2 unchanged sentences
Interest rate risk
−Removed: Our exposure to interest rate fluctuations relate primarily to our Term Loan B and the Revolver.
−Removed: As of March 31, 2022, we had an outstanding balance of $960.0 million on Term Loan B.
+Added: Our exposure to interest rate fluctuations relates primarily to our Term Loan B, Revolver, Acquisition Term Loan and Bridge Loan.
+Added: As of September 30, 2022, we had an outstanding balance of $955.0 million on Term Loan B.
Term Loan B bears a floating interest rate of 1.75% plus LIBOR.
−Removed: As of March 31, 2022, an adverse change of one percent on the interest rate would have the effect of increasing our annual interest payment on Term Loan B by approximately $9.6 million, assuming that the loan balance as of March 31, 2022 is outstanding for the entire period (June 30, 2021—$9.7 million).
−Removed: As of March 31, 2022, we had no outstanding balance under the Revolver.
+Added: As of September 30, 2022, an adverse change of one percent on the interest rate would have the effect of increasing our annual interest payment on Term Loan B by approximately $9.6 million, assuming that the loan balance as of September 30, 2022 is outstanding for the entire period (June 30, 2022—$9.6 million).
+Added: As of September 30, 2022, we had no outstanding balance under the Revolver.
Borrowings under the Revolver bear interest per annum at a floating rate of LIBOR plus a fixed rate that is dependent on our consolidated net leverage ratio ranging from 1.25% to 1.75%.
−Removed: As of March 31, 2022, with no outstanding balance on the Revolver, an adverse change of one percent on the interest rate would have no effect on our annual interest payment (June 30, 2021—nil).
−Removed: For more information regarding the impact of LIBOR, see “Stress in the global financial system may adversely affect our finances and operations in ways that may be hard to predict or to defend against” included within Part I, Item 1A, “Risk Factors” in our Annual Report on Form 10-K for Fiscal 2021.
+Added: As of September 30, 2022, with no outstanding balance on the Revolver, an adverse change of one percent on the interest rate would have no effect on our annual interest payment (June 30, 2022—nil).
+Added: As of September 30, 2022, we had no borrowings under the Acquisition Term Loan.
+Added: As of September 30, 2022, with no outstanding balance on the Acquisition Term Loan, an adverse change of one percent on the interest rate would have no effect on our annual interest payment (June 30, 2022—nil).
+Added: As of September 30, 2022, we had no borrowings under the Bridge Loan.
+Added: As of September 30, 2022, with no outstanding balance on the Bridge Loan, an adverse change of one percent on the interest rate would have no effect on our annual interest payment (June 30, 2022—nil).
+Added: For more information regarding the impact of LIBOR and SOFR rates, see “Stress in the global financial system may adversely affect our finances and operations in ways that may be hard to predict or to defend against” included within Part I, Item 1A, “Risk Factors” in our Annual Report on Form 10-K for Fiscal 2022.
Foreign currency risk
4 unchanged sentences
Our ultimate realized gain or loss with respect to foreign currency exposures will generally depend on the size and type of cross-currency transactions that we enter into, the currency exchange rates associated with these exposures and changes in those rates.
−Removed: Additionally, we have hedged certain of our Canadian dollar foreign currency exposures relating to our payroll expenses in Canada.
−Removed: Based on the foreign exchange forward contracts outstanding as of March 31, 2022, a one cent change in the Canadian dollar to U.S.
−Removed: dollar exchange rate would have caused a change of $0.7 million in the mark to market on our existing foreign exchange forward contracts (June 30, 2021—$0.7 million).
+Added: We have hedged certain of our Canadian dollar foreign currency exposures relating to our payroll expenses in Canada.
+Added: Based on the CAD foreign exchange forward contracts outstanding as of September 30, 2022, a one cent change in the Canadian dollar to U.S.
+Added: dollar exchange rate would have caused a change of $0.6 million in the mark-to-market valuation on our existing foreign exchange forward contracts (June 30, 2022—$0.5 million).
+Added: Additionally, in connection with the Micro Focus Acquisition, in August 2022, the Company entered into certain derivative transactions to meet certain foreign currency obligations related to the purchase price of the proposed Micro Focus Acquisition, mitigate the risk of foreign currency appreciation in the GBP denominated purchase price and mitigate the risk of foreign currency appreciation in the EUR denominated existing debt held by Micro Focus.
+Added: The Company entered into the following derivatives:
+Added: (i) three deal-contingent forward contracts, (ii) a non-contingent forward contract, and (iii) EUR/USD cross currency swaps.
+Added: These instruments were entered into as economic hedges to mitigate foreign currency risks associated with the proposed Micro Focus Acquisition.
+Added: The instruments do not qualify for hedge accounting at inception.
+Added: Based on the deal contingent and non-contingent forward contracts outstanding as of September 30, 2022, a one cent change in the British Pound to U.S.
+Added: dollar forward exchange rate would have caused a change of $22.7 million in the mark-to-market valuation on our existing deal-contingent forward and non-contingent forward contracts (June 30, 2022—nil).
+Added: Based on the cross currency swaps outstanding as of September 30, 2022, a one cent change in the Euro to U.S.
+Added: dollar forward exchange rate would have caused a change of $0.6 million in the mark-to-market valuation on our existing cross currency swaps (June 30, 2022—nil).
Foreign currency translation risk
1 unchanged sentence
Fluctuations in foreign currencies impact the amount of total assets and liabilities that we report for our foreign subsidiaries upon the translation of these amounts into U.S.
−Removed: In particular, the amount of cash and cash equivalents that we report in U.S.
−Removed: dollars for a significant portion of the cash held by these subsidiaries is subject to translation variance caused by changes in foreign currency exchange rates as of the end of each respective reporting period (the offset to which is recorded to accumulated other comprehensive income on our Condensed Consolidated Balance Sheets).
−Removed: The following table shows our cash and cash equivalents denominated in certain major foreign currencies as of March 31, 2022 (equivalent in U.S.
+Added: In particular, the
+Added: Table of C ontents
+Added: amount of cash and cash equivalents that we report in U.S.
+Added: dollars for a significant portion of the cash held by these subsidiaries is subject to translation variance caused by changes in foreign currency exchange rates as of the end of each respective reporting period (the offset to which is recorded to accumulated other comprehensive income (loss) on our Condensed Consolidated Balance Sheets).
+Added: The following table shows our cash and cash equivalents denominated in certain major foreign currencies as of September 30, 2022 (equivalent in U.S.
(In thousands) U.S.
Equivalent at
−Removed: March 31, 2022
+Added: September 30, 2022
Equivalent at
12 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.