6 unchanged sentences
Changes in interest rates also impact the fair value of our fixed-rate vacation ownership notes receivable and our fixed-rate debt.
−Removed: As of December 31, 2022, approximately $784 million of our gross aggregate consolidated indebtedness (our Term Loan) was indexed to the USD London Interbank Offered Rate (“LIBOR”) and we were party to $550 million of derivative instruments indexed to LIBOR.
−Removed: authority that regulates LIBOR announced that it will no longer permit new LIBOR contracts after December 31, 2021, and will not compel banks to submit rates for the calculation of LIBOR after June 2023.
−Removed: We intend to amend our Term Loan and derivative instruments to reference an alternative benchmark rate prior to the cessation of LIBOR.
−Removed: The use of an alternative benchmark rate could cause our interest expense to increase, which could adversely affect our financial condition, operating results and cash flows.
−Removed: The following table sets forth the scheduled maturities and the total fair value as of year-end 2022 for our financial instruments that are impacted by market risks:
+Added: We manage the interest rate risk on our corporate debt through the use of a combination of fixed-rate debt and interest rate swaps (certain of which expired in September 2023 and the remaining outstanding interest rate swaps will expire in April 2024) that fix a portion of our variable-rate debt.
+Added: At December 31, 2023, after considering the impact of interest rate swap agreements and excluding finance leases, the interest rate applicable to approximately 80% of our corporate debt was effectively fixed and the interest rate applicable to the remaining 20% (approximately $589 million) was variable.
+Added: Assuming no outstanding balance on our Revolving Corporate Credit Facility, a 100 basis point increase in the underlying benchmark rate on our variable-rate debt at December 31, 2023 would result in an increase of approximately $5 million in annual cash interest due to the impact of our hedging arrangements discussed in Footnote 16 “Debt” to our Financial Statements.
+Added: Assuming we had no outstanding hedging arrangements and no outstanding balance on our Revolving Corporate Credit Facility, a 100 basis point increase in the underlying benchmark rate on our variable-rate debt at December 31, 2023 would result in an annual increase in cash interest of approximately $8 million.
+Added: The following table presents the scheduled maturities and the total fair value as of year-end 2023 for our financial instruments that are impacted by market risks:
($ in millions) Average
Rate Maturities by Period
−Removed: 2023 2024 2025 2026 2027 Thereafter Total Carrying Value Total
+Added: 2024 2025 2026 2027 2028 There-after Total Carrying Value Total
Assets – Maturities represent expected principal receipts;
2 unchanged sentences
Vacation ownership notes receivable — securitized 13.3% $ 171 $ 176 $ 181 $ 183 $ 181 $ 1,020 $ 1,912 $ 1,994
+Added: Contracts receivable for financed VOI sales, net 12.6% $ 3 $ 3 $ 3 $ 3 $ 3 $ 22 $ 37 $ 37
Liabilities – Maturities represent expected principal payments;
1 unchanged sentence
Securitized debt 4.6% $ (193) $ (196) $ (319) $ (192) $ (189) $ (1,032) $ (2,121) $ (2,068)
−Removed: 2025 Notes 6.1% $ (250) $ — $ — $ — $ — $ — $ (250) $ (258)
+Added: Term Loan 7.2% $ — $ (784) $ — $ — $ — $ — $ (784) $ (784)
+Added: Revolving Corporate Credit Facility 7.5% $ — $ — $ — $ (105) $ — $ — $ (105) $ (105)
2028 Notes 4.8% $ — $ — $ — $ — $ (350) $ — $ (350) $ (322)
2029 Notes 4.5% $ — $ — $ — $ — $ — $ (500) $ (500) $ (445)
−Removed: Term Loan 6.1% $ — $ — $ (784) $ — $ — $ — $ (784) $ (775)
2026 Convertible Notes —% $ — $ — $ (575) $ — $ — $ — $ (575) $ (508)
7 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.