Derivative Instruments

12 Months Ended

Dec. 31, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments

NOTE 15 – DERIVATIVE INSTRUMENTS:

Certain divisions of the ALP segment are subject to risk from increases in the price of commodities (copper and aluminum) used in the production of inventory. To minimize this risk, futures contracts are entered into which are designated as cash flow hedges. At December 31, 2024, approximately 49% or $3,301 of anticipated copper purchases over the next nine months and 40% or $373 of anticipated aluminum purchases over the next five months are hedged. At December 31, 2023, approximately 52% or $2,746 of anticipated copper purchases over the next eight months and 56% or $558 of anticipated aluminum purchases over the next six months were hedged.

The Corporation periodically enters into purchase commitments to cover a portion of its anticipated natural gas and electricity usage. The commitments qualify as normal purchases and, accordingly, are not reflected on the consolidated balance sheets. At December 31, 2024, the Corporation has purchase commitments covering approximately 26% or $1,096 of anticipated natural gas usage through December 31, 2025 for one of its subsidiaries and approximately 25% or $766 of anticipated electricity usage through December 2025

for two of its subsidiaries. At December 31, 2023, the Corporation had purchase commitments covering approximately 8% or $2,622 of anticipated natural gas usage through December 31, 2025 for two of its subsidiaries and approximately 15% or $1,306 of anticipated electricity usage through December 31, 2025 for two of its subsidiaries. Purchases of natural gas and electricity under previously existing commitments approximated $3,267 and $2,920 for 2024 and 2023, respectively.

The Corporation previously entered into foreign currency purchase contracts to manage the volatility associated with euro-denominated progress payments to be made for certain machinery and equipment. Upon occurrence of an anticipated purchase and placement of the underlying fixed asset in service, the foreign currency purchase contract was settled and the change in fair value of the foreign currency purchase contract was deferred in accumulated other comprehensive loss and is being reclassified to earnings (depreciation and amortization expense) over the life of the underlying asset (approximately 15 years, through 2026).

No portion of the existing cash flow hedges is considered to be ineffective, including any ineffectiveness arising from the unlikelihood of an anticipated transaction to occur. Additionally, no amounts have been excluded from assessing the effectiveness of a hedge. The Corporation does not enter into derivative transactions for speculative purposes and, therefore, holds no derivative instruments for trading purposes.

The change in the fair value of the cash flow contracts is recorded as a component of accumulated other comprehensive loss. Amounts recognized as and reclassified from accumulated other comprehensive loss are recorded as a component of other comprehensive loss and are summarized below. Amounts are after-tax, where applicable. Certain amounts recognized as or reclassified from comprehensive loss for 2024 and 2023 have no tax effect due to the Corporation having a valuation allowance recorded against the deferred income tax assets for the jurisdiction where the income or expense is recognized.

For the Year Ended December 31, 2024	Beginning of the Year		Recognized			Reclassified			End of the Year
Foreign currency purchase contracts	$	81	$	—		$	27		$	54
Future contracts – copper and aluminum		105		(40	)		221			(156	)
Change in fair value	$	186	$	(40	)	$	248		$	(102	)
For the Year Ended December 31, 2023
Foreign currency purchase contracts	$	108	$	—		$	27		$	81
Future contracts – copper and aluminum		44		4			(57	)		105
Change in fair value	$	152	$	4		$	(30	)	$	186

The change in fair value reclassified or expected to be reclassified from accumulated other comprehensive loss to earnings is summarized below. All amounts are pre-tax.

	Location of Gain (Loss) in	Estimated to be Reclassified in the Next			Years Ended December 31,
	Consolidated Statements of Operations	12 Months			2024		2023
Foreign currency purchase contracts	Depreciation and amortization	$	27		$	27	$	27
Futures contracts – copper and    aluminum	Costs of products sold (excluding depreciation and amortization)	$	(161	)	$	227	$	(57	)

Losses on foreign exchange transactions included in other expense approximated $483 and $692 for 2024 and 2023, respectively.