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Derivative Instruments and Hedging Activities | 6 Months Ended
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Jun. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Derivative Instruments and Hedging Activities | DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES Derivative instruments we are party to include: (i) interest rate swap agreements (which are designated as cash flow hedges) and (ii) cross-currency swap agreements (which are designated as net investment hedges). INTEREST RATE SWAP AGREEMENTS DESIGNATED AS CASH FLOW HEDGES In March 2018, we entered into interest rate swap agreements to limit our exposure to changes in interest rates on a portion of our floating rate indebtedness. These swap agreements expired in March 2022. In July 2019, we entered into forward-starting interest rate swap agreements to limit our exposure to changes in interest rates on a portion of our floating rate indebtedness. As of June 30, 2022, we had $350,000 in notional value of interest rate swap agreements outstanding, which expire in March 2024. Under the interest rate swap agreements, we receive variable rate interest payments associated with the notional amount of each interest rate swap, based upon one-month LIBOR, in exchange for the payment of fixed interest rates as specified in the interest rate swap agreements. We have designated these interest rate swap agreements as cash flow hedges. Unrealized gains are recognized as assets, while unrealized losses are recognized as liabilities. CROSS-CURRENCY SWAP AGREEMENTS DESIGNATED AS A HEDGE OF NET INVESTMENT In August 2019, we entered into cross-currency swap agreements to hedge the variability of exchange rate impacts between the United States dollar and the Euro. Under the terms of the cross-currency swap agreements, we notionally exchanged approximately $110,000 at an interest rate of 6.0% for approximately 99,055 Euros at a weighted average interest rate of approximately 3.65%. These cross-currency swap agreements expire in August 2023 ("August 2023 Cross-Currency Swap Agreements"). In September 2020, we entered into cross-currency swap agreements to hedge the variability of exchange rate impacts between the United States dollar and the Euro. Under the terms of the cross-currency swap agreements, we notionally exchanged approximately $359,200 at an interest rate of 4.5% for 300,000 Euros at a weighted average interest rate of approximately 3.4%. These cross-currency swap agreements were set to expire in February 2026. In May 2022, these cross-currency swaps were amended ("February 2026 Cross-Currency Swap Agreements"). Under the terms of the February 2026 Cross-Currency Swap Agreements, we notionally exchanged approximately $359,200 at an interest rate of 4.5% for approximately 340,500 Euros at a weighted average interest rate of approximately 1.2%. These February 2026 Cross-Currency Swap Agreements are set to expire in February 2026. We have designated these cross-currency swap agreements as a hedge of net investment against certain of our Euro denominated subsidiaries and they require an exchange of the notional amounts at maturity. These cross-currency swap agreements are marked to market at each reporting period, representing the fair values of the cross-currency swap agreements, and any changes in fair value are recognized as a component of Accumulated other comprehensive items, net. Unrealized gains are recognized as assets while unrealized losses are recognized as liabilities. Assets (liabilities) recognized in our Condensed Consolidated Balance Sheets at June 30, 2022 and December 31, 2021, by derivative instrument, are as follows:
DERIVATIVE INSTRUMENTS(1) |  | JUNE 30, 2022 |  | DECEMBER 31, 2021
Cash Flow Hedges(2) |  |  |  |
Interest Rate Swap Agreements |  | $ | 7,722 |  |  | $ | (7,680) |
Net Investment Hedges(3) |  |  |  |
August 2023 Cross-Currency Swap Agreements |  | 6,167 |  |  | (664) |
February 2026 Cross-Currency Swap Agreements |  | 39,765 |  |  | 11,021 |
(1)Our derivative assets are included as a component of Other within Other assets, net in our Condensed Consolidated Balance Sheets and our derivative liabilities are included as a component of (i) Accrued expenses and other current liabilities or (ii) Other long-term liabilities in our Condensed Consolidated Balance Sheets. As of June 30, 2022, $53,654 is included within Other assets. As of December 31, 2021, $11,021 is included within Other assets, $2,082 is included within Accrued expense and other current liabilities and $6,262 is included within Other long-term liabilities. (2)As of June 30, 2022, cumulative net gains of $7,722 are recorded within Accumulated other comprehensive items, net associated with these interest rate swap agreements. (3)As of June 30, 2022, cumulative net gains of $45,932 are recorded within Accumulated other comprehensive items, net associated with these cross-currency swap agreements. Unrealized gains (losses) recognized during the three and six months ended June 30, 2022 and 2021, by derivative instrument, are as follows:
|  | THREE MONTHS ENDED JUNE 30, |  | SIX MONTHS ENDED JUNE 30,
DERIVATIVE INSTRUMENTS(1) |  | 2022 |  | 2021 |  | 2022 |  | 2021
Cash Flow Hedges |  |  |  |  |  |  |  |
Interest Rate Swap Agreements |  | $ | 3,932 |  |  | $ | 1,795 |  |  | $ | 15,402 |  |  | $ | 5,996 |
Net Investment Hedges |  |  |  |  |  |  |  |
August 2023 Cross-Currency Swap Agreements |  | 5,948 |  |  | (1,473) |  |  | 6,831 |  |  | 3,278 |
February 2026 Cross-Currency Swap Agreements |  | 24,331 |  |  | 5,312 |  |  | 28,744 |  |  | 11,566 |
(1)These amounts are recognized as unrealized gains (losses), a component of Accumulated other comprehensive items, net.

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- Definition The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -URI https://asc.fasb.org/topic&trid=2229140 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 40 -Section 50 -Paragraph 5 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=126731327&loc=d3e90205-114008 + Details
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