5 unchanged sentences
Additionally, we may use short-term derivative instruments to reduce price volatility risk on feedstocks and ethylene associated with the production and sales to third parties.
−Removed: We entered into some of these agreements in 2018 and 2019.
−Removed: Based on our open derivative positions as of December 31, 2019 , a hypothetical $0.10 increase in the price of a gallon of ethane would have increased our income before taxes by $3.9 million and a hypothetical $0.10 decrease in the price of a pound of ethylene would have increased our income before taxes by $9.3 million.
+Added: We entered into some of these agreements in 2018 and 2019.All derivative positions were settled as of December 31, 2020.
Interest Rate Risk
1 unchanged sentence
At December 31, 2020, we had variable rate debt of $399.7 million outstanding, all of which was owed to wholly-owned subsidiaries of Westlake, and accrues interest at a variable rate of LIBOR plus 200 basis points.
−Removed: The interest rate contract with Westlake to fix the LIBOR component of the interest rate for a portion of the MLP Revolver, which was entered into in August 2015, expired in August 2018.
+Added: On March 19, 2020, the Partnership entered into an amendment to the MLP Revolver to extend the maturity date to March 19, 2023 and add a phase-out provision for LIBOR, which is to be replaced by an alternate benchmark rate.
+Added: The amended credit agreement bears interest at a variable rate of either (a) LIBOR plus 2.0% or, if LIBOR is no longer available, (b) Alternate Base Rate plus 1.0%.
The weighted average variable interest rate of our debt as of December 31, 2020 was 2.2%.
2 unchanged sentences
LIBOR is used as a reference rate for all of our outstanding variable rate debt as of December 31, 2020.
−Removed: LIBOR is set to be phased out at the end of 2021.
+Added: The phase-out of LIBOR is set to commence at the end of 2021 and conclude by June 30, 2023.
We are currently reviewing how the LIBOR phase-out will affect us, but we do not expect the impact to be material.
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.