Company: PRGO
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0001585364-25-000056
Chunk: 15

Company: PERRIGO Co plc
Filing Date: 2025-05-07
Form: 10-Q
Item: Item 1
Chunk 15
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 hedge accounting on $300.0 million notional amount of variable-to-fixed interest rate swaps. To economically offset the impact of these undesignated instruments, we entered into $300.0 million notional amount of 

16

Perrigo Company plc - Item 1Note 10

offsetting fixed-for-variable interest rate swaps. Changes in fair value of the derivative instruments are recognized in Interest expense, net.As of March 29, 2025, the undesignated economically offsetting interest rate swaps totaling $600.0 million are effective through April 2029.Cross-currency Swaps We have $2.3 billion notional amount fixed-for-fixed cross currency interest rate swaps designated as net investment hedges to hedge the EUR currency exposure of our investment in European operations. As designated net investment hedges, gains and losses related to the EUR spot exchange rate will be deferred within the Cumulative Translation Adjustment, a component of AOCI, and recognized in the Condensed Consolidated Statements of Operations when the hedged EUR net investment is substantially liquidated. Gains and losses on excluded components (e.g., interest differentials) will be recorded in Interest expense, net on a systematic and rational basis. As of March 29, 2025, the fixed-for-fixed cross currency swaps total $2.3 billion notional amount, of which $515.0 million, $1.0 billion, $300.0 million, $315.0 million, and $200.0 million notional amount is effective through March 2026, April 2027, September 2028, December 2030, and March 2033, respectively.Other Hedging InstrumentsThe €350.0 million 2032 Notes (as defined in Note 11) are designated as a net investment hedge on our investment in European operations. As a designated net investment hedge, gains and losses related to the EUR spot exchange rate will be deferred within the Cumulative Translation Adjustment, a component of AOCI, and recognized in the Condensed Consolidated Statements of Operations when the hedged EUR net investment is substantially liquidated. Foreign Currency ForwardsNotional amounts of foreign currency forward contracts were as follows (in millions):March 29, 2025December 31, 2024British Pound (GBP)$109.6 $101.3 United States Dollar (USD)74.4 97.9 European Euro (EUR)52.6