1 unchanged sentence
Investment and Interest Rate Risk.
−Removed: At December 31, 2022, our investment portfolio included short-term, fixed-income investment securities with a fair value of approximately $143.2 million, and we did not hold or issue financial instruments for trading purposes.
+Added: At December 30, 2023, our investment portfolio included short-term, fixed-income investment securities with a fair value of approximately $90.2 million, and we did not hold or issue financial instruments for trading purposes.
These securities are subject to interest rate risk and will likely decline in value if interest rates increase.
3 unchanged sentences
We evaluate our investments periodically for possible other-than-temporary impairment by reviewing factors such as the length of time and extent to which fair value has been below cost basis, the financial condition of the issuer and our ability and intent to hold the investment for a period of time sufficient for anticipated recovery of market value.
−Removed: As of December 31, 2022, the cost and fair value of investments with loss positions were approximately $86.3 million and $85.5 million, respectively.
+Added: As of December 30, 2023, the cost and fair value of investments with loss positions were approximately $38.5 million and $38.4 million, respectively.
We evaluated the nature of these investments, credit worthiness of the issuer and the duration of these impairments and concluded that these losses were temporary and we have the ability and intent to hold these investments to maturity.
1 unchanged sentence
However, the fair value of our debt will generally fluctuate with movements of interest rates, increasing in periods of declining rates of interest and declining in periods of increasing rates of interest.
−Removed: As of December 31, 2022, we have approximately $67.0 million of long-term debt due under a Term Loan Credit Facility that is subject to quarterly interest payments that are based on either a base rate plus a margin of up to 2.0% per annum, or the London Interbank Offered Rate (“LIBOR”) plus a margin of up to 3.0% per annum.
+Added: As of December 30, 2023, we had approximately $29.3 million of long-term debt due under a Term Loan Credit Facility that is subject to quarterly interest payments that are based on either a base rate plus a margin of up to 2.0% per annum, or SOFR plus a margin of up to 3.0% per annum.
+Added: Prior to the discontinuation of LIBOR and the amendment of our Term Loan Credit Facility on June 30, 2023, our quarterly interest payments were based on either a base rate plus a margin of up to 2.0% per annum, or LIBOR plus a margin of up to 3.0% per annum.
The selection of the interest rate formula is at our discretion.
1 unchanged sentence
At December 30, 2023, the interest rate in effect on these borrowings was 8.88%.
−Removed: In July 2017, the UK’s Financial Conduct Authority (“FCA”), which regulates the LIBOR, announced that it intended to phase out LIBOR by the end of 2021.
−Removed: In March 2021, the FCA announced an extension of the phase out in the case of U.S.
−Removed: dollar settings for certain tenors until the end of June 2023.
−Removed: Various central bank committees and working groups continue to discuss replacement of benchmark rates, the process for amending existing LIBOR-based contracts, and the potential economic impacts of different alternatives.
−Removed: It is unclear whether new methods of calculating LIBOR will be established such that it continues to exist after 2023.
−Removed: While the U.S.
−Removed: Federal Reserve, in conjunction with the Alternative Reference Rates Committee, has chosen the secured overnight financing rate (“SOFR”) as the recommended risk-free reference rate for the U.S, we cannot currently predict the extent to which this index will gain widespread acceptance as a replacement for LIBOR.
−Removed: We cannot currently predict the effect of the discontinuation of, or other changes to, LIBOR or any establishment of alternative reference rates in the United States, the European Union or elsewhere on the global capital markets.
−Removed: The uncertainty regarding the future of LIBOR, as well as the transition from LIBOR to any alternative reference rate or rates, could have adverse impacts on floating rate obligations, loans, deposits, derivatives and other financial instruments that currently use LIBOR as a benchmark rate.
−Removed: Our Term Loan Credit Facility constitutes our most significant exposure to this transition and there is no guarantee that a shift from LIBOR to a new reference rate will not result in increases to our borrowing costs.
+Added: Subsequent to our fiscal year ended December 30, 2023, on February 9, 2024, we made a cash payment of $29.3 million to repay the remaining outstanding principal of our Term Loan Credit Facility.
Foreign Currency Exchange Risk.
11 unchanged sentences
Income and expense accounts are translated at an average exchange rate during the year which approximates the rates in effect at the transaction dates.
−Removed: The resulting translation adjustments are recorded in stockholders’
−Removed: equity as a component of accumulated other comprehensive loss.
+Added: The resulting translation adjustments are recorded in stockholders’ equity as a component of accumulated other comprehensive loss.
As a result of fluctuations in certain foreign currency exchange rates in relation to the U.S.
−Removed: Dollar as of December 31, 2022 compared to December 25, 2021, our stockholders’
−Removed: equity decreased by $18.0 million as a result of the foreign currency translation.
+Added: Dollar as of December 30, 2023 compared to December 31, 2022, our stockholders’ equity increased by $6.8 million as a result of the foreign currency translation.
Based upon the current levels of net foreign assets, a hypothetical 10% devaluation of the U.S.
−Removed: dollar as compared to these currencies as of December 31, 2022 would result in an approximate $34.2 million positive translation adjustment recorded in other comprehensive income within stockholders’
+Added: dollar as compared to these currencies as of December 30, 2023 would result in an approximate $34.3 million positive translation adjustment recorded in other comprehensive income within stockholders’ equity.
Conversely, a hypothetical 10% appreciation of the U.S.
−Removed: dollar as compared to these currencies as of December 31, 2022 would result in an approximate $34.2 million negative translation adjustment recorded in other comprehensive income within stockholders’
+Added: dollar as compared to these currencies as of December 30, 2023 would result in an approximate $34.3 million negative translation adjustment recorded in other comprehensive income within stockholders’ equity.
Financial Statements and Supplementary Data.
2 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.