15 unchanged sentences
We use interest rate swap agreements that effectively convert a portion of our fixed-rate debt to a floating-rate basis to manage this risk.
−Removed: At December 31, 2019 and 2018, we maintained interest rate swap agreements on the following fixed-rate debt instruments:
+Added: At December 31, 2020, we maintained interest rate swap agreements on the following fixed-rate debt instruments:
Debt Instrument Swap Notional as of December 31, 2020 (In thousands) Maturity Debt Fixed Rate Swap Floating Rate:
5 unchanged sentences
The estimated fair value of our long-term fixed-rate debt at December 31, 2020 was $12.9 billion, using quoted market prices, where available, or using the present value of expected future cash flows which incorporates risk profile.
−Removed: The fair value of our fixed to floating interest rate swap agreements was estimated to be a liability of $1.6 million as of December 31, 2019, based on the present value of expected future cash flows.
+Added: The fair value of our fixed to floating interest rate swap agreements was estimated to be an asset of $18.8 million as of December 31, 2020, based on the present value of expected future cash flows.
A hypothetical one percentage point decrease in interest rates at December 31, 2020 would increase the fair value of our hedged and unhedged long-term fixed-rate debt by approximately $67.2 million and would increase the fair value of our fixed to floating interest rate swap agreements by approximately $11.8 million.
2 unchanged sentences
A hypothetical one percentage point increase in interest rates would increase our forecasted 2021 interest expense by approximately $59.4 million, assuming no change in foreign currency exchange rates.
−Removed: Table of C ontents
−Removed: At December 31, 2019 and 2018, we maintained interest rate swap agreements on the following floating-rate debt instruments:
+Added: At December 31, 2020, we maintained interest rate swap agreements on the following floating-rate debt instruments:
Debt Instrument Swap Notional as of December 31, 2020 (In thousands) Maturity Debt Floating Rate All-in Swap Fixed Rate
11 unchanged sentences
460,000 October 2032 LIBOR plus 0.95% 3.20%
+Added: Odyssey of the Seas term loan (2)
+Added: 191,667 October 2032 LIBOR plus 0.95% 2.83%
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1 unchanged sentence
Amount presented is based on the exchange rate as of December 31, 2020.
−Removed: (2) Interest rate swap agreements hedging the term loan for Odyssey of the Seas include LIBOR zero-floors matching the hedged debt LIBOR zero-floor.
−Removed: The anticipated unsecured term loan for the financing of Odyssey of the Seas is expected to be drawn in October 2020.
+Added: (2) Interest rate swap agreements hedging the term loan of Odyssey of the Seas include LIBOR zero-floors matching the debt LIBOR zero-floor.
+Added: The effective dates of the $460.0 million and $191.7 million interest rate swap agreements are October 2020 and October 2022, respectively.
+Added: The anticipated unsecured term loan for the financing of Odyssey of the Seas was initially expected to be drawn in October 2020.
+Added: However, due to the impact of COVID-19 to shipyard operations, there is a delay in the ship delivery.
These interest rate swap agreements are accounted for as cash flow hedges.
16 unchanged sentences
In addition, some foreign currency exposures have little to no mitigating natural offsets available.
−Removed: Table of C ontents
We consider our investments in our foreign operations to be denominated in relatively stable currencies and of a long-term nature.
8 unchanged sentences
These instruments are not designated as hedging instruments.
−Removed: For the years ended December 31, 2019, 2018 and 2017 changes in the fair value of the foreign currency forward contracts resulted in gains (losses) of approximately $1.4 million, $(62.4) million and $62.0 million, respectively, which offset gains (losses) arising from the remeasurement of monetary assets and liabilities denominated in foreign currencies in those same years of $0.4 million, $57.6 million an d $(75.6) million, respectively.
+Added: For the years ended December 31, 2020, 2019 and 2018 changes in the fair value of the foreign currency forward contracts resulted in gains (losses) of approximately $(19.0) million, $1.4 million and $(62.4) million, respectively, which offset gains (losses) arising from the remeasurement of monetary assets and liabilities denominated in foreign currencies in those same years of $(1.5) million, $0.4 million and $57.6 million, respectively.
These changes were recognized in earnings within Other income (expense) in our consolidated statements of comprehensive income (loss).
4 unchanged sentences
As of December 31, 2020, we had fuel swap agreements to pay fixed prices for fuel with an aggregate notional amount of approximately $535.0 million, maturing through 2024.
−Removed: The fuel swap agreements represented 54% of our projected 2020 fuel requirements, 30% of our projected 2021 fuel requirements, 19% of our projected 2022 fuel requirements and 5% of our projected 2023 fuel requirements.
These fuel swap agreements are generally accounted for as cash flow hedges.
−Removed: The estimated fair value of these contracts at December 31, 2019 was estimated to be a liability of $23.8 million.
+Added: The fuel swap agreements designated as hedges of projected fuel purchases represented 40% of our projected 2021 fuel requirements, 23% of our projected 2022 fuel requirements and 5% of our projected 2023 fuel requirements.
+Added: The current suspension of the cruise operations due to the COVID-19 pandemic and our 2020 and expected 2021 ship disposals resulted in reductions to our forecasted fuel consumption.
+Added: As of December 31, 2020, the Company had outstanding fuel swaps of 229,850 and 14,650 metric tons maturing in 2021 and 2022, respectively, that no longer hedge forecasted fuel consumption.
+Added: The estimated fair value of our fuel swap agreements at December 31, 2020 was estimated to be a liability of $88.0 million.
We estimate that a hypothetical 10% increase in our weighted-average fuel price from that experienced during the year ended December 31, 2020 would increase our forecasted 2021 fuel cost by approximately $15.0 million, net of the impact of fuel swap agreements.
2 unchanged sentences
Changes In and Disagreements With Accountants on Accounting and Financial Disclosure
−Removed: Table of C ontents
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.