Quantitative and Qualitative Disclosures About Market Risk
−Removed: are exposed to market risk related to changes in interest rates on our cash and cash equivalents and the Oaktree Loan.
−Removed: We do not utilize
−Removed: derivative financial instruments or other market risk-sensitive instruments to manage our exposure to interest rate changes.
+Added: are exposed to market risk related to changes in interest rates on our cash and cash equivalents.
+Added: The 2030 Notes issued in September
+Added: 2025 are at a fixed coupon of 8.625% and do not expose us to interest rate risk.
+Added: We do not utilize derivative financial instruments or
+Added: other market risk-sensitive instruments to manage our exposure to interest rate changes.
+Added: Borrowings made through the 5/3 Revolver, which
+Added: is based on the SOFR plus an interest rate spread, will be exposed to interest rate risk;
+Added: however, we currently have no borrowings against
believe our interest rate risk related to our cash and cash equivalents is not material as our risk is that interest rates fall.
on the current interest rates, we do not have a significant downside risk of a drop in interest rates.
−Removed: interest rate risk related to the Oaktree Loan is based on the Secured Overnight Financing Rate (“SOFR”) plus an interest
−Removed: rate spread of 6.5% per annum.
−Removed: A hypothetical increase of 100 basis points in SOFR would impact our interest expense by $1,075,000 per
−Removed: annum based on the outstanding balance under the Oaktree Loan as of June 30, 2025.
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.