Benefit Plans

12 Months Ended

Dec. 31, 2025

Benefit Plans [Abstract]

Benefit Plans

Note 16. Benefit Plans

Pension Plans and Other Postretirement Benefit Plans

The Company and its subsidiaries have pension plans covering the majority of eligible employees on a contributory or non-contributory basis. Benefits under defined benefit plans are generally based on years of service and an employee’s career earnings. Employees generally become fully vested after five years.

The Company also provides postretirement health care and life insurance benefits for the majority of its U.S. retired employees. Employees are generally eligible for benefits upon retirement and completion of a specified number of years of creditable service. The Company does not pre-fund these benefits and has the right to modify or terminate the plan in the future.

The Company’s disclosures for the U.S. plans have been combined with those outside of the U.S. as the international plans do not have significantly different assumptions and together represent approximately 20% of our total benefit obligation.

The following table sets forth the Company’s pension obligation and funded status at December 31:

	Pension Benefits						Postretirement Benefits
(in millions of dollars)		2025			2024			2025			2024
Change in benefit obligations:
Beginning projected benefit obligation	$	342.3		$	368.9		$	1.8		$	2.0
Service cost		3.8			4.2			-			-
Interest cost		16.5			16.0			0.1			0.1
Actuarial (gain)/loss		4.5			(25.4	)		(0.1	)		(0.1	)
Benefits paid		(23.0	)		(18.7	)		(0.1	)		(0.1	)
Foreign exchange impact		5.3			(3.1	)		0.1			(0.1	)
Other		(0.1	)		0.4			-			-
Ending projected benefit obligation		349.3			342.3			1.8			1.8
Change in plan assets:
Beginning fair value		341.3			317.4			-			-
Actual return on plan assets		38.0			33.5			-			-
Employer contributions		8.5			11.6			0.1			0.1
Plan participants' contributions		0.4			0.4			-			-
Benefits paid		(23.4	)		(18.7	)		(0.1	)		(0.1	)
Foreign exchange impact		5.1			(2.9	)		-			-
Ending fair value		369.9			341.3			-			-
Funded status	$	20.6		$	(1.0	)	$	(1.8	)	$	(1.8	)

The following table presents our domestic and foreign ending projected benefit obligation information at December 31, 2025, 2024 and 2023:

	U.S. Plans						International Plans
(in millions of dollars)		2025		2024		2023		2025		2024		2023
Ending projected benefit obligation	$	279.5	$	275.2	$	293.4	$	71.6	$	68.9	$	77.5

Amounts recognized in the Consolidated Balance Sheets consist of:

	Pension Benefits						Postretirement Benefits
(in millions of dollars)		2025			2024			2025			2024
Non-current asset	$	40.1		$	19.5		$	-		$	-
Current liability		(1.7	)		(1.6	)		(0.1	)		(0.1	)
Non-current liability		(17.8	)		(18.9	)		(1.7	)		(1.7	)
Net asset (liability) recognized	$	20.6		$	(1.0	)	$	(1.8	)	$	(1.8	)

The non-current pension assets are included in other assets and deferred charges and the current portion of pension liabilities is included in accrued compensation and related items on the Consolidated Balance Sheets.

Amounts recognized in accumulated other comprehensive loss, net of related tax effects, consist of:

	Pension Benefits					Postretirement Benefits
(in millions of dollars)		2025			2024		2025			2024
Net actuarial (gain) loss	$	(7.4	)	$	1.2	$	(3.0	)	$	(3.2	)
Prior service cost		0.1			0.1		-			-
Amount recognized end of year	$	(7.3	)	$	1.3	$	(3.0	)	$	(3.2	)

The accumulated benefit obligation for all defined benefit pension plans was $334.7 million and $327.5 million at December 31, 2025 and 2024, respectively. The accumulated benefit obligations and projected benefit obligations are in excess of the plan assets for primarily all of the Company’s defined benefit plans.

Changes in the Plan assets and benefit obligations recognized in other comprehensive income:

	Pension Benefits				Postretirement Benefits
(in millions of dollars)		2025		2024		2025			2024
Current year actuarial gain	$	7.8	$	29.7	$	0.1		$	0.1
Amortization of actuarial (gain) loss		0.8		1.1		(0.3	)		(0.3	)
Total recognized in other comprehensive income	$	8.6	$	30.8	$	(0.2	)	$	(0.2	)

The components of net periodic benefit costs are as follows:

	Pension Benefits									Postretirement Benefits
(in millions of dollars)		2025			2024			2023			2025			2024			2023
Service cost	$	3.8		$	4.2		$	4.5		$	-		$	-		$	-
Interest cost		16.5			16.0			16.0			0.1			0.1			0.1
Expected return on plan assets		(21.9	)		(19.8	)		(17.8	)		-			-			-
Recognized net actuarial (gain) loss		1.1			1.5			2.9			(0.4	)		(0.4	)		(0.5	)
Settlement/curtailment (gain) loss		(0.1	)		-			0.1			-			-			-
Net periodic (benefit) cost	$	(0.6	)	$	1.9		$	5.7		$	(0.3	)	$	(0.3	)	$	(0.4	)

Unrecognized prior service cost is amortized over the average remaining service period of each active employee.

The Company’s funding policy for U.S. plans generally is to contribute annually into trust funds at a rate that provides for future plan benefits and maintains appropriate funded percentages. Annual contributions to the U.S. qualified plans are at least sufficient to satisfy regulatory funding standards and are not more than the maximum amount deductible for income tax purposes. The funding policies for the international plans conform to local governmental and tax requirements. The plans’ assets are invested primarily in stocks and bonds.

Additional Information

The weighted average assumptions used to determine net periodic benefit cost in the accounting for the pension benefit plans and other benefit plans for the years ended December 31, 2025, 2024, and 2023 are as follows:

	Year Ended December 31,
		2025		2024		2023
Discount rate		5.27	%	5.16	%	4.84	%
Expected return on plan assets		6.64	%	6.59	%	6.53	%
Rate of compensation increase		2.75	%	2.75	%	2.77	%
Interest crediting rate		3.75	%	3.75	%	2.25	%

The weighted average assumptions used to determine benefit obligations for the pension benefit plans and other benefit plans at December 31, 2025, 2024, and 2023 are as follows:

	Year Ended December 31,
		2025		2024		2023
Discount rate		5.20	%	4.75	%	4.63	%
Rate of compensation increase		2.75	%	2.75	%	2.76	%

For 2025, 2024, and 2023, the discount rate was based on the FTSE Pension Discount Curve, a yield curve of high-quality corporate bonds with cash flows matching our plans’ expected benefit payments. The expected return on plan assets is based on our asset allocation mix and our historical return, taking into account current and expected market conditions. The actual return on pension assets was approximately 10% in 2025, 10% in 2024, and 11% in 2023.

The Company maintains a self-funded health insurance plan for its retirees. This plan provided that the maximum health care cost trend rate would be 5%. Effective June 2010, the Company amended its plan to change the eligibility requirement for retirees and revised its plan so that increases in expected health care costs would be borne by the retiree. Effective January 1, 2022, the plan was closed to new retirees.

Plan Assets

The Company’s pension plan weighted average asset allocation percentages at December 31, 2025 and 2024 by asset category are as follows:

	December 31,
Asset Category		2025		2024
Equity securities		56.0	%	55.3	%
Fixed income securities		31.6	%	33.1	%
Real estate		0.1	%	0.1	%
Other		12.3	%	11.5	%
Total		100.0	%	100.0	%

The Company’s pension plan fair values at December 31, 2025 and 2024 by asset category are as follows:

(in millions of dollars)	December 31,
Asset Category		2025		2024
Equity securities	$	207.3	$	188.7
Fixed income securities		116.8		112.8
Real estate		0.3		0.3
Other		45.5		39.5
Total	$	369.9	$	341.3

The following table presents domestic and foreign pension plan assets information at December 31, 2025, 2024 and 2023 (the measurement date of pension plan assets):

	U.S. Plans						International Plans
(in millions of dollars)		2025		2024		2023		2025		2024		2023
Fair value of plan assets	$	297.9	$	277.1	$	251.4	$	72.0	$	64.2	$	66.0

The following table summarizes our defined benefit pension plan assets measured at fair value as of December 31, 2025:

		Quoted Prices in
		Active Markets for		Significant Other		Significant
(in millions of dollars)		Identical Assets		Observable Inputs		Unobservable Inputs
Pension Assets Fair Value as of December 31, 2025		(Level 1)		(Level 2)		(Level 3)		Total
Equity securities
U.S. equities	$	184.8	$	-	$	-	$	184.8
Non-U.S. equities		22.5		-		-		22.5
Fixed income securities
Corporate debt instruments		99.3		17.5		-		116.8
Real estate and other
Real estate		-		-		0.3		0.3
Other		0.4		-		5.4		5.8
Total		307.0		17.5		5.7		330.2
Pension plan assets at NAV		-		-		-		39.7
Total pension plan assets	$	307.0	$	17.5	$	5.7	$	369.9

The following table summarizes our defined benefit pension plan assets measured at fair value as of December 31, 2024:

		Quoted Prices in
		Active Markets for		Significant Other		Significant
(in millions of dollars)		Identical Assets		Observable Inputs		Unobservable Inputs
Pension Assets Fair Value as of December 31, 2024		(Level 1)		(Level 2)		(Level 3)		Total
Equity securities
U.S. equities	$	167.2	$	-	$	-	$	167.2
Non-U.S. equities		21.5		-		-		21.5
Fixed income securities
Corporate debt instruments		98.9		13.9		-		112.8
Real estate and other
Real estate		-		-		0.3		0.3
Other		0.4		-		5.2		5.6
Total		288.0		13.9		5.5		307.4
Pension plan assets at NAV		-		-		-		33.9
Total pension plan assets	$	288.0	$	13.9	$	5.5	$	341.3

U.S. equities – This class included actively and passively managed common equity securities comprised primarily of large-capitalization stocks with value, core, and growth strategies.

Non-U.S. equities – This class included actively managed common equity securities comprised primarily of international large-capitalization stocks.

Fixed income – This class included corporate debt instruments.

Real Estate and other – This class included assets related to real estate and other assets such as insurance contracts.

Assets classified as Level 1 are valued using quoted prices on the major stock exchange on which individual assets are traded. Our Level 2 assets are valued using net asset value. The net asset value is quoted on a private market that is not active; however, the unit price is based on the underlying investments that are traded on an active market. Our Level 3 assets are estimated at fair value based on the most recent financial information available for the underlying securities, which are not traded on active market, and represent significant unobservable input.

The following is a reconciliation of changes in fair value measurement of plan assets using significant unobservable inputs (Level 3):

(in millions of dollars)
Beginning balance at December 31, 2023	$	7.1
Purchases, sales, settlements		-
Actual (loss) return on plan assets still held at reporting date		(1.6	)
Foreign exchange impact		-
Ending balance at December 31, 2024	$	5.5
Purchases, sales, settlements		-
Actual return on plan assets still held at reporting date		0.1
Foreign exchange impact		0.1
Ending balance at December 31, 2025	$	5.7

There were no transfers in or out of Level 3 during the years ended December 31, 2025 and 2024.

Contributions

The Company expects to contribute $10.8 million to its pension plans and $0.1 million to its other postretirement benefit plan in 2026.

Estimated Future Benefit Payments

The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid:

		Pension		Other
(in millions of dollars)		Benefits		Benefits
2026	$	25.5	$	0.1
2027	$	26.8	$	0.2
2028	$	26.7	$	0.2
2029	$	25.4	$	0.2
2030	$	25.7	$	0.2
2031-2035	$	124.7	$	0.7

Investment Strategies

The investment strategy for pension plan assets is to maintain a broadly diversified portfolio designed to both preserve and grow plan assets to meet future plan obligations. The Company’s average rate of return on assets from inception through December 31, 2025, was approximately 9%. The Company’s assets are strategically allocated among equity, debt, and other investments to achieve a diversification level that dampens fluctuations in investment returns. The Company’s long-term investment strategy is an investment portfolio mix of approximately 55%-65% in equity securities, 30%-35% in fixed income securities, and 0%-15% in other securities.

Savings and Investment Plan

The Company maintains a voluntary Savings and Investment Plan (a 401(k) plan) for most non-union employees in the U.S. Within prescribed limits, the Company bases its contribution to the Savings and Investment Plan on employee contributions. The Company’s contributions amounted to $6.7 million, $6.4 million, and $6.2 million for the years ended December 31, 2025, 2024, and 2023, respectively.