5 unchanged sentences
Interest Rate Risk:
−Removed: The fair value of our cash and cash equivalents at January 31, 2022, approximates carrying value.
+Added: The fair value of our cash and cash equivalents at July 31, 2022, approximates carrying value.
We are exposed to interest rate risk with regard to existing debt consisting of fixed- and variable-rate maturities.
6 unchanged sentences
Generally, changes in the fair value of the contract are equal to changes in the fair value of the underlying debt and have no net impact on earnings.
−Removed: In 2020, we terminated interest rate contracts concurrent with the pricing of the Senior Notes due March 15, 2030, and March 15, 2050.
−Removed: They were designated as cash flow hedges and were used to manage our exposure to interest rate volatility associated with the anticipated debt financing.
+Added: In 2020, we terminated all outstanding interest rate contracts concurrent with the pricing of the Senior Notes due March 15, 2030, and March 15, 2050.
+Added: The contracts were designated as cash flow hedges and were used to manage our exposure to interest rate volatility associated with the anticipated debt financing.
The termination resulted in a pre-tax loss of $239.8, which was deferred and included as a component of accumulated other comprehensive income (loss) and is being amortized as interest expense over the life of the debt.
−Removed: In 2015, we terminated the interest rate swap on the Senior Notes due October 15, 2021, which was designated as a fair value hedge and used to hedge against the changes in the fair value of the debt.
−Removed: As a result of the early termination, we received $58.1 in cash, which included $4.6 of accrued and prepaid interest.
−Removed: The gain on termination was recorded as an increase in the long-
−Removed: term debt balance and was recognized over the life of the debt as a reduction of interest expense.
−Removed: As of the second quarter of 2022, we had fully recognized the gain of $53.5, of which $4.0 was recognized during the nine months ended January 31, 2022.
−Removed: In measuring interest rate risk by the amount of net change in the fair value of our financial liabilities, a hypothetical 100 basis-point decrease in interest rates at January 31, 2022, would increase the fair value of our long-term debt by $440.0.
+Added: In measuring interest rate risk by the amount of net change in the fair value of our financial liabilities, a hypothetical 100 basis-point decrease in interest rates at July 31, 2022, would increase the fair value of our long-term debt by $342.5.
Commodity Price Risk:
4 unchanged sentences
The following sensitivity analysis presents our potential loss of fair value resulting from a hypothetical 10 percent change in market prices related to commodities.
−Removed: January 31, 2022 April 30, 2021
+Added: July 31, 2022 April 30, 2022
High $ 71.1 $ 72.3
9 unchanged sentences
with foreign currency denominated assets and liabilities, primarily denominated in Canadian currency.
−Removed: Because we have foreign currency denominated assets and liabilities, financial exposure may result, primarily from the timing of transactions and the movement of exchange rates.
−Removed: The foreign currency balance sheet exposures as of January 31, 2022, are not expected to result in a significant impact on future earnings or cash flows.
+Added: Because we have foreign currency denominated assets and liabilities,
+Added: financial exposure may result, primarily from the timing of transactions and the movement of exchange rates.
+Added: The foreign currency balance sheet exposures as of July 31, 2022, are not expected to result in a significant impact on future earnings or cash flows.
We utilize foreign currency derivatives to manage the effect of foreign currency exchange fluctuations on future cash payments primarily related to purchases of certain raw materials and finished goods.
2 unchanged sentences
Therefore, the change in value of these instruments is immediately recognized in cost of products sold.
−Removed: Based on our hedged foreign currency positions as of January 31, 2022, a hypothetical 10 percent change in exchange rates would not materially impact the fair value.
−Removed: Revenues from customers outside the U.S., subject to foreign currency exchange, represented 5 percent of net sales during the nine months ended January 31, 2022.
+Added: Based on our hedged foreign currency positions as of July 31, 2022, a hypothetical 10 percent change in exchange rates would not materially impact the fair value.
+Added: Revenues from customers outside the U.S., subject to foreign currency exchange, represented 5 percent of net sales during the three months ended July 31, 2022.
Thus, certain revenues and expenses have been, and are expected to be, subject to the effect of foreign currency fluctuations, and these fluctuations may have an impact on operating results.
5 unchanged sentences
We are providing this cautionary statement in connection with the safe harbor provisions.
−Removed: Readers are cautioned not to place undue reliance on any forward-looking statements, as such statements are by nature subject to risks, uncertainties, and other factors, many of which are outside of our control and could cause actual results to differ materially from such
−Removed: statements and from our historical results and experience.
+Added: Readers are cautioned not to place undue reliance on any forward-looking statements, as such statements are by nature subject to risks, uncertainties, and other factors, many of which are outside of our control and could cause actual results to differ materially from such statements and from our historical results and experience.
These risks and uncertainties include, but are not limited to, the following:
• the impact of the COVID-19 pandemic on our business, industry, suppliers, customers, consumers, employees, and communities;
−Removed: • disruptions or inefficiencies in our operations or supply chain, including any impact of the COVID-19 pandemic and labor shortages resulting from, among other things, the implementation of vaccination requirements;
−Removed: • volatility of commodity, energy, and other input costs;
+Added: • disruptions or inefficiencies in our operations or supply chain, including any impact caused by product recalls (including the recent Jif peanut butter recall), political instability, terrorism, armed hostilities (including the ongoing conflict between Russia and Ukraine), extreme weather conditions, natural disasters, pandemics (including the COVID-19 pandemic), or other calamities;
+Added: • risks related to the availability, and cost inflation in, supply chain inputs, including labor, raw materials, commodities, packaging, and transportation;
+Added: • the impact of food security concerns involving either our products or our competitors’ products, including product recalls;
• risks associated with derivative and purchasing strategies we employ to manage commodity pricing and interest rate risks;
5 unchanged sentences
• general competitive activity in the market, including competitors’ pricing practices and promotional spending levels;
−Removed: • the impact of food security concerns involving either our products or our competitors’ products;
−Removed: • the impact of accidents, extreme weather, natural disasters, and pandemics (such as COVID-19);
+Added: • our ability to attract and retain key talent;
• the concentration of certain of our businesses with key customers and suppliers, including single-source suppliers of certain key raw materials and finished goods, and our ability to manage and maintain key relationships;
• impairments in the carrying value of goodwill, other intangible assets, or other long-lived assets or changes in the useful lives of other intangible assets or other long-lived assets;
−Removed: • the impact of new or changes to existing governmental laws and regulations and their application, including tariffs;
+Added: • the impact of new or changes to existing governmental laws and regulations and their application;
• the outcome of tax examinations, changes in tax laws, and other tax matters;
+Added: • a disruption, failure, or security breach of our or our suppliers’ information technology systems, including ransomware attacks;
• foreign currency exchange rate and interest rate fluctuations;
3 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.