1 unchanged sentence
Interest Rate and Market Risk
−Removed: Our exposure to market risk is confined to our cash, cash equivalents and our investments.
+Added: Our investment portfolio is exposed to market risk from changes in interest rates.
The goals of our investment policy are preservation of capital, fulfillment of liquidity needs and fiduciary control of cash and cash equivalents and investments.
3 unchanged sentences
We currently do not hedge interest rate exposure.
−Removed: Because of the short-term maturities of our investments, we do not believe that an increase in market rates would have any material negative impact on the value of our investment portfolio.
+Added: Due to the short-term maturities of our investments, we do not believe that a hypothetical 10% adverse move in interest rates would have any material negative impact on the value of our investment portfolio.
+Added: We carry our convertible senior notes at the principal amount, less unamortized debt issuance costs, on our Consolidated Balance Sheets.
+Added: Because the notes have a fixed annual interest rate of 1.50%, we do not have any economic interest rate exposure or financial statement risk associated with changes in interest rates.
+Added: The fair value of the notes, however, may fluctuate when interest rates and the market price of our stock changes.
+Added: Convertible Senior Notes in Part II, Item 8 of this Annual Form 10-K for additional information.
Foreign Exchange Risk
−Removed: The majority of our revenue, expense, and capital purchasing activities are transacted in U.S.
−Removed: However, a portion of our operations consists of development and sales activities outside of the United States therefore we have foreign exchange exposures relating to non-U.S.
−Removed: dollar revenue, operating expense, accounts receivable, accounts payable and currency balances.
−Removed: Our primary exposure is with the Euro.
+Added: Our revenue, expense, and capital purchasing activities are primarily transacted in U.S.
+Added: however, a portion of our operations is conducted in foreign currencies.
+Added: As a result, we have foreign exchange exposures relating to non-U.S.
+Added: dollar denominated cash flows and monetary assets and liabilities that are denominated in currencies other than U.S.
+Added: The value of the amounts is exposed to changes in currency exchange rates from the time the transactions are originated, until the time the cash settlement is converted into U.S.
+Added: Our foreign currency exposure is primarily concentrated in the Euro.
A 10% strengthening of the U.S.
dollar exchange rate against all currencies with which we have exposure, after taking into account offsetting positions at December 31, 2021 would have resulted in a $2.7 million decrease in the carrying amounts of those net assets.
−Removed: Actual gains and losses in the future may differ materially from the hypothetical gains and losses discussed above based on changes in the timing and amount of foreign currency exchange rate movements and our actual exposure.
+Added: Actual gains and losses in the future may differ materially from these hypothetical gains and losses based on changes in the timing and amount of foreign currency exchange rate movements and our actual exposure.
Our international operations are subject to risks typical of international operations, including, but not limited to, differing economic conditions, changes in political climate, differing tax structures, other regulations and restrictions and foreign exchange rate volatility.
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.