7 unchanged sentences
Our exposure to a change in interest rates is summarized in the table below.
−Removed: As of December 31, 2021, all of our variable rate debt outstanding had rates indexed to LIBOR.
+Added: As of December 31, 2022, our variable rate debt outstanding had rates indexed to LIBOR, SOFR, and the Prime Rate.
(Amounts in thousands) December 31, Balance Weighted Average Interest Rate Effect of 1% Change in Base Rates December 31, Balance Weighted Average Interest Rate
8 unchanged sentences
We may utilize various financial instruments to mitigate the impact of interest rate fluctuations on our cash flows and earnings, including hedging strategies, depending on our analysis of the interest rate environment and the costs and risks of such strategies.
−Removed: As of December 31, 2021, we did not have any material hedging instruments in place.
+Added: We do not enter into any financial instrument agreements, such as derivative agreements, for speculation or trading purposes.
+Added: As of December 31, 2022, the Company was a counterparty to two interest rate derivative agreements which have been designated as cash flow hedges.
+Added: On June 23, 2022, in connection with the refinancing of one of our variable rate loans, we entered into a one-year interest rate cap agreement for a purchase price of approximately $0.3 million.
+Added: The cap agreement has an expiration date of July 1, 2023 and limits the maximum SOFR of the variable loan it is hedged with to 3%.
+Added: This derivative instrument is assessed quarterly and as of December 31, 2022 meets the criteria of an effective hedge.
Fair Value of Debt
6 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.