1 unchanged sentence
Interest Rate Risk
−Removed: Our exposure to changes in interest rates relates primarily to our investment portfolio and changes in short-term interest rates with respect to our cost of borrowing under our Credit Agreement, from which we have yet to draw on.
+Added: Our exposure to changes in interest rates relates primarily to our investment portfolio.
We monitor our cost of borrowing, taking into account our funding requirements, and our expectations for short-term rates in the future.
2 unchanged sentences
Changes in U.S.
−Removed: interest rates affect the interest earned on our cash, cash equivalents and marketable securities and the fair value of those securities.
+Added: interest rates affect the interest earned on our cash, cash equivalents, restricted cash and marketable securities and the fair value of those securities.
Our investment policy and strategy are focused on the preservation of capital and supporting our liquidity requirements.
3 unchanged sentences
To provide a meaningful assessment of the interest rate risk associated with our investment portfolio, we performed a sensitivity analysis to determine the impact a change in interest rates would have on the value of the investment portfolio assuming a 100 basis point parallel shift in the yield curve.
−Removed: Based on investment positions as of December 31, 2023, a hypothetical 100 basis point increase in interest rates across all maturities would result in approximately $5 million increase in the fair market value of the portfolio.
+Added: If a hypothetical 100 basis points increase was applied to our investment positions at the balance sheet date, it would result in approximately $3 million and $5 million increase in the fair market value of the portfolio as of December 31, 2024 and 2023, respectively.
Our debt obligations related to the Notes are long-term in nature with fixed interest rates.
2 unchanged sentences
Due to our international operations, we have foreign currency risks related to revenue and operating expenses denominated in currencies other than the U.S.
−Removed: dollar, primarily the China Renminbi, British pound sterling, Euro, and Australian dollar.
+Added: dollar, primarily the Euro, Chinese renminbi, British pound sterling, Mexican peso, and Australian dollar.
Our international sales contracts are primarily denominated in the local currency of the customer making the purchase.
4 unchanged sentences
For the purpose of analyzing foreign currency exchange risk, we considered the historical trends in foreign currency exchange rates and determined that it was reasonably possible that adverse changes in exchange rates of 10% could be experienced.
−Removed: If an adverse 10% foreign currency exchange rate change was applied to total monetary assets, liabilities, and commitments denominated in currencies other than the functional currencies at the balance sheet date, it would have resulted in an adverse effect on income before income taxes of approximately $8 million as of December 31, 2023.
−Removed: We have experienced and may continue to experience fluctuations in net loss as a result of transaction gains or losses related to remeasuring certain current asset and current liability balances denominated in currencies other than the functional currency of the entities in which they are recorded.
+Added: If an adverse 10% foreign currency exchange rate change was applied to total monetary assets and liabilities denominated in currencies other than the functional currencies at the balance sheet date, it would have resulted in an adverse effect on income before income taxes of approximately $6 million and $8 million for the years ended December 31, 2024 and 2023, respectively.
+Added: We have experienced and may continue to experience fluctuations in net loss as a result of foreign currency transaction gains or losses related to remeasuring monetary asset and liability balances denominated in currencies other than the functional currency of the entities in which they are recorded.
We have not engaged in the hedging of foreign currency transactions to date, although we may choose to do so in the future.
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.