3 unchanged sentences
Based upon the nature of our operations, the principal market risk to which we are exposed is the risk related to interest rate fluctuations.
−Removed: As of June 30, 2021, we had total indebtedness of approximately $175.0 million under the Term Loan and no borrowings under the Revolver, both of which are floating rate debt with a variable interest rate.
−Removed: For the three and six months ended June 30, 2021, we had average daily outstanding borrowings on our Revolver of $1.7 million and $1.1 million, respectively.
+Added: As of September 30, 2021, we had total indebtedness of approximately $175.0 million under the Term Loan and $17.0 million of borrowings under the Revolver, both of which are floating rate debt with a variable interest rate.
+Added: For the three and nine months ended September 30, 2021, we had average daily outstanding borrowings on our Revolver of $0.4 million and $0.8 million, respectively.
On September 28, 2020 and effective through the maturity date of December 23, 2024, the Company entered into an interest rate derivative in order to hedge its market interest risk associated with the Term Loan.
−Removed: The interest rate derivative converts the variable rate debt on the Term Loan to a fixed interest rate of 0.21%, plus a margin of 1.15% as of June 30, 2021.
+Added: The interest rate derivative converts the variable rate debt on the Term Loan to a fixed interest rate of 0.21%, plus a margin of 1.15%.
Additionally, we occasionally fund acquisitions through the use of our Revolver which bears an interest rate determined by either (i) LIBOR, plus a margin ranging from 1.20% to 1.80%, based on the Company’s consolidated total leverage ratio, or (ii) a Base Rate (as defined in the Credit Facility), plus a margin ranging from 0.20% to 0.80%, based on the Company’s consolidated total leverage ratio.
Many factors, including governmental monetary and tax policies, domestic and international economic and political considerations, and other factors that are beyond our control contribute to our interest rate risk.
−Removed: Based on the results of our sensitivity analysis and daily outstanding borrowings on the Revolver during 2021, which assumes a 1% adverse change in the interest rate as of June 30, 2021, the estimated market risk exposure for the Revolver was less than $0.1 million.
+Added: Based on the results of our sensitivity analysis and daily outstanding borrowings on the Revolver during 2021, which assumes a 1% adverse change in the interest rate as of September 30, 2021, the estimated market risk exposure for the Revolver was less than $0.1 million.
On March 5, 2021, the Financial Conduct Authority (“FCA”) announced that USD LIBOR will no longer be published after June 30, 2023.
6 unchanged sentences
The Company’s Term Loan and Revolver, which mature on December 23, 2024 and December 23, 2023, respectively, are indexed to LIBOR.
−Removed: The Company continues to monitor and evaluate the related risks, including future negotiations with lenders
−Removed: and other counterparties.
+Added: The Company continues to monitor and evaluate the related risks, including future negotiations with lenders and other counterparties.
These risks arise in connection with transitioning contracts to an alternative rate, including any resulting value transfer that may occur, and are likely to vary by contract.
−Removed: The value of loans, securities, or derivative instruments tied to LIBOR, as well as interest rates on our current or future indebtedness, may also be impacted if LIBOR is limited or discontinued.
+Added: The value of loans, securities, or derivative instruments tied to LIBOR, as well as interest rates on our current or future indebtedness, may also be impacted if LIBOR is
+Added: limited or discontinued.
For some instruments the method of transitioning to an alternative reference rate may be challenging, especially if we cannot agree with the respective counterparty about how to make the transition.
6 unchanged sentences
Off-Balance Sheet Arrangements
−Removed: As of June 30, 2021 and December 31, 2020, we did not have any off-balance sheet arrangements that have had or are reasonably likely to have a material effect on our financial condition, revenues or expenses, results of operations, liquidity, capital resources or capital expenditures.
+Added: As of September 30, 2021 and December 31, 2020, we did not have any off-balance sheet arrangements that have had or are reasonably likely to have a material effect on our financial condition, revenues or expenses, results of operations, liquidity, capital resources or capital expenditures.
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.