During the third quarter of fiscal 2026, there were no material changes in our exposure to market risk from changes in foreign exchange and interest rates from those disclosed in our 2025 Annual Report on Form 10-K. 29 Table of Contents Foreign Currency Risk Our international operations create potential foreign exchange risk. Our policy is to selectively hedge our foreign currency denominated transactions in a manner that partially offsets the effects of changes in foreign currency exchange rates. We typically use foreign currency contracts to hedge only those currency exposures associated with certain assets and liabilities denominated in non-functional currencies. Corresponding gains and losses on the underlying transaction generally offset the gains and losses on these foreign currency hedges. We cannot predict changes in currency rates, nor the degree to which we will be able to manage the impacts of currency exchange rate changes. Such changes could have a material effect on our business, results of operations and financial condition. Our percentages of transactions denominated in currencies other than the U.S. dollar for the indicated periods were as follows: Three Months Ended July 4, 2026 June 28, 2025 Net Sales 8% 9% Total Costs 18% 18% We have evaluated the potential foreign currency exchange rate risk on transactions denominated in currencies other than the U.S. dollar for the periods presented above. Based on our overall currency exposure, as of July 4, 2026, a 10.0% change in the value of the U.S. dollar relative to our other transactional currencies would not have a material effect on our financial position, results of operations, or cash flows. Interest Rate Risk We have financial instruments, including cash equivalents and debt, which are sensitive to changes in interest rates. The primary objective of our investment activities is to preserve principal while maximizing yields without significantly increasing market risk. To achieve this, we limit the amount of principal exposure to any one issuer. As of July 4, 2026, our only material interest rate risk was associated with our Credit Facility. Borrowings under the Credit Facility bear interest, at the Company's option, at a rate equal to an alternate base rate, Term SOFR, EURIBOR, or Daily Simple SONIA, plus, in each case, an applicable interest rate margin based on the ratio of the Company's then current consolidated total indebtedness (minus certain unrestricted cash and cash equivalents in an amount not to exceed $150 million) to consolidated EBITDA. The Company will also pay a fee on the daily unused commitments under the Second Amended and Restated Credit Agreement, based on the ratio of the Company's then current consolidated total debt (minus certain unrestricted cash and cash equivalents in an amount not to exceed $150 million) to consolidated EBITDA, of between 10 and 25 basis points. Based on our overall interest rate exposure, as of July 4, 2026, a 10.0% change in interest rates would not have a material effect on our financial position, results of operations, or cash flows.