Company: NGVT
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0001653477-25-000015
Chunk: 987

Company: Ingevity Corp
Filing Date: 2025-02-19
Form: 10-K
Item: Item 6
Chunk 987
---
 consolidated statement of operations. We recognized an additional $0.1 million gain associated with the equity method investment sale during the period ended December 31, 2024. There were no adjustments to the carrying value of equity method investments for impairment for the periods ended, December 31, 2024 and 2023.Measurement Alternative InvestmentsThe aggregate carrying value of all measurement alternative investments where fair value is not readily determinable totaled $71.9 million and $83.2 million at December 31, 2024 and 2023, respectively. For the year ended December 31, 2024, the Company identified triggering events indicating that investments being accounted for under the measurement alternative may be impaired, and recognized impairment charges of $11.5 million, recorded in Other (income) expense, net on the consolidated statement of operations. There were no adjustments to the carrying value of the measurement alternative method investments for impairment or observable price changes for the periods ended December 31, 2023.Restricted InvestmentOur restricted investment is a trust managed in order to secure repayment of the finance lease obligation associated with Performance Materials' Wickliffe, Kentucky, manufacturing plant at maturity. The trust, presented as Restricted investment on our consolidated balance sheets, originally purchased long-term bonds that mature through 2026. The principal received at maturity of the bonds, along with interest income that is reinvested in the trust, are expected to be equal to or more than the $80.0 million finance lease obligation that is due in 2027. Because the provisions of the trust provide us the ability, and it is our intent, to hold the investments to maturity, the investments held by the trust are accounted for as held to maturity ("HTM"); therefore, they are held at their amortized cost. The investments held by the trust earn interest at the stated coupon rate of the invested bonds. Interest earned on the investments held by the trust is recognized and presented as Interest income on our consolidated statement of operations. As interest from the bonds is received and as bonds mature, any proceeds not reinvested are held in highly liquid securities and treated as restricted cash.At December 31, 2024 and 2023, the carrying value of our restricted investment was $81.6 million and $79.1 million, net of an allowance for credit losses of $0.2 million and $0.2 million, and included restricted cash of $18.2 million and $15.4 million, respectively.