9 unchanged sentences
We also have exposure to changes in foreign currency exchange rates associated with transactions which are undertaken by our subsidiaries in currencies other than their functional currency.
−Removed: Such transactions include intercompany transactions and inventory purchases denominated in currencies other than the functional currency of the purchasing entity.
+Added: Such transactions include intercompany
+Added: transactions and inventory purchases denominated in currencies other than the functional currency of the purchasing entity.
As a result, we have been impacted by changes in foreign currency exchange rates and may be impacted for the foreseeable future.
The potential impact of currency fluctuation increases as our international expansion increases.
−Removed: As of July 30, 2023, we had certain forward currency contracts outstanding in order to hedge a portion of the foreign currency exposure that arises on translation of a Canadian subsidiary into U.S.
+Added: As of October 29, 2023, we had certain forward currency contracts outstanding in order to hedge a portion of the foreign currency exposure that arises on translation of a Canadian subsidiary into U.S.
We also had certain forward currency contracts outstanding in an effort to reduce our exposure to the foreign currency exchange revaluation gains and losses that are recognized by our Canadian and Chinese subsidiaries on U.S.
dollar denominated monetary assets and liabilities.
−Removed: refer to Note 7.
+Added: Please refer to Note 8.
Derivative Financial Instruments included in Item 1 of Part I of this report for further information, including details of the notional amounts outstanding.
17 unchanged sentences
– net investment hedge losses from derivative valuation losses on forward currency contracts, entered into as net investment hedges of a Canadian subsidiary.
−Removed: During the first two quarters of 2023, the change in the relative value of the U.S.
−Removed: dollar against the Canadian dollar resulted in a $9.8 million reduction in accumulated other comprehensive loss within stockholders' equity.
−Removed: During the first two quarters of 2022, the change in the relative value of the U.S.
+Added: During the first three quarters of 2023, the change in the relative value of the U.S.
dollar against the Canadian dollar resulted in a $54.5 million increase in accumulated other comprehensive loss within stockholders' equity.
+Added: During the first three quarters of 2022, the change in the relative value of the U.S.
+Added: dollar against the Canadian dollar resulted in a $83.0 million increase in accumulated other comprehensive loss within stockholders' equity.
A 10% appreciation in the relative value of the U.S.
−Removed: dollar against the Canadian dollar compared to the foreign currency exchange rates in effect for the first two quarters of 2023 would have resulted in lower income from operations of approximately $51.8 million.
+Added: dollar against the Canadian dollar compared to the foreign currency exchange rates in effect for the first three quarters of 2023 would have resulted in lower income from operations of approximately $46.0 million.
This assumes a consistent 10% appreciation in the U.S.
−Removed: dollar against the Canadian dollar over the first two quarters of 2023.
+Added: dollar against the Canadian dollar over the first three quarters of 2023.
The timing of changes in the relative value of the U.S.
3 unchanged sentences
Because our revolving credit facilities bear interest at a variable rate, we will be exposed to market risks relating to changes in interest rates, if we have a meaningful outstanding balance.
−Removed: As of July 30, 2023, aside from letters of credit of $6.4 million, there were no borrowings outstanding under these credit facilities.
+Added: As of October 29, 2023, aside from letters of credit and guarantee of $6.6 million, there were no borrowings outstanding under these credit facilities.
We currently do not engage in any interest rate hedging activity and currently have no intention to do so.
3 unchanged sentences
Our cash and cash equivalent balances are held in the form of cash on hand, bank balances, and short-term deposits with original maturities of three months or less, and in money market funds.
−Removed: We do not believe these balances are subject to material interest rate risk.
+Added: We do not believe interest rate risk currently poses a material exposure to our business and results of operations.
Credit Risk .
3 unchanged sentences
The credit risk amount is our unrealized gains on our derivative instruments, based on foreign currency rates at the time of nonperformance.
−Removed: We have not experienced any losses related to these items, and we believe credit risk to be minimal.
+Added: We have not experienced any losses related to these items, and we do not believe credit risk currently poses a material exposure to our business or results of operations.
We seek to minimize our credit risk by entering into transactions with investment grade credit worthy and reputable financial institutions and by monitoring the credit standing of the financial institutions with whom we transact.
1 unchanged sentence
Inflationary factors such as increases in the cost of our product, as well as overhead costs and capital expenditures may adversely affect our operating results.
−Removed: During 2022 and the first half of 2023, our operating margin was impacted by increased wage rates.
−Removed: During the first half of 2022, our gross margin was impacted by higher air freight costs as a result of global supply chain disruption.
+Added: During 2022 and the first three quarters of 2023, our operating margin was impacted by increased wage rates.
+Added: During the three quarters of 2022, our gross margin was impacted by higher air freight costs as a result of global supply chain disruption.
Sustained increases in transportation costs, wages, and raw material costs, or other inflationary pressures in the future may have an adverse effect on our ability to maintain current levels of operating margin if the selling prices of our products do not increase with these increased costs, or we cannot identify cost efficiencies.
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.