QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
−Removed: We are subject to market risk from exposure to changes in interest rates based on our financing, investing and cash management activities.
−Removed: We do not, however, hold or issue financial instruments or derivatives for trading or speculative purposes.
−Removed: At June 30, 2024, the following components of our Senior Secured Credit Facilities bore interest at variable rates at specified margins above either the agent bank’s alternate base rate or Term SOFR:
−Removed: (i) a $900.0 million, seven-year term loan;
+Added: We are subject to market risk from exposure to changes in interest rates based on our financing, investing and cash
+Added: management activities.
+Added: We do not, however, hold or issue financial instruments or derivatives for trading or speculative
+Added: At September 30, 2024 , the following components of our Senior Secured Credit Facilities bore interest at variable
+Added: rates at specified margins above either the agent bank’s alternate base rate or Term SOFR:
+Added: (i) a $900.0 million, seven-year
and (ii) a $325.0 million, five-year asset-based revolving credit facility.
−Removed: As of June 30, 2024, we had outstanding variable rate debt of $772.6 million.
−Removed: At June 30, 2024, we had interest rate swap agreements with notional amounts totaling $522.7 million, expiring June 30, 2026.
−Removed: Under these swap agreements, we are required to make monthly fixed rate payments at annual rates ranging from 1.47% to 1.48% and the counterparties are obligated to make monthly floating rate payments to us based on one-month Term SOFR, each subject to a floor of 0.39%.
−Removed: Although changes in the alternate base rate or Term SOFR would affect the cost of funds borrowed in the future, we believe the effect, if any, of reasonably possible near-term changes in interest rates on our variable rate debt or our consolidated financial position, results of operations or cash flows would not be material.
−Removed: At June 30, 2024, we had outstanding variable rate debt of $772.6 million and interest rate swaps with notional amounts totaling $522.7 million.
−Removed: Based on the outstanding borrowings and impact of the interest rate swaps in place at June 30, 2024, a one percent change in the interest rate would result in a $2.5 million increase or decrease in our annual interest expense.
−Removed: We currently believe we have adequate liquidity to fund operations during the near term through the generation of operating cash flows, cash on hand and access to our Senior Secured Credit Facilities.
−Removed: Our ability to borrow funds under our ABL Facilities is subject to, among other things, the financial viability of the participating financial institutions.
−Removed: While we do not anticipate any of our current lenders defaulting on their obligations, we are unable to provide assurance that any particular lender will not default at a future date.
+Added: As of September 30, 2024 , we had
+Added: outstanding variable rate debt of $774.0 million .
+Added: At September 30, 2024 , we had interest rate swap agreements with notional amounts totaling $521.1 million , expiring June
+Added: Under these swap agreements, we are required to make monthly fixed rate payments at annual rates ranging from
+Added: 1.47% to 1.48% and the counterparties are obligated to make monthly floating rate payments to us based on one-month Term
+Added: SOFR, each subject to a floor of 0.39%.
+Added: Although changes in the alternate base rate or Term SOFR would affect the cost of funds borrowed in the future, we believe
+Added: the effect, if any, of reasonably possible near-term changes in interest rates on our variable rate debt on our consolidated
+Added: financial position, results of operations or cash flows would not be material.
+Added: Based on the outstanding borrowings and impact
+Added: of the interest rate swaps in place at September 30, 2024 , a one percent change in the interest rate would result in a $2.5
+Added: million increase or decrease in our annual interest expense.
+Added: We currently believe we have adequate liquidity to fund operations during the near term through the generation of operating
+Added: cash flows, cash on hand and access to our Senior Secured Credit Facilities.
+Added: Our ability to borrow funds under our ABL
+Added: Facilities is subject to, among other things, the financial viability of the participating financial institutions.
+Added: While we do not
+Added: anticipate any of our current lenders defaulting on their obligations, we are unable to provide assurance that any particular
+Added: lender will not default at a future date.
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.