We have investments in mutual funds, equity securities and available for sale debt securities that are carried at fair value in the condensed financial statements. For these investments, fair value was based on quoted market prices, which we have categorized as a Level 1 valuation.

Pricing inputs for nonpublic debt are often not observable. The fair value estimates of our senior notes reflect unobservable estimates and assumptions, which we have categorized as a Level 3 valuation. Our fair value estimates were based on the present value of future cash flows, discounted at rates for public debt at the measurement date. The rates for public debt were additionally adjusted for a factor which represented the change in the interest spreads between the inception rates and the public debt rates at the measurement date.

We have outstanding foreign currency forward and swap contracts to hedge transactional risks associated with foreign currencies. At June 30, 2022, the notional value of our short term outstanding foreign currency forward and swap contracts was $476 million, with average maturities of approximately one month. These foreign currency forward and swap contracts primarily offset exposures in the euro, the British pound, the Mexican peso, and the Chilean peso and are not designated as hedges for accounting purposes. Accordingly, changes in their fair value are recorded immediately in earnings.

At June 30, 2022, the fair value of our short term foreign currency contracts was a net asset of approximately $2.6 million, of which $5.9 million was included in prepaid expenses and other and $3.3 million was included in accrued liabilities on the condensed consolidated balance sheet. At December 31, 2021, the fair value of these foreign currency contracts was a net asset of approximately $1.9 million, of which $3.4 million was included in prepaid expenses and other and $1.5 million was included in accrued liabilities on the condensed consolidated balance sheet.

In the first quarter of 2019, we entered into a long term cross currency swap contract to hedge exposure in Brazilian real, which is designated as a cash flow hedge for accounting purposes. Accordingly, changes in the fair value of the cash flow hedge are initially recorded in the gains (losses) on cash flow hedges component of accumulated other comprehensive income (loss). We immediately reclassify from accumulated other comprehensive income (loss) to earnings an amount to offset the remeasurement recognized in earnings associated with the respective intercompany loan. Additionally, we reclassify amounts from accumulated other comprehensive income (loss) to interest expense amounts that are associated with the interest rate differential between a U.S. dollar denominated intercompany loan and a Brazilian real denominated intercompany loan.

At June 30, 2022, the notional value of this long term contract was $65 million with a weighted-average maturity of 1.0 years. At June 30, 2022, the fair value of the long term cross currency swap contract was a $18.1 million net asset, of which $5.3 million is included in prepaid expenses and other and $12.8 million is included in other assets on the condensed consolidated balance sheet. At December 31, 2021, the fair value of the long term cross currency swap contract was a $26.3 million net asset, of which a $5.8 million asset was included in prepaid expenses and other and a $20.5 million asset was included in other assets on the condensed consolidated balance sheet.


	Three Months Ended June 30,			Six Months Ended June 30,
(In millions)	2022		2021	2022		2021

Derivative instrument gains (losses) included in other operating income (expense)	$	5.3	(11.7)	$	(6.5)	(5.6)

Offsetting transaction gains (losses)	(5.3)		11.7	6.5		5.6

Derivative instrument losses included in interest expense	(0.3)		(0.5)	(0.7)		(0.8)

Net derivative instrument gains (losses)	5.0		(12.2)	(7.2)		(6.4)

In the first quarter of 2019, we entered into ten interest rate swaps that hedge cash flow risk associated with changes in variable interest rates and that are designated as cash flow hedges for accounting purposes. Accordingly, changes in the fair value of these cash flow hedges are initially recorded in the gains (losses) on cash flow hedges component of accumulated other comprehensive income (loss). We reclassify amounts from accumulated other comprehensive income (loss) into earnings in the same periods that the hedged debt affects earnings.

At June 30, 2022, the notional value of these contracts was $400 million with a remaining weighted-average maturity of 0.8 years. At June 30, 2022, the fair value of these interest rate swaps was a net asset of $3.7 million, of which $2.3 million was included in prepaid expenses and other and $1.4 million was included in other assets on the condensed consolidated balance sheet. At December 31, 2021, the fair value of these interest rate swaps was a net liability of $13.9 million, of which $8.3 million was included in accrued liabilities and $5.6 million was included in other liabilities on the condensed consolidated balance sheet.

In the first quarter of 2022, we entered into four forward-starting interest rate swaps that hedge cash flow risk associated with changes in variable interest rates and that are designated as cash flow hedges for accounting purposes. Accordingly, changes in the fair value of these cash flow hedges are presently recorded in the gains (losses) on cash flow hedges component of accumulated other comprehensive income (loss). The forward-starting interest rate swaps will become effective in July 2022 and have a maturity date in July 2030. The amounts from accumulated other comprehensive income (loss) will begin to be released into earnings once the swaps become effective in July 2022.

At June 30, 2022, the notional value of these contracts was $200 million with a remaining weighted-average maturity of 0.1 years. At June 30, 2022, the fair value of these forward-starting interest rate swaps was a net asset of $10.5 million, which was included in prepaid expenses and other on the condensed consolidated balance sheet.

In the second quarter of 2021, we entered into ten cross currency swaps to hedge a portion of our net investments in certain of our subsidiaries with euro functional currencies. As net investment hedges for accounting purposes, we elected to use the spot method to assess effectiveness for these derivatives that are designated as net investment hedges. Accordingly, changes in fair value attributable to changes in the undiscounted spot rates are recorded in the foreign currency translation adjustments component of accumulated other comprehensive income (loss) and will remain there until the hedged net investments are sold or substantially liquidated. We have elected to exclude the spot-forward difference from the assessment of hedge effectiveness and are amortizing this amount separately on a straight-line basis over the term of these cross currency swaps.

At June 30, 2022, the notional value of these cross currency swap contracts was $400 million with a remaining weighted average maturity of 4.7 years. At June 30, 2022, the fair value of these cross currency swaps was a net asset of $52.1 million, of which $6.0 million was included in prepaid expenses and other and $46.1 million was included in other assets on the condensed consolidated balance sheet. At December 31, 2021, the fair value of these cross currency swaps was a net asset of $28.5 million, of which $6.0 million was included in prepaid expenses and other and $22.5 million was included in other assets on the condensed consolidated balance sheet.

In July 2022, we terminated these cross currency swap contracts and received $67 million in cash for the fair value of the derivative assets at the settlement date. We subsequently entered into a total of nine cross currency swaps with a total notional of $400 million to hedge a portion of our net investment in certain of our subsidiaries with euro functional currencies. Swaps with a total notional of $215 million will terminate in May 2026 and swaps with a total notional of $185 million will terminate in April 2031. We have designated these swaps as net investment hedges for accounting purposes.


	Three Months Ended June 30,			Six Months Ended June 30,
(In millions)	2022		2021	2022	2021

Interest rate swaps designated as cash flow hedges	$	1.8	2.5	4.2	4.9
Cross currency swaps designated as net investment hedges	(1.6)		(1.1)	(3.1)	(1.1)
Net derivative instrument losses included in interest expense	$	0.2	1.4	1.1	3.8

The fair values of these forward and swap contracts are based on the present value of net future cash payments and receipts, as well as inputs related to forward interest rates and forward currency rates that are derived principally from, or corroborated by, observable market data, which we have categorized as a Level 2 valuation.