2 unchanged sentences
We utilize interest rate swaps to manage interest rate risk exposure associated with our floating-rate debt under the credit facility.
−Removed: Under these interest rate swap contracts, we receive cash flows from counterparties at variable rates based on LIBOR and pay the counterparties a fixed rate.
+Added: Under these interest rate swap contracts, we receive cash flows from counterparties at variable rates based on SOFR and pay the counterparties a fixed rate.
To mitigate counterparty credit risk, we only enter into contracts with selected major financial institutions with investment grade ratings and continually assess their creditworthiness.
There are no credit risk-related contingent features in our interest rate swaps nor do the swaps contain provisions under which we would be required to post collateral.
−Removed: The notional value, fixed rate of interest and expiration date of each interest rate swap is (i) $20.0 million – 1.770% - May, 2022, (ii) $15.0 million – 2.640% - June, 2023, (iii) $50.0 million – 0.885% - April, 2025 and (iv) $30.0 million - 1.249% - December, 2026.
+Added: The notional value, fixed rate of interest and expiration date of each interest rate swap is (i) $15.0 million – 2.571% – June, 2023, (ii) $50.0 million – 0.834% – April, 2025, (iii) $30.0 million – 1.186% – December, 2026, and (iv) $20.0 million – 2.450% – August, 2027.
Refer to Note 6, Financial Instruments, to the accompanying consolidated financial statements for further discussion regarding interest rate swaps.
Interest rate risk results when the maturity or repricing intervals of interest-earning assets and interest-bearing liabilities are different.
−Removed: A change in the Federal Funds Rate, or the reference rate set by Bank of America, N.A., would affect the rate at which we could borrow funds under our credit facility.
+Added: A change in the Federal Funds Rate, or the reference rate set by Bank of America, N.A., would affect the rate at which we could borrow funds under the 2022 credit facility.
Our balance outstanding under the 2022 credit facility at December 31, 2022 was $265.7 million, of which $150.7 million is subject to rate risk.
5 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.