4 unchanged sentences
Interest Rate Risk
−Removed: The table below summarizes the expected interest and principal payments associated with our variable rate debt outstanding at December 31, 2022 (mainly the $3.1 billion variable rate senior secured term loan due 2026 (2026 Term Loan) and our asset-based revolving credit facility).
−Removed: The principal payments presented below are based on scheduled maturities and assume no borrowings under our asset-based revolving credit facility.
+Added: The table below summarizes the expected interest and principal payments associated with our variable rate debt outstanding at December 31, 2023, primarily the 2026 Term Loan and the Revolving Credit Facility.
+Added: The principal payments presented below are based on scheduled maturities and assume no borrowings under our Revolving Credit Facility.
The interest payments presented below assume the interest rates in effect as of December 31, 2023 (see Note 8 in the Notes to Consolidated Financial Statements included elsewhere in this Annual Report on Form 10-K).
9 unchanged sentences
Average cash interest rate
−Removed: As part of our hedging strategy to mitigate a portion of the exposure to changes in cash flows resulting from the variable interest rate on our 2026 Term Loan, in March 2019, we entered into and designated pay-fixed, receive-variable interest rate swap derivatives as cash flow hedges of interest rate risk.
−Removed: The total notional amount of the interest rate swap derivatives as of December 31, 2022 was $300 million with outstanding maturities of up to fifteen months.
−Removed: As of December 31, 2022, the combined fair value of the interest rate swaps was an $8.6 million gain.
+Added: We utilize a hedging strategy to mitigate a portion of the exposure to changes in cash flows resulting from variable interest rates on the 2026 Term Loan.
+Added: In conjunction with the amendment to our 2026 Term Loan due to reference rate reform, on June 28, 2023, the Company settled its cash flow hedges with a notional value of $300.0 million that were outstanding.
+Added: During the third quarter of 2023, and following the amendment to the 2026 Term Loan and settlement of the cash flow hedges, we again reenacted our hedging strategy to mitigate the interest rate risk from our variable rate debt, initially associated with our amended 2026 Term Loan and extending to future borrowings or debt issued, to fix a portion of the future interest cash flows by designating qualifying receive-variable and pay-fixed interest rate swaps as a cash flow hedge for accounting and financial reporting purposes.
+Added: The total notional amount of the interest rate swap derivatives as of December 31, 2023 was $700.0 million with outstanding maturities up to thirty-one months.
+Added: As of December 31, 2023, the combined fair value of the interest rate swaps was an $8.0 million loss.
The table above excludes the impact of these interest rate swap derivatives.
11 unchanged sentences
We use derivative instruments such as forward exchange contracts to manage the risk of fluctuations in the value of certain foreign currencies.
−Removed: As of December 31, 2022, we had foreign exchange contracts with a net unrealized gain of $3.4 million, with maturities of up to eight months and aggregate notional value of $522.2 million (based on exchange rates as of December 31, 2022).
+Added: As of December 31, 2023, we had foreign exchange contracts with a net unrealized gain of $5.1 million, with maturities of up to nine months and aggregate notional value of $630.1 million (based on exchange rates as of December 31, 2023).
These contracts are not designated as hedges for accounting purposes and are marked to market each period through earnings and, as such, there were no unrecognized gains or losses as of December 31, 2023 or 2022.
7 unchanged sentences
We may also enter into agreements with certain suppliers to guarantee our access to certain key components.
−Removed: As of December 31, 2022, we had forward purchase commitments outstanding under take-or-pay contracts for certain metals of approximately $4.9 million that we expect to consume in the normal course of operations through the second quarter of 2023.
+Added: As of December 31, 2023, we had no forward purchase commitments outstanding under take-or-pay contracts.
We continuously evaluate the amount and type of derivative instruments utilized to manage commodity price risk.
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.