STOCKHOLDERS' EQUITY

6 Months Ended

Jun. 30, 2022

Stockholders' Equity Note [Abstract]

STOCKHOLDERS’ EQUITY

Changes in Accumulated Other Comprehensive Income (Loss)

The table below presents changes in AOCI by component for the three and six months ended June 30, 2022 and 2021. All amounts are net of tax (in millions).


	Three Months Ended June 30, 2022										Three Months Ended June 30, 2021
	CTA		Derivative Hedging Adj.		Debt & Equity Securities Adj.		Pension Liability Adj.		Total		CTA		Derivative Hedging Adj.		Debt & Equity Securities Adj.		Pension Liability Adj.		Total
Beginning balance	$	(206.9)	$	3.0	$	(1.7)	$	(42.9)	$	(248.5)	$	(165.4)	$	7.8	$	0.1	$	(58.0)	$	(215.5)
Other comprehensive income (loss) before reclassifications	(72.0)		(0.3)		(1.2)		2.7		(70.8)		8.8		7.1		0.5		(0.2)		16.2
Amounts reclassified from AOCI	—		(1.9)		—		0.3		(1.6)		—		(1.2)		—		0.5		(0.7)
Net other comprehensive income (loss)	(72.0)		(2.2)		(1.2)		3.0		(72.4)		8.8		5.9		0.5		0.3		15.5
Ending balance	$	(278.9)	$	0.8	$	(2.9)	$	(39.9)	$	(320.9)	$	(156.6)	$	13.7	$	0.6	$	(57.7)	$	(200.0)


	Six Months Ended June 30, 2022										Six Months Ended June 30, 2021
	CTA		Derivative Hedging Adj.		Debt & Equity Securities Adj.		Pension Liability Adj.		Total		CTA		Derivative Hedging Adj.		Debt & Equity Securities Adj.		Pension Liability Adj.		Total
Beginning balance	$	(188.0)	$	4.0	$	—	$	(44.5)	$	(228.5)	$	(145.2)	$	(6.0)	$	1.2	$	(58.4)	$	(208.4)
Other comprehensive income (loss) before reclassifications	(90.5)		2.6		(2.9)		3.9		(86.9)		(11.4)		20.5		(0.6)		(0.4)		8.1
Amounts reclassified from AOCI	(0.4)		(5.8)		—		0.7		(5.5)		—		(0.8)		—		1.1		0.3
Net other comprehensive income (loss)	(90.9)		(3.2)		(2.9)		4.6		(92.4)		(11.4)		19.7		(0.6)		0.7		8.4
Ending balance	$	(278.9)	$	0.8	$	(2.9)	$	(39.9)	$	(320.9)	$	(156.6)	$	13.7	$	0.6	$	(57.7)	$	(200.0)

Stock-Based Compensation

During the six months ended June 30, 2022, the Company awarded 0.7 million shares of Restricted Stock Awards to its employees with a weighted average grant date fair value of $40.45 per share. Approximately 58% of these awards are time-based and vest ratably on each of the first three anniversary dates of the grants. Approximately 28% cliff vest at the end of a three-year period and are subject to performance targets that may or may not be met and for which the performance period has not yet been completed. Approximately 14% cliff vest and are based on performance targets containing a market condition determined over a three-year period.

Fair value of Restricted Stock Awards is based on the market price at the date of grant approval except for awards based on a market condition. The Company used the Monte Carlo method to determine grant date fair value of $44.25 per share for awards with a market condition granted on March 17, 2022. The Monte Carlo method is a statistical simulation technique used to provide the grant date fair value of an award.

The following table presents the weighted-average assumptions used in the valuation:


	Grant date
	March 17, 2022
Dividend yields	1.31	%
Expected volatility	54.25	%
Risk free interest rate	2.09	%
Expected life (in years)	3

Share Repurchases

In July 2018, Terex’s Board of Directors authorized the repurchase up to $300 million of the Company’s outstanding shares of common stock. The table below presents shares repurchased, inclusive of transactions executed but not settled, by the Company under this program.


Six Months Ended June 30	Total Number of Shares Repurchased	Amount of Shares Repurchased (in millions)
2022	2,298,050	$79.5
2021	—	$—

Dividends

The table below presents dividends declared by Terex’s Board of Directors and paid to the Company’s shareholders:


Year	First Quarter		Second Quarter
2022	$	0.13	$	0.13
2021	$	0.12	$	0.12

In July 2022, Terex’s Board of Directors declared a dividend of $0.13 per share, which will be paid on September 19, 2022 to the Company’s shareholders of record as of August 12, 2022.