1 unchanged sentence
Foreign Currency Exchange Rate Risk
−Removed: We are exposed to market risk from changes in currency exchange rates, as well as interest rate fluctuations on our Credit Agreement and investments that could impact our results of operations and financial position.
+Added: We are exposed to market risk from changes in currency exchange rates and investments that could impact our results of operations and financial position.
We transact sales in currencies other than the U.S.
Dollar, particularly the Euro, British Pound and Canadian Dollar.
−Removed: For the nine months ended February 28, 2023, approximately 5% of our sales were denominated in foreign currencies.
+Added: For the three months ended August 31, 2023, approximately 3.75% of our sales were denominated in foreign currencies.
We do not have expenses denominated in foreign currencies at the level of our sales and as a result, our profitability is exposed to currency fluctuations.
3 unchanged sentences
Significant non-functional balances include accounts receivable due from a sub-section of our international customers.
−Removed: Interest Rate Risk
−Removed: The Credit Agreement provides for a $75.0 million Revolving Facility and a $30.0 million Delayed Draw Term Loan.
−Removed: Interest on the Revolving Facility and Delayed Draw Term Loan will be based, at the Company's option, on a rate equal to (i) the SOFR plus 0.10% (subject to a floor of 0%), or (ii) if the Company elects to treat a borrowing as an ABR Borrowing, an alternate base rate based on SOFR, plus, in each case an applicable margin of 1.25%, 1.50% or 1.75%, depending on the leverage ratio.
−Removed: If any amount is not paid when due, the interest rate may be increased by 2.0%.
−Removed: As of February 28, 2023, there was $25.0 million outstanding on the Delayed Draw Term Loan and $25.0 million outstanding on the Revolving Facility and the interest rate at February 28, 2023 was 6.15%.
Concentration of Credit Risk
−Removed: Financial instruments, which potentially subject the Company to significant concentrations of credit risk, consist primarily of cash and cash equivalents, our Credit Facility and trade accounts receivable.
+Added: Financial instruments, which potentially subject the Company to significant concentrations of credit risk, consist primarily of cash and cash equivalents and trade accounts receivable.
The Company maintains cash and cash equivalents at various institutions and performs periodic evaluations of the relative credit standings of these financial institutions to ensure their credit worthiness.
−Removed: In addition, the Credit Agreement is structured across three above investment grade banks.
−Removed: The Company has the ability to draw amongst the three banks which limits the concentration of credit risk of one institution.
Concentration of credit risk with respect to trade accounts receivable is limited due to the large number of customers that purchase products from the Company.
3 unchanged sentences
Although the Company does not currently foresee a significant credit risk associated with the outstanding accounts receivable, repayment is dependent upon the financial stability of our customers.
+Added: Table of Content
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.