AXALTA COATING SYSTEMS LTD., 10-Q filed on 10/29/2025
Quarterly Report
v3.25.3
Cover Page - shares
9 Months Ended
Sep. 30, 2025
Oct. 22, 2025
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Sep. 30, 2025  
Document Transition Report false  
Entity File Number 001-36733  
Entity Registrant Name AXALTA COATING SYSTEMS LTD.  
Entity Incorporation, State or Country Code D0  
Entity Tax Identification Number 98-1073028  
Entity Address, Address Line One 1050 Constitution Avenue  
Entity Address, City or Town Philadelphia  
Entity Address, State or Province PA  
Entity Address, Postal Zip Code 19112  
City Area Code 855  
Local Phone Number 547-1461  
Title of 12(b) Security Common Shares, $1.00 par value  
Trading Symbol AXTA  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   213,340,170
Entity Central Index Key 0001616862  
Current Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2025  
Document Fiscal Period Focus Q3  
Amendment Flag false  
v3.25.3
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Income Statement [Abstract]        
Net sales $ 1,288 $ 1,320 $ 3,855 $ 3,965
Cost of goods sold 838 858 2,515 2,614
Selling, general and administrative expenses 197 211 607 631
Other operating charges 6 15 32 78
Research and development expenses 18 19 55 55
Amortization of acquired intangibles 25 24 73 68
Income from operations 204 193 573 519
Interest expense, net 45 54 134 158
Other expense (income), net 4 (3) 12 4
Income before income taxes 155 142 427 357
Provision for income taxes 45 40 108 103
Net income 110 102 319 254
Less: Net income attributable to noncontrolling interests 0 1 1 0
Net income attributable to common shareholders $ 110 $ 101 $ 318 $ 254
Basic net income per share (in dollars per share) $ 0.51 $ 0.46 $ 1.47 $ 1.15
Diluted net income per share (in dollars per share) $ 0.51 $ 0.46 $ 1.46 $ 1.15
v3.25.3
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Statement of Comprehensive Income [Abstract]        
Net income $ 110 $ 102 $ 319 $ 254
Other comprehensive (loss) income, before tax:        
Foreign currency translation adjustments (1) 74 189 1
Unrealized gain (loss) on derivatives 1 (2) 1 (2)
Unrealized gain on pension and other benefit plan obligations 1 0 3 2
Other comprehensive income, before tax 1 72 193 1
Income tax expense (benefit) related to items of other comprehensive income 1 (4) (7) (2)
Other comprehensive income, net of tax 0 76 200 3
Comprehensive income 110 178 519 257
Less: Comprehensive income attributable to noncontrolling interests 1 2 3 1
Comprehensive income attributable to common shareholders $ 109 $ 176 $ 516 $ 256
v3.25.3
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
Current assets:    
Cash and cash equivalents $ 606 $ 593
Restricted cash 4 3
Accounts and notes receivable, net 1,353 1,248
Inventories 829 734
Prepaid expenses and other current assets 199 145
Total current assets 2,991 2,723
Property, plant and equipment, net 1,279 1,181
Goodwill 1,769 1,640
Identifiable intangibles, net 1,141 1,149
Other assets 580 556
Total assets 7,760 7,249
Current liabilities:    
Accounts payable 691 659
Current portion of borrowings 20 20
Other accrued liabilities 649 675
Total current liabilities 1,360 1,354
Long-term borrowings 3,382 3,401
Accrued pensions 240 220
Deferred income taxes 164 151
Other liabilities 289 167
Total liabilities 5,435 5,293
Commitments and contingent liabilities (Note 5)
Shareholders’ equity:    
Common shares, $1.00 par, 1,000.0 shares authorized, 255.0 and 254.5 shares issued at September 30, 2025 and December 31, 2024, respectively 255 255
Capital in excess of par 1,615 1,599
Retained earnings 1,995 1,677
Treasury shares, at cost, 41.7 and 36.4 shares at September 30, 2025 and December 31, 2024, respectively (1,202) (1,037)
Accumulated other comprehensive loss (384) (582)
Total Axalta shareholders’ equity 2,279 1,912
Noncontrolling interests 46 44
Total shareholders’ equity 2,325 1,956
Total liabilities and shareholders’ equity $ 7,760 $ 7,249
v3.25.3
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares
shares in Millions
Sep. 30, 2025
Dec. 31, 2024
Statement of Financial Position [Abstract]    
Common stock, par value (in dollars per share) $ 1.00 $ 1.00
Common shares authorized (in shares) 1,000.0 1,000.0
Common shares issued (in shares) 255.0 254.5
Treasury shares, at cost (in shares) 41.7 36.4
v3.25.3
Condensed Consolidated Statements of Changes in Shareholders’ Equity (Unaudited) - USD ($)
shares in Millions, $ in Millions
Total
Common Stock
Capital In Excess Of Par
Retained Earnings
Treasury Shares, at cost
Accumulated Other Comprehensive Loss
Non controlling Interests
Beginning balance (in shares) at Dec. 31, 2023   220.1          
Beginning balance at Dec. 31, 2023 $ 1,773.0 $ 254.0 $ 1,568.0 $ 1,286.0 $ (937.0) $ (444.0) $ 46.0
Comprehensive income:              
Net income (loss) 39.0     41.0     (2.0)
Long-term employee benefit plans, net of tax 1.0         1.0  
Foreign currency translation, net of tax benefit (45.0)         (45.0)  
Comprehensive income (5.0)     41.0   (44.0) (2.0)
Recognition of stock-based compensation 6.0   6.0        
Shares issued under compensation plans (in shares)   0.5          
Shares issued under compensation plans 1.0   1.0        
Ending balance (in shares) at Mar. 31, 2024   220.6          
Ending balance at Mar. 31, 2024 1,775.0 $ 254.0 1,575.0 1,327.0 (937.0) (488.0) 44.0
Beginning balance (in shares) at Dec. 31, 2023   220.1          
Beginning balance at Dec. 31, 2023 1,773.0 $ 254.0 1,568.0 1,286.0 (937.0) (444.0) 46.0
Comprehensive income:              
Net income (loss) 254.0            
Comprehensive income 257.0            
Ending balance (in shares) at Sep. 30, 2024   218.0          
Ending balance at Sep. 30, 2024 1,951.0 $ 254.0 1,590.0 1,540.0 (1,037.0) (442.0) 46.0
Beginning balance (in shares) at Mar. 31, 2024   220.6          
Beginning balance at Mar. 31, 2024 1,775.0 $ 254.0 1,575.0 1,327.0 (937.0) (488.0) 44.0
Comprehensive income:              
Net income (loss) 113.0     112.0     1.0
Long-term employee benefit plans, net of tax 1.0         1.0  
Foreign currency translation, net of tax benefit (30.0)         (30.0)  
Comprehensive income 84.0     112.0   (29.0) 1.0
Recognition of stock-based compensation 8.0   8.0        
Shares issued under compensation plans (in shares)   0.1          
Shares issued under compensation plans 1.0 $ 0.0 1.0        
Common stock purchases (in shares)   (1.4)          
Common stock purchases (50.0)       (50.0)    
Ending balance (in shares) at Jun. 30, 2024   219.3          
Ending balance at Jun. 30, 2024 1,818.0 $ 254.0 1,584.0 1,439.0 (987.0) (517.0) 45.0
Comprehensive income:              
Net income (loss) 102.0     101.0     1.0
Net realized and unrealized gain on derivatives, net of tax (2.0)         (2.0)  
Foreign currency translation, net of tax benefit 78.0         77.0 1.0
Comprehensive income 178.0     101.0   75.0 2.0
Recognition of stock-based compensation 7.0   7.0        
Shares issued under compensation plans (in shares)   0.1          
Shares issued under compensation plans (1.0)   (1.0)        
Common stock purchases (in shares)   (1.4)          
Common stock purchases (50.0)       (50.0)    
Dividends declared to non-controlling interest (1.0)           (1.0)
Ending balance (in shares) at Sep. 30, 2024   218.0          
Ending balance at Sep. 30, 2024 1,951.0 $ 254.0 1,590.0 1,540.0 (1,037.0) (442.0) 46.0
Beginning balance (in shares) at Dec. 31, 2024   218.1          
Beginning balance at Dec. 31, 2024 1,956.0 $ 255.0 1,599.0 1,677.0 (1,037.0) (582.0) 44.0
Comprehensive income:              
Net income (loss) 99.0     99.0      
Long-term employee benefit plans, net of tax 1.0         1.0  
Foreign currency translation, net of tax benefit 63.0         61.0 2.0
Comprehensive income 163.0     99.0   62.0 2.0
Recognition of stock-based compensation 5.0   5.0        
Shares issued under compensation plans (in shares)   0.5          
Shares issued under compensation plans (2.0)   (2.0)        
Ending balance (in shares) at Mar. 31, 2025   218.6          
Ending balance at Mar. 31, 2025 2,122.0 $ 255.0 1,602.0 1,776.0 (1,037.0) (520.0) 46.0
Beginning balance (in shares) at Dec. 31, 2024   218.1          
Beginning balance at Dec. 31, 2024 1,956.0 $ 255.0 1,599.0 1,677.0 (1,037.0) (582.0) 44.0
Comprehensive income:              
Net income (loss) 319.0            
Comprehensive income 519.0            
Ending balance (in shares) at Sep. 30, 2025   213.3          
Ending balance at Sep. 30, 2025 2,325.0 $ 255.0 1,615.0 1,995.0 (1,202.0) (384.0) 46.0
Beginning balance (in shares) at Mar. 31, 2025   218.6          
Beginning balance at Mar. 31, 2025 2,122.0 $ 255.0 1,602.0 1,776.0 (1,037.0) (520.0) 46.0
Comprehensive income:              
Net income (loss) 110.0     109.0     1.0
Long-term employee benefit plans, net of tax 1.0         1.0  
Foreign currency translation, net of tax benefit 135.0         136.0 (1.0)
Comprehensive income 246.0     109.0   137.0 0.0
Recognition of stock-based compensation 8.0   8.0        
Common stock purchases (in shares)   (2.0)          
Common stock purchases (65.0)       (65.0)    
Ending balance (in shares) at Jun. 30, 2025   216.6          
Ending balance at Jun. 30, 2025 2,311.0 $ 255.0 1,610.0 1,885.0 (1,102.0) (383.0) 46.0
Comprehensive income:              
Net income (loss) 110.0     110.0     0.0
Net realized and unrealized gain on derivatives, net of tax 1.0         1.0  
Long-term employee benefit plans, net of tax 0.0         0.0  
Foreign currency translation, net of tax benefit (1.0)         (2.0) 1.0
Comprehensive income 110.0     110.0   (1.0) 1.0
Recognition of stock-based compensation 6.0   6.0        
Shares issued under compensation plans (in shares)   0.0          
Shares issued under compensation plans (1.0)   (1.0)        
Common stock purchases (in shares)   (3.3)          
Common stock purchases (100.0)       (100.0)    
Dividends declared to non-controlling interest (1.0)           (1.0)
Ending balance (in shares) at Sep. 30, 2025   213.3          
Ending balance at Sep. 30, 2025 $ 2,325.0 $ 255.0 $ 1,615.0 $ 1,995.0 $ (1,202.0) $ (384.0) $ 46.0
v3.25.3
Condensed Consolidated Statements of Changes in Shareholders’ Equity (Unaudited) (Parenthetical) - USD ($)
$ in Millions
3 Months Ended
Sep. 30, 2025
Jun. 30, 2025
Mar. 31, 2025
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Statement of Stockholders' Equity [Abstract]            
Long-term employee benefit plans, tax expense (benefit) $ 1 $ 0 $ 0   $ 0 $ 0
Net realized and unrealized loss, net expense (benefit) 0     $ 0    
Foreign currency translation, tax expense (benefit) $ 0 $ (7) $ (1) $ (4) $ 1 $ 1
v3.25.3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Millions
9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Operating activities:    
Net income $ 319 $ 254
Adjustment to reconcile net income to cash provided by operating activities:    
Depreciation and amortization 218 207
Amortization of deferred financing costs and original issue discount 6 6
Debt extinguishment and refinancing-related costs 0 3
Deferred income taxes 28 10
Realized and unrealized foreign exchange losses, net 31 12
Stock-based compensation 19 21
Interest income on swaps designated as net investment hedges (9) (10)
Other non-cash, net 8 5
Changes in operating assets and liabilities:    
Trade accounts and notes receivable (48) (16)
Inventories (53) (54)
Prepaid expenses and other assets (132) (106)
Accounts payable (15) (18)
Other accrued liabilities (71) (2)
Other liabilities 4 30
Cash provided by operating activities 305 342
Investing activities:    
Acquisition, net of cash acquired (6) (290)
Purchase of property, plant and equipment (138) (78)
Interest proceeds on swaps designated as net investment hedges 9 10
Payments for loans to customers (3) (21)
Other investing activities, net 16 5
Cash used for investing activities (122) (374)
Financing activities:    
Proceeds from long-term borrowings 0 292
Payments on short-term borrowings 0 (5)
Payments on long-term borrowings (25) (273)
Financing-related costs 0 (5)
Purchases of common stock (165) (100)
Net cash flows associated with stock-based awards (3)  
Net cash flows associated with stock-based awards   1
Other financing activities, net (2) 0
Cash used for financing activities (195) (90)
Decrease in cash (12) (122)
Effect of exchange rate changes on cash 26 (10)
Cash at beginning of period 596 703
Cash at end of period 610 571
Cash at end of period reconciliation:    
Cash and cash equivalents 606 567
Restricted cash 4 4
Cash at end of period $ 610 $ 571
v3.25.3
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
9 Months Ended
Sep. 30, 2025
Accounting Policies [Abstract]  
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The interim condensed consolidated financial statements included herein are unaudited. In the opinion of management, these statements include all adjustments, consisting only of normal, recurring adjustments, necessary for a fair statement of the financial position and shareholders' equity of Axalta Coating Systems Ltd., a Bermuda exempted company limited by shares, and its consolidated subsidiaries (“Axalta,” the “Company,” “we,” “our” and “us”) at September 30, 2025, the results of operations, comprehensive income and changes in shareholders' equity for the three and nine months ended September 30, 2025 and 2024, and cash flows for the nine months then ended. All intercompany balances and transactions have been eliminated.
These interim unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. The year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America (“GAAP”).
The interim unaudited condensed consolidated financial statements include the accounts of Axalta and its subsidiaries, and entities in which a controlling interest is maintained. Certain of our entities are accounted for on a one-month lag basis, the effect of which is not material.
The results of operations for the three and nine months ended September 30, 2025 are not necessarily indicative of the results to be expected for the full year ended December 31, 2025 or any future period(s).
Summary of Significant Accounting Policies Updates
Recently Adopted Accounting Guidance
In January 2024, we adopted Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280), which expands the disclosures about a public entity's reportable segments and the expenses of the entity’s reportable segments. This ASU does not impact our consolidated financial position, results of operations or cash flows. The required disclosures are included in Note 17.
Accounting Guidance and Disclosure Rules Issued But Not Yet Adopted
In December 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-09, Income Taxes (Topic 740), to enhance the transparency and decision usefulness of income tax disclosures, primarily related to the rate reconciliation and income taxes paid disclosures. This ASU does not impact our consolidated financial position, results of operations or cash flows. The new standard is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The Company plans to adopt the guidance and include required enhanced disclosures in its consolidated financial statements for the year ending December 31, 2025.
In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40), to improve disclosures about a public business entity's expenses and require more detailed information about the types of expenses in commonly presented expense captions, such as cost of sales, selling general and administrative expense and research and development. The new standard is effective for fiscal years beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. We are currently evaluating the impact of ASU 2024-03 on our financial statements.
In September 2025, the FASB issued ASU 2025-06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40), to enhance guidance for recognizing and measuring capitalizable costs associated with the development of internal-use software. The new standard is effective for fiscal years beginning after December 15, 2027, with early adoption permitted. We are currently evaluating the impact of ASU 2025-06 on our financial statements.
v3.25.3
REVENUE
9 Months Ended
Sep. 30, 2025
Revenue from Contract with Customer [Abstract]  
REVENUE REVENUE
Consideration for products in which control has transferred to our customers that is conditional on something other than the passage of time is recorded as a contract asset within prepaid expenses and other current assets in the condensed consolidated balance sheets. The contract asset balances at September 30, 2025 and December 31, 2024 were $54 million and $36 million, respectively.
We provide certain customers with incremental up-front consideration, subject to clawback provisions, including Business Incentive Plan assets (“BIPs”), which is capitalized as a component of other assets and amortized over the estimated life of the contractual arrangement as a reduction of net sales. We do not receive a distinct service or good in return for these BIPs, but rather receive volume commitments and/or sole supplier status from our customers over the life of the contractual arrangements, which approximates a five-year weighted average useful life. The termination clauses in these contractual arrangements generally include standard clawback provisions that are designed to enable us to collect monetary damages in the event of a customer's failure to meet its commitments under the relevant contract. At September 30, 2025 and December 31, 2024, the total carrying values of BIPs were $196 million and $169 million, respectively, and are presented within other assets in the condensed consolidated balance sheets. For the three and nine months ended September 30, 2025 and 2024, $16 million, $47 million, $16 million and $44 million, respectively, was amortized net of clawbacks and reflected as reductions of net sales in the condensed consolidated statements of operations.
See Note 17 for disaggregated net sales by end-market.
v3.25.3
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS
9 Months Ended
Sep. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS
During the nine months ended September 30, 2025, we completed a strategic acquisition in our Performance Coatings segment. This acquisition was accounted for as a business combination with aggregate consideration of $9 million, of which $6 million was paid, net of $1 million of cash acquired. The overall impacts to our unaudited condensed consolidated financial statements were not considered to be material. The fair value attributable to identifiable intangible assets was $5 million, comprised of customer relationship assets, which will be amortized over a weighted average term of approximately 10 years.
Goodwill
The following table shows changes in the carrying amount of goodwill from December 31, 2024 to September 30, 2025 by reportable segment:
Performance
Coatings
Mobility
Coatings
Total
Balance at December 31, 2024$1,566 $74 $1,640 
Goodwill from acquisitions— 
Purchase accounting adjustments— 
Foreign currency translation120 126 
Balance at September 30, 2025$1,689 $80 $1,769 
Identifiable Intangible Assets
The following tables summarize the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class:
September 30, 2025Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology$153 $(99)$54 11.1
Trademarks—indefinite-lived274 — 274 Indefinite
Trademarks—definite-lived163 (83)80 14.1
Customer relationships1,344 (611)733 19.0
Total$1,934 $(793)$1,141 
December 31, 2024Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology$152 $(88)$64 11.1
Trademarks—indefinite-lived252 — 252 Indefinite
Trademarks—definite-lived154 (70)84 14.0
Customer relationships1,280 (531)749 19.1
Total$1,838 $(689)$1,149 
The estimated amortization expense related to the fair value of acquired intangible assets for the remainder of 2025 and each of the succeeding five years is:
Remainder of 2025$25 
2026100 
202799 
202885 
202980 
203080 
v3.25.3
RESTRUCTURING
9 Months Ended
Sep. 30, 2025
Restructuring and Related Activities [Abstract]  
RESTRUCTURING RESTRUCTURING
During February 2024, we announced a global transformation initiative intended to simplify the Company’s organizational structure and enable us to be more proactive, responsive, and agile and to better serve our customers and to lower our cost base and improve financial performance and cash flow generation (the “2024 Transformation Initiative”). The 2024 Transformation Initiative actions, certain of which are subject to the satisfaction of local law requirements in various jurisdictions, commenced in the first quarter of 2024, and we expect them to be completed by 2026. The 2024 Transformation Initiative is expected to result in a reduction to our workforce of more than 500 employees globally and total pre-tax charges of approximately $82 million in the aggregate, of which approximately $76 million represents severance and other exit-related costs and approximately $6 million represents non-cash accelerated depreciation charges. Total cash expenditures related to the 2024 Transformation Initiative are expected to be approximately $105-115 million, inclusive of $30-40 million for capital expenditures to, among other things, shift manufacturing capacity or capabilities. The 2024 Transformation Initiative resulted in pre-tax charges of $10 million for the nine months ended September 30, 2025, which primarily relates to employee severance and other exit costs.
The majority of the termination benefits were accounted for in accordance with the applicable guidance for Accounting Standards Codification (“ASC”) 712, Nonretirement Postemployment Benefits, whereby we accounted for termination benefits and recognized liabilities when the loss was considered probable that employees were entitled to benefits and the amounts could be reasonably estimated.
During the three and nine months ended September 30, 2025 and 2024, we incurred costs of $2 million, $22 million, $10 million and $65 million, respectively, for termination benefits, net of changes in estimates. The majority of our termination benefits are recorded within other operating charges in the condensed consolidated statements of operations. The remaining payments associated with these actions are expected to be substantially completed within 12 months from September 30, 2025.
The following table summarizes the activity related to the termination benefit reserves and expenses from December 31, 2024 to September 30, 2025:
2025 Activity
Balance at December 31, 2024$49 
Expenses, net of changes to estimates22 
Payments made(43)
Foreign currency translation
Balance at September 30, 2025$32 
v3.25.3
COMMITMENTS AND CONTINGENCIES
9 Months Ended
Sep. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES COMMITMENTS AND CONTINGENCIES
Guarantees
We guarantee certain of our customers’ obligations to third parties, whereby any default by our customers on their obligations could force us to make payments to the applicable creditors ("Customer Obligation Guarantees"). At September 30, 2025 and December 31, 2024, we had outstanding Customer Obligation Guarantees of $24 million and $23 million, respectively, excluding certain outstanding Customer Obligation Guarantees secured by letters of credit under the Revolving Credit Facility discussed further in Note 15. Excluding Customer Obligation Guarantees secured by letters of credit under the Revolving Credit Facility, substantially all of our Customer Obligation Guarantees do not have specified expiration dates. We monitor the Customer Obligation Guarantees to evaluate whether we have a liability at the balance sheet date. We did not have any liabilities related to our outstanding Customer Obligation Guarantees recorded at either September 30, 2025 or December 31, 2024.
Operational Matter
In January 2021, we became aware of an operational matter affecting certain North America Mobility Coatings customer manufacturing sites. The matter involves the use and application of certain of our products in combination with and incorporated within third-party products. The matter occurred over a discrete period during the fourth quarter of 2020. We concluded that losses from this matter were probable and that a majority of losses would be covered under our insurance policies, subject to deductible and policy limits as defined in our policies.
During each of the three and nine months ended September 30, 2025 and 2024, expenses recorded relating to the operational matter were immaterial. At September 30, 2025 and December 31, 2024, we had $28 million and $29 million, respectively, recorded for estimated insurance receivables within accounts and notes receivable, net in the condensed consolidated balance sheets. Liabilities of $25 million and $27 million are recorded as other accrued liabilities in the condensed consolidated balance sheets at September 30, 2025 and December 31, 2024, respectively. The recorded probable losses remain an estimate, and actual costs arising from this matter could be materially lower or higher depending on the actual costs incurred to repair the impacted products as well as the availability of additional insurance coverage.
Other
We are subject to various pending lawsuits, legal proceedings and other claims in the ordinary course of business, including civil, regulatory and environmental matters. These matters may involve third-party indemnification obligations and/or insurance covering all or part of any potential damage incurred by us. All of these matters are subject to many uncertainties and, accordingly, we cannot determine the ultimate outcome of the proceedings and other claims at this time. The potential effects, if any, on our condensed consolidated financial statements will be recorded in the period in which these matters are probable and estimable. Except as set forth in the “Operational Matter” section above, we believe that any sum we may be required to pay in connection with proceedings or claims in excess of the amounts recorded would likely not have a material adverse effect on our results of operations, financial condition or cash flows on a consolidated annual basis but could have a material adverse impact in a particular quarterly reporting period. However, there can be no assurance that any such sum would not have a material adverse effect on our results of operations, financial condition or cash flows on a consolidated annual basis.
We are involved in environmental remediation and ongoing compliance activities at several sites. The timing and duration of remediation and ongoing compliance activities are determined on a site by site basis depending on local regulations. The liabilities recorded represent our estimable future remediation costs and other anticipated environmental liabilities. We have not recorded liabilities at sites where a liability is probable but a range of loss is not reasonably estimable. We believe that any sum we may be required to pay in connection with environmental remediation matters in excess of the amounts recorded would likely occur over a period of time and would likely not have a material adverse effect upon our results of operations, financial condition or cash flows on a consolidated annual basis but could have a material adverse impact in a particular quarterly reporting period.
v3.25.3
LONG-TERM EMPLOYEE BENEFITS
9 Months Ended
Sep. 30, 2025
Retirement Benefits [Abstract]  
LONG-TERM EMPLOYEE BENEFITS LONG-TERM EMPLOYEE BENEFITS
Components of Net Periodic Benefit Cost
The following table sets forth the pre-tax components of net periodic benefit costs for our defined benefit plans for the three and nine months ended September 30, 2025 and 2024:
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Components of net periodic benefit cost:
Net periodic benefit cost:
Service cost$$$$
Interest cost14 15 
Expected return on plan assets(3)(3)(8)(9)
Amortization of actuarial loss, net— 
Net periodic benefit cost$$$14 $13 
All non-service components of net periodic benefit cost are recorded in other expense (income), net within the accompanying condensed consolidated statements of operations.
v3.25.3
STOCK-BASED COMPENSATION
9 Months Ended
Sep. 30, 2025
Share-Based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION
During the three and nine months ended September 30, 2025 and 2024, we recognized $6 million, $19 million, $7 million and $21 million in stock-based compensation expense, respectively, which was allocated between cost of goods sold and selling, general and administrative expenses in the condensed consolidated statements of operations. We recognized tax benefits on stock-based compensation of $1 million and $2 million for each of the three and nine months ended September 30, 2025 and 2024, respectively.
2025 Activity
Restricted Stock UnitsUnits
(in millions)
Weighted Average
Fair Value
Outstanding at January 1, 20251.0 $31.43 
Granted0.5 $34.34 
Vested(0.5)$30.54 
Forfeited(0.1)$32.89 
Outstanding at September 30, 20250.9 $33.24 
Tax benefits on the vesting of restricted stock units during the nine months ended September 30, 2025 were immaterial.
At September 30, 2025, there was $15 million of unamortized expense relating to unvested restricted stock units that is expected to be amortized over a weighted average period of 1.4 years.
Performance Share UnitsUnits
(in millions)
Weighted Average
Fair Value
Outstanding at January 1, 20250.9 $35.84 
Granted0.3 $39.70 
Vested (1)
— $30.63 
Forfeited(0.2)$33.28 
Outstanding at September 30, 20251.0 $37.94 
(1)    Activity during the nine months ended September 30, 2025 rounds to zero.
Our performance share units allow for participants to vest in zero to 200% of the target number of shares granted. At September 30, 2025, there was $17 million of unamortized expense relating to unvested performance share units that is expected to be amortized over a weighted average period of 1.8 years. The forfeitures include portions of performance share unit grants that were determined to not have vested during the period as a result of not meeting established financial performance thresholds.
Stock Options
The Black-Scholes option pricing model was used to estimate the fair values for options as of their grant date. There have been no options granted since 2019. There are currently 0.2 million options outstanding, all of which are vested and exercisable, with an average exercise price of $28.06, a weighted average contractual life of 2.3 years and an immaterial aggregate intrinsic value.
Cash received by the Company upon exercise of options during the three and nine months ended September 30, 2025 was $1 million. There were immaterial tax expenses on these exercises.
v3.25.3
OTHER EXPENSE (INCOME), NET
9 Months Ended
Sep. 30, 2025
Other Income and Expenses [Abstract]  
OTHER EXPENSE (INCOME), NET OTHER EXPENSE (INCOME), NET
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Foreign exchange losses, net$$— $11 $
Debt extinguishment and refinancing-related costs (1)
— — — 
Other miscellaneous (income) expense, net— (3)(7)
Total$$(3)$12 $
(1)    Debt extinguishment and refinancing-related costs include third-party fees incurred and the loss on extinguishment associated with the write-off of unamortized deferred financing costs and original issue discounts in conjunction with the refinancing of our long-term borrowings.
v3.25.3
INCOME TAXES
9 Months Ended
Sep. 30, 2025
Income Tax Disclosure [Abstract]  
INCOME TAXES INCOME TAXES
Our effective income tax rates for the nine months ended September 30, 2025 and 2024 are as follows:
Nine Months Ended
September 30,
20252024
Effective Tax Rate25.3 %28.9 %
The lower effective tax rate for the nine months ended September 30, 2025 was primarily due to the release of unrecognized tax benefits upon expiration of statutes of limitations in various jurisdictions and the favorable impact to our deferred tax expense due to the enactment of future income tax rate reductions, as well as the unfavorable 2024 tax impacts of the 2024 Transformation Initiative pre-tax charges, which did not repeat in 2025.
The effective tax rate for the nine months ended September 30, 2025 differs from the Bermuda statutory rate due to various items that impacted the effective rate both favorably and unfavorably. We recorded unfavorable impacts for earnings in jurisdictions where the statutory rate is higher than the Bermuda statutory rate and for changes in the valuation allowance. These adjustments were primarily offset by the net favorable adjustments for decreases in unrecognized tax benefits.
For the nine months ended September 30, 2025, the effect of the Organization for Economic Cooperation and Development’s Pillar Two framework, which imposes, among other items, a minimum tax rate of 15%, resulted in incremental tax expenses as compared to the same period in 2024. The incremental increase did not have a significant impact on our condensed consolidated financial statements for the nine months ended September 30, 2025.
On July 4, 2025, the One Big Beautiful Bill Act ("OBBBA") was enacted in the U.S. The OBBBA makes permanent key elements of the Tax Cuts and Jobs Act of 2017, including 100% bonus depreciation, domestic research cost expensing, and the business interest expense limitation. The incremental impact of OBBBA did not have a significant impact on our condensed consolidated financial statements for the nine months ended September 30, 2025.
During the three months ended September 30, 2025, the German Tax Authorities (“GTA”) issued a preliminary position related to the establishment of our European headquarters in Basel, Switzerland in 2016, which when resolved, could have a material impact on our results of operations and cash flows in future periods. We are fully engaged in ongoing discussions with the GTA and continue to work towards resolutions on certain matters. We believe that our estimated provision for this matter recorded at September 30, 2025, is appropriate.
v3.25.3
NET INCOME PER COMMON SHARE
9 Months Ended
Sep. 30, 2025
Earnings Per Share [Abstract]  
NET INCOME PER COMMON SHARE NET INCOME PER COMMON SHARE
Basic net income per common share excludes the dilutive impact of potentially dilutive securities and is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted net income per common share includes the effect of potential dilution from the hypothetical exercise of outstanding stock options and vesting of restricted stock units and performance share units. A reconciliation of our basic and diluted net income per common share is as follows:
Three Months Ended
September 30,
Nine Months Ended
September 30,
(In millions, except per share data)2025202420252024
Net income to common shareholders$110 $101 $318 $254 
Basic weighted average shares outstanding215.0 218.9 216.9 219.8 
Diluted weighted average shares outstanding215.9 219.9 217.9 220.8 
Net income per common share (1):
Basic net income per share$0.51 $0.46 $1.47 $1.15 
Diluted net income per share$0.51 $0.46 $1.46 $1.15 
(1)    Basic earnings per share and diluted earnings per share are calculated based on full precision. Figures in the table may not recalculate due to rounding.
The number of anti-dilutive shares that have been excluded in the computation of diluted net income per share for the three and nine months ended September 30, 2025 and 2024 was 0.3 million, 0.2 million, 0.2 million and 0.1 million, respectively.
v3.25.3
ACCOUNTS AND NOTES RECEIVABLE, NET
9 Months Ended
Sep. 30, 2025
Receivables [Abstract]  
ACCOUNTS AND NOTES RECEIVABLE, NET ACCOUNTS AND NOTES RECEIVABLE, NET
Trade accounts receivable are stated at the amount we expect to collect. We maintain allowances for doubtful accounts for estimated losses by applying historical loss percentages, combined with reasonable and supportable forecasts of future losses, to respective aging categories. Management considers the following factors in developing its current estimate of expected credit losses: customer credit-worthiness, past transaction history with the customer, current economic industry trends, changes in market or regulatory matters, changes in geopolitical matters, changes in customer payment terms, and other macroeconomic factors.
September 30, 2025December 31, 2024
Accounts receivable - trade, net (1)
$1,116 $1,015 
Notes receivable83 92 
Other (2)
154 141 
Total$1,353 $1,248 
(1)    Allowance for doubtful accounts was $30 million and $25 million at September 30, 2025 and December 31, 2024, respectively.
(2)    Includes $28 million and $29 million at September 30, 2025 and December 31, 2024, respectively, of insurance recoveries related to an operational matter discussed further in Note 5.
Bad debt expense of $3 million, $9 million, $2 million and $6 million was included within selling, general and administrative expenses and other operating charges for the three and nine months ended September 30, 2025 and 2024, respectively.
v3.25.3
INVENTORIES
9 Months Ended
Sep. 30, 2025
Inventory Disclosure [Abstract]  
INVENTORIES INVENTORIES
September 30, 2025December 31, 2024
Finished products$467 $391 
Semi-finished products130 124 
Raw materials196 189 
Stores and supplies36 30 
Total$829 $734 
Inventory reserves were $22 million and $17 million at September 30, 2025 and December 31, 2024, respectively.
v3.25.3
PROPERTY, PLANT AND EQUIPMENT, NET
9 Months Ended
Sep. 30, 2025
Property, Plant and Equipment [Abstract]  
PROPERTY, PLANT AND EQUIPMENT, NET PROPERTY, PLANT AND EQUIPMENT, NET
September 30, 2025December 31, 2024
Property, plant and equipment$2,692 $2,454 
Accumulated depreciation(1,413)(1,273)
Property, plant and equipment, net$1,279 $1,181 
Depreciation expense amounted to $33 million, $97 million, $32 million and $94 million for the three and nine months ended September 30, 2025 and 2024, respectively.
v3.25.3
SUPPLIER FINANCE PROGRAMS
9 Months Ended
Sep. 30, 2025
Payables and Accruals [Abstract]  
SUPPLIER FINANCE PROGRAMS SUPPLIER FINANCE PROGRAMS
We maintain a voluntary supply chain financing (“SCF”) program with a global financial institution, which allows a select group of suppliers to sell their receivables to the participating financial institution at the discretion of both parties on terms that are negotiated between the supplier and the financial institution. The supplier invoices that have been confirmed as valid under the program are paid by us to the financial institution according to the terms we have with the supplier. Amounts outstanding under the SCF program were $32 million and $22 million at September 30, 2025 and December 31, 2024, respectively.
We also participate in a virtual card program with a global financial institution, in which we pay supplier invoices on the due date using a Virtual Card Account (“VCA”) and subsequently pay the balance in full 25 days after the billing statement date of the VCA. The program allows for suppliers to receive an accelerated payment for a fee at each supplier's discretion. Fees paid by our suppliers are negotiated directly with the financial institution without our involvement. Amounts outstanding under the VCA program were $7 million and $6 million at September 30, 2025 and December 31, 2024, respectively.
The payment terms we have with our suppliers who participate in the SCF and VCA programs are consistent with the typical terms we have with our suppliers who do not participate. These financing arrangements are included in accounts payable within the condensed consolidated balance sheets and the associated payments are included in operating activities within the condensed consolidated statements of cash flows.
We have a supplier financing program in China which is utilized to finance the purchases of goods and services from our suppliers through local banking institutions. The payment terms under the program vary, but the program has a weighted average maturity date that is approximately 90 days from each respective financing inception. These financing arrangements are included in the current portion of borrowings within the condensed consolidated balance sheets and at the time of issuance each transaction is treated as a non-cash financing activity within the condensed consolidated statements of cash flows. Upon settlement of the financing, the cash outflow is classified as a financing activity within the condensed consolidated statements of cash flows. There were no balances outstanding under this program at both September 30, 2025 and September 30, 2024. There were no cash outflows under this program for the nine months ended September 30, 2025 and $4 million of cash outflows for the nine months ended September 30, 2024.
v3.25.3
BORROWINGS
9 Months Ended
Sep. 30, 2025
Debt Disclosure [Abstract]  
BORROWINGS BORROWINGS
Borrowings are summarized as follows:
September 30, 2025December 31, 2024
2029 Dollar Term Loans$1,679 $1,702 
2027 Dollar Senior Notes500 500 
2029 Dollar Senior Notes700 700 
2031 Dollar Senior Notes500 500 
Short-term and other borrowings52 54 
Unamortized original issue discount(11)(13)
Unamortized deferred financing costs(18)(22)
Total borrowings, net3,402 3,421 
Less:
Short-term borrowings
Current portion of long-term borrowings17 17 
Long-term debt$3,382 $3,401 
Our senior secured credit facilities (the “Senior Secured Credit Facilities”) consist of a term loan due in 2029 (the “2029 Dollar Term Loans”) and a revolving credit facility that matures in 2029 (the “Revolving Credit Facility”) that are governed by a credit agreement (as amended, the “Credit Agreement”).
Revolving Credit Facility
At September 30, 2025 and December 31, 2024, letters of credit issued under the Revolving Credit Facility totaled $28 million and $22 million, respectively, which reduced the availability under the Revolving Credit Facility as of such dates. Availability under the Revolving Credit Facility was $772 million and $778 million at September 30, 2025 and December 31, 2024, respectively. The letters of credit issued under the Revolving Credit Facility include $14 million that secures Customer Obligation Guarantees at both September 30, 2025 and December 31, 2024, respectively.
Other Activity
During the three months ended September 30, 2025, we prepaid $10 million of the outstanding principal amount of the 2029 Dollar Term Loans. As a result of these prepayments, we recorded an immaterial loss on extinguishment of debt for the three months ended September 30, 2025, which comprised the proportionate write-off of unamortized deferred financing costs and original issue discounts.
On October 28, 2025, certain of our subsidiaries entered into the Seventeenth Amendment to the Credit Agreement (the "Seventeenth Amendment"), to permit the funding of repurchases of our common shares using borrowings under the Credit Agreement.
Future repayments
Below is a schedule of required future repayments of all borrowings outstanding at September 30, 2025.
Remainder of 2025$
202621 
2027521 
202821 
20292,329 
Thereafter534 
Total borrowings3,431 
Unamortized original issue discount(11)
Unamortized deferred financing costs(18)
Total borrowings, net$3,402 
v3.25.3
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS
9 Months Ended
Sep. 30, 2025
Fair Value Disclosures [Abstract]  
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS
Fair value of financial instruments
Equity securities with readily determinable fair values - Balances of equity securities are recorded within other assets, with any changes in fair value recorded within other expense (income), net. The fair values of equity securities are based upon quoted market prices, which are considered Level 1 inputs.
Long-term borrowings - The estimated fair values of these borrowings are based on recent trades, as reported by a third-party pricing service. Due to the infrequency of trades, these inputs are considered to be Level 2 inputs.
Derivative instruments - The Company’s interest rate swaps, cross-currency swaps and foreign currency forward contracts are valued using broker quotations or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are included in the Level 2 hierarchy.
Fair value of contingent consideration
Contingent consideration is valued using a probability-weighted expected payment method that considers the timing of expected future cash flows and the probability of whether key elements of the contingent event are completed. The fair value of contingent consideration is valued at each balance sheet date, until amounts become payable, with adjustments recorded within other expense (income), net in the condensed consolidated statements of operations. Due to the significant unobservable inputs used in the valuations, these liabilities are categorized within Level 3 of the fair value hierarchy.
The table below presents the fair values of our financial instruments measured on a recurring basis by level within the fair value hierarchy at September 30, 2025 and December 31, 2024.
September 30, 2025December 31, 2024
Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Assets:
Prepaid expenses and other current assets:
Interest rate swaps (1)
$— $$— $$— $— $— $— 
Cross-currency swaps (2)
— — — 12 — 12 
Other assets:
Cross-currency swaps (2)
— — — — — — 
Investments in equity securities
— — — — 
Liabilities:
Other accrued liabilities:
Interest rate swaps (1)
— — — — — — 
Contingent consideration— — — — 
Other liabilities:
Interest rate swaps (1)
— — — — — — 
Cross-currency swaps (2)
— 103 — 103 — — — — 
Long-term borrowings:
2029 Dollar Term Loans— 1,690 — 1,690 — 1,709 — 1,709 
2027 Dollar Senior Notes— 499 — 499 — 490 — 490 
2029 Dollar Senior Notes— 664 — 664 — 637 — 637 
2031 Dollar Senior Notes— 524 — 524 — 519 — 519 
(1)    Cash flow hedge
(2)    Net investment hedge
The table below presents a roll forward of activity for the Level 3 liabilities for the nine months ended September 30, 2025.
Fair Value Using Significant Unobservable Inputs
(Level 3)
Beginning balance at December 31, 2024
$
Business acquisition
Payments(1)
Ending balance at September 30, 2025
$
Derivative Financial Instruments
We selectively use derivative instruments to reduce market risk associated with changes in foreign currency exchange rates and interest rates. The use of derivatives is intended for hedging purposes only, and we do not enter into derivative instruments for speculative purposes.
Derivative Instruments Qualifying and Designated as Cash Flow and Net Investment Hedges
Interest Rate Swaps Designated as Cash Flow Hedges
During the three months ended September 30, 2025, an interest rate swap associated with the 2029 Dollar Term Loans, which was previously executed in 2024, was set to expire. It was, instead, effectively terminated on September 25, 2025, and a new interest rate swap was simultaneously issued as is set forth in the below table. This interest rate swap is marked to market at each reporting date and any unrealized gains or losses are included in unrealized currency translation adjustments, within accumulated other comprehensive loss ("AOCI").
FormerCurrent
Notional amount$150 $175 
Interest rate pay4.692 %3.303 %
Interest rate receive3-month SOFR3-month SOFR
Initial effective date3/27/20249/25/2025
Maximum expiration date
9/30/2025 (1)
6/30/2028
(1)    The interest rate swap was effectively terminated on September 25, 2025.
Cross-Currency Swaps Designated as Net Investment Hedges
During the three months ended September 30, 2025, a fixed-for-fixed cross-currency swap, which was previously executed in 2024 and was set to expire on September 30, 2025, was effectively amended to extend the maturity to June 30, 2028, reset the terms, and increase the notional value as is set forth in the below table. This cross-currency swap is marked to market at each reporting date, and any unrealized gains or losses subject to the assessment of the hedge’s effectiveness are included in unrealized currency translation adjustments, within AOCI. Gains and losses for hedge components excluded from the assessment of effectiveness are recognized over the life of the hedge on a systematic and rational basis.
FormerCurrent
Notional exchanged$150 $175 
Interest rate receive6.692 %5.053 %
Notional received142 166 
Interest rate pay4.899 %3.295 %
Initial effective date3/27/20249/25/2025
Maximum expiration date
9/30/2025 (1)
06/30/2028
(1)    The cross-currency swap was effectively amended under new terms on September 25, 2025.
The following table sets forth the locations and amounts recognized during the three and nine months ended September 30, 2025 and 2024 for the Company's cash flow and net investment hedges.
Three Months Ended
September 30,
20252024
Derivatives in Cash Flow and Net Investment HedgesLocation of (Gain) Loss Recognized in Income on DerivativesNet Amount of Gain Recognized in OCI on DerivativesAmount of Gain Recognized in IncomeNet Amount of Loss Recognized in OCI on DerivativesAmount of Gain Recognized in Income
Interest rate swapsInterest expense, net$(1)$— $$— 
Cross-currency swaps
Interest expense, net(3)(4)34 (3)
Nine Months Ended
September 30,
20252024
Derivatives in Cash Flow and Net Investment HedgesLocation of (Gain) Loss Recognized in Income on DerivativesNet Amount of (Gain) Loss Recognized in OCI on DerivativesAmount of Gain Recognized in IncomeNet Amount of Loss (Gain) Recognized in OCI on DerivativesAmount of Gain Recognized in Income
Interest rate swapsInterest expense, net$(1)$— $$— 
Cross-currency swaps
Interest expense, net102 (13)(14)(11)
Over the next 12 months, we expect a gain of $1 million pertaining to cash flow hedges to be reclassified from AOCI into earnings, related to our interest rate swaps.
Derivative Instruments Not Designated as Cash Flow or Net Investment Hedges
We periodically enter into foreign currency forward and option contracts to reduce market risk and hedge our balance sheet exposures and cash flows for subsidiaries with exposures denominated in currencies different from the functional currency of the relevant subsidiary. These contracts have not been designated as hedges and all gains and losses are marked to market through other expense (income), net in the condensed consolidated statements of operations.
Fair value gains and losses of derivative contracts, as determined using Level 2 inputs, that have not been designated for hedge accounting treatment are recorded in earnings as follows:
Derivatives Not Designated as Hedging
Instruments under ASC 815
Location of Loss (Gain) Recognized in Income on DerivativesThree Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Foreign currency forward contractsOther expense (income), net$$— $(20)$(4)
v3.25.3
SEGMENTS
9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
SEGMENTS SEGMENTS
The Company identifies an operating segment as a component: (i) that engages in business activities from which it may earn revenues and incur expenses; (ii) whose operating results are regularly reviewed by the Chief Operating Decision Maker (“CODM”) to make decisions about resources to be allocated to the segment and assess its performance; and (iii) that has available discrete financial information.
We have two operating segments, which are also our reportable segments: Performance Coatings and Mobility Coatings. The CODM reviews financial information at the operating segment level to allocate resources and to assess the operating results and financial performance for each operating segment. Our CODM is identified as the Chief Executive Officer because he has final authority over performance assessment and resource allocation decisions. Our segments are based on the type and concentration of customers served, service requirements, methods of distribution and major product lines.
Through our Performance Coatings segment, we provide high-quality liquid and powder coatings solutions to both large regional and global original equipment manufacturers (“OEMs”) and to a fragmented and local customer base. These customers comprise independent or multi-shop operator body shops as well as a wide variety of industrial manufacturers. We are one of only a few suppliers with the technology to provide precise color matching and highly durable coatings systems. The end-markets and reporting units within this segment are refinish and industrial.
Through our Mobility Coatings segment, we provide coatings technologies for light vehicle and commercial vehicle OEMs. These global customers are faced with evolving megatrends in electrification, sustainability, personalization and autonomous driving that require a high level of technical expertise. The OEMs require efficient, environmentally responsible coatings systems that can be applied with a high degree of precision, consistency and speed. The end-markets and reporting units within this segment are light vehicle and commercial vehicle.
Segment Adjusted EBITDA is the primary measure used by our CODM to evaluate financial performance of the operating segments and allocate resources and is therefore our measure of segment profitability in accordance with GAAP under ASC 280, Segment Reporting. Asset information is not reviewed or included with our internal management reporting. Therefore, we have not disclosed asset information for each reportable segment. The following tables present relevant information of our reportable segments.
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Net sales (1):
Refinish$517 $554 $1,542 $1,619 
Industrial311 323 944 993 
Total Net sales Performance Coatings828 877 2,486 2,612 
Light Vehicle364 340 1,066 1,036 
Commercial Vehicle96 103 303 317 
Total Net sales Mobility Coatings460 443 1,369 1,353 
Total Net sales$1,288 $1,320 $3,855 $3,965 
Segment Adjusted EBITDA:
Performance Coatings211 221 608 640 
Mobility Coatings83 70 248 201 
Total$294 $291 $856 $841 
September 30, 2025December 31, 2024
Investment in unconsolidated affiliates:
Performance Coatings$$
Mobility Coatings10 
Total$12 $11 
(1)The Company has no intercompany sales between segments.
The following tables reconcile net sales to Segment Adjusted EBITDA for the periods presented:
 Three Months Ended
September 30, 2025
Nine Months Ended
September 30, 2025
Performance CoatingsMobility CoatingsTotalPerformance CoatingsMobility CoatingsTotal
Net sales
$828 $460 $1,288 $2,486 $1,369 $3,855 
Segment cost of goods sold (1)
440 295 735 1,331 879 2,210 
Other segment items (2)
177 82 259 547 242 789 
Segment Adjusted EBITDA$211 $83 $294 $608 $248 $856 
Three Months Ended
September 30, 2024
Nine Months Ended
September 30, 2024
Performance CoatingsMobility CoatingsTotalPerformance CoatingsMobility CoatingsTotal
Net sales
$877 $443 $1,320 $2,612 $1,353 $3,965 
Segment cost of goods sold (1)
461 290 751 1,400 903 2,303 
Other segment items (2)
195 83 278 572 249 821 
Segment Adjusted EBITDA$221 $70 $291 $640 $201 $841 
(1)    Certain amounts included in cost of goods sold on the consolidated statements of operations are excluded from Segment cost of goods sold regularly provided to the CODM.
(2)    Other segment items for both segments include certain cost of goods sold not regularly provided to the CODM, selling, general and administrative expenses, other operating charges, research and development expenses, and other expense (income), net. Certain amounts included in Segment cost of goods sold, including depreciation, are excluded from Segment Adjusted EBITDA and are adjusted for in other segment items.
The following table reconciles Segment Adjusted EBITDA to income before income taxes for the periods presented:
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Segment Adjusted EBITDA (1):
Performance Coatings$211 $221 $608 $640 
Mobility Coatings83 70 248 201 
Total294 291 856 841 
Interest expense, net45 54 134 158 
Depreciation and amortization74 71 218 207 
Debt extinguishment and refinancing-related costs (a)
— — — 
Termination benefits and other employee-related costs (b)
11 22 67 
Acquisition-related costs (c)
11 
Site closure costs (d)
— 
Foreign exchange remeasurement losses (e)
— 11 
Long-term employee benefit plan adjustments (f)
Stock-based compensation (g)
19 21 
Environmental charge (h)
— 
Other adjustments (i)
(3)(1)(3)(1)
Income before income taxes$155 $142 $427 $357 
(1)The primary measure of segment operating performance is Segment Adjusted EBITDA, which is defined as net income before interest, taxes, depreciation, amortization and select other items impacting operating results. These other items impacting operating results are items that management has concluded are (i) non-cash items included within net income, (ii) items the Company does not believe are indicative of ongoing operating performance or (iii) non-recurring, unusual or infrequent items that have not occurred within the last two years or the Company believes are not reasonably likely to recur within the next two years. Segment Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts and prior year financial results, providing a measure that management believes reflects the Company's core operating performance, which represents Segment EBITDA adjusted for the select items referred to above.
(a)Represents expenses and associated changes to estimates related to the prepayment, restructuring, and refinancing of our indebtedness, which are not considered indicative of our ongoing operating performance.
(b)Represents expenses and associated changes to estimates related to employee termination benefits, consulting, legal and other employee-related costs associated with restructuring programs and other employee-related costs. These amounts are not considered indicative of our ongoing operating performance.
(c)Represents acquisition-related diligence expenses associated with both consummated and unconsummated transactions, all of which are not considered indicative of our ongoing operating performance.
(d)Represents costs related to the closure of certain manufacturing sites, which we do not consider indicative of our ongoing operating performance.
(e)Represents foreign exchange losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies, net of the impacts of our foreign currency instruments used to hedge our balance sheet exposures.
(f)Represents the non-cash, non-service cost components of long-term employee benefit costs.
(g)Represents non-cash impacts associated with stock-based compensation.
(h)Represents costs related to certain environmental remediation activities, which are not considered indicative of our ongoing operating performance.
(i)Represents costs for certain non-operational or non-cash gains, net, unrelated to our core business and which we do not consider indicative of our ongoing operating performance.
Geographic Area Information:
The following tables provide disaggregated information related to our net sales and long-lived assets.
Net sales by region were as follows:
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
North America$444 $516 $1,363 $1,525 
EMEA455 430 1,370 1,351 
Asia Pacific223 212 657 621 
Latin America (1)
166 162 465 468 
Total (2)
$1,288 $1,320 $3,855 $3,965 
Net long-lived assets by region were as follows:
September 30, 2025December 31, 2024
North America$561 $539 
EMEA407 362 
Asia Pacific185 185 
Latin America (1)
126 95 
Total (3)
$1,279 $1,181 
(1)Includes Mexico.
(2)Net sales are attributed to countries based on the customer's location. Net sales to customers in China represented approximately 12%, 11%, 11% and 10% of the total net sales for the three and nine months ended September 30, 2025 and 2024, respectively. Net sales to customers in Germany represented approximately 7% of the total for the three and nine months ended September 30, 2025 and 2024. Net sales to customers in Mexico represented approximately 6% of the total for the three and nine months ended September 30, 2025 and 7% of the total for the three and nine months ended September 30, 2024. Net sales to customers in Canada, which is included in the North America region, represented approximately 3% of the total for the three and nine months ended September 30, 2025 and 2024.
(3)Long-lived assets consist of property, plant and equipment, net. Germany long-lived assets amounted to approximately $227 million and $204 million at September 30, 2025 and December 31, 2024, respectively. China long-lived assets amounted to approximately $156 million at both September 30, 2025 and December 31, 2024. Mexico long-lived assets amounted to approximately $85 million and $63 million at September 30, 2025 and December 31, 2024, respectively. Canada long-lived assets, which are included in the North America region, amounted to approximately $6 million at both September 30, 2025 and December 31, 2024.
v3.25.3
ACCUMULATED OTHER COMPREHENSIVE LOSS
9 Months Ended
Sep. 30, 2025
Equity [Abstract]  
ACCUMULATED OTHER COMPREHENSIVE LOSS ACCUMULATED OTHER COMPREHENSIVE LOSS
Unrealized
Currency
Translation
Adjustments
Pension Plan
Adjustments
Unrealized
(Loss) Gain on
Derivatives
Accumulated
Other
Comprehensive
 Loss
Balance, December 31, 2024
$(517)$(64)$(1)$(582)
Current year deferrals to AOCI66 — — 66 
Reclassifications from AOCI to Net income(5)— (4)
Net Change61 — 62 
Balance, March 31, 2025
(456)(63)(1)(520)
Current year deferrals to AOCI140 — — 140 
Reclassifications from AOCI to Net income(4)— (3)
Net Change136 — 137 
Balance, June 30, 2025
(320)(62)(1)(383)
Current year deferrals to AOCI— 
Reclassifications from AOCI to Net income
(4)— — (4)
Net Change(2)— (1)
Balance, September 30, 2025
$(322)$(62)$— $(384)
The cumulative income tax benefit related to the adjustments for foreign exchange at September 30, 2025 was $7 million. The cumulative income tax benefit related to the adjustments for pension benefits at September 30, 2025 was $26 million. The cumulative income tax expense related to the adjustments for the unrealized loss on derivatives at September 30, 2025 was immaterial. See Note 16 for classification within the condensed consolidated statements of operations of the gains and losses on derivatives reclassified from AOCI.
Unrealized
Currency
Translation
Adjustments
Pension Plan
Adjustments
Unrealized
Loss on
Derivatives
Accumulated
Other
Comprehensive
 Loss
Balance, December 31, 2023
$(374)$(70)$— $(444)
Current year deferrals to AOCI(41)— — (41)
Reclassifications from AOCI to Net income(4)— (3)
Net Change(45)— (44)
Balance, March 31, 2024
(419)(69)— (488)
Current year deferrals to AOCI(26)— — (26)
Reclassifications from AOCI to Net income(4)— (3)
Net Change(30)— (29)
Balance, June 30, 2024
(449)(68)— (517)
Current year deferrals to AOCI80 — (2)78 
Reclassifications from AOCI to Net income
(3)— — (3)
Net Change77 — (2)75 
Balance, September 30, 2024
$(372)$(68)$(2)$(442)
The cumulative income tax benefit related to the adjustments for pension benefits at September 30, 2024 was $3 million. The cumulative income tax benefit related to the adjustments for pension benefits at September 30, 2024 was $29 million. The cumulative income tax expense related to the adjustments for the unrealized gain on derivatives at September 30, 2024 was immaterial. See Note 16 for classification within the condensed consolidated statements of operations of the gains and losses on derivatives reclassified from AOCI.
v3.25.3
Insider Trading Arrangements
3 Months Ended
Sep. 30, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.3
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
9 Months Ended
Sep. 30, 2025
Accounting Policies [Abstract]  
Recently Adopted Accounting Guidance and Accounting Guidance and Disclosure Rules Issued But Not Yet Adopted
Recently Adopted Accounting Guidance
In January 2024, we adopted Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280), which expands the disclosures about a public entity's reportable segments and the expenses of the entity’s reportable segments. This ASU does not impact our consolidated financial position, results of operations or cash flows. The required disclosures are included in Note 17.
Accounting Guidance and Disclosure Rules Issued But Not Yet Adopted
In December 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-09, Income Taxes (Topic 740), to enhance the transparency and decision usefulness of income tax disclosures, primarily related to the rate reconciliation and income taxes paid disclosures. This ASU does not impact our consolidated financial position, results of operations or cash flows. The new standard is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The Company plans to adopt the guidance and include required enhanced disclosures in its consolidated financial statements for the year ending December 31, 2025.
In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40), to improve disclosures about a public business entity's expenses and require more detailed information about the types of expenses in commonly presented expense captions, such as cost of sales, selling general and administrative expense and research and development. The new standard is effective for fiscal years beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. We are currently evaluating the impact of ASU 2024-03 on our financial statements.
In September 2025, the FASB issued ASU 2025-06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40), to enhance guidance for recognizing and measuring capitalizable costs associated with the development of internal-use software. The new standard is effective for fiscal years beginning after December 15, 2027, with early adoption permitted. We are currently evaluating the impact of ASU 2025-06 on our financial statements.
v3.25.3
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS (Tables)
9 Months Ended
Sep. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
The following table shows changes in the carrying amount of goodwill from December 31, 2024 to September 30, 2025 by reportable segment:
Performance
Coatings
Mobility
Coatings
Total
Balance at December 31, 2024$1,566 $74 $1,640 
Goodwill from acquisitions— 
Purchase accounting adjustments— 
Foreign currency translation120 126 
Balance at September 30, 2025$1,689 $80 $1,769 
Schedule of Finite-lived and Indefinite-lived Intangible Assets by Major Class
The following tables summarize the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class:
September 30, 2025Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology$153 $(99)$54 11.1
Trademarks—indefinite-lived274 — 274 Indefinite
Trademarks—definite-lived163 (83)80 14.1
Customer relationships1,344 (611)733 19.0
Total$1,934 $(793)$1,141 
December 31, 2024Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology$152 $(88)$64 11.1
Trademarks—indefinite-lived252 — 252 Indefinite
Trademarks—definite-lived154 (70)84 14.0
Customer relationships1,280 (531)749 19.1
Total$1,838 $(689)$1,149 
Schedule of Finite-lived Intangible Assets, Future Amortization Expense
The estimated amortization expense related to the fair value of acquired intangible assets for the remainder of 2025 and each of the succeeding five years is:
Remainder of 2025$25 
2026100 
202799 
202885 
202980 
203080 
v3.25.3
RESTRUCTURING (Tables)
9 Months Ended
Sep. 30, 2025
Restructuring and Related Activities [Abstract]  
Schedule of Restructuring and Related Costs
The following table summarizes the activity related to the termination benefit reserves and expenses from December 31, 2024 to September 30, 2025:
2025 Activity
Balance at December 31, 2024$49 
Expenses, net of changes to estimates22 
Payments made(43)
Foreign currency translation
Balance at September 30, 2025$32 
v3.25.3
LONG-TERM EMPLOYEE BENEFITS (Tables)
9 Months Ended
Sep. 30, 2025
Retirement Benefits [Abstract]  
Schedule of Net Benefit Costs
The following table sets forth the pre-tax components of net periodic benefit costs for our defined benefit plans for the three and nine months ended September 30, 2025 and 2024:
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Components of net periodic benefit cost:
Net periodic benefit cost:
Service cost$$$$
Interest cost14 15 
Expected return on plan assets(3)(3)(8)(9)
Amortization of actuarial loss, net— 
Net periodic benefit cost$$$14 $13 
v3.25.3
STOCK-BASED COMPENSATION (Tables)
9 Months Ended
Sep. 30, 2025
Share-Based Payment Arrangement [Abstract]  
Schedule of Restricted Stock Units and Restricted Stock Awards Roll Forward
Restricted Stock UnitsUnits
(in millions)
Weighted Average
Fair Value
Outstanding at January 1, 20251.0 $31.43 
Granted0.5 $34.34 
Vested(0.5)$30.54 
Forfeited(0.1)$32.89 
Outstanding at September 30, 20250.9 $33.24 
Schedule of Performance Stock Roll Forward
Performance Share UnitsUnits
(in millions)
Weighted Average
Fair Value
Outstanding at January 1, 20250.9 $35.84 
Granted0.3 $39.70 
Vested (1)
— $30.63 
Forfeited(0.2)$33.28 
Outstanding at September 30, 20251.0 $37.94 
(1)    Activity during the nine months ended September 30, 2025 rounds to zero.
v3.25.3
OTHER EXPENSE (INCOME), NET (Tables)
9 Months Ended
Sep. 30, 2025
Other Income and Expenses [Abstract]  
Schedule of Other Expense (Income), Net
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Foreign exchange losses, net$$— $11 $
Debt extinguishment and refinancing-related costs (1)
— — — 
Other miscellaneous (income) expense, net— (3)(7)
Total$$(3)$12 $
(1)    Debt extinguishment and refinancing-related costs include third-party fees incurred and the loss on extinguishment associated with the write-off of unamortized deferred financing costs and original issue discounts in conjunction with the refinancing of our long-term borrowings.
v3.25.3
INCOME TAXES (Tables)
9 Months Ended
Sep. 30, 2025
Income Tax Disclosure [Abstract]  
Schedule of Effective Income Tax Rate Reconciliation
Our effective income tax rates for the nine months ended September 30, 2025 and 2024 are as follows:
Nine Months Ended
September 30,
20252024
Effective Tax Rate25.3 %28.9 %
v3.25.3
NET INCOME PER COMMON SHARE (Tables)
9 Months Ended
Sep. 30, 2025
Earnings Per Share [Abstract]  
Schedule of Basic and Diluted Net Income Per Common Share A reconciliation of our basic and diluted net income per common share is as follows:
Three Months Ended
September 30,
Nine Months Ended
September 30,
(In millions, except per share data)2025202420252024
Net income to common shareholders$110 $101 $318 $254 
Basic weighted average shares outstanding215.0 218.9 216.9 219.8 
Diluted weighted average shares outstanding215.9 219.9 217.9 220.8 
Net income per common share (1):
Basic net income per share$0.51 $0.46 $1.47 $1.15 
Diluted net income per share$0.51 $0.46 $1.46 $1.15 
(1)    Basic earnings per share and diluted earnings per share are calculated based on full precision. Figures in the table may not recalculate due to rounding.
v3.25.3
ACCOUNTS AND NOTES RECEIVABLE, NET (Tables)
9 Months Ended
Sep. 30, 2025
Receivables [Abstract]  
Schedule of Accounts, Notes, Loans and Financing Receivable
September 30, 2025December 31, 2024
Accounts receivable - trade, net (1)
$1,116 $1,015 
Notes receivable83 92 
Other (2)
154 141 
Total$1,353 $1,248 
(1)    Allowance for doubtful accounts was $30 million and $25 million at September 30, 2025 and December 31, 2024, respectively.
(2)    Includes $28 million and $29 million at September 30, 2025 and December 31, 2024, respectively, of insurance recoveries related to an operational matter discussed further in Note 5.
v3.25.3
INVENTORIES (Tables)
9 Months Ended
Sep. 30, 2025
Inventory Disclosure [Abstract]  
Schedule of Inventory
September 30, 2025December 31, 2024
Finished products$467 $391 
Semi-finished products130 124 
Raw materials196 189 
Stores and supplies36 30 
Total$829 $734 
v3.25.3
PROPERTY, PLANT AND EQUIPMENT, NET (Tables)
9 Months Ended
Sep. 30, 2025
Property, Plant and Equipment [Abstract]  
Schedule of Property, Plant and Equipment
September 30, 2025December 31, 2024
Property, plant and equipment$2,692 $2,454 
Accumulated depreciation(1,413)(1,273)
Property, plant and equipment, net$1,279 $1,181 
v3.25.3
BORROWINGS (Tables)
9 Months Ended
Sep. 30, 2025
Debt Disclosure [Abstract]  
Schedule of Debt
Borrowings are summarized as follows:
September 30, 2025December 31, 2024
2029 Dollar Term Loans$1,679 $1,702 
2027 Dollar Senior Notes500 500 
2029 Dollar Senior Notes700 700 
2031 Dollar Senior Notes500 500 
Short-term and other borrowings52 54 
Unamortized original issue discount(11)(13)
Unamortized deferred financing costs(18)(22)
Total borrowings, net3,402 3,421 
Less:
Short-term borrowings
Current portion of long-term borrowings17 17 
Long-term debt$3,382 $3,401 
Schedule of Maturities of Long-term Debt
Below is a schedule of required future repayments of all borrowings outstanding at September 30, 2025.
Remainder of 2025$
202621 
2027521 
202821 
20292,329 
Thereafter534 
Total borrowings3,431 
Unamortized original issue discount(11)
Unamortized deferred financing costs(18)
Total borrowings, net$3,402 
v3.25.3
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS (Tables)
9 Months Ended
Sep. 30, 2025
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The table below presents the fair values of our financial instruments measured on a recurring basis by level within the fair value hierarchy at September 30, 2025 and December 31, 2024.
September 30, 2025December 31, 2024
Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Assets:
Prepaid expenses and other current assets:
Interest rate swaps (1)
$— $$— $$— $— $— $— 
Cross-currency swaps (2)
— — — 12 — 12 
Other assets:
Cross-currency swaps (2)
— — — — — — 
Investments in equity securities
— — — — 
Liabilities:
Other accrued liabilities:
Interest rate swaps (1)
— — — — — — 
Contingent consideration— — — — 
Other liabilities:
Interest rate swaps (1)
— — — — — — 
Cross-currency swaps (2)
— 103 — 103 — — — — 
Long-term borrowings:
2029 Dollar Term Loans— 1,690 — 1,690 — 1,709 — 1,709 
2027 Dollar Senior Notes— 499 — 499 — 490 — 490 
2029 Dollar Senior Notes— 664 — 664 — 637 — 637 
2031 Dollar Senior Notes— 524 — 524 — 519 — 519 
(1)    Cash flow hedge
(2)    Net investment hedge
Schedule of Fair Value, Liability Activity
The table below presents a roll forward of activity for the Level 3 liabilities for the nine months ended September 30, 2025.
Fair Value Using Significant Unobservable Inputs
(Level 3)
Beginning balance at December 31, 2024
$
Business acquisition
Payments(1)
Ending balance at September 30, 2025
$
Schedule of Interest Rate Derivatives
Interest Rate Swaps Designated as Cash Flow Hedges
FormerCurrent
Notional amount$150 $175 
Interest rate pay4.692 %3.303 %
Interest rate receive3-month SOFR3-month SOFR
Initial effective date3/27/20249/25/2025
Maximum expiration date
9/30/2025 (1)
6/30/2028
(1)    The interest rate swap was effectively terminated on September 25, 2025.
Schedule of Derivative Instruments
Cross-Currency Swaps Designated as Net Investment Hedges
FormerCurrent
Notional exchanged$150 $175 
Interest rate receive6.692 %5.053 %
Notional received142 166 
Interest rate pay4.899 %3.295 %
Initial effective date3/27/20249/25/2025
Maximum expiration date
9/30/2025 (1)
06/30/2028
(1)    The cross-currency swap was effectively amended under new terms on September 25, 2025.
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location
The following table sets forth the locations and amounts recognized during the three and nine months ended September 30, 2025 and 2024 for the Company's cash flow and net investment hedges.
Three Months Ended
September 30,
20252024
Derivatives in Cash Flow and Net Investment HedgesLocation of (Gain) Loss Recognized in Income on DerivativesNet Amount of Gain Recognized in OCI on DerivativesAmount of Gain Recognized in IncomeNet Amount of Loss Recognized in OCI on DerivativesAmount of Gain Recognized in Income
Interest rate swapsInterest expense, net$(1)$— $$— 
Cross-currency swaps
Interest expense, net(3)(4)34 (3)
Nine Months Ended
September 30,
20252024
Derivatives in Cash Flow and Net Investment HedgesLocation of (Gain) Loss Recognized in Income on DerivativesNet Amount of (Gain) Loss Recognized in OCI on DerivativesAmount of Gain Recognized in IncomeNet Amount of Loss (Gain) Recognized in OCI on DerivativesAmount of Gain Recognized in Income
Interest rate swapsInterest expense, net$(1)$— $$— 
Cross-currency swaps
Interest expense, net102 (13)(14)(11)
Schedule of Derivatives Not Designated as Hedging Instruments
Fair value gains and losses of derivative contracts, as determined using Level 2 inputs, that have not been designated for hedge accounting treatment are recorded in earnings as follows:
Derivatives Not Designated as Hedging
Instruments under ASC 815
Location of Loss (Gain) Recognized in Income on DerivativesThree Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Foreign currency forward contractsOther expense (income), net$$— $(20)$(4)
v3.25.3
SEGMENTS (Tables)
9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment The following tables present relevant information of our reportable segments.
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Net sales (1):
Refinish$517 $554 $1,542 $1,619 
Industrial311 323 944 993 
Total Net sales Performance Coatings828 877 2,486 2,612 
Light Vehicle364 340 1,066 1,036 
Commercial Vehicle96 103 303 317 
Total Net sales Mobility Coatings460 443 1,369 1,353 
Total Net sales$1,288 $1,320 $3,855 $3,965 
Segment Adjusted EBITDA:
Performance Coatings211 221 608 640 
Mobility Coatings83 70 248 201 
Total$294 $291 $856 $841 
September 30, 2025December 31, 2024
Investment in unconsolidated affiliates:
Performance Coatings$$
Mobility Coatings10 
Total$12 $11 
(1)The Company has no intercompany sales between segments.
The following tables reconcile net sales to Segment Adjusted EBITDA for the periods presented:
 Three Months Ended
September 30, 2025
Nine Months Ended
September 30, 2025
Performance CoatingsMobility CoatingsTotalPerformance CoatingsMobility CoatingsTotal
Net sales
$828 $460 $1,288 $2,486 $1,369 $3,855 
Segment cost of goods sold (1)
440 295 735 1,331 879 2,210 
Other segment items (2)
177 82 259 547 242 789 
Segment Adjusted EBITDA$211 $83 $294 $608 $248 $856 
Three Months Ended
September 30, 2024
Nine Months Ended
September 30, 2024
Performance CoatingsMobility CoatingsTotalPerformance CoatingsMobility CoatingsTotal
Net sales
$877 $443 $1,320 $2,612 $1,353 $3,965 
Segment cost of goods sold (1)
461 290 751 1,400 903 2,303 
Other segment items (2)
195 83 278 572 249 821 
Segment Adjusted EBITDA$221 $70 $291 $640 $201 $841 
(1)    Certain amounts included in cost of goods sold on the consolidated statements of operations are excluded from Segment cost of goods sold regularly provided to the CODM.
(2)    Other segment items for both segments include certain cost of goods sold not regularly provided to the CODM, selling, general and administrative expenses, other operating charges, research and development expenses, and other expense (income), net. Certain amounts included in Segment cost of goods sold, including depreciation, are excluded from Segment Adjusted EBITDA and are adjusted for in other segment items.
Schedule of Reconciliation of Operating Profit (Loss) from Segments to Consolidated
The following table reconciles Segment Adjusted EBITDA to income before income taxes for the periods presented:
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Segment Adjusted EBITDA (1):
Performance Coatings$211 $221 $608 $640 
Mobility Coatings83 70 248 201 
Total294 291 856 841 
Interest expense, net45 54 134 158 
Depreciation and amortization74 71 218 207 
Debt extinguishment and refinancing-related costs (a)
— — — 
Termination benefits and other employee-related costs (b)
11 22 67 
Acquisition-related costs (c)
11 
Site closure costs (d)
— 
Foreign exchange remeasurement losses (e)
— 11 
Long-term employee benefit plan adjustments (f)
Stock-based compensation (g)
19 21 
Environmental charge (h)
— 
Other adjustments (i)
(3)(1)(3)(1)
Income before income taxes$155 $142 $427 $357 
(1)The primary measure of segment operating performance is Segment Adjusted EBITDA, which is defined as net income before interest, taxes, depreciation, amortization and select other items impacting operating results. These other items impacting operating results are items that management has concluded are (i) non-cash items included within net income, (ii) items the Company does not believe are indicative of ongoing operating performance or (iii) non-recurring, unusual or infrequent items that have not occurred within the last two years or the Company believes are not reasonably likely to recur within the next two years. Segment Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts and prior year financial results, providing a measure that management believes reflects the Company's core operating performance, which represents Segment EBITDA adjusted for the select items referred to above.
(a)Represents expenses and associated changes to estimates related to the prepayment, restructuring, and refinancing of our indebtedness, which are not considered indicative of our ongoing operating performance.
(b)Represents expenses and associated changes to estimates related to employee termination benefits, consulting, legal and other employee-related costs associated with restructuring programs and other employee-related costs. These amounts are not considered indicative of our ongoing operating performance.
(c)Represents acquisition-related diligence expenses associated with both consummated and unconsummated transactions, all of which are not considered indicative of our ongoing operating performance.
(d)Represents costs related to the closure of certain manufacturing sites, which we do not consider indicative of our ongoing operating performance.
(e)Represents foreign exchange losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies, net of the impacts of our foreign currency instruments used to hedge our balance sheet exposures.
(f)Represents the non-cash, non-service cost components of long-term employee benefit costs.
(g)Represents non-cash impacts associated with stock-based compensation.
(h)Represents costs related to certain environmental remediation activities, which are not considered indicative of our ongoing operating performance.
(i)Represents costs for certain non-operational or non-cash gains, net, unrelated to our core business and which we do not consider indicative of our ongoing operating performance.
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas
The following tables provide disaggregated information related to our net sales and long-lived assets.
Net sales by region were as follows:
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
North America$444 $516 $1,363 $1,525 
EMEA455 430 1,370 1,351 
Asia Pacific223 212 657 621 
Latin America (1)
166 162 465 468 
Total (2)
$1,288 $1,320 $3,855 $3,965 
Net long-lived assets by region were as follows:
September 30, 2025December 31, 2024
North America$561 $539 
EMEA407 362 
Asia Pacific185 185 
Latin America (1)
126 95 
Total (3)
$1,279 $1,181 
(1)Includes Mexico.
(2)Net sales are attributed to countries based on the customer's location. Net sales to customers in China represented approximately 12%, 11%, 11% and 10% of the total net sales for the three and nine months ended September 30, 2025 and 2024, respectively. Net sales to customers in Germany represented approximately 7% of the total for the three and nine months ended September 30, 2025 and 2024. Net sales to customers in Mexico represented approximately 6% of the total for the three and nine months ended September 30, 2025 and 7% of the total for the three and nine months ended September 30, 2024. Net sales to customers in Canada, which is included in the North America region, represented approximately 3% of the total for the three and nine months ended September 30, 2025 and 2024.
(3)Long-lived assets consist of property, plant and equipment, net. Germany long-lived assets amounted to approximately $227 million and $204 million at September 30, 2025 and December 31, 2024, respectively. China long-lived assets amounted to approximately $156 million at both September 30, 2025 and December 31, 2024. Mexico long-lived assets amounted to approximately $85 million and $63 million at September 30, 2025 and December 31, 2024, respectively. Canada long-lived assets, which are included in the North America region, amounted to approximately $6 million at both September 30, 2025 and December 31, 2024.
v3.25.3
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)
9 Months Ended
Sep. 30, 2025
Equity [Abstract]  
Schedule of Accumulated Other Comprehensive Loss
Unrealized
Currency
Translation
Adjustments
Pension Plan
Adjustments
Unrealized
(Loss) Gain on
Derivatives
Accumulated
Other
Comprehensive
 Loss
Balance, December 31, 2024
$(517)$(64)$(1)$(582)
Current year deferrals to AOCI66 — — 66 
Reclassifications from AOCI to Net income(5)— (4)
Net Change61 — 62 
Balance, March 31, 2025
(456)(63)(1)(520)
Current year deferrals to AOCI140 — — 140 
Reclassifications from AOCI to Net income(4)— (3)
Net Change136 — 137 
Balance, June 30, 2025
(320)(62)(1)(383)
Current year deferrals to AOCI— 
Reclassifications from AOCI to Net income
(4)— — (4)
Net Change(2)— (1)
Balance, September 30, 2025
$(322)$(62)$— $(384)
Unrealized
Currency
Translation
Adjustments
Pension Plan
Adjustments
Unrealized
Loss on
Derivatives
Accumulated
Other
Comprehensive
 Loss
Balance, December 31, 2023
$(374)$(70)$— $(444)
Current year deferrals to AOCI(41)— — (41)
Reclassifications from AOCI to Net income(4)— (3)
Net Change(45)— (44)
Balance, March 31, 2024
(419)(69)— (488)
Current year deferrals to AOCI(26)— — (26)
Reclassifications from AOCI to Net income(4)— (3)
Net Change(30)— (29)
Balance, June 30, 2024
(449)(68)— (517)
Current year deferrals to AOCI80 — (2)78 
Reclassifications from AOCI to Net income
(3)— — (3)
Net Change77 — (2)75 
Balance, September 30, 2024
$(372)$(68)$(2)$(442)
v3.25.3
REVENUE (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]          
Contract with customer, asset $ 54   $ 54   $ 36
Contractual arrangements, useful life (in years) 5 years   5 years    
Capitalized contract cost, net $ 196   $ 196   $ 169
Capitalized contract cost, amortization $ 16 $ 16 $ 47 $ 44  
v3.25.3
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Additional Information (Details) - USD ($)
$ in Millions
9 Months Ended 12 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Goodwill [Line Items]      
Payment to acquire business $ 6 $ 290  
Customer Relationships      
Goodwill [Line Items]      
Weighted average amortization periods (in years) 19 years   19 years 1 month 6 days
Performance Coatings Segment Acquisition      
Goodwill [Line Items]      
Consideration transferred $ 9    
Payment to acquire business 6    
Cash acquired $ 1    
Weighted average amortization periods (in years) 10 years    
Performance Coatings Segment Acquisition | Customer Relationships      
Goodwill [Line Items]      
Identifiable intangible assets $ 5    
v3.25.3
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Schedule of Goodwill (Details)
$ in Millions
9 Months Ended
Sep. 30, 2025
USD ($)
Goodwill [Roll Forward]  
Goodwill, beginning balance $ 1,640
Goodwill from acquisitions 2
Purchase accounting adjustments 1
Foreign currency translation 126
Goodwill, ending balance 1,769
Performance Coatings  
Goodwill [Roll Forward]  
Goodwill, beginning balance 1,566
Goodwill from acquisitions 2
Purchase accounting adjustments 1
Foreign currency translation 120
Goodwill, ending balance 1,689
Mobility Coatings  
Goodwill [Roll Forward]  
Goodwill, beginning balance 74
Goodwill from acquisitions 0
Purchase accounting adjustments 0
Foreign currency translation 6
Goodwill, ending balance $ 80
v3.25.3
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Schedule of Finite-lived and Indefinite-lived Intangible Assets by Major Class (Details) - USD ($)
$ in Millions
9 Months Ended 12 Months Ended
Sep. 30, 2025
Dec. 31, 2024
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]    
Gross Carrying Amount $ 1,934 $ 1,838
Accumulated Amortization (793) (689)
Net Book Value, definite-lived 1,141 1,149
Trademarks    
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]    
Net Book Value, indefinite-lived 274 252
Technology    
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]    
Gross Carrying Amount 153 152
Accumulated Amortization (99) (88)
Net Book Value, definite-lived $ 54 $ 64
Weighted average amortization periods (in years) 11 years 1 month 6 days 11 years 1 month 6 days
Trademarks    
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]    
Gross Carrying Amount $ 163 $ 154
Accumulated Amortization (83) (70)
Net Book Value, definite-lived $ 80 $ 84
Weighted average amortization periods (in years) 14 years 1 month 6 days 14 years
Customer relationships    
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]    
Gross Carrying Amount $ 1,344 $ 1,280
Accumulated Amortization (611) (531)
Net Book Value, definite-lived $ 733 $ 749
Weighted average amortization periods (in years) 19 years 19 years 1 month 6 days
v3.25.3
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Schedule of Finite-lived Intangible Assets, Future Amortization Expense (Details)
$ in Millions
Sep. 30, 2025
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
Remainder of 2025 $ 25
2026 100
2027 99
2028 85
2029 80
2030 $ 80
v3.25.3
RESTRUCTURING - Additional Information (Details)
$ in Millions
3 Months Ended 9 Months Ended 12 Months Ended 36 Months Ended
Sep. 30, 2025
USD ($)
Sep. 30, 2024
USD ($)
Sep. 30, 2025
USD ($)
Sep. 30, 2024
USD ($)
Dec. 31, 2024
USD ($)
employee
Dec. 31, 2026
USD ($)
Restructuring Cost and Reserve [Line Items]            
Number of employees in workforce reduction | employee         500  
Expected pretax restructuring charges         $ 82  
Approximate employee severance and other cash costs         76  
Accelerated depreciation and site closure costs         $ 6  
Payments for restructuring     $ 43      
Restructuring charges $ 2 $ 10 $ 22 $ 65    
Restructuring incurred cost statement of income or comprehensive income extensible enumeration not disclosed flag     employee severance and other exit costs      
Payment term (in months)     12 months      
2024 Transformation Initiative            
Restructuring Cost and Reserve [Line Items]            
Restructuring charges     $ 10      
Minimum | Forecast            
Restructuring Cost and Reserve [Line Items]            
Payments for restructuring           $ 105
Minimum | Capital Expenditures | Forecast            
Restructuring Cost and Reserve [Line Items]            
Payments for restructuring           30
Maximum | Forecast            
Restructuring Cost and Reserve [Line Items]            
Payments for restructuring           115
Maximum | Capital Expenditures | Forecast            
Restructuring Cost and Reserve [Line Items]            
Payments for restructuring           $ 40
v3.25.3
RESTRUCTURING - Schedule of Restructuring and Related Costs (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Restructuring Reserve [Roll Forward]        
Beginning balance     $ 49  
Expenses, net of changes to estimates $ 2 $ 10 22 $ 65
Payments made     (43)  
Foreign currency translation     4  
Ending balance $ 32   $ 32  
v3.25.3
COMMITMENTS AND CONTINGENCIES (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]          
Maximum exposure $ 24   $ 24   $ 23
Current carrying value 0   0   0
Operational matter 0 $ 0 0 $ 0  
Insurance receivable 28   28   29
Loss recorded as a liability $ 25   $ 25   $ 27
v3.25.3
LONG-TERM EMPLOYEE BENEFITS (Details) - Pension Plan - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Net periodic benefit cost:        
Service cost $ 2 $ 1 $ 5 $ 5
Interest cost 5 6 14 15
Expected return on plan assets (3) (3) (8) (9)
Amortization of actuarial loss, net 1 0 3 2
Net periodic benefit cost $ 5 $ 4 $ 14 $ 13
v3.25.3
STOCK-BASED COMPENSATION - Additional Information (Details) - USD ($)
$ / shares in Units, $ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock-based compensation expense $ 6 $ 7 $ 19 $ 21
Stock based compensation tax benefit $ 1 $ 1 $ 2 $ 2
Granted (in shares)     0  
Exercisable, awards (in shares) 200,000   200,000  
Average exercise price (in dollars per share) $ 28.06   $ 28.06  
Weighted average remaining contractual term     2 years 3 months 18 days  
Vested and expected to vest, aggregate intrinsic value $ 0   $ 0  
Proceeds from stock options exercised 1   1  
Tax benefits on exercises 0   0  
Restricted Stock Units (RSUs)        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Tax benefit realized on the vesting of restricted stock     0  
Compensation not yet recognized, share-based awards other than options 15   $ 15  
Period for recognition of compensation not yet recognized     1 year 4 months 24 days  
Performance Shares        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Compensation not yet recognized, share-based awards other than options $ 17   $ 17  
Period for recognition of compensation not yet recognized     1 year 9 months 18 days  
Performance Shares | Minimum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Percent of vested shares granted     0.00%  
Performance Shares | Maximum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Percent of vested shares granted     200.00%  
v3.25.3
STOCK-BASED COMPENSATION - Schedule of Restricted Stock Units (Details) - Restricted Stock Units (RSUs)
shares in Millions
9 Months Ended
Sep. 30, 2025
$ / shares
shares
Units (in millions)  
Beginning balance (in shares) | shares 1.0
Granted (in shares) | shares 0.5
Vested (in shares) | shares (0.5)
Forfeited (in shares) | shares (0.1)
Ending balance (in shares) | shares 0.9
Weighted Average Fair Value  
Beginning balance (in dollars per share) | $ / shares $ 31.43
Granted (in dollars per share) | $ / shares 34.34
Vested (in dollars per share) | $ / shares 30.54
Forfeited (in dollars per share) | $ / shares 32.89
Ending balance (in dollars per share) | $ / shares $ 33.24
v3.25.3
STOCK-BASED COMPENSATION - Schedule of Performance Shares Award Outstanding Activity (Details) - Performance Shares
shares in Millions
9 Months Ended
Sep. 30, 2025
$ / shares
shares
Units (in millions)  
Beginning balance (in shares) | shares 0.9
Granted (in shares) | shares 0.3
Vested (in shares) | shares 0.0
Forfeited (in shares) | shares (0.2)
Ending balance (in shares) | shares 1.0
Weighted Average Fair Value  
Beginning balance (in dollars per share) | $ / shares $ 35.84
Granted (in dollars per share) | $ / shares 39.70
Vested (in dollars per share) | $ / shares 30.63
Forfeited (in dollars per share) | $ / shares 33.28
Ending balance (in dollars per share) | $ / shares $ 37.94
v3.25.3
OTHER EXPENSE (INCOME), NET - Schedule of Other (Income) Expense, Net (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Other Income and Expenses [Abstract]        
Foreign exchange losses, net $ 4 $ 0 $ 11 $ 8
Debt extinguishment and refinancing-related costs 0 0 0 3
Other miscellaneous (income) expense, net 0 (3) 1 (7)
Total $ 4 $ (3) $ 12 $ 4
v3.25.3
INCOME TAXES (Details)
9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Income Tax Disclosure [Abstract]    
Effective Tax Rate 25.30% 28.90%
v3.25.3
NET INCOME PER COMMON SHARE - Schedule of Basic and Diluted Net Income Per Common Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Earnings Per Share [Abstract]        
Net income to common shareholders $ 110 $ 101 $ 318 $ 254
Basic weighted average shares outstanding (in shares) 215.0 218.9 216.9 219.8
Diluted weighted average shares outstanding (in shares) 215.9 219.9 217.9 220.8
Net income per common share        
Basic net income per share (in dollars per share) $ 0.51 $ 0.46 $ 1.47 $ 1.15
Diluted net income per share (in dollars per share) $ 0.51 $ 0.46 $ 1.46 $ 1.15
v3.25.3
NET INCOME PER COMMON SHARE - Additional Information (Details) - shares
shares in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Earnings Per Share [Abstract]        
Antidilutive securities excluded from computation of earnings per share (in shares) 0.3 0.2 0.2 0.1
v3.25.3
ACCOUNTS AND NOTES RECEIVABLE, NET - Schedule of Accounts, Notes, Loans, and Financing Receivable (Details) - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
Receivables [Abstract]    
Accounts receivable - trade, net $ 1,116 $ 1,015
Notes receivable 83 92
Other 154 141
Total 1,353 1,248
Allowance for doubtful accounts 30 25
Insurance receivable $ 28 $ 29
v3.25.3
ACCOUNTS AND NOTES RECEIVABLE, NET - Additional Information (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Receivables [Abstract]        
Bad debt expense (benefit) net of recoveries $ 3 $ 2 $ 9 $ 6
v3.25.3
INVENTORIES - Schedule of Inventory (Details) - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
Inventory Disclosure [Abstract]    
Finished products $ 467 $ 391
Semi-finished products 130 124
Raw materials 196 189
Stores and supplies 36 30
Total $ 829 $ 734
v3.25.3
INVENTORIES - Additional Information (Details) - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
Inventory Disclosure [Abstract]    
Inventory reserves $ 22 $ 17
v3.25.3
PROPERTY, PLANT AND EQUIPMENT, NET - Schedule of Property, Plant and Equipment (Details) - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
Property, Plant and Equipment [Abstract]    
Property, plant and equipment $ 2,692 $ 2,454
Accumulated depreciation (1,413) (1,273)
Property, plant and equipment, net $ 1,279 $ 1,181
v3.25.3
PROPERTY, PLANT AND EQUIPMENT, NET - Additional Information (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Property, Plant and Equipment [Abstract]        
Depreciation expense $ 33 $ 32 $ 97 $ 94
v3.25.3
SUPPLIER FINANCE PROGRAMS (Details) - USD ($)
$ in Millions
9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Supplier Finance Program [Line Items]      
Short-term borrowings $ 3   $ 3
Cash outflows 0 $ 5  
SCF Program      
Supplier Finance Program [Line Items]      
Supplier finance program, obligation 32   22
VCA Program      
Supplier Finance Program [Line Items]      
Supplier finance program, obligation $ 7   $ 6
Supplier financing program obligation, payment term (in days) 25 days    
Supplier Financing Arrangements      
Supplier Finance Program [Line Items]      
Debt term (in days) 90 days    
Short-term borrowings $ 0    
Cash outflows $ 0 $ 4  
v3.25.3
BORROWINGS - Schedule of Debt (Details) - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
Debt Instrument [Line Items]    
Short-term and other borrowings $ 52 $ 54
Unamortized original issue discount (11) (13)
Unamortized deferred financing costs (18) (22)
Total borrowings, net 3,402 3,421
Short-term borrowings 3 3
Current portion of long-term borrowings 17 17
Long-term debt 3,382 3,401
2029 Dollar Term Loans    
Debt Instrument [Line Items]    
Term loan 1,679 1,702
2027 Dollar Senior Notes    
Debt Instrument [Line Items]    
Senior notes 500 500
2029 Dollar Senior Notes    
Debt Instrument [Line Items]    
Senior notes 700 700
2031 Dollar Senior Notes    
Debt Instrument [Line Items]    
Senior notes $ 500 $ 500
v3.25.3
BORROWINGS - Additional Information (Details) - USD ($)
3 Months Ended
Sep. 30, 2025
Dec. 31, 2024
Debt Instrument [Line Items]    
Loss on extinguishment of debt $ 0  
2029 Dollar Term Loans    
Debt Instrument [Line Items]    
Outstanding principal amount prepaid 10,000,000  
Revolving Credit Facility    
Debt Instrument [Line Items]    
Letters of credit outstanding, amount 28,000,000 $ 22,000,000
Line of credit facility, remaining borrowing capacity 772,000,000 778,000,000
Revolving Credit Facility | Customer Obligation Guarantees    
Debt Instrument [Line Items]    
Letters of credit outstanding, amount $ 14,000,000 $ 14,000,000
v3.25.3
BORROWINGS - Schedule of Maturities of Long-term Debt (Details) - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
Debt Disclosure [Abstract]    
Remainder of 2025 $ 5  
2026 21  
2027 521  
2028 21  
2029 2,329  
Thereafter 534  
Total borrowings 3,431  
Unamortized original issue discount (11) $ (13)
Unamortized deferred financing costs (18) (22)
Total borrowings, net $ 3,402 $ 3,421
v3.25.3
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Schedule of Fair Value of Financial Instruments (Details) - Fair Value, Recurring - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
2029 Dollar Term Loans    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Loans payable $ 1,690.0 $ 1,709.0
2027 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 499.0 490.0
2029 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 664.0 637.0
2031 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 524.0 519.0
Other assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investments in equity securities 1.0 1.0
Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 2.0 2.0
Interest rate swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 1.0 0.0
Interest rate swaps | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0.0 1.0
Interest rate swaps | Other liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 1.0 0.0
Cross-currency swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 103.0 0.0
Cross-currency swaps | Prepaid Expenses and Other Current Assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 9.0 12.0
Cross-currency swaps | Other assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0.0 5.0
Level 1 | 2029 Dollar Term Loans    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Loans payable 0.0 0.0
Level 1 | 2027 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0.0 0.0
Level 1 | 2029 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0.0 0.0
Level 1 | 2031 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0.0 0.0
Level 1 | Other assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investments in equity securities 1.0 1.0
Level 1 | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 0.0 0.0
Level 1 | Interest rate swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0.0 0.0
Level 1 | Interest rate swaps | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0.0 0.0
Level 1 | Interest rate swaps | Other liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0.0 0.0
Level 1 | Cross-currency swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0.0 0.0
Level 1 | Cross-currency swaps | Prepaid Expenses and Other Current Assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0.0 0.0
Level 1 | Cross-currency swaps | Other assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0.0 0.0
Level 2 | 2029 Dollar Term Loans    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Loans payable 1,690.0 1,709.0
Level 2 | 2027 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 499.0 490.0
Level 2 | 2029 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 664.0 637.0
Level 2 | 2031 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 524.0 519.0
Level 2 | Other assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investments in equity securities 0.0 0.0
Level 2 | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 0.0 0.0
Level 2 | Interest rate swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 1.0 0.0
Level 2 | Interest rate swaps | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0.0 1.0
Level 2 | Interest rate swaps | Other liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 1.0 0.0
Level 2 | Cross-currency swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 103.0 0.0
Level 2 | Cross-currency swaps | Prepaid Expenses and Other Current Assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 9.0 12.0
Level 2 | Cross-currency swaps | Other assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0.0 5.0
Level 3 | 2029 Dollar Term Loans    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Loans payable 0.0 0.0
Level 3 | 2027 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0.0 0.0
Level 3 | 2029 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0.0 0.0
Level 3 | 2031 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0.0 0.0
Level 3 | Other assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investments in equity securities 0.0 0.0
Level 3 | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 2.0 2.0
Level 3 | Interest rate swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0.0 0.0
Level 3 | Interest rate swaps | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0.0 0.0
Level 3 | Interest rate swaps | Other liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0.0 0.0
Level 3 | Cross-currency swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0.0 0.0
Level 3 | Cross-currency swaps | Prepaid Expenses and Other Current Assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0.0 0.0
Level 3 | Cross-currency swaps | Other assets | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset $ 0.0 $ 0.0
v3.25.3
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Schedule of Liability Activity (Details)
$ in Millions
9 Months Ended
Sep. 30, 2025
USD ($)
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]  
Beginning balance $ 2
Business acquisition 1
Payments (1)
Ending balance $ 2
v3.25.3
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Interest Rate Swaps Designated as Cash Flow Hedges (Details) - Designated as Hedging Instrument
€ in Millions, $ in Millions
9 Months Ended
Sep. 30, 2025
USD ($)
Sep. 30, 2025
EUR (€)
Initial Effective Date On March 27, 2024    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional amount $ 150  
Initial Effective Date On March 27, 2024 | Long    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate pay 4.692% 4.692%
Initial Effective Date On March 27, 2024 | Short    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate receive 3-month SOFR  
Initial Effective Date On September 25 2025    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional amount $ 175  
Initial Effective Date On September 25 2025 | Long    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional amount | €   € 166
Interest rate pay 3.303% 3.303%
Initial Effective Date On September 25 2025 | Short    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional amount $ 175  
Interest rate receive 3-month SOFR  
v3.25.3
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Cross-Currency Swaps Designated as Net Investment Hedges (Details) - Designated as Hedging Instrument
€ in Millions, $ in Millions
Sep. 30, 2025
USD ($)
Sep. 30, 2025
EUR (€)
Initial Effective Date On March 31, 2023 | Short    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional amount $ 150  
Initial Effective Date On March 31, 2023 | Long    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional amount | €   € 142
Initial Effective Date On September 25 2025    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional amount 175  
Initial Effective Date On September 25 2025 | Short    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional amount $ 175  
Initial Effective Date On September 25 2025 | Long    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional amount | €   € 166
Interest rate pay 3.303% 3.303%
USD To Euro Currency Swap, Initial Effective Date On March 31 2023 | Short    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate pay 6.692% 6.692%
USD To Euro Currency Swap, Initial Effective Date On March 31 2023 | Long    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate pay 4.899% 4.899%
USD To Euro Currency Swap, Initial Effective Date On September 25 2025 | Short    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate pay 5.053% 5.053%
USD To Euro Currency Swap, Initial Effective Date On September 25 2025 | Long    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Interest rate pay 3.295% 3.295%
v3.25.3
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Schedule of Derivative Locations and Amounts Recognized (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]        
Net Amount of (Gain) Loss Recognized in OCI on Derivatives $ (1) $ 2 $ (1) $ 2
Interest rate swaps        
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]        
Net Amount of (Gain) Loss Recognized in OCI on Derivatives (1) 3 (1) 2
Cross-currency swaps        
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]        
Net Amount of (Gain) Loss Recognized in OCI on Derivatives (3) 34 102 (14)
Interest expense, net | Interest rate swaps        
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]        
Amount of Gain Recognized in Income 0 0 0 0
Interest expense, net | Cross-currency swaps        
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]        
Amount of Gain Recognized in Income $ (4) $ (3) $ (13) $ (11)
v3.25.3
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Additional Information (Details)
$ in Millions
9 Months Ended
Sep. 30, 2025
USD ($)
Fair Value Disclosures [Abstract]  
Cash flow hedge gain (loss) $ 1.0
v3.25.3
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Schedule of Instruments Not Designated as Hedge (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Foreign currency forward contracts | Interest expense, net        
Derivative [Line Items]        
Derivatives not designated as hedging $ 2 $ 0 $ (20) $ (4)
v3.25.3
SEGMENTS - Additional Information (Details)
9 Months Ended
Sep. 30, 2025
segment
Segment Reporting [Abstract]  
Number of operating segments 2
Number of reportable segments 2
v3.25.3
SEGMENTS - Schedule of Segment Reporting Information, by Segment (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Segment Reporting Information [Line Items]          
Net sales $ 1,288 $ 1,320 $ 3,855 $ 3,965  
Segment Adjusted EBITDA 294 291 856 841  
Investment in unconsolidated affiliates 12   12   $ 11
Intercompany sales between segments 0 0 0 0  
Performance Coatings          
Segment Reporting Information [Line Items]          
Net sales 828 877 2,486 2,612  
Segment Adjusted EBITDA 211 221 608 640  
Investment in unconsolidated affiliates 2   2   2
Mobility Coatings          
Segment Reporting Information [Line Items]          
Net sales 460 443 1,369 1,353  
Segment Adjusted EBITDA 83 70 248 201  
Investment in unconsolidated affiliates 10   10   $ 9
Refinish | Performance Coatings          
Segment Reporting Information [Line Items]          
Net sales 517 554 1,542 1,619  
Industrial | Performance Coatings          
Segment Reporting Information [Line Items]          
Net sales 311 323 944 993  
Light Vehicle | Mobility Coatings          
Segment Reporting Information [Line Items]          
Net sales 364 340 1,066 1,036  
Commercial Vehicle | Mobility Coatings          
Segment Reporting Information [Line Items]          
Net sales $ 96 $ 103 $ 303 $ 317  
v3.25.3
SEGMENTS - Net Sales to Segment Adjusted EBITDA (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Net sales $ 1,288 $ 1,320 $ 3,855 $ 3,965
Segment cost of goods sold 838 858 2,515 2,614
Segment Adjusted EBITDA 294 291 856 841
Operating Segments        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Net sales 1,288 1,320 3,855 3,965
Segment cost of goods sold 735 751 2,210 2,303
Other segment items 259 278 789 821
Segment Adjusted EBITDA 294 291 856 841
Performance Coatings        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Net sales 828 877 2,486 2,612
Segment Adjusted EBITDA 211 221 608 640
Performance Coatings | Operating Segments        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Net sales 828 877 2,486 2,612
Segment cost of goods sold 440 461 1,331 1,400
Other segment items 177 195 547 572
Segment Adjusted EBITDA 211 221 608 640
Mobility Coatings        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Net sales 460 443 1,369 1,353
Segment Adjusted EBITDA 83 70 248 201
Mobility Coatings | Operating Segments        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Net sales 460 443 1,369 1,353
Segment cost of goods sold 295 290 879 903
Other segment items 82 83 242 249
Segment Adjusted EBITDA $ 83 $ 70 $ 248 $ 201
v3.25.3
SEGMENTS - Schedule of Reconciliation of Operating Profit (Loss) from Segments to Consolidated (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Segment Adjusted EBITDA $ 294 $ 291 $ 856 $ 841
Interest expense, net 45 54 134 158
Depreciation and amortization 74 71 218 207
Debt extinguishment and refinancing-related costs 0 0 0 3
Termination benefits and other employee-related costs 2 11 22 67
Acquisition related costs 5 4 11 8
Site closure costs 1 0 6 1
Foreign exchange remeasurement losses 4 0 11 8
Long-term employee benefit plan adjustments 3 3 9 8
Stock-based compensation 6 7 19 21
Environmental charge 2 0 2 4
Other adjustments (3) (1) (3) (1)
Income before income taxes 155 142 427 357
Performance Coatings        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Segment Adjusted EBITDA 211 221 608 640
Mobility Coatings        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Segment Adjusted EBITDA $ 83 $ 70 $ 248 $ 201
v3.25.3
SEGMENTS - Schedule of Revenue from External Customers and Long-lived Assets, by Geographical Areas (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Revenues from External Customers and Long-Lived Assets [Line Items]          
Net sales $ 1,288 $ 1,320 $ 3,855 $ 3,965  
Long-lived assets 1,279 1,181 1,279 1,181  
North America          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Net sales 444 516 1,363 1,525  
Long-lived assets 561 539 561 539  
EMEA          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Net sales 455 430 1,370 1,351  
Long-lived assets 407 362 407 362  
Asia Pacific          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Net sales 223 212 657 621  
Long-lived assets 185 185 185 185  
Latin America          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Net sales 166 162 465 468  
Long-lived assets 126 $ 95 126 $ 95  
China          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Long-lived assets $ 156   $ 156   $ 156
China | Sales Revenue, Net | Geographic Concentration Risk          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Concentration risk, percentage 12.00% 11.00% 11.00% 10.00%  
Germany          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Long-lived assets $ 227   $ 227   204
Germany | Sales Revenue, Net | Geographic Concentration Risk          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Concentration risk, percentage 7.00% 7.00% 7.00% 7.00%  
Mexico          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Long-lived assets $ 85   $ 85   63
Mexico | Sales Revenue, Net | Geographic Concentration Risk          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Concentration risk, percentage 6.00% 7.00% 6.00% 7.00%  
Canada          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Long-lived assets $ 6   $ 6   $ 6
Canada | Sales Revenue, Net | Geographic Concentration Risk          
Revenues from External Customers and Long-Lived Assets [Line Items]          
Concentration risk, percentage 3.00% 3.00% 3.00% 3.00%  
v3.25.3
ACCUMULATED OTHER COMPREHENSIVE LOSS - Schedule of Accumulated Other Comprehensive Income (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2025
Jun. 30, 2025
Mar. 31, 2025
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Sep. 30, 2025
Sep. 30, 2024
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]                
Beginning balance $ 2,311 $ 2,122 $ 1,956 $ 1,818 $ 1,775 $ 1,773 $ 1,956 $ 1,773
Other comprehensive income, net of tax 0     76     200 3
Ending balance 2,325 2,311 2,122 1,951 1,818 1,775 2,325 1,951
Accumulated Other Comprehensive Loss                
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]                
Beginning balance (383) (520) (582) (517) (488) (444) (582) (444)
Current year deferrals to AOCI 3 140 66 78 (26) (41)    
Reclassifications from AOCI to Net income (4) (3) (4) (3) (3) (3)    
Other comprehensive income, net of tax (1) 137 62 75 (29) (44)    
Ending balance (384) (383) (520) (442) (517) (488) (384) (442)
Unrealized Currency Translation Adjustments                
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]                
Beginning balance (320) (456) (517) (449) (419) (374) (517) (374)
Current year deferrals to AOCI 2 140 66 80 (26) (41)    
Reclassifications from AOCI to Net income (4) (4) (5) (3) (4) (4)    
Other comprehensive income, net of tax (2) 136 61 77 (30) (45)    
Ending balance (322) (320) (456) (372) (449) (419) (322) (372)
Pension Plan Adjustments                
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]                
Beginning balance (62) (63) (64) (68) (69) (70) (64) (70)
Current year deferrals to AOCI 0 0 0 0 0 0    
Reclassifications from AOCI to Net income 0 1 1 0 1 1    
Other comprehensive income, net of tax 0 1 1 0 1 1    
Ending balance (62) (62) (63) (68) (68) (69) (62) (68)
Unrealized (Loss) Gain on Derivatives                
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]                
Beginning balance (1) (1) (1) 0 0 0 (1) 0
Current year deferrals to AOCI 1 0 0 (2) 0 0    
Reclassifications from AOCI to Net income 0 0 0 0 0 0    
Other comprehensive income, net of tax 1 0 0 (2) 0 0    
Ending balance $ 0 $ (1) $ (1) $ (2) $ 0 $ 0 $ 0 $ (2)
v3.25.3
ACCUMULATED OTHER COMPREHENSIVE LOSS - Additional Information (Details) - USD ($)
$ in Millions
Sep. 30, 2025
Sep. 30, 2024
Equity [Abstract]    
Cumulative income tax expense (benefit) on foreign exchange adjustments $ (7) $ 3
Cumulative income tax benefit on pension and postretirement benefit plans 26 29
Cumulative income tax expense on derivatives $ 0 $ 0