2 unchanged sentences
We use hedge agreements to manage a portion of our risks related to interest rates and fuel prices.
−Removed: While we are exposed to credit risk in the event of non-performance by counterparties to our hedge agreements, in all cases such counterparties are highly rated financial institutions and we do not anticipate non-performance.
+Added: While we are exposed to credit risk in the event of non-performance by counterparties to our hedge agreements, in all cases such counterparties are highly rated financial institutions and we do not anticipate non-performance under current market conditions.
We do not hold or issue derivative financial instruments for trading purposes.
We monitor our hedge positions by regularly evaluating the positions at market and by performing sensitivity analyses over the unhedged fuel and variable rate debt positions.
−Removed: At December 31, 2019, our derivative instruments included 16 interest rate swap agreements that effectively fix the interest rate on the applicable notional amounts of our variable rate debt as follows (dollars in thousands of U.S.
+Added: At December 31, 2020, our derivative instruments included six interest rate swap agreements that effectively fix the interest rate on the applicable notional amounts of our variable rate debt as follows (dollars in thousands of U.S.
Interest Rate
4 unchanged sentences
1-month LIBOR
−Removed: 1-month LIBOR
−Removed: 1-month LIBOR
February 2020
1 unchanged sentence
1-month LIBOR
−Removed: February 2017
−Removed: February 2020
1-month LIBOR
−Removed: 1-month LIBOR
−Removed: 1-month LIBOR
−Removed: 1-month LIBOR
−Removed: 1-month LIBOR
−Removed: 1-month LIBOR
−Removed: 1-month LIBOR
−Removed: February 2020
−Removed: February 2023
−Removed: 1-month LIBOR
−Removed: 1-month LIBOR
December 2018
1 unchanged sentence
Plus applicable margin.
+Added: On September 28, 2020, we terminated four of our interest rate swaps with notional amounts of $150.0 million, $150.0 million, $50.0 million and $50.0 million, each of which would have expired in January 2021.
+Added: As a result of terminating these interest rate swaps, we made total cash payments of $0.9 million to the counterparties of the swap agreements.
Under derivatives and hedging guidance, the interest rate swap agreements are considered cash flow hedges for a portion of our variable rate debt, and we apply hedge accounting to account for these instruments.
4 unchanged sentences
Fair value sensitivity is not necessarily indicative of the ultimate cash flow or earnings effect we would recognize from the assumed market rate movements.
−Removed: We are exposed to cash flow risk due to changes in interest rates with respect to the unhedged floating rate balances owed at December 31, 2019 and 2018, of $766.2 million and $885.0 million, respectively, including floating rate debt under our Credit Agreement and floating rate tax-exempt bond obligations.
+Added: We are exposed to cash flow risk due to changes in interest rates with respect to the unhedged floating rate balances owed at December 31, 2020 and 2019, of $3.7 million and $766.2 million, respectively, including floating rate debt under our Credit Agreement.
A one percentage point increase in interest rates on our variable-rate debt as of December 31, 2020 and 2019, would decrease our annual pre-tax income by approximately $0.1 million and $7.7 million, respectively.
All of our remaining debt instruments are at fixed rates, or effectively fixed under the interest rate swap agreements described above;
−Removed: therefore, changes in market interest rates
−Removed: under these instruments would not significantly impact our cash flows or results of operations, subject to counterparty default risk.
+Added: therefore, changes in market interest rates under these instruments would not significantly impact our cash flows or results of operations, subject to counterparty default risk.
The market price of diesel fuel is unpredictable and can fluctuate significantly.
−Removed: Because of the volume of fuel we purchase each year, a significant increase in the price of fuel could adversely affect our business and reduce our operating margins.
+Added: Because of the volume of fuel we purchase each year, a significant increase in the price of fuel could adversely affect our business and reduce our operating
To manage a portion of this risk, we periodically enter into fuel hedge agreements related to forecasted diesel fuel purchases, and we also enter into fixed price fuel purchase contracts.
7 unchanged sentences
With respect to the approximately 43.5 million gallons of unhedged fuel we expect to purchase in 2021 at market prices, a $0.10 per gallon increase in the price of fuel over the year would decrease our pre-tax income during this period by approximately $4.3 million.
−Removed: We market a variety of recyclable materials, including cardboard, mixed paper, plastic containers, glass bottles and ferrous and aluminum metals.
−Removed: We own and operate recycling operations and sell other collected recyclable materials to third parties for processing before resale.
−Removed: To reduce our exposure to commodity price risk with respect to recycled materials, we have adopted a pricing strategy of charging collection and processing fees for recycling volume collected from third parties.
+Added: We market a variety of recyclable materials, including compost, cardboard, mixed paper, plastic containers, glass bottles and ferrous and aluminum metals.
+Added: We own and operate recycling operations and market collected recyclable materials to third parties for processing before resale.
+Added: Where possible, to reduce our exposure to commodity price risk with respect to recycled materials, we have adopted a pricing strategy of charging collection and processing fees for recycling volume collected from third parties.
In the event of a decline in recycled commodity prices, a 10% decrease in average recycled commodity prices from the average prices that were in effect during the years ended December 31, 2020 and 2019, would have had a $8.4 million and $6.3 million impact on revenues for the year ended December 31, 2020 and 2019, respectively.
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.