NOTE 24. SHAREHOLDERS' EQUITY Common Stock Repurchase Plan On July 29, 2016, our Board of Directors approved a share repurchase program authorizing us to repurchase up to $150.0 million of our outstanding shares of common stock (the "Program"). Since inception of the Program, we have been authorized to repurchase up to an aggregate of $1,700.0 million of our outstanding shares of common stock through December 31, 2026. We had $661.8 million remaining under the Board’s repurchase authorization as of December 31, 2024. Repurchases of our common stock under the Program may be made through open market, block and privately negotiated transactions, including Rule 10b5-1 plans, at such times and in such amounts as management deems appropriate, subject to market and business conditions, regulatory requirements and other factors. The Program does not obligate AWI to repurchase any particular amount of common stock and may be suspended or discontinued at any time without notice. During 2024, we repurchased 0.5 million shares under the Program for a total cost of $55.0 million, excluding commissions and taxes, or an average price of $119.03 per share. Since inception, we have repurchased 14.6 million shares under the Program for a total cost of $1,038.2 million, excluding commissions and taxes, or an average price of $70.89 per share. Dividends In February, April and July 2024, our Board of Directors declared $0.28 per share quarterly dividends, which were paid to shareholders in March, May and August 2024. In October 2024, our Board of Directors declared a $0.308 per share quarterly dividend, which was paid to shareholders in November 2024. On February 19, 2025, our Board of Directors declared a $0.308 per share quarterly dividend to be paid in March 2025. Accumulated Other Comprehensive (Loss) The balance of each component of accumulated other comprehensive (loss), net of tax is presented in the table below.
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December 31, 2024 |
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December 31, 2023 |
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Foreign currency translation adjustments |
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$ |
(2.2 |
) |
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$ |
1.0 |
|
Derivative (loss) gain, net |
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(1.1 |
) |
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0.5 |
|
Pension and postretirement adjustments |
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(106.9 |
) |
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(106.2 |
) |
Accumulated other comprehensive (loss) |
|
$ |
(110.2 |
) |
|
$ |
(104.7 |
) |
The amounts and related tax effects allocated to each component of other comprehensive income (loss) for 2024, 2023, and 2022 are presented in the tables below.
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Pre-tax Amount |
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Tax (Expense) Benefit |
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After-tax Amount |
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2024 |
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Foreign currency translation adjustments |
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$ |
(3.9 |
) |
|
$ |
0.7 |
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$ |
(3.2 |
) |
Derivative (loss), net |
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(2.2 |
) |
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0.6 |
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(1.6 |
) |
Pension and postretirement adjustments |
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(0.7 |
) |
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- |
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|
|
(0.7 |
) |
Total other comprehensive (loss) |
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$ |
(6.8 |
) |
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$ |
1.3 |
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$ |
(5.5 |
) |
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Pre-tax Amount |
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Tax (Expense) Benefit |
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After-tax Amount |
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2023 |
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Foreign currency translation adjustments |
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$ |
0.5 |
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$ |
- |
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$ |
0.5 |
|
Derivative (loss), net |
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(12.1 |
) |
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3.1 |
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(9.0 |
) |
Pension and postretirement adjustments |
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5.2 |
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(1.3 |
) |
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3.9 |
|
Total other comprehensive (loss) |
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$ |
(6.4 |
) |
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$ |
1.8 |
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$ |
(4.6 |
) |
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Pre-tax Amount |
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Tax Benefit (Expense) |
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After-tax Amount |
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2022 |
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Foreign currency translation adjustments |
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$ |
(1.8 |
) |
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$ |
- |
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$ |
(1.8 |
) |
Derivative gain, net |
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$ |
24.9 |
|
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$ |
(6.3 |
) |
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$ |
18.6 |
|
Pension and postretirement adjustments |
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(9.6 |
) |
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2.3 |
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(7.3 |
) |
Total other comprehensive income |
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$ |
13.5 |
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$ |
(4.0 |
) |
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$ |
9.5 |
|
The following table summarizes the activity, by component, related to the change in AOCI for December 31, 2024 and 2023:
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Foreign
Currency
Translation Adjustments |
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Derivative
(Loss) Gain (1) |
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Pension and Postretirement Adjustments (1) |
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Total
Accumulated
Other
Comprehensive
(Loss) Income (1) |
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Balance, December 31, 2022 |
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$ |
0.5 |
|
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$ |
9.5 |
|
|
$ |
(110.1 |
) |
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$ |
(100.1 |
) |
Other comprehensive income (loss) before reclassifications,
net of tax (expense) benefit of $-, $0.2, ($1.5) and ($1.3) |
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0.5 |
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(0.4 |
) |
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4.5 |
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4.6 |
|
Amounts reclassified from accumulated other
comprehensive (loss) |
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- |
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(8.6 |
) |
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(0.6 |
) |
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(9.2 |
) |
Net current period other comprehensive income (loss) |
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0.5 |
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(9.0 |
) |
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3.9 |
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(4.6 |
) |
Balance, December 31, 2023 |
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1.0 |
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0.5 |
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(106.2 |
) |
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(104.7 |
) |
Other comprehensive (loss) income before reclassifications,
net of tax benefit (expense) of $0.7, ($0.8), ($0.8) and ($0.9) |
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(3.2 |
) |
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2.5 |
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2.1 |
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1.4 |
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Amounts reclassified from accumulated other
comprehensive (loss) |
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- |
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(4.1 |
) |
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(2.8 |
) |
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(6.9 |
) |
Net current period other comprehensive (loss) |
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(3.2 |
) |
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(1.6 |
) |
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(0.7 |
) |
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(5.5 |
) |
Balance, December 31, 2024 |
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$ |
(2.2 |
) |
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$ |
(1.1 |
) |
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$ |
(106.9 |
) |
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$ |
(110.2 |
) |
(1)Amounts are net of tax and include our 50% share of AOCI components from our WAVE joint venture. The amounts reclassified from AOCI, and the affected line item of the Consolidated Statements of Earnings and Comprehensive Income, are presented in the table below.
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Amounts Reclassified from
Accumulated Other
Comprehensive (Loss) |
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Affected Line Item in the
Consolidated Statements of Earnings
and Comprehensive Income |
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2024 |
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2023 |
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Derivative Adjustments: |
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Interest rate swap contracts, before tax |
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$ |
(5.5 |
) |
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$ |
(11.5 |
) |
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Interest expense |
Tax impact |
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1.4 |
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2.9 |
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Income tax expense |
Total (income), net of tax |
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(4.1 |
) |
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(8.6 |
) |
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Pension and Postretirement Adjustments: |
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Prior service credit amortization |
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(0.2 |
) |
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(0.3 |
) |
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Other non-operating (income), net |
Amortization of net actuarial (gain) |
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(3.4 |
) |
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(0.5 |
) |
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Other non-operating (income), net |
Total (income), before tax |
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(3.6 |
) |
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(0.8 |
) |
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Tax impact |
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0.8 |
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0.2 |
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Income tax expense |
Total (income), net of tax |
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(2.8 |
) |
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(0.6 |
) |
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Total reclassifications for the period |
|
$ |
(6.9 |
) |
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$ |
(9.2 |
) |
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