10 unchanged sentences
The following is a cautionary discussion of risks, uncertainties and assumptions that we believe are material to our business.
−Removed: In addition to the factors discussed elsewhere in this report, the following are some of the important factors that, individually or in the aggregate, we believe could make our actual results differ materially from those described in any forward-looking statements.
+Added: In addition to the factors discussed elsewhere in this report, the following are some of the important factors that, individually or in the aggregate, we believe could make our actual results differ materially from those described in any forward-looking
It is impossible to predict or identify all such factors and, as a result, you should not consider the following factors to be a complete discussion of risks, uncertainties and assumptions.
13 unchanged sentences
Our products are an integral component of these activities, and as these activities decrease, demand for our products and services may be significantly impacted, which could negatively impact our results.
−Removed: Catastrophic events, including global pandemics, could materially adversely affect our business, results of operations and/or financial condition.
+Added: Catastrophic events could materially adversely affect our business, results of operations and/or financial condition.
The occurrence of a major earthquake, fire, flood, tsunami or other weather event, power loss, telecommunications failure, software or hardware malfunctions, pandemics, cyber-attack, war, terrorist attack or other catastrophic event that our disaster recovery plans do not adequately address, could adversely affect our employees, our systems, our ability to produce and distribute our products, and our reputation.
−Removed: For example, a pandemic had a significant impact around the world, prompting governments and businesses to take unprecedented measures in response.
−Removed: Such measures included travel bans and restrictions, quarantines, shelter in place orders and shutdowns.
−Removed: Those measures impacted or could again impact all or portions of our workforce and operations and the operations of our customers, dealers and suppliers.
−Removed: Current material and component shortages, logistics constraints and labor inefficiencies limited and or could continue to limit our ability to meet customer demand, which could have a material adverse effect on our business, results of operations and/or financial condition.
−Removed: Pandemics can significantly increase economic and customer demand uncertainty, cause inflationary pressure in the U.S.
+Added: Pandemics can have a significant impact around the world, prompting governments and businesses to take unprecedented measures in response.
+Added: Such measures could include travel bans and restrictions, quarantines, shelter in place orders and shutdowns.
+Added: Those measures could impact all or portions of our workforce and operations and the operations of our customers, dealers and suppliers.
+Added: Material and component shortages, logistics constraints and labor inefficiencies could limit our ability to meet customer demand, which could have a material adverse effect on our business, results of operations and/or financial condition.
+Added: These catastrophic events can significantly increase economic and customer demand uncertainty, cause inflationary pressure in the U.S.
and elsewhere and lead to volatility in customer demand for the Company’s products and services and cause supply chain disruptions.
−Removed: Economic uncertainties could continue to affect customer demand for the Company’s products and services, the value of the equipment financed or leased, the demand for financing and the financial condition and credit risk of our dealers and customers.
+Added: Economic uncertainties could affect customer demand for the Company’s products and services, the value of the equipment financed or leased, the demand for financing and the financial condition and credit risk of our dealers and customers.
A catastrophic event resulting in the destruction or disruption of our workforce, our systems, our ability to produce and distribute our products, any of our data centers or our critical business or information technology systems could adversely affect our ability to conduct normal business operations and our operating results or cash flows.
2 unchanged sentences
We are a significant user of steel and many other commodities required for the manufacture of our products.
−Removed: Increases in the prices of such commodities would increase our costs, negatively impacting our business, results of operations and financial condition if we are unable to fully offset the effect of these increased costs through price increases, productivity improvements, cost reduction programs or hedging programs.
+Added: Increases in the prices of such commodities would increase our costs, negatively impacting our business, results of operations and financial
+Added: condition if we are unable to fully offset the effect of these increased costs through price increases, productivity improvements, cost reduction programs or hedging programs.
We rely on suppliers to produce or secure material required for the manufacture of our products.
49 unchanged sentences
Additionally, we collect and store sensitive information relating to our business, customers, dealers, suppliers and employees.
−Removed: Operating these information technology systems and networks and processing and maintaining this data in a secure manner, is critical to our business operations and strategy.
+Added: Operating these information technology systems and networks and processing and maintaining this data in a secure manner are critical to our business operations and strategy.
Information technology security threats -- from user error to cybersecurity attacks designed to gain unauthorized access to our systems, networks and data -- are increasing in frequency and sophistication.
66 unchanged sentences
An inability to access capital and credit markets may have an adverse effect on our business, results of operations, financial condition and competitive position.
−Removed: Furthermore, changes in global economic conditions, including material cost increases and decreases in economic activity in key markets we serve, and the success of plans to manage cost increases, inventory and other important elements of our business may significantly impact our ability to generate funds from operations.
+Added: Furthermore, changes in global economic conditions, including material cost increases and decreases in key markets we serve, and the success of plans to manage cost increases, inventory and other important elements of our business may significantly impact our ability to generate funds from operations.
In addition, demand for our products generally depends on customers’ ability to pay for our products, which, in turn, depends on their access to funds.
29 unchanged sentences
Because a significant number of the loans made by Cat Financial are made utilizing fixed interest rates, its business results are subject to fluctuations in interest rates.
−Removed: Certain loans made by Cat Financial and various financing extended to Cat Financial are made at variable rates that use floating reference rates or indices, including the Secured Overnight Financing Rate, or SOFR, an index calculated by short-term repurchase agreements, backed by Treasury securities,as a benchmark for establishing the interest rate.
−Removed: Together with Cat Financial we created a cross-functional team that assesses risk across multiple categories as it relates to the use of floating reference rates or indices, such as SOFR, in securities, loans, derivatives, and other financial obligations or extensions of credit held by or due to us.
+Added: Certain loans made by Cat Financial and various financing extended to Cat Financial are made at variable rates that use floating reference rates or indices, including the Secured Overnight Financing Rate (SOFR) as a benchmark for establishing the interest rate.
Cat Financial manages interest rate and market liquidity risks through a variety of techniques that include a match funding strategy, the selective use of derivatives and a broadly diversified funding program.
23 unchanged sentences
The agreements relating to a number of the facilities and the debt securities contain certain restrictive covenants applicable to us and certain subsidiaries, including Cat Financial.
−Removed: These covenants include maintaining a minimum consolidated net worth (defined as the consolidated shareholder’s equity including
−Removed: preferred stock but excluding the pension and other post-retirement benefits balance within accumulated other comprehensive income (loss)), limitations on the incurrence of liens and certain restrictions on consolidation and merger.
−Removed: Cat Financial has also agreed under certain of these agreements not to exceed a certain leverage ratio (consolidated debt to consolidated net worth, calculated (1) on a monthly basis as the average of the leverage ratios determined on the last day of each of the six preceding calendar months and (2) at each December 31), to maintain a minimum interest coverage ratio (calculated as (1) profit excluding income taxes, interest expense and net gain (loss) from interest rate derivatives to (2) interest expense calculated at the end of each fiscal quarter for the prior four consecutive fiscal quarter period and not to terminate, amend or modify its support agreement with us.
+Added: These covenants include maintaining a minimum consolidated net worth (defined as the consolidated shareholder’s equity including preferred stock but excluding the pension and other post-retirement benefits balance within accumulated other comprehensive income (loss)), limitations on the incurrence of liens and sales and leaseback transactions, restrictions on the transfer of certain property and certain restrictions on consolidation and merger.
+Added: Cat Financial has also agreed under certain of these agreements
+Added: not to exceed a certain leverage ratio (consolidated debt to consolidated net worth, calculated (1) on a monthly basis as the average of the leverage ratios determined on the last day of each of the six preceding calendar months and (2) at each December 31), to maintain a minimum interest coverage ratio (calculated as (1) profit excluding income taxes, interest expense and net gain (loss) from interest rate derivatives to (2) interest expense calculated at the end of each fiscal quarter for the prior four consecutive fiscal quarter period) and not to terminate, amend or modify its support agreement with us.
A breach of one or more of the covenants could result in adverse consequences that could negatively impact our business, results of operations and financial condition.
3 unchanged sentences
We use many assumptions in determining our future payment obligations under the plans.
+Added: We employ a liability-driven investment strategy, where the interest rate sensitivity of the pension investments and pension obligations are aligned to reduce funded status volatility.
Significant adverse changes in credit or capital markets could result in actual rates of return on pension investments being materially lower than projected and result in increased contribution requirements.
65 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.