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Derivatives
 6 Months Ended
Jun. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivatives Derivatives
In January 2023, the Company entered into two interest rate swap agreements with financial counterparties relating to $750.0 million in aggregate notional amount of variable-rate debt under the ABL Facility. Under the terms of the agreements, the Company receives a floating rate equal to one-month term SOFR and makes payments based on a fixed interest rate of 3.44% on the notional amount. In January 2024, the Company entered into two interest rate swap agreements with financial counterparties relating to $500.0 million in aggregate notional amount of variable-rate debt under the ABL Facility. Under the terms of the agreements, the Company receives a floating rate equal to one-month term SOFR and makes payments based on a fixed interest rate of 3.70% on the notional amount.
The swap agreements were designated and qualified as hedges of the Company's exposure to changes in interest payment cash flows created by fluctuations in variable interest rates on the ABL Facility. The swap agreements terminate on June 30, 2027. At June 30, 2025, the floating rate that the Company received under the terms of these swap agreements was 4.32% for the swap agreements entered in January 2023 and 4.31% for the swap agreements entered in January 2024.
The location and the fair value of derivative instruments designated as hedges were as follows:
(in thousands)Balance Sheet LocationJune 30, 2025December 31, 2024
Cash Flow Hedges:
Interest rate swapsPrepaid expenses and other current assets$3,408 $6,990 
Interest rate swapsOther non-current assets$— $6,666 
Interest rate swapsOther non-current liabilities$(5,846)$— 
The fair value of the interest rate swaps was based on dealer quotes of market forward rates, a Level 2 input on the fair value hierarchy (see Note 11), and reflected the amount that the Company would receive or pay for contracts involving the same attributes and maturity dates.
The following table discloses the impact of the interest rate swaps, excluding the impact of income taxes, on other comprehensive income (“OCI”), AOCI and the Company’s condensed consolidated statements of operations for the six months ended June 30, 2025 and 2024:
Six Months Ended June 30,
(in thousands)20252024
(Loss) gain recognized in OCI$(11,170)$31,104 
Location of gain recognized in incomeInterest expense, netInterest expense, net
Gain reclassified from AOCI into income$(4,884)$(10,890)