19 unchanged sentences
As prices increase, a given quantity of metal will utilize a larger proportion of the existing credit lines.
−Removed: A significant
−Removed: prolonged increase in metal prices could result in our credit lines being fully utilized, and, absent securing additional credit line capacity from financial institutions, could require us to purchase precious metals rather than consign them, require customers to supply their own metal, and/or force us to turn down additional business opportunities.
+Added: A significant prolonged increase in metal prices could result in our credit lines being fully utilized, and, absent securing additional credit line capacity from financial institutions, could require us to purchase precious metals rather than consign them, require customers to supply their own metal, and/or force us to turn down additional business opportunities.
If we were in a significant precious metal ownership position, we might elect to use derivative financial instruments to hedge the potential price exposure.
2 unchanged sentences
In certain circumstances, we may elect to fix the price of precious metals for a customer for a stated quantity over a specified period of time.
−Removed: In those cases, we may secure hedge contracts whose terms match the terms in the agreement with our customer so that the gain or loss on the contract with the customer due to subsequent movements in the precious metal price will generally be offset by a gain or loss on the hedge contract.
+Added: In those cases, we may secure hedge contracts with terms that match the terms in the agreement with our customer so that the gain or loss on the contract with the customer due to subsequent movements in the precious metal price will generally be offset by a gain or loss on the hedge contract.
At December 31, 2021, we did not have a material amount of such hedge contracts outstanding.
8 unchanged sentences
Lower of cost or net realizable value.
−Removed: In our manufacturing processes, we use various metals that are not widely used by others or actively traded and, therefore, there is no established efficient market for derivative financial instruments that could be used to effectively hedge the related price exposures.
+Added: In our manufacturing processes, we use various metals that are not widely used by others or actively traded and, therefore, there is no established efficient market for derivative financial instruments that could be
+Added: used to effectively hedge the related price exposures.
For certain applications, our pricing practice with respect to these metals is to establish the selling price based upon our cost to purchase the material, limiting our price exposure.
19 unchanged sentences
The notional value of outstanding currency contracts was $93.7 million as of December 31, 2021.
−Removed: If the dollar weakened 10% against the currencies we have hedged from the December 31, 2020 exchange rates, the reduced gain and/or increased loss on the outstanding contracts as of December 31, 2020 would reduce pre-tax profits by approximately $1.6 million in 2020.
−Removed: This calculation does not take into account the increase in margins as a result of translating foreign currency sales at the more favorable exchange rates, any changes in margins from potential volume fluctuations caused by currency movements, or the translation effects on any other foreign currency denominated income statement or balance sheet item.
+Added: If the dollar weakened 10% against the currencies we have hedged from the December 31, 2021 exchange rates, the reduced gain and/or increased loss on the outstanding contracts as of December 31, 2021 would reduce 2021 pre-tax profits by approximately $1.1 million.
+Added: This reduction in profits would be primarily offset with the foreign currency gain from the 10% movement in the exchange rates with effective hedges.
The cost of natural gas and electricity used in our operations may vary from year to year and from season to season.
2 unchanged sentences
We have a program in place to closely monitor the credit worthiness and financial condition of our key providers of financial services, including our bank group and insurance carriers, as well as the credit worthiness of customers and vendors, and have various contingency plans in place.
−Removed: Our bank lines are established with a number of different banks in order to mitigate our exposure with any one financial institution.
+Added: Our bank lines are established with a number of different banks in order to mitigate our exposure to any one financial institution.
All of the banks in our bank group had credit in good standing as of December 31, 2021.
1 unchanged sentence
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.