Company: AHL
Filing Date: 2025-05-08
Form Type: 424B4
Source: 0001628280-25-023859
Chunk: 170

Company: ASPEN INSURANCE HOLDINGS LTD
Filing Date: 2025-05-08
Form: 424B4
Chunk 170
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2

For the twelve months ended December 31, 2023, the impact of these derivative contracts on net income was a gain of $26.1 million (2022 — loss of $80.5 million), attributable to foreign exchange contracts that had a gain of $10.9 million (2022 — loss of $66.0 million), and an additional gain within the LPT embedded derivative of $15.2 million (2022 — loss of $14.5 million). The gain on the foreign exchange contracts was largely attributable to the impact from the continued strengthening of the U.S. dollar against the British Pound and the Euro.

Interest expense

The following table sets forth a summary of the interest expense for the twelve months ended December 31, 2024, 2023 and 2022:

|                                     |     | Twelve Months Ended December 31, 
 2024                             
 ($ in millions)                  |      |      |     | 2023 |      |     | 2022 |      |
|:------------------------------------|:----|:---------------------------------|-----:|-----:|:----|:-----|-----:|:----|:-----|-----:|
| Interest on LPT Funds Withheld      |     | $                                | 41.0 |      |     | $    | 39.6 |     | $    | 29.4 |
| Interest on 2023 Senior Notes       |     |                                  |    — |      |     |      | 12.6 |     |      | 14.3 |
| Interest and fees on 2026 Term Loan |     |                                  |      | 21.1 |     |      |  3.0 |     |      |    — |
| Interest expense                    |     | $                                | 62.1 |      |     | $    | 55.2 |     | $    | 43.7 |

2024 compared to 2023

The increase in the interest expense for 2024 was primarily driven by an increase in the interest incurred on the Company’s debt. During the fourth quarter of 2023, the Company drew down on its term loan facility to repay the then outstanding 4.65% Senior Notes due 2023 (the “2023 Senior Notes”). This change in financing facility resulted in a change in the underlying interest rate, from a fixed rate to a variable rate, leading to the increased expense recognized in the twelve months ended December