4 unchanged sentences
We are exposed to the impact of interest rate changes primarily through our actual and potential borrowing activities.
−Removed: During the year ended December 31, 2020, we had access to a $2.5 billion revolving credit facility, which had no outstanding borrowings as of December 31, 2020.
+Added: During the year ended December 31, 2021, we entered into a new $2.5 billion multicurrency revolving credit facility, replacing the existing $2.5 billion credit agreement.
+Added: We have the capacity to initially borrow up to $2.5 billion, and upon the closing of the proposed combination transaction with WarnerMedia and subject to certain conditions, the available commitments will increase by $3.5 billion, to an aggregate amount not to exceed $6 billion.
+Added: We had no outstanding borrowings as of December 31, 2021.
We also have access to a commercial paper program, which had no outstanding borrowings as of December 31, 2021.
−Removed: The interest rate on borrowings under the revolving credit facility is variable based on an underlying index and DCL's then-current credit rating for its publicly traded debt.
−Removed: The revolving credit facility matures in August 2022 and the option for up to two additional 364-day renewal periods.
+Added: The interest rate on borrowings under the revolving credit facility is based on a floating rate based on the applicable currency of the borrowing plus a margin.
+Added: The revolving credit facility matures in June 2026 and the option for up to two additional 364-day renewal periods.
As of December 31, 2021, we had outstanding debt with a book value of $15.2 billion under various public senior notes with fixed interest rates.
Our current objectives in managing exposure to interest rate changes are to limit the impact of interest rates on earnings and cash flows.
−Removed: To achieve these objectives, we may enter into variable interest rate swaps, effectively converting fixed rate borrowings to variable rate borrowings indexed to LIBOR in order to reduce the amount of interest paid.
+Added: To achieve these objectives, we may enter into variable interest rate swaps or swaptions, effectively converting fixed rate borrowings to variable rate borrowings indexed to LIBOR in order to reduce the amount of interest paid.
We may also enter into fixed rate forward starting swaps to limit the impact of volatility in interest rates for future issuances of fixed rate debt.
−Removed: As of December 31, 2020, we had entered into forward starting interest rate swap agreements with a notional value of $2 billion for the future issuances of fixed rate debt.
+Added: As of December 31, 2021, we had entered into forward starting interest rate swap agreements with a notional value of $2 billion for the future issuances of fixed rate debt and a combination of swaption collars, purchase payer swaptions and interest rate swaps with a combined notional value of $15 billion for the expected issuances of debt associated with the upcoming WarnerMedia merger.
As of December 31, 2021, the fair value of our outstanding public senior notes was $17.2 billion.
6 unchanged sentences
The risk of loss can be assessed from the perspective of adverse changes in fair values, cash flows, and future earnings.
−Removed: Our International Networks segment operates from hubs in EMEA, Latin America and Asia.
−Removed: Cash is primarily managed from five global locations with net earnings reinvested locally and working capital requirements met from existing liquid funds.
+Added: Our International Networks segment operates from hubs in EMEA, Latin America and Asia with net earnings reinvested locally and working capital requirements met from existing liquid funds.
To the extent such funds are not sufficient to meet working capital requirements, drawdowns in the appropriate local currency are available from intercompany borrowings or drawdowns from our revolving credit facility.
12 unchanged sentences
dollar against any foreign functional currency of one of our operating subsidiaries will cause us to experience unrealized foreign currency translation gains or losses with respect to amounts already invested in such foreign currencies.
−Removed: Accordingly, we may experience a negative impact on our net income (loss), other comprehensive income (loss) and equity with respect to our holdings solely as a result of changes in foreign currency.
+Added: Accordingly, we may experience a negative impact on our net income, other comprehensive income (loss) and equity with respect to our holdings solely as a result of changes in foreign currency.
The majority of our foreign currency exposure is to the Euro, Polish zloty, and the British Pound.
2 unchanged sentences
Our objective in managing exposure to foreign currency fluctuations is to reduce volatility of earnings and cash flows.
−Removed: The net fair market value of our foreign currency derivative instruments intended to hedge future cash flows held at December 31, 2020 was a liability value of $24 million.
Most of our non-functional currency risks related to our revenue, operating expenses and capital expenditures were not hedged as of December 31, 2021.
We generally do not hedge against the risk that we may incur non-cash losses upon the translation of the financial statements of our subsidiaries and affiliates into U.S.
+Added: (See Note 10 to the accompanying consolidated financial statements.)
We may use derivative financial instruments to modify our exposure to exogenous events and market risks from changes in foreign currency exchange rates, interest rates, and the fair value of investments with readily determinable fair values.
2 unchanged sentences
We do not hold or enter into financial instruments for speculative trading purposes.
+Added: (See Note 10 to the accompanying consolidated financial statements.)
Market Values of Investments
−Removed: In addition to derivatives, we had investments in entities accounted as equity method investments, equity investments, and other highly liquid instruments, such as money market and mutual funds, that are accounted for at fair value.
+Added: In addition to derivatives, we had investments in entities accounted for as equity method investments, equity investments, and other highly liquid instruments, such as money market and mutual funds, that are accounted for at fair value.
(See Note 4 and Note 5 to the accompanying consolidated financial statements.) Investments in mutual funds include both fixed rate and floating rate interest earning securities that carry a degree of interest rate risk.
2 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.