Item 4 — Purpose of Transaction
Swap Transactions Tarheel Investors III L.P. previously held certain equity swaps with an unrelated counterparty ("Counterparty") that could be physically settled ("Equity Swaps") upon the satisfaction of certain regulatory conditions. On October 5, 2026, the regulatory conditions applicable to such Equity Swaps were satisfied and Tarheel Investors III L.P. acquired beneficial ownership of the Common Stock underlying the Equity Swaps, and subsequently received 4,753,677 shares of Common Stock for an aggregate payment upon settlement by Tarheel Investors III L.P. of $428,744,223. In addition, pursuant to a cash-settled swap ("Cash Swap") with the Counterparty, Tarheel Investors III L.P. has economic exposure to 836,392 underlying shares of Common Stock, but no voting or investment power with respect to, and therefore no beneficial ownership of, any shares of Common Stock held by the Counterparty. The foregoing description of the Cash Swap does not purport to be complete and is qualified in its entirety by reference to the full text of the share swap transaction confirmation, which is filed as Exhibit 99.3 to this Schedule 13D and is incorporated herein by reference. The Reporting Persons initially acquired the Equity Swaps and the Cash Swap for investment purposes. From time to time since acquiring the Equity Swaps and the Cash Swap, the Reporting Persons have engaged in evaluations of the Issuer and its business, including engaging in discussions with management of the Issuer, other shareholders, advisors and other persons to facilitate such evaluations. Merger Agreement On August 2, 2026, the Issuer entered into an Agreement and Plan of Merger (the "Merger Agreement"), by and among the Issuer, Armstrong Parent, Inc., a Delaware corporation ("Parent"), and Armstrong Bidco, Inc., a Delaware corporation and a wholly owned subsidiary of Parent ("Merger Sub"). Parent and Merger Sub are each affiliates of the Reporting Persons. Pursuant to the Merger Agreement, and upon the terms and subject to the conditions therein, Merger Sub will merge with and into the Issuer (the "Merger"), with the Issuer surviving the Merger as a wholly owned subsidiary of Parent. At the time of entry into the Merger Agreement, no Schedule 13D was filed as the Reporting Persons did not beneficially own greater than 5% of the Issuer's Common Stock because the regulatory conditions applicable to the Equity Swaps had not been satisfied. Subject to the terms and conditions of the Merger Agreement, at the effective time of the Merger (the "Effective Time"), each share of Common Stock issued and outstanding immediately prior to the Effective Time, subject to certain exceptions, will automatically be converted into the right to receive $127 in cash, without interest (the "Merger Consideration"). The Merger Agreement contains customary representations, warranties and covenants and the consummation of the Merger is subject to customary closing conditions. The foregoing description of the Merger Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Merger Agreement, which is filed as Exhibit 99.4 to this Schedule 13D and is incorporated herein by reference. Equity Commitment Letter KKR Core II Holding Company LLC, a Cayman Islands limited liability company and affiliate of the Reporting Persons ("Fund"), has committed to invest in Parent, directly or indirectly, the cash amounts set forth within an equity commitment letter delivered to Parent for the purpose of enabling Parent to pay the Merger Consideration at the Effective Time, subject to the terms and conditions set forth therein. The Fund has also provided the Issuer with a limited guarantee, which guarantees the payment of certain monetary obligations that may be owed by Parent to the Issuer pursuant to the Merger Agreement, including any reverse termination fee that may become payable by Parent, in each case, pursuant to and in accordance with the terms and conditions of the limited guarantee and Merger Agreement. Except as set forth above, the Reporting Persons and, to the best knowledge of the Reporting Persons, each of the other individuals named in Item 2 above, have no present plans, proposals or intentions that would result in or relate to any of the transactions described in clauses (a) through (j) of Item 4 of Schedule 13D. Although the foregoing reflects activities presently contemplated by the Reporting Persons and, to the best knowledge of the Reporting Persons, each of the other individuals named in Item 2 above, with respect to the Issuer, the foregoing is subject to change at any time.