassified from Accumulated Other Comprehensive Loss | Effective Portion of Deriviatives Designated as Hedging Instruments | Interest rate swaps
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Interest expense	1,061		862		2,111	1,727
Amount Reclassified from Accumulated Other Comprehensive Loss | Actuarial losses
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Defined benefit pension income	4,496		6,007		9,223	11,955
Amount Reclassified from Accumulated Other Comprehensive Loss | Prior service costs
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Defined benefit pension income	$ 113		$ 129		$ 233	$ 256