8 unchanged sentences
The derivatives used in hedging activities are considered risk management tools and are not used for trading purposes.
−Removed: In addition, the Company enters into derivative instruments with a diversified group of major financial institutions in order to manage the exposure to non-performance
−Removed: of such instruments.
+Added: In addition, the Company enters into derivative instruments with a diversified group of major financial institutions in order to manage the exposure to non-performance of such instruments.
The Company’s objective in managing the exposure to changes in interest rates is to limit the impact of such changes on earnings and cash flows and to lower overall borrowing costs.
6 unchanged sentences
From time to time, the Company uses interest rate swaps to manage interest rate exposure.
−Removed: As at December 31, 2021 the Company had cash and cash equivalents of $141.8 million, and long-term debt and finance leases of $0.1 million (including current portion).
−Removed: Long-term debt comprises a $250.0 million revolving credit facility available to the Company.
−Removed: The credit facilities carry an interest rate based on U.S.
+Added: The Company retains a $250.0 million revolving credit facility which is available to draw down as required.
+Added: The credit facility carries an interest rate based on U.S.
dollar LIBOR plus a margin of between 1.05% and 2.30% which is dependent on the Company’s ratio of net debt to EBITDA.
−Removed: Net debt and EBITDA are non-GAAP
−Removed: measures of liquidity defined in the credit facility.
+Added: Net debt and EBITDA are non-GAAP measures of liquidity defined in the credit facility.
At December 31, 2022, $0.0 million was drawn under the revolving credit facility.
2 unchanged sentences
Interest rate swaps have previously been used to hedge interest rate risk on a term loan for a notional value that matched the repayment profile of the term loan.
−Removed: The Company has $0.1 million long-term debt and finance leases (including the current portion) which is offset by $141.8 million cash and cash equivalents.
−Removed: The interest payable, including facility commitment fees, on long-term debt (excluding the margin) exceeds the
−Removed: interest receivable on positive cash balances.
−Removed: On a gross basis, assuming no additional interest on the cash balances and after deducting interest rate hedging, a hypothetical absolute change of 1% in U.S.
−Removed: base interest rates for a one-year
−Removed: period would impact net income and cash flows by approximately $0.0 million before tax.
−Removed: On a net basis, assuming additional interest on the cash balances, a hypothetical absolute change of 1% in U.S.
−Removed: base interest rates for a one-year
−Removed: period would impact net income and cash flows by approximately $1.4 million before tax.
+Added: As at December 31, 2022, the Company had no debt or finance leases and $147.1 million cash and cash equivalents.
+Added: Assuming variable interest returns on the cash balances, a hypothetical absolute increase or decrease of 1% in U.S.
+Added: base interest rates for a one-year period would increase or decrease net income and cash flows by approximately $1.5 million before tax.
The above does not consider the effect of interest or exchange rate changes on overall activity nor management action to mitigate such changes.
18 unchanged sentences
The objective of the hedging program is to reduce earnings and cash flow volatility related to changes in foreign currency exchange rates.
−Removed: The trading of our Fuel Specialties, Performance Chemicals and Oilfield Services segments is inherently naturally hedged and accordingly changes in exchange rates would not be material to our earnings or financial position.
−Removed: The cost base of our corporate costs, however, are largely
−Removed: denominated in British pound sterling.
+Added: The trading of our Performance Chemicals, Fuel Specialties and Oilfield Services segments is inherently naturally hedged and accordingly changes in exchange rates would not be material to our earnings or financial position.
+Added: The cost base of our corporate costs, however, are largely denominated in British pound sterling.
A 5% strengthening in the U.S.
−Removed: dollar against British pound sterling would increase reported operating income by approximately $1.4 million for a one-year
−Removed: period excluding the impact of any foreign currency forward exchange contracts.
+Added: dollar against British pound sterling would increase reported operating income by approximately $1.6 million for a one-year period excluding the impact of any foreign currency forward exchange contracts.
Where a 5% strengthening of the U.S.
3 unchanged sentences
Many of the raw materials that we use are derived from petrochemical-based and vegetable-based feedstocks which can be subject to periods of rapid and significant cost instability.
−Removed: These fluctuations in cost can be caused by political instability in oil producing nations and elsewhere, or other factors influencing global supply and demand of these materials, over which we have no or little control.
+Added: These fluctuations in cost can be caused by political instability in oil producing nations and elsewhere, or other factors influencing global supply and demand of these materials, over which we have little or no control.
We use long-term contracts (generally with fixed or formula-based costs) and advance bulk purchases to help ensure availability and continuity of supply, and to manage the risk of cost increases.
4 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.