6 unchanged sentences
We may enter into derivative interest rate contracts to maintain a reasonable balance between fixed- and floating-rate debt.
−Removed: The Company previously maintained a $50 million floating-for-fixed interest rate swap which converted a portion of the Term Loan to a 4.21% fixed rate, that matured during the quarter ended June 30, 2024.
Any gain or loss associated with this hedging arrangement was included in interest expense.
−Removed: There are no outstanding derivative interest rate contracts at September 29, 2024.
+Added: There are no outstanding derivative interest rate contracts at March 30, 2025.
Volatility of Energy Prices.
1 unchanged sentence
The prices for and availability of electricity, natural gas, oil and other energy resources are subject to volatile market conditions.
−Removed: These market conditions often are affected by political and economic factors beyond our
+Added: These market conditions often are affected by political and economic factors beyond our control.
Increases in energy costs, or changes in costs relative to energy costs paid by competitors, have and may continue to adversely affect our profitability.
−Removed: To the extent that these uncertainties cause suppliers and customers to be more cost sensitive, increased energy prices may have an adverse effect on our results of operations and financial condition.
+Added: To the extent that these uncertainties cause suppliers and customers to be more cost sensitive,
+Added: increased energy prices may have an adverse effect on our results of operations and financial condition.
We use approximately 6 to 8 million MMBtu’s of natural gas annually, depending upon business conditions, in the manufacture of our products.
3 unchanged sentences
These approaches include incorporating an energy surcharge on many of our products and using financial derivatives to reduce exposure to energy price volatility.
−Removed: At September 29, 2024, the outstanding financial derivatives used to hedge our exposure to energy cost volatility consisted of natural gas hedges.
−Removed: Approximately 85% of our forecasted domestic requirements for natural gas for the remainder of 2024, approximately 55% for 2025, and approximately 10% for 2026.
−Removed: At September 29, 2024, the net mark-to-market valuation of these outstanding natural gas hedges was an unrealized pre-tax loss of $2.8 million, comprised of $0.1 million in prepaid expenses and other current assets, $0.1 million in other long-term assets, $2.7 million in other current liabilities and $0.3 million in other long-term liabilities on the balance sheet.
−Removed: For the quarter ended September 29, 2024, natural gas hedging activity increased cost of sales by $1.8 million.
+Added: At March 30, 2025, the outstanding financial derivatives used to hedge our exposure to energy cost volatility consisted of natural gas hedges covering approximately 75% of our forecasted domestic requirements for natural gas for the remainder of 2025 and approximately 35% for 2026.
+Added: At March 30, 2025, the net mark-to-market valuation of these outstanding natural gas hedges was an unrealized pre-tax gain of $5.5 million, comprised of $4.6 million in prepaid expenses and other current assets and $0.9 million in other long-term assets on the balance sheet.
+Added: For the quarter ended March 30, 2025, natural gas hedging activity decreased cost of sales by $0.2 million.
Volatility of Raw Material Prices.
6 unchanged sentences
The majority of our products are sold utilizing raw material surcharges and index mechanisms.
−Removed: However, as of September 29, 2024, we had entered into financial hedging arrangements, primarily at the request of our customers related to firm orders, for an aggregate notional amount of approximately 4 million pounds of nickel with hedge dates through 2025.
+Added: However, as of March 30, 2025, we had entered into financial hedging arrangements, primarily at the request of our customers related to firm orders, for an aggregate notional amount of approximately 4 million pounds of nickel with hedge dates through 2027.
The aggregate notional amount hedged is approximately 6% of a single year’s estimated nickel raw material purchase requirements.
1 unchanged sentence
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.
−Removed: At September 29, 2024, the net mark-to-market valuation of our outstanding raw material hedges was an unrealized pre-tax loss of $2.2 million, comprised of $0.6 million in prepaid expenses and other current assets, $0.2 million in other long-term assets, and $3.0 million in other current liabilities on the balance sheet.
+Added: At March 30, 2025, the net mark-to-market valuation of our outstanding raw material hedges was an unrealized pre-tax loss of $2.0 million, comprised of $0.3 million in prepaid expenses and other current assets, $0.1 million in other long-term assets, $2.3 million in other current liabilities and $0.1 million in other long-term liabilities on the balance sheet.
Foreign Currency Risk.
3 unchanged sentences
In addition, we may also hedge forecasted capital expenditures and designate cash balances held in foreign currencies as hedges of forecasted foreign currency transactions.
−Removed: At September 29, 2024, we had no material outstanding foreign currency forward contracts.
+Added: At March 30, 2025, we had no material outstanding foreign currency forward contracts.
We may also use derivative instruments that are not designated as hedges to protect our results from certain fluctuations in foreign exchange rates, as well as to offset a portion of the foreign currency gains and losses generated by the remeasurement of certain assets and liabilities denominated in non-functional currencies.
−Removed: Changes in the fair value of these foreign exchange contract derivatives not designated as hedging instruments are recorded in cost of sales or selling, general and administrative expenses on the consolidated statement of operations, and we recognized $1.0 million and $0.5 million of income, net, for settled foreign currency forward contracts that were not designated as hedges during the third quarter and year-to-date period ended September 29, 2024, respectively, which offset foreign currency gains/losses in the relevant currency.
−Removed: We have no significant outstanding hedges that are not designated as of September 29, 2024.
+Added: Changes in the fair value of these foreign exchange contract derivatives not designated as hedging instruments are recorded in cost of sales or selling, general and administrative expenses on the consolidated statement of operations, and we recognized $1.8 million of income, net, for settled foreign currency forward contracts that were not designated as hedges during the quarter ended March 30, 2025, which offset foreign currency gains/losses in the relevant currency.
+Added: We have no significant outstanding hedges that are not designated as of March 30, 2025.
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.