QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
−Removed: We are exposed to market risk from changes in interest rates, commodity prices and foreign currency exchange rates.
+Added: We are exposed to market risk from changes in commodity prices, foreign currency exchange rates, and interest rates.
Commodity Price Risk
5 unchanged sentences
Foreign Currency Exchange Rate Risk
−Removed: In 2020, we conducted business in several foreign countries, including Mexico, Canada, and China.
+Added: We conduct business in foreign countries, primarily in Mexico.
To date, most foreign revenues are denominated in U.S.
3 unchanged sentences
Foreign currency translation gains and losses primarily relate to changes in the value of revenue equipment owned by a subsidiary in Mexico, whose functional currency is the Peso .
−Removed: Foreign currency translation losses were $2.9 million in 2020 and foreign currency translation gains were $2.0 million in 2019 and were recorded in accumulated other comprehensive loss within stockholders’ equity in the Consolidated Balance Sheets.
+Added: Foreign currency translation losses were $1.4 million and $2.9 million for the years ended December 31, 2021 and 2020, respectively, and were recorded in accumulated other comprehensive loss within stockholders’ equity in the consolidated balance sheets.
The exchange rate between the Mexican Peso and the U.S.
1 unchanged sentence
Interest Rate Risk
−Removed: We manage interest rate exposure through a mix of variable rate debt and interest rate swap agreements.
−Removed: We had $150 million of debt outstanding at December 31, 2020, for which the interest rate is effectively fixed at 2.34% through May 2024 with two interest rate swap agreements to reduce our exposure to interest rate increases.
−Removed: We had $50 million of variable rate debt outstanding at December 31, 2020.
−Removed: Interest rates on the variable rate debt and our unused credit facilities are based on the LIBOR (see Contractual Obligations and Commercial Commitments).
+Added: We manage interest rate exposure through a mix of variable interest rate debt and interest rate swap agreements.
+Added: We had $150 million of variable interest rate debt outstanding at December 31, 2021, for which the interest rate is effectively fixed at 2.34% through May 2024 with two interest rate swap agreements to reduce our exposure to interest rate increases.
+Added: In addition, we had $180.0 million of variable interest rate debt outstanding at December 31, 2021.
+Added: Interest rates on the variable rate debt and our unused credit facilities are based on the LIBOR.
+Added: See Note 8 in the Notes to Consolidated Financial Statements under Item 8 of Part II of this Form 10-K for further detail of our debt.
Assuming this level of borrowing, a hypothetical one-percentage point increase in the LIBOR interest rate would increase our annual interest expense by approximately $1.8 million.
Due to uncertainty surrounding the suitability and sustainability of the London Interbank Offered Rate (LIBOR), central banks and global regulators have called for financial market participants to prepare for the discontinuation of LIBOR.
−Removed: On November 30, 2020, ICE Benchmark Administration announced its intention to consult on ceasing publication of one-week and two-month settings of the USD LIBOR benchmark at the end of December 2021, and ceasing publication of the remaining overnight and one-, three-, six- and 12-month USD LIBOR settings at the end of June 2023.
+Added: On March 5, 2021, ICE Benchmark Administration ratified its proposal on ceasing publication of one-week and two-month settings of the USD LIBOR benchmark at the end of December 2021, and ceasing publication of the remaining overnight and one-, three-, six- and 12-month USD LIBOR settings at the end of the June 2023.
LIBOR is a widely-referenced benchmark rate, and our unsecured credit facilities are referenced to LIBOR.
1 unchanged sentence
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.