Company: EPR-PE
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0001045450-25-000051
Chunk: 157

Company: EPR PROPERTIES
Filing Date: 2025-02-27
Form: 10-K
Item: Item 8
Chunk 157
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 31, 2024, the Company had the following cross-currency swaps: Fixed rateNotional Amount (in millions, CAD)Annual Cash Flow (in millions, CAD)Maturity$1.35 CAD per USD$170.0 $15.3 December 1, 2026$1.35 CAD per USD90.0 8.1 December 1, 2026$260.0 $23.4 The change in the fair value of foreign currency derivatives designated and that qualify as cash flow hedges of foreign exchange risk is recorded in AOCI and reclassified into earnings in the period that the hedged forecasted transaction affects earnings within the same income statement line item as the earnings effect of the hedged transaction. As of December 31, 2024, the Company estimates that during the year ended December 31, 2025, $0.9 million of gains will be reclassified from AOCI to other income.Net Investment HedgesThe Company is exposed to fluctuations in the USD-CAD exchange rate on its net investments in Canada. As such, the Company uses currency forward agreements to manage its exposure to changes in foreign exchange rates on certain of its foreign net investments. As of December 31, 2024, the Company had the following foreign currency forwards designated as net investment hedges:Fixed rateNotional Amount (in millions, CAD)Maturity$1.40 CAD per USD$200.0 December 1, 2026$1.40 CAD per USD90.0 December 1, 2026Total$290.0 

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EPR PROPERTIES Notes to Consolidated Financial StatementsDecember 31, 2024, 2023 and 2022

On December 19, 2024, the Company terminated its CAD to USD forward contracts in conjunction with entering into the new forward agreements described above. The Company received $10.4 million in connection with the settlement of the CAD to USD forward contracts, which continues to be reported in AOCI until the net investment is sold or liquidated.For qualifying foreign currency derivatives designated as net investment hedges, the change in the fair value of the derivatives are reported in AOCI as part of the cumulative translation adjustment. Amounts are reclassified out of AOCI into earnings when the hedged net investment is either sold or substantially liquidated. Gains and losses on the derivative representing hedge components excluded from the assessment of effectiveness are recognized over the life of the