2 unchanged sentences
Under our Credit Facility, we are exposed to market risk from changes in interest rates on borrowings.
−Removed: Borrowings under the credit facility, if denominated in U.S.
−Removed: Dollars, are subject to rates based on the London Interbank Offered Rate ("LIBOR") plus a spread based on leverage or a base rate plus a spread based on leverage.
−Removed: The base rate is the highest of (a) the Prime Rate, (b) the Federal Funds Rate plus 0.50%, and (c) LIBOR for an Interest Period of one month plus 1%.
−Removed: Additionally, increased pricing is required by the Third Amendment.
+Added: Borrowings under the Credit Facility are subject to rates based on SOFR plus a spread based on leverage or a base rate plus a spread based on leverage.
+Added: The base rate is the highest of (a) the Prime Rate, (b) the Federal Funds Rate plus 0.5% per annum, or (c) one-month term SOFR plus 1.0% per annum.
As of December 25, 2022, we had $214.0 million of borrowings subject to variable interest rates.
A 1.0% change in the effective interest rate applied to these loans would have resulted in pre-tax interest expense fluctuation of $2.1 million on an annualized basis.
−Removed: LIBOR is set to terminate on December 31, 2021;
−Removed: however, the Third Amendment to our credit facility included certain amendments to the credit facility to address LIBOR transition matters.
−Removed: These include specifics related to benchmark replacement, which reference the Secured Overnight Financing Rate ("SOFR"), a new index calculated by short-term repurchase agreements and backed by U.S.
−Removed: Treasury securities.
−Removed: The Third Amendment outlines its definition of a SOFR transition event as well as new base rates and provisions to take effect upon completion of such an event.
−Removed: Through the end of our fiscal year ended December 26, 2021, the Company's credit facility continued to reference LIBOR.
−Removed: The Company refinanced its credit facility on March 4, 2022, the new facility references SOFR or the Alternate Base Rate ("ABR"), which represents the highest of (a) the Prime Rate, (b) the Federal Funds Rate plus 0.50% per annum, or (c) one-month term SOFR plus 1.00% per annum.
We continue to monitor our interest rate risk on an ongoing basis and may use interest rate swaps or similar instruments in the future to manage our exposure to interest rate changes related to our borrowings as the Company deems appropriate.
3 unchanged sentences
Many of the commodities purchased by us are subject to volatility due to market supply and demand factors outside of our control, including the price of other commodities, weather, seasonality, production, trade policy, and other factors.
−Removed: As a result of the COVID-19 pandemic, we have experienced and expect to continue to experience distribution disruptions, commodity cost inflation, and certain food and supply shortages.
+Added: During the COVID-19 pandemic, we experienced distribution disruptions, commodity cost inflation, and certain food and supply shortages.
To manage this risk in part, we enter into fixed-price purchase commitments for certain commodities;
9 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.