Annual report pursuant to Section 13 and 15(d)

Stockholders' Equity

v3.22.4
Stockholders' Equity
 12 Months Ended
Dec. 31, 2022
Equity [Abstract]  
Stockholders' Equity
9. Stockholders' Equity:
Accumulated Other Comprehensive Income (Loss)
The stockholders’ equity footnote disclosures have been revised to include the impact of discontinued operations on pensions and postretirement benefits and foreign currency translation for the year ended December 31, 2021 in other comprehensive income (loss) and accumulated other comprehensive income (loss). See Note 1 to these consolidated financial statements for further information on the reclassification and correction of errors in historical presentation.
The following table presents the components of accumulated other comprehensive income (loss), net of tax, as of December 31, 2022 and 2021:
December 31,
2022 2021
Amortization and unrealized gains on pension and postretirement plans, net of tax of $(4,078) and $(4,957)
 $ 12,132  $ 14,808 
Net changes in fair values of derivatives, net of tax of $(9,057) and $(759)
 26,636  2,254 
Foreign currency translation adjustments, net of tax of $8,177 and $8,177
 (32,776) (22,854)
Accumulated other comprehensive income (loss) $ 5,992  $ (5,792)
The following table presents the tax effects of each component of other comprehensive income (loss) for the years ended December 31, 2022, 2021 and 2020:
Years ended
December 31,
2022 2021 2020
Pre-tax amount Tax benefit/
(expense)		 After-tax amount Pre-tax amount Tax benefit/
(expense)		 After-tax amount Pre-tax amount Tax benefit/
(expense)		 After-tax amount
Defined benefit and other postretirement plans:
Amortization of net gains and (losses) $ (3,383) $ 836  $ (2,547) $ 10,917  $ (2,757) $ 8,160  $ 2,627  $ (791) $ 1,836 
Amortization of prior service cost (210) 52  (158) (232) 58  (174) (232) 58  (174)
Settlement gain (loss) 39  (10) 29  2,059  (515) 1,544  64  (16) 48 
Benefit plans, net (3,554) 878  (2,676) 12,744  (3,214) 9,530  2,459  (749) 1,710 
Net gain from hedging activities 33,194  (8,812) 24,382  3,885  (971) 2,914  1,569  (392) 1,177 
Foreign currency translation(1)
(9,922) —  (9,922) (9,202) 6,954  (2,248) 1,784  (6,251) (4,467)
Other comprehensive income (loss) $ 19,718  $ (7,934) $ 11,784  $ 7,427  $ 2,769  $ 10,196  $ 5,812  $ (7,392) $ (1,580)
(1)     The income tax benefit or expense included in other comprehensive income is attributed to the portion of foreign currency translation associated with the Company’s cross-currency interest rate swaps, for which the tax effect is based on the applicable U.S. deferred income tax rate. See Note 20 to these consolidated financial statements for information regarding the Company’s cross currency interest rate swaps.
The following table presents the changes in accumulated other comprehensive income (loss), net of tax, by component for the years ended December 31, 2022 and 2021:
Defined benefit
and other
postretirement
plans 		 Net gain (loss) from hedging activities Foreign
currency
translation 		 Total 
December 31, 2020 $ 5,278  $ (660) $ (19,883) $ (15,265)
Other comprehensive income before reclassifications 5,622  2,580  11,043  19,245 
Amounts reclassified from accumulated other comprehensive income(1)
3,908  334  (14,014) (9,772)
Net current period other comprehensive income (loss) 9,530  2,914  (2,971) 9,473 
December 31, 2021 14,808  2,254  (22,854) (5,792)
Other comprehensive income (loss) before reclassifications (2,832) 23,868  (9,922) 11,114 
Amounts reclassified from accumulated other comprehensive income(1)
156  514  — 670 
Net current period other comprehensive income (loss) (2,676) 24,382  (9,922) 11,784 
December 31, 2022 $ 12,132  $ 26,636  $ (32,776) $ 5,992 
(1)    See the following table for details about these reclassifications. Amounts in parentheses indicate debits.
The following table presents the reclassifications out of accumulated other comprehensive income for the years ended December 31, 2022 and 2021.
Details about Accumulated Other
Comprehensive Income Components
Amount Reclassified from Accumulated Other Comprehensive Income(1)
Affected Line Item in the
Statements of Income
Years ended
December 31,
2022 2021
Amortization of defined benefit and other postretirement plans:
Prior service credit $ (210) $ (232)
Other (expense) income(2)
Actuarial losses 3  5 
Other (expense) income(2)
Release of actuarial losses —  (3,737) Net loss from discontinued operations, net of tax
(207) (3,964) Total before tax
51  56  Tax benefit
$ (156) $ (3,908) Net of tax
Gains and losses on cash flow hedges:
Interest rate caps $ (683) $ (444) Interest expense
169  110  Tax benefit
(514) (334) Net of tax
Release of foreign currency translation —  14,014  Net loss from discontinued operations, net of tax
Total reclassifications for the period $ (670) $ 9,772  Net of tax
(1)    Amounts in parentheses indicate debits to profit/loss.
(2)    These accumulated other comprehensive income (loss) components are components of net periodic pension and other postretirement cost (see Note 22 to these consolidated financial statements for additional details).
Treasury Stock Repurchases
2020 Stock Repurchase Program
On March 12, 2020, the Company’s Board of Directors (the “Board”) approved a plan to purchase up to $50,000 of the Company’s common stock under a stock repurchase program approved by the Board. Under the plan, the Company could repurchase shares from time to time for cash in open market transactions or in privately negotiated transactions in accordance with applicable federal securities laws. The Company determined the timing and the amount of any repurchases based on its evaluation of market conditions, share price and other factors. The stock repurchase program expired in March 2022, with no repurchases made in 2022 through the expiration of the program, nor during the year ended December 31, 2021.
2022 Stock Repurchase Program
On April 27, 2022, the Board approved a stock repurchase program that permits the Company to purchase up to $450,000 of the Company’s common stock over the next four years. Under the plan, the Company can repurchase shares from time to time for cash in open market transactions or in privately negotiated transactions in accordance with applicable federal securities laws. The Company will determine the timing and the amount of any repurchases based on its evaluation of market conditions, share price and other factors.
During the year ended December 31, 2022, the Company repurchased 1,970,763 shares of its common stock on the open market at an average price of $9.82 per share, for a total of $19,356. Additionally, in connection with secondary offerings of the Company’s common stock, the Company repurchased 6,500,000 shares of its common stock sold in the August 2022 offering from the underwriters at a price of $8.36 per share and 8,000,000 shares of its common stock sold in the November 2022 offering from the underwriters at a price of $7.88 per share, for a total of $117,346.
As of December 31, 2022, $313,298 was available for additional share repurchases under the program.
Tax Withholdings on Equity Award Vesting
In connection with the vesting of restricted stock awards, restricted stock units and performance stock units, shares of common stock may be delivered to the Company by employees to satisfy withholding tax obligations at the instruction of the employee award holders. These transactions, when they occur, are accounted for as stock repurchases by the Company, with the shares returned to treasury stock at a cost representing the payment by the Company of the tax obligations on behalf of the employees in lieu of shares for the vesting unit. The fair value of the shares withheld to cover tax payments were $332 and $1,470 for the years ended December 31, 2022 and 2021, respectively.
Dividends Paid
On December 14, 2020, the Company’s Board of Directors declared a special cash dividend of $1.80 per share, using after tax cash proceeds and cash on hand from the sale of the Performance Materials business. The dividend was paid to our stockholders of record at the close of business on December 31, 2020. See Note 4 of these consolidated financial statements for additional details.
On August 4, 2021, the Company’s Board declared a special cash dividend of $3.20 per share, using after tax cash proceeds from the sale of the Performance Chemicals business. The dividend was paid on August 23, 2021 to the Company’s stockholders of record at the close of business on August 12, 2021. See Note 5 of these consolidated financial statements for additional details.