Company: GEF
Filing Date: 2025-08-28
Form Type: 10-Q
Source: 0000043920-25-000048
Chunk: 29

Company: GREIF, INC
Filing Date: 2025-08-28
Form: 10-Q
Item: Part I, Item 1
Chunk 29
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 gain or loss included within other comprehensive income (loss). The assumptions used in measuring fair value of these interest rate derivatives are considered level 2 inputs, which are based upon observable market rates, including SOFR and interest paid based upon a designated fixed rate over the life of the swap agreements.Gains reclassified to earnings under these contracts were $4.6 million and $8.4 million for the three months ended July 31, 2025, and 2024, respectively. Gains reclassified to earnings under these contracts were $14.8 million and $27.0 million for the nine months ended July 31, 2025, and 2024, respectively. A derivative gain of $14.0 million, based upon interest rates at July 31, 2025, is expected to be reclassified from accumulated other comprehensive income to earnings in the next twelve months.Foreign Exchange HedgesThe Company conducts business in various international currencies and is subject to risks associated with changing foreign exchange rates. The Company’s objective is to reduce volatility associated with foreign exchange rate changes. Accordingly, the Company enters into various contracts that change in value as foreign exchange rates change to protect the value of certain existing foreign currency assets and liabilities, commitments and anticipated foreign currency cash flows. As of July 31, 2025, and October 31, 2024, the Company had outstanding foreign currency forward contracts in the notional amount of $219.6 million and $74.1 million, respectively.Adjustments to fair value are recognized in earnings, offsetting the impact of the hedged profits. The assumptions used in measuring fair value of foreign exchange hedges are considered level 2 inputs, which are based on observable market pricing for similar instruments, principally foreign exchange futures contracts.For the three months ended July 31, 2025, and 2024, the Company recorded realized losses of $0.1 million and $0.8 million, respectively, under fair value contracts in other expense, net. For the nine months ended July 31, 2025, and 2024, the Company recorded realized gains of $0.8 million and $2.1 million, respectively, under fair value contracts in other expense, net.For the three months ended July 31, 2025, and 2024, the Company recorded unrealized net gains (losses) of $0.9 million and $(0.1) million, respectively, in other expense, net. For the nine months ended July