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Compass Diversified Holdings, a Delaware statutory trust (the "Trust") and Compass Group Diversified Holdings LLC, a Delaware limited liability company (the "LLC"), were formed to acquire and manage a group of small and middle-market businesses headquartered in North America. Collectively, Compass Diversified Holdings and Compass Group Diversified Holdings, LLC are referred to as the "Company". In accordance with the Third Amended and Restated Trust Agreement, dated as of August 3, 2021 (as further amended and restated, the "Trust Agreement"), the Trust is sole owner of 100% of the Trust Interests (as defined in the LLC’s Sixth Amended and Restated Operating Agreement, dated as of August 3, 2021 (as further amended and restated, the "LLC Agreement")) of the LLC and, pursuant to the LLC Agreement, the LLC has, outstanding, the identical number of Trust Interests as the number of outstanding common shares of the Trust. The LLC is the operating entity with a board of directors and other corporate governance responsibilities, similar to that of a Delaware corporation. The Trust does not have operations independent of acting as the parent company of the LLC. Compass Group Management LLC, a Delaware limited liability Company ("CGM" or the "Manager"), manages the day to day operations of the LLC and oversees the management and operations of our businesses pursuant to a management services agreement (the "Management Services Agreement" or "MSA").

The LLC is a controlling owner of eight businesses, or operating segments, at June 30, 2026. The segments are as follows: 5.11 Acquisition Corp. ("5.11"), Boa Holdings Inc. ("BOA"), Relentless Topco, Inc. ("PrimaLoft"), THP Topco, Inc. ("The Honey Pot Co." or "THP"), CBCP Products, LLC ("Velocity Outdoor" or "Velocity"), AMTAC Holdings LLC ("Arnold"), FFI Compass, Inc. ("Altor Solutions" or "Altor"), and Rimports Holdings, Inc. ("Rimports"). The segments are referred to interchangeably as “businesses”, “operating segments” or “subsidiaries” throughout the financial statements. During the second quarter of 2026, the Company completed the sale of Sterno’s food service business. Prior to the sale, Sterno distributed Rimports, its home fragrance business, to its stockholders, and Rimports remained a majority owned subsidiary of the LLC. Accordingly, Rimports is presented as the Company’s operating segment following the distribution, and the results of Sterno’s food service business through the date of sale and Rimports for all periods presented are included in continuing operations. Refer to Note B - "Dispositions" for further discussion of the sale of Sterno’s food service business and the Rimports distribution. Refer to Note O - "Operating Segment Data" for further discussion of the operating segments. Lugano Holding, Inc. ("Lugano") was an operating segment of the Company until November 16, 2025 when Lugano was deconsolidated. Refer to Note B - "Dispositions" for further discussion of the accounting for Lugano.

Basis of Presentation

The condensed consolidated financial statements for the three and six month periods ended June 30, 2026 and June 30, 2025 are unaudited, and in the opinion of management, contain all adjustments necessary for a fair presentation of the condensed consolidated financial statements. Such adjustments consist solely of normal recurring items. Interim results are not necessarily indicative of results for a full year or any subsequent interim period. The condensed consolidated financial statements and notes are prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP" or "GAAP") and presented as permitted by Form 10-Q and do not contain certain information included in the annual consolidated financial statements and accompanying notes of the Company.

The accompanying consolidated financial statements have been prepared on a going concern basis, which assumes the Company will continue to realize its assets and satisfy its liabilities in the ordinary course of business.

Correction of Prior Period Financial Statements

During the second quarter ended June 30, 2026, the Company identified an immaterial classification misstatement related to the presentation of the gain of $10.2 million recognized in connection with Altor’s January 23, 2026 sale-leaseback transaction, which was previously presented in other income (expense), net in the Company’s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2026 and corrected to be presented in other operating income within operating expenses in the condensed consolidated statements of operations. The correction reflects management’s determination that the gain is appropriately presented within operating results because the transaction related to Altor’s manufacturing facilities and underlying operating assets. This correction increased previously reported operating income by the amount of the sale-leaseback gain and decreased other

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income (expense), net by the same amount, with no effect on previously reported income from continuing operations before income taxes, net income, cash flows, or stockholders’ equity.

Consolidation

The condensed consolidated financial statements include the accounts of the Company, as well as the businesses acquired as of their respective acquisition date. All significant intercompany accounts and transactions have been eliminated in consolidation. Businesses or components that meet the criteria for discontinued operations are presented as discontinued operations for all periods presented.

Seasonality

The results of operations of certain of our operating segments are subject to seasonal fluctuations due to the timing of recurring events, holidays, weather patterns, customer purchasing activity and other industry-specific factors. The impact of seasonality on our consolidated results may vary from period to period based on the relative size, mix and timing of acquisitions, dispositions and changes in the operating performance of our businesses. Historically, our consolidated net sales have generally been higher in the third and fourth quarters of the fiscal year; however, the degree of seasonality has varied in recent years as a result of changes in the composition of our businesses.

Recently Adopted Accounting Pronouncements

Income Taxes (Topic 740): Improvements to Income Tax Disclosures

In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. This guidance will require, among other things, the following for public business entities: (i) enhanced disclosures of specific categories of reconciling items included in the rate reconciliation, as well as additional information for any of these items meeting certain qualitative and quantitative thresholds; (ii) disclosure of the judgment used in categorizing them if not otherwise evident; and (iii) enhanced disclosures for income taxes paid, which includes federal, state, and foreign taxes, as well as for individual jurisdictions over a certain quantitative threshold. The amendments in ASU 2023-09 eliminate the requirement to disclose the nature and estimate of the range of the reasonably possible change in unrecognized tax benefits for the 12 months after the balance sheet date. The guidance is effective for annual periods beginning after December 15, 2024. The Company adopted ASU 2023-09 for the year ended December 31, 2025 and applied the new disclosure requirements prospectively to the 2025 annual period.

Recently Issued Accounting Pronouncements

Disaggregation of Income Statement Expenses

In November 2024, the FASB issued ASU No. 2024-03, Income Statement - Reporting Comprehensive Income- Expense Disaggregation Disclosures (Subtopic 220-40). This guidance will require the disclosure of disaggregation of certain relevant expenses presented in the consolidated statements of operations, including inventory purchases, employee compensation, selling expense and depreciation expense. The guidance is effective for our annual period ending December 31, 2027 and interim periods thereafter. The Company is currently evaluating the impact this standard will have on the consolidated financial statements.

Sale of Sterno and Distribution of Rimports

On March 28, 2026, the LLC, in its capacity as representative of the holders of common stock of SternoCandleLamp Holdings, Inc. (“Sterno”), a then-majority-owned subsidiary of the LLC, and, for the limited purposes of the Rimports Distribution described below, entered into a definitive Agreement and Plan of Merger (the “Sterno Agreement”) with WCHG Buyer, Inc. (“Parent”), WCHG Heat Merger Sub, Inc. (“Merger Sub”) and Sterno. Pursuant to the Sterno Agreement, Parent agreed to acquire Sterno through the merger of Merger Sub with and into Sterno, with Sterno surviving the merger as a wholly owned subsidiary of Parent.

Immediately prior to the closing of the merger, on April 30, 2026, Sterno completed the distribution of all of the limited liability company interests of its indirect wholly owned subsidiary Rimports, LLC (“Rimports”), which operates Sterno’s home fragrance business, to Rimports Holdings, Inc., the equity of which was, in turn, distributed pro rata to the Sterno stockholders, including the LLC (the “Rimports Distribution”), with Rimports remaining a majority owned subsidiary of the LLC. On May 1, 2026, the parties completed the merger pursuant to the Sterno Agreement, resulting in the sale of Sterno’s food service business.

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The purchase consideration for Sterno’s food service business was based on an enterprise value of $292.5 million and was subject to customary adjustments, including for transaction expenses, change-of-control payments, option termination payments and the net working capital, cash and debt balances of Sterno and its subsidiaries, excluding Rimports and its subsidiaries, at closing. Approximately $2.6 million of the closing proceeds were placed in escrow to satisfy post-closing purchase price true-ups, if any.

After allocation of the purchase consideration to Sterno’s noncontrolling stockholders and payment of transaction costs, CODI received approximately $282 million of total proceeds at closing, representing amounts received with respect to the Company’s outstanding loans to Sterno, including accrued interest, and its equity interests in Sterno. The Company used the proceeds received from the sale to repay outstanding borrowings under its senior credit facility.

The Rimports Distribution represented a transfer of equity interests between entities under common control because the Company controlled Sterno, inclusive of Rimports, before the distribution and continues to control Rimports after the distribution. Accordingly, the Rimports Distribution was accounted for as a transaction between entities under common control at historical carrying amounts, and no gain or loss was recognized in the Company’s condensed consolidated financial statements as a result of the distribution.

As of March 31, 2026, the Company had classified Sterno’s food service business as held for sale. Because the Company retained Rimports following the Rimports Distribution, the assets and liabilities of Rimports were excluded from the held-for-sale disposal group and continued to be presented within the Company’s condensed consolidated balance sheet. Upon completion of the sale on May 1, 2026, the Company deconsolidated Sterno’s food service business and recognized a gain on the sale of approximately $182.3 million within income from continuing operations during the three months ended June 30, 2026.

The sale did not represent a strategic shift that had, or will have, a major effect on the Company’s operations or financial results and therefore did not qualify for discontinued operations presentation. Accordingly, the results of operations and cash flows of Sterno’s food service business through the date of sale, and Rimports for all periods presented, are included within continuing operations in the Company’s condensed consolidated statements of operations and cash flows.

Summarized results of operations of Sterno for the three and six months ended June 30, 2026 through the date of disposition and the three and six months ended June 30, 2025 are as follows (in thousands):

(in thousands)						For the period April 1, 2026 through disposition						Three months ended   June 30, 2025			For the period January 1, 2026 through disposition						Six Months ended   June 30, 2025
Net sales						$	13,424					$	41,223		$	45,125					$	71,546
Gross profit						$	3,889					$	12,825		$	14,096					$	22,302
Operating income						$	3,703					$	7,181		$	8,519					$	11,936
Net income from operations before income taxes (1)						$	3,451					$	4,943		$	7,122					$	7,414
Provision for income taxes						$	597					$	2,145		$	2,084					$	3,142
Net income						$	2,854					$	2,798		$	5,038					$	4,272

(1) The results of operations for the periods from April 1, 2026 through disposition, January 1, 2026 through disposition, and the three and six months ended June 30, 2025, each exclude $0.3 million and $1.4 million, $2.2 million and $4.5 million, respectively, of intercompany interest expense which is eliminated in consolidation.

Lugano

Deconsolidation

On November 16, 2025, Lugano and certain of its subsidiaries filed a voluntary Chapter 11 petition under the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware (the “Lugano Bankruptcy”). The Lugano Bankruptcy resulted in the deconsolidation of Lugano as of the date of the bankruptcy filing. The Company retained its equity ownership of Lugano subsequent to the bankruptcy but has neither control nor significant influence over Lugano due to the bankruptcy filing. The Company elected the fair value option under Accounting Standards Codification ("ASC") 825 - Financial Instruments to account for its retained financial interest. Accordingly, the investment is measured at fair value on a recurring basis, with changes in fair value, if any, recognized in earnings each reporting period. As a result of this accounting election, the carrying value of the investment, and the related impact on the Company’s results of operations, may fluctuate from period to period due

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to non‑cash mark‑to‑market adjustments. These fair value adjustments do not impact the Company’s cash flows or liquidity.

Separately, prior to the bankruptcy filing, the Company had outstanding intercompany indebtedness owed by Lugano (the "Lugano intercompany loan"), including amounts that were secured by certain Lugano assets. Because intercompany balances are eliminated in consolidation, the fair value of intercompany indebtedness owed by Lugano to the Company was recognized upon deconsolidation in accordance with ASC 810. Any expected recovery (or lack thereof) on the secured claim is reflected through the measurement of the receivable/claim due from affiliate (including any impairment or allowance), rather than through the fair value of any retained equity interest.

The Company recorded a receivable based on management's estimate of recoveries expected from the Lugano bankruptcy proceedings with respect to the Company’s senior secured receivable/claim against Lugano as of the deconsolidation date, measured using the fair value option under ASC 825. The receivable is remeasured at fair value at each reporting date, and changes in fair value are recognized in earnings in the period in which they occur. During the three months ended June 30, 2026, the estimated fair value of the receivable decreased from $97.0 million to $39.0 million following CODI’s entry on June 24, 2026 into a Settlement Agreement and Mutual Release and a Plan Support Agreement with Lugano, the official committee of unsecured creditors and the other parties thereto. Subject to creditor approval, bankruptcy court confirmation and effectiveness of the proposed Plan of Liquidation, CODI would be entitled to receive 34.79% of specified net inventory, tax-refund and insurance proceeds, 45% of net proceeds from specified litigation against a third party and 25% of net proceeds from certain other litigation claims. The Settlement Agreement will become effective and binding only upon satisfaction or waiver of its conditions, including the effective date of the Plan of Liquidation, and there can be no assurance as to confirmation, effectiveness, timing or the amount of recoveries. These revised recovery amounts and timing assumptions resulted in the $58.0 million decrease in fair value. At June 30, 2026, the receivable due from unconsolidated affiliate was estimated to have a value of $39.0 million, with $19.2 million classified as current and $19.8 million classified as noncurrent in the condensed consolidated balance sheet. At December 31, 2025, the receivable due from unconsolidated affiliate was estimated to have a value of $97.0 million, with $71.0 million classified as current and $26.0 million classified as noncurrent in the condensed consolidated balance sheet. The classification between current and noncurrent is based on management’s estimate of the timing of expected cash receipts from the Lugano bankruptcy proceedings. Refer to "Note J - Fair Value Measurements" for additional information.

The following table summarizes Lugano's results of operations that are included in the Company's consolidated results of operations for the period from January 1, 2025 through June 30, 2025:

(in thousands)						Three months ended June 30, 2025						Six months ended   June 30, 2025
Net sales						$	26,771					$	53,616
Gross profit						$	13,446					$	26,624
Operating loss						$	(46,782)					$	(60,441)
Net loss from operations before income taxes (1)						$	(51,879)					$	(87,929)
Provision for income taxes						$	—					$	(256)
Net loss						$	(51,879)					$	(87,673)

(1) The results of operations for the three and six months ended June 30, 2025 exclude $16.9 million and $32.8 million, respectively, of intercompany interest expense which is eliminated in consolidation.

Disaggregated Revenue - The Company disaggregates revenue by operating segment and by geography for each strategic business unit which are categories that depict how the nature, amount and uncertainty of revenue and cash flows are affected by economic factors. The disaggregation in the tables below reflects where revenue is earned based on the shipping address of our customers unless otherwise noted. This disaggregation also

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The following tables provide disaggregation of revenue by reportable segment geography for the three and six months ended June 30, 2026 and 2025 (in thousands):

Three months ended June 30, 2026
			United States						Mexico						Europe						Asia Pacific						Other International						Total
5.11			$	97,483					$	5,941					$	8,434					$	5,097					$	9,544					$	126,499
BOA (1)			14,307						—						30,408						14,071						282						59,068
PrimaLoft			179						—						1,085						28,110						375						29,749
The Honey Pot Co.			38,387						—						—						—						—						38,387
Velocity Outdoor			16,427						—						69						5						608						17,109
Altor			63,079						2,583						—						—						—						65,662
Arnold			26,545						—						12,425						2,631						1,621						43,222
Rimports			42,410						—						674						—						1,262						44,346
Total			$	298,817					$	8,524					$	53,095					$	49,914					$	13,692					$	424,042

Three months ended June 30, 2025
			United States						Mexico						Europe						Asia Pacific						Other International						Total
5.11			$	104,801					$	5,589					$	8,087					$	4,653					$	8,312					$	131,442
BOA (1)			12,632						17						24,589						10,999						132						48,369
Lugano			25,404						—						501						—						866						26,771
PrimaLoft			282						—						989						23,375						209						24,855
The Honey Pot Co.			32,788						—						—						—						10						32,798
Velocity Outdoor			14,977						—						20						18						198						15,213
Altor			78,240						5,065						—						—						—						83,305
Arnold			25,784						—						10,682						1,231						735						38,432
Sterno			74,365						—						807						1						2,332						77,505
Total			$	369,273					$	10,671					$	45,675					$	40,277					$	12,794					$	478,690

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Six months ended June 30, 2026
			United States						Mexico						Europe						Asia Pacific						Other International						Total
5.11			$	198,699					$	10,376					$	15,995					$	9,335					$	16,065					$	250,470
BOA (1)			29,865						10						56,953						23,991						357						111,176
PrimaLoft			361						—						1,989						48,527						789						51,666
The Honey Pot Co.			83,544						—						—						—						2						83,546
Velocity Outdoor			29,783						—						81						12						1,059						30,935
Altor			125,173						5,131						—						—						—						130,304
Arnold			51,423						55						24,122						5,214						2,590						83,404
Rimports			104,730						—						1,616						—						3,050						109,396
Total			$	623,578					$	15,572					$	100,756					$	87,079					$	23,912					$	850,897

Six months ended June 30, 2025
			United States						Mexico						Europe						Asia Pacific						Other International						Total
5.11			$	209,642					$	10,553					$	15,997					$	8,571					$	16,049					$	260,812
BOA (1)			26,958						17						48,398						21,680						193						97,246
Lugano			47,771						—						1,664						95						4,086						53,616
PrimaLoft			613						—						1,759						45,593						535						48,500
The Honey Pot Co.			68,965						—						—						—						24						68,989
Velocity Outdoor			27,871						—						59						18						466						28,414
Altor			148,808						10,754						—						—						—						159,562
Arnold			47,777						71						20,141						2,861						1,590						72,440
Sterno			137,227						—						1,610						1						4,048						142,886
Total			$	715,632					$	21,395					$	89,628					$	78,819					$	26,991					$	932,465

Property, plant and equipment

Property, plant and equipment is comprised of the following at June 30, 2026 and December 31, 2025 (in thousands):

			June 30, 2026						December 31, 2025
Machinery and equipment			$	263,780					$	288,698
Furniture, fixtures and other			70,788						70,452
Leasehold improvements			99,584						99,449
Buildings and land			3,980						11,805
Construction in process			20,525						22,474
			458,657						492,878
Less: accumulated depreciation			(271,928)						(283,136)
Total			$	186,729					$	209,742

Depreciation expense was $10.4 million and $22.3 million for the three and six months ended June 30, 2026 and $11.1 million and $23.4 million for the three and six months ended June 30, 2025, respectively.

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Inventory

Inventory is comprised of the following at June 30, 2026 and December 31, 2025 (in thousands):

			June 30, 2026						December 31, 2025
Raw materials			$	65,782					$	71,641
Work-in-process			19,442						16,667
Finished goods			317,680						347,196
Less: obsolescence reserve			(27,141)						(31,402)
Total			$	375,763					$	404,102

As a result of acquisitions of various businesses, the Company has significant intangible assets on its balance sheet that include goodwill and an indefinite-lived intangible. The Company’s goodwill and indefinite-lived intangibles are tested and reviewed for impairment annually as of March 31st or more frequently if facts and circumstances warrant by comparing the fair value of each reporting unit to its carrying value. Each of the Company’s businesses represent a reporting unit.

Goodwill

Annual Impairment Testing

The Company uses a qualitative approach to test goodwill and indefinite lived intangible assets for impairment by first assessing qualitative factors to determine whether it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform quantitative goodwill impairment testing.

2026 Annual Impairment Testing

For the Company’s annual goodwill impairment test as of March 31, 2026, the Company performed a qualitative assessment of its reporting units with goodwill balances to determine whether it was more-likely-than-not that the fair value of each reporting unit was less than its carrying amount. Based on this assessment, the Company concluded that it was more-likely-than-not that the fair value of each reporting unit exceeded its carrying amount, except the PrimaLoft reporting unit. As a result, the Company performed a quantitative goodwill impairment test for the PrimaLoft reporting unit.

The Company estimated the fair value of the PrimaLoft reporting unit using a combination of the income approach (discounted cash flow method) and the market approach (guideline company multiples). Significant assumptions used in the quantitative test included, among others, projected revenue growth, operating margins, the terminal growth rate and the discount rate, each of which reflects management’s best estimates based on historical performance, current market conditions and expectations of future operating performance. The discount rate used in the income approach was 13.4%. The quantitative test indicated that the fair value of the PrimaLoft reporting unit was less than its carrying amount; accordingly, the Company recorded a goodwill impairment charge of $20.5 million during the three months ended March 31, 2026, which is included in operating income/(loss) in the consolidated statements of operations.

2025 Annual Impairment Testing

For the Company's annual impairment testing at March 31, 2025, the Company performed a qualitative assessment of our reporting units with goodwill balances. The results of the qualitative analysis indicated that it was more-likely-than-not that the fair value of each of the reporting units tested except the PrimaLoft reporting unit exceeded their carrying value. Based on the Company's analysis, the Company determined that the PrimaLoft reporting unit required quantitative testing because we could not conclude that the fair value of this reporting unit significantly exceeded the carrying value based on qualitative factors alone. The Company performed a quantitative test of PrimaLoft using an income approach and a market approach to determine the fair value of the PrimaLoft reporting unit. The discount rate used in the income approach was 11.3%. The results of the testing indicated that the fair value of PrimaLoft exceeded the carrying value by 12.1%.

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2025 Interim Impairment Testing

Arnold - The Company performed an interim impairment test of goodwill at Arnold as of October 31, 2025. During 2025, Arnold was negatively impacted by both production delays related to facility transitions, and supply chain constraints caused by export controls and disruption in the market for rare earth minerals, a key component in certain of Arnold's products. As a result, the operating results of Arnold were below our forecast and prior year results for the business. While Arnold's backlog continued to grow, the production delays and supply chain disruption caused by the export controls led us to determine that a triggering event had occurred. The Company used an income approach for the impairment test, whereby we estimated the fair value of the reporting unit based on the present value of future cash flows. Cash flow projections are based on management's estimate of revenue growth rates and operating margins and take into consideration industry and market conditions as well as company specific economic factors. The Company used a discount rate of 14.2% in the income approach. The results of the testing indicated that the fair value of Arnold exceeded the carrying value by 77%.

The following is a summary of the net carrying amount of goodwill at June 30, 2026 and December 31, 2025, (in thousands):

			June 30, 2026						December 31, 2025
Goodwill - gross carrying amount			$	1,006,729					$	1,050,748
Accumulated impairment losses (1)			(175,827)						(155,327)
Goodwill - net carrying amount			$	830,902					$	895,421

(1) Comprised of accumulated goodwill impairment expense of $72.7 million at Velocity, $24.9 million at Arnold and $78.3 million at PrimaLoft.

The following is a reconciliation of the change in the carrying value of goodwill for the six months ended June 30, 2026 by operating segment (in thousands):

						Balance at January 1, 2026												Goodwill Impairment												Other						Balance at June 30, 2026
5.11						$	92,966											$	—											$	—					$	92,966
BOA						254,153												—												—						254,153
PrimaLoft						232,536												(20,500)												—						212,036
The Honey Pot Co.						107,039												—												—						107,039
Velocity Outdoor						—												—												—						—
Altor						114,124												—												—						114,124
Arnold						39,267												—												—						39,267
Rimports (1)						55,336												—												(44,019)						11,317
Total						$	895,421											$	(20,500)											$	(44,019)					$	830,902

(1) The Sterno food service product division was sold on May 1, 2026. The balance at June 30, 2026 represents the goodwill balance of the Rimports product division that remains after the sale of Sterno.

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Long lived assets

Other intangible assets are comprised of the following at June 30, 2026 and December 31, 2025 (in thousands):

			June 30, 2026																		December 31, 2025
			Gross Carrying Amount						Accumulated Amortization						Net Carrying Amount						Gross Carrying Amount						Accumulated Amortization						Net Carrying Amount
Customer relationships			$	710,654					$	(327,624)					$	383,030					$	772,137					$	(362,737)					$	409,400
Technology and patents			201,756						(100,188)						101,568						201,049						(92,853)						108,196
Trade names, subject to amortization			454,298						(122,094)						332,204						453,512						(109,665)						343,847
Non-compete agreements			1,588						(1,580)						8						1,588						(1,530)						58
Other contractual intangible assets			90						(90)						—						210						(210)						—
Total			1,368,386						(551,576)						816,810						1,428,496						(566,995)						861,501
Trade names, not subject to amortization (1)			—						—						—						30,810						—						30,810
In-process research and development (2)			500						—						500						500						—						500
Total intangibles, net			$	1,368,886					$	(551,576)					$	817,310					$	1,459,806					$	(566,995)					$	892,811

(1) Represents the indefinite-lived trade name related to the Sterno operating segment that was sold in May 2026.

(2) In-process research and development is considered indefinite-lived until the underlying technology becomes viable, at which point the intangible asset will be amortized over the expected useful life.

Amortization expense related to intangible assets was $22.7 million and $45.5 million for the three and six months ended June 30, 2026 and $23.1 million and $46.5 million for the three and six months ended June 30, 2025, respectively.

Estimated charges to amortization expense of intangible assets for the remainder of 2026 and the next four years, are as follows (in thousands):

2026						2027						2028						2029						2030
$	45,129					$	81,600					$	79,499					$	79,377					$	79,217

Interim long-lived asset impairment testing

Lugano - As a result of the preliminary findings of the Lugano Investigation, the Company determined that a triggering event had occurred in the second quarter of 2025 and tested the long-lived assets of Lugano for impairment. The long-lived assets at Lugano were comprised of a tradename intangible asset, property, plant and equipment and right-of-use lease assets. The long-lived assets were assessed as definite lived assets to be held and used as of the impairment testing in the second quarter. The assessment of the recoverability of the carrying value of the Lugano assets resulted in an impairment loss of $29.5 million related to property, plant and equipment and $1.9 million related to right-of-use assets as of June 30, 2025. The impairment of the property, plant and equipment reflects the amount by which the carrying value of these assets exceed their estimated fair value, with fair value determined primarily through a market comparison method. The right-of-use asset related to a retail salon in Toronto, Canada. At the time of the triggering event, the Toronto retail salon had not yet opened and the Company's assessment determined that given the findings of the Lugano Investigation, it was unlikely that the Toronto salon would open in the near term. The impairment test for right-of-use assets involves comparing the right-of-use asset's carrying value to the undiscounted cash flows expected from its future use. Given the expectation that the Toronto retail salon would not open, no cash flows were expected from its future use and an impairment loss was recognized for the entire balance of the right-of-use asset associated with the Toronto salon lease.

The Company’s BOA and Velocity Outdoor operating segments estimate their exposure to warranty claims based on both current and historical product sales data and warranty costs incurred. The Company assesses the

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adequacy of its recorded warranty liability quarterly and adjusts the amount as necessary. Warranty liability is included in accrued expenses in the accompanying consolidated balance sheets. A reconciliation of the change in the carrying value of the Company’s warranty liability for the six months ended June 30, 2026 and the year ended December 31, 2025 is as follows (in thousands):

Warranty liability			Six months ended June 30, 2026						Year ended December 31, 2025
Beginning balance			$	1,293					$	1,121
Provision for warranties issued during the period			804						2,399
Fulfillment of warranty obligations			(759)						(2,227)
Ending balance			$	1,338					$	1,293

2022 Credit Facility

The LLC is party to a Third Amended and Restated Credit Agreement, dated July 12, 2022, as amended from time to time, which we refer to as the “2022 Credit Facility.” As of June 30, 2026, the 2022 Credit Facility provided for revolving loans, swing line loans and letters of credit in an aggregate amount of up to $100.0 million, and term loans with an aggregate principal amount of $252.3 million outstanding. At June 30, 2026, there were $2.0 million of revolving borrowings and approximately $0.8 million of outstanding letters of credit under the 2022 Credit Facility, resulting in net availability of approximately $97.2 million. Amounts outstanding under the 2022 Credit Facility mature on July 12, 2027.

Borrowings bear interest at either a base rate or Term SOFR, plus an applicable margin based on the Company’s Consolidated Total Leverage Ratio, which applicable margin ranges from 0.50% to 2.25% for borrowings bearing interest based on the base rate and from 1.50% to 3.25% for borrowings bearing interest based on Term SOFR. The 2022 Credit Facility is secured by substantially all assets of the Company, including equity interests in, and loans to, its consolidated subsidiaries, and contains customary affirmative and negative covenants, financial covenants, restrictions on certain restricted payments and management fee payments, enhanced reporting requirements, and requirements to use net cash proceeds from certain dispositions and deleveraging transactions to repay indebtedness. In addition, on December 19, 2025, the LLC entered into a Fifth Amendment to the 2022 Credit Facility (the “Fifth Amendment”) and a related transaction letter (the “Transaction Letter”). Under the Transaction Letter, the applicable milestone fee is waived for a specific quarter if either the Consolidated Total Leverage Ratio is not greater than 4.50:1.00 or the Consolidated Senior Secured Leverage Ratio is not greater than 1:00:1:00. The milestone fees for the fiscal quarters ending June 30, 2026, September 30, 2026, December 31, 2026 and March 31, 2027, are $5.0 million, $6.5 million, $8.0 million and $9.5 million, respectively, subject to the terms and conditions of the Transaction Letter. At June 30, 2026, the Consolidated Senior Secured Leverage Ratio was 0.66:1.00. Accordingly, no milestone fee was payable for the quarter ended June 30, 2026.

Senior Notes

The Company has outstanding $1,029.4 million aggregate principal amount of 5.250% Senior Notes due April 15, 2029 (the “2029 Senior Notes”) and $308.8 million aggregate principal amount of 5.000% Senior Notes due January 15, 2032 (the “2032 Senior Notes”), which we refer to collectively as the “Senior Notes.” Interest on the 2029 Senior Notes is payable in cash semi-annually on April 15 and October 15 of each year, and interest on the 2032 Senior Notes is payable in cash semi-annually on January 15 and July 15 of each year. The outstanding principal amounts of the Senior Notes reflect paid-in-kind payments made in 2025 in connection with an indenture forbearance arrangement which was described in detail in the 2025 Form 10-K.

The Senior Notes rank equal in right of payment with all of the Company’s existing and future senior unsecured indebtedness and senior in right of payment to all of the Company’s future subordinated indebtedness, if any. The Senior Notes are effectively subordinated to the Company’s existing and future secured indebtedness, including indebtedness under the 2022 Credit Facility, to the extent of the value of the assets securing such indebtedness. The indentures governing the Senior Notes contain customary restrictive covenants, subject to certain exceptions, including limitations on the incurrence of additional indebtedness, restricted payments, transactions with affiliates, asset sales, mergers and consolidations, subsidiary guarantees, liens, sale-leaseback transactions and certain investments.

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Lugano Financing Arrangements

Lugano entered into various financing arrangements with third parties that were not recorded in the financial statements of Lugano as debt. In connection with the Lugano Investigation, the Company determined that the inventory and sales transactions recorded in connection with these financing agreements were invalid because they were inconsistent with the underlying substance of the agreements. These financing arrangements represented debt and the financing arrangements and related interest expense were recorded in the consolidated financial statements. Interest expense was determined based on documentation related to the underlying arrangement or, when no documentation existed related to the financing arrangement, imputed based on various factors associated with the arrangement. Lugano recorded $15.8 million in interest expense in the six months ended June 30, 2025 related to these financing arrangements which is included in interest expense in the consolidated statement of operations.

Covenants

The Company is subject to customary affirmative and restrictive covenants under the 2022 Credit Facility, including financial maintenance covenants. The following table reflects the financial covenant requirements and actual ratios as of June 30, 2026 under the 2022 Credit Facility, as amended by the Fifth Amendment:

Description of Required Covenant Ratio

Covenant Ratio Requirement

Actual Ratio

Consolidated Fixed Charge Coverage Ratio

Greater than or equal to 1.00:1.00

1.60:1:00

Consolidated Senior Secured Leverage Ratio

Less than or equal to 2.50: 1.00

0.66:1:00

Consolidated Total Leverage Ratio

Less than or equal to 5.75: 1.00

4.82:1:00

The following table provides the Company’s outstanding long-term debt and effective interest rates at June 30, 2026 and December 31, 2025 (in thousands):

			June 30, 2026												December 31, 2025
			Effective Interest Rate						Amount						Effective Interest Rate						Amount
2029 Senior Notes			5.25%						$	1,029,371					8.15%						$	1,029,371
2032 Senior Notes			5.00%						308,811						7.93%						308,811
2022 Credit Facility - Term Loan			7.13%						252,250						10.14%						552,500
2022 Credit Facility - Revolving Loans			8.52%						2,000						—%						—
Unamortized premiums and debt issuance costs									(10,502)												(13,365)
Total debt									$	1,581,930											$	1,877,317
Less: Current portion of long-term debt									(43,250)												(37,500)
Long-term debt									$	1,538,680											$	1,839,817

The contractual annual maturities of the Company's debt obligations at June 30, 2026 are as follows (in thousands):

Remainder of 2026						$	30,000
2027						224,250
2028						—
2029						1,029,371
2030						—
2031 and thereafter						308,811
						$	1,592,432

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The Senior Notes consisted of the following carrying value and estimated fair value (in thousands):

																		Fair Value Hierarchy Level						June 30, 2026
						Maturity Date						Rate												Carrying Value						Fair Value
2032 Senior Notes						January 15, 2032						5.000		%				2						$	308,811					$	274,842
2029 Senior Notes						April 15, 2029						5.250		%				2						$	1,029,371					$	975,329

Debt Issuance Costs

Deferred debt issuance costs represent the costs incurred in connection with the Company's financing arrangements. Debt issuance costs associated with the revolving loan commitments under the 2022 Credit Facility are recorded in other non-current assets because the commitments are available under a revolving credit arrangement. Debt issuance costs associated with term loans under the 2022 Credit Facility and the Senior Notes are recorded as a reduction of the related debt balances. Deferred debt issuance costs at June 30, 2026 included approximately $5.0 million of costs incurred in connection with the Fifth Amendment to the 2022 Credit Facility.

The following table summarizes debt issuance costs at June 30, 2026 and December 31, 2025, and the balance sheet classification in each of the periods presented (in thousands):

			June 30, 2026						December 31, 2025
Deferred debt issuance costs			$	38,906					$	38,906
Accumulated amortization			(25,943)						(21,849)
Deferred debt issuance costs, net			$	12,963					$	17,057
Balance sheet classification:
Other noncurrent assets			$	2,461					$	3,692
Long-term debt			10,502						13,365
			$	12,963					$	17,057

Trust Common Shares

The Trust is authorized to issue 500,000,000 Trust common shares and the LLC is authorized to issue a corresponding number of Trust common interests. The Company will at all times have the identical number of Trust interests outstanding as Trust shares. Each Trust share represents an undivided beneficial interest in the Trust, and each Trust share is entitled to one vote per share on any matter with respect to which members of the LLC are entitled to vote. At June 30, 2026, the Trust had 76,135,000 common shares issued and 75,236,000 common shares outstanding. The Company did not issue any common shares under its at-the-market equity programs during the three months ended June 30, 2026, and, as a result of the commencement of the Lugano Investigation and related events, the Company determined during the quarter ended June 30, 2025 that it was unable to continue offering and selling common shares under this program. The Company did not declare or pay any distributions on its common shares during the three months ended June 30, 2026, following the suspension of common share distributions in 2025.

Trust Preferred Shares

The Trust is authorized to issue up to 50,000,000 Trust preferred shares and the Company is authorized to issue a corresponding number of Trust preferred interests.

The Trust has outstanding 7.250% Series A Preferred Shares, 7.875% Series B Preferred Shares and 7.875% Series C Preferred Shares, each representing beneficial interests in the Trust (collectively, the “Preferred Shares”). Each series of Preferred Shares has a liquidation preference of $25.00 per share. Distributions on the Series A Preferred Shares are discretionary and non-cumulative. When, and if declared by the Company's board of directors, distribution on the Series A Preferred Shares will be payable quarterly on January 30, April 30, July 30, and October 30 of each year, at a rate per annum of 7.250%. Distributions on the Series B Preferred Shares and Series C

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Preferred Shares are cumulative and, when and as declared by the Company’s board of directors, are also payable quarterly in arrears on January 30, April 30, July 30 and October 30 of each year. The Series B Preferred Shares bear distributions at a fixed rate of 7.875% per annum until April 30, 2028, after which the distribution rate will reset quarterly at a floating rate equal to the applicable successor to three-month LIBOR plus a spread of 4.985% per annum. Distributions on the Series C Preferred Shares are payable at a rate per annum of 7.875%.

At June 30, 2026, accumulated and unpaid distributions were approximately $2.5 million on the Series B Preferred Shares and approximately $2.6 million on the Series C Preferred Shares. The Series A Preferred Shares and Series C Preferred Shares are currently redeemable at the Company’s option, in whole or in part, and the Series B Preferred Shares are redeemable at the Company’s option, in whole or in part, on or after April 30, 2028, in each case at a redemption price of $25.00 per share plus any applicable declared or accumulated and unpaid distributions to, but excluding, the redemption date. The Preferred Shares are not convertible into Trust common shares and have no voting rights, except in limited circumstances as provided in the applicable share designations.

Unless full cumulative distributions on the Series B Preferred Shares and Series C Preferred Shares have been declared and paid or set apart for payment for all past distribution periods, the Company may not declare or pay distributions on the Trust common shares. In addition, if the Company’s board of directors does not declare a distribution on the Series A Preferred Shares for a quarterly distribution period, the Company may not declare or pay distributions on the Trust common shares during the remainder of that quarterly distribution period.

At-the-Market Equity Offering Program

In 2024, the Company established at-the-market equity offering program for the Preferred Shares. As a result of the commencement of the Lugano Investigation and related events, the Company determined during the quarter ended June 30, 2025 that it was unable to continue offering and selling its preferred shares under the Amended Preferred Sales Agreement. No preferred shares were sold during the three and six months ended June 30, 2026.

The following table reflects the activity in the preferred share ATM program during the three and six months ended June 30, 2025 (in thousands, except share data):

						Three months ended June 30, 2025																		Six months ended June 30, 2025
						Number of Shares Sold						Net Proceeds						Commissions Paid						Number of Shares Sold						Net Proceeds						Commissions Paid
Series A Preferred Shares						4,748						$	103					$	2					127,078						$	2,854					$	58
Series B Preferred Shares						29,839						659						14						1,331,522						29,869						611
Series C Preferred Shares						4,426						99						2						1,152,584						26,285						537
Total						39,013						$	861					$	18					2,611,184						$	59,008					$	1,206

The Company incurred less than $0.1 million in total costs related to the preferred share ATM program during both the three and six months ended June 30, 2025, respectively.

Allocation Interests

The holder of the Allocation Interests ( the "Holder"), Sostratus LLC, is entitled to receive distributions pursuant to a profit allocation formula upon the occurrence of certain events. The profit allocation is payable upon the sale of a business (a "Sale Event") and, at the election of the Holder, during the 30-day period following the fifth anniversary of the date upon which the Company acquired a controlling interest in a business (a "Holding Event"). The Company records distributions of the profit allocation upon occurrence of a Sale Event or Holding Event as dividends declared on Allocation Interests within stockholders’ equity when approved by the Company’s board of directors.

The deconsolidation of Lugano in November 2025 represented a Sale Event; however the calculation of the profit allocation payment resulted in a negative amount. Therefore no profit allocation payment was due to the Holder. The negative amount will offset future profit allocation payments due to the Holder.

The sale of the Sterno food service product division in the second quarter of 2026 was a Sale Event. Although the sale of Sterno resulted in the calculation of a positive profit allocation distribution, no amount will be paid to the Holder as a result of the sale of Sterno as the amount of profit allocation payment due was not sufficient to exceed the high water mark in the profit allocation formula.

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Reconciliation of net income (loss) available to common shares of Holdings

The following table reconciles net income (loss) attributable to Holdings to net income (loss) attributable to the common shares of Holdings (in thousands):

						Three months ended   June 30,												Six months ended   June 30,
						2026						2025						2026						2025
Net income (loss) from continuing operations attributable to Holdings						$	79,609					$	(54,022)					$	48,693					$	(84,059)
Less: Distributions paid - Preferred Shares						9,715						9,714						19,429						18,148
Less: Accrued distributions - Preferred Shares						5,148						5,148						5,148						5,148
Net income (loss) from continuing operations attributable to common shares of Holdings						$	64,746					$	(68,884)					$	24,116					$	(107,355)

Earnings per share

The Company calculates basic and diluted earnings per share using the two-class method which requires the Company to allocate to participating securities that have rights to earnings that otherwise would have been available only to Trust shareholders as a separate class of securities in calculating earnings per share. The Allocation Interests are considered participating securities that contain participating rights to receive profit allocations upon the occurrence of a Holding Event or Sale Event. The calculation of basic and diluted earnings per share for the three and six months ended June 30, 2026 and 2025 reflects the incremental increase during the period in the profit allocation distribution to Holder related to Holding Events.

Basic and diluted earnings per share for the three and six months ended June 30, 2026 and 2025 attributable to the common shares of Holdings is calculated as follows (in thousands, except per share data):

						Three months ended   June 30,												Six months ended   June 30,
						2026						2025						2026						2025
Net income (loss) from continuing operations attributable to common shares of Holdings						$	64,746					$	(68,884)					$	24,116					$	(107,355)
Less: Effect of contribution based profit - Holding Event						1,701						406						2,448						587
Net income (loss) from continuing operations attributable to common shares of Holdings						$	63,045					$	(69,290)					$	21,668					$	(107,942)
Income from discontinued operations attributable to Holdings						$	1,480					$	2,805					$	1,637					$	2,849
Less: Effect of contribution based profit - Holding Event						—						—						—						—
Income from discontinued operations attributable to common shares of Holdings						$	1,480					$	2,805					$	1,637					$	2,849
Basic and diluted weighted average common shares outstanding						75,236						75,236						75,236						75,236
Basic and diluted income (loss) per common share attributable to Holdings
Continuing operations						$	0.84					$	(0.92)					$	0.29					$	(1.43)
Discontinued operations						0.02						0.04						0.02						0.04
						$	0.86					$	(0.88)					$	0.31					$	(1.39)

Distributions

On May 27, 2025, the Company announced that it suspended the quarterly cash distribution historically paid to common shareholders. No common distributions were paid subsequent to April 24, 2025. The following table summarizes information related to our quarterly cash distributions on our Trust common and preferred shares (in thousands, except per share data):

Period

Cash Distribution per Share

Total Cash Distributions

Record Date

Payment Date

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Trust Common Shares:
January 1, 2025 - March 31, 2025						$	0.25					$	18,809					April 17, 2025						April 24, 2025
Series A Preferred Shares:
April 30, 2026 - July 29, 2026 (1)						$	0.453125					$	2,120					July 15, 2026						July 30, 2026
January 30, 2026 - April 29, 2026						$	0.453125					$	2,120					April 15, 2026						April 30, 2026
October 30, 2025 - January 29, 2026						$	0.453125					$	2,120					January 15, 2026						January 30, 2026
July 30, 2025 - October 29, 2025						$	0.453125					$	2,120					October 15, 2025						October 30, 2025
April 30, 2025 - July 29, 2025						$	0.453125					$	2,120					July 15, 2025						July 30, 2025
January 30, 2025 - April 29, 2025						$	0.453125					$	2,120					April 15, 2025						April 30, 2025
October 30, 2024 - January 29, 2025						$	0.453125					$	2,062					January 15, 2025						January 30, 2025
Series B Preferred Shares:
April 30, 2026 - July 29, 2026 (1)						$	0.4921875					$	3,703					July 15, 2026						July 30, 2026
January 30, 2026 - April 29, 2026						$	0.4921875					$	3,703					April 15, 2026						April 30, 2026
October 30, 2025 - January 29, 2026						$	0.4921875					$	3,703					January 15, 2026						January 30, 2026
July 30, 2025 - October 29, 2025						$	0.4921875					$	3,703					October 15, 2025						October 30, 2025
April 30, 2025 - July 29, 2025						$	0.4921875					$	3,703					July 15, 2025						July 30, 2025
January 30, 2025 - April 29, 2025						$	0.4921875					$	3,703					April 15, 2025						April 30, 2025
October 30, 2024 - January 29, 2025						$	0.4921875					$	3,048					January 15, 2025						January 30, 2025
Series C Preferred Shares:
April 30, 2026 - July 29, 2026 (1)						$	0.4921875					$	3,892					July 15, 2026						July 30, 2026
January 30, 2026 - April 29, 2026						$	0.4921875					$	3,892					April 15, 2026						April 30, 2026
October 30, 2025 - January 29, 2026						$	0.4921875					$	3,892					January 15, 2026						January 30, 2026
July 30, 2025 - October 29, 2025						$	0.4921875					$	3,892					October 15, 2025						October 30, 2025
April 30, 2025 - July 29, 2025						$	0.4921875					$	3,892					July 15, 2025						July 30, 2025
January 30, 2025 - April 29, 2025						$	0.4921875					$	3,892					April 15, 2025						April 30, 2025
October 30, 2024 - January 29, 2025						$	0.4921875					$	3,324					January 15, 2025						January 30, 2025

(1) This distribution was declared on July 1, 2026.

Noncontrolling interest represents the portion of the Company’s majority owned subsidiaries' net income (loss) and equity that is owned by noncontrolling shareholders. The following tables reflect the LLC’s ownership percentage of its majority owned operating segments and related noncontrolling interest balances as of June 30, 2026 and December 31, 2025:

			% Ownership (1) June 30, 2026												% Ownership (1) December 31, 2025
			Primary						Fully Diluted						Primary						Fully Diluted
5.11			97.0						88.6						97.8						87.6
BOA			91.4						83.2						91.4						82.8
PrimaLoft			90.7						84.8						90.7						84.7
The Honey Pot Co.			85.0						76.5						85.0						76.5
Velocity Outdoor			99.4						93.2						99.4						93.2
Altor			98.8						92.5						99.3						90.5
Arnold			98.0						82.0						98.0						82.8
Rimports (2)			93.3						93.3						98.4						92.2

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(1)     The principal difference between primary and diluted percentages of our operating segments is due to stock option issuances of subsidiary stock to management of the respective businesses.

(2)     As of December 31, 2025, the Company owned approximately 98.4% of Sterno on a primary basis, inclusive of its indirect ownership interest in Rimports. In connection with the Rimports Distribution completed immediately prior to the sale of Sterno’s food service business, the Sterno stockholders, including holders of in-the-money Sterno equity awards, received their proportionate interests in Rimports. As a result, as of June 30, 2026, the Company continued to own approximately 93.3% of Rimports on a primary and fully diluted basis and consolidates Rimports in its condensed consolidated financial statements, with the remaining ownership interest reflected as noncontrolling interest. Following the May 1, 2026 sale, the Company no longer owns an equity interest in Sterno’s food service business.

			Noncontrolling Interest Balances
(in thousands)			June 30, 2026						December 31, 2025
5.11			$	12,243					$	14,605
BOA			27,653						23,330
PrimaLoft			32,987						33,599
The Honey Pot Co.			45,499						43,417
Velocity Outdoor			6,894						6,917
Altor			6,535						7,067
Arnold			1,655						1,592
Rimports (1)			1,044						1,012
Allocation Interests			100						100
			$	134,610					$	131,639

Recurring Fair Value Measurements

The following tables present, by level within the fair value hierarchy, the Company's financial assets and liabilities that are measured at fair value on a recurring basis as of June 30, 2026 or December 31, 2025 according to the valuation technique utilized to determine their fair values.

			Fair Value Measurements at June 30, 2026
(in thousands)			Carrying Value						Level 1						Level 2						Level 3
Assets:
Receivable due from unconsolidated affiliate			$	39,000					$	—					$	—					$	39,000
Total recorded at fair value			$	39,000					$	—					$	—					$	39,000

			Fair Value Measurements at December 31, 2025
(in thousands)			Carrying Value						Level 1						Level 2						Level 3
Assets:
Receivable due from unconsolidated affiliate			$	97,000					$	—					$	—					$	97,000
Total recorded at fair value			$	97,000					$	—					$	—					$	97,000

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The Company had no assets or liabilities Level 3 fair value measurements during the six months ended June 30, 2025. A reconciliation of the change in the carrying value of the Company's Level 3 fair value measurement during the six months ended June 30, 2026 is as follows:

						Six months ended June 30, 2026
Balance at January 1st						$	97,000
Change in fair value of receivable due from unconsolidated affiliate						(58,000)
Balance at June 30th						$	39,000

Valuation Techniques

The Company has not changed its valuation techniques in measuring the fair value of any of its other financial assets and liabilities during the period. For details of the Company’s fair value measurement policies under the fair value hierarchy, refer to the 2025 Form 10-K.

Nonrecurring Fair Value Measurements

The following table provides the assets and liabilities carried at fair value measured on a non-recurring basis as of June 30, 2026 and December 31, 2025. Refer to "Note E - Goodwill and Intangible Assets", for a description of the valuation techniques used to determine fair value of the assets measured on a non-recurring basis in the tables below.

																											Expense
			Fair Value Measurements at June 30, 2026																								Six months ended
(in thousands)			Carrying Value						Level 1						Level 2						Level 3						June 30, 2026
Goodwill - PrimaLoft			$	212,036					—						—						$	212,036					$	20,500

																											Expense
			Fair Value Measurements at December 31, 2025																								Year ended
(in thousands)			Carrying Value (1)						Level 1						Level 2						Level 3						December 31, 2025
Property, plant and equipment - Lugano			$	—					—						—						$	—					$	29,631
Right-of-use asset - Lugano			$	—					—						—						$	—					$	1,884

(1) Lugano recorded impairment expense in the second quarter of 2025 related to long-lived assets. As a result of the deconsolidation of Lugano on November 16, 2025, the carrying value of the related assets as of December 31, 2025 was $0.

The Company estimates its annual effective tax rate each fiscal quarter and applies that estimated rate to its interim pre-tax earnings. In this regard, the Company reflects the full year’s estimated tax impact of certain unusual or infrequently occurring items and the effects of changes in tax laws or rates in the interim period in which they occur. The Company's parent, the Trust, is subject to entity-level U.S. federal, state and local corporate income taxes on the Company's earnings that flow through to the Trust.

The computation of the annual estimated effective tax rate for each interim period requires certain assumptions, estimates, and significant judgment, including with respect to the projected operating income for the year, projections of income earned and taxes incurred in various jurisdictions, permanent and temporary differences and the likelihood of recovering deferred tax assets. The accounting estimates used to compute the provision for income taxes may change as new events occur, as additional information is obtained, as our tax structure changes or as the tax laws change. Certain foreign operations are subject to foreign income taxation under existing provisions of the laws of those jurisdictions.

The Company recognizes interest and penalties related to unrecognized tax benefits within income tax expense. The Company accrues interest on all cumulative unrecognized tax benefits, reflecting financial exposure that spans both historical tax years and the current reporting period. During the current quarter, the Company identified that interest associated with certain previously recognized uncertain tax positions had not been accrued in prior

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reporting periods. The Company recorded approximately $5.5 million of additional accrued interest during the quarter, substantially all of which relates to prior years. Management concluded that the adjustment was not material to any previously issued financial statements or the current interim period and, accordingly, recorded the adjustment as a component of income tax expense during the current quarter.

The reconciliation between the Federal Statutory Rate and the effective income tax rate for the six months ended June 30, 2026 and 2025 is as follows:

			Six months ended June 30,
			2026						2025
United States Federal Statutory Rate			21.0		%				21.0		%
State income taxes (net of Federal benefits)			12.4						2.5
Foreign income taxes			(2.1)						(10.0)
Nontaxable or nondeductible items			(2.2)						(0.1)
Utilization of tax credits			(0.1)						1.3
Changes in valuation allowances			(5.4)						(34.0)
United States tax on foreign income			1.8						1.9
Impairment expense			4.2						—
Change in unrecognized tax benefits			5.3						—
Tax effect - sale of Sterno			15.4						—
Other			0.4						(0.6)
Effective income tax rate			50.7		%				(18.0)		%

In connection with the acquisition of Arnold, the company has a defined benefit plan covering substantially all of Arnold’s employees at its Lupfig, Switzerland location. The benefits are based on years of service and the employees’ highest average compensation during the specific period.

The unfunded liability of $2.8 million is recognized in the consolidated balance sheet as a component of other non-current liabilities at June 30, 2026. Net periodic benefit cost consists of the following for the three and six months ended June 30, 2026 and 2025 (in thousands):

			Three months ended June 30,												Six months ended June 30,
			2026						2025						2026						2025
Service cost			$	196					$	184					$	394					$	350
Interest cost			52						44						104						84
Expected return on plan assets			(41)						(32)						(83)						(61)
Amortization of prior service cost			(14)						(15)						(28)						(28)
Amortization of unrecognized loss			—						25						—						48
Effect of settlement			—						24						—						33
Net periodic benefit cost			$	193					$	230					$	387					$	426

During the six months ended June 30, 2026, per the terms of the pension agreement, Arnold contributed approximately $0.3 million to the plan. For the remainder of 2026, the expected contribution to the plan will be approximately $0.3 million.

The plan assets are pooled with assets of other participating employers and are not separable; therefore, the fair values of the pension plan assets at June 30, 2026 were considered Level 3.

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Legal Matters

The Company and its subsidiaries are subject to legal proceedings and claims that arise in the ordinary course of business. The Company accrues a liability for a loss contingency when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. For material loss contingencies that are reasonably possible or for which the amount of loss cannot be reasonably estimated, the Company discloses the nature of the contingency. The Lugano Investigation, the restatement of the Company’s previously issued consolidated financial statements and related matters may result in additional litigation, regulatory investigations and liabilities in future periods.

Securities Class Actions Involving the Company

Following the Company’s announcement of the Lugano Investigation and restatement, several putative securities class actions were filed against the Company and certain of its officers and directors. The previously filed California actions were consolidated and later voluntarily dismissed so that the lead plaintiff could pursue its claims in the United States District Court for the District of Connecticut. The Connecticut action, originally captioned Moreno v. Compass Diversified Holdings LLC, et al., now known as In Re Compass Diversified Holdings Securities Litigation, asserts claims under Sections 10(b) and 20(a) of the Exchange Act and Rule 10b-5. The lead plaintiff filed an amended complaint on February 6, 2026, and the defendants filed motions to dismiss on March 23, 2026. All motions are fully briefed. The Company believes it has defenses available and intends to vigorously defend the action. Management has determined that a loss is reasonably possible but cannot reasonably estimate a range of potential loss.

Derivative Actions Involving the Company

Several shareholder derivative actions have been filed, purportedly on behalf of the Company, against certain current and former officers and directors. The derivative actions generally assert claims for breach of fiduciary duty and violations of the federal securities laws based on allegations related to Lugano and the restatement. The California derivative actions have been consolidated and stayed, and the Connecticut derivative actions have been consolidated and stayed, in each case pending further developments in the securities class action. A derivative action was also recently filed in Delaware Chancery Court. All derivative actions are in the early stages. The Company believes defenses are available and intends to vigorously defend these matters. Management has determined that a loss is reasonably possible but cannot reasonably estimate a range of potential loss.

External Investigations and Reviews

As a result of the Company’s withdrawal of reliance on its 2024, 2023 and 2022 financial statements, delayed periodic reporting and the underlying conduct at Lugano, the Company is subject to ongoing investigations by the SEC and the U.S. Department of Justice. The investigative process is inherently uncertain, and the Company cannot predict the outcome of these investigations. The Company is cooperating with the ongoing investigations. Management has determined that a loss is reasonably possible but cannot reasonably estimate a range of potential loss.

State Court Actions Naming Lugano and the Company as Defendants

Certain state court actions have been filed naming Lugano and, in some cases, the Company or related entities. In Kraus v. Lugano Diamonds & Jewelry, Inc., et al., the plaintiff seeks damages, plus interest and penalties. The Trust was named as a defendant and the plaintiff sought leave to amend its complaint; before the court ruled on that request, it stayed the case with respect to all defendants. In Royal T Diamonds Group Ltd. v. Lugano Diamonds & Jewelry Inc., et al., formerly filed by Champion Force Industrial Limited, the plaintiff seeks damages, principally for unpaid goods. The court granted CODI’s motion to quash for lack of personal jurisdiction on March 26, 2026. The Company intends to avail itself of all available defenses in any matter in which it remains a party. Management has determined that a loss is reasonably possible but cannot reasonably estimate a range of possible loss, if any, that may result from these matters.

Lugano Chapter 11 Filing and Related Matters

On November 16, 2025, Lugano and certain of its subsidiaries filed voluntary Chapter 11 petitions under the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware. As a result, Lugano was deconsolidated from the Company’s consolidated financial statements. On June 24, 2026, CODI entered into the Settlement Agreement and Plan Support Agreement described in Note B. Subject to creditor approval, bankruptcy

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court confirmation and effectiveness of the proposed Plan of Liquidation, the Settlement Documents resolve claims that were alleged against CODI and its related parties by or on behalf of Lugano or its bankruptcy estate and provide for releases of CODI and its related parties from claims that could be asserted by or on behalf of Lugano or its bankruptcy estate. The Settlement Agreement is not binding until its conditions are satisfied or waived, including occurrence of the effective date of the Plan of Liquidation, and CODI may receive releases from certain creditors under the Plan of Liquidation. The Company cannot predict whether the Plan of Liquidation will be confirmed or become effective, the timing or amount of recoveries, or whether third parties may assert claims not covered by the releases. Any such matters could result in significant defense costs, settlement payments or judgments and could affect the timing and amount of recoveries in the bankruptcy proceedings.

Tariff Refunds

In February 2026, the U.S. Supreme Court issued a decision holding that tariffs imposed under the International Emergency Economic Powers Act ("IEEPA") were not authorized under the statute. As a result, the legal and regulatory framework surrounding certain IEEPA tariffs continues to evolve, including the process for seeking potential refunds of previously paid tariffs. Our subsidiaries have submitted claims for refunds related to certain eligible tariffs paid, however, the timing and approval of any refunds are uncertain and contingent upon further legal, regulatory, and administrative developments. Because significant uncertainty remains regarding the availability, timing, and amount of any potential recovery, the Company has not recognized a receivable or gain related to potential tariff refunds as of June 30, 2026. The Company will continue to monitor developments and recognize a receivable when amounts are realized or realizable.

Leases

The Company and its subsidiaries lease office and manufacturing facilities, computer equipment and software under various arrangements. Certain of the leases are subject to escalation clauses and renewal periods. The Company and its subsidiaries recognize lease expense, including predetermined fixed escalations, on a straight-line basis over the initial term of the lease including reasonably assured renewal periods from the time that the Company and its subsidiaries control the leased property. Leases with an initial term of 12 months or less are not recorded on the balance sheet; we recognize lease expense for these leases on a straight-line basis over the lease term. Certain of our subsidiaries have leases that contain both fixed rent costs and variable rent costs based on achievement of certain operating metrics. The variable lease expense was not a material component of our total lease expense for the three and six months ended June 30, 2026 and 2025. The Company recognized $12.5 million and $24.4 million in the three and six months ended June 30, 2026, respectively and $13.9 million and $27.4 million in the three and six months ended June 30, 2025, respectively, in expense related to operating leases in the condensed consolidated statements of operations. The Company entered into one finance lease in the fourth quarter of 2024. In both the three and six months ended June 30, 2026 and June 30, 2025 the Company recognized $0.2 million and $0.3 million, respectively, in interest expense related to its finance lease.

The maturities of lease liabilities at June 30, 2026 are as follows (in thousands):

						Operating						Finance						Total
2026 (excluding the six months ended June 30, 2026)						$	27,135					$	359					$	27,494
2027						49,190						7,040						56,230
2028						39,550						—						39,550
2029						29,780						—						29,780
2030						25,867						—						25,867
Thereafter						79,041						—						79,041
Total undiscounted lease payments						$	250,563					$	7,399					$	257,962
Less: Interest						90,770						558						91,328
Present value of lease liabilities						$	159,793					$	6,841					$	166,634

The calculated amount of the right-of-use assets and lease liabilities are impacted by the length of the lease term and discount rate used to present value the minimum lease payments. The Company's lease agreements often include one or more options to renew at the Company's discretion. In general, it is not reasonably certain that lease renewals will be exercised at lease commencement and therefore lease renewals are not included in the lease term. As the discount rate is rarely determinable, the Company utilizes the incremental borrowing rate of the subsidiary

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entering into the lease arrangement, on a collateralized basis, over a similar term as adjusted for any country specific risk.

The weighted average remaining lease terms and discount rates for all of our operating leases were as follows:

Lease Term and Discount Rate						June 30, 2026						June 30, 2025
Weighted-average remaining lease term (years)
Operating Leases						6.57						5.96
Finance Leases						0.83						1.83
Weighted-average discount rate
Operating Leases						8.87		%				8.88		%
Finance Leases						9.90		%				9.90		%

Supplemental balance sheet information related to leases was as follows (in thousands):

						Line Item in the Company’s Consolidated Balance Sheet						June 30, 2026						December 31, 2025
Assets:
Operating lease right-of-use assets						Other non-current assets						$	143,712					$	146,755
Finance lease right-of-use assets						Other non-current assets						6,881						$	6,881
												$	150,593					$	153,636
Liabilities
Operating lease liabilities - current						Other current liabilities						$	35,568					$	37,854
Operating lease liabilities - non-current						Other non-current liabilities						124,225						126,084
Finance lease liabilities - current						Other current liabilities						6,841						47
Finance lease liabilities - non-current						Other non-current liabilities						—						6,820
												$	166,634					$	170,805

Supplemental cash flow information related to leases was as follows (in thousands):

						Six months ended June 30, 2026						Six months ended June 30, 2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases						$	25,628					$	27,400
Operating cash flows from finance leases						334						336
Financing cash flows from finance leases						26						23
Right-of-use assets obtained in exchange for lease obligations:
Operating leases						$	15,813					$	2,205

Altor Sale Leaseback

On January 23, 2026, Altor completed a sale leaseback transaction for its manufacturing facilities in Bloomsburg, Pennsylvania; New Albany, Indiana; and El Dorado Springs, Missouri (the “Properties”). Under the purchase and sale agreement, Altor sold the land, buildings and certain integrated fixtures to the buyer/lessor for total consideration of $11.75 million and recognized a gain on the transaction of $10.2 million in other operating income (expense) from continuing operations in the six months ended June 30, 2026. Concurrently with the execution of the purchase and sale agreement, Altor entered into a 20 year triple-net master lease to lease back all three Properties.

Accounting for the transaction is governed by ASC 842, Leases. Under ASC 842, a sale leaseback is accounted for as a sale and a lease only if the transfer of the Properties qualifies as a sale in accordance with ASC 606, including that control of the Properties transferred to the buyer/lessor and the leaseback does not include (among other things) a repurchase option or other provisions that would prevent the transfer from being accounted for as a sale. When a sale is achieved, the seller-lessee derecognizes the carrying amount of the Properties, recognizes any

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resulting gain or loss, and recognizes a right-of-use asset and lease liability for the leaseback measured in accordance with ASC 842. Altor determined that the sale leaseback transaction qualified as a sale under ASC 606 and accordingly recognized a gain and recognized a right-of-use asset and lease liability for the leaseback.

For the leaseback, Altor will recognize lease expense generally on a straight-line basis over the lease term, and the related lease payments will be presented within operating cash flows. Because the lease is a triple-net lease, Altor is generally responsible for certain costs associated with the Properties, such as real estate taxes, insurance and maintenance; amounts paid for these items are generally excluded from the measurement of the lease liability when they represent non-lease components or variable payments, and are recognized in expense as incurred.

Exit Costs

Altor

Subsequent to the acquisition of Lifoam in October 2024, Altor determined that they would shut down four of their facilities that had geographic overlap with Lifoam facilities. During the three months ended March 31, 2025, Altor recorded approximately $0.6 million in exit costs related to the plant closures in selling general and administrative expense. The plant closures were finalized in the fourth quarter of 2025 and no additional expense was recorded in the three months ended June 30, 2026.

Arnold

During 2024, Arnold relocated two of its facilities located in Marengo, Illinois into one combined facility in Woodstock, Illinois. Arnold recorded $0.9 million in costs in selling, general and administrative expense in the three months ended March 31, 2025 related to the relocation of the two facilities. The exit from the Marengo facility was completed during 2025.

Management Services Agreement

The LLC entered into a MSA with CGM effective May 16, 2006, as amended. CGM is managed by Wayfinder Partners LLC, of which Zachary T. Sawtelle, the Company’s Chief Operating Officer, is the managing member. Elias J. Sabo, the Company’s Chief Executive Officer, is also a member of CGM. The MSA provides for, among other things, CGM to perform services for the LLC in exchange for a management fee. The management fee is required to be paid prior to the payment of any distributions to shareholders.

Pursuant to the MSA, CGM is entitled to enter into off-setting management service agreements with each of the operating segments. The amount of the fee is negotiated between CGM and the operating management of each segment and is based upon the value of the services to be provided. The fees paid directly to CGM by the segments offset on a dollar for dollar basis the amount due CGM by the LLC under the MSA.

Amendments to Management Services Agreement

On February 23, 2026, the LLC and CGM entered into an Eighth Amended and Restated Management Services Agreement (the “Eighth MSA”), which amended and restated the MSA. The Eighth MSA, among other things, (i) established a repayment protocol for previously overpaid management fees, including permitting the Company, subject to interest, to fund all or a portion of otherwise payable quarterly fees while an overpayment balance remains outstanding, (ii) provided for a dollar-for-dollar reduction of fees payable under the MSA for certain services outsourced by the Company to third-party service providers and excludes such services from the scope of services to be provided by CGM, (iii) clarified requirements and restrictions applicable to personnel seconded by CGM to the Company, and (iv) updated certain operational, governance, authority and indemnification provisions.

On July 12, 2026, the LLC and CGM entered into the Ninth Amended and Restated Management Services Agreement (the “Ninth MSA”), which became effective upon execution and amends and restates the Eighth MSA. The fee and incentive-award provisions described in Note P become effective January 1, 2027; the fee provisions of the Eighth MSA remain applicable through December 31, 2026. Refer to Note P - “Subsequent Events.”

Effect of Restatement on Management Fees

As a result of the restatement of the financial statements as of December 31, 2024, 2023 and 2022 and for the years ended December 31, 2024, 2023 and 2022, as well as for the period ended December 31, 2021 and revisions made in the quarter ended March 31, 2025, the management fees paid to CGM were in excess of the amounts that

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should have been due under the MSA. While the MSA did not, prior to the MSA Amendment, contain an express mechanism that permitted the Company to immediately clawback the overpayment of management fees during the aforementioned periods, the MSA provided that future payments under the MSA would be reduced, on a dollar-for-dollar basis, by the aggregate amount of all overpaid management fees. The Company calculated the total aggregate amount of excess management fees paid as a result of the restatement of the financial statements as $50.4 million. In 2025, restrictions under the Company’s financing arrangements limited the Company’s ability to pay management fees, resulting in management fee expense being incurred but not fully paid. The Company determined that the amount of management fees that had been overpaid at December 31, 2025 was $33.8 million, which was recorded as an asset (“Due from CGM”) and reduced management fee expense for the year ended December 31, 2025. For the six months ended June 30, 2026, the Company recorded management fee expense of $29.8 million. During the six months ended June 30, 2026, the Company reduced the Due from CGM balance by $14.9 million for management fees applied against the prior overpayment by reducing the management fee due to CGM. As of June 30, 2026, the Due from CGM balance of $6.3 million reflects amounts due from CGM of $19.3 million including interest expense in accordance with the Eighth MSA Amendment, net of management fees accrued of $13.0 million. Subsequent to June 30, 2026, the Company elected to fund $6.4 million of the quarterly management fee that otherwise would have been payable for the second quarter of 2026.

The Company expects to continue to reduce future management fee payments until the overpayment has been fully recouped. Total cash paid for Management fees in the six months ended June 30, 2026 was $15.4 million as compared to total cash paid for Management fees for the six months ended June 30, 2025 of $37.7 million.

LLC Agreement

The LLC agreement gives the Holder the right to distributions pursuant to a profit allocation formula upon the occurrence of a Sale Event or a Holding Event. The Holder is entitled to receive and as such can elect to receive, if due pursuant to the profit allocation formula, an allocation payment upon a Sale Event and upon election of the Holders upon a Holding Event. The Lugano Bankruptcy was a Sale Event and any corresponding loss on such Sale Event will have the effect of reducing future allocation payments. The LLC Agreement also contains a mechanism to adjust future profit allocation payments by over-paid and under-paid profit distributions. The Company intends to cause future allocation payments to be adjusted, as necessary, to reflect the impact of the restatement of the Company’s financial statements.

The sale of the Sterno food service product division in the second quarter of 2026 was a Sale Event. Although the sale of Sterno resulted in the calculation of a positive profit allocation distribution, no amount will paid to the Holder as a result of the sale of Sterno as the amount of profit allocation payment due was not sufficient to exceed the high water mark in the profit allocation formula.

Integration Services

During the quarter months ended March 31, 2025, The Honey Pot Co., paid CGM $0.9 million in integration service fees under an integration services agreement that has since been fully paid. An amendment to the Management Services Agreement entered into in January 2025 eliminated integration service fees for future acquisitions therefore no integration service fees were incurred subsequent to March 31, 2025.

The Company and its businesses have the following significant related party transactions

5.11

Related Party Vendor Purchases - 5.11 purchases inventory from a vendor who is a related party to 5.11 through one of the executive officers of 5.11 via the executive's 40% ownership interest in the vendor. 5.11 purchased approximately $0.2 million and $0.3 million during the three and six months ended June 30, 2026, respectively and $0.2 million and $0.6 million during the three and six months ended June 30, 2025, respectively in inventory from the vendor.

BOA

Related Party Vendor Purchases - A contract manufacturer used by BOA as the primary supplier of molded injection parts is a noncontrolling shareholder of BOA. BOA purchased approximately $12.9 million and $24.0 million from this supplier during the three and six months ended June 30, 2026, respectively and $11.1 million and $23.1 million from this supplier during the three and six months ended June 30, 2025, respectively.

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Lugano

Related Party Transaction - In the first quarter of 2025, the former Chief Executive Officer of Lugano represented that he had entered into an agreement with a customer of Lugano to pay, on behalf of the customer, an $8.8 million outstanding account receivable owed to Lugano since July 2024. However, the former Chief Executive Officer of Lugano misrepresented the purpose and explanation for the transaction. It was subsequently determined that neither the account receivable nor the purpose of the payment by the former Chief Executive Officer of Lugano were factually accurate, and that instead the payment was made by the former Chief Executive Officer of Lugano in furtherance of his previously described schemes.

Related Party Vendor Purchases -Lugano purchases inventory from a vendor who is a related party to Lugano through one of the executive officers of Lugano. The related party relationship commenced in the second quarter of 2024 and ended in the fourth quarter of 2025. Lugano had approximately $(1.6) million and $0.3 million in net purchases during the three and six months ended June 30, 2025, respectively. During the three months ended June 30, 2025, Lugano had $12 thousand in purchases from the vendor and $1.6 million in returns to the vendor, resulting in ($1.6) million in net returns during the quarter.

At June 30, 2026, the Company had eight reportable operating segments. Each operating segment represents a platform acquisition. The Company’s operating segments are strategic business units that offer different products and services. While each is actively managed by the Company, they are managed separately because each business requires different technology and marketing strategies. A description of each of the reportable segments and the types of products from which each segment derives its revenues is as follows:

•5.11 is a global apparel, footwear, and gear company serving consumers who demand performance, durability, and versatility across work, training, and adventure. 5.11 is a brand known for innovation and authenticity and works directly with end users to create purpose-built apparel, footwear and gear designed to enhance the safety, accuracy, speed and performance of tactical professionals and enthusiasts worldwide. 5.11 operates sales offices and distribution centers globally, and 5.11 products are widely distributed in uniform stores, military exchanges, outdoor retail stores, its own retail stores and on 511tactical.com.

•BOA, creator of the patented BOA Fit System, partners with market-leading brands to make the best gear even better. Delivering fit solutions purpose-built for performance, the BOA Fit System is featured in footwear across snow sports, cycling, outdoor, athletic, workwear as well as performance headwear and bracing. The system consists of three integral parts: a micro-adjustable dial, high-tensile lightweight laces, and low friction lace guides creating a superior alternative to laces, buckles, Velcro, and other traditional closure mechanisms. Each unique BOA configuration is designed with brand partners to deliver superior fit and performance for athletes, is engineered to perform in the toughest conditions and is backed by The BOA Lifetime Guarantee. BOA is headquartered in Denver, Colorado and has operations in Austria, China, South Korea, Japan and Vietnam.

•PrimaLoft is a leading provider of branded, high-performance synthetic insulation and materials used primarily in consumer outerwear, and accessories. The portfolio of PrimaLoft synthetic insulations offers products that can both mimic natural down aesthetics and provide the freedom to design garments ranging from stylish puffers to lightweight performance apparel. PrimaLoft insulations also offer superior economics to the brand partner and enable better sustainability characteristics through the use of recycled, low-carbon inputs. PrimaLoft is headquartered in Latham, New York.

•The Honey Pot Co. is a leading “better-for-you” feminine care brand, powered by plant-derived ingredients and clinically tested formulas. Founded in 2012 by CEO Beatrice Dixon, The Honey Pot Co. is rooted in the belief that all products should be made with healthy and efficacious ingredients that are kind to and safe for skin. The company offers an extensive range of holistic wellness products across the feminine hygiene, menstrual, personal care, and sexual wellness categories. The Honey Pot Co.'s mission is to educate, support, and provide consumers around the world with tools and resources that promote menstrual health and vaginal wellness. Its products can be found in more than 33,000 stores across the U.S. through mass merchants, drug and grocery retail chains, and online. The Honey Pot Co. is headquartered in Atlanta, Georgia.

•Velocity Outdoor is a leading designer, manufacturer, and marketer of archery products, hunting apparel and related accessories. The archery product category consists of products including Ravin crossbows and CenterPoint archery products, and the apparel category offers high-performance, feature rich hunting and casual apparel under the King's Camo brand, utilizing King’s own proprietary camo patterns. Velocity Outdoor

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offers its products through national retail chains and dealer and distributor networks. Velocity Outdoor is headquartered in Rochester, New York. On April 30, 2024, Velocity Outdoor sold the Crosman airgun product division. The results of operation for Crosman are included in the accompanying financial statements through the date of sale.

•Altor Solutions is a designer and manufacturer of custom molded protective foam solutions and original equipment manufacturer components made from expanded polystyrene and expanded polypropylene. Altor provides products to a variety of end markets, including appliances and electronics, pharmaceuticals, health and wellness, automotive, building and other products. Altor is headquartered in St. Louis, Missouri and operates 19 molding and fabricating facilities across North America.

•Arnold is a global solutions provider and manufacturer of engineered solutions for a wide range of specialty applications and end-markets, including aerospace and defense, general industrial, motorsport/transportation, oil and gas, medical, energy, semiconductor and advertising specialties. Arnold engineers solutions for and produces high performance permanent magnets (PMAG), stators, rotors and full electric motors (Ramco), precision foil products (Precision Thin Metals), and flexible magnets (Flexmag™) that are mission critical in motors, generators, sensors and other systems and components. Based on its long-term relationships, Arnold has built a diverse and blue-chip customer base totaling more than 2,000 customers and leading systems-integrators worldwide with a focus on North America, Europe, and Asia. Arnold has built a preferred rare earth supply chain and has leading rare earth and other permanent magnet production capabilities. Arnold is headquartered in Rochester, New York.

•Rimports manufactures and distributes branded and private label wickless candle products used for home decor and fragrance systems under the ScentSationals and Fusion brands. Rimports offers unique lines of wickless candle products including ceramic wax warmers, scented wax cubes, fragrance oils, essential oils, and diffusers. Rimports also sells flameless candles, lanterns, and outdoor lighting. Rimports was acquired by Sterno in February 2018 and is headquartered in Provo, Utah.

The function of chief operating decision-maker (“CODM”) is performed collectively by the Company's Chief Executive Officer, the Chief Operating Officer of CGM and the partners of CGM. The CODM evaluates financial results by segment, utilizing segment operating income to assess performance and allocate resources. The allocation of resources to operating segments may include, but is not limited to, debt financing through the Company's intercompany credit agreements with its operating segments to fund working capital needs, purchases of capital equipment and add-on acquisitions. The primary resource allocation process occurs predominantly in the annual budget and forecasting process. The CODM then reviews and considers budget-to-actual variances on a monthly basis for segment operating income in order to determine whether to make any adjustments to capital allocations.

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Depreciation and Amortization Expense			Three months ended June 30,												Six months ended June 30,
(in thousands)			2026						2025						2026						2025
5.11			$	5,045					$	5,458					$	11,297					$	11,156
BOA			5,083						5,050						10,154						10,100
Lugano			—						978						—						2,105
PrimaLoft			5,243						5,262						10,491						10,499
The Honey Pot Co.			4,098						4,098						8,194						8,194
Velocity Outdoor			1,380						1,364						2,770						2,728
Altor Solutions			6,446						5,792						12,899						12,853
Arnold			2,603						2,682						5,339						5,239
Rimports			3,156						3,495						6,656						6,957
Total			33,054						34,179						67,800						69,831
Reconciliation of segment to consolidated total:
Amortization of debt issuance costs			2,047						971						4,094						2,096
Consolidated total			$	35,101					$	35,150					$	71,894					$	71,927

			Accounts Receivable												Identifiable Assets
			June 30,						December 31,						June 30,						December 31,
(in thousands)			2026						2025						2026 (1)						2025 (1)
5.11			$	54,360					$	67,064					$	379,416					$	420,755
BOA			3,902						3,971						204,456						209,388
PrimaLoft			2,050						1,908						243,263						248,314
The Honey Pot Co.			22,893						21,348						259,488						268,162
Velocity Outdoor			18,308						8,247						89,923						84,880
Altor Solutions			39,820						37,981						287,318						288,966
Arnold			29,523						25,501						125,352						126,276
Rimports			19,734						41,877						64,155						133,468
Sales allowance accounts			(4,263)						(5,010)						—						—
Total			186,327						202,887						1,653,371						1,780,209
Reconciliation of segment to consolidated totals:
Corporate and other identifiable assets			—						—						81,838						160,667
Total			$	186,327					$	202,887					$	1,735,209					$	1,940,876

(1)Does not include accounts receivable balances per schedule above or goodwill balances - refer to Note E - "Goodwill and Other Intangible Assets".

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