1 unchanged sentence
Interest Rate Risk
−Removed: We are exposed to the impact of interest rate changes on our PJI Revolving Facility.
+Added: We are exposed to the impact of interest rate changes on our PJI Revolving Facility and PJMF Revolving Facility.
We attempt to minimize interest rate risk exposure by fixing our interest rate through the utilization of interest rate swaps, which are derivative financial instruments.
2 unchanged sentences
We do not enter into contracts for trading purposes and do not use leveraged instruments.
−Removed: The market risks associated with our debt obligations as of March 26, 2023 have not changed from those reported in “Part II.
+Added: The market risks associated with our debt obligations as of June 25, 2023 have not changed from those reported in “Part II.
Quantitative and Qualitative Disclosure About Market Risk” in our Annual Report on Form 10-K for the fiscal year ended December 25, 2022.
2 unchanged sentences
We are exposed to foreign currency exchange rate fluctuations from our operations outside of the United States, which can adversely impact our revenues, net income and cash flows.
−Removed: Our International operations principally consist of distribution sales to franchised Papa John’s restaurants located in the UK and our franchise sales and support activities, which derive revenues from sales of franchise and development rights and the collection of royalties from our International franchisees.
−Removed: Approximately 6.0% and 6.4% of our revenues were derived from these operations for the three months ended March 26, 2023 and March 27, 2022, respectively.
+Added: Our International operations consist of distribution sales to franchised Papa John’s restaurants located in the UK and our franchise sales and support activities, which derive revenues from sales of franchise and development rights and the collection of royalties from our International franchisees, as well as Company-owned restaurants located in the UK.
+Added: Approximately 6.7% and 6.3% of our revenues were derived from these operations for the three and six months ended June 25, 2023, respectively, as compared to 6.1% and 6.2% for the prior year comparable periods.
We have not historically hedged our exposure to foreign currency fluctuations.
−Removed: Foreign currency exchange rate fluctuations had an unfavorable impact of approximately $2.9 million on International revenues for the three months ended March 26, 2023, and an unfavorable impact of $1.2 million for the three months ended March 27, 2022.
−Removed: Foreign currency exchange rate fluctuations had an unfavorable impact of approximately $0.6 million on operating income for the three months ended March 26, 2023 and March 27, 2022, respectively.
+Added: Foreign currency exchange rate fluctuations had an unfavorable impact of approximately $0.1 million and $3.0 million on International revenues for the three and six months ended June 25, 2023, and an unfavorable impact of $3.2 million and $4.4 million for the three and six months ended June 26, 2022.
+Added: Foreign currency exchange rate fluctuations had a favorable impact of approximately $0.2 million and an unfavorable impact of $0.5 million on operating income for the three and six months ended June 25, 2023, respectively, and an unfavorable impact of $0.4 million and $1.0 million on operating income for the three and six months ended June 26, 2022, respectively.
Commodity Price Risk
2 unchanged sentences
however, we remain exposed to ongoing commodity volatility.
−Removed: The following table presents the actual average block price for cheese by quarter through the first quarter of 2023 and the projected average block price by quarter for 2023 (based on the April 27, 2023 Chicago Mercantile Exchange cheese futures market prices):
+Added: The following table presents the actual average block price for cheese by quarter through the second quarter of 2023 and the projected average block price by quarter for 2023 (based on the July 28, 2023 Chicago Mercantile Exchange cheese futures market prices):
Block Price Actual
8 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.