Derivative Financial Instruments and Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Effect of Net Investment Hedges on AOCI

The effect of our net investment hedges on AOCI for the three and six months ended June 30, 2024 and 2023 was as follows:

	Gain (Loss) Recognized in Other Comprehensive Income
	Three Months Ended June 30,						Six Months Ended June 30,
Instrument	2024			2023			2024		2023
Euro Notes	$	7.2		$	(6.4	)	$	29.0	$	(18.7	)
Cross-currency swaps		(2.6	)		(16.7	)		28.7		(17.1	)

Impact of Changes in Fair Values of Derivatives Designated as Cash Flow Hedges on OCI, AOCI and Earnings

The following tables present the impact that changes in the fair values of derivatives designated as cash flow hedges had on other comprehensive income (“OCI”), AOCI and earnings for the three and six months ended June 30, 2024 and 2023:

	Gain (Loss) Recognized in OCI					Gain (Loss) Reclassified from AOCI into Income
	Three Months Ended June 30,				Location of Gain (Loss) Reclassified	Three Months Ended June 30,
Instrument	2024		2023		from AOCI into Income	2024		2023
Forward starting interest swap	$	—	$	—	Interest and other expenses, net	$	0.1	$	0.1
	Gain (Loss) Recognized in OCI					Gain (Loss) Reclassified from AOCI into Income
	Six Months Ended June 30,				Location of Gain (Loss) Reclassified	Six Months Ended June 30,
Instrument	2024		2023		from AOCI into Income	2024		2023
Forward starting interest swap		—		—	Interest and other expenses, net		0.2		0.2

Schedule of fair value hedges instruments

The following tables present the impact that the fair value hedges had on OCI and earnings for the three and six months ended June 30, 2024 and 2023:

	Gain (Loss) Recognized in OCI					Gain (Loss) Recognized in Income
	Three Months Ended June 30,				Location of Gain (Loss)	Three Months Ended June 30,
Instrument	2024		2023		Recognized in Income	2024			2023
Intercompany CHF notes	$	—	$	—	Interest and other expenses, net	$	(3.5	)	$	(4.8	)
Cross-currency swaps		1.4		—	Interest and other expenses, net		3.5			4.8

	Gain (Loss) Recognized in OCI						Gain (Loss) Recognized in Income
	Six Months Ended June 30,					Location of Gain (Loss)	Six Months Ended June 30,
Instrument	2024		2023			Recognized in Income	2024			2023
Intercompany CHF notes	$	—	$	—		Interest and other expenses, net	$	11.9		$	(4.1	)
Cross-currency swaps		0.5		(1.7	)	Interest and other expenses, net		(11.9	)		4.1

We assessed the hedging relationship at the inception of the hedges in order to determine whether the derivatives that are used in the transaction are highly effective in offsetting the cash flows of the hedged item, and will continue to assess the relationship on an ongoing basis. We use the hypothetical derivative method in conjunction with regression analysis using a third-party valuation to measure effectiveness of our cross-currency swap agreements and our forward currency exchange contracts.

Effect of Forward Contracts not Designated as Hedging Instrument

three and six months ended June 30, 2024 and 2023 was as follows:

		Gain (Loss) Recognized in Income
	Location of Gain (Loss)	Three Months Ended June 30,					Six Months Ended June 30,
Instrument	Recognized in Income	2024			2023		2024			2023
Foreign currency forward contracts	Interest and other expenses, net	$	(2.5	)	$	3.6	$	(9.8	)	$	3.0

Fair Value of Derivative and Non-Derivative Assets and Liabilities on the Consolidated Balance Sheets

The following tables present the fair value of derivative and non-derivative assets and liabilities on the Consolidated Balance Sheets as of June 30, 2024 and December 31, 2023:

	Assets
		June 30,		December 31,
	Balance Sheet Location	2024		2023
Instruments designated as fair value hedges:
Cross-currency swaps	Accounts Receivable, net		3.9		31.7
Instruments not designated as hedges:
Foreign currency forward contracts	Accounts Receivable, net		—		6.7
Total instruments		$	3.9	$	38.4

	Liabilities
		June 30,		December 31,
	Balance Sheet Location	2024		2023
Instruments designated as net investment hedges:
Euro Notes due in 2026	Long-term debt		534.3		550.0
Euro Notes due in 2027	Long-term debt		425.8		438.2
Cross-currency swaps	Accrued liabilities		44.5		73.3
Instruments not designated as hedges:
Foreign currency forward contracts	Accrued liabilities		3.2		2.3
Total instruments		$	1,007.8	$	1,063.8