2 unchanged sentences
We use forward foreign exchange contracts as economic hedges to manage the cash flow volatility arising from foreign exchange rate fluctuations.
+Added: We use net investment hedges to manage the volatility of foreign exchange rates on the investment in our foreign subsidiaries.
We do not use derivatives for trading or speculative purposes.
23 unchanged sentences
The terms of our forward foreign exchange contracts are generally less than 90 days.
+Added: In 2022, we entered into fixed-to-fixed cross currency swaps with a notional value of $150 million to hedge a portion of the net investment in our Japanese subsidiaries against volatility in the Yen/U.S.
+Added: Dollar exchange rate.
+Added: These swaps are designated and qualify as a hedge of a net investment in a foreign subsidiary and are scheduled to mature in 2025 and 2029.
+Added: Changes in the fair value of the swaps are recognized in foreign currency translation and are reported in accumulated other comprehensive income (loss), or AOCI.
+Added: Any gain or loss will remain in AOCI until the complete or substantially complete liquidation of our investment in the underlying operations.
+Added: We have elected to assess the effectiveness of our net investment hedges based on changes in spot exchange rates.
+Added: We receive net fixed U.S.
+Added: Dollar interest payments, and in 2022, we recorded $1.2 million as a reduction of interest expense.
+Added: At December 31, 2022, the liability for the swap fair value was $16.5 million and is recorded in long-term liabilities.
Interest Rate Risk
We may use interest rate swaps to manage our interest cost and structure our long-term debt portfolio to achieve a mix of fixed rate and floating rate debt.
−Removed: During 2021, there were no interest rate swaps and, at December 31, 2021, long-term debt consisted entirely of fixed-rate debt.
+Added: During 2022, there were no interest rate swaps, and long-term debt at December 31, 2022 consisted entirely of fixed rate debt.
We provide advertising, marketing and corporate communications services to several thousand clients that operate in nearly every sector of the global economy and we grant credit to qualified clients in the normal course of business.
3 unchanged sentences
These commitments are included in accounts payable when the services are delivered by the media providers or production companies.
−Removed: If permitted by local law and the client agreement, many of our agencies purchase media and production services for our clients as an agent for a
−Removed: disclosed principal.
+Added: If permitted by local law and the client agreement, many of our agencies purchase media and production services for our clients as an agent for a disclosed principal.
In addition, while operating practices vary by country, media type and media vendor, in the United States and certain foreign markets, many of our agencies’ contracts with media and production providers specify that our agencies are not liable to the media and production providers under the theory of sequential liability until and to the extent we have been paid by our client for the media or production services.
5 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.