Koppers Holdings Reports Exit/Disposal Activities

TL;DR

Koppers is exiting/disposing of something, check the exhibits for the financial hit.

AI Summary

Koppers Holdings Inc. filed an 8-K on December 5, 2024, to report on cost-associated exit or disposal activities. The filing also includes financial statements and exhibits related to these activities. Specific details regarding the nature, costs, and financial impact of these exit or disposal activities are provided within the accompanying documents.

Why It Matters

This filing indicates Koppers is undergoing restructuring or divesting certain operations, which could impact future profitability and strategic direction.

Risk Assessment

Risk Level: medium — Disposal activities can signal financial distress or strategic shifts that may carry inherent risks.

Key Players & Entities

• Koppers Holdings Inc. (company) — Registrant
• Pennsylvania (location) — State of Incorporation
• 436 Seventh Avenue, Pittsburgh, Pennsylvania 15219 (location) — Principal Executive Offices Address

FAQ

Key Financial Figures

• $51 — esult in pre-tax charges to earnings of $51 to $55 million through the end of 2026,
• $55 million — n pre-tax charges to earnings of $51 to $55 million through the end of 2026, approximately
• $28 million — through the end of 2026, approximately $28 million of which constitutes non-cash charges a
• $23 — utes non-cash charges and approximately $23 to $27 million of which constitutes cas
• $27 million — n-cash charges and approximately $23 to $27 million of which constitutes cash expenditures.
• $1 m — on and severance costs of approximately $1 million, (ii) accelerated depreciation an
• $28 m — asset write-down costs of approximately $28 million, and (iii) plant cleaning, waste
• $22 million — l and demolition costs of approximately $22 million to $26 million. In connection with th
• $26 million — n costs of approximately $22 million to $26 million. In connection with the foregoing, th

Filing Documents

• kop-20241205.htm (8-K) — 44KB
• kop-ex99_1.htm (EX-99.1) — 24KB
• img180885081_0.jpg (GRAPHIC) — 16KB
• 0000950170-24-133737.txt ( ) — 209KB
• kop-20241205.xsd (EX-101.SCH) — 24KB
• kop-20241205_htm.xml (XML) — 5KB

05 Costs Associated with Exit or Disposal Activities

Item 2.05 Costs Associated with Exit or Disposal Activities. On December 5, 2024, Koppers Inc. (the "Company"), a wholly owned subsidiary of Koppers Holdings Inc., decided to discontinue phthalic anhydride production at the Company's facility in Stickney, Illinois. The decision, affecting approximately 25 employees, was driven by significant near-term capital spending requirements that could not be economically justified by end-market projections and will substantially reduce annual emissions of certain regulated air contaminants. The Company has targeted a date of mid-2025 for shutdown and expects to ramp down production of phthalic anhydride over the next six months as it builds inventory to supply existing contracts through 2025, as necessary. The closure of the phthalic anhydride plant will not impact the Stickney facility's coal tar distillation operations. The Company expects this action to result in pre-tax charges to earnings of $51 to $55 million through the end of 2026, approximately $28 million of which constitutes non-cash charges and approximately $23 to $27 million of which constitutes cash expenditures. Estimates of the total pre-tax amount for each major type of cost associated with the discontinuation plan are: (i) retention and severance costs of approximately $1 million, (ii) accelerated depreciation and asset write-down costs of approximately $28 million, and (iii) plant cleaning, waste disposal and demolition costs of approximately $22 million to $26 million. In connection with the foregoing, the Company issued a press release on December 5, 2024, a copy of which is attached hereto as Exhibit 99.1 and incorporated herein by reference. Safe Harbor Statement The statements made in this Form 8-K regarding the amount and timing of the charge to earnings the Company expects to record, the estimates of the total costs expected for each major type of cost and the expected cash outlays constitute forward looking statements for purposes of the

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits. (d) Exhibits. 99.1 Press Release dated December 5, 2024 104 Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Dated: December 5, 2024 KOPPERS HOLDINGS INC. By: /s/ Jimmi Sue Smith Jimmi Sue Smith Chief Financial Officer

View Full Filing

View this 8-K filing on SEC EDGAR