Company: CPS
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001320461-25-000131
Chunk: 95

Company: Cooper-Standard Holdings Inc.
Filing Date: 2025-08-01
Form: 10-Q
Item: Part I, Item 8
Chunk 95
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ed its retirement-related plans by transferring approximately $137,000 of pension benefit obligations and related plan assets to an insurance company. As a result of this transaction, the Company recognized a one-time, non-cash pension settlement charge of $46,787 ($48,190 net of tax) during the three and six months ended June 30, 2024. This charge primarily reflects the accelerated recognition of accumulated actuarial losses previously recorded in AOCI in the condensed consolidated balance sheets.

10. Other (Expense) Income, Net

The components of other (expense) income, net were as follows:Three Months Ended June 30,Six Months Ended June 30,2025202420252024Foreign currency losses$(2,442)$(3,695)$(2,339)$(5,666)Components of net periodic cost other than service cost(866)(690)(1,660)(1,956)Factoring costs(659)(767)(1,257)(1,420)Miscellaneous income (a)300 23 10,473 264 Other (expense) income, net$(3,667)$(5,129)$5,217 $(8,778)(a)    Miscellaneous income includes $10,280 related to certain royalty settlements during the six months ended June 30, 2025. The royalties were earned in connection with intellectual property licensed to the buyer of a previously divested business.

11. Income Taxes

The Company determines its effective tax rate each quarter based upon its estimated annual effective tax rate. The Company records the tax impact of certain unusual or infrequently occurring items, including changes in judgment about valuation allowances and effects of changes in tax laws or rates, in the interim period in which they occur. In addition, jurisdictions with a projected loss for the year where no tax benefit can be recognized are excluded from the estimated annual effective tax rate.

19

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)(Unaudited)(Dollar amounts in thousands except per share and share amounts)

Income tax expense, income (loss) before income taxes and the corresponding effective tax rate for the three and six months ended June 30, 2025 and 2024 were as follows:Three Months Ended June 30,Six Months Ended June 30,2025202420252024Income tax expense$8,081 $8,080 $10,784 $12,211 Income (loss) before income