RESTRUCTURING

3 Months Ended

Mar. 31, 2026

Restructuring and Related Activities [Abstract]

Wabtec is focused on driving operational efficiency and improving profitability while reducing manufacturing complexity. As a result, there are key strategic initiatives aimed at achieving these focus areas.

Integration 3.0

Integration 3.0 is a multi-year strategic initiative to further consolidate our footprint, reduce complexity and streamline manufacturing, engineering, administrative, and commercial activities. The Company anticipates that it will incur one-time restructuring charges related to Integration 3.0 of approximately $80 million to $100 million. Net charges to date of $39 million were primarily for employee-related costs.

A summary of restructuring charges related to the Integration 3.0 initiative is as follows:


	Three Months Ended March 31,
In millions	2026		2025
Freight Segment:
Cost of goods sold	$	1	$	1
Selling, general and administrative expenses	1		—
Total Freight Segment	$	2	$	1

Transit Segment:
Cost of goods sold	$	1	$	2
Selling, general and administrative expenses	1		4
Total Transit Segment	$	2	$	6

Corporate:
Selling, general and administrative expenses	$	(1)	$	—
Total Integration 3.0 restructuring charges, net	$	3	$	7

Portfolio Optimization

Wabtec is focused on exiting various low margin product offerings through Portfolio Optimization to improve profitability while reducing manufacturing complexity. There were no material charges or cash payments during the three months ended March 31, 2026. Wabtec recorded net charges of approximately $3 million during the three months ended March 31, 2025, primarily for asset write downs related to Portfolio Optimization. Total one-time restructuring charges related to Portfolio Optimization to date are approximately $101 million.

Integration 2.0

Integration 2.0 is a multi-year strategic initiative to review and consolidate our operating footprint, reduce headcount, streamline the end-to-end manufacturing process, restructure the North America distribution channels, expand operations in low-cost countries, and simplify the business through systems enablement. The Company anticipates that it will incur one-time restructuring charges related to Integration 2.0 of up to approximately $170 million, of which approximately $150 million has been incurred to date. There were no material charges or cash payments during the three months ended March 31, 2026 and 2025.