2 unchanged sentences
We regularly enter into derivatives or other financial instruments to hedge or mitigate commercial risks.
−Removed: We do not enter into derivative instruments for speculation, investing or trading.
+Added: We do not enter into derivative instruments for speculative purposes.
Refer to Note 5 of the Notes to our Consolidated Financial Statements for further information about our derivative instruments.
5 unchanged sentences
We use derivative instruments such as foreign exchange forward contracts to manage a portion of our exposure to changes in foreign exchange rates.
−Removed: As of December 31, 2022, we had derivative contracts outstanding with notional values of $1,001 million maturing at various dates through October 2024.
−Removed: The fair value of foreign currency derivatives that qualify for hedge accounting resulted in a net unrealized gain of $19 million as of December 31, 2022, and the impact of a 10% change (up or down) in exchange rates is estimated to increase or decrease the fair value by approximately $50 million.
−Removed: The fair value of foreign currency derivatives that do not qualify for hedge accounting resulted in a net unrealized gain of $16 million as of December 31, 2022, and the impact of a 10% change (up or down) in exchange rates is estimated to increase or decrease the fair value by approximately $50 million.
+Added: As of December 31, 2023, we had derivative contracts outstanding with notional values of $1,135 million maturing at various dates through December 2024.
+Added: The fair value of foreign currency derivatives that qualify for hedge accounting resulted in a net unrealized loss of $13 million as of December 31, 2023, and the impact of a 10% weakening in the U.S.
+Added: dollar is estimated to decrease the fair value by approximately $49 million.
+Added: The fair value of foreign currency derivatives that do not qualify for hedge accounting resulted in a net unrealized loss of $3 million as of December 31, 2023, and the impact of a 10% weakening in the U.S.
+Added: dollar is estimated to decrease the fair value by approximately $40 million.
Any increase or decrease in the value of the foreign currency derivatives would have an approximately offsetting change in the underlying hedged risk.
2 unchanged sentences
As of December 31, 2023, the carrying value of our fixed-rate debt, excluding lease obligations, was $11,095 million, and our variable-rate debt was $2,096 million, comprised entirely of commercial paper.
−Removed: Additionally, as of December 31, 2022, the total notional value of receive-fixed, pay-variable interest rate swaps was $1,900 million.
−Removed: Our variable-rate derivative instruments are generally based on SOFR and a credit spread.
−Removed: We estimate that the potential impact to our interest rate expense associated with variable rate debt and derivative instruments resulting from a hypothetical interest rate change of 1%, based on variable-rate debt and derivative instrument levels as of December 31, 2022, would be an increase or decrease of approximately $23 million.
+Added: From time to time, we also enter into interest rate contracts that effectively result in variable-rate interest payments or receipts.
+Added: These derivative instruments are generally based on SOFR and a credit spread.
+Added: As of December 31, 2023, certain of our outstanding forward starting swaps, with a total notional value of $1,200 million, are expected to begin such payments or receipts in the first quarter of 2024.
+Added: We estimate that the potential impact to our interest rate expense associated with variable rate interest payments resulting from a hypothetical interest rate change of 1%, based on amounts outstanding as of December 31, 2023, would be an increase or decrease of approximately $33 million.
Our estimate of the annual impact to interest expense reflects our assumption that SOFR will not fall below 0%.
3 unchanged sentences
We utilize commodities derivative instruments and supplier pricing agreements to hedge the risk of movements in commodity prices for limited time periods for certain commodities.
−Removed: As of December 31, 2022, we had derivative contracts outstanding with a notional value of $754 million maturing at various dates through April 2024.
+Added: As of December 31, 2023, we had derivative contracts outstanding with a notional value of $500 million maturing at various dates through December 2025.
The fair market value of these contracts as of December 31, 2023 was a net liability of $52 million.
−Removed: As of December 31, 2022, the impact of a 10% change (up or down) in market prices for these commodities where the risk of movements has not been hedged is estimated to have a $42 million impact to our income from operations for the year ended December 31, 2023.
+Added: As of December 31, 2023, a 10% change (up or down) in commodity prices is estimated to increase or decrease the fair value of these derivative instruments by approximately $45 million.
+Added: Any increase or decrease in the value of the commodities derivatives instruments would have an approximately offsetting change in the underlying hedged risk.
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.