Company: BCO
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0000078890-25-000253
Chunk: 17

Company: BRINKS CO
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 1
Chunk 17
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 operating activities.

Interest Rate Swaps - Cash Flow Hedges

We have periodically entered into interest rate swaps to hedge cash flow risk associated with changes in variable interest rates and we have designated the interest rate swaps as cash flow hedges for accounting purposes. Accordingly, changes in the fair value of these cash flow hedges are initially recorded in the gains (losses) on cash flow hedges component of accumulated other comprehensive income (loss). We reclassify amounts from accumulated other comprehensive income (loss) into earnings in the same periods that the hedged debt affects earnings.

In the fourth quarter of 2024, we elected to early terminate interest rate swaps with an aggregate notional value of $ 775$ 19

In the first quarter of 2025, we entered into interest rate swaps with a notional value of $ 100

The fair values of our interest rate swaps were recognized in the condensed consolidated balance sheet as follows:

  (In millions)                                       June 30, 2025                  December 31, 2024  
 ────────────────────────────────────────────────────────────────────────────────────────────────────────
  $100 million notional - June 2027 maturity (a)                                                        
  Prepaid expenses and other                          $                     0.1      $                  
  Other noncurrent liabilities                        ( 0.6)                         —                  
  Net asset (liability)                               $                  ( 0.5)      $                  

(a) At June 30, 2025, swaps with a total notional value of $ 100 1.0

Amounts under our interest rate swap contracts were recognized in interest expense as follows:

                                                   Three Months                    Six Months                  
                                                   Ended June 30,                  Ended June 30,              
  (In millions)                                    2025                  2024      2025                  2024  
 ───────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Impact to interest expense - (benefit) cost      $                   ( 4.7)      $                   ( 9.7)  

Cash flows related to interest rate swaps are reported as operating activities.

Contingent Consideration

In the second quarter of 2020, we acquired cash management operations in Malaysia from U. K.-based G4S Plc ("G4S") and have recorded a payable for contingent consideration. The contingent consideration will be paid when minimum dividend distributions are received by Brink's relating to cash on the balance sheets