6 unchanged sentences
We may enter into derivative interest rate contracts to maintain a reasonable balance between fixed- and floating-rate debt.
−Removed: ATI has a $50 million floating-for-fixed interest rate swap which, as amended and extended to June 2024, converts a portion of the Term Loan to a 4.21% fixed rate.
−Removed: We designated the interest rate swap as a cash flow hedge of our exposure to the variability of the payment of interest on a portion of its Term Loan borrowings.
−Removed: The ineffective portion at hedge inception, determined from the fair value of the swap immediately prior to amendment in July 2019, was amortized to interest expense over the initial Term Loan swap maturity date of January 12, 2021.
+Added: ATI has a $50 million floating-for-fixed interest rate swap which converts a portion of the ABL Term Loan to a 4.21% fixed rate.
+Added: The swap matures in June 2024.
+Added: We designated the interest rate swap as a cash flow hedge of our exposure to the variability of the payment of interest on a portion of its ABL Term Loan borrowings.
+Added: The ineffective portion at hedge inception, determined from the fair value of the swap immediately prior to amendment in July 2019, was amortized to interest expense over the initial ABL Term Loan swap maturity date of January 12, 2021.
Any gain or loss associated with this hedging arrangement is included in interest expense.
−Removed: At December 31, 2021, the net mark-to-market valuation of the outstanding interest rate swap was an unrealized pre-tax loss of $1.6 million, comprised of $0.9 million in other current liabilities and $0.7 million in other long-term liabilities on the balance sheet.
+Added: At December 31, 2022, the net mark-to-market valuation of the outstanding interest rate swap was an unrealized pre-tax gain of $1.9 million, comprised of $1.4 million in prepaid expenses and other current assets and $0.5 million in other assets on the balance sheet.
Volatility of Energy Prices.
8 unchanged sentences
We use several approaches to minimize any material adverse effect on our financial condition or results of operations from volatile energy prices.
−Removed: These approaches include incorporating an energy surcharge on many of our products and using financial derivatives to reduce exposure to energy price volatility.
+Added: These approaches include incorporating an energy surcharge on many of our products and using financial derivatives or physical hedges to reduce exposure to energy price volatility.
At December 31, 2022, the outstanding financial derivatives used to hedge our exposure to energy cost volatility included natural gas hedges.
−Removed: At December 31, 2021, we hedged approximately 70% of our annual forecasted domestic requirements for natural gas for 2022, approximately 35% for 2023 and approximately 5% for 2024.
−Removed: At December 31, 2021, the net mark-to-market valuation of the outstanding natural gas hedges was an unrealized pre-tax gain of $1.6 million, comprised of $2.0
−Removed: million in prepaid expenses and other current assets, $0.5 million in other assets, $0.7 million in other current liabilities and $0.2 million in other long-term liabilities on the balance sheet.
+Added: At December 31, 2022, we hedged approximately 70% of our annual forecasted domestic requirements for natural gas for 2023 and approximately 25% for 2024.
+Added: At December 31, 2022, the net mark-to-market valuation of the outstanding natural gas hedges was an unrealized pre-tax gain of $0.6 million, comprised of $2.4 million in prepaid expenses and other current assets, $0.7 million in other assets, $2.0 million in other current liabilities and $0.5 million in other long-term liabilities on the balance sheet.
For the year ended December 31, 2022, the effects of natural gas hedging activity decreased cost of sales by $15.1 million.
9 unchanged sentences
The aggregate notional amount hedged is approximately 8% of a single year’s estimated nickel raw material purchase requirements.
−Removed: Any gain or loss associated with these hedging arrangements is included in cost of sales.
+Added: These derivative instruments are used to hedge the variability of a selling price that is based on the London Metals Exchange (LME) index for nickel, as well as to hedge the variability of the purchase cost of nickel based on this LME index.
+Added: Any gain or loss associated with these hedging arrangements is included in sales or cost of sales, depending on whether the underlying risk being hedged was the variable selling price or the variable raw material cost, respectively.
At December 31, 2022, the net mark-to-market valuation of our outstanding raw material hedges was an unrealized pre-tax gain of $10.9 million, comprised of $12.5 million in prepaid expenses and other current assets, $0.5 million in other assets, and $2.1 million in other current liabilities on the balance sheet.
8 unchanged sentences
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.