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DERIVATIVES
 9 Months Ended
Sep. 30, 2025
Summary of Derivative Instruments [Abstract]  
DERIVATIVES 7. DERIVATIVES
Tredegar uses derivative financial instruments for the purpose of hedging margin exposure from fixed-price forward sales contracts in Aluminum Extrusions. These derivative financial instruments are designated as and qualify as cash flow hedges and are recognized in the condensed consolidated balance sheet at fair value. The fair value of derivative instruments recorded on the consolidated balance sheets is based upon Level 2 inputs. If individual derivative instruments with the same counterparty can be settled on a net basis, the Company records the corresponding derivative fair values as a net asset or net liability.
In the normal course of business, Aluminum Extrusions enters into fixed-price forward sales contracts with a small subset of its customers for the future sale of fixed quantities of aluminum extrusions at scheduled intervals. In order to hedge margin exposure created from the fixing of future sales prices relative to volatile raw material (aluminum) costs, Aluminum Extrusions enters into a combination of forward purchase commitments and futures contracts to acquire or hedge aluminum, based on the scheduled purchases for the firm sales commitments. The fixed-price firm sales commitments and related hedging instruments
have durations generally no longer than 12 months. The notional amount of aluminum futures contracts that hedged future purchases of aluminum to meet fixed-price forward sales contract obligations was $6.0 million (3.7 million pounds of aluminum) at September 30, 2025 and $4.3 million (3.1 million pounds of aluminum) at December 31, 2024.
The table below summarizes the location and gross amounts of aluminum futures contract fair values (Level 2) in the condensed consolidated balance sheets as of September 30, 2025 and December 31, 2024:
 September 30, 2025December 31, 2024
(In thousands)Balance Sheet
Account		Fair
Value		Balance Sheet
Account		Fair
Value
Derivatives Designated as Hedging Instruments
Asset derivatives:
Aluminum futures contracts
Prepaid expenses and other$1,051 Prepaid expenses and other$172 
Asset derivatives:
Aluminum futures contracts
Other assets33 Other assets— 
Liability derivatives:
Aluminum futures contracts
Accrued expenses(10)Accrued expenses(57)
Net asset (liability)$1,074 $115 
In the event that a counterparty to an aluminum fixed-price forward sales contract chooses not to take delivery of its aluminum extrusions, the customer is contractually obligated to compensate Aluminum Extrusions for any losses on the related aluminum futures and/or forward contracts through the date of cancellation.
The pre-tax effect on net income (loss) and other comprehensive income (loss) of derivative instruments classified as cash flow hedges and described in the previous paragraphs for the three and nine month periods ended September 30, 2025 and 2024 is summarized in the table below:
Cash Flow Derivative Hedges
 Three Months Ended September 30,
 Aluminum Futures Contracts
(In thousands)20252024
Amount of pre-tax gain (loss) recognized in other comprehensive income (loss)$829 $10 
Location of gain (loss) reclassified from accumulated other comprehensive income (loss) into net income (effective portion)Cost of goods soldCost of goods sold
Amount of pre-tax gain (loss) reclassified from accumulated other comprehensive income (loss) to net income (effective portion)$612 $(153)
 Nine Months Ended September 30,
 Aluminum Futures Contracts
 20252024
Amount of pre-tax gain (loss) recognized in other comprehensive income (loss)$1,540 $56 
Location of gain (loss) reclassified from accumulated other comprehensive income (loss) into net income (effective portion)Cost of goods soldCost of goods sold
Amount of pre-tax gain (loss) reclassified from accumulated other comprehensive income (loss) to net income (effective portion)$581 $(662)
As of September 30, 2025, the Company expects $0.8 million of unrealized after-tax gains on aluminum derivative instruments reported in accumulated other comprehensive income (loss) to be reclassified to earnings within the next 12 months. For the three and nine month periods ended September 30, 2025 and 2024, net gains or losses realized, from previously unrealized net gains or losses on hedges that had been discontinued, were not material.