O-I Glass, Inc.

Thank you for standing by. My name is Jessie, and I will be your conference moderator today. At this time, I would like to welcome everyone to the OI Glass third quarter 2026 earnings conference call. After today's prepared remarks, we will host a question and answer session. If you would like to ask a question, please press star 1 to raise your hand. To withdraw your question, press star 1 again. I would now like to turn the call over to Chris Manuel, Vice President of Investor Relations. Please go ahead.

Thank you, Jesse. Good morning, everyone, and welcome to OI Glass third quarter 2026 conference call. Joining me today are Gordon Hardie, our CEO, and John Haudrich, our CFO. Following prepared remarks, we will open the line for questions. Our earnings release and presentation are available on the company's website. Please review the Safe Harbor comments and disclosures regarding use of our non-GAAP financial measures included in those materials. Today's remarks include forward-looking statements and actual results may differ materially from current expectations. With that, I'll turn the call over to Gordon. We'll start on slide three. Thank you, Chris.

Good morning, everyone. Today, we will review our third quarter results, update our 2026 outlook, and share an initial view of the key business drivers for 2027. Before I begin, I want to thank all our OI colleagues for their focus and commitment. Our teams acted with urgency to navigate a difficult environment, particularly in Europe, while continuing to serve customers across challenging markets. Our third quarter results reflected three key trends. Net sales were stable and year-over-year shipments continued to improve. Adjusted EBITDA declined from last year. Results were stable in the Americas but significantly lower in Europe, where higher-than-anticipated energy and freight costs drove performance below our expectations entering the quarter. Adjusted EPS was down, reflecting lower operating margins and an unusually high tax rate. Europe remains our largest opportunity to improve financial performance, but progress has been slower than expected. These results are unacceptable and we are acting with urgency to address the issues weighing on earnings. As I will discuss shortly, we have sharpened our focus on our four priorities to restore European margins to competitive levels. In the Americas, our team delivered another solid quarter, demonstrating the impact of disciplined execution, fit to win, and close collaboration with customers. This performance also reflects the broader impact of fit to win, which continues to strengthen our cost base and has delivered $135 million of year-to-date benefits. At the same time, energy, freight and demand headwinds require us to update our 2026 guidance. While these pressures weigh on the near-term outlook, demand trends are gradually improving and actions underway should position us for improved adjusted earnings, cash flow and profitability in 2027. Against this backdrop, our priorities are clear. execute the Europe Recovery Plan, sustain momentum in the Americas, and capture the remaining fit-to-win opportunity to strengthen performance and grow the value of Hawaii. Let's now turn to slide four and discuss the top line. As noted, net sales were relatively stable at approximately $1.6 billion, as favorable currency translation largely offset modest declines in selling prices and volume. Thank you very much. Thank you very much. For the fourth quarter, we expect enterprise shipments to range from flat to up low single digits, supported by new business wins and easier prior year comparisons. For the full year, we expect sales volume to decline 3-4% from 2025. Looking ahead, we expect gradual sequential improvement to continue, supported by new business wins representing approximately 4% of annual sales volume. Now let's turn to slide five. Thank you very much. We also recently initiated a process with employee representatives regarding the proposed permanent closure of an additional European plant. Going forward, our focus is shifting to Phase B execution, including total organization effectiveness, procurement, energy and supply chain optimization. The Americas demonstrate how Fit2Win can strengthen competitiveness and resilience when paired with consistent execution, even in a challenging macro environment. Europe is earlier in that progression. We intend to build on initial gains in plant efficiency and establish a stronger foundation for future benefits. We now expect $180 million of net benefits this year, reflecting the time required to address supply chain challenges in Europe. The deferred benefits will shift into next year and we continue to target at least 650 million of cumulative fit to win benefits by the end of 2027. The remaining opportunity is substantial, particularly in Europe, where successful execution of the recovery plan should strengthen operating stability and contribute to higher adjusted earnings and free cash flow. I will return to this shortly. With that, I'll turn the call over to John on slide six.