2 unchanged sentences
As a matter of policy, we do not engage in trading or speculative transactions.
−Removed: For further information on accounting related to derivative financial instruments, refer to Note I – “Derivative Financial Instruments” in our Consolidated Financial Statements.
Foreign Exchange Risk
1 unchanged sentence
The reporting currency for our consolidated financial statements is the U.S.
−Removed: Certain of our assets, liabilities, expenses, revenues and earnings are denominated in other countries’ currencies, including the Euro, British Pound, Chinese Yuan, Indian Rupee, Australian Dollar and Mexican Peso.
+Added: Certain of our assets, liabilities, expenses, revenues and earnings are denominated in other countries’ currencies, including the Euro, British Pound, Chinese Yuan, Australian Dollar, Indian Rupee and Mexican Peso.
Those assets, liabilities, expenses, revenues and earnings are translated into U.S.
17 unchanged sentences
We calculated the pretax earnings effect on our interest sensitive instruments.
−Removed: Based on this sensitivity analysis, we have determined that an increase of 10% in our average floating interest rates at December 31, 2024 would not have materially increased interest expense during the year ended December 31, 2024.
+Added: Based on this sensitivity analysis, we have determined that an increase of 10% in our average floating interest rates at December 31, 2025 would have approximately a $7 million impact on interest expense during the year ended December 31, 2025.
Commodities Risk
6 unchanged sentences
We actively manage our material sourcing, and employ various methods to limit risk associated with commodity cost fluctuations and availability.
−Removed: The overall continuity of material supply into our manufacturing operations has improved from the prior year.
+Added: The overall continuity of material supply into our manufacturing operations was stable during 2025.
We have designed and implemented plans to mitigate the impact of these risks by using alternate suppliers, expanding our supply base globally, leveraging our overall purchasing volumes to obtain favorable pricing and quantities, developing a closer working relationship with key suppliers and purchasing hedging instruments to partially offset anticipated exposures.
Principal materials and components used in our various manufacturing processes include steel, castings, engines, tires, hydraulics, cylinders, drive trains, cab chassis, electric controls and motors, semiconductors, and a variety of other commodities and fabricated or manufactured items.
−Removed: Inflationary pressure on certain purchased components have continued while the cost of U.S.
−Removed: steel has declined throughout 2024.
+Added: Inflationary pressure on certain purchased components has persisted while the cost of U.S.
+Added: steel remained volatile throughout 2025, driven by restocking demand and an increase of Section 232 tariffs on steel from 25% to 50%, which now apply to a broader range of steel and derivative products.
Additionally, import of certain purchased components and parts may be impacted by the implications of sanctions preventing the use of iron and steel from Russia in such components and parts.
government has imposed tariffs on certain foreign goods from a variety of countries and regions that it perceives as engaging in unfair trade practices.
−Removed: Tariffs on certain foreign origin goods continue to put pressure on input costs, which we have been able to mitigate some effects of tariffs through the U.S.
+Added: Tariffs on certain foreign origin goods continue to put pressure on input costs.
+Added: We have been able to mitigate some effects of tariffs through the U.S.
government’s duty draw-back mechanism, tariff exclusion process, footprint utilization, and prudent sourcing.
4 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.