2 unchanged sentences
The market risk inherent in our financial instruments and positions represents the potential loss arising from adverse changes in foreign currency exchange rates and interest rates.
−Removed: To address these risks, we enter into various hedging transactions.
+Added: To address these risks, we may enter into various hedging transactions.
All decisions on hedging transactions are authorized and executed pursuant to our policies and procedures, which do not allow the use of financial instruments for trading purposes.
1 unchanged sentence
Counterparties to these agreements, however, are major international financial institutions, and we believe the risk of loss due to nonperformance is minimal.
−Removed: A description of our accounting policies for derivative financial instruments is included in Notes 1 and 14 to the consolidated financial statements.
+Added: A description of our accounting policies for derivative financial instruments is included in Note 1 to the consolidated financial statements.
In addition, we are exposed to translation risk because certain of our international operations use the local currency as their functional currency and those financial results must be translated into United States dollars.
1 unchanged sentence
INTEREST RATES
−Removed: Our financing arrangements include outstanding variable rate debt under the Credit Agreement and $200.0 million in principal value of 2023 Senior Notes, which bear interest at a fixed rate of 6.25%.
−Removed: Changes in interest rates impact fixed
−Removed: and variable rate debt differently.
+Added: Our financing arrangements as of January 29, 2022 include outstanding variable-rate debt under the Credit Agreement.
+Added: Changes in interest rates impact fixed and variable rate debt differently.
For fixed-rate debt, a change in interest rates will only impact the fair value of the debt, whereas a change in the interest rates on variable-rate debt will impact interest expense and cash flows.
−Removed: At January 30, 2021, the fair value of our long-term debt is estimated at approximately $201.0 million based upon the pricing of our 2023 Senior Notes at that time.
−Removed: Market risk is viewed as the potential change in fair value of our debt resulting from a hypothetical 10% adverse change in interest rates and would be $2.8 million for our long-term debt at January 30, 2021.
−Removed: Information appearing under the caption Risk Management and Derivatives in Note 14 and Fair Value Measurements in Note 15 to the consolidated financial statements is incorporated herein by reference.
+Added: Information appearing under the caption Fair Value Measurements in Note 13 to the consolidated financial statements is incorporated herein by reference.
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.