3 unchanged sentences
Our exposure to interest rate and general market risks relates to our Term Credit Facility, which has variable interest rates, and our investment portfolio.
−Removed: As of October 1, 2021, there were $750.0 million of borrowings outstanding under the Term Credit Agreement and a potential change in the associated interest rates would be immaterial to the results of our operations.
+Added: As of September 30, 2022, there were $700.0 million of borrowings outstanding under the Term Credit Agreement, and a potential change in the associated interest rates would be immaterial to the results of our operations.
Our investment portfolio consists of cash and cash equivalents (money market funds and marketable securities purchased with less than ninety days until maturity) that total approximately $566.0 million, and marketable securities (U.S.
−Removed: Treasury and government securities, corporate bonds and notes, municipal bonds) that total approximately $137.2 million and $7.1 million within short-term and long-term marketable securities, respectively, as of October 1, 2021.
+Added: Treasury and government securities, corporate bonds and notes, and municipal bonds) that total approximately $20.3 million and $0.5 million within short-term and long-term marketable securities, respectively, as of September 30, 2022.
The main objectives of our investment activities are liquidity and preservation of capital.
2 unchanged sentences
Credit risk associated with our investments is not material because our investments are diversified across several types of securities with high credit ratings, which reduces the amount of credit exposure to any one investment.
−Removed: Based on our results of operations for the fiscal year ended October 1, 2021, a hypothetical reduction in the interest rates on our cash, cash equivalents, and other investments to zero would result in an immaterial reduction of interest income with a de minimis impact on income before taxes.
−Removed: Given the low interest rate environment, the objectives of our investment activities, and the relatively low interest income generated from our cash, cash equivalents, and other investments, we do not believe that investment or interest rate risks currently pose material exposures to our business or results of operations.
+Added: Based on our results of operations for the fiscal year ended September 30, 2022, a hypothetical reduction in the interest rates on our cash, cash equivalents, and other investments to zero would result in an immaterial reduction of interest income with a de minimis impact on income before taxes.
+Added: We do not believe that investment or interest rate risks currently pose material exposures to our business or results of operations.
Foreign Exchange Rate Risk
1 unchanged sentence
A percentage of our international operational expenses are denominated in foreign currencies, and exchange rate volatility could positively or negatively impact those operating costs.
−Removed: For the fiscal years ended October 1, 2021, October 2, 2020, and September 27, 2019, we had foreign exchange losses of $0.5 million, $5.9 million, and $6.2 million, respectively.
+Added: For the fiscal years ended September 30, 2022, October 1, 2021, and October 2, 2020, we had foreign exchange losses of $1.4 million, $0.5 million, and $5.9 million, respectively.
Increases in the value of the United States dollar relative to other currencies could make our products more expensive, which could negatively impact our ability to compete.
4 unchanged sentences
However, we may choose not to hedge certain foreign exchange exposures for a variety of reasons, including, but not limited to, accounting considerations and the prohibitive economic cost of hedging particular exposures.
−Removed: For the fiscal year ended October 1, 2021, we had no outstanding foreign currency forward or options contracts with financial institutions.
+Added: For the fiscal year ended September 30, 2022, we had no outstanding foreign currency forward or options contracts with financial institutions.
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.