6 unchanged sentences
Interest Rate Risk
−Removed: We are exposed to interest rate risk through our variable-rate debt, primarily driven by changes in SOFR.
+Added: We are exposed to interest rate risk through our variable-rate debt, driven by changes in SOFR.
To manage this exposure, we utilize interest rate swaps to convert existing and anticipated future floating-rate borrowings under our term credit agreements to fixed rates.
−Removed: As of March 31, 2026, we had $1.6 billion of variable-rate debt outstanding, which was fully hedged by interest rate swaps with an aggregate notional amount of $1.6 billion.
+Added: As of June 30, 2026, we had $1.4 billion of variable-rate debt outstanding, which was fully hedged by interest rate swaps with an aggregate notional amount of $1.4 billion.
Consequently, a hypothetical one-percentage point increase/decrease in interest rates would result in no corresponding change to our interest payments or interest expense over a 12-month period.
1 unchanged sentence
The fair market value of our fixed-interest rate debt is also subject to interest rate risk.
−Removed: As of March 31, 2026, the estimated fair value of our fixed-rate debt was $404.8 million, compared to a principal amount of $450.0 million.
+Added: As of June 30, 2026, the estimated fair value of our fixed-rate debt was $404.3 million, compared to a principal amount of $450.0 million.
We estimate the fair value of our debt using market interest rates for debt with similar terms and maturities.
Generally, the fair market value of fixed-rate debt increases as interest rates fall and decreases as interest rates rise.
−Removed: A hypothetical one-percentage point increase/decrease in prevailing interest rates at March 31, 2026 would result in a corresponding decrease/increase in the fair value of our fixed-rate debt of approximately $18 million and $19 million, respectively.
+Added: A hypothetical one-percentage point increase/decrease in prevailing interest rates at June 30, 2026 would result in a corresponding decrease/increase in the fair value of our fixed-rate debt of approximately $18 million and $19 million, respectively.
We estimate the weighted-average effective interest rate on our combined fixed and variable-rate debt to be approximately 2.3%.
This estimate accounts for the impact of interest rate swaps and the reduction in cost provided by estimated patronage, and excludes unused commitment fees related to our Revolving Credit Facility.
−Removed: The following table summarizes our outstanding debt, interest rate swaps, and average interest rates by year of expected maturity, along with the respective fair values at March 31, 2026:
+Added: The following table summarizes our outstanding debt, interest rate swaps, and average interest rates by year of expected maturity, along with the respective fair values at June 30, 2026:
(Dollars in thousands) 2026 2027 2028 2029 2030 Thereafter Total Fair Value
10 unchanged sentences
(a) Excludes estimated patronage refunds.
−Removed: (b) Interest rates as of March 31, 2026.
−Removed: (c) Weighted average of (i) the Daily Simple SOFR rate on a 25-day look back period and (ii) the 1-Month Term SOFR rate, each as of March 31, 2026 based on the respective notional amounts.
+Added: (b) Interest rates as of June 30, 2026.
+Added: (c) Weighted average of (i) the Daily Simple SOFR rate on a 25-day look back period and (ii) the 1-Month Term SOFR rate, each as of June 30, 2026 based on the respective notional amounts.
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.