QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
−Removed: We are exposed to ongoing market risk related to changes in interest rates and foreign currency exchange rates.
+Added: We are exposed to ongoing market risk related to changes in interest rates, foreign currency exchange rates and raw material pricing.
+Added: Interest Rate Risk
A rise in interest rates could negatively affect the fair value of our fixed income investments, while serving to provide greater long-term return potential on these investments.
8 unchanged sentences
Increases in interest rates could adversely impact activity in the commercial construction industry and our operating results.
+Added: Foreign Currency Exchange Rate Risk
We are subject to market risk due to changes in the value of foreign currencies in relation to our reporting currency, the U.S.
7 unchanged sentences
Sales from our domestic operations are generally denominated in U.S.
+Added: Raw Material Pricing Risk
+Added: We are subject to market risk exposure related to volatility in the prices of aluminum and lumber, among other raw materials and supplies used in our end products.
+Added: A significant amount of our cost of sales relates to materials costs.
+Added: The commodities markets, which include the aluminum industry, are highly cyclical in nature.
+Added: As a result, commodity costs can be volatile, as we have experienced from time to time during recent fiscal quarters, and may become more volatile in the future.
+Added: Commodity costs are influenced by numerous factors beyond our control, including general economic conditions, the availability of raw materials, competition, labor costs, freight and transportation costs, production costs, import duties and other trade restrictions.
+Added: We principally manage our exposures to the market fluctuations in the aluminum industry through fixed/floating rate swaps and forward purchase agreements.
+Added: Although we have the ability to purchase aluminum from a number of suppliers, a production cutback by one or more of our current suppliers could create challenges in meeting delivery schedules to our customers.
+Added: The prices we offer to our customers are also impacted by changes in commodity costs.
+Added: We manage the alignment of the cost of our raw materials and the prices offered to customers, and attempt to pass changes to raw material costs through to our customers.
+Added: To improve our management of commodity costs, we attempt to maintain inventory levels not in excess of our production requirements.
+Added: We cannot accurately calculate the pre-tax impact a one percent change in the commodity costs of aluminum and/or lumber would have on our fiscal 2023 operating results, as the change in commodity costs would both impact the cost to purchase materials and the selling prices we offer our customers.
+Added: The impact to our operating results would significantly depend on the competitive environment and the costs of other alternative products, which could impact our ability to pass commodities costs to our customers.
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.