Company: JLL
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001037976-25-000045
Chunk: 31

Company: JONES LANG LASALLE INC
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 1
Chunk 31
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 off-balance sheet credit exposure. We record a separate contingent reserve for this risk calculated on an individual loan level. As of June 30, 2025 and December 31, 2024, the loan loss guarantee reserve was $24.1 million and $28.5 million, respectively, and is included within Other liabilities on our Consolidated Balance Sheets. During the three-months ended June 30, 2025, we entered into an enhanced loss-sharing agreement with Fannie Mae associated with a specific three-loan portfolio. The agreement finalized our portion of the loss at $20.6 million and, as a result, there is no residual loss exposure for the subject loans. There were no loan losses incurred during the six months ended June 30, 2024.

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10. RESTRUCTURING AND ACQUISITION CHARGES

Restructuring and acquisition charges include cash and non-cash expenses. Cash-based charges primarily consist of (i) severance and employment-related charges, including those related to external service providers, incurred in conjunction with a structural business shift, which can be represented by a notable change in headcount, change in leadership, or transformation of business processes, (ii) acquisition, transaction and integration-related charges and (iii) other restructuring including lease exit charges. Non-cash charges include (i) stock-based compensation expense for retention awards issued in conjunction with prior-period acquisitions and (ii) fair value adjustments to earn-out liabilities relating to prior-period acquisition activity. Restructuring and acquisition charges are presented in the table below.Three Months Ended June 30,Six Months Ended June 30,(in millions)2025202420252024Severance and other employment-related charges$18.0 7.2 $25.4 11.7 Restructuring, pre-acquisition and post-acquisition charges10.0 6.1 17.7 13.5 Stock-based compensation expense for post-acquisition retention awards0.7 0.3 1.4 0.6 Fair value adjustments to earn-out liabilities(7.4)(2.1)(3.5)(12.6)Restructuring and acquisition charges$21.3 11.5 $41.0 13.2 We expect nearly all expenses related to (i) severance and other employment-related charges and (ii) restructuring, pre-acquisition and post-acquisition charges as of June 30, 2025 will be paid