Accounts Receivable and Note Receivable

3 Months Ended

Mar. 31, 2024

Accounts receivable consist of the following:


(In thousands)	March 31 2024		December 31 2023
Trade accounts receivable	$	322,102	$	353,709
Less: Allowance for expected credit losses	(13,889)		(15,522)

Trade accounts receivable, net	$	308,213	$	338,187

Other receivables (a)	$	33,693	$	40,565

(a) 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
	March 31
(In thousands)		2024		2023
Provision for expected credit losses related to trade accounts receivable		$	(167)	$	507

At March 31, 2024, $14.7 million of the Company's trade accounts receivable were past due by twelve months or more, with $9.3 million of this amount reserved.

Accounts Receivable Securitization Facility

In June 2022, the Company and its SPE entered into an AR Facility with PNC Bank, National Association ("PNC") to accelerate cash flows from trade accounts receivable. The AR Facility has a three-year term. The maximum purchase commitment by PNC is $150.0 million.

The total outstanding balance of trade receivables that have been sold and derecognized by the SPE is $150.0 million as of March 31, 2024 and December 31, 2023. The SPE owned $71.6 million and $82.2 million of trade receivables as of March 31, 2024 and December 31, 2023, respectively, which is included in the caption Trade accounts receivable, net, on the Condensed Consolidated Balance Sheets. See Note 9, Debt and Credit Agreements, for AR Facility expenses incurred.

The Company received proceeds of $5.0 million from the AR Facility in the first quarter of 2023.

Factoring Arrangements

The Company maintains factoring arrangements with a financial institution to sell certain accounts receivable that are also accounted for as a sale of financial assets and accordingly, derecognized from the Company's Consolidated Balance Sheet. The following table reflects balances for net amounts sold and program capacities for the arrangements:


(In millions)	March 31 2024		December 31 2023
Net amounts sold under factoring arrangements	$	14.7	$	16.1
Program capacities	32.0		32.6

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 classified as noncurrent as of March 31, 2024 and December 31, 2023, and is included in the caption Other assets on the Condensed Consolidated Balance Sheet at amortized cost.


(In millions)	March 31 2024		December 31 2023
Note receivable, at amortized cost	$	14.3	$	14.0
Note receivable, fair value	15.8		15.4