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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON D.C. 20549
FORM 10-Q
(Mark One)  
☒
 Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
For the Quarterly Period Ended June 30, 2024
Or
☐
 Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
For the Transition Period from                  to                  .
Commission file number 001-10716
TRIMAS CORPORATION
(Exact name of registrant as specified in its charter)
Delaware38-2687639
(State or other jurisdiction of
incorporation or organization)		 (IRS Employer
Identification No.)
38505 Woodward Avenue, Suite 200
Bloomfield Hills, Michigan 48304
(Address of principal executive offices, including zip code)
(248) 631-5450
(Registrant's telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading symbol(s)Name of exchange on which registered
Common stock, $0.01 par valueTRSThe NASDAQ Stock Market LLC
Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒    No ☐.
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒    No ☐.
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large accelerated filer
☒
Accelerated filer
☐
Non-accelerated filer
☐
Smaller reporting company
☐
Emerging growth company
☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐    No ☒
As of July 23, 2024, the number of outstanding shares of the Registrant's common stock, $0.01 par value, was 40,647,264 shares.

TriMas Corporation
Index
 
   
  
   
   
  
  
  
  
 
  
 
  
  
  
  
  
  
  
 

1
Forward-Looking Statements
This report may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 about our financial condition, results of operations and business. These forward-looking statements can be identified by the use of forward-looking words, such as “may,” “could,” “should,” “estimate,” “project,” “forecast,” “intend,” “expect,” “anticipate,” “believe,” “target,” “plan” or other comparable words, or by discussions of strategy that may involve risks and uncertainties.
These forward-looking statements are subject to numerous assumptions, risks and uncertainties which could materially affect our business, financial condition or future results including, but not limited to: general economic and currency conditions; competitive factors; market demand; our ability to realize our business strategies; our ability to identify attractive acquisition candidates, successfully integrate acquired operations or realize the intended benefits of such acquisitions; pressures on our supply chain, including availability of raw materials and inflationary pressures on raw material and energy costs, and customers; the performance of our subcontractors and suppliers; risks and uncertainties associated with intangible assets, including goodwill or other intangible asset impairment charges; risks associated with a concentrated customer base; information technology and other cyber-related risks; risks related to our international operations, including, but not limited to, risks relating to tensions between the United States and China; government and regulatory actions, including, without limitation, climate change legislation and other environmental regulations, as well as the impact of tariffs, quotas and surcharges; changes to fiscal and tax policies; intellectual property factors; uncertainties associated with our ability to meet customers’ and suppliers’ sustainability and environmental, social and governance ("ESG") goals and achieve our sustainability and ESG goals in alignment with our own announced targets; litigation; contingent liabilities relating to acquisition activities; interest rate volatility; our leverage; liabilities imposed by our debt instruments; labor disputes and shortages; the disruption of operations from catastrophic or extraordinary events, including, but not limited to, natural disasters, geopolitical conflicts and public health crises; the amount and timing of future dividends and/or share repurchases, which remain subject to Board approval and depend on market and other conditions; our future prospects; our ability to successfully complete the sale of our Arrow Engine business; and other risks that are discussed in Part I, Item 1A, "Risk Factors," in our Annual Report on Form 10-K for the year ended December 31, 2023 and elsewhere in this report. The risks described in our Annual Report on Form 10-K and elsewhere in this report are not the only risks facing our Company. Additional risks and uncertainties not currently known to us or that we currently deemed to be immaterial also may materially adversely affect our business, financial position and results of operations or cash flows.
The cautionary statements set forth above should be considered in connection with any subsequent written or oral forward-looking statements that we or persons acting on our behalf may issue. We caution readers not to place undue reliance on the statements, which speak only as of the date of this report. We do not undertake any obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statement to reflect events or circumstances after the date of this report or to reflect the occurrence of unanticipated events, except as required by law.
We disclose important factors that could cause our actual results to differ materially from our expectations implied by our forward-looking statements under Part II, Item 7, "Management's Discussion and Analysis of Financial Condition and Results of Operations," in our Annual Report on Form 10-K for the year ended December 31, 2023 and elsewhere in this report. These cautionary statements qualify all forward-looking statements attributed to us or persons acting on our behalf. When we indicate that an event, condition or circumstance could or would have an adverse effect on us, we mean to include effects upon our business, financial and other conditions, results of operations, prospects and ability to service our debt.
2
PART I. FINANCIAL INFORMATION

Item 1.    Consolidated Financial Statements

TriMas Corporation
Consolidated Balance Sheet
(Dollars in thousands)
June 30,
2024		December 31,
2023
Assets(unaudited)
Current assets:
Cash and cash equivalents$35,010 $34,890 
Receivables, net of reserves of $5.0 million and $4.2 million as of June 30, 2024 and December 31, 2023, respectively
169,660 148,030 
Inventories208,620 192,450 
Prepaid expenses and other current assets25,610 22,010 
Total current assets438,900 397,380 
Property and equipment, net328,830 329,990 
Operating lease right-of-use assets39,700 43,220 
Goodwill360,370 363,770 
Other intangibles, net171,220 181,020 
Deferred income taxes10,870 10,230 
Other assets15,950 16,050 
Total assets$1,365,840 $1,341,660 
Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable$90,650 $91,910 
Accrued liabilities57,150 59,640 
Lease liabilities, current portion7,890 7,900 
Total current liabilities155,690 159,450 
Long-term debt, net427,360 395,660 
Lease liabilities36,070 39,690 
Deferred income taxes26,950 23,290 
Other long-term liabilities43,840 40,620 
Total liabilities689,910 658,710 
Preferred stock, $0.01 par: Authorized 100,000,000 shares;
Issued and outstanding: None
— — 
Common stock, $0.01 par: Authorized 400,000,000 shares;
Issued and outstanding: 40,656,370 shares at June 30, 2024 and 41,202,110 shares at December 31, 2023
410 410 
Paid-in capital665,790 677,660 
Retained earnings16,870 4,230 
Accumulated other comprehensive income (loss)(7,140)650 
Total shareholders' equity675,930 682,950 
Total liabilities and shareholders' equity$1,365,840 $1,341,660 


The accompanying notes are an integral part of these consolidated financial statements.
3
TriMas Corporation
Consolidated Statement of Income
(Unaudited—dollars in thousands, except for per share amounts)
 Three months ended
June 30,		Six months ended
June 30,
 2024202320242023
Net sales$240,500 $233,190 $467,600 $448,650 
Cost of sales(186,490)(178,660)(360,880)(346,430)
Gross profit54,010 54,530 106,720 102,220 
Selling, general and administrative expenses(36,160)(34,470)(76,430)(72,170)
Operating profit17,850 20,060 30,290 30,050 
Other expense, net:  
Interest expense(5,220)(3,970)(10,150)(7,670)
Other income (expense), net40 160 (280)90 
Other expense, net(5,180)(3,810)(10,430)(7,580)
Income before income tax expense12,670 16,250 19,860 22,470 
Income tax expense(1,730)(5,230)(3,780)(6,540)
Net income$10,940 $11,020 $16,080 $15,930 
Basic earnings per share:  
Net income per share$0.27 $0.27 $0.39 $0.38 
Weighted average common shares—basic40,699,287 41,462,452 40,858,668 41,503,039 
Diluted earnings per share:  
Net income per share$0.27 $0.26 $0.39 $0.38 
Weighted average common shares—diluted40,999,038 41,645,184 41,160,526 41,723,611 


The accompanying notes are an integral part of these consolidated financial statements.
4
TriMas Corporation
Consolidated Statement of Comprehensive Income
(Unaudited—dollars in thousands)
Three months ended
June 30,		Six months ended
June 30,
2024202320242023
Net income$10,940 $11,020 $16,080 $15,930 
Other comprehensive income (loss):
Defined benefit plans (Note 17)30 750 50 770 
Foreign currency translation(5,440)4,130 (8,950)9,420 
Derivative instruments (Note 10)520 (890)1,110 (2,750)
Total other comprehensive income (loss)(4,890)3,990 (7,790)7,440 
Total comprehensive income$6,050 $15,010 $8,290 $23,370 


The accompanying notes are an integral part of these consolidated financial statements.


5
TriMas Corporation
Consolidated Statement of Cash Flows
(Unaudited—dollars in thousands)
Six months ended June 30,
20242023
Cash Flows from Operating Activities:
Net income$16,080 $15,930 
Adjustments to reconcile net income to net cash provided by operating activities, net of acquisition impact:
Loss on dispositions of assets— 50 
Depreciation20,000 20,540 
Amortization of intangible assets8,430 9,200 
Amortization of debt issue costs480 460 
Deferred income taxes2,840 3,420 
Non-cash compensation expense6,420 6,180 
Provision for losses on accounts receivable860 — 
Increase in receivables(24,650)(20,050)
(Increase) decrease in inventories(18,310)2,500 
(Increase) decrease in prepaid expenses and other assets(400)1,210 
Decrease in accounts payable and accrued liabilities(1,210)(14,060)
Other operating activities4,130 810 
Net cash provided by operating activities, net of acquisition impact14,670 26,190 
Cash Flows from Investing Activities:
Capital expenditures(24,110)(24,930)
Acquisition of businesses, net of cash acquired— (71,840)
Cross-currency swap terminations(3,760)— 
Settlement of foreign currency exchange forward contract3,760 — 
Net proceeds from disposition of property and equipment230 250 
Net cash used for investing activities(23,880)(96,520)
Cash Flows from Financing Activities:
Proceeds from borrowings on revolving credit facilities153,530 59,410 
Repayments of borrowings on revolving credit facilities(122,230)(37,180)
Payments to purchase common stock(16,850)(13,090)
Shares surrendered upon exercise and vesting of equity awards to cover taxes(1,560)(2,590)
Dividends paid(3,320)(3,340)
Other financing activities(240)(3,070)
Net cash provided by financing activities9,330 140 
Cash and Cash Equivalents:
Increase (decrease) for the period120 (70,190)
At beginning of period34,890 112,090 
At end of period$35,010 $41,900 
Supplemental disclosure of cash flow information:
Cash paid for interest$8,940 $7,050 
Cash paid for taxes$5,470 $8,120 
        



The accompanying notes are an integral part of these consolidated financial statements.
6
TriMas Corporation
Consolidated Statement of Shareholders' Equity
Six Months Ended June 30, 2024 and 2023
(Unaudited—dollars in thousands)
Common
Stock 		Paid-in
Capital 		Retained EarningsAccumulated
Other
Comprehensive
Income (Loss)		Total
Balances, December 31, 2023$410 $677,660 $4,230 $650 $682,950 
Net income— — 5,140 — 5,140 
Other comprehensive loss— — — (2,900)(2,900)
Purchase of common stock— (13,240)(80)— (13,320)
Shares surrendered upon exercise and vesting of equity awards to cover taxes— (1,560)— — (1,560)
Non-cash compensation expense— 4,570 — — 4,570 
Dividends declared— — (1,660)— (1,660)
Balances, March 31, 2024$410 $667,430 $7,630 $(2,250)$673,220 
Net income— — 10,940 — 10,940 
Other comprehensive loss— — — (4,890)(4,890)
Purchase of common stock— (3,490)(40)— (3,530)
Non-cash compensation expense— 1,850 — — 1,850 
Dividends declared— — (1,660)— (1,660)
Balances, June 30, 2024$410 $665,790 $16,870 $(7,140)$675,930 

Common
Stock 		Paid-in
Capital 		Accumulated
Deficit 		Accumulated
Other
Comprehensive
Income (Loss)		Total
Balances, December 31, 2022$420 $696,160 $(36,130)$(8,620)$651,830 
Net income— — 4,910 — 4,910 
Other comprehensive income— — — 3,450 3,450 
Purchase of common stock— (10,400)— — (10,400)
Shares surrendered upon exercise and vesting of equity awards to cover taxes— (2,310)— — (2,310)
Non-cash compensation expense— 2,940 — — 2,940 
Dividends declared— (1,660)— — (1,660)
Balances, March 31, 2023$420 $684,730 $(31,220)$(5,170)$648,760 
Net income— — 11,020 — 11,020 
Other comprehensive income— — — 3,990 3,990 
Purchase of common stock(10)(2,680)— — (2,690)
Shares surrendered upon exercise and vesting of equity awards to cover taxes— (280)— — (280)
Non-cash compensation expense— 3,240 — — 3,240 
Dividends declared— (1,680)— — (1,680)
Balances, June 30, 2023$410 $683,330 $(20,200)$(1,180)$662,360 

The accompanying notes are an integral part of these consolidated financial statements.
7

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)

1. Basis of Presentation
TriMas Corporation ("TriMas" or the "Company"), and its consolidated subsidiaries, designs, engineers and manufactures innovative products under leading brand names for customers primarily in the consumer products, aerospace & defense, and industrial markets.
The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries and, in the opinion of management, contain all adjustments, including adjustments of a normal and recurring nature, necessary for a fair presentation of financial position and results of operations. The preparation of financial statements requires management of the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities. Actual results may differ from such estimates and assumptions due to risks and uncertainties, including uncertainty and volatility in the current economic environment due to input cost inflation, supply chain disruptions, and shortages in global markets for commodities, logistics and labor. To the extent there are differences between these estimates and actual results, the Company's consolidated financial statements may be materially affected.
Results of operations for interim periods are not necessarily indicative of results for the full year. The accompanying consolidated financial statements and notes thereto should be read in conjunction with the Company's 2023 Annual Report on Form 10-K.
2. New Accounting Pronouncements
Recently Issued Accounting Pronouncements
In December 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU 2023-09"), which requires enhanced jurisdictional disclosures for income taxes paid and requires the use of specific categories in the effective tax rate reconciliation as well as additional information for reconciling items that meet a quantitative threshold. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is in the process of assessing the impact of adoption on its consolidated financial statements.
In November 2023, the FASB issued ASU 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures" ("ASU 2023-07"), which requires disclosure of significant segment expenses and other segment items by reportable segment on an annual and interim basis, the title and position of chief operating decision maker ("CODM") and how the CODM uses reported measures in assessing segment performance, and also extends the requirement of annual disclosures currently required by Topic 280 to interim periods. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is in the process of assessing the impact of adoption on its consolidated financial statements.
3. Revenue
The following table presents the Company’s disaggregated net sales by primary market served (dollars in thousands):
Three months ended June 30,Six months ended June 30,
Customer Markets2024202320242023
Consumer Products$106,980 $96,220 $210,560 $191,510 
Aerospace & Defense77,720 59,800 145,060 109,790 
Industrial55,800 77,170 111,980 147,350 
Total net sales$240,500 $233,190 $467,600 $448,650 
The Company’s Packaging segment earns revenues from the consumer products (comprised of the beauty and personal care, food and beverage, home care, pharmaceutical, nutraceutical and medical submarkets) and industrial markets. The Aerospace segment earns revenues from the aerospace & defense market (comprised of commercial, regional and business jet, and military submarkets). The Specialty Products segment earns revenues from a variety of submarkets within the industrial market.
8

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
4. Realignment Actions
2023 Realignment Actions
During the six months ended June 30, 2023, the Company incurred realignment charges in its Packaging segment, primarily related to the closure and consolidation of two manufacturing facilities located in China into one new, larger facility in the Haining region. In connection with these actions, the Company recorded pre-tax realignment charges of $3.7 million during the three and six months ended June 30, 2023, of which $2.2 million related to charges to accelerate the depreciation of certain fixed assets, $1.3 million related to employee separation costs and $0.2 million related to other facility move and consolidation costs. For the three and six months ended June 30, 2023, $3.3 million and $0.4 million of these charges were included in cost of sales and selling, general and administrative expenses, respectively, in the accompanying consolidated statement of income.
5. Acquisitions
2023 Acquisitions
On April 21, 2023, the Company acquired Weldmac Manufacturing Company ("Weldmac") for a purchase price of $34.0 million, with additional contingent consideration ranging from zero to $10 million based on achievement of earnings targets, as defined in the purchase agreement. The fair value of assets acquired and liabilities assumed included $23.7 million of property and equipment, $20.3 million of net working capital and $10 million of contingent consideration liability, with such estimate representing the Company's best estimate of fair value of contingent consideration based on Level 3 inputs under the fair value hierarchy, as defined. Located in El Cajon, California, and reported in the Company's Aerospace segment, Weldmac is a designer and manufacturer of complex metal fabricated components and assemblies predominantly for the aerospace, defense and space launch end markets and historically generated $33 million in annual revenue. On July 10, 2023, the Company made a cash payment of $5.5 million as additional consideration for the purchase of Weldmac based on achievement of earnings targets, as defined in the purchase agreement. The remaining possible contingent consideration ranges from zero to $4.5 million, based on achievement of 2023 earnings targets, as defined in the purchase agreement. The Company expects to resolve the remaining contingent consideration matter in third quarter 2024.
On February 1, 2023, the Company acquired Aarts Packaging B.V. ("Aarts"), a luxury packaging solutions provider for beauty and lifestyle brands, as well as for customers in the food and life sciences end markets, for a purchase price of $37.8 million, net of cash acquired. The fair value of assets acquired and liabilities assumed included $20.4 million of goodwill, $10.9 million of intangible assets, $8.5 million of property and equipment, $7.4 million of net working capital, $3.9 million of net deferred tax liabilities and $5.5 million of other liabilities. Aarts, which is reported in the Company's Packaging segment, is located in Waalwijk, The Netherlands, and historically generated €23 million in annual revenue.
6. Goodwill and Other Intangible Assets
Goodwill
Changes in the carrying amount of goodwill for the six months ended June 30, 2024 are summarized as follows (dollars in thousands):
PackagingAerospaceSpecialty ProductsTotal
Balance, December 31, 2023$287,350 $69,860 $6,560 $363,770 
Foreign currency translation and other(3,170)(230)— (3,400)
Balance, June 30, 2024$284,180 $69,630 $6,560 $360,370 
9

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
Other Intangible Assets
The Company amortizes its other intangible assets over periods ranging from one to 30 years. The gross carrying amounts and accumulated amortization of the Company's other intangibles are summarized below (dollars in thousands):
As of June 30, 2024As of December 31, 2023
Intangible Category by Useful LifeGross Carrying AmountAccumulated AmortizationGross Carrying AmountAccumulated Amortization
Finite-lived intangible assets:
   Customer relationships, 5 – 12 years$140,120 $(92,270)$141,260 $(89,020)
   Customer relationships, 15 – 25 years129,590 (83,660)129,830 (80,600)
Total customer relationships269,710 (175,930)271,090 (169,620)
   Technology and other, 1 – 15 years56,880 (43,230)56,970 (41,850)
   Technology and other, 17 – 30 years43,300 (40,900)43,300 (40,730)
Total technology and other100,180 (84,130)100,270 (82,580)
Indefinite-lived intangible assets:
 Trademark/Trade names61,390 — 61,860 — 
Total other intangible assets$431,280 $(260,060)$433,220 $(252,200)
Amortization expense related to intangible assets as included in the accompanying consolidated statement of income is summarized as follows (dollars in thousands):
Three months ended June 30,Six months ended June 30,
2024202320242023
Technology and other, included in cost of sales$870 $800 $1,660 $1,610 
Customer relationships, included in selling, general and administrative expenses3,350 3,810 6,770 7,590 
Total amortization expense$4,220 $4,610 $8,430 $9,200 
7. Inventories
Inventories consist of the following components (dollars in thousands):
 June 30, 2024December 31, 2023
Finished goods$88,810 $82,300 
Work in process59,920 51,990 
Raw materials59,890 58,160 
Total inventories$208,620 $192,450 
10

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
8. Property and Equipment, Net
Property and equipment consists of the following components (dollars in thousands):
 June 30, 2024December 31, 2023
Land and land improvements$32,690 $32,840 
Buildings98,730 99,230 
Machinery and equipment511,640 502,090 
643,060 634,160 
Less: Accumulated depreciation314,230 304,170 
Property and equipment, net$328,830 $329,990 
Depreciation expense as included in the accompanying consolidated statement of income is as follows (dollars in thousands):
Three months ended June 30,Six months ended June 30,
2024202320242023
Depreciation expense, included in cost of sales$9,740 $11,510 $19,490 $20,070 
Depreciation expense, included in selling, general and administrative expenses280 270 510 470 
Total depreciation expense$10,020 $11,780 $20,000 $20,540 
9. Long-term Debt
The Company's long-term debt consists of the following (dollars in thousands):
 June 30, 2024December 31, 2023
4.125% Senior Notes due April 2029$400,000 $400,000 
Credit Agreement31,230 — 
Debt issuance costs(3,870)(4,340)
Long-term debt, net$427,360 $395,660 
Senior Notes
In March 2021, the Company issued $400.0 million aggregate principal amount of 4.125% senior notes due April 15, 2029 ("Senior Notes") at par value in a private placement under Rule 144A of the Securities Act of 1933, as amended ("Securities Act"). The Senior Notes accrue interest at a rate of 4.125% per annum, payable semi-annually in arrears on April 15 and October 15. The payment of principal and interest is jointly and severally guaranteed, on a senior unsecured basis, by certain subsidiaries of the Company. The Senior Notes are pari passu in right of payment with all existing and future senior indebtedness and effectively subordinated to all existing and future secured indebtedness to the extent of the value of the assets securing such indebtedness.
The Company may redeem all or part of the Senior Notes at the redemption prices (expressed as percentages of principal amount) set forth below, plus accrued and unpaid interest, if any, to the redemption date, if redeemed during the twelve-month period beginning on April 15 of the years indicated below:
YearPercentage
2024102.063 %
2025101.031 %
2026 and thereafter100.000 %
11

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
Credit Agreement
The Company is a party to a credit agreement ("Credit Agreement") consisting of a $300.0 million senior secured revolving credit facility, which permits borrowings denominated in specific foreign currencies, subject to a $125.0 million sub limit, maturing on March 29, 2026. The Credit Agreement is subject to benchmark interest rates determined based on the currency denomination of borrowings, with British pound sterling borrowings subject to the Sterling Overnight Index Average and Euro borrowings to the Euro InterBank Offered Rate, both plus a spread of 1.625%, and U.S. dollar borrowings subject to the Secured Overnight Financing Rate plus a spread of 1.725%. The interest rate spread is based upon the leverage ratio, as defined, as of the most recent determination date. The Company's revolving credit facility allows for the issuance of letters of credit, not to exceed $40.0 million in aggregate.
The Credit Agreement also provides incremental revolving credit facility commitments in an amount not to exceed the greater of $200.0 million and an amount such that, after giving effect to such incremental commitments and the incurrence of any other indebtedness substantially simultaneously with the making of such commitments, the senior secured net leverage ratio, as defined, is no greater than 3.00 to 1.00. The terms and conditions of any incremental revolving credit facility commitments must be no more favorable than the existing credit facility.
At June 30, 2024, the Company had $31.2 million outstanding under its revolving credit facility and had $262.8 million potentially available after giving effect to $6.0 million of letters of credit issued and outstanding. At December 31, 2023, the Company had no amounts outstanding under its revolving credit facility and had $294.0 million potentially available after giving effect to $6.0 million of letters of credit issued and outstanding. After consideration of leverage restrictions contained in the Credit Agreement, as of June 30, 2024 and December 31, 2023, the Company had $197.5 million and $256.9 million, respectively, of borrowing capacity available for general corporate purposes.
The debt under the Credit Agreement is an obligation of the Company and certain of its domestic subsidiaries and is secured by substantially all of the assets of such parties. Borrowings under the $125.0 million (equivalent) foreign currency sub limit of the $300.0 million senior secured revolving credit facility are secured by a cross-guarantee amongst, and a pledge of the assets of, the foreign subsidiary borrowers that are a party to the agreement. The Credit Agreement also contains various negative and affirmative covenants and other requirements affecting the Company and its subsidiaries, including the ability, subject to certain exceptions and limitations, to incur debt, liens, mergers, investments, loans, advances, guarantee obligations, acquisitions, assets dispositions, sale-leaseback transactions, hedging agreements, dividends and other restricted payments, transactions with affiliates, restrictive agreements and amendments to charters, bylaws, and other material documents. The terms of the Credit Agreement also require the Company and its restricted subsidiaries to meet certain restrictive financial covenants and ratios computed quarterly, including a maximum total net leverage ratio (total consolidated indebtedness plus outstanding amounts under any accounts receivable securitization facility, less the aggregate amount of certain unrestricted cash and unrestricted permitted investments, as defined, over consolidated EBITDA, as defined), a maximum senior secured net leverage ratio (total consolidated senior secured indebtedness, less the aggregate amount of certain unrestricted cash and unrestricted permitted investments, as defined, over consolidated EBITDA, as defined) and a minimum interest expense coverage ratio (consolidated EBITDA, as defined, over the sum of consolidated cash interest expense, as defined, and preferred dividends, as defined). At June 30, 2024, the Company was in compliance with its financial covenants contained in the Credit Agreement.
Other Revolving Loan Facility
In May 2021, the Company, through one of its non-U.S. subsidiaries, entered into a revolving loan facility with a borrowing capacity of $4 million. The facility is guaranteed by TriMas Corporation. There were no borrowings outstanding on this loan facility as of June 30, 2024 and December 31, 2023.
12

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
Fair Value of Debt
The valuations of the Senior Notes and revolving credit facility were determined based on Level 2 inputs under the fair value hierarchy, as defined. The carrying amounts and fair values were as follows (dollars in thousands):
June 30, 2024December 31, 2023
Carrying AmountFair ValueCarrying AmountFair Value
4.125% Senior Notes due April 2029$400,000 $365,000 $400,000 $364,000 
Revolving credit facility31,230 31,230 — — 
10. Derivative Instruments
Derivatives Designated as Hedging Instruments
The Company uses cross-currency swap contracts to hedge its net investment in Euro-denominated assets against future volatility in the exchange rate between the U.S. dollar and the Euro. By doing so, the Company synthetically converts a portion of its U.S. dollar-based long-term debt into Euro-denominated long-term debt.
In June 2024, the Company entered into a cross-currency swap agreement effective as of June 27, 2024, with a notional amount of $75.0 million and a contract period end date of October 15, 2027. Under the terms of the agreement, the Company is to receive net interest payments at a fixed rate of approximately 1.43% of the notional amount. At inception, the cross-currency swap was designated as a net investment hedge.
In February 2024, the Company entered into a cross-currency swap agreement effective as of April 15, 2024, with a notional amount of $75.0 million and a contract period end date of April 15, 2029. Under the terms of the agreement, the Company is to receive net interest payments at a fixed rate of approximately 1.06% of the notional amount. At inception, the cross-currency swap was designated as a net investment hedge. At designation, the cross currency swap had an inception date non-zero fair value equal to a $4.9 million liability, which offset the inception date non-zero fair value of a $75.0 million foreign currency exchange forward contract entered into on the same date. The non-zero fair value of the cross currency swap was recognized in other income (expense), net in the consolidated statement of income during the six months ended June 30, 2024.
In February 2024, immediately prior to entering into the new cross-currency swap agreement, the Company voluntarily discontinued hedge accounting for its existing cross-currency swap agreement, de-designating the swap as a net investment hedge. The de-designated agreement had a notional amount of $75.0 million and a contract period end date of April 15, 2024. Under the terms of the agreement, the Company received net interest payments at a fixed rate of approximately 2.4% of the notional amount. At contract settlement, the cross currency swap agreement had a fair value equal to a $3.8 million liability, which was offset by the settlement of the $75.0 million foreign currency exchange forward contract that ended on the same date, both of which were classified as an investing activity in the accompanying consolidated statement of cash flows.
As of June 30, 2024 and December 31, 2023, the fair value carrying amount of the Company's derivatives designated as hedging instruments are recorded as follows (dollars in thousands):
  Asset / (Liability) Derivatives
Derivatives Designated as Hedging InstrumentsBalance Sheet CaptionJune 30, 2024December 31, 2023
Net Investment Hedges    
Cross-currency swapsAccrued liabilities$— $(6,510)
Cross-currency swapsOther long-term liabilities(5,320)— 
13

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
The following table summarizes the income recognized in accumulated other comprehensive income (loss) ("AOCI") on derivative contracts designated as hedging instruments as of June 30, 2024 and December 31, 2023, and the amounts reclassified from AOCI into earnings for the six months ended June 30, 2024 and 2023 (dollars in thousands):
Amount of Income Recognized
in AOCI on Derivatives
(Effective Portion, net of tax)		Amount of Income (Loss) Reclassified
from AOCI into Earnings
As of June 30, 2024As of December 31, 2023Location of Income (Loss) Reclassified from AOCI into Earnings (Effective Portion)Three months ended
June 30,		Six months ended
June 30,
2024202320242023
Net Investment Hedges
Cross-currency swaps$14,370 $13,260 Other income (expense), net$— $— $— $— 
Over the next 12 months, the Company does not expect to reclassify any pre-tax deferred amounts from AOCI into earnings.
Derivatives Not Designated as Hedging Instruments
As of June 30, 2024, the Company was party to foreign currency exchange forward contracts to economically hedge changes in foreign currency rates with notional amounts of $139.5 million. The Company uses foreign exchange contracts to mitigate the risk associated with fluctuations in currency rates impacting cash flows related to certain of its receivables, payables and intercompany transactions denominated in foreign currencies. The foreign exchange contracts primarily mitigate currency exposures between the U.S. dollar and the Euro, Canadian dollar, Chinese yuan, and the Mexican peso, as well as between the Euro and British pound, and have various settlement dates through September 2024. These contracts are not designated as hedge instruments; therefore, gains and losses on these contracts are recognized each period directly into the consolidated statement of income.
The following table summarizes the effects of derivatives not designated as hedging instruments on the Company's consolidated statement of income (dollars in thousands):
Amount of Income (Loss) Recognized in
Earnings on Derivatives
Three months ended
June 30,		Six months ended
June 30,
Location of Income (Loss) Recognized in Earnings on Derivatives2024202320242023
Derivatives not designated as hedging instruments
Foreign exchange contractsOther income (expense), net$1,800 $(50)$3,510 $(810)
Cross-currency swapsOther income (expense), net1,110 — 810 — 
14

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
Fair Value of Derivatives
The fair value of the Company's derivatives are estimated using an income approach based on valuation techniques to convert future amounts to a single, discounted amount. Estimates of the fair value of the Company's cross-currency swaps and foreign exchange contracts use observable inputs such as interest rate yield curves and forward currency exchange rates. Fair value measurements and the fair value hierarchy level for the Company's assets and liabilities measured at fair value on a recurring basis as of June 30, 2024 and December 31, 2023 are shown below (dollars in thousands):  
DescriptionFrequencyAsset / (Liability)Quoted Prices in Active Markets for Identical Assets
(Level 1)		Significant Other Observable Inputs
(Level 2)		Significant Unobservable Inputs
(Level 3)
June 30, 2024
Cross-currency swapsRecurring$(5,320)$— $(5,320)$— 
Foreign exchange contractsRecurring$110 $— $110 $— 
December 31, 2023
Cross-currency swapsRecurring$(6,510)$— $(6,510)$— 
Foreign exchange contractsRecurring$(140)$— $(140)$— 
11. Leases
The majority of the Company's lease obligations are non-cancelable operating leases for certain equipment and facilities. The Company's finance leases are for certain equipment as part of the Company's acquisition of Aarts. Leases with an initial term of 12 months or less are not recorded on the balance sheet; expense related to these leases is recognized on a straight-line basis over the lease term.
Supplemental balance sheet information related to the Company's leases are shown below (dollars in thousands):
Balance Sheet LocationJune 30, 2024December 31, 2023
Assets
Operating leasesOperating lease right-of-use assets$39,700 $43,220 
Finance leases
Property and equipment, net (a)
2,300 2,470 
Total lease assets$42,000 $45,690 
Liabilities
Current:
Operating leasesLease liabilities, current portion$7,420 $7,410 
Finance leasesLease liabilities, current portion470 490 
Long-term:
Operating leasesLease liabilities34,630 37,980 
Finance leasesLease liabilities1,440 1,710 
Total lease liabilities$43,960 $47,590 
__________________________
(a)     Finance leases were recorded net of accumulated depreciation of $0.3 million and $0.2 million as of June 30, 2024 and December 31, 2023, respectively.
15

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
The components of lease expense are as follows (dollars in thousands):
Three months ended June 30,Six months ended June 30,
Statement of Income Location2024202320242023
Operating lease costCost of sales and Selling, general and administrative expenses$2,560 $3,140 $4,840 $5,720 
Finance lease cost:
Depreciation of lease assetsCost of sales50 60 110 100 
Interest on lease liabilitiesInterest expense20 20 30 30 
Short-term, variable and other lease costsCost of sales and Selling, general and administrative expenses1,060 840 2,150 1,480 
Total lease cost$3,690 $4,060 $7,130 $7,330 
Maturities of lease liabilities are as follows (dollars in thousands):
Year ended December 31,
Operating Leases(a)
Finance Leases(a)
2024 (excluding the six months ended June 30, 2024)$4,520 $260 
20258,470 520 
20268,740 590 
20277,520 690 
20285,580 — 
Thereafter12,830 — 
Total lease payments47,660 2,060 
Less: Imputed interest(5,610)(150)
Present value of lease liabilities$42,050 $1,910 
__________________________
(a)     The maturity table excludes cash flows associated with exited lease facilities. Liabilities for exited lease facilities are included in accrued liabilities and other long-term liabilities in the accompanying consolidated balance sheet.
Other information related to the Company's leases are as follows (dollars in thousands):
Three months ended June 30,Six months ended June 30,
2024202320242023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$2,320 $2,630 $4,680 $5,220 
Operating cash flows from finance leases20 20 30 30 
Financing cash flows from finance leases120 120 240 200 
Lease assets obtained in exchange for new lease liabilities:
Operating leases80 — 950 4,780 
Finance leases— — — 2,620 
The weighted-average remaining lease term of the Company's operating leases and finance leases as of June 30, 2024 is 6.1 years and 3.1 years, respectively. The weighted-average discount rate for the operating leases and finance leases as of June 30, 2024 is 4.1% and 2.6%, respectively.
16

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
12. Other Long-term liabilities
Other long-term liabilities consist of the following components (dollars in thousands):
 June 30, 2024December 31, 2023
Non-current asbestos-related liabilities$22,540 $23,880 
Other long-term liabilities21,300 16,740 
Total other long-term liabilities$43,840 $40,620 
13. Commitments and Contingencies
Asbestos
As of June 30, 2024, the Company was a party to 474 pending cases involving an aggregate of 4,892 claimants primarily alleging personal injury from exposure to asbestos containing materials formerly used in gaskets (both encapsulated and otherwise) manufactured or distributed by its former Lamons division and certain other related subsidiaries for use primarily in the petrochemical, refining and exploration industries. The following chart summarizes the number of claims, number of claims filed, number of claims dismissed, number of claims settled, the average settlement amount per claim and the total defense costs, at the applicable date and for the applicable periods:
 Claims
pending at
beginning of
period 		Claims filed
during
period 		Claims
dismissed
during
period 		Claims
settled
during
period 		Claims
pending at
end of
period 		Average
settlement
amount per
claim during
period 		Total defense
costs during
period
Six Months Ended June 30, 20244,863 129 80 20 4,892 $21,600 $886,000 
Fiscal Year Ended December 31, 20234,798 261 160 36 4,863 $15,465 $1,920,000 
In addition, the Company acquired various companies to distribute its products that had distributed gaskets of other manufacturers prior to acquisition. The Company believes that many of its pending cases relate to locations at which none of its gaskets were distributed or used.
The Company may be subjected to significant additional asbestos-related claims in the future, and will aggressively defend or reasonably resolve, as appropriate. The cost of settling cases in which product identification can be made may increase, and the Company may be subjected to further claims in respect of the former activities of its acquired gasket distributors. The cost of claims varies as claims may be initially made in some jurisdictions without specifying the amount sought or by simply stating the requisite or maximum permissible monetary relief, and may be amended to alter the amount sought. The large majority of claims do not specify the amount sought. Of the 4,892 claims pending at June 30, 2024, 36 set forth specific amounts of damages (other than those stating the statutory minimum or maximum). At June 30, 2024, of the 36 claims that set forth specific amounts, there were no claims seeking more than $5 million for punitive damages. Below is a breakdown of the compensatory damages sought for those claims seeking specific amounts:
Compensatory
Range of damages sought (dollars in millions)$0.0 to $0.6$0.6 to $5.0$5.0+
Number of claims—432
Relatively few claims have reached the discovery stage and even fewer claims have gone past the discovery stage. Total settlement costs (exclusive of defense costs) for all such cases, some of which were filed over 30 years ago, have been $13.5 million. All relief sought in the asbestos cases is monetary in nature. Based on the settlements made to date and the number of claims dismissed or withdrawn for lack of product identification, the Company believes that the relief sought (when specified) does not bear a reasonable relationship to its potential liability.
17

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
The Company records a liability for asbestos-related claims, which includes both known and unknown claims, based on a study from the Company’s third-party actuary, the Company's review of the study, as well as the Company’s own review of asbestos claims and claim resolution activity.
In the fourth quarter of 2022, the Company commissioned its actuary to update the study, based on data as of September 30, 2022, which yielded a range of possible future liability of $29.6 million to $39.5 million. The Company did not believe any amount within the range of potential outcomes represented a better estimate than another given the many factors and assumptions inherent in the projections, and therefore increased the liability estimate to $29.6 million, at the low-end of the range. As of June 30, 2024 and December 31, 2023, the Company’s total asbestos-related liability was $25.2 million and $26.6 million, respectively, and is included in accrued liabilities and other long-term liabilities, respectively, in the accompanying consolidated balance sheet.
The Company’s primary insurance, which covered approximately 40% of historical costs related to settlement and defense of asbestos litigation, expired in November 2018, upon which the Company became solely responsible for defense costs and indemnity payments. The Company is party to a coverage-in-place agreement (entered into in 2006) with its first level excess carriers regarding the coverage to be provided to the Company for asbestos-related claims. The coverage-in-place agreement makes asbestos defense costs and indemnity insurance coverage available to the Company that might otherwise be disputed by the carriers and provides a methodology for the administration of such expenses. The Company will continue to be solely responsible for defense costs and indemnity payments prior to the commencement of coverage under this agreement, the duration of which would be subject to the scope of damage awards and settlements paid. Based upon the Company’s review of the actuarial study, the Company does not believe it is probable that it will reach the threshold of qualified future settlements required to commence excess carrier insurance coverage under the coverage-in-place agreement.
Based upon the Company's experience to date, including the trend in annual defense and settlement costs incurred to date, and other available information (including the availability of excess insurance), the Company does not believe these cases will have a material adverse effect on its financial position, results of operations, or cash flows.
Claims and Litigation
The Company is subject to other claims and litigation in the ordinary course of business, but does not believe that any such claim or litigation will have a material adverse effect on its financial position and results of operations or cash flows.
14. Segment Information
TriMas reports its operations in three segments: Packaging, Aerospace and Specialty Products. Each of these segments has discrete financial information that is regularly evaluated by TriMas' President and Chief Executive Officer (chief operating decision maker) in determining resource, personnel and capital allocation, as well as assessing strategy and performance. The Company utilizes its proprietary TriMas Business Model as its platform, which is based upon a standardized set of processes, to manage and drive results and strategy across its multi-industry businesses.
Within each of the Company's reportable segments, there are no individual products or product families for which reported net sales accounted for more than 10% of the Company's consolidated net sales. See below for more information regarding the types of products and services provided within each reportable segment:
Packaging – TriMas' Packaging segment consists primarily of the Rieke, Affaba & Ferrari, Taplast, Rapak, Plastic Srl, Aarts Packaging, Intertech and Omega brands. TriMas Packaging develops and manufactures a broad array of dispensing products (such as foaming pumps, lotion, hand soap and sanitizer pumps, beverage dispensers, perfume sprayers, nasal sprayers and trigger sprayers), polymeric and steel caps and closures (such as food lids, flip-top closures, child resistant caps, beverage closures, fragrance and cosmetic caps, drum and pail closures, and flexible spouts), polymeric jar products, fully integrated dispensers for fill-ready bag-in-box applications, and consumable vascular delivery and diagnostic test components, all for a variety of consumer products submarkets including, but not limited to, beauty and personal care, food and beverage, home care, and life sciences, including but not limited to pharmaceutical, nutraceutical and medical, as well as industrial markets (including agricultural).
18

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
Aerospace – TriMas' Aerospace segment, which includes the Monogram Aerospace Fasteners, Allfast Fastening Systems, Mac Fasteners, TFI Aerospace, RSA Engineered Products, Martinic Engineering and Weldmac Manufacturing Company brands, develops, qualifies and manufactures highly-engineered, precision fasteners, tubular products and assemblies for fluid conveyance, and machined products and assemblies to serve the aerospace and defense market.
Specialty Products – TriMas' Specialty Products segment, which includes the Norris Cylinder and Arrow Engine brands, designs, manufactures and distributes highly-engineered steel cylinders for use within industrial and aerospace markets, natural gas-fired engines for remote power generation applications and compression systems for use within the North American industrial oil and gas and power generation end-markets.
Segment activity is as follows (dollars in thousands):
 Three months ended June 30,Six months ended June 30,
 2024202320242023
Net Sales
Packaging$131,930 $117,320 $258,950 $233,540 
Aerospace77,720 59,800 145,060 109,790 
Specialty Products30,850 56,070 63,590 105,320 
Total$240,500 $233,190 $467,600 $448,650 
Operating Profit (Loss) and Income Before Income Tax Expense
Segment operating profit
Packaging$18,020 $17,280 $35,130 $31,670 
Aerospace 10,430 2,630 17,560 4,060 
Specialty Products580 12,100 3,190 21,850 
Segment operating profit29,030 32,010 55,880 57,580 
Corporate (a)
(11,180)(11,950)(25,590)(27,530)
Total operating profit17,850 20,060 30,290 30,050 
Interest expense(5,220)(3,970)(10,150)(7,670)
Other income (expense), net40 160 (280)90 
Income before income tax expense$12,670 $16,250 $19,860 $22,470 
__________________________
(a)     Corporate consists of the corporate office and related corporate activities. Corporate expenses primarily include compensation, benefits, professional services, information technology and other administrative costs. Corporate expenses reconcile reportable segment information to the consolidated totals.
15. Equity Awards
Restricted Stock Units
The Company awarded the following restricted stock units ("RSUs") during the six months ended June 30, 2024:
•Granted 281,405 RSUs to certain employees, which are subject only to a service condition and vest ratably over three years so long as the employee remains with the Company;
•Granted 32,544 RSUs to its non-employee independent directors, which fully vest one year from date of grant so long as the director and/or Company does not terminate the director's service prior to the vesting date;
•Issued 55 RSUs to certain employees related to dividend equivalent rights on existing equity awards; and
•Issued 2,267 RSUs related to director fee deferrals as certain of the Company's directors elected to defer all or a portion of their director fees and to receive the amount in Company common stock at a future date.
19

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
During 2024, the Company also awarded 109,640 performance-based RSUs to certain Company key employees which vest three years from the grant date as long as the employee remains with the Company. These awards are initially earned 50% based upon the Company's achievement of an earnings per share compound annual growth rate ("EPS CAGR") metric and 50% based upon the Company's cash return on net assets ("Cash RONA") metric over a period beginning January 1, 2024 and ending December 31, 2026. The total EPS CAGR and Cash RONA performance-based RSUs initially earned shall be subject to modification based on the Company's total shareholder return ("TSR") relative to the TSR of the common stock of a pre-defined industry peer-group, measured over the performance period. TSR is calculated as the Company's average closing stock price for the 20 trading days at the end of the performance period plus Company dividends, divided by the Company's average closing stock price for the 20 trading days prior to the start of the performance period. The Company estimates the grant-date fair value subject to a market condition using a Monte Carlo simulation model, using the following weighted average assumptions: risk-free rate of 4.50% and annualized volatility of 31.4%. Depending on the performance achieved for these two metrics, the amount of shares earned, if any, can vary for each metric from 0% of the target award to a maximum of 250% of the target.
Information related to RSUs at June 30, 2024 is as follows:
Number of Unvested RSUsWeighted Average Grant Date Fair ValueAverage Remaining Contractual Life (Years)Aggregate Intrinsic Value
Outstanding at January 1, 2024691,836 $30.97 
  Granted425,911 24.86 
  Vested(187,650)30.52 
  Cancelled(79,215)33.62 
Outstanding at June 30, 2024850,882 $27.76 1.5$21,748,544 
As of June 30, 2024, there was $8.0 million of unrecognized compensation cost related to unvested RSUs that is expected to be recorded over a weighted average period of 2.2 years.
RSUs granted to employees who are eligible for retirement on the date of the grant are expensed immediately, and RSUs granted to employees who will become retirement-eligible prior to the end of the vesting term are expensed over the period through which the employee will become retirement-eligible since these awards vest upon retirement from the Company. Compensation expense for RSUs granted to employees who will not become retirement-eligible prior to the end of the vesting term is recognized on a straight-line basis over the vesting period. The Company recognized stock-based compensation expense related to RSUs of $1.9 million and $3.2 million during the three months ended June 30, 2024 and 2023, respectively, and $6.4 million and $6.2 million during the six months ended June 30, 2024 and 2023, respectively. The stock-based compensation expense is included in selling, general and administrative expenses in the accompanying consolidated statement of income.
16. Earnings per Share
Net income is divided by the weighted average number of common shares outstanding during the period to calculate basic earnings per share. Diluted earnings per share is calculated to give effect to RSUs. The following table summarizes the dilutive effect of RSUs on common stock for the three and six months ended June 30, 2024 and 2023:
Three months ended June 30,Six months ended June 30,
2024202320242023
Weighted average common shares—basic40,699,287 41,462,452 40,858,668 41,503,039 
Dilutive effect of restricted stock units299,751 182,732 301,858 220,572 
Weighted average common shares—diluted40,999,038 41,645,184 41,160,526 41,723,611 
20

TRIMAS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(unaudited)
In March 2020, the Company announced its Board of Directors had authorized the Company to increase the purchase of its common stock up to $250 million in the aggregate. In the three and six months ended June 30, 2024, the Company purchased 131,900 and 671,937 shares of its outstanding common stock for $3.5 million and $16.9 million, respectively. During the three and six months ended June 30, 2023, the Company purchased 101,020 and 451,882 shares of its outstanding common stock for $2.7 million and $13.1 million, respectively. As of June 30, 2024, the Company had $70.1 million remaining under the repurchase authorization.
Holders of common stock are entitled to dividends at the discretion of the Company's Board of Directors. In 2021, the Company's Board of Directors declared the first dividend since the Company's initial public offering in 2007. During the three and six months ended June 30, 2024, the Company's cash dividends declared were $0.04 per share of common stock and total dividends declared and paid on common shares were $1.7 million and $3.3 million, respectively. In the three and six months ended June 30, 2023, the Company's cash dividends declared were $0.04 per share of common stock and total dividends declared and paid on common shares were $1.7 million and $3.3 million, respectively.
17. Defined Benefit Plans
Net periodic pension benefit costs for the Company's defined benefit pension plans cover certain foreign employees, union hourly employees and salaried employees. The components of net periodic pension cost (income) are as follows (dollars in thousands):
 Three months ended June 30,Six months ended June 30,
 2024202320242023
Service costs$130 $120 $260 $240 
Interest costs330 310 660 630 
Expected return on plan assets(510)(520)(1,020)(1,050)
Settlement and curtailment losses— 1,020 — 1,020 
Amortization of net loss40 40 90 70 
Net periodic benefit cost (income)$(10)$970 $(10)