Table of Contents

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-Q
(Mark One)
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the Quarterly Period Ended SeptemberJune 30, 20212022
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the Transition Period from                        to                       
Commission file number 1-13045
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IRON MOUNTAIN INCORPORATED
(Exact Name of Registrant as Specified in Its Charter)
Delaware23-2588479
(State or other Jurisdiction of Incorporation or Organization)(I.R.S. Employer Identification No.)
One Federal Street, Boston, Massachusetts 02110
(Address of Principal Executive Offices, Including Zip Code)
(617) 535-4766
(Registrant's Telephone Number, Including Area Code)
Securities registered pursuant to Section 12(b) of the Exchange Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, $.01 par valueIRMNYSE
Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒    No ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒    No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check one):
Large accelerated filerAccelerated filer
Non-accelerated filerSmaller reporting company
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐    No ☒
As of OctoberJuly 29, 2021,2022, the registrant had 289,549,498290,684,926 outstanding shares of common stock, $.01 par value.


Table of Contents

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IRON MOUNTAIN INCORPORATED
20212022 FORM 10-Q QUARTERLY REPORT
TABLE OF CONTENTS
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Table of Contents
PART I. FINANCIAL INFORMATION
ITEM 1. UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q1

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
CONDENSED CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS, EXCEPT SHARE AND PER SHARE DATA) (UNAUDITED)
 SEPTEMBER 30, 2021DECEMBER 31, 2020
ASSETS 
Current Assets: 
Cash and cash equivalents$161,439 $205,063 
Accounts receivable (less allowances of $60,214 and $56,981 as of September 30, 2021 and December 31, 2020, respectively)884,348 859,344 
Prepaid expenses and other223,266 205,380 
Total Current Assets1,269,053 1,269,787 
Property, Plant and Equipment: 
Property, plant and equipment8,503,171 8,246,337 
Less—Accumulated depreciation(3,914,553)(3,743,894)
Property, Plant and Equipment, Net4,588,618 4,502,443 
Other Assets, Net: 
Goodwill4,472,641 4,557,609 
Customer relationships, customer inducements and data center lease-based intangibles1,230,330 1,326,977 
Operating lease right-of-use assets2,308,047 2,196,502 
Other365,706 295,949 
Total Other Assets, Net8,376,724 8,377,037 
Total Assets$14,234,395 $14,149,267 
LIABILITIES AND EQUITY 
Current Liabilities: 
Current portion of long-term debt$318,144 $193,759 
Accounts payable324,210 359,863 
Accrued expenses and other current liabilities (includes current portion of operating lease liabilities)926,360 1,146,288 
Deferred revenue257,593 295,785 
Total Current Liabilities1,826,307 1,995,695 
Long-term Debt, net of current portion8,815,273 8,509,555 
Long-term Operating Lease Liabilities, net of current portion2,164,449 2,044,598 
Other Long-term Liabilities155,048 204,508 
Deferred Income Taxes236,782 198,377 
Commitments and Contingencies00
Redeemable Noncontrolling Interests61,390 59,805 
Equity:  
Preferred stock (par value $0.01; authorized 10,000,000 shares; none issued and outstanding)— — 
Common stock (par value $0.01; authorized 400,000,000 shares; issued and outstanding 289,546,146 and 288,273,049 shares as of September 30, 2021 and December 31, 2020, respectively)2,895 2,883 
Additional paid-in capital4,407,253 4,340,078 
(Distributions in excess of earnings) Earnings in excess of distributions(3,101,813)(2,950,339)
Accumulated other comprehensive items, net(334,453)(255,893)
Total Iron Mountain Incorporated Stockholders' Equity973,882 1,136,729 
Noncontrolling Interests1,264 — 
Total Equity975,146 1,136,729 
Total Liabilities and Equity$14,234,395 $14,149,267 

 JUNE 30, 2022DECEMBER 31, 2021
ASSETS 
Current Assets: 
Cash and cash equivalents$144,746 $255,828 
Accounts receivable (less allowances of $55,715 and $62,009 as of June 30, 2022 and December 31, 2021, respectively)1,116,329 961,419 
Prepaid expenses and other280,944 224,020 
Total Current Assets1,542,019 1,441,267 
Property, Plant and Equipment: 
Property, plant and equipment8,690,956 8,647,303 
Less—Accumulated depreciation(4,072,787)(3,979,159)
Property, Plant and Equipment, Net4,618,169 4,668,144 
Other Assets, Net: 
Goodwill4,923,691 4,463,531 
Customer and supplier relationships and other intangible assets1,508,526 1,181,043 
Operating lease right-of-use assets2,512,377 2,314,422 
Other517,537 381,624 
Total Other Assets, Net9,462,131 8,340,620 
Total Assets$15,622,319 $14,450,031 
LIABILITIES AND EQUITY 
Current Liabilities: 
Current portion of long-term debt$86,790 $309,428 
Accounts payable435,475 369,145 
Accrued expenses and other current liabilities (includes current portion of operating lease liabilities)957,507 1,032,537 
Deferred revenue302,494 307,470 
Total Current Liabilities1,782,266 2,018,580 
Long-term Debt, net of current portion9,993,126 8,962,513 
Long-term Operating Lease Liabilities, net of current portion2,371,270 2,171,472 
Other Long-term Liabilities404,703 144,053 
Deferred Income Taxes325,222 223,934 
Commitments and Contingencies00
Redeemable Noncontrolling Interests93,957 72,411 
Equity:  
Preferred stock (par value $0.01; authorized 10,000,000 shares; none issued and outstanding)— — 
Common stock (par value $0.01; authorized 400,000,000 shares; issued and outstanding 290,679,958 and 289,757,061 shares as of June 30, 2022 and December 31, 2021, respectively)2,907 2,898 
Additional paid-in capital4,432,009 4,412,553 
(Distributions in excess of earnings) Earnings in excess of distributions(3,340,992)(3,221,152)
Accumulated other comprehensive items, net(446,975)(338,347)
Total Iron Mountain Incorporated Stockholders' Equity646,949 855,952 
Noncontrolling Interests4,826 1,116 
Total Equity651,775 857,068 
Total Liabilities and Equity$15,622,319 $14,450,031 


The accompanying notes are an integral part of these condensed consolidated financial statements.
2IRON MOUNTAIN JUNE 30, 2022 FORM 10-QIRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q2

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(IN THOUSANDS, EXCEPT PER SHARE DATA) (UNAUDITED)
THREE MONTHS ENDED
SEPTEMBER 30,
THREE MONTHS ENDED JUNE 30,
20212020 20222021
Revenues:Revenues:  Revenues:  
Storage rentalStorage rental$718,614 $696,294 Storage rental$753,126 $718,272 
ServiceService411,534 340,353 Service536,408 401,484 
Total RevenuesTotal Revenues1,130,148 1,036,647 Total Revenues1,289,534 1,119,756 
Operating Expenses:Operating Expenses:Operating Expenses:
Cost of sales (excluding depreciation and amortization)Cost of sales (excluding depreciation and amortization)481,663 434,505 Cost of sales (excluding depreciation and amortization)556,476 474,579 
Selling, general and administrativeSelling, general and administrative241,596 232,095 Selling, general and administrative295,394 259,779 
Depreciation and amortizationDepreciation and amortization174,818 157,252 Depreciation and amortization178,254 166,685 
Acquisition and Integration CostsAcquisition and Integration Costs1,138 — Acquisition and Integration Costs16,878 2,277 
Restructuring ChargesRestructuring Charges50,432 48,371 Restructuring Charges— 39,443 
(Gain) Loss on disposal/write-down of property, plant and equipment, net(Gain) Loss on disposal/write-down of property, plant and equipment, net(935)(75,840)(Gain) Loss on disposal/write-down of property, plant and equipment, net(51,249)(128,935)
Total Operating ExpensesTotal Operating Expenses948,712 796,383 Total Operating Expenses995,753 813,828 
Operating Income (Loss)Operating Income (Loss)181,436 240,264 Operating Income (Loss)293,781 305,928 
Interest Expense, Net (includes Interest Income of $2,160 and $2,476 for the three months ended
September 30, 2021 and 2020, respectively)
103,809 104,303 
Interest Expense, Net (includes Interest Income of $2,171 and $1,127 for the three months ended
June 30, 2022 and 2021, respectively)
Interest Expense, Net (includes Interest Income of $2,171 and $1,127 for the three months ended
June 30, 2022 and 2021, respectively)
115,057 105,220 
Other (Income) Expense, NetOther (Income) Expense, Net(18,501)83,465 Other (Income) Expense, Net(41,217)(186,230)
Net Income (Loss) Before Provision (Benefit) for Income TaxesNet Income (Loss) Before Provision (Benefit) for Income Taxes96,128 52,496 Net Income (Loss) Before Provision (Benefit) for Income Taxes219,941 386,938 
Provision (Benefit) for Income TaxesProvision (Benefit) for Income Taxes28,017 13,934 Provision (Benefit) for Income Taxes18,083 110,416 
Net Income (Loss)Net Income (Loss)68,111 38,562 Net Income (Loss)201,858 276,522 
Less: Net Income (Loss) Attributable to Noncontrolling InterestsLess: Net Income (Loss) Attributable to Noncontrolling Interests428 168 Less: Net Income (Loss) Attributable to Noncontrolling Interests1,777 1,237 
Net Income (Loss) Attributable to Iron Mountain IncorporatedNet Income (Loss) Attributable to Iron Mountain Incorporated$67,683 $38,394 Net Income (Loss) Attributable to Iron Mountain Incorporated$200,081 $275,285 
Net Income (Loss) Per Share Attributable to Iron Mountain Incorporated:Net Income (Loss) Per Share Attributable to Iron Mountain Incorporated:  Net Income (Loss) Per Share Attributable to Iron Mountain Incorporated:  
BasicBasic$0.23 $0.13 Basic$0.69 $0.95 
DilutedDiluted$0.23 $0.13 Diluted$0.68 $0.95 
Weighted Average Common Shares Outstanding—BasicWeighted Average Common Shares Outstanding—Basic289,762 288,403 Weighted Average Common Shares Outstanding—Basic290,756 289,247 
Weighted Average Common Shares Outstanding—DilutedWeighted Average Common Shares Outstanding—Diluted291,482 288,811 Weighted Average Common Shares Outstanding—Diluted292,487 291,079 


















The accompanying notes are an integral part of these condensed consolidated financial statements.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q3

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(IN THOUSANDS, EXCEPT PER SHARE DATA) (UNAUDITED)
 NINE MONTHS ENDED
 SEPTEMBER 30,
 20212020
Revenues:  
Storage rental$2,144,942 $2,056,797 
Service1,187,002 1,030,820 
Total Revenues3,331,944 3,087,617 
Operating Expenses:
Cost of sales (excluding depreciation and amortization)1,408,151 1,308,119 
Selling, general and administrative760,098 712,775 
Depreciation and amortization507,145 483,686 
Acquisition and Integration Costs3,415 — 
Restructuring Charges129,686 128,715 
Intangible impairments— 23,000 
(Gain) Loss on disposal/write-down of property, plant and equipment, net(134,321)(78,170)
Total Operating Expenses2,674,174 2,578,125 
Operating Income (Loss)657,770 509,492 
Interest Expense, Net (includes Interest Income of $5,858 and $6,491 for the nine months ended
September 30, 2021 and 2020, respectively)
313,451 313,408 
Other (Income) Expense, Net(200,018)66,439 
Net Income (Loss) Before Provision (Benefit) for Income Taxes544,337 129,645 
Provision (Benefit) for Income Taxes153,073 33,304 
Net Income (Loss)391,264 96,341 
Less: Net Income (Loss) Attributable to Noncontrolling Interests2,693 1,058 
Net Income (Loss) Attributable to Iron Mountain Incorporated$388,571 $95,283 
Net Income (Loss) Per Share Attributable to Iron Mountain Incorporated:  
Basic$1.34 $0.33 
Diluted$1.34 $0.33 
Weighted Average Common Shares Outstanding—Basic289,255 288,105 
Weighted Average Common Shares Outstanding—Diluted290,697 288,471 











The accompanying notes are an integral part of these condensed consolidated financial statements.
4IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
(IN THOUSANDS) (UNAUDITED)
 THREE MONTHS ENDED
SEPTEMBER 30,
 20212020
Net Income (Loss)$68,111 $38,562 
Other Comprehensive (Loss) Income:  
Foreign Currency Translation Adjustment(91,263)44,883 
Change in Fair Value of Derivative Instruments14,665 (184)
Total Other Comprehensive (Loss) Income(76,598)44,699 
Comprehensive (Loss) Income(8,487)83,261 
Comprehensive (Loss) Income Attributable to Noncontrolling Interests(370)522 
Comprehensive (Loss) Income Attributable to Iron Mountain Incorporated$(8,117)$82,739 
 NINE MONTHS ENDED
SEPTEMBER 30,
 20212020
Net Income (Loss)$391,264 $96,341 
Other Comprehensive (Loss) Income:
Foreign Currency Translation Adjustment(115,075)(109,742)
Change in Fair Value of Derivative Instruments35,505 (11,507)
Total Other Comprehensive (Loss) Income(79,570)(121,249)
Comprehensive Income (Loss)311,694 (24,908)
Comprehensive Income (Loss) Attributable to Noncontrolling Interests1,683 406 
Comprehensive Income (Loss) Attributable to Iron Mountain Incorporated$310,011 $(25,314)




 SIX MONTHS ENDED JUNE 30,
 20222021
Revenues:  
Storage rental$1,504,196 $1,426,328 
Service1,033,384 775,468 
Total Revenues2,537,580 2,201,796 
Operating Expenses:
Cost of sales (excluding depreciation and amortization)1,103,098 926,488 
Selling, general and administrative576,117 518,502 
Depreciation and amortization361,869 332,327 
Acquisition and Integration Costs32,539 2,277 
Restructuring Charges— 79,254 
(Gain) Loss on disposal/write-down of property, plant and equipment, net(51,954)(133,386)
Total Operating Expenses2,021,669 1,725,462 
Operating Income (Loss)515,911 476,334 
Interest Expense, Net (includes Interest Income of $3,819 and $3,698 for the six months ended
June 30, 2022 and 2021, respectively)
229,499 209,642 
Other Expense (Income), Net14,684 (181,517)
Net Income (Loss) Before Provision (Benefit) for Income Taxes271,728 448,209 
Provision (Benefit) for Income Taxes28,163 125,056 
Net Income (Loss)243,565 323,153 
Less: Net Income (Loss) Attributable to Noncontrolling Interests1,185 2,265 
Net Income (Loss) Attributable to Iron Mountain Incorporated$242,380 $320,888 
Net Income (Loss) Per Share Attributable to Iron Mountain Incorporated:  
Basic$0.83 $1.11 
Diluted$0.83 $1.11 
Weighted Average Common Shares Outstanding—Basic290,542 289,001 
Weighted Average Common Shares Outstanding—Diluted292,166 290,303 












The accompanying notes are an integral part of these condensed consolidated financial statements.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q4

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
(IN THOUSANDS) (UNAUDITED)
 THREE MONTHS ENDED JUNE 30,
 20222021
Net Income (Loss)$201,858 $276,522 
Other Comprehensive (Loss) Income:  
Foreign Currency Translation Adjustment(187,786)42,543 
Change in Fair Value of Derivative Instruments34,211 5,634 
Total Other Comprehensive (Loss) Income:(153,575)48,177 
Comprehensive Income (Loss)48,283 324,699 
Comprehensive Income (Loss) Attributable to Noncontrolling Interests819 1,156 
Comprehensive Income (Loss) Attributable to Iron Mountain Incorporated$47,464 $323,543 
 SIX MONTHS ENDED JUNE 30,
 20222021
Net Income (Loss)$243,565 $323,153 
Other Comprehensive (Loss) Income:  
Foreign Currency Translation Adjustment(160,333)(23,812)
Change in Fair Value of Derivative Instruments50,977 20,840 
Total Other Comprehensive (Loss) Income(109,356)(2,972)
Comprehensive Income (Loss)134,209 320,181 
Comprehensive Income (Loss) Attributable to Noncontrolling Interests457 2,053 
Comprehensive Income (Loss) Attributable to Iron Mountain Incorporated$133,752 $318,128 

















The accompanying notes are an integral part of these condensed consolidated financial statements
IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q5

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY
(IN THOUSANDS, EXCEPT SHARE DATA) (UNAUDITED)
THREE MONTHS ENDED SEPTEMBER 30, 2021
 IRON MOUNTAIN INCORPORATED STOCKHOLDERS' EQUITY
 COMMON STOCKADDITIONAL
PAID-IN
CAPITAL
(DISTRIBUTIONS
IN EXCESS OF
EARNINGS) EARNINGS IN
EXCESS OF
DISTRIBUTIONS
ACCUMULATED
OTHER
COMPREHENSIVE
ITEMS, NET
NONCONTROLLING
INTERESTS
REDEEMABLE
NONCONTROLLING
INTERESTS
 TOTALSHARESAMOUNTS
Balance, June 30, 2021$1,147,742 289,458,768 $2,895 $4,392,396 $(2,988,896)$(258,653)$— $64,660 
Issuance of shares under employee stock purchase plan and option plans and stock-based compensation14,857 87,378 — 14,857 — — — — 
Change in equity related to redeemable noncontrolling interests— — — — — — — 168
Parent cash dividends declared(180,600)— — — (180,600)— — — 
Foreign currency translation adjustment(90,512)— — — — (90,465)(47)(751)
Change in fair value of derivative instruments14,665 — — — — 14,665 — — 
Net income (loss)67,683 — — — 67,683 — — 428 
Noncontrolling interests dividends— — — — — — — (597)
Purchase of noncontrolling interests1,311 — — — — — 1,311 — 
Redemption of noncontrolling interests— — — — — — — (2,518)
Balance, September 30, 2021$975,146 289,546,146 $2,895 $4,407,253 $(3,101,813)$(334,453)$1,264 $61,390 
NINE MONTHS ENDED SEPTEMBER 30, 2021
 IRON MOUNTAIN INCORPORATED STOCKHOLDERS' EQUITY
 COMMON STOCKADDITIONAL
PAID-IN
CAPITAL
(DISTRIBUTIONS
IN EXCESS OF
EARNINGS) EARNINGS IN
EXCESS OF
DISTRIBUTIONS
ACCUMULATED
OTHER
COMPREHENSIVE
ITEMS, NET
NONCONTROLLING
INTERESTS
REDEEMABLE
NONCONTROLLING
INTERESTS
 TOTALSHARESAMOUNTS
Balance, December 31, 2020$1,136,729 288,273,049 $2,883 $4,340,078 $(2,950,339)$(255,893)$— $59,805 
Issuance of shares under employee stock purchase plan and option plans and stock-based compensation66,507 1,273,097 12 66,495 — — — — 
Change in equity related to redeemable noncontrolling interests680 — — 680 — — — (512)
Parent cash dividends declared(540,045)— — — (540,045)— — — 
Foreign currency translation adjustment(114,112)— — — — (114,065)(47)(963)
Change in fair value of derivative instruments35,505 — — — — 35,505 — — 
Net income (loss)388,571 — — — 388,571 — — 2,693 
Noncontrolling interests equity contributions— — — — — — — 2,200 
Noncontrolling interests dividends— — — — — — — (1,882)
Purchase of noncontrolling interests1,311 — — — — — 1,311 2,567 
Redemption of noncontrolling interests— — — — — — — (2,518)
Balance, September 30, 2021$975,146 289,546,146 $2,895 $4,407,253 $(3,101,813)$(334,453)$1,264 $61,390 
THREE MONTHS ENDED JUNE 30, 2022
 IRON MOUNTAIN INCORPORATED STOCKHOLDERS' EQUITY
 COMMON STOCKADDITIONAL
PAID-IN
CAPITAL
(DISTRIBUTIONS
IN EXCESS OF
EARNINGS) EARNINGS IN
EXCESS OF
DISTRIBUTIONS
ACCUMULATED
OTHER
COMPREHENSIVE
ITEMS, NET
NONCONTROLLING
INTERESTS
REDEEMABLE
NONCONTROLLING
INTERESTS
 TOTALSHARESAMOUNTS
Balance, March 31, 2022$758,771 290,550,440 $2,906 $4,409,051 $(3,359,876)$(294,358)$1,048 $73,428 
Issuance and net settlement of shares under employee stock purchase plan and option plans and stock-based compensation24,462 129,518 24,461 — — — — 
Changes in equity related to noncontrolling interests4,618 — — 983 — — 3,635 (983)
Parent cash dividends declared(181,197)— — — (181,197)— — — 
Foreign currency translation adjustment(186,919)— — — — (186,828)(91)(867)
Change in fair value of derivative instruments34,211 — — — — 34,211 — — 
Net income (loss)200,315 — — — 200,081 — 234 1,543 
Noncontrolling interests equity contributions and related costs(2,486)— — (2,486)— — — 21,547 
Noncontrolling interests dividends— — — — — — — (711)
Balance, June 30, 2022$651,775 290,679,958 $2,907 $4,432,009 $(3,340,992)$(446,975)$4,826 $93,957 
SIX MONTHS ENDED JUNE 30, 2022
 IRON MOUNTAIN INCORPORATED STOCKHOLDERS' EQUITY
 COMMON STOCKADDITIONAL
PAID-IN
CAPITAL
(DISTRIBUTIONS
IN EXCESS OF
EARNINGS) EARNINGS IN
EXCESS OF
DISTRIBUTIONS
ACCUMULATED
OTHER
COMPREHENSIVE
ITEMS, NET
NONCONTROLLING
INTERESTS
REDEEMABLE
NONCONTROLLING
INTERESTS
 TOTALSHARESAMOUNTS
Balance, December 31, 2021$857,068 289,757,061 $2,898 $4,412,553 $(3,221,152)$(338,347)$1,116 $72,411 
Issuance and net settlement of shares under employee stock purchase plan and option plans and stock-based compensation22,960 922,897 22,951 — — — — 
Changes in equity related to noncontrolling interests2,626 — — (1,009)— — 3,635 1,009 
Parent cash dividends declared(362,220)— — — (362,220)— — — 
Foreign currency translation adjustment(159,764)— — — — (159,605)(159)(569)
Change in fair value of derivative instruments50,977 — — — — 50,977 — — 
Net income (loss)242,614 — — — 242,380 — 234 951 
Noncontrolling interests equity contributions and related costs(2,486)— — (2,486)— — — 21,547 
Noncontrolling interests dividends— — — — — — — (1,392)
Balance, June 30, 2022$651,775 290,679,958 $2,907 $4,432,009 $(3,340,992)$(446,975)$4,826 $93,957 



The accompanying notes are an integral part of these condensed consolidated financial statements.
6IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY
(IN THOUSANDS, EXCEPT SHARE DATA) (UNAUDITED)
THREE MONTHS ENDED SEPTEMBER 30, 2020
 IRON MOUNTAIN INCORPORATED STOCKHOLDERS' EQUITY
 COMMON STOCKADDITIONAL
PAID-IN
CAPITAL
(DISTRIBUTIONS
IN EXCESS OF
EARNINGS) EARNINGS IN
EXCESS OF
DISTRIBUTIONS
ACCUMULATED
OTHER
COMPREHENSIVE
ITEMS, NET
NONCONTROLLING
INTERESTS
REDEEMABLE
NONCONTROLLING
INTERESTS
 TOTALSHARESAMOUNTS
Balance, June 30, 2020$1,024,331 288,142,703 $2,881 $4,325,803 $(2,876,861)$(427,523)$31 $63,512 
Issuance of shares under employee stock purchase plan and option plans and stock-based compensation9,997 20,263 9,996 — — — — 
Parent cash dividends declared(179,677)— — — (179,677)— — — 
Foreign currency translation adjustment44,529 — — — — 44,529 — 354 
Change in fair value of derivative instruments(184)— — — — (184)— — 
Net income (loss)38,250 — — — 38,394 — (144)312 
Noncontrolling interests dividends— — — — — — — (512)
Balance, September 30, 2020$937,246 288,162,966 $2,882 $4,335,799 $(3,018,144)$(383,178)$(113)$63,666 
NINE MONTHS ENDED SEPTEMBER 30, 2020
 IRON MOUNTAIN INCORPORATED STOCKHOLDERS' EQUITY
 COMMON STOCKADDITIONAL
PAID-IN
CAPITAL
(DISTRIBUTIONS
IN EXCESS OF
EARNINGS) EARNINGS IN
EXCESS OF
DISTRIBUTIONS
ACCUMULATED
OTHER
COMPREHENSIVE
ITEMS, NET
NONCONTROLLING
INTERESTS
REDEEMABLE
NONCONTROLLING
INTERESTS
 TOTALSHARESAMOUNTS
Balance, December 31, 2019$1,464,227 287,299,645 $2,873 $4,298,566 $(2,574,896)$(262,581)$265 $67,682 
Issuance of shares under employee stock purchase plan and option plans and stock-based compensation34,639 863,321 34,630 — — — — 
Change in equity related to redeemable noncontrolling interests2,603 — — 2,603 — — — (2,603)
Parent cash dividends declared(538,531)— — — (538,531)— — — 
Foreign currency translation adjustment(109,090)— — — — (109,090)— (652)
Change in fair value of derivative instruments(11,507)— — — — (11,507)— — 
Net income (loss)94,905 — — — 95,283 — (378)1,436 
Noncontrolling interests dividends— — — — — — — (2,197)
Balance, September 30, 2020$937,246 288,162,966 $2,882 $4,335,799 $(3,018,144)$(383,178)$(113)$63,666 









The accompanying notes are an integral part of these condensed consolidated financial statements.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q6

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY
(IN THOUSANDS, EXCEPT SHARE DATA) (UNAUDITED)
THREE MONTHS ENDED JUNE 30, 2021
 IRON MOUNTAIN INCORPORATED STOCKHOLDERS' EQUITY
 COMMON STOCKADDITIONAL
PAID-IN
CAPITAL
(DISTRIBUTIONS
IN EXCESS OF
EARNINGS) EARNINGS IN
EXCESS OF
DISTRIBUTIONS
ACCUMULATED
OTHER
COMPREHENSIVE
ITEMS, NET
REDEEMABLE
NONCONTROLLING
INTERESTS
 TOTALSHARESAMOUNTS
Balance, March 31, 2021$959,707 288,727,747 $2,888 $4,347,151 $(3,083,421)$(306,911)$61,601 
Issuance of shares under employee stock purchase plan and option plans and stock-based compensation45,252 731,021 45,245 — — — 
Parent cash dividends declared(180,760)— — — (180,760)— — 
Foreign currency translation adjustment42,624 — — — — 42,624 (81)
Change in fair value of derivative instruments5,634 — — — — 5,634 — 
Net income (loss)275,285 — — — 275,285 — 1,237 
Noncontrolling interests dividends— — — — — — (664)
Purchase of noncontrolling interests— — — — — — 2,567 
Balance, June 30, 2021$1,147,742 289,458,768 $2,895 $4,392,396 $(2,988,896)$(258,653)$64,660 
SIX MONTHS ENDED JUNE 30, 2021
 IRON MOUNTAIN INCORPORATED STOCKHOLDERS' EQUITY
 COMMON STOCKADDITIONAL
PAID-IN
CAPITAL
(DISTRIBUTIONS
IN EXCESS OF
EARNINGS) EARNINGS IN
EXCESS OF
DISTRIBUTIONS
ACCUMULATED
OTHER
COMPREHENSIVE
ITEMS, NET
REDEEMABLE
NONCONTROLLING
INTERESTS
 TOTALSHARESAMOUNTS
Balance, December 31, 2020$1,136,729 288,273,049 $2,883 $4,340,078 $(2,950,339)$(255,893)$59,805 
Issuance of shares under employee stock purchase plan and option plans and stock-based compensation51,650 1,185,719 12 51,638 — — — 
Change in equity related to redeemable noncontrolling interests680 — — 680 — — (680)
Parent cash dividends declared(359,445)— — — (359,445)— — 
Foreign currency translation adjustment(23,600)— — — — (23,600)(212)
Change in fair value of derivative instruments20,840 — — — — 20,840 — 
Net income (loss)320,888 — — — 320,888 — 2,265 
Noncontrolling interests equity contributions— — — — — — 2,200 
Noncontrolling interests dividends— — — — — — (1,285)
Purchase of noncontrolling interests— — — — — — 2,567 
Balance, June 30, 2021$1,147,742 289,458,768 $2,895 $4,392,396 $(2,988,896)$(258,653)$64,660 











The accompanying notes are an integral part of these condensed consolidated financial statements.
IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q7

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (IN
(IN THOUSANDS) (UNAUDITED)
NINE MONTHS ENDED SEPTEMBER 30, SIX MONTHS ENDED JUNE 30,
20212020 20222021
Cash Flows from Operating Activities:Cash Flows from Operating Activities: Cash Flows from Operating Activities: 
Net income (loss)Net income (loss)$391,264 $96,341 Net income (loss)$243,565 $323,153 
Adjustments to reconcile net income (loss) to cash flows from operating activities:Adjustments to reconcile net income (loss) to cash flows from operating activities:  Adjustments to reconcile net income (loss) to cash flows from operating activities:  
DepreciationDepreciation347,269 334,780 Depreciation236,496 226,939 
Amortization (includes amortization of deferred financing costs and discounts of $12,470 and $13,150 for the nine months ended September 30, 2021 and 2020, respectively)172,346 162,057 
Intangible impairments— 23,000 
Amortization (includes amortization of deferred financing costs and discounts of $9,064 and $8,443 for the six months ended June 30, 2022 and 2021, respectively)Amortization (includes amortization of deferred financing costs and discounts of $9,064 and $8,443 for the six months ended June 30, 2022 and 2021, respectively)134,437 113,831 
Revenue reduction associated with amortization of customer inducements and above- and below-market leasesRevenue reduction associated with amortization of customer inducements and above- and below-market leases6,578 7,612 Revenue reduction associated with amortization of customer inducements and above- and below-market leases3,681 4,327 
Stock-based compensation expenseStock-based compensation expense46,852 35,618 Stock-based compensation expense31,597 33,652 
Provision (benefit) for deferred income taxes36,333 (3,074)
(Benefit) provision for deferred income taxes(Benefit) provision for deferred income taxes(18,491)30,899 
Loss on early extinguishment of debtLoss on early extinguishment of debt— 68,300 Loss on early extinguishment of debt671 — 
Gain on IPM Divestment (as defined in Note 4)(180,569)— 
Gain on IPM divestmentGain on IPM divestment— (181,196)
(Gain) loss on disposal/write-down of property, plant and equipment, net(Gain) loss on disposal/write-down of property, plant and equipment, net(134,321)(78,170)(Gain) loss on disposal/write-down of property, plant and equipment, net(51,954)(133,386)
Loss associated with OSG deconsolidationLoss associated with OSG deconsolidation105,825 — 
Gain associated with Clutter TransactionGain associated with Clutter Transaction(35,821)— 
Foreign currency transactions and other, netForeign currency transactions and other, net(13,239)4,043 Foreign currency transactions and other, net(58,821)2,727 
(Increase) decrease in assets(Increase) decrease in assets(112,753)(10,219)(Increase) decrease in assets(194,756)(83,975)
(Decrease) increase in liabilities(Decrease) increase in liabilities(96,423)(13,070)(Decrease) increase in liabilities(50,505)52,231 
Cash Flows from Operating ActivitiesCash Flows from Operating Activities463,337 627,218 Cash Flows from Operating Activities345,924 389,202 
Cash Flows from Investing Activities:Cash Flows from Investing Activities:  Cash Flows from Investing Activities:  
Capital expendituresCapital expenditures(418,976)(309,162)Capital expenditures(330,220)(295,586)
Cash paid for acquisitions, net of cash acquiredCash paid for acquisitions, net of cash acquired(203,752)(118,581)Cash paid for acquisitions, net of cash acquired(718,657)(35,723)
Acquisition of customer relationshipsAcquisition of customer relationships(4,800)(3,529)Acquisition of customer relationships(148)(3,641)
Customer inducementsCustomer inducements(5,148)(8,269)Customer inducements(4,624)(3,818)
Contract fulfillment costs and third-party commissions(43,699)(30,705)
Contract fulfillment costsContract fulfillment costs(33,951)(29,023)
Investments in joint ventures and other investmentsInvestments in joint ventures and other investments(72,153)(6,850)Investments in joint ventures and other investments— (63,135)
Net proceeds from IPM DivestmentNet proceeds from IPM Divestment213,878 — Net proceeds from IPM Divestment— 213,878 
Proceeds from sales of property and equipment and other, netProceeds from sales of property and equipment and other, net214,865 116,965 Proceeds from sales of property and equipment and other, net96,497 209,697 
Cash Flows from Investing ActivitiesCash Flows from Investing Activities(319,785)(360,131)Cash Flows from Investing Activities(991,103)(7,351)
Cash Flows from Financing Activities:Cash Flows from Financing Activities:  Cash Flows from Financing Activities:  
Repayment of revolving credit facility, term loan facilities and other debtRepayment of revolving credit facility, term loan facilities and other debt(2,622,555)(7,354,790)Repayment of revolving credit facility, term loan facilities and other debt(5,351,720)(1,620,167)
Proceeds from revolving credit facility, term loan facilities and other debtProceeds from revolving credit facility, term loan facilities and other debt3,037,476 7,090,842 Proceeds from revolving credit facility, term loan facilities and other debt6,255,829 1,763,597 
Early redemption of senior notes, including call premiums— (2,942,554)
Net proceeds from sales of senior notes— 3,465,000 
Debt financing and equity contribution from noncontrolling interestsDebt financing and equity contribution from noncontrolling interests21,547 — 
Debt repayment and equity distribution to noncontrolling interestsDebt repayment and equity distribution to noncontrolling interests(1,882)(2,197)Debt repayment and equity distribution to noncontrolling interests(1,392)(1,285)
Repurchase of noncontrolling interestRepurchase of noncontrolling interest(75,000)— Repurchase of noncontrolling interest— (75,000)
Parent cash dividendsParent cash dividends(538,902)(537,853)Parent cash dividends(364,223)(359,824)
Net proceeds (payments) associated with employee stock-based awards19,655 (979)
Net (payments) proceeds associated with employee stock-based awardsNet (payments) proceeds associated with employee stock-based awards(8,636)17,998 
Other, netOther, net3,621 (24,643)Other, net(9,405)3,742 
Cash Flows from Financing ActivitiesCash Flows from Financing Activities(177,587)(307,174)Cash Flows from Financing Activities542,000 (270,939)
Effect of Exchange Rates on Cash and Cash EquivalentsEffect of Exchange Rates on Cash and Cash Equivalents(9,589)(1,496)Effect of Exchange Rates on Cash and Cash Equivalents(7,903)(47)
(Decrease) increase in Cash and Cash Equivalents(Decrease) increase in Cash and Cash Equivalents(43,624)(41,583)(Decrease) increase in Cash and Cash Equivalents(111,082)110,865 
Cash and Cash Equivalents, including Restricted Cash, Beginning of Period205,063 193,555 
Cash and Cash Equivalents, including Restricted Cash, End of Period$161,439 $151,972 
Cash and Cash Equivalents, Beginning of PeriodCash and Cash Equivalents, Beginning of Period255,828 205,063 
Cash and Cash Equivalents, End of PeriodCash and Cash Equivalents, End of Period$144,746 $315,928 
Supplemental Information:Supplemental Information: Supplemental Information: 
Cash Paid for InterestCash Paid for Interest$395,355 $357,897 Cash Paid for Interest$227,633 $217,687 
Cash Paid for Income Taxes, NetCash Paid for Income Taxes, Net$96,174 $27,430 Cash Paid for Income Taxes, Net$57,135 $45,246 
Non-Cash Investing and Financing Activities:Non-Cash Investing and Financing Activities:  Non-Cash Investing and Financing Activities:  
Financing LeasesFinancing Leases$40,590 $34,889 Financing Leases$12,878 $13,775 
Accrued Capital ExpendituresAccrued Capital Expenditures$60,418 $58,175 Accrued Capital Expenditures$98,210 $45,665 
Fair Value of Investments Applied to Acquisitions$— $27,276 
Deferred Purchase Obligation and OtherDeferred Purchase Obligation and Other$276,017 $— 
Dividends PayableDividends Payable$189,010 $186,699 Dividends Payable$188,556 $187,488 
The accompanying notes are an integral part of these condensed consolidated financial statements.
8IRON MOUNTAIN JUNE 30, 2022 FORM 10-QIRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q8

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(In thousands, except share and per share data) (Unaudited)
1. GENERAL
The unaudited condensed consolidated financial statements of Iron Mountain Incorporated, a Delaware corporation (“IMI”("IMI"), and its subsidiaries (“we”("we" or “us”"us"), have been prepared pursuant to the rules and regulations of the United States Securities and Exchange Commission (the “SEC”"SEC"). Certain information and footnote disclosures normally included in the annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”("GAAP") have been omitted pursuant to those rules and regulations, but we believe that the disclosures included herein are adequate to make the information presented not misleading. The interim condensed consolidated financial statements are presented herein and, in the opinion of management, reflect all adjustments of a normal recurring nature necessary for a fair presentation. Interim results are not necessarily indicative of results for a full year.
The Condensed Consolidated Financial Statements and Notes thereto, which are included herein, should be read in conjunction with the Consolidated Financial Statements and Notes thereto for the year ended December 31, 20202021 included in our Annual Report on Form 10-K filed with the SEC on February 24, 20212022 (our “Annual Report”"Annual Report").
We have been organized and have operated as a real estate investment trust for United States federal income tax purposes (“REIT”("REIT") beginning with our taxable year ended December 31, 2014.
In March 2020, the World Health Organization declared a novel strain of coronavirus (“COVID-19”) a pandemic. The preventative and protective actions that governments have ordered, or we or our customers have implemented, have resulted in a period of reduced service operations and business disruption for us, our customers and other third parties with which we do business. The broader impacts of the COVID-19 pandemic on our financial position, results of operations and cash flows, including impacts to the estimates we use in the preparation of our financial statements, remain uncertain and difficult to predict as information continues to evolve, and the severity and duration of the pandemic remains unknown, as is our visibility of its effect on the markets we serve and our customers within those markets.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Cash and cash equivalents include cash on hand and cash invested in highly liquid short-term securities, which have remaining maturities at the date of purchase of less than 90 days. Cash and cash equivalents are carried at cost, which approximates fair value.
B. ACCOUNTS RECEIVABLE
We maintain an allowance for doubtful accounts and a credit memo reserve for estimated losses resulting from the potential inability of our customers to make required payments and potential disputes regarding billing and service issues. The rollforward of the allowance for doubtful accounts and credit memo reserves for the ninesix months ended SeptemberJune 30, 20212022 is as follows:
Balance as of December 31, 20202021$56,98162,009 
Credit memos charged to revenue29,99626,091 
Allowance for bad debts charged to expense16,3719,010 
Deductions and other(1)
(43,134)(41,395)
Balance as of SeptemberJune 30, 20212022$60,21455,715 
(1)Primarily consists of the issuance of credit memos, the write-off of accounts receivable, allowances associated with businesses acquired and the impact associated with currency translation adjustments.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q9

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)


C. INVENTORY
Inventories are stated at the lower of cost or net realizable value, based on a first-in, first-out methodology. Our inventory primarily consists of information technology-related assets including memory, central processing units, hard drives, adaptors and networking. All of our inventory is considered finished goods. Inventory is included as a component of Prepaid expenses and other in our Condensed Consolidated Balance Sheets. At June 30, 2022, we have inventory of approximately $22,400, net of related reserves for obsolete, excess and slow-moving inventory, which was acquired as part of the ITRenew Transaction (as defined in Note 3). We had no inventory as of December 31, 2021.
D. LEASES
We lease facilities for certain warehouses, data centers and office space. We also have land leases, including those on which certain facilities are located. Operating and financing lease right-of-use assets and lease liabilities as of SeptemberJune 30, 20212022 and December 31, 20202021 are as follows:
DESCRIPTIONDESCRIPTIONSEPTEMBER 30, 2021DECEMBER 31, 2020DESCRIPTIONJUNE 30, 2022DECEMBER 31, 2021
Assets:Assets:Assets:
Operating lease right-of-use assetsOperating lease right-of-use assets$2,308,047 $2,196,502 Operating lease right-of-use assets$2,512,377 $2,314,422 
Financing lease right-of-use assets, net of accumulated depreciation(1)
Financing lease right-of-use assets, net of accumulated depreciation(1)
307,032 310,534 
Financing lease right-of-use assets, net of accumulated depreciation(1)
261,762 298,049 
Liabilities:Liabilities:Liabilities:
CurrentCurrentCurrent
Operating lease liabilitiesOperating lease liabilities$257,884 $250,239 Operating lease liabilities$262,044 $259,597 
Financing lease liabilities(1)
Financing lease liabilities(1)
42,442 43,149 
Financing lease liabilities(1)
36,377 41,168 
Long-termLong-termLong-term
Operating lease liabilitiesOperating lease liabilities$2,164,449 $2,044,598 Operating lease liabilities$2,371,270 $2,171,472 
Financing lease liabilities(1)
Financing lease liabilities(1)
321,682 323,162 
Financing lease liabilities(1)
286,548 315,561 
(1)Financing lease right-of-use assets, current financing lease liabilities and long-term financing lease liabilities are included within Property, Plant and Equipment, Net, Current portion of long-term debt and Long-term Debt, net of current portion, respectively, within our Condensed Consolidated Balance Sheets.
The components of the lease expense for the three and ninesix months ended SeptemberJune 30, 20212022 and 20202021 are as follows:
THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED SEPTEMBER 30,THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
DESCRIPTIONDESCRIPTION2021202020212020DESCRIPTION2022202120222021
Operating lease cost(1)
Operating lease cost(1)
$140,551 $122,737 $408,312 $365,303 
Operating lease cost(1)
$139,863 $135,086 $283,393 $267,761 
Financing lease cost:Financing lease cost:Financing lease cost:
Depreciation of financing lease right-of-use assetsDepreciation of financing lease right-of-use assets$14,006 $12,973 $39,062 $38,495 Depreciation of financing lease right-of-use assets$10,578 $12,408 $22,032 $25,056 
Interest expense for financing lease liabilitiesInterest expense for financing lease liabilities5,055 4,891 14,940 14,664 Interest expense for financing lease liabilities4,359 4,910 9,037 9,885 
(1)Operating lease cost, the majority of which is included in Cost of sales, includes variable lease costs of $28,835$28,788 and $86,422$59,296 for the three and ninesix months ended SeptemberJune 30, 2021,2022, respectively, and $27,486$29,219 and $82,287$57,587 for the three and ninesix months ended September 30, 2020, respectively.
Other information: Supplemental cash flow information relating to our leases for the nine months ended SeptemberJune 30, 2021, and 2020 is as follows:respectively.
NINE MONTHS ENDED SEPTEMBER 30,
CASH PAID FOR AMOUNTS INCLUDED IN MEASUREMENT OF LEASE LIABILITIES:20212020
Operating cash flows used in operating leases$291,535 $266,619 
Operating cash flows used in financing leases (interest)14,940 14,664 
Financing cash flows used in financing leases35,360 36,008 
NON-CASH ITEMS:
Operating lease modifications and reassessments$103,158 $89,727 
New operating leases (including acquisitions and sale-leaseback transactions)240,822 173,635 
10IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q10

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Other information: Supplemental cash flow information relating to our leases for the six months ended June 30, 2022 and 2021 is as follows:
SIX MONTHS ENDED JUNE 30,
CASH PAID FOR AMOUNTS INCLUDED IN MEASUREMENT OF LEASE LIABILITIES:20222021
Operating cash flows used in operating leases$200,958 $192,039 
Operating cash flows used in financing leases (interest)9,037 9,885 
Financing cash flows used in financing leases20,084 23,656 
NON-CASH ITEMS:
Operating lease modifications and reassessments$67,699 $63,047 
New operating leases (including acquisitions and sale-leaseback transactions)382,890 210,881 
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q11

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D.E. GOODWILL
Our reporting units as of December 31, 20202021 are described in detail in Note 2.k. to Notes to Consolidated Financial Statements included in our Annual Report. During the second quarter of 2022, as a result of the realignment of our global managerial structure, we reassessed the composition of our reportable segments (see Note 9 for a description and definition of our reportable segments) as well as our reporting units.
We note the following changes to our reporting units as a result of the reassessment described above:
our former Europe RIM reporting unit is now managed as 2 separate reporting units: (1) our Middle East, North Africa and Turkey ("MENAT") businesses will comprise our "MENAT RIM" reporting unit and (2) our other businesses in Europe and South Africa ("ESA") will comprise our “ESA RIM” reporting unit;
our former ANZ RIM and Asia RIM reporting units are now managed as 1 "APAC RIM" reporting unit; and
our asset lifecycle management ("ALM") business, which includes our legacy secure IT asset disposition business (which was primarily previously included in our North America RIM reporting unit) and the business acquired through our acquisition of Intercept Parent, Inc. ("ITRenew"), will comprise our newly formed "ALM" reporting unit.

There were no changes to our Latin America RIM, Global Data Center and Fine Arts reporting units. We have reassigned goodwill associated with the reporting units impacted by the reorganization on a relative fair value basis, where appropriate. The fair value of each of our new reporting units was determined based on the application of a combined weighted average approach of preliminary fair value multiples of revenue and earnings and discounted cash flow techniques. These fair values represent our best estimate and preliminary assessment of goodwill allocations to each of the new reporting units on a relative fair value basis. We have completed an interim goodwill impairment analysis before and after the reporting unit changes, and we have concluded that the goodwill associated with each of our reporting units was not impaired.
The goodwill associated with acquisitions completed during the first ninesix months of 20212022 (as described in Note 3) has been incorporated into our current reporting units as they existed as of December 31, 2020.units.
The changes in the carrying value of goodwill attributable to each reportable operating segment for the ninesix months ended SeptemberJune 30, 20212022 are as follows:
GLOBAL RIM BUSINESSGLOBAL DATA CENTER BUSINESSCORPORATE AND OTHER BUSINESSTOTAL CONSOLIDATED
Goodwill balance, net of accumulated amortization as of December 31, 2020$4,024,182 $436,987 $96,440 $4,557,609 
Non-tax deductible goodwill acquired during the period17,180 — 9,991 27,171 
Goodwill allocated to IPM Divestment— — (46,105)(46,105)
Fair value and other adjustments(6,091)— (1,268)(7,359)
Currency effects(49,737)(7,995)(943)(58,675)
Goodwill balance, net accumulated amortization as of September 30, 2021$3,985,534 $428,992 $58,115 $4,472,641 
Accumulated goodwill impairment balance as of September 30, 2021$132,409 $— $26,011 $158,420 
GLOBAL RIM BUSINESSGLOBAL DATA CENTER BUSINESSCORPORATE AND OTHER BUSINESSTOTAL CONSOLIDATED
Goodwill balance, net of accumulated amortization as of December 31, 2021$3,976,261 $426,074 $61,196 $4,463,531 
Non-tax deductible goodwill acquired during the period696 — 581,195 581,891 
Goodwill reallocation due to the change in reportable segments(1)
(3,409)— 3,409 — 
Fair value and other adjustments(2)
(12,247)— 384 (11,863)
Currency effects(97,746)(10,569)(1,553)(109,868)
Goodwill balance, net of accumulated amortization as of June 30, 2022$3,863,555 $415,505 $644,631 $4,923,691 
Accumulated goodwill impairment balance as of June 30, 2022$132,409 $— $26,011 $158,420 
(1)For additional information regarding the changes that were made to our reportable segments in the second quarter of 2022, see Note 9.
E. INVESTMENTS
2021 NEWLY FORMED JOINT VENTURE
In April 2021, we closed on(2)This amount represents an agreementadjustment to formgoodwill as a joint venture (the "Web Werks JV") with the shareholders of Web Werks India Private Limited ("Web Werks"), a colocation data center provider in India. In connection with the formationresult of the Web Werks JV, we made an initial investmentdeconsolidation of approximately 3,750,000 Indian rupees (or approximately $50,100, based upon the exchange rate between the United States dollar and Indian rupeecertain businesses, as of the closing date of the initial investment)described in exchange for a noncontrolling interest in the form of convertible preference shares in the Web Werks JV (the “Initial Web Werks JV Investment”). These shares are convertible into a to-be-determined amount of common shares based upon the achievement of EBITDA targets for the Web Werks JV's fiscal year ending March 31, 2022.
Under the terms of the Web Werks JV shareholder agreement, we are required to make additional investments over a period ending May 2023 totaling approximately 7,500,000 Indian rupees (or approximately $100,000, based upon the current exchange rate between the United States dollar and Indian rupee).
JOINT VENTURE SUMMARY
The following joint ventures are accounted for as equity method investments and are presented as a component of Other within Other assets, net in our Condensed Consolidated Balance Sheets. The carrying values and equity interests in our joint ventures at September 30, 2021 and December 31, 2020 are as follows:
SEPTEMBER 30, 2021DECEMBER 31, 2020
CARRYING VALUEEQUITY INTERESTCARRYING VALUEEQUITY INTEREST
Web Werks JV$51,257 38 %$— — %
Joint venture with AGC Equity Partners (the “Frankfurt JV”)26,272 20 %26,500 20 %
Joint venture with MakeSpace Labs, Inc. (the “MakeSpace JV”)27,419 48 %16,924 39 %

Note 2.l.

IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q1112

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
F. FAIR VALUE MEASUREMENTS
The assets and liabilities carried at fair value measured on a recurring basis as of SeptemberJune 30, 20212022 and December 31, 20202021 are as follows:
  FAIR VALUE MEASUREMENTS AT SEPTEMBER 30, 2021 USING
DESCRIPTIONTOTAL CARRYING
VALUE AT
SEPTEMBER 30, 2021
QUOTED PRICES IN
ACTIVE MARKETS
(LEVEL 1)
SIGNIFICANT OTHER
OBSERVABLE INPUTS
(LEVEL 2)
SIGNIFICANT
UNOBSERVABLE
INPUTS (LEVEL 3)
Money Market Funds$9,186 $— $9,186 $— 
Time Deposits2,175 — 2,175 — 
Trading Securities11,713 11,572  141  — 
Derivative Assets1,214 — 1,214 — 
Derivative Liabilities15,412 — 15,412 — 
  FAIR VALUE MEASUREMENTS AT DECEMBER 31, 2020 USING
DESCRIPTIONTOTAL CARRYING
VALUE AT
DECEMBER 31, 2020
QUOTED PRICES IN
ACTIVE MARKETS
(LEVEL 1)
SIGNIFICANT OTHER
OBSERVABLE INPUTS
(LEVEL 2)
SIGNIFICANT
UNOBSERVABLE
INPUTS (LEVEL 3)
Money Market Funds$62,657 $— $62,657 $— 
Time Deposits2,121 — 2,121 — 
Trading Securities10,892 10,636  256  — 
Derivative Liabilities49,703 — 49,703 — 
  FAIR VALUE MEASUREMENTS AT JUNE 30, 2022 USING
DESCRIPTIONTOTAL CARRYING
VALUE AT
JUNE 30, 2022
QUOTED PRICES IN
ACTIVE MARKETS
(LEVEL 1)
SIGNIFICANT OTHER
OBSERVABLE INPUTS
(LEVEL 2)
SIGNIFICANT
UNOBSERVABLE
INPUTS (LEVEL 3)
Money Market Funds$7,164 $— $7,164 $— 
Time Deposits1,397 — 1,397 — 
Trading Securities10,597 10,531  66  — 
Derivative Assets53,654 — 53,654 — 
Deferred Purchase Obligation (as defined in Note 3)275,100 — — 275,100 
  FAIR VALUE MEASUREMENTS AT DECEMBER 31, 2021 USING
DESCRIPTIONTOTAL CARRYING
VALUE AT
DECEMBER 31, 2021
QUOTED PRICES IN
ACTIVE MARKETS
(LEVEL 1)
SIGNIFICANT OTHER
OBSERVABLE INPUTS
(LEVEL 2)
SIGNIFICANT
UNOBSERVABLE
INPUTS (LEVEL 3)
Money Market Funds$101,022 $— $101,022 $— 
Time Deposits2,238 — 2,238 — 
Trading Securities11,147 11,062  85  — 
Derivative Assets11,021 — 11,021 — 
Derivative Liabilities8,344 — 8,344 — 
There were no material items that are measured at fair value on a non-recurring basis at SeptemberJune 30, 20212022 and December 31, 2020,2021, other than (i) those disclosed in Note 2.o. to Notes to Consolidated Financial Statements included in our Annual Report, (ii) assets acquired and liabilities assumed through the ITRenew Transaction (as defined and described in Note 3), (iii) our investment in the Web WerksClutter JV as(as defined in Note 4), and (iv) the fair value of our retained investment of our deconsolidated businesses (as described in Note 2.e.2.l.), and (iii) those acquired in acquisitions that occurred during the nine months ended September 30, 2021, as described in Note 3, all of which are based on Level 3 inputs.
G. REDEEMABLE NONCONTROLLING INTERESTS
In 2018, one The fair value of the noncontrolling interest shareholders in one ofDeferred Purchase Obligation associated with the ITRenew Transaction was determined utilizing a Monte-Carlo model and takes into account our foreign consolidated subsidiaries exercised its optionforecasted projections as it relates to put its ownership interest back to us. Upon the exerciseunderlying performance of the put option, this noncontrolling interest became mandatorily redeemable by us, and, therefore, was accounted forbusiness. There were no significant changes to the inputs to the model as a liability rather than a component of redeemable noncontrolling interests. In May 2021, we agreed to final settlement terms and paid the put option price for the noncontrolling interest shares. We remain in dispute with this former shareholder with respect to whether interest from the date of the put and certain other costs should be reimbursable. We have vigorously defended that interest and costs are not owed, and are currently awaiting a ruling from an arbitration hearing.
12IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
H. ACCUMULATED OTHER COMPREHENSIVE ITEMS, NET
The changes in accumulated other comprehensive items, net for the three and nine months ended SeptemberJune 30, 2021 and 2020 are as follows:
THREE MONTHS ENDED SEPTEMBER 30, 2021NINE MONTHS ENDED SEPTEMBER 30, 2021
 FOREIGN
CURRENCY
TRANSLATION AND OTHER
ADJUSTMENTS
CHANGE IN FAIR VALUE OF
DERIVATIVE
INSTRUMENTS
TOTALFOREIGN
CURRENCY
TRANSLATION AND OTHER
ADJUSTMENTS
CHANGE IN FAIR VALUE OF DERIVATIVE INSTRUMENTSTOTAL
Beginning of Period$(229,790)$(28,863)$(258,653)$(206,190)$(49,703)$(255,893)
Other comprehensive (loss) income):
Foreign currency translation and other adjustments(90,465)— (90,465)(114,065)— (114,065)
Change in fair value of derivative instruments— 14,665 14,665 — 35,505 35,505 
Total other comprehensive (loss) income(90,465)14,665 (75,800)(114,065)35,505 (78,560)
End of Period$(320,255)$(14,198)$(334,453)$(320,255)$(14,198)$(334,453)
THREE MONTHS ENDED SEPTEMBER 30, 2020NINE MONTHS ENDED SEPTEMBER 30, 2020
 FOREIGN
CURRENCY
TRANSLATION AND OTHER
ADJUSTMENTS
CHANGE IN FAIR VALUE OF
DERIVATIVE
INSTRUMENTS
TOTALFOREIGN
CURRENCY
TRANSLATION AND OTHER
ADJUSTMENTS
CHANGE IN FAIR VALUE OF DERIVATIVE INSTRUMENTSTOTAL
Beginning of Period$(406,444)$(21,079)$(427,523)$(252,825)$(9,756)$(262,581)
Other comprehensive income (loss):
Foreign currency translation and other adjustments44,529 — 44,529 (109,090)— (109,090)
Change in fair value of derivative instruments— (184)(184)— (11,507)(11,507)
Total other comprehensive income (loss)44,529 (184)44,345 (109,090)(11,507)(120,597)
End of Period$(361,915)$(21,263)$(383,178)$(361,915)$(21,263)$(383,178)
2022.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q13

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
I.G. ACCUMULATED OTHER COMPREHENSIVE ITEMS, NET
The changes in accumulated other comprehensive items, net for the three and six months ended June 30, 2022 and 2021 are as follows:
THREE MONTHS ENDED JUNE 30, 2022THREE MONTHS ENDED JUNE 30, 2021
 FOREIGN
CURRENCY
TRANSLATION AND OTHER
ADJUSTMENTS
CHANGE IN FAIR VALUE OF
DERIVATIVE
INSTRUMENTS
TOTALFOREIGN
CURRENCY
TRANSLATION AND OTHER
ADJUSTMENTS
CHANGE IN FAIR VALUE OF
DERIVATIVE
INSTRUMENTS
TOTAL
Beginning of Period$(313,801)$19,443 $(294,358)$(272,414)$(34,497)$(306,911)
Other comprehensive (loss) income:
Foreign currency translation and other adjustments(186,828)— (186,828) 42,624 — 42,624 
Change in fair value of derivative instruments— 34,211 34,211  — 5,634 5,634 
Total other comprehensive (loss) income(186,828)34,211 (152,617) 42,624 5,634 48,258 
End of Period$(500,629)$53,654 $(446,975) $(229,790)$(28,863)$(258,653)
SIX MONTHS ENDED JUNE 30, 2022SIX MONTHS ENDED JUNE 30, 2021
 FOREIGN
CURRENCY
TRANSLATION AND OTHER
ADJUSTMENTS
CHANGE IN FAIR VALUE OF
DERIVATIVE
INSTRUMENTS
TOTALFOREIGN
CURRENCY
TRANSLATION AND OTHER
ADJUSTMENTS
CHANGE IN FAIR VALUE OF
DERIVATIVE
INSTRUMENTS
TOTAL
Beginning of Period$(341,024)$2,677 $(338,347)$(206,190)$(49,703)$(255,893)
Other comprehensive (loss) income:
Foreign currency translation and other adjustments(159,605)— (159,605) (23,600)— (23,600)
Change in fair value of derivative instruments— 50,977 50,977  — 20,840 20,840 
Total other comprehensive (loss) income(159,605)50,977 (108,628) (23,600)20,840 (2,760)
End of Period$(500,629)$53,654 $(446,975) $(229,790)$(28,863)$(258,653)
H. REVENUES
The costs associated with the initial movement of customer records into physical storage and certain commissions are considered costs to obtain or fulfill customer contracts (collectively, “Contract"Contract Fulfillment Costs”Costs"). Contract Fulfillment Costs as of SeptemberJune 30, 20212022 and December 31, 20202021 are as follows:
SEPTEMBER 30, 2021DECEMBER 31, 2020JUNE 30, 2022DECEMBER 31, 2021
GROSS
CARRYING
AMOUNT
ACCUMULATED
AMORTIZATION
NET
CARRYING
AMOUNT
GROSS
CARRYING
AMOUNT
ACCUMULATED
AMORTIZATION
NET
CARRYING
AMOUNT
GROSS
CARRYING
AMOUNT
ACCUMULATED
AMORTIZATION
NET
CARRYING
AMOUNT
GROSS
CARRYING
AMOUNT
ACCUMULATED
AMORTIZATION
NET
CARRYING
AMOUNT
Intake Costs assetIntake Costs asset$71,540 $(41,246)$30,294 $63,721 $(33,352)$30,369 Intake Costs asset$67,334 $(44,086)$23,248 $71,336 $(42,678)$28,658 
Commissions assetCommissions asset107,298 (48,708)58,590 91,069 (38,787)52,282 Commissions asset130,277 (55,952)74,325 114,791 (50,553)64,238 
IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q14

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Deferred revenue liabilities are reflected in our Condensed Consolidated Balance Sheets as follows:
DESCRIPTIONDESCRIPTIONLOCATION IN BALANCE SHEETSEPTEMBER 30, 2021DECEMBER 31, 2020DESCRIPTIONLOCATION IN BALANCE SHEETJUNE 30, 2022DECEMBER 31, 2021
Deferred revenue - CurrentDeferred revenue - CurrentDeferred revenue$257,593 $295,785 Deferred revenue - CurrentDeferred revenue$302,494 $307,470 
Deferred revenue - Long-termDeferred revenue - Long-termOther Long-term Liabilities34,342 35,612 Deferred revenue - Long-termOther Long-term Liabilities33,308 33,691 
DATA CENTER LESSOR CONSIDERATIONS
Our Global Data Center Business features storage rental provided to customers at contractually specified rates over a fixed contractual period, which are accounted for in accordance with Accounting Standards UpdateCodification ("ASU"ASC") No. 2016-02,842 ("ASC 842"), Leases, (Topic 842), as amended. Storage rental revenue, including revenue associated with power and connectivity, associated with our Global Data Center Business for the three and ninesix months ended SeptemberJune 30, 20212022 and 20202021 are as follows:
THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED
SEPTEMBER 30,
2021202020212020
Storage rental revenue(1)
$72,411 $68,416 $210,805 $196,823 
THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
2022202120222021
Storage rental revenue(1)
$89,768 $71,237 $177,219 $138,394 
(1)Revenue associated with power and connectivity included within storage rental revenue was $14,639$30,713 and $42,333$59,031 for the three and ninesix months ended SeptemberJune 30, 2021,2022, respectively, and $12,033$14,561 and $34,986$27,694 for the three and ninesix months ended SeptemberJune 30, 2020,2021, respectively.
14IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q15

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
I. STOCK-BASED COMPENSATION
Our stock-based compensation expense includes the cost of stock options, restricted stock units ("RSUs"), performance units ("PUs") and shares of stock issued under our employee stock purchase plan ("ESPP") (together, the "Employee Stock-Based Awards").
2022 RETIREMENT ELIGIBLE CRITERIA
For our Employee Stock-Based Awards made on or after March 1, 2022, we have included the following retirement provision:
Upon an award recipient's retirement on or after attaining age 55 with at least five years of service, if the sum of (i) the award recipient’s age at retirement and (ii) the award recipient’s years of service with us totals at least 65, the award recipient is entitled to continued vesting of any outstanding Employee Stock-Based Awards, provided that their retirement occurs on or after a minimum of six months from the grant date (the "Retirement Criteria").
Accordingly, (i) grants of Employee Stock-Based Awards to an employee who has met the Retirement Criteria on or before the date of grant, or will meet the Retirement Criteria before the six month anniversary in the year of the grant, will be expensed over six months from the date of grant and (ii) grants of Employee Stock-Based Awards to employees who will meet the Retirement Criteria during the award’s normal vesting period will be expensed between the date of grant and the date upon which the award recipient meets the Retirement Criteria.
Stock options and RSUs granted to award recipients who meet the Retirement Criteria will be delivered to the award recipient based upon the original vesting schedule. If an award recipient retires and has met the Retirement Criteria, stock options will remain exercisable until the original expiration date of the stock options. PUs granted to award recipients who meet the Retirement Criteria will be delivered in accordance with the original vesting schedule of the applicable PU award and remain subject to the same performance conditions.
STOCK-BASED COMPENSATION EXPENSE
Stock-based compensation expense for the Employee Stock-Based Awards for the three and six months ended June 30, 2022 and 2021 is as follows:
THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
2022202120222021
Stock-based compensation expense$20,256 $22,699 $31,597 $33,652 
As of June 30, 2022, unrecognized compensation cost related to the unvested portion of our Employee Stock-Based Awards is $69,595.
RESTRICTED STOCK UNITS AND PERFORMANCE UNITS
The fair value of RSUs and earned PUs that vested during the three and six months ended June 30, 2022 and 2021 is as follows:
THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
 2022202120222021
Fair value of RSUs vested$3,144 $3,118 $21,559 $22,979 
Fair value of earned PUs that vested— 235 4,346 5,826 
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q16

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
J. STOCK-BASED COMPENSATION
PLAN AMENDMENTS
In May 2021, our stockholders (1) approved an amendment to the Iron Mountain Incorporated 2014 Stock and Cash Incentive Plan (the “2014 Plan”) to (i) increase the number of shares of our common stock authorized for issuance thereunder by 8,000,000 from 12,750,000 to 20,750,000, (ii) extend the termination date of the 2014 Plan from May 24, 2027 to May 12, 2031, (iii) provide that, other than in specified circumstances, no equity-based award will vest before the first anniversary of the date of grant and (iv) provide that dividends and dividend equivalents are not paid with respect to stock options or stock appreciation rights and (2) approved an amendment to the Iron Mountain Incorporated 2013 Employee Stock Purchase Plan to increase the number of shares of Common Stock authorized for issuance thereunder by 1,000,000 from 1,000,000 to 2,000,000.
STOCK-BASED COMPENSATION EXPENSE
Stock-based compensation expense for the cost of stock options, restricted stock units (“RSUs”), performance units (“PUs”) and shares of stock issued under our employee stock purchase plan (collectively, “Employee Stock-Based Awards”) for the three and nine months ended September 30, 2021 and 2020 is as follows:
THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED
SEPTEMBER 30,
2021202020212020
Stock-based compensation expense$13,200 $8,946 $46,852 $35,618 
As of September 30, 2021, unrecognized compensation cost related to the unvested portion of our Employee Stock-Based Awards is $48,494.
RESTRICTED STOCK UNITS AND PERFORMANCE UNITS
The fair value of RSUs and earned PUs that vested during the three and nine months ended September 30, 2021 and 2020 is as follows:
THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED
SEPTEMBER 30,
 2021202020212020
Fair value of RSUs vested$8,425 $2,766 $31,404 $24,411 
Fair value of earned PUs that vested22,030 1,370 27,856 12,421 
As of September 30, 2021, we expected 133%, 114% and 103% achievement of each of the predefined targets associated with the awards of PUs made in 2021, 2020 and 2019, respectively.
K. ACQUISITION AND INTEGRATION COSTS
Acquisition and integration costs represent operating expenditures directly associated with the closing and integration activities of our business acquisitions that have closed, or are highly probable of closing, and include (i) advisory, legal and professional fees to complete business acquisitions and (ii) costs to integrate acquired businesses into our existing operations, including move, severance, facility upgrade and system integration costs (collectively, "Acquisition and Integration Costs"). Acquisition and Integration Costs do not include costs associated with the formation of joint ventures or costs associated with the acquisition of customer relationships. Total Acquisition and Integration Costs is $16,878 and $32,539 for the three and ninesix months ended SeptemberJune 30, 2021 is $1,1382022, respectively, and $3,415, respectively.
IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q15
$2,277 for both the three and six months ended June 30, 2021.

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
L.K. (GAIN) LOSS ON DISPOSAL/WRITE-DOWN OF PROPERTY, PLANT AND EQUIPMENT, NET
Consolidated (gain) loss on disposal/write-down of property, plant and equipment, net for the three and ninesix months ended SeptemberJune 30, 20212022 and 20202021 is as follows:
THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED
SEPTEMBER 30,
2021
2020(1)
2021(2)
2020(1)
(Gain) Loss on disposal/write-down of property, plant and equipment, net (3)
$(935)$(75,840)$(134,321)$(78,170)
THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
2022(1)
2021(2)
2022(1)
2021(2)
(Gain) Loss on disposal/write-down of property, plant and equipment, net$(51,249)$(128,935)$(51,954)$(133,386)
(1) The gains for both the three and ninesix months ended SeptemberJune 30, 20202022 primarily consisted of gains of approximately $76,400$49,000 associated with the sale and sale-leaseback transactions of 211 facilities and parcels of land in the United States.States, as part of our program to monetize a portion of our industrial assets. The terms for these leases are consistent with the terms of our lease portfolio, which are disclosed in detail in Note 2.i. to Notes to Consolidated Financial Statements included in our Annual Report.
(2)The gains for the ninethree and six months ended SeptemberJune 30, 2021 primarily consisted of gains of approximately $127,400 associated with the sale-leaseback transactions of 5 facilities in the United Kingdom, which occurred during the second quarter of 2021.
(3) The gains recognized during both 2021 and 2020 are a resultas part of our program to monetize a small portion of our industrial assets. The terms for these leases are consistent with the terms of our lease portfolio, which are disclosed in detail in Note 2.i. to Notes to Consolidated Financial Statements included in our Annual Report.
M.L. OTHER (INCOME) EXPENSE, NET
Consolidated other (income) expense, net for the three and ninesix months ended SeptemberJune 30, 20212022 and 20202021 consists of the following:
THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED
SEPTEMBER 30,
THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
DESCRIPTIONDESCRIPTION2021202020212020DESCRIPTION2022202120222021
Foreign currency transaction (gains) losses, net(1)Foreign currency transaction (gains) losses, net(1)$(23,200)$29,635 $(16,157)$(6,293)Foreign currency transaction (gains) losses, net(1)$(55,039)$4,729 $(68,240)$7,043 
Debt extinguishment expenseDebt extinguishment expense— 51,260 — 68,300 Debt extinguishment expense— — 671 — 
Other, net(1)(3)
Other, net(1)(3)
4,699 2,570 (183,861)4,432 
Other, net(1)(3)
13,822 (190,959)82,253 (188,560)
Other (Income) Expense, NetOther (Income) Expense, Net$(18,501)$83,465 $(200,018)$66,439 Other (Income) Expense, Net$(41,217)$(186,230)$14,684 $(181,517)
(1)We recognized net foreign currency transaction gains of $55,039 and $68,240 for the three and six months ended June 30, 2022, respectively. These gains primarily consist of the impact of changes in the exchange rate of the Euro and the British pound sterling against the United States dollar on our intercompany balances with and between certain of our subsidiaries.
(2)On March 24, 2022, as a result of our loss of control, we deconsolidated the businesses included in the acquisition of OSG Records Management (Europe) Limited, excluding Ukraine. We recognized a loss of approximately $105,800 associated with the deconsolidation to Other expense (income), net in the first quarter of 2022 representing the difference between the net asset value prior to the deconsolidation and subsequent remeasurement of the retained investment to fair value of zero. We have concluded that the deconsolidation does not meet the criteria to be reported as discontinued operations in our consolidated financial statements, as it does not represent a strategic shift that will have a major effect on our operations and financial results. The loss was partially offset by a gain recorded in the first quarter of 2022 of approximately $35,800 associated with the Clutter Transaction (as defined in Note 4).
(3)Other, net for the ninethree and six months ended SeptemberJune 30, 2021 is primarily comprised of (a) a gain of approximately $180,600$181,200 associated with our IPM Divestment (as defined and discussed in Note 4 to Notes to Consolidated Financial Statements included in our Annual Report) and (b) a gain of approximately $20,300 associated with the loss of control and related deconsolidation, as of May 18, 2021 of one of our wholly owned Netherlands subsidiaries, for which we had value-added tax liability exposure that was recorded in 2019.
16IRON MOUNTAIN SEPTEMBERJUNE 30, 2021 FORM 10-Q

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
N. INCOME TAXES
We provide for income taxes during interim periods based on our estimate of the effective tax rate for the year.
Our effective tax rates for the three and nine months ended September 30, 2021 and 2020 are as follows:
 THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED
SEPTEMBER 30,
2021202020212020
Effective Tax Rate(1)
29.1 %26.5 %28.1 %25.7 %
(1)The primary reconciling items between the federal statutory tax rate of 21.0% and our overall effective tax rate for the three and nine months ended September 30, 2021 and 2020 were the impacts of differences in the tax rates at which our foreign earnings are subject, partially offset by the benefits derived from the dividends paid deduction. The costs associated with Project Summit (as defined in Note 11) are more heavily weighted to our United States qualified REIT subsidiaries ("QRSs"), and, therefore, provide no tax benefit. Additionally, the nine months ended September 30, 2021, reflects a discrete tax expense of approximately $12,000 primarily resulting from a tax law change in the United Kingdom.
At December 31, 2020, we concluded that it was our intent to indefinitely reinvest our current and future undistributed earnings of certain of our unconverted foreign taxable REIT subsidiaries (“TRSs”) outside the United States, with the exception of certain limited instances. During 2021, as a result of the enactment of a tax law and the closing of various acquisitions, we reassessed this intention and concluded that it is no longer our intention to reinvest our undistributed earnings of our foreign TRSs indefinitely outside the United States. As a REIT, future repatriation of incremental undistributed earnings of our foreign subsidiaries will not be subject to federal or state income tax, with the exception of foreign withholding taxes. However, such future repatriations may require distributions to our stockholders in accordance with REIT distribution rules, and any such distribution may then be taxable, as appropriate, at the stockholder level. We expect to provide for foreign withholding taxes on the current and future earnings of all of our foreign subsidiaries as the result of such reassessment.
O. INCOME (LOSS) PER SHARE—BASIC AND DILUTED
The calculation of basic and diluted income (loss) per share for the three and nine months ended September 30, 2021 and 2020 are as follows:
 
THREE MONTHS ENDED
SEPTEMBER 30,
NINE MONTHS ENDED
SEPTEMBER 30,
 2021202020212020
Net Income (Loss)$68,111 $38,562 $391,264 $96,341 
Less: Net Income (Loss) Attributable to Noncontrolling Interests428 168 2,693 1,058 
Net Income (Loss) Attributable to Iron Mountain Incorporated (utilized in numerator of Earnings Per Share calculation)$67,683 $38,394 $388,571 $95,283 
Weighted-average shares—basic289,762,000 288,403,000 289,255,000 288,105,000 
Effect of dilutive potential stock options869,600 14,758 522,642 28,723 
Effect of dilutive potential RSUs and PUs850,655 392,943 918,954 337,588 
Weighted-average shares—diluted291,482,255 288,810,701 290,696,596 288,471,311 
Net Income (Loss) Per Share Attributable to Iron Mountain Incorporated:    
 Basic$0.23 $0.13 $1.34 $0.33 
 Diluted$0.23 $0.13 $1.34 $0.33 
Antidilutive stock options, RSUs and PUs, excluded from the calculation351,673 5,529,126 1,813,880 5,959,693 
IRON MOUNTAIN SEPTEMBER 30, 20212022 FORM 10-Q17

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
P. RECENT ACCOUNTING PRONOUNCEMENTSM. INCOME TAXES
In December 2019, the Financial Accounting Standards Board issued ASU No. 2019-12, Income Taxes (Topic 740) (“ASU 2019-12”). ASU 2019-12 simplifies the accountingWe provide for income taxes by removing certain exceptions for recognizing deferred taxes for investments, performing intra-period allocation and calculating income taxes induring interim periods. ASU 2019-12 also adds guidance to reduce complexity in certain areas, including recognizing deferred taxes for tax goodwill and allocating taxes to members of a consolidated group. We adopted ASU 2019-12 on January 1, 2021. ASU 2019-12 did not have a material impactperiods based on our consolidated financial statements.estimate of the effective tax rate for the year.
Our effective tax rates for the three and six months ended June 30, 2022 and 2021 are as follows:
 THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
2022(1)
2021(2)
2022(1)
2021(2)
Effective Tax Rate8.2 %28.5 %10.4 %27.9 %

3. ACQUISITIONS
INFOFORT ACQUISITION(1)
On September 15, 2021, in order to further expandThe primary reconciling items between the federal statutory tax rate of 21.0% and our records management operationsoverall effective tax rate for the three and six months ended June 30, 2022 were the benefits derived from the dividends paid deduction and the differences in the Middle Easttax rates to which our foreign earnings are subject. In addition, there were gains and North Africa, we acquired Information Fort, LLC,losses recorded in Other expense (income), net and Gain (loss) on disposal/write-down of property, plant and equipment net, during the period for which there was an insignificant tax impact. During the first quarter of 2022, there was also a records and information management provider, forrelease of valuation allowances on deferred tax assets of our U.S. taxable REIT subsidiaries ("TRS") of approximately $90,300.$9,900 as a result of the ITRenew Transaction.
FRANKFURT DATA CENTER ACQUISITION(2)
On September 23, 2021, in order to further enhance our data center operations in Germany, we acquired a Frankfurt data center for approximately 77,900 Euros (or approximately $91,300, based upon the exchange rateThe primary reconciling items between the Eurofederal statutory tax rate of 21.0% and our overall effective tax rate for the United States dollar on the closing date of this acquisition).
OTHER 2021 ACQUISITIONS
In addition to the transactions noted above, during the ninethree and six months ended SeptemberJune 30, 2021 were the impacts of differences in order to enhancethe tax rates at which our existing operationsforeign earnings are subject and a discrete tax expense of approximately $12,000 primarily resulting from a tax law change in the United Kingdom, partially offset by the benefits derived from the dividends paid deduction.
N. INCOME (LOSS) PER SHARE—BASIC AND DILUTED
The calculation of basic and Indonesiadiluted income (loss) per share for the three and to expand our operations into Morocco, we completed the acquisition of 2 records management companiessix months ended June 30, 2022 and 1 art storage company for total cash consideration of approximately $45,100.2021 are as follows:
 THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
 2022202120222021
Net Income (Loss)$201,858 $276,522 $243,565 $323,153 
Less: Net Income (Loss) Attributable to Noncontrolling Interests1,777 1,237 1,185 2,265 
Net Income (Loss) Attributable to Iron Mountain Incorporated (utilized in numerator of Earnings Per Share calculation)$200,081 $275,285 $242,380 $320,888 
Weighted-average shares—basic290,756,000 289,247,000 290,542,000 289,001,000 
Effect of dilutive potential stock options1,249,262 641,888 1,122,444 349,163 
Effect of dilutive potential RSUs and PUs481,972 1,190,357 501,975 953,104 
Weighted-average shares—diluted292,487,234 291,079,245 292,166,419 290,303,267 
Net Income (Loss) Per Share Attributable to Iron Mountain Incorporated:    
 Basic$0.69 $0.95 $0.83 $1.11 
 Diluted$0.68 $0.95 $0.83 $1.11 
Antidilutive stock options, RSUs and PUs, excluded from the calculation234,085 381,900 494,833 2,544,984 
18IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q18

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
3. ACQUISITIONS
On January 25, 2022, in order to expand our ALM operations, we acquired an approximately 80% interest in ITRenew at an agreed upon purchase price of $725,000, subject to certain working capital adjustments at, and subsequent to, the closing (the "ITRenew Transaction"). At closing, we paid $748,846 and acquired $30,720 of cash on hand, for a net purchase price of $718,126 for the ITRenew Transaction. The acquisition agreement provides us the option to purchase, and provides the shareholders of ITRenew the option to sell, the remaining approximately 20% interest in ITRenew as follows: (i) approximately 16% on or after the second anniversary of the ITRenew Transaction and (ii) approximately 4% on or after the third anniversary of the ITRenew Transaction (collectively, the "Remaining Interests"). The total payments for the Remaining Interests, based on the achievement of certain targeted performance metrics, will be no less than $200,000 and no more than $531,000 (the "Deferred Purchase Obligation"). The maximum amount of the Deferred Purchase Obligation would require achievement of the targeted performance metrics at approximately two times the level that is assumed in our current fair value estimate of the Deferred Purchase Obligation of $275,100. From January 25, 2022, we consolidate 100% of the revenues and expenses associated with this business. The Deferred Purchase Obligation is reflected as a long-term liability in our Condensed Consolidated Balance Sheet at June 30, 2022, and, accordingly, we have not reflected any non-controlling interests associated with the ITRenew Transaction as the Remaining Interests have non-substantive equity interest rights. Subsequent increases or decreases in the fair value estimate of the Deferred Purchase Obligation will be included as a component of Other expense (income), net in our Consolidated Statements of Operations until the Deferred Purchase Obligation is settled or paid. ITRenew is presented in Corporate and Other Business (as disclosed in Note 9) and primarily operates in the United States.
PRO FORMA FINANCIAL INFORMATION
The unaudited consolidated pro forma financial information (the "Pro Forma Financial Information") below summarizes the combined results of Iron Mountain and ITRenew on a pro forma basis as if the ITRenew Transaction had occurred on January 1, 2021. The Pro Forma Financial Information is presented for informational purposes and is not necessarily indicative of the results of operations that would have been achieved if the acquisition had taken place on January 1, 2021. The Pro Forma Financial Information, for the periods presented, includes purchase accounting adjustments (including amortization of acquired customer and supplier intangible assets and depreciation of acquired property, plant and equipment) and related tax effects. Through June 30, 2022, we and ITRenew collectively incurred $59,370 of operating expenditures to complete the ITRenew Transaction (including advisory and professional fees required to complete the ITRenew Transaction). These operating expenditures have been reflected within the results of operations in the Pro Forma Financial Information as if they were incurred on January 1, 2021.
 THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
 2022202120222021
Total Revenues$1,289,534 $1,239,034 $2,555,554 $2,441,010 
Income from Continuing Operations$201,858 $275,988 $243,696 $270,605 
In addition to our acquisition of ITRenew, we completed 1 additional acquisition during the first six months of 2022. The Pro Forma Financial Information does not reflect this acquisition due to the insignificant impact of the acquisition on our consolidated results of operations.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q19

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
3. ACQUISITIONS (CONTINUED)
PRELIMINARY PURCHASE PRICE ALLOCATION
A summary of the cumulative consideration paid and the preliminary allocation of the purchase price paid for all of our 20212022 acquisitions through SeptemberJune 30, 20212022 is as follows:
NINESIX MONTHS ENDED
SEPTEMBERJUNE 30, 20212022
Cash Paid (gross of cash acquired)(1)
$224,192749,596 
Fair Value of Noncontrolling Interests3,878 
Deferred Purchase Price HoldbacksObligation and Other(2)
2,534276,017 
Total Consideration230,6041,025,613 
Fair Value of Identifiable Assets Acquired and Liabilities Assumed:
Cash20,44030,720 
Accounts Receivable, Prepaid Expenses and Other Assets25,39271,838 
Property, Plant and Equipment(1)
147,1327,600 
Customer and Supplier Relationship Intangible Assets(2)(3)
39,315488,080 
Other Intangible Assets(3)
47,300 
Operating Lease Right-of-Use Assets45,20930,395 
Data Center In-Place Leases(3)
4,994 
Data Center Tenant Relationships(4)
4,682 
Data Center Above-Market Leases(5)
1,042 
Debt Assumed(9,026)
Accounts Payable, Accrued Expenses and Other Liabilities(23,082)(60,256)
Operating Lease Liabilities(45,209)(30,395)
Deferred Income Taxes(7,436)(141,560)
Data Center Below-Market Leases(5)
(20)
Total Fair Value of Identifiable Net Assets Acquired203,433443,722 
Goodwill Initially Recorded(4)
$27,171581,891 
(1)Consists primarilyCash paid for acquisitions, net of landcash acquired in our Condensed Consolidated Statement of Cash Flows includes contingent and building.other payments received of $219 for the six months ended June 30, 2022 related to acquisitions made in the years prior to 2022.
(2)At June 30, 2022, we included approximately $275,100 in Other long-term liabilities related to the fair value estimate of the Deferred Purchase Obligation for the Remaining Interests. Deferred Purchase Obligation and Other also includes $917 of purchase price associated with the acquisition of a records and information management business completed in 2022.
(3)The preliminary weighted average liveslife of customer relationshipthe intangible assets associated with acquisitionsacquired in the ITRenew Transaction is 9approximately 11 years.
(3)     The preliminary weighted average lives Intangible assets are included as a component of data center in-place leases associated with acquisitions is 5 years.Other assets, net in our Condensed Consolidated Balance Sheets.
(4)The preliminary weighted average livesGoodwill is primarily attributable to the assembled workforce, expanded market opportunities and costs and other operating synergies anticipated upon the integration of data center tenant relationships associated with acquisitions is 5 years.
(5) The preliminary weighted average livesthe operations of data center above-market leases associated with acquisitions is 5 yearsus and the weighted average lives of data center below-market leases associated with acquisitions is 4 years.acquired businesses.
The preliminary purchase price allocations that are not finalized as of SeptemberJune 30, 20212022 relate to the final assessment of the fair values of intangible assets (primarily customer and supplier relationship intangible assets) and property, plant and equipment associated with the acquisitions we closed in 2021.2022. Any adjustments to our estimates of purchase price allocation will be made in the periods in which the adjustments are determined, but no later than the one year measurement period, and the cumulative effect of such adjustments will be calculated as if the adjustments had been completed as of the acquisition dates. Adjustments recorded during the ninesix months ended SeptemberJune 30, 20212022 were not material to our results from operations.



IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q1920

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
4. DIVESTMENTSINVESTMENTS
On June 7, 2021, we sold our Intellectual Property ManagementIn February 2022, the joint venture formed by MakeSpace Labs, Inc. and us (the "MakeSpace JV") entered into an agreement with Clutter, Inc. ("IPM"Clutter") business, also known as our technology escrow services business,pursuant to which we predominantly operatedthe equityholders of the MakeSpace JV contributed their ownership interests in the United States,MakeSpace JV and Clutter’s shareholders contributed their ownership interests in Clutter to create a newly formed venture (the "Clutter JV"). In exchange for total gross consideration of approximately $216,600our 49.99% interest in the MakeSpace JV, we received an approximate 27% interest in the Clutter JV (the “IPM Divestment”"Clutter Transaction"). As a result of the IPM Divestment,Clutter Transaction, we recordedrecognized a gain on salerelated to our contributed interest in the MakeSpace JV of approximately $180,600$35,800, which was recorded to Other, net, a component of Other expense (income) expense,, net during the nine months ended September 30, 2021, the substantial majority of which was recorded during the secondfirst quarter of 2021, representing the excess of the fair value of the consideration received over the sum of the carrying value of the IPM business.2022.
We have concluded that the IPM Divestment does not meet the criteria to be reportedThe following joint ventures are accounted for as discontinued operations in our consolidated financial statements, as our decision to divest this business does not represent a strategic shift that will have a major effect on our operationsequity method investments and financial results. Accordingly, the revenues and expenses associated with this business are presented as a component of operating income (loss)Other within Other assets, net in our Condensed Consolidated Statements of Operations for the threeBalance Sheets. The carrying values and nine months ended September 30, 2021 and 2020 through the closing date of the IPM Divestment and the cash flows associated with this business is presented as a component of cash flows from operationsequity interests in our Condensed Consolidated Statements of Cash Flows for the nine months ended Septemberjoint ventures at June 30, 2022 and December 31, 2021 and 2020 through the closing date of the IPM Divestment.are as follows:
JUNE 30, 2022DECEMBER 31, 2021
CARRYING VALUEEQUITY INTERESTCARRYING VALUEEQUITY INTEREST
Joint venture with Web Werks India Private Limited$51,427 38.50 %$51,140 38.50 %
Joint venture with AGC Equity Partners (the "Frankfurt JV")26,798 20.00 %26,167 20.00 %
MakeSpace JV— — %30,154 49.99 %
Clutter JV60,984 26.73 %— — %
5. DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES
Derivative instruments we are party to include: (i) interest rate swap agreements (which are designated as cash flow hedges) and (ii) cross-currency swap agreements (which are designated as net investment hedges).
INTEREST RATE SWAP AGREEMENTS DESIGNATED AS CASH FLOW HEDGES
In March 2018, we entered into interest rate swap agreements to limit our exposure to changes in interest rates on a portion of our floating rate indebtedness. These swap agreements expired in March 2022. In July 2019, we entered into forward-starting interest rate swap agreements to limit our exposure to changes in interest rates on a portion of our floating rate indebtedness. As of SeptemberJune 30, 2021 and December 31, 2020,2022, we had $350,000 in notional value of interest rate swap agreements outstanding, which expire in March 2022.2024. Under the interest rate swap agreements, we receive variable rate interest payments associated with the notional amount of each interest rate swap, based upon one-month LIBOR, in exchange for the payment of fixed interest rates as specified in the interest rate swap agreements.
In July 2019, we entered into forward-starting interest rate swap agreements to limit our exposure to changes in interest rates on a portion of our floating rate indebtedness once our current interest rate swap agreements expire in March 2022. The forward-starting interest rate swap agreements have $350,000 in notional value, commence in March 2022 and expire in March 2024. Under the forward-starting interest rate swap agreements, we will receive variable rate interest payments based upon one-month LIBOR, in exchange for the payment of fixed interest rates as specified in the interest rate swap agreements.
We have designated these interest rate swap agreements, including the forward-starting interest rate swap agreements as cash flow hedges. Unrealized gains are recognized as assets, while unrealized losses are recognized as liabilities.
IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q21

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
5. DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (CONTINUED)
CROSS-CURRENCY SWAP AGREEMENTS DESIGNATED AS A HEDGE OF NET INVESTMENT
In August 2019, we entered into cross-currency swap agreements to hedge the variability of exchange rate impacts between the United States dollar and the Euro. Under the terms of the cross-currency swap agreements, we notionally exchanged approximately $110,000 at an interest rate of 6.0% for approximately 99,055 Euros at a weighted average interest rate of approximately 3.65%. These cross-currency swap agreements expire in August 2023 (“("August 2023 Cross-Currency Swap Agreements”Agreements").
In September 2020, we entered into cross-currency swap agreements to hedge the variability of exchange rate impacts between the United States dollar and the Euro. Under the terms of the cross-currency swap agreements, we notionally exchanged approximately $359,200 at an interest rate of 4.5% for approximately 300,000 Euros at a weighted average interest rate of approximately 3.4%. These cross-currency swap agreements were set to expire in February 2026 (“2026. In May 2022, these cross-currency swaps were amended ("February 2026 Cross-Currency Swap Agreements”Agreements"). Under the terms of the February 2026 Cross-Currency Swap Agreements, we notionally exchanged approximately $359,200 at an interest rate of 4.5% for approximately 340,500 Euros at a weighted average interest rate of approximately 1.2%. These February 2026 Cross-Currency Swap Agreements are set to expire in February 2026.
We have designated these cross-currency swap agreements as a hedge of net investment against certain of our Euro denominated subsidiaries and they require an exchange of the notional amounts at maturity. These cross-currency swap agreements are marked to market at each reporting period, representing the fair values of the cross-currency swap agreements, and any changes in fair value are recognized as a component of Accumulated other comprehensive items, net. Unrealized gains are recognized as assets while unrealized losses are recognized as liabilities.
20IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
5. DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (CONTINUED)
(Liabilities) assetsAssets (liabilities) recognized in our Condensed Consolidated Balance Sheets at SeptemberJune 30, 20212022 and December 31, 2020,2021, by derivative instrument, are as follows:
DERIVATIVE INSTRUMENTS(1)
DERIVATIVE INSTRUMENTS(1)
SEPTEMBER 30, 2021DECEMBER 31, 2020
DERIVATIVE INSTRUMENTS(1)
JUNE 30, 2022DECEMBER 31, 2021
Cash Flow Hedges(2)
Cash Flow Hedges(2)
  
Cash Flow Hedges(2)
  
Interest Rate Swap AgreementsInterest Rate Swap Agreements$(13,116)$(21,062)Interest Rate Swap Agreements$7,722 $(7,680)
Net Investment Hedges(3)
Net Investment Hedges(3)
Net Investment Hedges(3)
August 2023 Cross-Currency Swap AgreementsAugust 2023 Cross-Currency Swap Agreements$(2,296)$(8,229)August 2023 Cross-Currency Swap Agreements6,167 (664)
February 2026 Cross-Currency Swap AgreementsFebruary 2026 Cross-Currency Swap Agreements1,214 (20,412)February 2026 Cross-Currency Swap Agreements39,765 11,021 
(1)Our derivative assets are included as a component of Other within Other assets, net in our Condensed Consolidated Balance Sheets and our derivative liabilities are included either as a component of (i) Accrued expenses and other current liabilities or (ii) Other long-term liabilities in our Condensed Consolidated Balance Sheets. As of SeptemberJune 30, 2022, $53,654 is included within Other assets. As of December 31, 2021, $1,214$11,021 is included within Other assets, $4,296$2,082 is included within Accrued expensesexpense and other current liabilities and $11,116 is included within Other long-term liabilities. As of December 31, 2020, $49,703$6,262 is included within Other long-term liabilities.
(2)As of SeptemberJune 30, 2021,2022, cumulative net lossesgains of $13,116$7,722 are recorded within Accumulated other comprehensive items, net associated with these interest rate swap agreements.
(3)As of SeptemberJune 30, 2021,2022, cumulative net lossesgains of $1,082$45,932 are recorded within Accumulated other comprehensive items, net associated with these cross-currency swap agreements.
Unrealized gains (losses) recognized during the three and ninesix months ended SeptemberJune 30, 20212022 and 2020,2021, by derivative instrument, are as follows:
THREE MONTHS ENDED SEPTEMBER 30,
NINE MONTHS ENDED
 SEPTEMBER 30,
THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
DERIVATIVE INSTRUMENTS(1)
DERIVATIVE INSTRUMENTS(1)
2021202020212020
DERIVATIVE INSTRUMENTS(1)
2022202120222021
Cash Flow HedgesCash Flow Hedges  Cash Flow Hedges  
Interest Rate Swap AgreementsInterest Rate Swap Agreements$1,950 $1,185 $7,946 $(14,445)Interest Rate Swap Agreements$3,932 $1,795 $15,402 $5,996 
Net Investment HedgesNet Investment HedgesNet Investment Hedges
August 2023 Cross-Currency Swap AgreementsAugust 2023 Cross-Currency Swap Agreements$2,655 $(5,716)$5,933 $(1,408)August 2023 Cross-Currency Swap Agreements5,948 (1,473)6,831 3,278 
February 2026 Cross-Currency Swap AgreementsFebruary 2026 Cross-Currency Swap Agreements10,060 4,346 21,626 4,346 February 2026 Cross-Currency Swap Agreements24,331 5,312 28,744 11,566 
(1)These amounts are recognized as unrealized gains (losses), a component of Accumulated other comprehensive items, net.
EURO NOTES DESIGNATED AS A HEDGE OF NET INVESTMENT
Prior to their redemption in August 2020, we designated a portion of our previously outstanding 3% Euro Senior Notes due 2025 (the “Euro Notes”) as a hedge of net investment of certain of our Euro denominated subsidiaries. From January 1, 2020 through March 31, 2020, we designated 300,000 Euros of our Euro Notes as a hedge of net investment of certain of our Euro denominated subsidiaries. As a result, we recorded foreign exchange (gains) losses related to the change in fair value of such debt due to currency translation adjustments as a component of Accumulated other comprehensive items, net.
Foreign exchange gains (losses) associated with this hedge of net investment for the three and nine months ended September 30, 2021 and 2020 are as follows:
 THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED
SEPTEMBER 30,
2021(1)
2020
2021(1)
2020
Foreign exchange gains (losses) associated with net investment hedge$— $(16,604)$— $(17,005)
(1)As there are no hedges of net investment outstanding during the three and nine months ended September 30, 2021, no foreign exchange gains (losses) associated with hedges of net investment have been recognized.

As of September 30, 2021, cumulative net gains of $3,256, net of tax, are recorded in Accumulated other comprehensive items, net associated with this net investment hedge.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q2122

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
6. DEBT
Long-term debt is as follows:
 SEPTEMBER 30, 2021DECEMBER 31, 2020
 
DEBT
(INCLUSIVE OF
DISCOUNT)
UNAMORTIZED
DEFERRED
FINANCING
COSTS
CARRYING
AMOUNT
FAIR
VALUE
DEBT
(INCLUSIVE OF
DISCOUNT)
UNAMORTIZED
DEFERRED
FINANCING
COSTS
CARRYING
AMOUNT
FAIR
VALUE
Revolving Credit Facility(1)
$310,000 $(6,034)$303,966 $310,000 $— $(8,620)$(8,620)$— 
Term Loan A(1)
206,250 — 206,250 206,250 215,625 — 215,625 215,625 
Term Loan B674,540 (5,308)669,232 675,500 679,621 (6,244)673,377 680,750 
Australian Dollar Term Loan (the “AUD Term Loan”)(2)
223,109 (881)222,228 223,557 243,152 (1,624)241,528 244,014 
UK Bilateral Revolving Credit Facility (the “UK Bilateral Facility”)188,431 (874)187,557 188,431 191,101 (1,307)189,794 191,101 
37/8% GBP Senior Notes due 2025 (the “GBP Notes”)
538,374 (4,151)534,223 544,431 546,003 (4,983)541,020 553,101 
47/8% Senior Notes due 2027 (the “47/8% Notes due 2027”)(3)
1,000,000 (8,532)991,468 1,035,000 1,000,000 (9,598)990,402 1,046,250 
51/4% Senior Notes due 2028 (the “51/4% Notes due 2028”)(3)
825,000 (7,676)817,324 861,094 825,000 (8,561)816,439 868,313 
5% Senior Notes due 2028 (the “5% Notes”)(3)
500,000 (4,944)495,056 521,250 500,000 (5,486)494,514 523,125 
47/8% Senior Notes due 2029 (the “47/8% Notes due 2029”)(3)
1,000,000 (11,573)988,427 1,047,500 1,000,000 (12,658)987,342 1,050,000 
51/4% Senior Notes due 2030 (the “51/4 Notes due 2030”)(3)
1,300,000 (13,287)1,286,713 1,376,375 1,300,000 (14,416)1,285,584 1,400,750 
41/2% Senior Notes due 2031 (the “41/2% Notes”)(3)
1,100,000 (11,715)1,088,285 1,111,000 1,100,000 (12,648)1,087,352 1,138,500 
55/8% Senior Notes due 2032 (the “55/8% Notes”)(3)
600,000 (6,292)593,708 642,000 600,000 (6,727)593,273 660,000 
Real Estate Mortgages, Financing Lease Liabilities and Other483,934 (905)483,029 483,934 511,922 (1,086)510,836 511,922 
Accounts Receivable Securitization Program266,400 (449)265,951 266,400 85,000 (152)84,848 85,000 
Total Long-term Debt9,216,038 (82,621)9,133,417  8,797,424 (94,110)8,703,314 
Less Current Portion(319,025)881 (318,144) (193,759)— (193,759) 
Long-term Debt, Net of Current Portion$8,897,013 $(81,740)$8,815,273  $8,603,665 $(94,110)$8,509,555  
 JUNE 30, 2022DECEMBER 31, 2021
 
DEBT
(INCLUSIVE OF
DISCOUNT)
UNAMORTIZED
DEFERRED
FINANCING
COSTS
CARRYING
AMOUNT
FAIR
VALUE
DEBT
(INCLUSIVE OF
DISCOUNT)
UNAMORTIZED
DEFERRED
FINANCING
COSTS
CARRYING
AMOUNT
FAIR
VALUE
Revolving Credit Facility$578,000 $(9,006)$568,994 $578,000 $— $(5,174)$(5,174)$— 
Term Loan A246,875 — 246,875 246,875 203,125 — 203,125 203,125 
Term Loan B669,460 (4,371)665,089 670,250 672,847 (4,995)667,852 675,500 
Australian Dollar Term Loan (the "AUD Term Loan")207,221 (519)206,702 207,221 223,182 (656)222,526 223,530 
UK Bilateral Revolving Credit Facility (the "UK Bilateral Facility")170,057 (334)169,723 170,057 189,168 (709)188,459 189,168 
37/8% GBP Senior Notes due 2025 (the "GBP Notes")
485,875 (3,058)482,817 436,996 540,481 (3,912)536,569 542,508 
47/8% Senior Notes due 2027 (the "47/8% Notes due 2027")(1)
1,000,000 (7,465)992,535 895,000 1,000,000 (8,176)991,824 1,030,000 
51/4% Senior Notes due 2028 (the "51/4% Notes due 2028")(1)
825,000 (6,790)818,210 738,375  825,000 (7,380)817,620 862,125 
5% Senior Notes due 2028 (the "5% Notes due 2028")(1)
500,000 (4,401)495,599 442,500  500,000 (4,763)495,237 513,750 
47/8% Senior Notes due 2029 (the "47/8% Notes due 2029")(1)
1,000,000 (10,488)989,512 850,000 1,000,000 (11,211)988,789 1,022,500 
51/4% Senior Notes due 2030 (the "51/4% Notes due 2030")(1)
1,300,000 (12,159)1,287,841 1,118,000 1,300,000 (12,911)1,287,089 1,355,250 
41/2% Senior Notes due 2031 (the "41/2% Notes")(1)
1,100,000 (10,782)1,089,218 888,250 1,100,000 (11,404)1,088,596 1,094,500 
5% Senior Notes due 2032 (the "5% Notes due 2032")750,000 (13,164)736,836 607,500 750,000 (13,782)736,218 767,813 
55/8% Senior Notes due 2032 (the "55/8% Notes")(1)
600,000 (5,856)594,144 507,000   600,000 (6,147)593,853 637,500 
Real Estate Mortgages, Financing Lease Liabilities and Other423,934 (706)423,228 423,934 460,648 (840)459,808 460,648 
Accounts Receivable Securitization Program313,200 (607)312,593 313,200 — (450)(450)— 
Total Long-term Debt10,169,622 (89,706)10,079,916  9,364,451 (92,510)9,271,941 
Less Current Portion(86,790)— (86,790) (310,084)656 (309,428) 
Long-term Debt, Net of Current Portion$10,082,832 $(89,706)$9,993,126  $9,054,367 $(91,854)$8,962,513  
(1)Collectively, the “Credit Agreement”. The Credit Agreement consists of a revolving credit facility (the “Revolving Credit Facility”) and a term loan (the “Term Loan A”). The Credit Agreement is scheduled to mature on June 3, 2023. In addition, we also had various outstanding letters of credit totaling $3,064. The remaining amount available for borrowing under the Revolving Credit Facility as of September 30, 2021 was $1,436,936 (which amount represents the maximum availability as of such date). The average interest rate in effect under the Credit Agreement was 1.8% and 1.9% as of September 30, 2021 and December 31, 2020, respectively.
(2)The AUD Term Loan is scheduled to mature on September 22, 2022, at which point all obligations become due. The full amount of the AUD Term Loan is classified within the current portion of long-term debt in our Condensed Consolidated Balance Sheet as of September 30, 2021.
(3) Collectively, the “Parent Notes”"Parent Notes".
See Note 67 to Notes to Consolidated Financial Statements included in our Annual Report for additional information regarding the Credit Agreement and our other long-term debt, including the direct obligors of each of our debt instruments as well as information regarding the fair value of our debt instruments (including the levels of the fair value hierarchy used to determine the fair value of our debt instruments). The levels of the fair value hierarchy used to determine the fair value of our debt as of SeptemberJune 30, 20212022 are consistent with the levels of the fair value hierarchy used to determine the fair value of our debt as of December 31, 20202021 (which are disclosed in our Annual Report).
22IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q23

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
6. DEBT (CONTINUED)
CREDIT AGREEMENT
Our credit agreement (the "Credit Agreement") consists of a revolving credit facility (the "Revolving Credit Facility"), a term loan A (the "Term Loan A") and a term loan B (the "Term Loan B"). On March 18, 2022, we entered into an amendment to the Credit Agreement, which included the following changes:
(i) extended the maturity date of the Revolving Credit Facility and Term Loan A from June 3, 2023 to March 18, 2027;
(ii) refinanced and increased the borrowing capacity that IMI and certain of its United States and foreign subsidiaries are able to borrow under the Revolving Credit Facility from $1,750,000 to $2,250,000;
(iii) refinanced the existing Term Loan A with a new $250,000 Term Loan A; and
(iv) increased the net total lease adjusted leverage ratio maximum allowable from 6.5x to 7.0x and removed the net secured lease adjusted leverage ratio requirement.
On March 18, 2022, we borrowed the full amount of the Term Loan A. As of June 30, 2022, we had $578,000, $246,875 and $670,250 of outstanding borrowings under the Revolving Credit Facility, Term Loan A and Term Loan B, respectively. In addition, we also had various outstanding letters of credit totaling $3,831. The remaining amount available for borrowing under the Revolving Credit Facility as of June 30, 2022 was $1,668,169 (which represents the maximum availability as of such date). Additionally, the Credit Agreement permits us to incur incremental indebtedness thereunder by adding new term loans or revolving loans or by increasing the principal amount of any existing loans thereunder, subject to a cap contained therein.
The average interest rate in effect under the Credit Agreement was 3.4% and 1.9% as of June 30, 2022 and December 31, 2021, respectively.
REVOLVING CREDIT FACILITY
$2,250,000
TERM LOAN A
$250,000
TERM LOAN B
$700,000
Outstanding borrowings
$578,000
Aggregate outstanding principal amount
$246,875
Aggregate outstanding principal amount
$670,250
3.4%
Interest rate
3.4%
Interest rate
3.5%
Interest rate
As of June 30, 2022As of June 30, 2022As of June 30, 2022
AUSTRALIAN DOLLAR TERM LOAN
On March 18, 2022, Iron Mountain Australia Group Pty, Ltd. ("IM Australia"), a wholly owned
subsidiary of IMI, amended its AUD Term Loan to (i) extend the maturity date from September 22,
2022 to September 30, 2026 and (ii) decrease the interest rate from BBSY (an Australian
benchmark variable interest rate) plus 3.875% to BBSY plus 3.625%. All other terms of the AUD
Term Loan remain consistent with what was disclosed in Note 7 to Notes to Consolidated Financial
Statements included in our Annual Report.

The interest rate in effect under the AUD Term Loan was 5.5% and 4.0% as of June 30, 2022 and
December 31, 2021, respectively.
OUTSTANDING BORROWINGS
AU$303,965

INTEREST RATE
5.5%
As of June 30, 2022

IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q24

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
6. DEBT (CONTINUED)
UK BILATERAL REVOLVING CREDIT FACILITY
On May 25, 2021, Iron Mountain (UK) PLC and Iron Mountain (UK) Data Centre Limited (collectively, the "UK Borrowers") entered into an amendment to the UK Bilateral Facility with Barclays Bank PLC to (i) modify the interest rate from LIBOR plus 2.25% to LIBOR plus 2.0% (with flexibility built in for the expected transition away from LIBOR) and (ii) add an additional option to extend the maturity date by one year. After this amendment, the UK Bilateral Facility contains 2 one-year options that allow us to extend the maturity date beyond the September 23, 2022 expiration date, subject to certain conditions specified in the UK Bilateral Facility, including the lender's consent. On September 23, 2021, the UK Borrowers executed the one-year option to extend the maturity date to September 24, 2023. There were no other changes to the terms of the UK Bilateral Revolving Credit Facility described in Note 6 to Notes to Consolidated Financial Statements included in our Annual Report.
MAXIMUM AMOUNT
£140,000

OPTIONAL ADDITIONAL
COMMITMENTS
£125,000

INTEREST RATE
2.1%
As of September 30, 2021
ACCOUNTS RECEIVABLE SECURITIZATION PROGRAM
On June 28, 2021,29, 2022, we entered into an amendment toamended the Accounts Receivable Securitization Program to (i) increase the maximum borrowing capacity from $300,000 to $325,000, with an option to increase the borrowing capacity to $400,000, (ii) change the interest rate under Accounts Receivable Securitization Program from LIBOR plus 1.0% to SOFR plus 0.95%, with a credit spread adjustment of 0.10% and (iii) extend the maturity date from July 30, 20211, 2023 to July 1, 2023,2025, at which point all obligations become due. The interest rate under the amended Accounts Receivable Securitization Program is LIBOR plus 1.0%. The full amount outstanding under the Accounts Receivable Securitization Program is classified within long-term debt, net of current portion at September 30, 2021 and within current portion of long-term debt at December 31, 2020 in our Condensed Consolidated Balance Sheets. There were noAll other changes to thematerial terms of the Accounts Receivable Securitization Program describedremain consistent with what was disclosed in Note 67 to Notes to Consolidated Financial Statements included in our Annual Report.
OUTSTANDING BORROWINGSMAXIMUM AMOUNT
$266,400325,000

OUTSTANDING BORROWING
$313,200

INTEREST RATE
1.1%2.6%
As of SeptemberJune 30, 2021

2022
CASH POOLING
During the third quarter of 2021, certain of our subsidiaries in the Asia Pacific region began to participate in 2We currently utilize 4 separate cash pooling arrangements with JP Morgan Chase Bank, N.A. (“JPM”), 1 of which we utilize to manage global liquidity requirements for our QRSs in the Asia Pacific region (the “JPM QRS Cash Pool") and the other for our TRSs in the Asia Pacific region (the "JPM TRS Cash Pool") (collectively, the “JPM Cash Pools”). Under the JPM Cash Pools, cash deposited by participating subsidiaries with JPM is pledged as security against the debit balances of other participating subsidiaries, and legal rights of offset are provided and, therefore, amounts are presented in our Condensed Consolidated Balance Sheets on a net basis. Each subsidiary receives interest on the cash balances held on deposit or pays interest on its debit balances based on an applicable rate as defined in the JPM Cash Pools.arrangements. We have executed overdraft facility agreements for the JPM QRS Cash Pool and the JPM TRS Cash Pool in amounts not to exceed $12,000 and $10,000, respectively. Each overdraft facility permits us to cover a temporary net debit position in the applicable pool.
In addition to the JPM Cash Pools, we also utilize 2 separate cash pooling arrangements with Bank Mendes Gans ("BMG"), 1 of which we utilize to manage global liquidity requirements for our QRSsqualified REIT subsidiaries ("QRS") (the “BMG"BMG QRS Cash Pool”Pool") and the other for our TRSs (the “BMG"BMG TRS Cash Pool”Pool"). We utilize 2 separate cash pooling arrangements with JP Morgan Chase Bank, N.A. ("JPM"), each as described1 of which we utilize to manage global liquidity requirements for our QRSs in more detailthe Asia Pacific region (the "JPM QRS Cash Pool") and the other for our TRSs in Note 6 to Notes to Consolidated Financial Statements included in our Annual Report.
IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q23

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
6. DEBT (CONTINUED)
the Asia Pacific region (the "JPM TRS Cash Pool") (collectively, the "JPM Cash Pools").
The approximate amount of the net cash position for our cash pools and the approximate amount of the gross position and outstanding debit balances for each of these pools as of SeptemberJune 30, 20212022 and December 31, 20202021 are as follows:
SEPTEMBER 30, 2021DECEMBER 31, 2020JUNE 30, 2022DECEMBER 31, 2021
GROSS CASH
POSITION
OUTSTANDING
DEBIT BALANCES
NET CASH
POSITION
GROSS CASH
POSITION
OUTSTANDING
DEBIT BALANCES
NET CASH
POSITION
GROSS CASH
POSITION
OUTSTANDING
DEBIT BALANCES
NET CASH
POSITION
GROSS CASH
POSITION
OUTSTANDING
DEBIT BALANCES
NET CASH
POSITION
BMG QRS Cash PoolBMG QRS Cash Pool$566,100 $(562,400)$3,700 $448,700 $(447,400)$1,300 BMG QRS Cash Pool$586,400 $(583,200)$3,200 $552,900 $(552,100)$800 
BMG TRS Cash PoolBMG TRS Cash Pool579,300 (578,300)1,000 555,500 (553,500)2,000 BMG TRS Cash Pool542,700 (541,300)1,400 606,000 (603,900)2,100 
JPM QRS Cash PoolJPM QRS Cash Pool4,200 (2,300)1,900 — — — JPM QRS Cash Pool17,100 (16,900)200 9,400 (9,200)200 
JPM TRS Cash PoolJPM TRS Cash Pool5,200 (4,700)500 — — — JPM TRS Cash Pool20,800 (20,000)800 12,000 (9,900)2,100 
The net cash position balances as of SeptemberJune 30, 20212022 and December 31, 20202021 are reflected as cash and cash equivalents in our Condensed Consolidated Balance Sheets.
LETTERS OF CREDIT
As of SeptemberJune 30, 2021,2022, we had outstanding letters of credit totaling $36,506,$37,272, of which $3,064$3,831 reduce our borrowing capacity under the Revolving Credit Facility (as described above). The letters of credit expire at various dates between October 2021September 2022 and March 2025.January 2033.
DEBT COVENANTS
The Credit Agreement, our bond indentures and other agreements governing our indebtedness contain certain restrictive financial and operating covenants, including covenants that restrict our ability to complete acquisitions, pay cash dividends, incur indebtedness, make investments, sell assets and take other specified corporate actions. The covenants do not contain a rating trigger. Therefore, a change in our debt rating would not trigger a default under the Credit Agreement, our bond indentures or other agreements governing our indebtedness. The Credit Agreement requires that we satisfy a fixed charge coverage ratio a net total lease adjusted leverage ratio and a net secured debttotal lease adjusted leverage ratio on a quarterly basis and our bond indentures require that, among other things, we satisfy a leverage ratio (not lease adjusted) or a fixed charge coverage ratio (not lease adjusted), as a condition to taking actions such as paying dividends and incurring indebtedness.
IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q25

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
6. DEBT (CONTINUED)
The Credit Agreement uses EBITDAR-basedearnings before interest, taxes, depreciation and amortization and rent expense ("EBITDAR") based calculations and the bond indentures use EBITDA-basedearnings before interest, taxes, depreciation and amortization ("EBITDA") based calculations as the primary measures of financial performance for purposes of calculating leverage and fixed charge coverage ratios. The EBITDAR- and EBITDA-based leverage calculations include our consolidated subsidiaries, other than those we have designated as “Unrestricted Subsidiaries”"Unrestricted Subsidiaries" as defined in the Credit Agreement and bond indentures. Generally, the Credit Agreement and the bond indentures use a trailing four fiscal quarter basis for purposes of the relevant calculations and require certain adjustments and exclusions for purposes of those calculations, which make the calculation of financial performance for purposes of those calculations under the Credit Agreement and bond indentures not directly comparable to Adjusted EBITDA as presented herein. We are in compliance with our leverage and fixed charge coverage ratios under the Credit Agreement, our bond indentures and other agreements governing our indebtedness as of SeptemberJune 30, 20212022 and December 31, 2020.2021. Noncompliance with these leverage and fixed charge coverage ratios would have a material adverse effect on our financial condition.
7. COMMITMENTSCOMMITMENT AND CONTINGENCIES
We are involved in litigation from time to time in the ordinary course of business, including litigation arising from damage to customer assets in our facilities caused by fires and other natural disasters. While the outcome of such litigation is inherently uncertain, we do not believe any current litigation will have a material adverse effect on our consolidated financial condition, results of operations or cash flows.
We have estimated a reasonably possible range for all loss contingencies and believe it is reasonably possible that we could incur aggregate losses in addition to amounts currently accrued for all matters up to an additional $26,000$23,000 over the next several years, of which certain amounts would be covered by insurance or indemnity arrangement.

24IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
8. STOCKHOLDERS' EQUITY MATTERS
In fiscal year 20202021 and the ninesix months ended SeptemberJune 30, 2021,2022, our board of directors declared the following dividends:
DECLARATION DATEDECLARATION DATEDIVIDEND
PER SHARE
RECORD DATETOTAL
AMOUNT
PAYMENT DATEDECLARATION DATEDIVIDEND
PER SHARE
RECORD DATETOTAL
AMOUNT
PAYMENT DATE
February 13, 2020$0.6185 March 16, 2020$178,047 April 6, 2020
May 5, 20200.6185 June 15, 2020178,212 July 2, 2020
August 5, 20200.6185 September 15, 2020178,224 October 2, 2020
November 4, 20200.6185 December 15, 2020178,290 January 6, 2021
February 24, 2021February 24, 20210.6185 March 15, 2021178,569 April 6, 2021February 24, 2021$0.6185 March 15, 2021$178,569 April 6, 2021
May 6, 2021May 6, 20210.6185 June 15, 2021179,026 July 6, 2021May 6, 20210.6185 June 15, 2021179,026 July 6, 2021
August 5, 2021August 5, 20210.6185 September 15, 2021179,080 October 6, 2021August 5, 20210.6185 September 15, 2021179,080 October 6, 2021
November 4, 2021November 4, 20210.6185 December 15, 2021179,132 January 6, 2022
February 24, 2022February 24, 20220.6185 March 15, 2022179,661 April 6, 2022
April 28, 2022April 28, 20220.6185 June 15, 2022179,781 July 6, 2022
On NovemberAugust 4, 2021,2022, we declared a dividend to our stockholders of record as of DecemberSeptember 15, 20212022 of $0.6185 per share, payable on January 6,October 4, 2022.
9. SEGMENT INFORMATION
Our 3In the second quarter of 2022, as a result of the realignment of our global managerial structure, we reassessed the composition of our reportable operating segments and note that (i) our Entertainment Services offerings are now managed as part of December 31, 2020 are described in Note 10 to Notes to Consolidated Financial Statements included in our Annual Report and are as follows:
Global Records and Information Management (“("Global RIM”RIM") Business
Global Data Center Business
segment; (ii) certain commercial costs that were previously managed as part of Corporate and Other Business
The operations associated with acquisitions completed during the first nine months of 2021 have been incorporated into our existing reportable operating segments.
An analysis are now managed as part of our Global RIM Business segment; and (iii) our ALM services, which includes our legacy secure IT disposition business and our business acquired from ITRenew, are now managed as a separate operating segment that is included in Corporate and Other Business. Our reportable segments are described in more detail below, and previously reported segment information and reconciliationhas been restated to reflect the accompanying Condensed Consolidated Financial Statements for the three and nine months ended September 30, 2021 and 2020 is as follows:
THREE MONTHS ENDED
SEPTEMBER 30,
NINE MONTHS ENDED
SEPTEMBER 30,
2021202020212020
Global RIM Business
Total Revenues$995,577 $921,773 $2,955,803 $2,755,294 
      Adjusted EBITDA442,798 393,883 1,281,668 1,169,671 
Global Data Center Business
Total Revenues$88,587 $72,814 $236,672 $206,939 
Adjusted EBITDA35,097 33,359 98,961 94,812 
Corporate and Other Business
Total Revenues$45,984 $42,060 $139,469 $125,384 
     Adjusted EBITDA(60,126)(51,230)(176,664)(163,010)
Total Consolidated
Total Revenues$1,130,148 $1,036,647 $3,331,944 $3,087,617 
Adjusted EBITDA417,769 376,012 1,203,965 1,101,473 

changes described above.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q2526

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
9. SEGMENT INFORMATION (CONTINUED)
During(1)Global RIM Business includes several distinct offerings:
(i)Records Management, which stores physical records and provides healthcare information services, vital records services, courier operations, and the fourth quartercollection, handling and disposal of 2020,sensitive documents (collectively, "Records Management") for customers in 59 countries around the globe.
(ii)Data Management, which provides storage and rotation of backup computer media as part of corporate disaster recovery plans, including service and courier operations ("Data Protection & Recovery"); server and computer backup services; and related services offerings, (collectively, "Data Management").
(iii)Global Digital Solutions, which develops, implements and supports comprehensive storage and information management solutions for the complete lifecycle of our customers’ information, including the management of physical records, conversion of documents to digital formats and digital storage of information.
(iv)Secure Shredding, which includes the scheduled pick-up of office records that customers accumulate in specially designed secure containers we changedprovide and is a natural extension of our definitionhardcopy records management operations, completing the lifecycle of Adjusted EBITDAa record. Through a combination of shredding facilities and mobile shredding units consisting of custom built trucks, we are able to (a) exclude stock-based compensation expenseoffer secure shredding services to our customers.
(v)Entertainment Services, which includes entertainment and (b) includemedia services which help industry clients store, safeguard and deliver physical media of all types, and provides digital content repository systems that house, distribute, and archive key media assets.
(vi)Consumer Storage, which provides on-demand, valet storage for consumers ("Consumer Storage") in markets across North America through a strategic partnership that utilizes data analytics and machine learning to provide effective customer acquisition and a convenient and seamless consumer storage experience.
(2)Global Data Center Business, which provides enterprise-class data center facilities and hyperscale-ready capacity to protect mission-critical assets and ensure the continued operation of our sharecustomers’ IT infrastructure, with secure, reliable and flexible data center options.
(3) Corporate and Other Business consists primarily of Adjusted EBITDA from our unconsolidated joint ventures. All prior periodsFine Arts and ALM businesses and other corporate items.
(i) Fine Arts provides technical expertise in the handling, installation and storing of art.
(ii) ALM provides hyperscale and corporate IT infrastructure managers with services and solutions that enable the decommissioning and disposition or sale of IT hardware and component assets. ALM services are enabled by: secure logistics and chain of custody practices, environmentally-responsible asset processing and recycling, and data sanitization and asset refurbishment services that enable value recovery through asset remarketing. Our ALM services focus on protecting and eradicating customer data while maintaining strong, auditable and transparent chain of custody practices.
Corporate and Other Business also includes costs related to executive and staff functions, including finance, human resources and IT, which benefit the enterprise as a whole.
The operations associated with acquisitions completed during the first six months of 2022 have been recastincorporated as detailed above.
IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q27

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
9. SEGMENT INFORMATION (CONTINUED)
An analysis of our business segment information and reconciliation to conform to these changes. We now define the accompanying Condensed Consolidated Financial Statements for the three and six months ended June 30, 2022 and 2021 is as follows:
GLOBAL RIM BUSINESSGLOBAL
DATA CENTER BUSINESS
CORPORATE 
AND OTHER
BUSINESS
TOTAL
CONSOLIDATED
As of and for the Three Months Ended June 30, 2022   
Total Revenues$1,070,476 $100,088 $118,970 $1,289,534 
Adjusted EBITDA469,368 42,307 (56,969)454,706 
As of and for the Three Months Ended June 30, 2021
Total Revenues$996,324 $76,977 $46,455 $1,119,756 
Adjusted EBITDA423,940 33,432 (51,741)405,631 
As of and for the Six Months Ended June 30, 2022
Total Revenues$2,119,367 $197,075 $221,138 $2,537,580 
Adjusted EBITDA918,163 84,284 (116,747)885,700 
As of and for the Six Months Ended June 30, 2021
Total Revenues$1,973,242 $148,085 $80,469 $2,201,796 
Adjusted EBITDA827,373 63,864 (105,041)786,196 
IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q28

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
9. SEGMENT INFORMATION (CONTINUED)
Adjusted EBITDA for each segment is defined as net income (loss) before interest expense, net, provision (benefit) for income taxes, depreciation and amortization (inclusive of our share of Adjusted EBITDA from our unconsolidated joint ventures), and excluding certain items we do not believe to be indicative of our core operating results, specifically:
EXCLUDED
Acquisition and Integration Costs
Other (income) expense, net
Restructuring Charges
Stock-based compensation expense
Intangible impairments
COVID-19 Costs (as defined below)
(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)
Other (income) expense, net
Stock-based compensation expense

Internally, we use Adjusted EBITDA as the basis for evaluating the performance of, and allocatedallocating resources to, our operating segments.
A reconciliation of Net Income (Loss) to Adjusted EBITDA on a consolidated basis for the three and ninesix months ended SeptemberJune 30, 20212022 and 20202021 is as follows:
THREE MONTHS ENDED
SEPTEMBER 30,
NINE MONTHS ENDED
SEPTEMBER 30,
THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
20212020202120202022202120222021
Net Income (Loss)Net Income (Loss)$68,111 $38,562 $391,264 $96,341 Net Income (Loss)$201,858 $276,522 $243,565 $323,153 
Add/(Deduct):Add/(Deduct):Add/(Deduct):
Interest expense, netInterest expense, net103,809 104,303 313,451 313,408 Interest expense, net115,057 105,220 229,499 209,642 
Provision (benefit) for income taxesProvision (benefit) for income taxes28,017 13,934 153,073 33,304 Provision (benefit) for income taxes18,083 110,416 28,163 125,056 
Depreciation and amortizationDepreciation and amortization174,818 157,252 507,145 483,686 Depreciation and amortization178,254 166,685 361,869 332,327 
Acquisition and Integration CostsAcquisition and Integration Costs1,138 — 3,415 — Acquisition and Integration Costs16,878 2,277 32,539 2,277 
Restructuring ChargesRestructuring Charges50,432 48,371 129,686 128,715 Restructuring Charges— 39,443 — 79,254 
Intangible impairments— — — 23,000 
(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)(935)(75,840)(134,321)(78,170)(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)(51,249)(128,935)(51,954)(133,386)
Other (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint venturesOther (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint ventures(21,517)81,190 (209,001)59,398 Other (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint ventures(46,103)(189,605)7,412 (187,484)
Stock-based compensation expense(1)
Stock-based compensation expense(1)
12,644 8,065 45,913 32,056 
Stock-based compensation expense(1)
20,256 22,536 31,597 33,269 
COVID-19 Costs(2)
— — — 9,285 
Our share of Adjusted EBITDA reconciling items from our unconsolidated joint venturesOur share of Adjusted EBITDA reconciling items from our unconsolidated joint ventures1,252 175 3,340 450 Our share of Adjusted EBITDA reconciling items from our unconsolidated joint ventures1,672 1,072 3,010 2,088 
Adjusted EBITDAAdjusted EBITDA$417,769 $376,012 $1,203,965 $1,101,473 Adjusted EBITDA$454,706 $405,631 $885,700 $786,196 
(1) Stock-based compensation expense related to Project Summit is included within Restructuring Charges for the three and nine months ended September 30, 2021 and 2020.
(2) Costs that are incremental and directly attributable to the COVID-19 pandemic which are not expected to recur once the pandemic ends ("COVID-19 Costs"). These costs include the purchase of personal protective equipment for our employees and incremental cleaning costs of our facilities, among other direct costs.
26IRON MOUNTAIN JUNE 30, 2022 FORM 10-QIRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q29

Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
9. SEGMENT INFORMATION (CONTINUED)
Information as to our revenues by product and service lines by segment for the three and ninesix months ended SeptemberJune 30, 20212022 and 20202021 are as follows:
THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED SEPTEMBER 30,THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
20212020202120202022202120222021
Global RIM BusinessGlobal RIM BusinessGlobal RIM Business
Records Management(1)
Records Management(1)
$767,059 $712,182 $2,285,000 $2,118,767 
Records Management(1)
$818,993 $765,818 $1,621,546 $1,517,941 
Data Management(1)
Data Management(1)
115,261 121,936 351,914 367,093 
Data Management(1)
124,394 133,876 258,050 268,741 
Information Destruction(1)(2)
Information Destruction(1)(2)
113,257 87,655 318,889 269,434 
Information Destruction(1)(2)
127,089 96,630 239,771 186,560 
Data Center(1)
Data Center(1)
— — — — 
Data Center(1)
— — — — 
Global Data Center BusinessGlobal Data Center BusinessGlobal Data Center Business
Records Management(1)
Records Management(1)
$— $— $— $— 
Records Management(1)
$— $— $— $— 
Data Management(1)
Data Management(1)
— — — — 
Data Management(1)
— — — — 
Information Destruction(1)(2)
— — — — 
Information Destruction(1)
Information Destruction(1)
— — — — 
Data Center(1)
Data Center(1)
88,587 72,814 236,672 206,939 
Data Center(1)
100,088 76,977 197,075 148,085 
Corporate and Other BusinessCorporate and Other BusinessCorporate and Other Business
Records Management(1)
Records Management(1)
$30,453 $25,720 $91,461 $75,675 
Records Management(1)
$36,141 $34,210 $68,039 $61,397 
Data Management(1)
Data Management(1)
15,531 16,340 48,008 49,709 
Data Management(1)
— — — — 
Information Destruction(1)(2)
— — — — 
Information Destruction(1)(3)
Information Destruction(1)(3)
82,829 12,245 153,099 19,072 
Data Center(1)
Data Center(1)
— — — — 
Data Center(1)
— — — — 
Total ConsolidatedTotal ConsolidatedTotal Consolidated
Records Management(1)
Records Management(1)
$797,512 $737,902 $2,376,461 $2,194,442 
Records Management(1)
$855,134 $800,028 $1,689,585 $1,579,338 
Data Management(1)
Data Management(1)
130,792 138,276 399,922 416,802 
Data Management(1)
124,394 133,876 258,050 268,741 
Information Destruction(1)(2)
113,257 87,655 318,889 269,434 
Information Destruction(1)(2)(3)
Information Destruction(1)(2)(3)
209,918 108,875 392,870 205,632 
Data Center(1)
Data Center(1)
88,587 72,814 236,672 206,939 
Data Center(1)
100,088 76,977 197,075 148,085 
(1)Each of thethese offerings within our product and service lines has a component of revenue that is storage rental related and a component that is service revenues, except for information destruction, which does not have a storage rental component.
(2)Includes secure shredding services.
(3)Includes product revenue from ITRenew.
10. RELATED PARTIES
In October 2020, in connection with the formation of the Frankfurt JV, we entered into agreements whereby we will earn various fees, including (i) special project revenue and (ii) property management and construction and development fees for services we are providing to the Frankfurt JV (the “Frankfurt"Frankfurt JV Agreements”Agreements"). Revenues and expenses associated with the Frankfurt JV Agreements are presented as a component of our Global Data Center Business segment. During the three and ninesix months ended SeptemberJune 30, 2022, we recognized revenue of approximately $5,700 and $12,800, respectively, and during the three and six months ended June 30, 2021, we recognized revenue of approximately $1,200$800 and $3,100,$1,900, respectively, associated with the Frankfurt JV Agreements.
In March 2019, in connection with the formation of the MakeSpace JV, we entered into a storage and service agreement with the MakeSpace JV to provide certain storage and related services to the MakeSpace JV (the “MakeSpace Agreement”). Revenues and expenses associated with the MakeSpace Agreement are presented as a component of our Global RIM Business segment. We recognized revenue of approximately $9,300 and $24,900 for the three and nine months ended September 30, 2021, respectively, and $8,400 and $22,300 for the three and nine months ended September 30, 2020, respectively, associated with the MakeSpace Agreement.
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Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
11. PROJECT SUMMIT
In October 2019, we announced our global program designed to better position us for future growth and achievement of our strategic objectives (“Project Summit”). As a result of the program, we expect to reduce the number of positions at vice president and above by approximately 45%. The total program is expected to reduce our total managerial and administrative workforce by approximately 700 positions by the end of 2021. We have also reduced our services and operations workforce. As of September 30 2021, we have completed approximately 95% of our planned workforce reductions. The activities associated with Project Summit began in the fourth quarter of 2019 and are expected to be substantially complete by the end of 2021.
We estimate that the implementation of Project Summit will result in total operating expenditures (“Restructuring Charges”) of approximately $450,000 that primarily consist of: (1) employee severance costs; (2) internal costs associated with the development and implementation of Project Summit initiatives; (3) professional fees, primarily related to third party consultants who are assisting with the design and execution of various initiatives as well as project management activities and (4) system implementation and data conversion costs.
Restructuring Charges included in the accompanying Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2021 and 2020, and from the inception of Project Summit through September 30, 2021, are as follows:
 THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED SEPTEMBER 30,FROM THE INCEPTION
OF PROJECT SUMMIT
THROUGH
SEPTEMBER 30, 2021
2021202020212020
Employee severance costs$6,797 $13,579 $14,526 $31,229 $82,725 
Professional fees and other costs43,635 34,792 115,160 97,486 289,954 
Restructuring Charges$50,432 $48,371 $129,686 $128,715 $372,679 
Restructuring Charges by segment for the three and nine months ended September 30, 2021 and 2020, and from the inception of Project Summit through September 30, 2021, are as follows:
 THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED SEPTEMBER 30,FROM THE INCEPTION
OF PROJECT SUMMIT
THROUGH
SEPTEMBER 30, 2021
2021202020212020
Global RIM Business$11,362 $16,183 $27,528 $37,245 $116,568 
Global Data Center Business1,285 296 2,922 986 4,860 
Corporate and Other Business37,785 31,892 99,236 90,484 251,251 
Restructuring Charges$50,432 $48,371 $129,686 $128,715 $372,679 
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Table of Contents
Part I. Financial Information
IRON MOUNTAIN INCORPORATED
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
(In thousands, except share and per share data) (Unaudited)
11. PROJECT SUMMIT10. RELATED PARTIES (CONTINUED)
A rollforwardIn March 2019, in connection with the formation of the accrued Restructuring Charges, which is includedMakeSpace JV, we entered into a storage and service agreement with the MakeSpace JV to provide certain storage and related services to the MakeSpace JV (the "MakeSpace Agreement"). In February 2022, in connection with the formation of the Clutter JV, we terminated the MakeSpace Agreement and entered into a storage and service agreement with the Clutter JV to provide certain storage and related services to the Clutter JV (the "Clutter Agreement"). Revenues and expenses associated with the MakeSpace Agreement and Clutter Agreement are presented as a component of Accrued expensesour Global RIM Business segment. During the three and six months ended June 30, 2022, we recognized revenue of approximately $7,400 and $14,400, respectively, and during the three and six months ended June 30, 2021, we recognized revenue of approximately $8,100 and $15,600, respectively, associated with the MakeSpace Agreement and Clutter Agreement.
11. PROJECT SUMMIT
In October 2019, we announced our global program designed to better position us for future growth and achievement of our strategic objectives (“Project Summit”) which we completed as of December 31, 2021.
The implementation of Project Summit resulted in total operating expenditures (“Restructuring Charges”) of approximately $450,000 that primarily consisted of: (1) employee severance costs; (2) internal costs associated with the development and implementation of Project Summit initiatives; (3) professional fees, primarily related to third party consultants who assisted with the design and execution of various initiatives as well as project management activities and (4) system implementation and data conversion costs. As Project Summit was completed as of December 31, 2021, there were no Restructuring Charges for the three and six months ended June 30, 2022. Total Restructuring Charges for the three and six months ended June 30, 2021 was $39,443 and $79,254, respectively, and consisted of (i) employee severance costs of $3,921 and $7,729, respectively, and (ii) professional fees and other current liabilities in our Condensed Consolidated Balance Sheets, from December 31, 2019 through September 30, 2021, is as follows:
EMPLOYEE SEVERANCE COSTSPROFESSIONAL FEES AND OTHERTOTAL ACCRUED RESTRUCTURING CHARGES
Balance as of December 31, 2019$4,823 $12,954 $17,777 
Amounts accrued47,349 147,047 194,396 
Payments(32,455)(136,222)(168,677)
Other, including currency translation adjustments(3,439)(4)(3,443)
Balance as of December 31, 202016,278 23,775 40,053 
Amounts accrued14,525 115,161 129,686 
Payments(20,771)(112,714)(133,485)
Other, including currency translation adjustments(939)— (939)
Balance as of September 30, 2021$9,093 $26,222 $35,315 
costs of $35,522 and $71,525, respectively.
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Part I. Financial Information
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
The following discussion and analysis of our financial condition and results of operations for the three and ninesix months ended SeptemberJune 30, 20212022 should be read in conjunction with our Condensed Consolidated Financial Statements and Notes thereto for the three and ninesix months ended SeptemberJune 30, 2021,2022, included herein, and our Consolidated Financial Statements and Notes thereto for the year ended December 31, 2020,2021, included in our Annual Report on Form 10-K filed with the United States Securities and Exchange Commission (“SEC”("SEC") on February 24, 20212022 (our “Annual Report”"Annual Report").
FORWARD-LOOKING STATEMENTS
We have made statements in this Quarterly Report on Form 10-Q (this “Quarterly Report”) that constitute “forward-looking"forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995 and other securities laws. These forward-looking statements concern our current expectations regarding our future results from operations, economic performance, financial condition, goals, beliefs, future growth strategies, investment objectives, plans and current expectations, such as our (1) expectations and assumptions regarding the impact of the COVID-19 (as defined below) pandemic on us and our customers, including on our businesses, financial position, results of operations and cash flows, (2) commitment to future dividend payments, (3) expected change in volume of records stored with us, (4) expected organic revenue growth, including 2021 consolidated organic storage rental revenue growth rate and consolidated organic total revenue growth rate, (5) expectations that profits will increase in our growth portfolio, including our higher-growth markets, and that our growth portfolio will become a larger part of our business over time, (6) expectations related to our revenue management programs and continuous improvement initiatives, (7) expectations related to monetizing our owned industrial real estate assets as part of our capital recycling program, (8) expected ability to identify and complete acquisitions and other investments, including joint ventures, and drive returns on invested capital, (9) anticipated capital expenditures, (10) expected benefits, costs and actions related to, and timing of, Project Summit (as defined below), and (11) other forward-looking statements related to our business, results of operations and financial condition.achievements. These forward-looking statements are subject to various known and unknown risks, uncertainties and other factors, and you should not rely upon them except as statements of our present intentions and of our present expectations, which may or may not occur. When we use words such as “believes,” “expects,” “anticipates,” “estimates”"believes," "expects," "anticipates," "estimates", “plans""plans", “intends""intends", "pursue", "will" or similar expressions, we are making forward-looking statements. Although we believe that our forward-looking statements are based on reasonable assumptions, our expected results may not be achieved, and actual results may differ materially from our expectations. In addition, important factors that could cause actual results to differ from expectations include, among others:
our ability or inability to execute our strategic growth plan, including our ability to invest according to plan, grow our businesses (including through joint ventures), incorporate alternative technologies into our offerings, achieve satisfactory returns on new product offerings, continue our revenue management, expand internationally and manage our international operations, complete acquisitions on satisfactory terms, integrate acquired companies efficiently and transition to more sustainable sources of energy;
changes in customer preferences and demand for our storage and information management services, including as a result of the shift from paper and tape storage to alternative technologies that require less physical space;
the impact of our distribution requirements on our ability to execute our business plan;
the severity and duration of the COVID-19 pandemic and its effects on the global economy, including its effects on us, the markets we serve and our customers and the third parties with whom we do business within those markets;
our ability to execute on Project Summit and the potential impacts of Project Summit on our ability to retain and recruit employees;fund capital expenditures;
our ability to remain qualified for taxation as a real estate investment trust for United States federal income tax purposes (“REIT”("REIT");
changes in customer preferences and demand for our storage and information management services, including as a result of the shift from paper and tape storage to alternative technologies that require less physical space;
our ability or inability to execute our strategic growth plan, including our ability to invest according to plan, incorporate new digital information technologies into our offerings, achieve satisfactory returns on new product offerings, continue our revenue management, expand internationally, complete acquisitions on satisfactory terms, integrate acquired companies efficiently and grow our business through joint ventures;
changes in the amount of our capital expenditures;
our ability to raise debt or equity capital and changes in the cost of our debt;
the costs of complying with and our ability to comply with laws, regulations and customer demands,requirements, including those relating to data securityprivacy and privacycybersecurity issues, as well as fire and safety and environmental standards;
the impact of litigation or disputes that may arise in connection with incidents in which we fail to protect our customers’ information orattacks on our internal records or information technology (“IT”("IT") systems, andincluding the impact of such incidents on our reputation and ability to compete;
changescompete and any litigation or disputes that may arise in the price for our storage and information management services relative to the cost of providingconnection with such storage and information management services;incidents;
changes in the political and economic environments in the countries in which our international subsidiaries operate and changes in the global political climate, particularly as we consolidate operations and move records and data across borders;
30IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q

Tableour ability to raise debt or equity capital and changes in the cost of Contentsour debt;
Part I. Financial Information
our ability to comply with our existing debt obligations and restrictions in our debt instruments;
the impact of service interruptions or equipment damage and the cost of power on our data center operations;
the cost or potential liabilities associated with real estate necessary for our business;
failures in our adoption ofto implement and manage new IT systems;
unexpected events, including those resulting from climate change or geopolitical events, could disrupt our operations and adversely affect our reputation and results of operations;
other trends in competitive or economic conditions affecting our financial condition or results of operations not presently contemplated; and
the other risks described in our periodic reports filed with the SEC, including under the caption “Risk Factors”"Risk Factors" in Part I, Item 1A of our Annual Report.
Except as required by law, we undertake no obligation to update any forward-looking statements appearing in this report.
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Part I. Financial Information
OVERVIEW
The following discussions set forth, for the periods indicated, management's discussion and analysis of financial condition and results of operations. Significant trends and changes are discussed for the three and ninesix months ended SeptemberJune 30, 20212022 within each section. Trends and changes that are consistent for both the three and ninesix month periods are not repeated and are discussed on a year to date basis only.
COVID-19
In March 2020, the World Health Organization declared a novel strain of coronavirus (“COVID-19”) a pandemic. The preventative and protective actions that governments have ordered, or we or our customers have implemented, have resulted in a period of reduced service operations and business disruption for us, our customers and other third parties with which we do business. While we have broad geographic and customer diversification with operations in 63 countries and no single customer accounting for a significant portion of our revenue during the nine months ended September 30, 2021, COVID-19 is a global pandemic impacting numerous industries and geographies. While our service operations have increased from the reductions we experienced during the peak of the COVID-19 pandemic, future service revenues remain uncertain and will be dependent on the severity of the COVID-19 pandemic, including new variants of COVID-19 that may emerge.
PROJECT SUMMIT
Compelling Adjusted EBITDA BenefitsImplementation Details
~$375M
Expected annual run-rate
benefits realized exiting 2021

Project Summit began in Q4 2019 and is expected to be substantially complete by the end of 2021
Cost to implement is estimated to be ~$450M
In October 2019, we announced our global program designed to better position us for future growth and achievement of our strategic objectives (“("Project Summit”Summit"). As a result which we completed as of the program, we expect to reduce the number of positions at vice president and above by approximately 45%. The total program is expected to reduce our total managerial and administrative workforce by approximately 700 positions by the end ofDecember 31, 2021. We have also reduced our services and operations workforce. As of September 30, 2021, we have completed approximately 95% of our planned workforce reductions.
The activities associated with Project Summit began in the fourth quarter of 2019 and are expected to be substantially complete by the end of 2021. We expect the total program benefits associated with Project Summit to be fully realized exiting 2021. We expect that Project Summit will improvehas improved annual Adjusted EBITDA (as defined below) by approximately $375.0 million exiting 2021. We will continue2021, of which approximately $160.0 million and $165.0 million were realized in 2021 and 2020, respectively, with the remainder to evaluatecome in 2022.
ACQUISITION OF ITRENEW
On January 25, 2022, in order to expand our overall operating model, as well as various opportunitiesasset lifecycle management ("ALM") operations, we acquired an approximately 80% interest in Intercept Parent, Inc. ("ITRenew"). From January 25, 2022, we consolidate 100% of the revenues and initiatives, including thoseexpenses associated with real estate consolidation, system implementationthis business. ITRenew is presented in Corporate and process changes, which could resultOther Business and primarily operates in the identificationUnited States. See Acquisitions within the Liquidity and implementation ofCapital Resources section below for additional actions associated with Project Summit and incremental costs and benefits.
Exiting 2021
irm-20210930_g4.jpg
$375 million
(expected)

information.
DIVESTMENTS AND DECONSOLIDATIONS
32IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q

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Part I. Financial Information
We estimate that the implementation of Project Summit will result in total operating expenditures (“Restructuring Charges”) of approximately $450.0 million that primarily consist of: (1) employee severance costs; (2) internal costs associated with the development and implementation of Project Summit initiatives; (3) professional fees, primarily related to third party consultants who are assisting with the design and execution of various initiatives as well as project management activities and (4) system implementation and data conversion costs. The following table presents total Restructuring Charges related to Project Summit primarily related to employee severance costs, internal costs associated with the development and implementation of Project Summit initiatives and professional fees from the inception of Project Summit through September 30, 2021, and for the three and nine months ended September 30, 2021:
TOTAL
From the Inception of Project Summit through September 30, 2021
$372,679$372.7 million
For the Three Months Ended September 30, 2021
$50,432$50.4 million
For the Nine Months Ended September 30, 2021
$129,686$129.7 million
We have also incurred approximately $6.6 million and $16.6 million in capital expenditures related to Project Summit during the three and nine months ended September 30, 2021 and approximately $26.7 million from the inception of Project Summit through September 30, 2021.
See Note 11 to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report for more information on the Restructuring Charges.
DIVESTMENTSIPM DIVESTMENT
On June 7, 2021, as disclosed in Note 4 to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report, we sold our Intellectual Property Management ("IPM") business, also known as our technology escrow services business, which we predominantly operated in the United States, for total gross consideration of approximately $216.6$215.4 million (the “IPM Divestment”"IPM Divestment"). As described in Note 4 to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report,We have concluded that the IPM Divestment does not meet the criteria to be reported as discontinued operations in our condensed consolidated financial statements.statements, as our decision to divest this business does not represent a strategic shift that will have a major effect on our operations and financial results. Accordingly, the revenues and expenses associated with this business are presented as a component of operating income (loss) in our Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2021 and the cash flows associated with this business is presented as a component of cash flows from operations in our Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2021. Our IPM business represented approximately $0.0$6.0 million and $14.2 million of total revenues and approximately $0.0$2.5 million and $6.8 million of total net income for the three and ninesix months ended SeptemberJune 30, 2021, respectively. Our IPM business
DECONSOLIDATIONS
On March 24, 2022, as a result of our loss of control, we deconsolidated the businesses included in the acquisition of OSG Records Management (Europe) Limited, excluding Ukraine. We recognized a loss of approximately $105.8 million associated with the deconsolidation to Other expense (income), net in the first quarter of 2022 representing the difference between the net asset value prior to the deconsolidation and subsequent remeasurement of the retained investment to fair value of zero. We have concluded that the deconsolidation does not meet the criteria to be reported as discontinued operations in our consolidated financial statements, as it does not represent a strategic shift that will have a major effect on our operations and financial results. Accordingly, the revenues and expenses associated with these businesses are presented as a component of operating income (loss) in our Condensed Consolidated Statements of Operations through the date of deconsolidation and the cash flows associated with these businesses are presented as a component of cash flows from operations in our Condensed Consolidated Statements of Cash Flows through the date of the deconsolidation. These businesses represented approximately $8.2 million and $24.7$44.9 million of total revenues and approximately $4.4 million and $14.1$7.2 million of total net income for the three and nine monthsyear ended September 30, 2020, respectively.
CHANGES IMPACTING COMPARABILITY WITH PRIOR YEAR
During the fourth quarter of 2020, we made changes to the definitions of the following non-GAAP measures: Adjusted EBITDA, Adjusted EPS, FFO (Nareit) and FFO (Normalized) (each as defined below). These changes were implemented to align our definitions more closely with our peers. All prior periods have been recast to conform to these changes.

December 31, 2021.
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GENERAL
RESULTS OF OPERATIONS - KEY TRENDS
In spite of the COVID-19 pandemic, weWe have experienced relatively steady volume in our Global RIM Business segment, with organic storage rental revenue growth driven primarily by revenue management. We expect organic storage rental revenue growth to benefit from revenue management and volume which we expect willto be flat to slightly positive when compared torelatively stable in the prior year. We expect low single digit organic storage rental revenue growth for the remainder of 2021.near term.
Our organic service revenue growth is primarily due to increases in our service activity, particularlyactivity. We expect organic service revenue growth in regions where governments have lifted or eased restrictions2022 to benefit from our new and existing digital offerings, as well as our traditional services.
Weexpect total revenue and Adjusted EBITDA growth to accelerate in 2022 with continued focus on our customers’ non-essential business operations. While ournew product and service operations have increased fromofferings, innovation, customer solutions and market expansion.
We expect the reductions we experienced duringimpact of a stronger US dollar to create headwinds on reported total revenue and Adjusted EBITDA growth against prior periods through the peakremainder of the COVID-19 pandemic, future service revenues remain uncertain2022 and will be dependent on the severity of the COVID-19 pandemic, including new variants of COVID-19 that may emerge.into 2023.
Cost of sales (excluding depreciation and amortization) and Selling, general and administrative expenses for the ninesix months ended SeptemberJune 30, 20212022 consists of the following:
COST OF SALESSELLING, GENERAL AND ADMINISTRATIVE EXPENSES
irm-20210930_g5.jpgirm-20220630_g4.jpg
irm-20210930_g6.jpgirm-20220630_g5.jpg
NON-GAAP MEASURES
ADJUSTED EBITDA
We define Adjusted EBITDA as net income (loss) before interest expense, net, provision (benefit) for income taxes, depreciation and amortization (inclusive of our share of Adjusted EBITDA from our unconsolidated joint ventures), and excluding certain items we do not believe to be indicative of our core operating results, specifically:
EXCLUDED
Acquisition and Integration Costs (as defined below)
Other (income) expense, net
Restructuring Charges
Stock-based compensation expense
Intangible impairments
COVID-19 Costs (as defined below)
(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)
Other (income) expense, net
Stock-based compensation expense
Adjusted EBITDA Margin is calculated by dividing Adjusted EBITDA by total revenues. We also show Adjusted EBITDA and Adjusted EBITDA Margin for each of our reportable operating segments under “Results"Results of Operations – Segment Analysis”Analysis" below.
irm-20210930_g7.jpg
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irm-20220630_g6.jpg
Adjusted EBITDA excludes both interest expense, net and the provision (benefit) for income taxes. These expenses are associated with our capitalization and tax structures, which we do not consider when evaluating the operating profitability of our core operations. Adjusted EBITDA does not include depreciation and amortization expenses, in order to eliminate the impact of capital investments, which we evaluate by comparing capital expenditures to incremental revenue generated and as a percentage of total revenues. Adjusted EBITDA and Adjusted EBITDA Margin should be considered in addition to, but not as a substitute for, other measures of financial performance reported in accordance with accounting principles generally accepted in the United States of America (“GAAP”("GAAP"), such as operating income, net income (loss) or cash flows from operating activities (as determined in accordance with GAAP).
RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED EBITDA (IN THOUSANDS):
THREE MONTHS ENDED SEPTEMBER 30,NINE MONTHS ENDED SEPTEMBER 30,THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
20212020202120202022202120222021
Net Income (Loss)Net Income (Loss)$68,111 $38,562 $391,264 $96,341 Net Income (Loss)$201,858 $276,522 $243,565 $323,153 
Add/(Deduct):Add/(Deduct):Add/(Deduct):
Interest expense, netInterest expense, net103,809 104,303 313,451 313,408 Interest expense, net115,057 105,220 229,499 209,642 
Provision (benefit) for income taxesProvision (benefit) for income taxes28,017 13,934 153,073 33,304 Provision (benefit) for income taxes18,083 110,416 28,163 125,056 
Depreciation and amortizationDepreciation and amortization174,818 157,252 507,145 483,686 Depreciation and amortization178,254 166,685 361,869 332,327 
Acquisition and Integration Costs(1)
Acquisition and Integration Costs(1)
1,138 — 3,415 — 
Acquisition and Integration Costs(1)
16,878 2,277 32,539 2,277 
Restructuring Charges(2)Restructuring Charges(2)50,432 48,371 129,686 128,715 Restructuring Charges(2)— 39,443 — 79,254 
Intangible impairments— — — 23,000 
(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)(935)(75,840)(134,321)(78,170)(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)(51,249)(128,935)(51,954)(133,386)
Other (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint venturesOther (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint ventures(21,517)81,190 (209,001)59,398 Other (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint ventures(46,103)(189,605)7,412 (187,484)
Stock-based compensation expense(2)
12,644 8,065 45,913 32,056 
COVID-19 Costs(3)
— — — 9,285 
Stock-based compensation expenseStock-based compensation expense20,256 22,536 31,597 33,269 
Our share of Adjusted EBITDA reconciling items from our unconsolidated joint venturesOur share of Adjusted EBITDA reconciling items from our unconsolidated joint ventures1,252 175 3,340 450 Our share of Adjusted EBITDA reconciling items from our unconsolidated joint ventures1,672 1,072 3,010 2,088 
Adjusted EBITDAAdjusted EBITDA$417,769 $376,012 $1,203,965 $1,101,473 Adjusted EBITDA$454,706 $405,631 $885,700 $786,196 
(1) Represent operating expenditures directly associated with the closing and integration activities of our business acquisitions that have closed, or are highly probable of closing, and include (i) advisory, legal and professional fees to complete business acquisitions and (ii) costs to integrate acquired businesses into our existing operations, including move, severance, facility upgrade and system integration costs (collectively, "Acquisition and Integration Costs"). Acquisition and Integration Costs do not include costs associated with the formation of joint ventures or costs associated with the acquisition of customer relationships.
(2) Stock-based compensation expenseRepresent operating expenses associated with the implementation of Project Summit that primarily consisted of: (i) employee severance costs; (ii) internal costs associated with the development and implementation of Project Summit initiatives; (iii) professional fees, primarily related to Project Summit is included within Restructuring Charges forthird party consultants who assisted with the threedesign and nine months ended September 30, 2021execution of various initiatives as well as project management activities and 2020.
(3) Costs that are incremental(iv) system implementation and directly attributable to the COVID-19 pandemic which are not expected to recur once the pandemic ends ("COVID-19 Costs"). These costs include the purchase of personal protective equipment for our employees and incremental cleaning costs of our facilities, among other directdata conversion costs.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q35

Table of Contents
Part I. Financial Information
ADJUSTED EPS
We define Adjusted EPS as reported earnings per share fully diluted from net income (loss) attributable to Iron Mountain Incorporated (inclusive of our share of adjusted losses (gains) from our unconsolidated joint ventures) and excluding certain items, specifically:
EXCLUDED
Acquisition and Integration Costs
Restructuring Charges
Intangible impairmentsAmortization related to the write-off of certain customer relationship intangible assets
(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)
Other (income) expense, net
Stock-based compensation expense
COVID-19 Costs
Tax impact of reconciling items and discrete tax items
We do not believe these excluded items to be indicative of our ongoing operating results, and they are not considered when we are forecasting our future results. We believe Adjusted EPS is of value to our current and potential investors when comparing our results from past, present and future periods.
RECONCILIATION OF REPORTED EPS—FULLY DILUTED FROM NET INCOME (LOSS) ATTRIBUTABLE TO IRON MOUNTAIN INCORPORATED TO ADJUSTED EPS—FULLY DILUTED FROM NET INCOME (LOSS) ATTRIBUTABLE TO IRON MOUNTAIN INCORPORATED:
THREE MONTHS ENDED
SEPTEMBER 30,
NINE MONTHS ENDED
SEPTEMBER 30,
THREE MONTHS ENDED
 JUNE 30,
SIX MONTHS ENDED
JUNE 30,
20212020202120202022202120222021
Reported EPS—Fully Diluted from Net Income (Loss) Attributable to Iron Mountain IncorporatedReported EPS—Fully Diluted from Net Income (Loss) Attributable to Iron Mountain Incorporated$0.23 $0.13 $1.34 $0.33 Reported EPS—Fully Diluted from Net Income (Loss) Attributable to Iron Mountain Incorporated$0.68 $0.95 $0.83 $1.11 
Add/(Deduct):Add/(Deduct):Add/(Deduct):
Acquisition and Integration CostsAcquisition and Integration Costs— — 0.01 — Acquisition and Integration Costs0.06 0.01 0.11 0.01 
Restructuring ChargesRestructuring Charges0.17 0.17 0.45 0.45 Restructuring Charges— 0.14 — 0.27 
Intangible impairments— — — 0.08 
Amortization related to the write-off of certain customer relationship intangible assetsAmortization related to the write-off of certain customer relationship intangible assets— — 0.02 — 
(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)(0.01)(0.26)(0.46)(0.27)(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate)(0.18)(0.44)(0.18)(0.46)
Other (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint venturesOther (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint ventures(0.07)0.28 (0.72)0.21 Other (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint ventures(0.16)(0.65)0.03 (0.65)
Stock-based compensation expenseStock-based compensation expense0.04 0.03 0.16 0.11 Stock-based compensation expense0.07 0.08 0.11 0.11 
COVID-19 Costs— — — 0.03 
Tax impact of reconciling items and discrete tax items(1)
Tax impact of reconciling items and discrete tax items(1)
0.02 (0.02)0.31 (0.06)
Tax impact of reconciling items and discrete tax items(1)
(0.03)0.31 (0.07)0.30 
Income (Loss) Attributable to Noncontrolling Interests— — 0.01 — 
Net Income (Loss) Attributable to Noncontrolling Interests Net Income (Loss) Attributable to Noncontrolling Interests0.01 — — 0.01 
Adjusted EPS—Fully Diluted from Net Income (Loss) Attributable to Iron Mountain Incorporated(2)
Adjusted EPS—Fully Diluted from Net Income (Loss) Attributable to Iron Mountain Incorporated(2)
$0.40 $0.33 $1.09 $0.88 
Adjusted EPS—Fully Diluted from Net Income (Loss) Attributable to Iron Mountain Incorporated(2)
$0.46 $0.38 $0.85 $0.70 
(1)The difference between our effective tax rates and our structural tax rate (or adjusted effective tax rates) for the three and ninesix months ended SeptemberJune 30, 20212022 and 20202021 is primarily due to (i) the reconciling items above, which impact our reported net income (loss) before provision (benefit) for income taxes but have an insignificant impact on our reported provision (benefit) for income taxes and (ii) other discrete tax items. Our structural tax rate for purposes of the calculation of Adjusted EPS for the three and ninesix months ended SeptemberJune 30, 20212022 and 20202021 was 16.5% and 16.3%16.2%, respectively. The Tax Impact of Reconciling Items and Discrete Tax Items is calculated using the current quarter's estimate of the annual structural tax rate for the full year. This may result in the current period adjustment plus prior period reported quarterly adjustments not summing to the full year adjustment.
(2)Columns may not foot due to rounding.

36IRON MOUNTAIN JUNE 30, 2022 FORM 10-QIRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q36

Table of Contents
Part I. Financial Information
FFO (NAREIT) AND FFO (NORMALIZED)
Funds from operations (“FFO”("FFO") is defined by the National Association of Real Estate Investment Trusts (“Nareit”("Nareit") as net income (loss) excluding depreciation on real estate assets, losses and gains on sale of real estate, net of tax, and amortization of data center leased-based intangibles and adjusting for our share of reconciling items from our unconsolidated joint ventures from FFO (“("FFO (Nareit)"). FFO (Nareit) does not give effect to real estate depreciation because these amounts are computed, under GAAP, to allocate the cost of a property over its useful life. Because values for well-maintained real estate assets have historically increased or decreased based upon prevailing market conditions, we believe that FFO (Nareit) provides investors with a clearer view of our operating performance. Our most directly comparable GAAP measure to FFO (Nareit) is net income (loss).
Although Nareit has published a definition of FFO, we modify FFO (Nareit), as is common among REITs seeking to provide financial measures that most meaningfully reflect their particular business (“("FFO (Normalized)"). Our definition of FFO (Normalized) excludes certain items included in FFO (Nareit) that we believe are not indicative of our core operating results, specifically:
   
EXCLUDED
Acquisition and Integration Costs
Restructuring Charges
Intangible impairments
(Gain) loss on disposal/write-down of property, plant and equipment, net (excluding real estate)
Other (income) expense, net
Stock-based compensation expense
COVID-19 Costs
Real estate financing lease depreciation
Tax impact of reconciling items and discrete tax items

RECONCILIATION OF NET INCOME (LOSS) TO FFO (NAREIT) AND FFO (NORMALIZED) (IN THOUSANDS):
THREE MONTHS ENDED
SEPTEMBER 30,
NINE MONTHS ENDED
SEPTEMBER 30,
THREE MONTHS ENDED
JUNE 30,
SIX MONTHS ENDED
JUNE 30,
20212020202120202022202120222021
Net Income (Loss)Net Income (Loss)$68,111 $38,562 $391,264 $96,341 Net Income (Loss)$201,858 $276,522 $243,565 $323,153 
Add/(Deduct):Add/(Deduct):Add/(Deduct):
Real estate depreciationReal estate depreciation79,463 72,019 230,294 224,325 Real estate depreciation75,008 74,784 154,341 150,831 
Loss (gain) on sale of real estate, net of tax748 (75,880)(106,033)(77,461)
(Gain) loss on sale of real estate, net of tax(Gain) loss on sale of real estate, net of tax(48,978)(102,476)(48,764)(106,781)
Data center lease-based intangible assets amortizationData center lease-based intangible assets amortization10,458 10,441 31,423 32,173 Data center lease-based intangible assets amortization4,040 10,482 8,163 20,965 
FFO (Nareit)FFO (Nareit)158,780 45,142 546,948 275,378 FFO (Nareit)231,928 259,312 357,305 388,168 
Add/(Deduct):Add/(Deduct):Add/(Deduct):
Acquisition and Integration CostsAcquisition and Integration Costs1,138 — 3,415 — Acquisition and Integration Costs16,878 2,277 32,539 2,277 
Restructuring ChargesRestructuring Charges50,432 48,371 129,686 128,715 Restructuring Charges— 39,443 — 79,254 
Intangible impairments— — — 23,000 
(Gain) loss on disposal/write-down of property, plant and equipment, net (excluding real estate)(Gain) loss on disposal/write-down of property, plant and equipment, net (excluding real estate)(1,668)40 (2,890)(359)(Gain) loss on disposal/write-down of property, plant and equipment, net (excluding real estate)(2,270)(1,076)(3,189)(1,222)
Other (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint ventures(1)
Other (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint ventures(1)
(21,517)81,190 (209,001)59,398 
Other (income) expense, net, excluding our share of losses (gains) from our unconsolidated joint ventures(1)
(46,103)(189,605)7,412 (187,484)
Stock-based compensation expenseStock-based compensation expense12,644 8,065 45,913 32,056 Stock-based compensation expense20,256 22,536 31,597 33,269 
COVID-19 Costs— — — 9,285 
Real estate financing lease depreciationReal estate financing lease depreciation3,740 3,501 10,791 10,095 Real estate financing lease depreciation3,427 3,515 7,207 7,051 
Tax impact of reconciling items and discrete tax items(2)
Tax impact of reconciling items and discrete tax items(2)
5,304 (4,648)65,120 (16,464)
Tax impact of reconciling items and discrete tax items(2)
(8,250)63,570 (20,876)60,494 
Our share of FFO (Normalized) reconciling items from our unconsolidated joint venturesOur share of FFO (Normalized) reconciling items from our unconsolidated joint ventures(17)(1)(30)(31)Our share of FFO (Normalized) reconciling items from our unconsolidated joint ventures374 (9)354 (13)
FFO (Normalized)FFO (Normalized)$208,836 $181,660 $589,952 $521,073 FFO (Normalized)$216,240 $199,963 $412,349 $381,794 
(1)Includes foreign currency transaction (gains) losses, net and other, net. See Note 2.m.2.l. to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report for additional information regarding the components of Other (income) expense, net.
(2)Represents the tax impact of (i) the reconciling items above, which impact our reported net income (loss) before provision (benefit) for income taxes and (ii) other discrete tax items. Discrete tax items resulted in a (benefit) provision (benefit) for income taxes of $5.0$(0.2) million and $19.4$(10.2) million for the three and ninesix months ended SeptemberJune 30, 2021,2022, respectively, and $(3.9)$13.3 million and $(2.7)$14.4 million for the three and ninesix months ended SeptemberJune 30, 2020,2021, respectively.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q37

Table of Contents
Part I. Financial Information
CRITICAL ACCOUNTING ESTIMATES
Our discussion and analysis of our financial condition and results of operations are based upon our Condensed Consolidated Financial Statements, which have been prepared in accordance with GAAP. The preparation of these financial statements requires us to make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities at the date of the financial statements and for the period then ended. On an ongoing basis, we evaluate the estimates used. We base our estimates on historical experience, actuarial estimates, current conditions and various other assumptions that we believe to be reasonable under the circumstances. These estimates form the basis for making judgments about the carrying values of assets and liabilities and are not readily apparent from other sources. Actual results may differ from these estimates. Our critical accounting estimates include the following, which are listed in no particular order:
Revenue Recognition
Accounting for Acquisitions
Impairment of Tangible and Intangible Assets
Income Taxes
Further detail regarding our critical accounting estimates can be found in “Item"Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations" in our Annual Report, and the Consolidated Financial Statements and the Notes included therein. We have determined that no material changes concerning our critical accounting estimates have occurred since December 31, 2020.2021. See Note 2.e. to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report for information regarding the reassessment of the composition of our reporting units as a result of the realignment of our global managerial structure during the second quarter of 2022.
RESULTS OF OPERATIONS
COMPARISON OF THE THREE AND NINESIX MONTHS ENDED SEPTEMBERJUNE 30, 20212022 TO THE THREE AND NINESIX MONTHS ENDED SEPTEMBERJUNE 30, 20202021 (IN THOUSANDS):
THREE MONTHS ENDED SEPTEMBER 30,DOLLAR
CHANGE
PERCENTAGE
CHANGE
THREE MONTHS ENDED JUNE 30,DOLLAR
CHANGE
PERCENTAGE
CHANGE
2021202020222021
RevenuesRevenues$1,130,148$1,036,647$93,501 9.0 %Revenues$1,289,534$1,119,756$169,778 15.2 %
Operating ExpensesOperating Expenses948,712796,383152,329 19.1 %Operating Expenses995,753813,828181,925 22.4 %
Operating IncomeOperating Income181,436240,264(58,828)(24.5)%Operating Income293,781305,928(12,147)(4.0)%
Other Expenses, NetOther Expenses, Net113,325201,702(88,377)(43.8)%Other Expenses, Net91,92329,40662,517 212.6 %
Net Income (Loss)Net Income (Loss)68,11138,56229,549 76.6 %Net Income (Loss)201,858276,522(74,664)(27.0)%
Net Income (Loss) Attributable to Noncontrolling InterestsNet Income (Loss) Attributable to Noncontrolling Interests428168260 154.8 %Net Income (Loss) Attributable to Noncontrolling Interests1,7771,237540 43.7 %
Net Income (Loss) Attributable to Iron Mountain IncorporatedNet Income (Loss) Attributable to Iron Mountain Incorporated$67,683$38,394$29,289 76.3 %Net Income (Loss) Attributable to Iron Mountain Incorporated$200,081$275,285$(75,204)(27.3)%
Adjusted EBITDA(1)
Adjusted EBITDA(1)
$417,769$376,012$41,757 11.1 %
Adjusted EBITDA(1)
$454,706$405,631$49,075 12.1 %
Adjusted EBITDA Margin(1)
Adjusted EBITDA Margin(1)
37.0 %36.3 %
Adjusted EBITDA Margin(1)
35.3 %36.2 %
NINE MONTHS ENDED
SEPTEMBER 30,
DOLLAR
CHANGE
PERCENTAGE
CHANGE
SIX MONTHS ENDED JUNE 30,DOLLAR
CHANGE
PERCENTAGE
CHANGE
2021202020222021
RevenuesRevenues$3,331,944$3,087,617$244,327 7.9 %Revenues$2,537,580$2,201,796$335,784 15.3 %
Operating ExpensesOperating Expenses2,674,1742,578,12596,049 3.7 %Operating Expenses2,021,6691,725,462296,207 17.2 %
Operating IncomeOperating Income657,770509,492148,278 29.1 %Operating Income515,911476,33439,577 8.3 %
Other Expenses, NetOther Expenses, Net266,506413,151(146,645)(35.5)%Other Expenses, Net272,346153,181119,165 77.8 %
Net Income (Loss)Net Income (Loss)391,26496,341294,923 306.1 %Net Income (Loss)243,565323,153(79,588)(24.6)%
Net Income (Loss) Attributable to Noncontrolling InterestsNet Income (Loss) Attributable to Noncontrolling Interests2,6931,0581,635 154.5 %Net Income (Loss) Attributable to Noncontrolling Interests1,1852,265(1,080)(47.7)%
Net Income (Loss) Attributable to Iron Mountain IncorporatedNet Income (Loss) Attributable to Iron Mountain Incorporated$388,571$95,283$293,288 307.8 %Net Income (Loss) Attributable to Iron Mountain Incorporated$242,380$320,888$(78,508)(24.5)%
Adjusted EBITDA(1)
Adjusted EBITDA(1)
$1,203,965$1,101,473$102,492 9.3 %
Adjusted EBITDA(1)
$885,700$786,196$99,504 12.7 %
Adjusted EBITDA Margin(1)
Adjusted EBITDA Margin(1)
36.1 %35.7 %
Adjusted EBITDA Margin(1)
34.9 %35.7 %
(1)See “Non-GAAP"Non-GAAP Measures—Adjusted EBITDA”EBITDA" in this Quarterly Report for the definitions of Adjusted EBITDA and Adjusted EBITDA Margin, reconciliation of Net Income (Loss) to Adjusted EBITDA and a discussion of why we believe these non-GAAP measures provide relevant and useful information to our current and potential investors.

38IRON MOUNTAIN JUNE 30, 2022 FORM 10-QIRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q38

Table of Contents
Part I. Financial Information
REVENUES
Consolidated revenues consist of the following (in thousands):
THREE MONTHS ENDED SEPTEMBER 30,PERCENTAGE CHANGE
20212020DOLLAR
CHANGE
ACTUAL
CONSTANT
CURRENCY(1)
ORGANIC
GROWTH(2)
IMPACT OF
ACQUISITIONS
Storage Rental$718,614 $696,294 $22,320 3.2 %2.2 %2.3 %(0.1)%
Service411,534 340,353 71,181 20.9 %19.7 %17.7 %2.0 %
Total Revenues$1,130,148 $1,036,647 $93,501 9.0 %7.9 %7.4 %0.5 %
NINE MONTHS ENDED
SEPTEMBER 30,
PERCENTAGE CHANGE
20212020DOLLAR
CHANGE
ACTUAL
CONSTANT
CURRENCY(1)
ORGANIC
GROWTH(2)
IMPACT OF
ACQUISITIONS
Storage Rental$2,144,942 $2,056,797 $88,145 4.3 %2.2 %2.2 %— %
Service1,187,002 1,030,820 156,182 15.2 %12.7 %11.6 %1.1 %
Total Revenues$3,331,944 $3,087,617 $244,327 7.9 %5.7 %5.4 %0.3 %
THREE MONTHS ENDED JUNE 30,PERCENTAGE CHANGE
20222021DOLLAR
CHANGE
ACTUAL
CONSTANT
CURRENCY(1)
ORGANIC
GROWTH(2)
IMPACT OF
ACQUISITIONS
Storage Rental$753,126 $718,272 $34,854 4.9 %7.8 %8.2 %(0.4)%
Service536,408 401,484 134,924 33.6 %37.6 %21.1 %16.5 %
Total Revenues$1,289,534 $1,119,756 $169,778 15.2 %18.5 %12.8 %5.7 %
SIX MONTHS ENDED
JUNE 30,
PERCENTAGE CHANGE
20222021DOLLAR
CHANGE
ACTUAL
CONSTANT
CURRENCY(1)
ORGANIC
GROWTH(2)
IMPACT OF
ACQUISITIONS
Storage Rental$1,504,196 $1,426,328 $77,868 5.5 %7.8 %8.0 %(0.2)%
Service1,033,384 775,468 257,916 33.3 %36.5 %19.2 %17.3 %
Total Revenues$2,537,580 $2,201,796 $335,784 15.3 %17.9 %12.0 %5.9 %
(1)Constant currency growth rates, which are a non-GAAP measure, are calculated by translating the 20202021 results at the 20212022 average exchange rates.
(2)Our organic revenue growth rate, which is a non-GAAP measure, represents the year-over-year growth rate of our revenues excluding the impact of business acquisitions, divestitures and foreign currency exchange rate fluctuations. Our organic revenue growth rate includes the impact of acquisitions of customer relationships.
TOTAL REVENUES
For the ninesix months ended SeptemberJune 30, 2021,2022, the increase in reported consolidated revenue was primarily driven by reportedorganic storage rental revenue growth and reportedorganic service revenue growth.growth and the impact of acquisitions, primarily ITRenew. Foreign currency exchange rate fluctuations increaseddecreased our reported consolidated revenue growth rate for the ninesix months ended SeptemberJune 30, 20212022 by 2.2%2.6% compared to the prior year period.
STORAGE RENTAL REVENUES AND SERVICE REVENUES
Primary factors influencing the change in reported consolidated storage rental revenue and reported service revenues for the ninesix months ended SeptemberJune 30, 20212022 compared to the ninesix months ended SeptemberJune 30, 20202021 include the following:
STORAGE RENTAL REVENUES
organic storage rental revenue growth driven by increased volume in faster growing markets and our Global Data Center Business segment and revenue management;
a 2.4%2.0% increase in total global volume (excludingexcluding deconsolidations (also excluding acquisitions, total global volume increased 0.3%0.5%); and
an increasea decrease of $41.1$31.4 million due to foreign currency exchange rate fluctuations.
SERVICE REVENUES
an increase in service activity levels, particularly in regions where governments have lifted or eased COVID-19 related restrictions on our customers' non-essential business operations;
organic service revenue growth reflecting increased service activity levels; and
an increase of $22.3$124.4 million due to our recent acquisition of ITRenew; and
a decrease of $18.6 million due to foreign currency exchange rate fluctuations.

IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q39

Table of Contents
Part I. Financial Information
OPERATING EXPENSES
COST OF SALES
Consolidated Cost of sales (excluding depreciation and amortization) consists of the following expenses (in thousands):
THREE MONTHS ENDED SEPTEMBER 30,PERCENTAGE
CHANGE
% OF
CONSOLIDATED
REVENUES
PERCENTAGE
CHANGE
(FAVORABLE)/
UNFAVORABLE
20212020DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
20212020
Labor$190,285 $183,878 $6,407 3.5 %2.6 %16.8 %17.7 %(0.9)%
Facilities202,426 179,031 23,395 13.1 %11.7 %17.9 %17.3 %0.6 %
Transportation33,314 30,890 2,424 7.8 %7.0 %2.9 %3.0 %(0.1)%
Product Cost of Sales and Other55,638 40,706 14,932 36.7 %35.5 %4.9 %3.9 %1.0 %
Total Cost of sales$481,663 $434,505 $47,158 10.9 %9.7 %42.6 %41.9 %0.7 %
NINE MONTHS ENDED SEPTEMBER 30,PERCENTAGE
CHANGE
% OF
CONSOLIDATED
REVENUES
PERCENTAGE
CHANGE
(FAVORABLE)/
UNFAVORABLE
THREE MONTHS ENDED
JUNE 30,
PERCENTAGE
CHANGE
% OF
CONSOLIDATED
REVENUES
PERCENTAGE
CHANGE
(FAVORABLE)/
UNFAVORABLE
20212020DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
2021202020222021DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
20222021
LaborLabor$578,765 $552,396 $26,369 4.8 %2.8 %17.4 %17.9 %(0.5)%Labor$203,459 $199,084 $4,375 2.2 %5.4 %15.8 %17.8 %(2.0)%
FacilitiesFacilities593,487 537,181 56,306 10.5 %8.0 %17.8 %17.4 %0.4 %Facilities213,795 196,098 17,697 9.0 %12.2 %16.6 %17.5 %(0.9)%
TransportationTransportation101,241 97,990 3,251 3.3 %0.8 %3.0 %3.2 %(0.2)%Transportation42,391 37,084 5,307 14.3 %17.4 %3.3 %3.3 %— %
Product Cost of Sales and Other134,658 112,904 21,754 19.3 %16.6 %4.0 %3.7 %0.3 %
COVID-19 Costs— 7,648 (7,648)(100.0)%(100.0)%— %0.2 %(0.2)%
Product Cost of Sales and OthersProduct Cost of Sales and Others96,831 42,313 54,518 128.8 %136.1 %7.5 %3.8 %3.7 %
Total Cost of salesTotal Cost of sales$1,408,151 $1,308,119 $100,032 7.6 %6.0 %42.3 %42.4 %(0.1)%Total Cost of sales$556,476 $474,579 $81,897 17.3 %20.8 %43.2 %42.4 %0.8 %
SIX MONTHS ENDED
 JUNE 30,
PERCENTAGE
CHANGE
% OF
CONSOLIDATED
REVENUES
PERCENTAGE
CHANGE
(FAVORABLE)/
UNFAVORABLE
20222021DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
20222021
Labor$404,960 $388,480 $16,480 4.2 %6.9 %16.0 %17.6 %(1.6)%
Facilities432,114 391,061 41,053 10.5 %13.1 %17.0 %17.8 %(0.8)%
Transportation77,659 67,927 9,732 14.3 %17.0 %3.1 %3.1 %— %
Product Cost of Sales and Other188,365 79,020 109,345 138.4 %144.8 %7.4 %3.6 %3.8 %
Total Cost of sales$1,103,098 $926,488 $176,610 19.1 %22.0 %43.5 %42.1 %1.4 %
Primary factors influencing the change in reported consolidated Cost of sales for the ninesix months ended SeptemberJune 30, 20212022 compared to the ninesix months ended SeptemberJune 30, 20202021 include the following:
an increase in labor costs driven by an increase in service activity particularly in regions where governments have lifted or eased COVID-19 related restrictions on our customers' non-essential business operations,and the impact of recent acquisitions, partially offset by benefits from Project Summit;
an increase in facilities expenses driven by increases in rent expense, reflecting the impact from our sale-leaseback activity during 2021 and the secondfirst half of 2020 and first nine months of 20212022 (which we expect to continue for the remainder of 20212022 as we continue to look for future opportunities to monetize a small portion of our owned industrial real estate assets as part of our ongoing capital recycling program), as well as increases in property taxes, insuranceutilities and building maintenance costs;
an increase in product cost of sales and other driven by an increase in project activity;the acquisition of ITRenew; and
an increasea decrease of $28.4$22.2 million due to foreign currency exchange rate fluctuations.

40IRON MOUNTAIN JUNE 30, 2022 FORM 10-QIRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q40

Table of Contents
Part I. Financial Information
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES
Consolidated Selling, general and administrative expenses consists of the following expenses (in thousands):
THREE MONTHS ENDED SEPTEMBER 30,PERCENTAGE CHANGE% OF
CONSOLIDATED
REVENUES
PERCENTAGE
CHANGE
(FAVORABLE)/
UNFAVORABLE
THREE MONTHS ENDED
 JUNE 30,
PERCENTAGE CHANGE% OF
CONSOLIDATED
REVENUES
PERCENTAGE
CHANGE
(FAVORABLE)/
UNFAVORABLE
20212020DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
2021202020222021DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
20222021
General, Administrative and OtherGeneral, Administrative and Other$183,476 $176,801 $6,675 3.8 %3.1 %16.2 %17.1 %(0.9)%General, Administrative and Other$220,891 $189,217 $31,674 16.7 %19.2 %17.1 %16.9 %0.2 %
Sales, Marketing and Account ManagementSales, Marketing and Account Management58,120 55,294 2,826 5.1 %4.1 %5.1 %5.3 %(0.2)%Sales, Marketing and Account Management74,503 70,562 3,941 5.6 %8.6 %5.8 %6.3 %(0.5)%
Total Selling, general and administrative expensesTotal Selling, general and administrative expenses$241,596 $232,095 $9,501 4.1 %3.3 %21.4 %22.4 %(1.0)%Total Selling, general and administrative expenses$295,394 $259,779 $35,615 13.7 %16.3 %22.9 %23.2 %(0.3)%
NINE MONTHS ENDED SEPTEMBER 30,PERCENTAGE CHANGE% OF
CONSOLIDATED
REVENUES
PERCENTAGE
CHANGE
(FAVORABLE)/
UNFAVORABLE
SIX MONTHS ENDED
 JUNE 30,
PERCENTAGE CHANGE% OF
CONSOLIDATED
REVENUES
PERCENTAGE
CHANGE
(FAVORABLE)/
UNFAVORABLE
20212020DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
2021202020222021DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
20222021
General, Administrative and OtherGeneral, Administrative and Other$561,686 $544,000 $17,686 3.3 %1.8 %16.9 %17.6 %(0.7)%General, Administrative and Other$427,207 $378,210 $48,997 13.0 %14.9 %16.8 %17.2 %(0.4)%
Sales, Marketing and Account ManagementSales, Marketing and Account Management198,412 167,138 31,274 18.7 %16.3 %6.0 %5.4 %0.6 %Sales, Marketing and Account Management148,910 140,292 8,618 6.1 %8.4 %5.9 %6.4 %(0.5)%
COVID-19 Costs— 1,637 (1,637)(100.0)%(100.0)%— %0.1 %(0.1)%
Total Selling, general and administrative expensesTotal Selling, general and administrative expenses$760,098 $712,775 $47,323 6.6 %5.0 %22.8 %23.1 %(0.3)%Total Selling, general and administrative expenses$576,117 $518,502 $57,615 11.1 %13.1 %22.7 %23.5 %(0.8)%
Primary factors influencing the change in reported consolidated Selling, general and administrative expenses for the ninesix months ended SeptemberJune 30, 20212022 compared to the ninesix months ended SeptemberJune 30, 20202021 include the following:
an increase in general, administrative and other expenses, driven by recent acquisitions, higher wages and benefits, employee related costs and stock-based compensation expense,professional fees, partially offset by other employee related costs, reflecting ongoing cost containment measures and benefits from Project Summit, as well as lower professional fees and bad debt expense;Summit;
an increase in sales, marketing and account management expenses, driven by recent acquisitions, higher compensation expense, primarily reflecting increased salarieswages and sales commissions, as well as increased marketing costs;benefits, partially offset by lower professional fees; and
an increasea decrease of $11.4$9.2 million due to foreign currency exchange rate fluctuations.
DEPRECIATION AND AMORTIZATION
Depreciation expense increased by $12.5$9.6 million, or 3.7%4.2%, for the ninesix months ended SeptemberJune 30, 20212022 compared to the prior year period. See Note 2.h. to Notes to Consolidated Financial Statements included in our Annual Report for additional information regarding the useful lives over which our property, plant and equipment is depreciated.
Amortization expense increased by $11.0$20.0 million, or 7.4%19.0%, for the ninesix months ended SeptemberJune 30, 20212022 compared to the prior year period.
ACQUISITION AND INTEGRATION COSTS
Acquisition and Integration Costs for the ninesix months ended SeptemberJune 30, 20212022 were approximately $3.4$32.5 million and primarily consist of legal and professional fees.
RESTRUCTURING CHARGES
Restructuring Charges for the nine months ended September 30, 2021 and 2020 were approximately $129.7 million and $128.7 million, respectively, and primarily consist of employee severance costs and professional fees associated with Project Summit.
IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q41

Table of Contents
Part I. Financial Information
(GAIN) LOSS ON DISPOSAL/WRITE-DOWN OF PROPERTY, PLANT AND EQUIPMENT, NET
Consolidated gain on disposal/write-down of property, plant and equipment, net for the ninethree and six months ended SeptemberJune 30, 20212022 was approximately $134.3$51.2 million whichand $52.0 million, respectively. The gains for the three and six months ended June 30, 2022 primarily consisted of gains of approximately $127.4$49.0 million associated with the sale and sale-leaseback transactions of five11 facilities and parcels of land in the United Kingdom during the second quarterStates, as part of 2021.our program to monetize a portion of our industrial assets.
Consolidated gain on disposal/write-down of property, plant and equipment, net for the ninethree and six months ended SeptemberJune 30, 20202021 was approximately $78.2$128.9 million which primarily consistedand $133.4 million, respectively.

IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q41

Table of gains of approximately $76.4 million associated with the sale-leaseback transactions of two facilities in the United States during the third quarter of 2020.Contents
Consolidated gain on disposal/write-down of property, plant and equipment recognized during both 2021 and 2020 are a result of our program to monetize a small portion of our industrial assets.Part I. Financial Information
OTHER EXPENSES, NET
INTEREST EXPENSE, NET
Consolidated interest expense, net increased by $0.1$19.9 million to $313.5$229.5 million in the ninesix months ended SeptemberJune 30, 20212022 from $313.4$209.6 million in the prior year period.period, primarily driven by an increase in average debt balances at June 30, 2022. See Note 6 to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report for additional information regarding our indebtedness.
OTHER (INCOME) EXPENSE, NET
Consolidated other (income) expense, net consists of the following (in thousands):
THREE MONTHS ENDED
SEPTEMBER 30,
DOLLAR
CHANGE
NINE MONTHS ENDED
SEPTEMBER 30,
DOLLAR CHANGETHREE MONTHS ENDED
JUNE 30,
DOLLAR
CHANGE
SIX MONTHS ENDED
JUNE 30,
DOLLAR CHANGE
DESCRIPTIONDESCRIPTION2021202020212020DESCRIPTION2022202120222021
Foreign currency transaction losses (gains), net$(23,200)$29,635 $(52,835)$(16,157)$(6,293)$(9,864)
Foreign currency transaction (gains) losses, net(1)
Foreign currency transaction (gains) losses, net(1)
$(55,039)$4,729 $(59,768)$(68,240)$7,043 $(75,283)
Debt extinguishment expenseDebt extinguishment expense— 51,260 (51,260)— 68,300 (68,300)Debt extinguishment expense— — — 671 — 671 
Other, net(1)(2)
Other, net(1)(2)
4,699 2,570 2,129 (183,861)4,432 (188,293)
Other, net(1)(2)
13,822 (190,959)204,781 82,253 (188,560)270,813 
Other (Income) Expense, NetOther (Income) Expense, Net$(18,501)$83,465 $(101,966)$(200,018)$66,439 $(266,457)Other (Income) Expense, Net$(41,217)$(186,230)$145,013 $14,684 $(181,517)$196,201 
(1)Other,We recognized net foreign currency transaction gains of $55.0 million and $68.2 million for the ninethree and six months ended SeptemberJune 30, 2021 is2022, respectively. These gains primarily comprisedconsist of (a)the impact of changes in the exchange rate of the Euro and the British pound sterling against the United States dollar on our intercompany balances with and between certain of our subsidiaries.
(2)On March 24, 2022, as a gainresult of our loss of control, we deconsolidated the businesses included in the acquisition of OSG Records Management (Europe) Limited, excluding Ukraine. We recognized a loss of approximately $180.6 million associated with our IPM Divestment and (b) a gain of approximately $20.3$105.8 million associated with the deconsolidation to Other expense (income), net in the first quarter of 2022 representing the difference between the net asset value prior to the deconsolidation and subsequent remeasurement of the retained investment to fair value of zero. We have concluded that the deconsolidation does not meet the criteria to be reported as discontinued operations in our consolidated financial statements, as it does not represent a strategic shift that will have a major effect on our operations and financial results. The loss of control and related deconsolidation, as of May 18, 2021, of one of our wholly owned Netherlands subsidiaries, for which we had value-added tax liability exposure that was partially offset by a gain recorded in 2019.the first quarter of 2022 of approximately $35.8 million associated with the Clutter Transaction (as defined below).
PROVISION FOR INCOME TAXES
We provide for income taxes during interim periods based on our estimate of the effective tax rate for the year.
Our effective tax rates for the three and ninesix months ended SeptemberJune 30, 20212022 and 20202021 are as follows:
 THREE MONTHS ENDED
SEPTEMBER 30,
NINE MONTHS ENDED
SEPTEMBER 30,
2021202020212020
Effective Tax Rate(1)
29.1 %26.5 %28.1 %25.7 %
 THREE MONTHS ENDED JUNE 30,SIX MONTHS ENDED JUNE 30,
2022(1)
2021
2022(1)
2021
Effective Tax Rate8.2 %28.5 %10.4 %27.9 %
(1)The primary reconciling items between the federal statutory tax rate of 21.0% and our overall effective tax rate for the three and ninesix months ended SeptemberJune 30, 2021 and 20202022 were the impacts of differences in the tax rates at which our foreign earnings are subject, partially offset by the benefits derived from the dividends paid deduction. The costs associated with Project Summitdeduction and the differences in the tax rates to which our foreign earnings are more heavily weighted tosubject. In addition, there were gains and losses recorded in Other expense (income), net and Gain (loss) on disposal/write-down of property, plant and equipment net, during the period for which there was an insignificant tax impact. During the first quarter of 2022, there was also a release of valuation allowances on deferred tax assets of our United States qualifiedU.S. taxable REIT subsidiaries ("QRSs"TRS"), and, therefore, provide no tax benefit. Additionally, the nine months ended September 30, 2021,reflects a discrete tax expense of approximately $12.0$9.9 million primarily resulting from a tax law change in the United Kingdom.
At December 31, 2020, we concluded that it was our intent to indefinitely reinvest our current and future undistributed earnings of certain of our unconverted foreign taxable REIT subsidiaries (“TRSs”) outside the United States, with the exception of certain limited instances. During 2021, as a result of the enactment of a tax law and the closing of various acquisitions, we reassessed this intention and concluded that it is no longer our intention to reinvest our undistributed earnings of our foreign TRSs indefinitely outside the United States. As a REIT, future repatriation of incremental undistributed earnings of our foreign subsidiaries will not be subject to federal or state income tax, with the exception of foreign withholding taxes. However, such future repatriations may require distribution to our stockholders in accordance with REIT distribution rules, and any such distribution may then be taxable, as appropriate, at the stockholder level. We expect to provide for foreign withholding taxes on the current and future earnings of all of our foreign subsidiaries as the result of such reassessment.ITRenew Transaction.
42IRON MOUNTAIN JUNE 30, 2022 FORM 10-QIRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q42

Table of Contents
Part I. Financial Information
NET INCOME (LOSS) AND ADJUSTED EBITDA
The following table reflects the effect of the foregoing factors on our consolidated Net Income (Loss) and Adjusted EBITDA (in thousands):
THREE MONTHS ENDED SEPTEMBER 30,DOLLAR
CHANGE
PERCENTAGE CHANGETHREE MONTHS ENDED JUNE 30,DOLLAR
CHANGE
PERCENTAGE CHANGE
2021202020222021
Net Income (Loss)Net Income (Loss)$68,111 $38,562 $29,549 76.6 %Net Income (Loss)$201,858 $276,522 $(74,664)(27.0)%
Net Income (Loss) as a percentage of Consolidated RevenueNet Income (Loss) as a percentage of Consolidated Revenue6.0 %3.7 %Net Income (Loss) as a percentage of Consolidated Revenue15.7 %24.7 %
Adjusted EBITDAAdjusted EBITDA$417,769 $376,012 $41,757 11.1 %Adjusted EBITDA$454,706 $405,631 $49,075 12.1 %
Adjusted EBITDA MarginAdjusted EBITDA Margin37.0 %36.3 %Adjusted EBITDA Margin35.3 %36.2 %
NINE MONTHS ENDED
 SEPTEMBER 30,
DOLLAR CHANGEPERCENTAGE CHANGESIX MONTHS ENDED JUNE 30,DOLLAR
CHANGE
PERCENTAGE CHANGE
2021202020222021
Net Income (Loss)Net Income (Loss)$391,264 $96,341 $294,923 306.1 %Net Income (Loss)$243,565 $323,153 $(79,588)(24.6)%
Net Income (Loss) as a percentage of Consolidated RevenueNet Income (Loss) as a percentage of Consolidated Revenue11.7 %3.1 %Net Income (Loss) as a percentage of Consolidated Revenue9.6 %14.7 %
Adjusted EBITDAAdjusted EBITDA$1,203,965 $1,101,473 $102,492 9.3 %Adjusted EBITDA$885,700 $786,196 $99,504 12.7 %
Adjusted EBITDA MarginAdjusted EBITDA Margin36.1 %35.7 %Adjusted EBITDA Margin34.9 %35.7 %
Consolidated Adjusted EBITDA Margin for the ninesix months ended SeptemberJune 30, 2021 increased2022 decreased by 4080 basis points compared to the same prior year period, primarily reflecting a 130 basis point decrease from the acquisition of ITRenew, partially offset by improved service revenue trends, benefits from Project Summit, revenue management and ongoing cost containment measures, partially offset by higher compensation expense and sales commissions.measures.
↑ INCREASED BY $102.5$99.5 MILLION OR 9.3%12.7%
Consolidated Adjusted EBITDA
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q43

Table of Contents
Part I. Financial Information
SEGMENT ANALYSIS
See Note 9 to Notes to Condensed Consolidated Financial Statements included in our Annualthis Quarterly Report, for a description of our reportable operating segments. Previously reported segment information has been restated to conform to the current presentation.
GLOBAL RIM BUSINESS (IN THOUSANDS)
THREE MONTHS ENDED
 SEPTEMBER 30,
PERCENTAGE CHANGETHREE MONTHS ENDED
 JUNE 30,
PERCENTAGE CHANGE
DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONSDOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONS
2021202020222021
Storage RentalStorage Rental$621,615$598,949$22,666 3.8 %2.7 %1.8 %0.9 %Storage Rental$649,771$628,678$21,093 3.4 %6.4 %6.3 %0.1 %
ServiceService373,962322,82451,138 15.8 %14.6 %13.8 %0.8 %Service420,705367,64653,059 14.4 %17.8 %17.7 %0.1 %
Segment RevenueSegment Revenue$995,577$921,773$73,804 8.0 %6.9 %6.0 %0.9 %Segment Revenue$1,070,476$996,324$74,152 7.4 %10.6 %10.5 %0.1 %
Segment Adjusted EBITDASegment Adjusted EBITDA$442,798$393,883$48,915 Segment Adjusted EBITDA$469,368$423,940$45,428 
Segment Adjusted EBITDA MarginSegment Adjusted EBITDA Margin44.5 %42.7 %Segment Adjusted EBITDA Margin43.8 %42.6 %
NINE MONTHS ENDED
SEPTEMBER 30,
PERCENTAGE CHANGESIX MONTHS ENDED
 JUNE 30,
PERCENTAGE CHANGE
DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONSDOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONS
2021202020222021
Storage RentalStorage Rental$1,849,387$1,773,364$76,023 4.3 %2.1 %1.7 %0.4 %Storage Rental$1,299,858$1,250,564$49,294 3.9 %6.4 %6.1 %0.3 %
ServiceService1,106,416981,930124,486 12.7 %10.3 %10.0 %0.3 %Service819,509722,67896,831 13.4 %16.1 %15.8 %0.3 %
Segment RevenueSegment Revenue$2,955,803$2,755,294$200,509 7.3 %5.0 %4.6 %0.4 %Segment Revenue$2,119,367$1,973,242$146,125 7.4 %10.0 %9.7 %0.3 %
Segment Adjusted EBITDASegment Adjusted EBITDA$1,281,668$1,169,671$111,997 Segment Adjusted EBITDA$918,163$827,373$90,790 
Segment Adjusted EBITDA MarginSegment Adjusted EBITDA Margin43.4 %42.5 %Segment Adjusted EBITDA Margin43.3 %41.9 %
NINE MONTHS ENDED YEAR OVER YEAR SEGMENT ANALYSIS: GLOBAL RIM BUSINESS (IN MILLIONS)

Storage Rental
Revenue
Service
Revenue
Segment
Revenue
Segment Adjusted
EBITDA
irm-20210930_g8.jpgirm-20210930_g9.jpg
Primary factors influencing the change in revenue and Adjusted EBITDA Margin in our Global RIM Business segment for the nine months ended September 30, 2021 compared to the prior year period include the following:
organic storage rental revenue growth driven by revenue management and volume;
organic service revenue growth mainly driven by increased traditional service activity levels, particularly in regions where governments have lifted or eased COVID-19 related restrictions on our customers' non-essential business operations, and growth in our Global Digital Solutions and Secure Information Technology Asset Disposition businesses;
an increase in revenue of $58.9 million due to foreign currency exchange rate fluctuations;
a 2.3% increase in global records management volume (excluding acquisitions, global records management volume increased 0.1%); and
a 90 basis point increase in Adjusted EBITDA Margin primarily driven by benefits from Project Summit, revenue management, ongoing cost containment measures and lower bad debt expense, partially offset by increases in compensation, benefits, sales commissions and rent expense.
44IRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q

Table of Contents
Part I. Financial Information
GLOBAL DATA CENTER BUSINESS (IN THOUSANDS)
THREE MONTHS ENDED
SEPTEMBER 30,
PERCENTAGE CHANGE
DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONS
20212020
Storage Rental$72,411$68,416$3,995 5.8 %5.4 %5.4 %— %
Service16,1764,39811,778 267.8 %266.1 %266.1 %— %
Segment Revenue$88,587$72,814$15,773 21.7 %21.2 %21.2 %— %
Segment Adjusted EBITDA$35,097$33,359$1,738 
Segment Adjusted EBITDA Margin39.6 %45.8 %
NINE MONTHS ENDED
SEPTEMBER 30,
PERCENTAGE CHANGE
DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONS
20212020
Storage Rental$210,805$196,823$13,982 7.1 %5.8 %5.8 %— %
Service25,86710,11615,751 155.7 %152.4 %152.4 %— %
Segment Revenue$236,672$206,939$29,733 14.4 %13.0 %13.0 %— %
Segment Adjusted EBITDA$98,961$94,812$4,149 
Segment Adjusted EBITDA Margin41.8 %45.8 %
NINESIX MONTHS ENDED YEAR OVER YEAR SEGMENT ANALYSIS: GLOBAL RIM BUSINESS (IN MILLIONS)
Storage Rental
Revenue
Service
Revenue
Segment
Revenue
Segment Adjusted
EBITDA
irm-20220630_g7.jpgirm-20220630_g8.jpg
Primary factors influencing the change in revenue and Adjusted EBITDA Margin in our Global RIM Business segment for the six months ended June 30, 2022 compared to the prior year period include the following:
organic storage rental revenue growth driven by revenue management and volume;
a 2.0% increase in Global RIM volume excluding deconsolidations (also excluding acquisitions, Global RIM volume increased 0.5%);
organic service revenue growth mainly driven by increases in our traditional service activity levels and growth in our Global Digital Solutions business;
a decrease in revenue of $45.7 million due to foreign currency exchange rate fluctuations; and
a 140 basis point increase in Adjusted EBITDA Margin primarily driven by revenue management, benefits from Project Summit and ongoing cost containment measures.
IRON MOUNTAIN JUNE 30, 2022 FORM 10-Q44

Table of Contents
Part I. Financial Information
GLOBAL DATA CENTER BUSINESS (IN THOUSANDS)
THREE MONTHS ENDED
JUNE 30,
PERCENTAGE CHANGE
DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONS
20222021
Storage Rental$89,768$71,237$18,531 26.0 %28.9 %23.8 %5.1 %
Service10,3205,7404,580 79.8 %91.4 %95.5 %(4.1)%
Segment Revenue$100,088$76,977$23,111 30.0 %33.4 %29.0 %4.4 %
Segment Adjusted EBITDA$42,307$33,432$8,875 
Segment Adjusted EBITDA Margin42.3 %43.4 %
SIX MONTHS ENDED
JUNE 30,
PERCENTAGE CHANGE
DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONS
20222021
Storage Rental$177,219$138,394$38,825 28.1 %30.3 %25.0 %5.3 %
Service19,8569,69110,165 104.9 %114.8 %115.5 %(0.7)%
Segment Revenue$197,075$148,085$48,990 33.1 %35.7 %30.9 %4.8 %
Segment Adjusted EBITDA$84,284$63,864$20,420 
Segment Adjusted EBITDA Margin42.8 %43.1 %

SIX MONTHS ENDED YEAR OVER YEAR SEGMENT ANALYSIS: GLOBAL DATA CENTER BUSINESS (IN MILLIONS)
Storage Rental
Revenue
Service
Revenue
Segment
Revenue
Segment Adjusted
EBITDA
irm-20210930_g10.jpgirm-20210930_g11.jpgirm-20220630_g9.jpgirm-20220630_g10.jpg
Primary factors influencing the change in revenue, Adjusted EBITDA and Adjusted EBITDA Margin in our Global Data Center Business segment for the ninesix months ended SeptemberJune 30, 20212022 compared to the prior year period include the following:
organic storage rental revenue growth from leases signedthat commenced during the first ninesix months of 20212022 and in prior periods, and service revenue growth from project revenue, partially offset by churn of 810260 basis points;
an increase in Adjusted EBITDA primarily driven by organic storage rental revenue growth; and
a 40030 basis point decrease in Adjusted EBITDA Margin reflecting higher pass-through power costs, and a change in revenue mix due to lower margin project revenue during the period, which is expected to have a temporary impact on segment margins.

margins, partially offset by ongoing overhead cost management.
IRON MOUNTAIN SEPTEMBERJUNE 30, 20212022 FORM 10-Q45

Table of Contents
Part I. Financial Information
CORPORATE AND OTHER BUSINESS (IN THOUSANDS)
THREE MONTHS ENDED
SEPTEMBER 30,
PERCENTAGE CHANGE
DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONS
20212020
Storage Rental$24,588$28,929$(4,341)(15.0)%(15.5)%8.7 %(24.2)%
Service21,39613,1318,265 62.9 %61.9 %29.6 %32.3 %
Segment Revenue$45,984$42,060$3,924 9.3 %8.6 %16.8 %(8.2)%
Segment Adjusted EBITDA$(60,126)$(51,230)$(8,896)
Segment Adjusted EBITDA as a percentage of Consolidated Revenue(5.3)%(4.9)%
THREE MONTHS ENDED
JUNE 30,
PERCENTAGE CHANGE
DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONS
20222021
Storage Rental$13,587$18,357$(4,770)(26.0)%(25.2)%9.4 %(34.6)%
Service105,38328,09877,285 275.1 %288.7 %49.5 %239.2 %
Revenue$118,970$46,455$72,515 156.1 %162.8 %37.0 %125.8 %
Adjusted EBITDA$(56,969)$(51,741)$(5,228) 
Adjusted EBITDA as a percentage of Consolidated Revenue(4.4)%(4.6)%
NINE MONTHS ENDED
SEPTEMBER 30,
PERCENTAGE CHANGE
DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONS
20212020
Storage Rental$84,750$86,610$(1,860)(2.1)%(3.1)%5.5 %(8.6)%
Service54,71938,77415,945 41.1 %37.1 %15.2 %21.9 %
Segment Revenue$139,469$125,384$14,085 11.2 %9.5 %8.8 %0.7 %
Segment Adjusted EBITDA$(176,664)$(163,010)$(13,654)
Segment Adjusted EBITDA as a percentage of Consolidated Revenue(5.3)%(5.3)%
SIX MONTHS ENDED
JUNE 30,
PERCENTAGE CHANGE
DOLLAR
CHANGE
ACTUALCONSTANT
CURRENCY
ORGANIC
GROWTH
IMPACT OF ACQUISITIONS
20222021
Storage Rental$27,119$37,370$(10,251)(27.4)%(27.0)%8.4 %(35.4)%
Service194,01943,099150,920 350.2 %363.2 %53.6 %309.6 %
Revenue$221,138$80,469$140,669 174.8 %179.8 %37.5 %142.3 %
Adjusted EBITDA$(116,747)$(105,041)$(11,706) 
Adjusted EBITDA as a percentage of Consolidated Revenue(4.6)%(4.8)%
Primary factors influencing the change in revenue and Adjusted EBITDA in our Corporate and Other Business segment for the ninesix months ended SeptemberJune 30, 20212022 compared to the prior year period include the following:
a decrease in reported storage revenue reflecting the IPM Divestment in the second quarter of 2021;
reported service revenue for the six months ended June 30, 2022 includes $124.4 million from the acquisition of ITRenew;
organic service revenue growth mainly driven by increased service activity levels in our Fine Arts business, particularly in regions where governments have lifted or eased COVID-19 related restrictions on our customers' non-essential business operations;and ALM businesses; and
a decrease in Adjusted EBITDA driven by higher wagescompensation expense and benefits,employee related costs, professional fees and the impact of the IPM Divestment in the second quarter of 2021, partially offset by benefits from Project Summit, improved service revenue trends and ongoing cost containment measures.the impact of the acquisition of ITRenew.
46IRON MOUNTAIN JUNE 30, 2022 FORM 10-QIRON MOUNTAIN SEPTEMBER 30, 2021 FORM 10-Q46

Table of Contents
Part I. Financial Information
LIQUIDITY AND CAPITAL RESOURCES
GENERAL
We expect to meet our short-term and long-term cash flow requirements through cash generated from operations, cash on hand, borrowings under our Credit Agreement (as defined below) and proceeds from monetizing a small portion of our total industrial real estate assets in the future, as well as other potential financings (such as the issuance of debt or equity). Our cash flow requirements, both in the near and long term, include, but are not limited to, capital expenditures, the repayment of outstanding debt, shareholder dividends, Project Summit initiatives, potential and pending business acquisitions and investments and normal business operation needs.
PROJECT SUMMIT
As disclosed above, in October 2019, we announced Project Summit. We estimate that the implementation of Project Summit will result in total Restructuring Charges of $450.0 million. From the inception of Project Summit through September 30, 2021, we have incurred approximately $372.7 million of Restructuring Charges related to Project Summit, primarily related to employee severance costs, internal costs associated with the development and implementation of Project Summit initiatives and professional fees. From the inception of Project Summit through September 30, 2021, we have also incurred $26.7 million of capital expenditures.
CASH FLOWS
The following is a summary of our cash balances and cash flows (in thousands) as of and for the ninesix months ended SeptemberJune 30,
2021202020222021
Cash Flows from Operating ActivitiesCash Flows from Operating Activities$463,337 $627,218 Cash Flows from Operating Activities$345,924 $389,202 
Cash Flows from Investing ActivitiesCash Flows from Investing Activities(319,785)(360,131)Cash Flows from Investing Activities(991,103)(7,351)
Cash Flows from Financing ActivitiesCash Flows from Financing Activities(177,587)(307,174)Cash Flows from Financing Activities542,000 (270,939)
Cash and Cash Equivalents, including Restricted Cash, End of PeriodCash and Cash Equivalents, including Restricted Cash, End of Period161,439 151,972 Cash and Cash Equivalents, including Restricted Cash, End of Period144,746 315,928 
A. CASH FLOWS FROM OPERATING ACTIVITIES
For the ninesix months ended SeptemberJune 30, 2021,2022, net cash flows provided by operating activities decreased by $163.9$43.3 million compared to the prior year period, primarily due to a decrease in cash from working capital of $185.9$213.5 million, primarily related to the timing of accounts payable and accrued expenses and collections of accounts receivable, partially offset by an increase in net income (including non-cash charges) of $22.0$170.2 million.
B. CASH FLOWS FROM INVESTING ACTIVITIES
Our significant investing activity during the ninesix months ended SeptemberJune 30, 2021 is highlighted below:2022 included:
We paid cash for capital expenditures of $419.0$330.2 million. Additional details of our capital spending are included in the “Capital"Capital Expenditures" section below.
We paid cash for acquisitions (net of cash acquired) of $203.8$718.7 million, primarily funded by cash on hand and borrowings under our Revolving Credit Facility (as defined in Note 6 to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report).
We received $214.9 million in proceeds from sales of property, plant and equipment, primarily related to proceeds from sale-leaseback transactions of five facilities in the United Kingdom during the second quarter of 2021.
We received $213.9 million in net proceeds from the IPM Divestment.
C. CASH FLOWS FROM FINANCING ACTIVITIES
Our significant financing activities during the ninesix months ended SeptemberJune 30, 20212022 included:
Net proceeds of $414.9$904.1 million primarily associated with borrowings under the Revolving Credit Facility, Term Loan A and the Accounts Receivable Securitization Program.
Repurchase of noncontrolling interest of $75.0 million.
Payment of dividends in the amount of $538.9$364.2 million on our common stock.

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Table of Contents
Part I. Financial Information
CAPITAL EXPENDITURES
During 2020, a portion of what was previously categorized as Non-Real Estate Growth Capital Expenditures was recategorized as Real Estate Growth Capital Expenditures and the remaining portion was recategorized as Recurring Capital Expenditures. In addition, capital expenditures associated with restructuring (including Project Summit) and integration of acquisitions, which was previously categorized as recurring capital expenditures, have been recategorized as Innovation and Other. We have reclassified the categorization of our prior year capital expenditures to conform with our current presentation.
The following table presents our capital spend for the ninesix months ended SeptemberJune 30, 20212022 and 2020,2021, organized by the type of the spending as described in our Annual Report (in thousands):
NINE MONTHS ENDED SEPTEMBER 30, SIX MONTHS ENDED JUNE 30,
NATURE OF CAPITAL SPENDNATURE OF CAPITAL SPEND20212020NATURE OF CAPITAL SPEND20222021
Growth Investment Capital Expenditures:Growth Investment Capital Expenditures:Growth Investment Capital Expenditures:
Data CenterData Center$209,097 $151,692 Data Center$183,815 $136,446 
Real EstateReal Estate60,558 45,888 Real Estate66,855 39,525 
Innovation and OtherInnovation and Other15,445 5,670 Innovation and Other20,958 9,144 
Total Growth Investment Capital ExpendituresTotal Growth Investment Capital Expenditures285,100 203,250 Total Growth Investment Capital Expenditures271,628 185,115 
Recurring Capital Expenditures:Recurring Capital Expenditures:Recurring Capital Expenditures:
Real EstateReal Estate$43,398 $28,242 Real Estate$23,672 $29,813 
Non-Real EstateNon-Real Estate52,153 43,196 Non-Real Estate37,834 31,656 
Data CenterData Center6,936 8,083 Data Center5,678 3,023 
Total Recurring Capital ExpendituresTotal Recurring Capital Expenditures102,487 79,521 Total Recurring Capital Expenditures67,184 64,492 
Total Capital Spend (on accrual basis)Total Capital Spend (on accrual basis)$387,587 $282,771 Total Capital Spend (on accrual basis)$338,812 $249,607 
Net increase (decrease) in prepaid capital expendituresNet increase (decrease) in prepaid capital expenditures279 2,221 Net increase (decrease) in prepaid capital expenditures1,407 116 
Net decrease (increase) in accrued capital expenditures31,110 24,170 
Net (increase) decrease in accrued capital expendituresNet (increase) decrease in accrued capital expenditures(9,999)45,863 
Total Capital Spend (on cash basis)Total Capital Spend (on cash basis)$418,976 $309,162 Total Capital Spend (on cash basis)$330,220 $295,586 
Excluding capital expenditures associated with potential future acquisitions, we expect total capital expenditures of approximately $550.0$950.0 million for the year ending December 31, 2021.2022. Of this, we expect our capital expenditures for growth investment to be approximately $410.0$800.0 million, and our recurring capital expenditures to be approximately $140.0approach $155.0 million. OurApproximately $625.0 million of our expected capital expenditures for growth investment includesrelates to Global Data Center Business development spend of approximately $300.0 million.spend.
DIVIDENDS
See Note 8 to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report for a listing of dividends that we declared during the first ninesix months of 20212022 and fiscal year 2020.2021.
On NovemberAugust 4, 2021,2022, we declared a dividend to our stockholders of record as of DecemberSeptember 15, 20212022 of $0.6185 per share, payable on January 6,October 4, 2022.
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Table of Contents
Part I. Financial Information
FINANCIAL INSTRUMENTS AND DEBT
Financial instruments that potentially subject us to credit risk consist principally of cash and cash equivalents (including money market funds and time deposits) and accounts receivable. The only significant concentration of liquid investments as of SeptemberJune 30, 20212022 is related to cash and cash equivalents. See Note 2.f. to Notes to the Condensed Consolidated Financial Statements included in this Quarterly Report for information on our money market funds and time deposits.
Long-term debt as of SeptemberJune 30, 20212022 is as follows (in thousands):
 SEPTEMBER 30, 2021
 DEBT (INCLUSIVE OF DISCOUNT)UNAMORTIZED DEFERRED FINANCING COSTSCARRYING AMOUNT
Revolving Credit Facility$310,000 $(6,034)$303,966 
Term Loan A206,250 — 206,250 
Term Loan B674,540 (5,308)669,232 
Australian Dollar Term Loan223,109 (881)222,228 
UK Bilateral Revolving Credit Facility188,431 (874)187,557 
37/8% GBP Senior Notes due 2025 (the “GBP Notes”)
538,374 (4,151)534,223 
47/8% Senior Notes due 2027 (the “47/8% Notes due 2027”)(1)
1,000,000 (8,532)991,468 
51/4% Senior Notes due 2028 (the “51/4% Notes due 2028”)(1)
825,000 (7,676)817,324 
5% Senior Notes due 2028 (the “5% Notes”)(1)
500,000 (4,944)495,056 
47/8% Senior Notes due 2029 (the “47/8% Notes due 2029”)(1)
1,000,000 (11,573)988,427 
51/4% Senior Notes due 2030 (the “51/4 Notes due 2030”)(1)
1,300,000 (13,287)1,286,713 
41/2% Senior Notes due 2031 (the “41/2 Notes”)(1)
1,100,000 (11,715)1,088,285 
55/8% Senior Notes due 2032 (the “55/8% Notes”)(1)
600,000 (6,292)593,708 
Real Estate Mortgages, Financing Lease Liabilities and Other483,934 (905)483,029 
Accounts Receivable Securitization Program266,400 (449)265,951 
Total Long-term Debt9,216,038 (82,621)9,133,417 
Less Current Portion(319,025)881 (318,144)
Long-term Debt, Net of Current Portion$8,897,013 $(81,740)$8,815,273 
 JUNE 30, 2022
 DEBT (INCLUSIVE OF DISCOUNT)UNAMORTIZED DEFERRED FINANCING COSTSCARRYING AMOUNT
Revolving Credit Facility$578,000 $(9,006)$568,994 
Term Loan A246,875 — 246,875 
Term Loan B669,460 (4,371)665,089 
Australian Dollar Term Loan (the "AUD Term Loan")207,221 (519)206,702 
UK Bilateral Revolving Credit Facility (the "UK Bilateral Facility")170,057 (334)169,723 
37/8% GBP Senior Notes due 2025 (the "GBP Notes")
485,875 (3,058)482,817 
47/8% Senior Notes due 2027 (the "47/8% Notes due 2027")(1)
1,000,000 (7,465)992,535 
51/4% Senior Notes due 2028 (the "51/4% Notes due 2028")(1)
825,000 (6,790)818,210 
5% Senior Notes due 2028 (the "5% Notes due 2028")(1)
500,000 (4,401)495,599 
47/8% Senior Notes due 2029 (the "47/8% Notes due 2029")(1)
1,000,000 (10,488)989,512 
51/4% Senior Notes due 2030 (the "51/4% Notes due 2030")(1)
1,300,000 (12,159)1,287,841 
41/2% Senior Notes due 2031 (the "41/2% Notes")(1)
1,100,000 (10,782)1,089,218 
5% Senior Notes due 2032 (the "5% Notes due 2032")750,000 (13,164)736,836 
55/8% Senior Notes due 2032 (the "55/8% Notes")(1)
600,000 (5,856)594,144 
Real Estate Mortgages, Financing Lease Liabilities and Other423,934 (706)423,228 
Accounts Receivable Securitization Program313,200 (607)312,593 
Total Long-term Debt10,169,622 (89,706)10,079,916 
Less Current Portion(86,790)— (86,790)
Long-term Debt, Net of Current Portion$10,082,832 $(89,706)$9,993,126 
(1)Collectively, the “Parent"Parent Notes".
See Note 67 to Notes to Consolidated Financial Statements included in our Annual Report and Note 6 to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report for additional information regarding our long-term debt.
UK BILATERAL REVOLVING CREDIT FACILITYAGREEMENT
Our credit agreement (the "Credit Agreement") consists of a revolving credit facility (the "Revolving Credit Facility"), a term loan A (the "Term Loan A") and a term loan B (the "Term Loan B"). On May 25, 2021, Iron Mountain (UK) PLC and Iron Mountain (UK) Data Centre Limited (collectively, the "UK Borrowers") entered into an amendment to the UK Bilateral Facility with Barclays Bank PLC to (i) modify the interest rate from LIBOR plus 2.25% to LIBOR plus 2.0% (with flexibility built in for the expected transition away from LIBOR) and (ii) add an additional option to extend the maturity date by one year. After this amendment, the UK Bilateral Facility contains two one-year options that allow us to extend the maturity date beyond the September 23,March 18, 2022, expiration date, subject to certain conditions specified in the UK Bilateral Facility, including the lender's consent. On September 23, 2021, the UK Borrowers executed the one-year option to extend the maturity date to September 24, 2023. There were no other changes to the terms of the UK Bilateral Revolving Credit Facility described in Note 6 to Notes to Consolidated Financial Statements included in our Annual Report.
ACCOUNTS RECEIVABLE SECURITIZATION PROGRAM
On June 28, 2021, we entered into an amendment to the Accounts Receivable Securitization Program to extendCredit Agreement which included the following changes:
(i) extended the maturity date of the Revolving Credit Facility and Term Loan A from July 30, 2021June 3, 2023 to July 1, 2023, at which point all obligations become due. The interest rateMarch 18, 2027;
(ii) refinanced and increased the borrowing capacity that IMI and certain of its United States and foreign subsidiaries are able to borrow under the amended Accounts Receivable Securitization Program is LIBOR plus 1.0%. TheRevolving Credit Facility from $1,750.0 million to $2,250.0 million;
(iii) refinanced the existing Term Loan A with a new $250.0 million Term Loan A; and
(iv) increased the net total lease adjusted leverage ratio maximum allowable from 6.5x to 7.0x and removed the net secured lease adjusted leverage ratio requirement.
On March 18, 2022, we borrowed the full amount of the Term Loan A. As of June 30, 2022, we had $578.0 million, $246.9 million and $670.3 million of outstanding borrowings under the Accounts Receivable Securitization Program is classified within long-term debt, netRevolving Credit Facility, Term Loan A and Term Loan B, respectively. In addition, we also had various outstanding letters of current portion at Septembercredit totaling $3.8 million. The remaining amount available for borrowing under the Revolving Credit Facility as of June 30, 2021 and within current portion2022 was $1,668.2 million (which represents the maximum availability as of long-term debt at December 31, 2020 in our Condensed Consolidated Balance Sheets. There were no other changessuch date). Additionally, the Credit Agreement permits us to incur incremental indebtedness thereunder by adding new term loans or revolving loans or by increasing the termsprincipal amount of the Accounts Receivable Securitization Program described in Note 6any existing loans thereunder, subject to Notes to Consolidated Financial Statements included in our Annual Report.



a cap contained therein.
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Part I. Financial Information
CASH POOLINGAUSTRALIAN DOLLAR TERM LOAN
During the third quarter of 2021, certain of our subsidiaries in the Asia Pacific region began to participate in two cash pooling arrangements with JP Morgan Chase Bank, N.A. (“JPM”On March 18, 2022, Iron Mountain Australia Group Pty, Ltd. ("IM Australia"), onea wholly owned subsidiary of which we utilizeIMI, amended its AUD Term Loan to manage global liquidity requirements for our QRSs(i) extend the maturity date from September 22, 2022 to September 30, 2026 and (ii) decrease the interest rate from BBSY (an Australian benchmark variable interest rate) plus 3.875% to BBSY plus 3.625%. All other terms of the AUD Term Loan remain consistent with what was disclosed in the Asia Pacific region (the “JPM QRS Cash Pool") and the other for our TRSs in the Asia Pacific region (the "JPM TRS Cash Pool") (collectively, the “JPM Cash Pools”). Under the JPM Cash Pools, cash deposited by participating subsidiaries with JPM is pledged as security against the debit balances of other participating subsidiaries, and legal rights of offset are provided and, therefore, amounts are presentedNote 7 to Notes to Consolidated Financial Statements included in our Condensed Consolidated Balance Sheets onAnnual Report.
ACCOUNTS RECEIVABLE SECURITIZATION PROGRAM
On June 29, 2022, we amended the Accounts Receivable Securitization Program to (i) increase the maximum borrowing capacity from $300.0 million to $325.0 million, with an option to increase the borrowing capacity to $400.0 million, (ii) change the interest rate under Accounts Receivable Securitization Program from LIBOR plus 1.0% to SOFR plus 0.95%, with a net basis. Each subsidiary receives interest oncredit spread adjustment of 0.10% and (iii) extend the cash balances held on deposit or pays interest on its debit balances based on an applicable rate as defined inmaturity date from July 1, 2023 to July 1, 2025, at which point all obligations become due. All other material terms of the JPM Cash Pools. We have executed overdraft facility agreements for the JPM QRS Cash Pool and the JPM TRS Cash Pool in amounts not to exceed $12.0 million and $10.0 million, respectively. Each overdraft facility permits us to cover a temporary net debit position in the applicable pool.
In addition to the JPM Cash Pools, we also utilize two separate cash pooling arrangementsAccounts Receivable Securitization Program remain consistent with Bank Mendes Gans ("BMG"), one of which we utilize to manage global liquidity requirements for our QRSs (the “BMG QRS Cash Pool”) and the other for our TRSs (the “BMG TRS Cash Pool”), each as described in more detailwhat was disclosed in Note 67 to Notes to Consolidated Financial Statements included in our Annual Report.
LETTERS OF CREDIT
As of SeptemberJune 30, 2021,2022, we had outstanding letters of credit totaling $36.5$37.3 million, of which $3.1$3.8 million reduce our borrowing capacity under the Revolving Credit Facility. The letters of credit expire at various dates between October 2021September 2022 and March 2025.January 2033.
DEBT COVENANTS
The Credit Agreement, (as defined in Note 6 to Notes of Condensed Consolidated Financial Statements included in this Quarterly Report), our bond indentures and other agreements governing our indebtedness contain certain restrictive financial and operating covenants, including covenants that restrict our ability to complete acquisitions, pay cash dividends, incur indebtedness, make investments, sell assets and take other specified corporate actions. The covenants do not contain a rating trigger. Therefore, a change in our debt rating would not trigger a default under the Credit Agreement, our bond indentures or other agreements governing our indebtedness. The Credit Agreement requires that we satisfy a fixed charge coverage ratio a net total lease adjusted leverage ratio and a net secured debttotal lease adjusted leverage ratio on a quarterly basis and our bond indentures require that, among other things, we satisfy a leverage ratio (not lease adjusted) or a fixed charge coverage ratio (not lease adjusted), as a condition to taking actions such as paying dividends and incurring indebtedness.
The Credit Agreement uses EBITDAR-basedearnings before interest, taxes, depreciation and amortization and rent expense ("EBITDAR") based calculations and the bond indentures use EBITDA-basedearnings before interest, taxes, depreciation and amortization ("EBITDA") based calculations as the primary measures of financial performance for purposes of calculating leverage and fixed charge coverage ratios. The EBITDAR- and EBITDA-based leverage calculations include our consolidated subsidiaries, other than those we have designated as “Unrestricted Subsidiaries”"Unrestricted Subsidiaries" as defined in the Credit Agreement and bond indentures. Generally, the Credit Agreement and the bond indentures use a trailing four fiscal quarter basis for purposes of the relevant calculations and require certain adjustments and exclusions for purposes of those calculations, which make the calculation of financial performance for purposes of those calculations under the Credit Agreement and bond indentures not directly comparable to Adjusted EBITDA as presented herein. These adjustments can be significant. For example, the calculation of financial performance under the Credit Agreement and certain of our bond indentures includes (subject to specified exceptions and caps) adjustments for non-cash charges and for expected benefits associated with (i) completed acquisitions, (ii) certain executed lease agreements associated with our data center business that have yet to commence, and (iii) restructuring and other strategic initiatives, such as Project Summit. The calculation of financial performance under our other bond indentures includes, for example, adjustments (i) for non-cash charges and for expected benefits associated with (i) completed acquisitions, and (ii) to exclude the effects of events that are extraordinary, unusual or non-recurring, such as the COVID-19 pandemic.non-recurring.
Our leverage and fixed charge coverage ratios under the Credit Agreement and our indentures as of SeptemberJune 30, 20212022 are as follows:
 SEPTEMBERJUNE 30, 20212022MAXIMUM/MINIMUM ALLOWABLE
Net total lease adjusted leverage ratio5.45.3 Maximum allowable of 6.5
Net secured debt lease adjusted leverage ratio2.1 Maximum allowable of 4.07.0
Fixed charge coverage ratio2.32.5 Minimum allowable of 1.5
Bond leverage ratio (not lease adjusted)5.8 
Maximum allowable of 7.0(1)
Bond fixed charge coverage ratio (not lease adjusted)3.3 
Minimum allowable of 2.0(1)
(1)The indentures for the GBP Notes, the 47/8% Notes due 2027, the 51/4% Notes due 2028 and the 47/8% Notes due 2029 include a maximum leverage ratio covenant. The indentures for the 5% Notes, the 51/4% Notes due 2030, the 41/2% Notes and the 55/8% Notes do not include a maximum leverage ratio covenant; the indentures for these notes instead require us to maintain a minimum fixed charge coverage ratio. In certain instances as provided in our indentures, we have the ability to incur additional indebtedness that would result in our bond leverage ratio or bond fixed charge coverage ratio exceeding or falling below the maximum or minimum permitted ratio under our indentures and still remain in compliance with the applicable covenant.
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Part I. Financial Information
We are in compliance with our leverage and fixed charge coverage ratios under the Credit Agreement, our bond indentures and other agreements governing our indebtedness as of June 30, 2022. Noncompliance with these leverage and fixed charge coverage ratios would have a material adverse effect on our financial condition and liquidity.
Our ability to pay interest on or to refinance our indebtedness depends on our future performance, working capital levels and capital structure, which are subject to general economic, financial, competitive, legislative, regulatory and other factors which may be beyond our control. There can be no assurance that we will generate sufficient cash flow from our operations or that future financings will be available on acceptable terms or in amounts sufficient to enable us to service or refinance our indebtedness or to make necessary capital expenditures.
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Part I. Financial Information
DERIVATIVE INSTRUMENTS
A. INTEREST RATE SWAP AGREEMENTS
In March 2018, we entered into interest rate swap agreements to limit our exposure to changes in interest rates on a portion of our floating rate indebtedness. These swap agreements expired in March 2022. In July 2019, we entered into forward-starting interest rate swap agreements to limit our exposure to changes in interest rates on a portion of our floating rate indebtedness. As of SeptemberJune 30, 2021,2022, we had $350.0 million in notional value of interest rate swap agreements outstanding, which expire in March 2022.2024. Under the interest rate swap agreements, we receive variable rate interest payments associated with the notional amount of each interest rate swap, based upon one-month LIBOR, in exchange for the payment of fixed interest rates as specified in the interest rate swap agreements.
In July 2019, we entered into forward-starting interest rate swap agreements to limit our exposure to changes in interest rates on a portion of our floating rate indebtedness once our current interest rate swap agreements expire in March 2022. The forward-starting interest rate swap agreements have $350.0 million in notional value, commence in March 2022 and expire in March 2024. Under the forward-starting interest rate swap agreements, we will receive variable rate interest payments based upon one-month LIBOR, in exchange for the payment of fixed interest rates as specified in the interest rate swap agreements.
We have designated these interest rate swap agreements, including the forward-starting interest rate swap agreements as cash flow hedges.
B. CROSS-CURRENCY SWAP AGREEMENTS
We enter into cross-currency swap agreements to hedge the variability of exchange rate impacts between the United States dollar and the Euro. The cross-currency swap agreements are designated as a hedge of net investment against certain of our Euro denominated subsidiaries and require an exchange of the notional amounts at maturity.
In August 2019, we entered into cross-currency swap agreements whereby we notionally exchanged approximately $110.0 million at an interest rate of 6.0% for approximately 99.1 million Euros at a weighted average interest rate of approximately 3.65%. These cross-currency swap agreements expire in August 2023.
In September 2020, we entered into cross-currency swap agreements wherebyto hedge the variability of exchange rate impacts between the United States dollar and the Euro. Under the terms of the cross-currency swap agreements, we notionally exchanged approximately $359.2 million at an interest rate of 4.5% for approximately 300.0 million Euros at a weighted average interest rate of approximately 3.4%. These cross-currency swap agreements were set to expire in February 2026. In May 2022, these cross-currency swaps were amended ("February 2026 Cross-Currency Swap Agreements"). Under the terms of the February 2026 Cross-Currency Swap Agreements we notionally exchanged approximately $359.2 million at an interest rate of 4.5% for approximately 340.5 million Euros at a weighted average interest rate of approximately 1.2%. These February 2026 Cross-Currency Swap Agreements are set to expire in February 2026.
See Note 5 to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report for additional information on our derivative instruments.
EQUITY FINANCINGACQUISITIONS
On January 25, 2022, we acquired an approximately 80% interest in ITRenew, at an agreed upon purchase price of $725.0 million, subject to certain working capital adjustments at, and subsequent to, the closing (the "ITRenew Transaction"). At closing, we paid approximately $748.8 million and acquired approximately $30.7 million of cash on hand, for a net purchase price of approximately $718.1 million for the ITRenew Transaction. The acquisition agreement provides us the option to purchase, and provides the shareholders of ITRenew the option to sell, the remaining approximately 20% interest in ITRenew as follows: (i) approximately 16% on or after the second anniversary of the ITRenew Transaction and (ii) approximately 4% on or after the third anniversary of the ITRenew Transaction (collectively, the "Remaining Interests"). The total payments for the Remaining Interests, based on the achievement of certain targeted performance metrics, will be no less than $200.0 million and no more than $531.0 million (the "Deferred Purchase Obligation"). The maximum amount of the Deferred Purchase Obligation would require achievement of the targeted performance metrics at approximately two times the level that is assumed in our current fair value estimate of the Deferred Purchase Obligation of $275.1 million. From January 25, 2022, we consolidate 100% of the revenues and expenses associated with this business. The Deferred Purchase Obligation is reflected as a long-term liability in our Condensed Consolidated Balance Sheet at June 30, 2022, and, accordingly, we have not reflected any non-controlling interests associated with the ITRenew Transaction as the Remaining Interests have non-substantive equity interest rights. Subsequent increases or decreases in the fair value estimate of the Deferred Purchase Obligation will be included as a component of Other expense (income), net in our Consolidated Statements of Operations until the Deferred Purchase Obligation is settled or paid.
INVESTMENTS
In 2017, weFebruary 2022, the joint venture formed by MakeSpace Labs, Inc. and us (the "MakeSpace JV") entered into a distributionan agreement with Clutter, Inc. ("Clutter") pursuant to which we may sell, from time to time, up to an aggregate sales pricethe equityholders of $500.0 million of our common stock through the agents under the agreement (the “At The Market (ATM) Equity Program”). During the nine months ended September 30, 2021, there were no shares of common stock sold under the At The Market (ATM) Equity Program. As of September 30, 2021, the remaining aggregate sale price of shares of our common stock available for distribution under the At The Market (ATM) Equity Program was approximately $431.2 million.
ACQUISITIONS
INFOFORT ACQUISITION
On September 15, 2021, in order to further expand our records management operationsMakeSpace JV contributed their ownership interests in the Middle EastMakeSpace JV and North Africa,Clutter’s shareholders contributed their ownership interests in Clutter to create a newly formed venture (the "Clutter JV"). In exchange for our 49.99% interest in the MakeSpace JV, we acquired Information Fort, LLC,received an approximate 27% interest in the Clutter JV (the "Clutter Transaction"). As a records and information management provider, forresult of the Clutter Transaction, we recognized a gain related to our contributed interest in the MakeSpace JV of approximately $90.3 million.
FRANKFURT DATA CENTER ACQUISITION
On September 23, 2021, in order$35.8 million, which was recorded to further enhance our data center operations in Germany, we acquiredOther, net, a Frankfurt data center for approximately 77.9 million Euros (or approximately $91.3 million, based uponcomponent of Other expense (income), net during the exchange rate between the Euro and the United States dollar on the closing datefirst quarter of this acquisition).2022.
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OTHER 2021 ACQUISITIONS
In addition to the transactions noted above, during the nine months ended September 30,2021, in order to enhance our existing operations in the United Kingdom and Indonesia and to expand our operations into Morocco, we completed the acquisition of two records management companies and one art storage company for total cash consideration of approximately $45.1 million.
INVESTMENTS
2021 NEWLY FORMED JOINT VENTURE
In April 2021, we closed on an agreement to form a joint venture (the "Web Werks JV") with the shareholders of Web Werks India Private Limited ("Web Werks"), a colocation data center provider in India. In connection with the formation of the Web Werks JV, we made an initial investment of approximately 3,750.0 million Indian rupees (or approximately $50.1 million, based upon the exchange rate between the United States dollar and Indian rupee as of the closing date of the initial investment) in exchange for a noncontrolling interest in the form of convertible preference shares in the Web Werks JV (the “Initial Web Werks JV Investment”). These shares are convertible into a to-be-determined amount of common shares based upon the achievement of EBITDA targets for the Web Werks JV's fiscal year ending March 31, 2022.
Under the terms of the Web Werks JV shareholder agreement, we are required to make additional investments over a period ending May 2023 totaling approximately 7,500.0 million Indian rupees (or approximately $100.0 million, based upon the current exchange rate between the United States dollar and Indian rupee), and, over time, we expect to acquire a majority interest in the Web Werks JV.
JOINT VENTURE SUMMARY
The following joint ventures are accounted for as equity method investments and are presented as a component of Other within Other assets, net in our Condensed Consolidated Balance Sheets. The carrying values and equity interests in our joint ventures at SeptemberJune 30, 20212022 and December 31, 20202021 are as follows (in thousands):
SEPTEMBER 30, 2021DECEMBER 31, 2020
CARRYING VALUEEQUITY INTERESTCARRYING VALUEEQUITY INTEREST
Web Werks JV$51,257 38 %$— — %
Joint venture with AGC Equity Partners26,272 20 %26,500 20 %
Joint venture with MakeSpace Labs, Inc.(1)
27,419 48 %16,924 39 %
JUNE 30, 2022DECEMBER 31, 2021
CARRYING VALUEEQUITY INTERESTCARRYING VALUEEQUITY INTEREST
Joint venture with Web Werks India Private Limited$51,427 38.50 %$51,140 38.50 %
Joint venture with AGC Equity Partners26,798 20.00 %26,167 20.00 %
MakeSpace JV— — %30,154 49.99 %
Clutter JV60,984 26.73 %— — %
(1)    During the first, second and third quarters of 2021, we made capital contributions of $6.5 million to this joint venture.
See Note 2.e. to Notes to Condensed Consolidated Financial Statements included in this Quarterly Report for information regarding our 2021 joint ventures.
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ITEM 4. CONTROLS AND PROCEDURES
DISCLOSURE CONTROLS AND PROCEDURES
The term "disclosure controls and procedures" is defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the "Exchange Act”Act"). These rules refer to the controls and other procedures of a company that are designed to ensure that information is recorded, processed, accumulated, summarized, communicated and reported to management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding what is required to be disclosed by a company in the reports that it files under the Exchange Act. As of SeptemberJune 30, 20212022 (the "Evaluation Date”Date"), we carried out an evaluation, under the supervision and with the participation of our management, including our chief executive officer and chief financial officer, of the effectiveness of our disclosure controls and procedures. Based upon that evaluation, our chief executive officer and chief financial officer concluded that, as of the Evaluation Date, our disclosure controls and procedures are effective.
CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING
Our management, with the participation of our principal executive officer and principal financial officer, is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rules 13a-15(f) and 15d-15(f) of the Exchange Act. Our internal control system is designed to provide reasonable assurance to our management and board of directors regarding the preparation and fair presentation of published financial statements. 
There were no changes in our internal control over financial reporting that occurred during the quarter ended SeptemberJune 30, 2021,2022, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
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Part II. Other Information
PART II. OTHER INFORMATION
ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
We did not sell any unregistered equity securities during the three months ended SeptemberJune 30, 2021,2022, nor did we repurchase any shares of our common stock during the three months ended SeptemberJune 30, 2021.2022.
ITEM 6. EXHIBITS
(A) EXHIBITS
Certain exhibits indicated below are incorporated by reference to documents we have filed with the SEC.
EXHIBIT NO.DESCRIPTION
10.1
31.1
31.2
32.1
32.2
101.INSXBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
101.SCHInline XBRL Taxonomy Extension Schema Document.
101.CALInline XBRL Taxonomy Extension Calculation Linkbase Document.
101.DEFInline XBRL Taxonomy Extension Definition Linkbase Document.
101.LABInline XBRL Taxonomy Label Linkbase Document.
101.PREInline XBRL Taxonomy Extension Presentation Linkbase Document.

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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
IRON MOUNTAIN INCORPORATED
By:/s/ DANIEL BORGES
Daniel Borges
 Senior Vice President, Chief Accounting Officer
Dated: NovemberAugust 4, 20212022
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