FAIR VALUE

6 Months Ended

Jun. 30, 2024

Fair Value Disclosures [Abstract]

FAIR VALUE

FAIR VALUE

Authoritative guidelines require the categorization of assets and liabilities into three levels based upon the assumptions (inputs) used to price the assets or liabilities. Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment. The three levels are defined as follows:

•Level 1: Unadjusted quoted prices in active markets for identical assets and liabilities.

•Level 2: Observable inputs other than those included in Level 1. For example, quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets.

•Level 3: Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability.

As of June 30, 2024, the fair values of our financial assets and liabilities were categorized as follows:

	Total		Level 1		Level 2		Level 3
Assets
Investment in equity securities (1)	$	1,725	$	1,725	$	—	$	—
Foreign exchange contracts (2)	949		—		949		—
Convertible notes (3)	5,650		—		—		5,650
Total assets at fair value	$	8,324	$	1,725	$	949	$	5,650
Liabilities
Foreign exchange contracts (2)	$	646	$	—	$	646	$	—
Cross currency swap contract (2)	14,901		—		14,901		—
Total liabilities at fair value	$	15,547	$	—	$	15,547	$	—

As of December 31, 2023, the fair values of our financial assets and liabilities were categorized as follows:

	Total		Level 1		Level 2		Level 3
Assets
Investment in equity securities (1)	$	1,106	$	1,106	$	—	$	—
Foreign exchange contracts (2)	386		—		386		—
Convertible note  (3)	5,650		—		—		5,650
Total assets at fair value	$	7,142	$	1,106	$	386	$	5,650
Liabilities
Foreign exchange contracts (2)	$	221	$	—	$	221	$	—
Cross currency swap contract (2)	22,199		—		22,199		—
Total liabilities at fair value	$	22,420	$	—	$	22,420	$	—

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(1)Investment in PureCycle Technologies (“PCT” or “PureCycle”). See Note 18 – Investment in Equity Securities for discussion of this investment.

(2)Market approach valuation technique based on observable market transactions of spot and forward rates.

(3)Investment in convertible notes in Enable Injections, Inc. and Siklus Refill Pte, Ltd. The investments are included within Miscellaneous assets in our Condensed Consolidated Balance Sheets.

The carrying amounts of our other current financial instruments such as cash and equivalents, accounts and notes receivable, notes payable and current maturities of long-term obligations approximate fair value due to the short-term maturity of the instrument. We consider our long-term debt obligations a Level 2 liability and utilize the market approach valuation technique based on interest rates that are currently available to us for issuance of debt with similar terms and maturities. The estimated fair value of our long-term obligations was $614.5 million as of June 30, 2024 and $620.7 million as of December 31, 2023.