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Tredegar Corporation Condensed Consolidated Balance Sheets (In Thousands, Except Share Data) (Unaudited) June 30, December 31, 2026 2025 Assets Current assets: Cash and cash equivalents $ 17,179 $ 6,729 Accounts and other receivables, net 97,451 81,811 Income taxes recoverable — 47 Inventories 88,081 64,962 Prepaid expenses and other 7,278 15,525 Total current assets 209,989 169,074 Property, plant and equipment, at cost 521,181 509,430 Less: accumulated depreciation (386,069) (376,455) Net property, plant and equipment 135,112 132,975 Right-of-use leased assets 14,419 12,764 Identifiable intangible assets, net 4,689 5,568 Goodwill 22,446 22,446 Deferred income taxes 24,501 26,277 Other assets 1,769 2,268 Total assets $ 412,925 $ 371,372 Liabilities and Shareholders’ Equity Current liabilities: Accounts payable $ 94,455 $ 75,754 Accrued expenses 23,857 25,411 Lease liability, short-term 2,585 2,263 Short-term debt — 498 Income taxes payable 232 455 Total current liabilities 121,129 104,381 Lease liability, long-term 12,103 10,960 ABL revolving facility 46,000 34,550 Pension and other postretirement benefit obligations, net 1,279 1,196 Other non-current liabilities 3,848 3,731 Total liabilities 184,359 154,818 Shareholders’ equity: Common stock, no par value (authorized shares 150,000,000, issued and outstanding 34,925,717 shares at June 30, 2026 and 34,737,534 shares at December 31, 2025) 65,755 65,477 Common stock held in trust for savings restoration plan (118,542 shares at June 30, 2026 and December 31, 2025) (2,233) (2,233) Accumulated other comprehensive income (loss): Foreign currency translation adjustment 6,241 5,566 Gain (loss) on derivative financial instruments 513 1,071 Pension and other postretirement benefit adjustments (276) (215) Retained earnings 158,566 146,888 Total shareholders’ equity 228,566 216,554 Total liabilities and shareholders’ equity $ 412,925 $ 371,372 See accompanying notes to the condensed consolidated financial statements. 2 Tredegar Corporation Condensed Consolidated Statements of Income (Loss) (In Thousands, Except Per Share Data) (Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Revenues and other items: Sales $ 216,236 $ 179,116 $ 402,725 $ 343,853 Other income (expense), net 40 1,385 83 1,376 216,276 180,501 402,808 345,229 Costs and expenses: Cost of goods sold 180,784 148,535 338,280 284,178 Freight 6,472 6,153 11,971 11,720 Selling, general and administrative 20,125 20,557 36,541 41,217 Research and development 178 193 355 357 Amortization of identifiable intangibles 440 440 879 879 Pension and postretirement benefits 25 27 63 3 Interest expense 465 1,785 824 2,798 Asset impairments and costs associated with exit and disposal activities, net of adjustments 9 (1) 15 17 Total 208,498 177,689 388,928 341,169 Income (loss) from continuing operations before income taxes 7,778 2,812 13,880 4,060 Income tax expense (benefit) 1,731 984 2,763 1,560 Net income (loss) from continuing operations 6,047 1,828 11,117 2,500 Income (loss) from discontinued operations, net of tax (30) (97) 561 9,332 Net income (loss) $ 6,017 $ 1,731 $ 11,678 $ 11,832 Earnings (loss) per share: Basic: Continuing operations $ 0.17 $ 0.05 $ 0.32 $ 0.07 Discontinued operations — — 0.02 0.27 Basic earnings (loss) per share $ 0.17 $ 0.05 $ 0.34 $ 0.34 Diluted: Continuing operations $ 0.17 $ 0.05 $ 0.32 $ 0.07 Discontinued operations — — 0.02 0.27 Diluted earnings (loss) per share $ 0.17 $ 0.05 $ 0.34 $ 0.34 Shares used to compute earnings (loss) per share: Basic 34,844 34,775 34,771 34,694 Diluted 34,844 34,775 34,771 34,694 See accompanying notes to the condensed consolidated financial statements. 3 Tredegar Corporation Condensed Consolidated Statements of Comprehensive Income (Loss) (In Thousands) (Unaudited) Three Months Ended June 30, 2026 2025 Net income (loss) $ 6,017 $ 1,731 Other comprehensive income (loss): Unrealized foreign currency translation adjustment ($0 tax in 2026 and 2025) 347 49 Derivative financial instruments adjustment (net of tax benefit of $406 in 2026 and net of tax expense of $171 in 2025) (1,409) 595 Amortization of prior service costs and net gains or losses (net of tax expense of $1 in 2026 and net of tax benefit of $14 in 2025) 5 (49) Other comprehensive income (loss) (1,057) 595 Comprehensive income (loss) $ 4,960 $ 2,326 Six Months Ended June 30, 2026 2025 Net income (loss) $ 11,678 $ 11,832 Other comprehensive income (loss): Unrealized foreign currency translation adjustment ($0 tax in 2026 and 2025) 675 75 Derivative financial instruments adjustment (net of tax benefit of $161 in 2026 and net of tax expense of $103 in 2025) (558) 398 Amortization of prior service costs and net gains or losses (net of tax benefit of $18 in 2026 and net of tax benefit of $38 in 2025) (61) (138) Other comprehensive income (loss) 56 335 Comprehensive income (loss) $ 11,734 $ 12,167 See accompanying notes to the condensed consolidated financial statements. 4 Tredegar Corporation Condensed Consolidated Statements of Cash Flows (In Thousands) (Unaudited) Six Months Ended June 30, 2026 2025 Cash flows from operating activities: Net income (loss) $ 11,678 $ 11,832 Adjustments for noncash items: Depreciation 9,857 10,018 Amortization of identifiable intangibles 879 879 Reduction of right-of-use leased assets 1,096 1,064 Deferred income taxes 1,956 1,209 Accrued pension and post-retirement benefits 63 107 Stock-based compensation expense 256 919 Gain on the sale of assets — (1,492) Gain on the sale of divested business (565) (9,657) Changes in assets and liabilities: Accounts and other receivables (15,637) (14,016) Inventories (23,101) (15,263) Income taxes recoverable/payable (176) (349) Prepaid expenses and other 7,531 8,897 Accounts payable and accrued expenses 14,559 2,336 Lease liability (1,286) (1,240) Pension and postretirement benefit plan contributions (58) (291) Other, net 625 2,195 Net cash provided by (used in) operating activities 7,677 (2,852) Cash flows from investing activities: Capital expenditures (9,266) (5,638) Proceeds from the sale of Terphane 565 9,835 Proceeds from the sale of assets — 1,904 Net cash (used in) provided by investing activities (8,701) 6,101 Cash flows from financing activities: Borrowings 105,900 88,197 Debt principal payments (94,962) (87,494) Debt financing costs — (1,272) Net cash provided by (used in) financing activities 10,938 (569) Effect of exchange rate changes on cash 536 53 Increase (decrease) in cash and cash equivalents 10,450 2,733 Cash and cash equivalents at beginning of period 6,729 7,062 Cash and cash equivalents at end of period $ 17,179 $ 9,795 See accompanying notes to the condensed consolidated financial statements. 5 Tredegar Corporation Condensed Consolidated Statements of Shareholders’ Equity (In Thousands, Except Share and Per Share Data) (Unaudited) The following summarizes the changes in shareholders’ equity for the three month period ended June 30, 2026: Common Stock Retained Earnings Trust for Savings Restoration Plan Accumulated Other Comprehensive Income (Loss) Total Shareholders’ Equity Balance April 1, 2026 $ 65,944 $ 152,549 $ (2,233) $ 7,535 $ 223,795 Net income (loss) — 6,017 — — 6,017 Foreign currency translation adjustment — — — 347 347 Derivative financial instruments adjustment — — — (1,409) (1,409) Amortization of prior service costs and net gains or losses — — — 5 5 Stock-based compensation expense 625 — — — 625 Repurchase of employee common stock for tax withholdings (814) — — — (814) Balance June 30, 2026 $ 65,755 $ 158,566 $ (2,233) $ 6,478 $ 228,566 The following summarizes the changes in shareholders’ equity for the six month period ended June 30, 2026: Common Stock Retained Earnings Trust for Savings Restoration Plan Accumulated Other Comprehensive Income (Loss) Total Shareholders’ Equity Balance at January 1, 2026 $ 65,477 $ 146,888 $ (2,233) $ 6,422 $ 216,554 Net income (loss) — 11,678 — — 11,678 Foreign currency translation adjustment — — — 675 675 Derivative financial instruments adjustment — — — (558) (558) Amortization of prior service costs and net gains or losses — — — (61) (61) Stock-based compensation expense 1,092 — — — 1,092 Repurchase of employee common stock for tax withholdings (814) — — — (814) Balance at June 30, 2026 $ 65,755 $ 158,566 $ (2,233) $ 6,478 $ 228,566 See accompanying notes to the condensed consolidated financial statements. 6 Tredegar Corporation Condensed Consolidated Statements of Shareholders’ Equity (In Thousands, Except Share and Per Share Data) (Unaudited) The following summarizes the changes in shareholders’ equity for the three month period ended June 30, 2025: Common Stock Retained Earnings Trust for Savings Restoration Plan Accumulated Other Comprehensive Income (Loss) Total Shareholders’ Equity Balance at April 1, 2025 $ 64,151 $ 123,513 $ (2,233) $ 5,939 $ 191,370 Net income (loss) — 1,731 — — 1,731 Foreign currency translation adjustment — — — 49 49 Derivative financial instruments adjustment — — — 595 595 Amortization of prior service costs and net gains or losses — — — (49) (49) Stock-based compensation expense 769 — — — 769 Repurchase of employee common stock for tax withholdings (359) — — — (359) Balance at June 30, 2025 $ 64,561 $ 125,244 $ (2,233) $ 6,534 $ 194,106 The following summarizes the changes in shareholders’ equity for the six month period ended June 30, 2025: Common Stock Retained Earnings Trust for Savings Restoration Plan Accumulated Other Comprehensive Income (Loss) Total Shareholders’ Equity Balance at January 1, 2025 $ 63,590 $ 113,412 $ (2,233) $ 6,199 $ 180,968 Net income (loss) — 11,832 — — 11,832 Foreign currency translation adjustment — — — 75 75 Derivative financial instruments adjustment — — — 398 398 Amortization of prior service costs and net gains or losses — — — (138) (138) Stock-based compensation expense 1,560 — — — 1,560 Repurchase of employee common stock for tax withholdings (589) — — — (589) Balance at June 30, 2025 $ 64,561 $ 125,244 $ (2,233) $ 6,534 $ 194,106 See accompanying notes to the condensed consolidated financial statements. 7 TREDEGAR CORPORATION NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) 1. BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Tredegar Corporation is engaged, through its subsidiaries, in the manufacture of aluminum extrusions and polyethylene and polypropylene plastic films. Unless the context requires otherwise, all references herein to “Tredegar,” “the Company,” “we,” “us” or “our” are to Tredegar Corporation and its consolidated subsidiaries. In the opinion of management, the accompanying condensed consolidated financial statements of the Company contain all adjustments necessary to state fairly, in all material respects, Tredegar’s condensed consolidated financial position as of June 30, 2026, the condensed consolidated results of operations for the three and six months ended June 30, 2026 and 2025, the condensed consolidated cash flows for the six months ended June 30, 2026 and 2025, and the condensed consolidated changes in shareholders’ equity for the three and six months ended June 30, 2026 and 2025, in accordance with U.S. generally accepted accounting principles (“GAAP”). All such adjustments, unless otherwise detailed in the notes to the condensed consolidated financial statements, are deemed to be of a normal, recurring nature. The Company operates on a calendar fiscal year except for the Aluminum Extrusions segment, which operates on a 52/53-week fiscal year basis. As such, the fiscal second quarter for 2026 and 2025 for this segment references 13-week periods ended June 28, 2026 and June 29, 2025, respectively. The Company does not believe the impact of reporting the results of this segment as stated above is material to the consolidated financial results. The Company may fund or receive cash from the Aluminum Extrusions segment based on Aluminum Extrusions' cash flows from operations during the intervening period from Aluminum Extrusions' fiscal quarter end and the Company’s fiscal quarter end. As a result, the Company’s prepaid and other current assets increased by $5.7 million as of December 31, 2025 since the Company made payments to the Aluminum Extrusions segment to fund its payroll during the intervening period between December 28, 2025 and December 31, 2025. There was no intercompany funding with Aluminum Extrusions between June 28, 2026 and June 30, 2026. The condensed consolidated financial statements as of December 31, 2025 that is included herein was derived from the audited consolidated financial statements provided in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 (“2025 Form 10-K”) but does not include all disclosures required by GAAP. These financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in the 2025 Form 10-K. The results of operations for the three and six months ended June 30, 2026, are not necessarily indicative of the results to be expected for the full year. In the fourth quarter of 2025, the Company renamed the segment formerly known as “PE Films.” This segment is now referred to as “High Performance Films.” The product previously known as polyethylene overwrap films was renamed to advanced packaging films. There were no changes to the operations reported within the High Performance Films segment. The Company continues to have two reportable segments: Aluminum Extrusions and High Performance Films. More information on the Company’s business segments is provided in Note 9. Sale of Flexible Packaging Films On November 1, 2024, the Company completed the sale of its flexible packaging films business (also referred to as “Terphane”) headquartered in Brazil to Oben Group (“Oben”). Commencing in the fourth quarter of 2024, all historical results for Terphane have been presented as discontinued operations. For more information on this transaction, see Note 10. Accounting standards not yet adopted In October 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2023-06 to amend various paragraphs in the Accounting Standards Codification ("ASC") to primarily reflect the issuance of U.S. Securities and Exchange Commission ("SEC") Staff Bulletin No. 33-10532. ASU 2023-06 will impact various disclosure areas, including the statement of cash flows, accounting changes and error corrections, earnings per share, debt, equity, derivatives, and transfers of financial assets. The amendments in this ASU 2023-06 will be effective on the date the related disclosures are removed from Regulation S-X or Regulation S-K by the SEC and will no longer be effective if the SEC has not removed the applicable disclosure requirement by June 30, 2027. Early adoption is not permitted. The Company does not expect a material impact from the adoption of this standard on our consolidated financial statements and related disclosures. In November 2024, the FASB issued ASU 2024-03 to improve the disclosures about public business entity’s expenses and address requests from investors for more detailed information about the types of expenses in commonly presented expense captions. The amendments in this ASU will require the Company to disclose specified information about certain costs and expenses in the notes to the financial statements. This ASU is effective for annual periods beginning after December 15, 2026 8 and interim periods beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating the impact of this standard on our consolidated financial statements and related disclosures. In December 2025, the FASB issued ASU 2025-11 to amend the guidance in “Interim Reporting” (Topic 270). The update provides clarifications intended to improve the consistency and usability of interim disclosure requirements, including a comprehensive listing of required interim disclosures and a new disclosure principle for reporting material events occurring after the most recent annual period. The amendments do not change the underlying objectives of interim reporting but are designed to enhance clarity in application. The guidance is effective for fiscal years beginning after December 15, 2027, including interim periods within those fiscal years. The Company does not expect a material impact from the adoption of this standard on our consolidated financial statements and related disclosures. 2. ACCOUNTS AND OTHER RECEIVABLES As of June 30, 2026 and December 31, 2025, accounts and other receivables, net include the following: (In thousands) June 30, 2026 December 31, 2025 Customer receivables $ 94,108 $ 80,027 Other receivables 3,638 2,095 Total accounts and other receivables 97,746 82,122 Less: Allowance for credit losses (295) (311) Total accounts and other receivables, net $ 97,451 $ 81,811 3. INVENTORIES The components of inventories are as follows: (In thousands) June 30, 2026 December 31, 2025 Finished goods $ 17,108 $ 17,578 Work-in-process 7,632 3,574 Raw materials 38,508 20,365 Stores, supplies and other 24,833 23,445 Total $ 88,081 $ 64,962 4. PENSION AND OTHER POSTRETIREMENT BENEFITS Tredegar sponsored a noncontributory defined benefit (pension) plan covering certain current and former U.S. employees. As of January 31, 2018, the plan no longer accrued benefits associated with crediting employees for service, thereby freezing all future benefits under the plan. On February 10, 2022, Tredegar announced the initiation of a process to terminate and settle its frozen defined benefit pension plan through lump sum distributions and the purchase of annuity contracts. On November 3, 2023, the pension plan termination and settlement process for the Company was completed, and the remaining pension plan obligation was transferred to Massachusetts Mutual Life Insurance Company. During 2023, the Company recognized a total pre-tax pension settlement loss of $92.3 million. Tredegar also has a non-qualified supplemental pension plan covering certain employees. Effective December 31, 2005, further participation in this plan was terminated and benefit accruals for existing participants were frozen. Pension expense recognized for this plan was immaterial in the three and six months ended June 30, 2026 and 2025. In addition to providing non-qualified supplemental pension benefits, the Company provides postretirement life insurance and health care benefits ("Other Post-Retirement Benefits") for certain groups of employees. Tredegar and retirees share in the costs with employees hired on or before January 1, 1993, who receive a fixed subsidy to cover a portion of their health care premiums. On October 31, 2025, Tredegar terminated the Other Post-Retirement Benefits by prefunding $0.1 million, representing all required contributions for the remainder of 2025. As of September 30, 2025, the Other Post-Retirement Benefits total obligation and unrecognized pre-tax actuarial gain reported in the condensed consolidated balance sheets was $5.0 million and $1.3 million, respectively, which was realized into the income statement during the fourth quarter of 2025. 9 The components of net periodic benefit cost for the pension and Other Post-Retirement Benefits reflected in the condensed consolidated statements of income for the three and six months ended June 30, 2026 and 2025, are shown below: Pension Benefits Other Post-Retirement Benefits Three Months Ended June 30, Three Months Ended June 30, (In thousands) 2026 2025 2026 2025 Service cost $ — $ — $ — $ 2 Interest cost 20 20 — 68 Amortization of prior service costs, (gains) losses and net transition asset 5 5 — (68) Net periodic benefit cost $ 25 $ 25 $ — $ 2 Pension Benefits Other Post-Retirement Benefits Six Months Ended June 30, Six Months Ended June 30, (In thousands) 2026 2025 2026 2025 Service cost $ — $ — $ — $ 4 Interest cost 142 39 — 136 Amortization of prior service costs, (gains) losses and net transition asset (79) 10 — (186) Net periodic benefit cost $ 63 $ 49 $ — $ (46) Pension and other postretirement liabilities were $1.5 million and $1.4 million at June 30, 2026 and December 31, 2025, respectively ($0.2 million included in “Accrued expenses” at June 30, 2026 and December 31, 2025 with the remainder included in “Pension and other postretirement benefit obligations, net” in the condensed consolidated balance sheets). 5. EARNINGS PER SHARE Basic earnings per share is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding. Diluted earnings per share is computed by dividing net income (loss) by the weighted average common and potentially dilutive common equivalent shares outstanding, determined as follows: Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2026 2025 2026 2025 Weighted average shares outstanding used to compute basic earnings per share 34,844 34,775 34,771 34,694 Incremental dilutive shares attributable to stock options — — — — Shares used to compute diluted earnings per share 34,844 34,775 34,771 34,694 Incremental shares attributable to stock options are computed under the treasury stock method using the average market price during the related period. Average out-of-the-money options to purchase shares that were excluded from the calculation of incremental shares attributable to stock options were 1,072,073 and 1,116,417 for the three and six months ended June 30, 2026, respectively. Average out-of-the-money options to purchase shares that were excluded from the calculation of incremental shares attributable to stock options were 1,245,367 and 1,285,628 for the three and six months ended June 30, 2025, respectively. 10 6. ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The changes in accumulated other comprehensive income (loss) by component for the three months ended June 30, 2026. (In thousands) Foreign Currency Translation Gain (Loss) on Derivative Financial Instruments Pension & Other Postretirement Benefit Adjust Total Accumulated Other Comprehensive Income (Loss) Balance at April 1, 2026 $ 5,894 $ 1,922 $ (281) $ 7,535 Other comprehensive income (loss) 347 1,170 — 1,517 Income tax (expense) benefit — (261) — (261) Other comprehensive income (loss), net of tax 347 909 — 1,256 Reclassification adjustment to net income (loss) — (2,985) 6 (2,979) Income tax (expense) benefit — 667 (1) 666 Reclassification adjustment to net income (loss), net of tax — (2,318) 5 (2,313) Other comprehensive income (loss), net of tax 347 (1,409) 5 (1,057) Balance at June 30, 2026 $ 6,241 $ 513 $ (276) $ 6,478 The changes in accumulated other comprehensive income (loss) by component for the six months ended June 30, 2026. (In thousands) Foreign Currency Translation Gain (Loss) on Derivative Financial Instruments Pension & Other Postretirement Benefit Adjust Total Accumulated Other Comprehensive Income (Loss) Balance at January 1, 2026 $ 5,566 $ 1,071 $ (215) $ 6,422 Other comprehensive income (loss) 675 1,550 — 2,225 Income tax (expense) benefit — (346) — (346) Other comprehensive income (loss), net of tax 675 1,204 — 1,879 Reclassification adjustment to net income (loss) — (2,269) (79) (2,348) Income tax (expense) benefit — 507 18 525 Reclassification adjustment to net income (loss), net of tax — (1,762) (61) (1,823) Other comprehensive income (loss), net of tax 675 (558) (61) 56 Balance at June 30, 2026 $ 6,241 $ 513 $ (276) $ 6,478 11 The changes in accumulated other comprehensive income (loss) by component for the three months ended June 30, 2025. (In thousands) Foreign Currency Translation Gain (Loss) on Derivative Financial Instruments Pension & Other Postretirement Benefit Adjust Total Accumulated Other Comprehensive Income (Loss) Balance at April 1, 2025 $ 5,132 $ 70 $ 737 $ 5,939 Other comprehensive income (loss) 48 754 — 802 Income tax (expense) benefit — (168) — (168) Other comprehensive income (loss), net of tax 48 586 — 634 Reclassification adjustment to net income (loss) — 13 (63) (50) Income tax (expense) benefit — (3) 14 11 Reclassification adjustment to net income (loss), net of tax — 10 (49) (39) Other comprehensive income (loss), net of tax 48 596 (49) 595 Balance at June 30, 2025 $ 5,180 $ 666 $ 688 $ 6,534 The changes in accumulated other comprehensive income (loss) by component for the six months ended June 30, 2025. (In thousands) Foreign Currency Translation Gain (Loss) on Derivative Financial Instruments Pension & Other Postretirement Benefit Adjust Total Accumulated Other Comprehensive Income (Loss) Balance at January 1, 2025 $ 5,105 $ 268 $ 826 $ 6,199 Other comprehensive income (loss) 75 372 — 447 Income tax (expense) benefit — (85) — (85) Other comprehensive income (loss), net of tax 75 287 — 362 Reclassification adjustment to net income (loss) — 129 (176) (47) Income tax (expense) benefit — (18) 38 20 Reclassification adjustment to net income (loss), net of tax — 111 (138) (27) Other comprehensive income (loss), net of tax 75 398 (138) 335 Balance at June 30, 2025 $ 5,180 $ 666 $ 688 $ 6,534 The amounts reclassified out of accumulated other comprehensive income (loss) related to pension and Other Post-Retirement Benefits is included in the computation of net periodic pension costs. See Note 4 for additional details. 7. DERIVATIVES Tredegar uses derivative financial instruments for the purpose of hedging margin exposure from fixed-price forward sales contracts in Aluminum Extrusions. These derivative financial instruments are designated as and qualify as cash flow hedges and are recognized in the condensed consolidated balance sheet at fair value. The fair value of derivative instruments recorded on the consolidated balance sheets is based upon Level 2 inputs. If individual derivative instruments with the same counterparty can be settled on a net basis, the Company records the corresponding derivative fair values as a net asset or net liability. In the normal course of business, Aluminum Extrusions enters into fixed-price forward sales contracts with a small subset of its customers for the future sale of fixed quantities of aluminum extrusions at scheduled intervals. In order to hedge margin exposure created from the fixing of future sales prices relative to volatile raw material (aluminum) costs, Aluminum Extrusions enters into a combination of forward purchase commitments and futures contracts to acquire or hedge aluminum, based on the scheduled purchases for the firm sales commitments. The fixed-price firm sales commitments and related hedging instruments have durations generally no longer than 12 months. The notional amount of aluminum futures contracts that hedged future 12 purchases of aluminum to meet fixed-price forward sales contract obligations was $15.0 million (6.2 million pounds of aluminum) at June 30, 2026 and $10.0 million (5.2 million pounds of aluminum) at December 31, 2025. The table below summarizes the location and gross amounts of aluminum futures contract fair values (Level 2) in the condensed consolidated balance sheets as of June 30, 2026 and December 31, 2025: June 30, 2026 December 31, 2025 (In thousands) Balance Sheet Account Fair Value Fair Value Derivatives Designated as Hedging Instruments Asset derivatives:Aluminum futures contracts Prepaid expenses and other $ 1,305 $ 1,392 Asset derivatives:Aluminum futures contracts Other assets 2 — Liability derivatives:Aluminum futures contracts Accrued expenses (567) (4) Aluminum futures contracts Other non-current liabilities (79) (9) Net asset (liability) $ 661 $ 1,379 In the event that a counterparty to an aluminum fixed-price forward sales contract chooses not to take delivery of its aluminum extrusions, the customer is contractually obligated to compensate Aluminum Extrusions for any losses on the related aluminum futures and/or forward contracts through the date of cancellation. The pre-tax effect on net income (loss) and other comprehensive income (loss) of derivative instruments classified as cash flow hedges and described in the previous paragraphs for the three and six month periods ended June 30, 2026 and 2025 is summarized in the table below: Cash Flow Derivative Hedges Three Months Ended June 30, Aluminum Futures Contracts (In thousands) 2026 2025 Amount of pre-tax gain (loss) recognized in other comprehensive income (loss) $ 1,170 $ 750 Location of gain (loss) reclassified from accumulated other comprehensive income (loss) to net income (effective portion) Cost of goods sold Cost of goods sold Amount of pre-tax gain (loss) reclassified from accumulated other comprehensive income (loss) to net income (effective portion) $ 2,985 $ (13) Six Months Ended June 30, Aluminum Futures Contracts 2026 2025 Amount of pre-tax gain (loss) recognized in other comprehensive income (loss) $ 1,550 $ 711 Location of gain (loss) reclassified from accumulated other comprehensive income (loss) into net income (effective portion) Cost of goods sold Cost of goods sold Amount of pre-tax gain (loss) reclassified from accumulated other comprehensive income (loss) to net income (effective portion) $ 2,269 $ (31) As of June 30, 2026, the Company expects $0.6 million of unrealized after-tax gains on aluminum derivative instruments reported in accumulated other comprehensive income (loss) to be reclassified to earnings within the next 12 months. For the three and six month periods ended June 30, 2026 and 2025, net gains or losses realized, from previously unrealized net gains or losses on hedges that had been discontinued, were not material. 8. INCOME TAXES Tredegar recorded tax expense (benefit) of $2.8 million on pre-tax income (loss) from continuing operations of $13.9 million in the first six months of 2026. The effective tax rate in the first six months of 2026 was 19.9% and 38.4% in the first six months of 2025. The effective tax rate for the first six months of 2026 varied from the statutory rate of 21% due to research and development tax credits while the effective tax rate for the first six months of 2025 varied from the statutory rate due to a mix of lower pre-tax income and higher nondeductible discrete items as a percentage of pre-tax income. 13 9. BUSINESS SEGMENTS The Company's business segments are Aluminum Extrusions and High Performance Films. Aluminum Extrusions, also referred to as Bonnell Aluminum, produces high-quality, soft and medium strength alloyed aluminum extrusions, custom fabricated and finished, for the building and construction, automotive and transportation, consumer durables goods, machinery and equipment, electrical and renewable energy, and distribution markets. High Performance Films produces surface protection films, advanced packaging films and films for other markets. The Company’s reportable segments are based on its method of internal reporting, which is generally segregated by differences in products. Accounting standards for presentation of segments require an approach based on the way the Company organizes the segments for making operating decisions and how the chief operating decision maker (“CODM”) assesses performance. EBITDA from ongoing operations is the key profitability measure used by the CODM (Tredegar’s President and Chief Executive Officer) for purposes of assessing financial performance. EBITDA from ongoing operations used by the CODM excludes certain non-recurring items, such as restructuring costs, asset impairments and other items, which are reported separately. The CODM uses EBITDA from ongoing operations to evaluate the operating performance of Tredegar’s ongoing operations, monitor budget versus actual results, establish management’s compensation and allocate resources. EBITDA from ongoing operations is the primary measure of segment performance and is consistent with how the business is managed internally, in addition to being a key financial and analytic metric for borrowing capacity and estimated enterprise value. The Company uses sales less freight (“net sales”) as its measure of revenues from external customers at the segment level. This measure is separately included in the financial information regularly provided to the CODM. 14 The following tables present segment revenue, segment profit (loss), and significant expenses for the three months ended June 30, 2026 and 2025: Three Months Ended June 30, 2026 (In thousands) Aluminum Extrusions High Performance Films Total Net Sales $ 184,129 $ 25,635 $ 209,764 Reconciliation of revenue: Add back freight 6,472 Sales as shown in the consolidated statements of income (loss) $ 216,236 Less: Variable costs $ 146,596 $ 13,385 $ 159,981 Manufacturing fixed costs1 12,340 3,652 15,992 Selling, general and administrative costs1 11,028 2,857 13,885 Other2 (345) (39) (384) EBITDA from ongoing operations $ 14,510 $ 5,780 $ 20,290 Reconciliation of profit (loss): Depreciation and amortization 5,396 Plant shutdowns, asset impairments, restructurings and other 366 Interest income 18 Interest expense 465 Corporate expenses, net3 6,303 Income (loss) from continuing operations before income tax 7,778 Income tax expense (benefit) 1,731 Net income (loss) from continuing operations 6,047 Income (loss) from discontinued operations, net of tax (30) Net income (loss) $ 6,017 1. Excludes related depreciation and amortization. 2. Includes segment allocated employee compensation benefit expenses. 3. Includes corporate depreciation and amortization. 15 Three Months Ended June 30, 2025 (In thousands) Aluminum Extrusions High Performance Films Total Net Sales $ 148,367 $ 24,596 $ 172,963 Reconciliation of revenue: Add back freight 6,153 Sales as shown in the consolidated statements of income (loss) $ 179,116 Less: Variable costs $ 116,059 $ 11,688 $ 127,747 Manufacturing fixed costs1 11,760 3,243 15,003 Selling, general and administrative costs1 10,129 2,867 12,996 Other2 1,136 87 1,223 EBITDA from ongoing operations $ 9,283 $ 6,711 $ 15,994 Reconciliation of profit (loss): Depreciation and amortization 5,323 Plant shutdowns, asset impairments, restructurings and other 56 Interest income 6 Interest expense 1,785 Corporate expenses, net3 6,024 Income (loss) from continuing operations before income tax 2,812 Income tax expense (benefit) 984 Net income (loss) from continuing operations 1,828 Income (loss) from discontinued operations, net of tax (97) Net income (loss) $ 1,731 1. Excludes related depreciation and amortization. 2. Includes segment allocated employee compensation benefit expenses. 3. Includes corporate depreciation and amortization. 16 The following tables present segment revenue, segment profit (loss), and significant expenses for the six months ended June 30, 2026 and 2025: Six Months Ended June 30, 2026 (In thousands) Aluminum Extrusions High Performance Films Total Net Sales $ 343,586 $ 47,168 $ 390,754 Reconciliation of revenue: Add back freight 11,971 Sales as shown in the consolidated statements of income (loss) $ 402,725 Less: Variable costs $ 273,929 $ 23,807 $ 297,736 Manufacturing fixed costs1 24,139 7,123 31,262 Selling, general and administrative costs1 19,933 5,450 25,383 Other2 (607) (66) (673) EBITDA from ongoing operations $ 26,192 $ 10,854 $ 37,046 Reconciliation of profit (loss): Depreciation and amortization 10,644 Plant shutdowns, asset impairments, restructurings and other 588 Interest income 29 Interest expense 824 Corporate expenses, net3 11,139 Income (loss) from continuing operations before income tax 13,880 Income tax expense (benefit) 2,763 Net income (loss) from continuing operations 11,117 Income (loss) from discontinued operations, net of tax 561 Net income (loss) $ 11,678 1. Excludes related depreciation and amortization. 2. Includes segment allocated employee compensation benefit expenses. 3. Includes corporate depreciation and amortization. 17 Six Months Ended June 30, 2025 (In thousands) Aluminum Extrusions High Performance Films Total Net Sales $ 281,999 $ 50,134 $ 332,133 Reconciliation of revenue: Add back freight 11,720 Sales as shown in the consolidated statements of income (loss) $ 343,853 Less: Variable costs $ 219,582 $ 23,664 $ 243,246 Manufacturing fixed costs1 22,973 6,702 29,675 Selling, general and administrative costs1 19,541 5,459 25,000 Other2 1,462 76 1,538 EBITDA from ongoing operations $ 18,441 $ 14,233 $ 32,674 Reconciliation of profit (loss): Depreciation and amortization 10,799 Plant shutdowns, asset impairments, restructurings and other 1,224 Interest income 11 Interest expense 2,798 Corporate expenses, net3 13,804 Income (loss) from continuing operations before income tax 4,060 Income tax expense (benefit) 1,560 Net income (loss) from continuing operations 2,500 Income (loss) from discontinued operations, net of tax 9,332 Net income (loss) $ 11,832 1. Excludes related depreciation and amortization. 2. Includes segment allocated employee compensation benefit expenses. 3. Includes corporate depreciation and amortization. The following table presents identifiable assets by segment at June 30, 2026 and December 31, 2025: (In thousands) June 30, 2026 December 31, 2025 Aluminum Extrusions $ 308,993 $ 269,802 High Performance Films 54,690 52,998 Subtotal 363,683 322,800 General corporate 32,063 41,843 Cash and cash equivalents 17,179 6,729 Total $ 412,925 $ 371,372 The following table presents depreciation and amortization for the three and six months ended June 30, 2026 and 2025: Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2026 2025 2026 2025 Aluminum Extrusions $ 4,199 $ 4,093 $ 8,244 $ 8,319 High Performance Films 1,197 1,230 2,400 2,480 Subtotal 5,396 5,323 10,644 10,799 General corporate 45 49 92 98 Total $ 5,441 $ 5,372 $ 10,736 $ 10,897 18 The following table presents capital expenditures for the three and six months ended June 30, 2026 and 2025: Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2026 2025 2026 2025 Aluminum Extrusions $ 3,660 $ 2,386 $ 8,349 $ 4,757 High Performance Films 379 295 831 882 General Corporate 86 — 86 — Subtotal $ 4,125 $ 2,681 $ 9,266 $ 5,639 The following tables disaggregate the Company’s net sales by geographic area and product group for the three and six months ended June 30, 2026 and 2025: Net Sales by Geographic Area (a) Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2026 2025 2026 2025 United States $ 194,180 $ 158,293 $ 360,845 $ 302,648 Exports from the United States to: Asia 10,082 10,336 17,854 21,172 Latin America 2,670 1,011 4,926 2,590 Canada 2,209 2,997 5,988 5,170 Europe 32 30 81 37 Operations outside the United States: Asia 591 296 1,060 516 Total $ 209,764 $ 172,963 $ 390,754 $ 332,133 (a) Export sales relate mostly to High Performance Films. The geographic area for net sales is determined by the shipping destination. The Company’s facilities in Pottsville, PA (“PV”) and Guangzhou, China (“GZ”) have a tolling arrangement whereby certain surface protection films are manufactured in GZ for a fee with raw materials supplied from PV that are then shipped by GZ directly to customers principally in the Asian market, but paid by customers directly to PV. Amounts associated with this intercompany tolling arrangement are reported in the table above as export sales from the U.S. to Asia, and include net sales of $8.2 million and $6.3 million in the second quarter of 2026 and 2025, respectively, and $13.7 million and $12.9 million in the first six months of 2026 and 2025, respectively. 19 Net Sales by Product Group Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2026 2025 2026 2025 Aluminum Extrusions: Nonresidential building & construction $ 91,043 $ 81,625 $ 172,231 $ 149,223 Consumer durables 14,314 12,751 27,636 24,418 Automotive 13,532 11,069 25,124 22,067 Residential building & construction 14,809 10,025 26,749 19,023 Electrical 19,046 12,522 30,026 27,863 Machinery & equipment 25,758 15,998 51,229 31,281 Distribution 5,627 4,377 10,591 8,124 Subtotal 184,129 148,367 343,586 281,999 High Performance Films: Surface protection films 17,972 16,741 32,171 35,512 Advanced packaging 7,663 7,855 14,997 14,622 Subtotal 25,635 24,596 47,168 50,134 Total $ 209,764 $ 172,963 $ 390,754 $ 332,133 10. DISCONTINUED OPERATIONS Flexible Packaging Films In September 2023, the Company entered into an agreement to sell Terphane, headquartered in Brazil, to Oben for net cash-free and debt-free base consideration of $116 million. On November 1, 2024, Tredegar completed the sale of Terphane to Oben. At closing, Tredegar received $60 million in cash, which was net of Terphane debt assumed by Oben of $20 million and estimated Terphane cash retained by Oben of $2 million. The cash proceeds received by Tredegar at closing were after deducting net working capital adjustments and closing indebtedness ($20.5 million), escrow funds ($19.8 million), projected Brazil withholding taxes ($10.8 million), and transaction expenses ($4.4 million). In February 2025 and February 2026, the Company received $9.8 million and $0.6 million, respectively, from post-closing settlement of the transaction. The proceeds from the sale of Terphane were required to be used to pay down debt outstanding under the Company’s $125 million senior secured asset-based revolving credit facility (the "ABL Facility"). Upon completion of the sale, the Company recognized a pre-tax loss of $74.9 million for the year ended December 31, 2024, which included the realization of other comprehensive losses on foreign currency translation adjustments, net of gains on derivative financial instruments of $102.3 million previously reflected in accumulated other comprehensive income (loss). The following table summarizes the financial results of discontinued operations reflected in the Condensed Consolidated Statements of Income (Loss) for the three and six months ended June 30, 2026 and 2025: Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2026 2025 2026 2025 Costs and expenses Selling, general and administrative $ 38 $ 97 $ 35 $ 325 Gain on the sale of divested business — — (565) (9,657) Total 38 97 (530) (9,332) Income (loss) from discontinued operations before income tax (38) (97) 530 9,332 Income tax expense (benefit)1 (8) — (31) — Income (loss) from discontinued operations, net of tax $ (30) $ (97) $ 561 $ 9,332 1. An inconsequential income tax expense (benefit) was recognized during the three and six months ended June 30, 2025, primarily due to foreign tax credits generated from the final Brazilian withholding tax payment made during the periods, which offset the tax liability on the income from discontinued operations. 20 The following table provides significant operating, investing and financing cash flow information for discontinued operations: Six Months Ended June 30, (In thousands) 2026 2025 Operating activities: Gain on the sale of divested business $ (565) $ (9,657) Total $ (565) $ (9,657) Investing activities: Proceeds from the sale of Terphane $ 565 $ 9,835 Total $ 565 $ 9,835 21