9 unchanged sentences
dollar denominated debt and are accounted for as cash flow hedges.
−Removed: As of December 31, 2020, we had €350.0 million (approximately $426.8 million based on an exchange rate of $1.00 to €0.82, the exchange rate as of December 31, 2020) of outstanding Euro-denominated borrowings in our U.S.
−Removed: dollar functional currency entity.
−Removed: We have four cross-currency swap agreements with a total notional amount of €350.0 million that effectively convert interest and principal payments on this debt from Euro to U.S.
+Added: We have four cross-currency swap agreements with a total notional amount of €350.0 million (approximately $397.9 million based on an exchange rate of $1.00 to €0.88, the exchange rate as of December 31, 2021) that effectively convert interest and principal payments on €350.0 million of our Euro-denominated debt from Euro to U.S.
The cross-currency derivative instruments have maturities of October 2023.
−Removed: As of December 31, 2020, the cross-currency swap agreements had a fair value asset position of $11.6 million.
−Removed: These swaps eliminate the foreign currency risk associated with our Euro-denominated borrowings.
+Added: As of December 31, 2021, the cross-currency swap agreements had a fair value liability position of $16.9 million.
+Added: These swaps eliminate the foreign currency risk associated with the hedged portion of our Euro-denominated borrowings.
+Added: dollar were to weaken or strengthen against the Euro by 5%, the result would have a favorable or unfavorable effect on the cross-currency swap agreements’ fair value of $22.0 million, respectively.
Interest Rates
1 unchanged sentence
We have, from time to time, utilized derivative financial instruments, including interest rate swap contracts and interest rate cap contracts with financial counterparties to manage our interest rate risk.
−Removed: As of December 31, 2020, we had two interest rate swap agreements outstanding with a total notional amount of $196.4 million.
+Added: Our interest rate swap contracts matured in December 2021.
As of December 31, 2021, we held two interest rate cap contracts with a total notional amount of approximately $928.2 million used to manage risk related to interest rate fluctuations.
−Removed: Both the interest rate swap and interest rate cap instruments are designated as cash flow hedges and are accounted for using hedge accounting.
+Added: The interest rate cap instruments are designated as cash flow hedges and are accounted for using hedge accounting.
Our variable interest-bearing debt that is not hedged by derivative financial instruments is subject to the risk of interest rate fluctuations.
3 unchanged sentences
Conversely, a hypothetical 50 basis points decrease in interest rates as of December 31, 2021 related to variable rate debt agreements not hedged by derivatives would have a $0.9 million positive impact on income before income taxes.
−Removed: As of December 31, 2020, our outstanding interest rate swap agreements had a fair value liability position of $5.2 million.
−Removed: If the market interest rates increased 50 basis points, the result would have a favorable effect to the interest rate swap’s fair value of $0.9 million.
−Removed: Conversely, if the market interest rates decreased 50 basis points, the result would have an unfavorable effect to the interest rate swap’s fair value of $0.9 million.
As of December 31, 2021, our outstanding interest rate cap contracts had a fair value asset position of $3.5 million.
−Removed: If the market interest rates increased 50 basis points, the result would have a favorable effect to the interest rate cap’s fair value of $2.6 million.
−Removed: Conversely, if the market interest rates decreased 50 basis points, the result would have an unfavorable effect to the interest rate cap’s fair value of $0.5 million.
+Added: If the market interest rates increased 50 basis points, the result would have a favorable effect on the interest rate cap’s fair value of $3.8 million.
+Added: Conversely, if the market interest rates decreased 50 basis points, the result would have an unfavorable effect on the interest rate cap’s fair value of $2.0 million.
Our analysis and methods used to assess and mitigate the risks discussed above should not be considered projections of future risks.
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.