Company: INRE
Filing Date: 2025-03-05
Form Type: 10-K
Source: 0000950170-25-033568
Chunk: 72

Company: Inland Real Estate Income Trust, Inc.
Filing Date: 2025-03-05
Form: 10-K
Item: Item 16
Chunk 72
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a)As of December 31, 2024, the one-month term SOFR was 4.33%. The table below presents the effect of the Company’s derivative financial instruments on the consolidated statements of operations and comprehensive income (loss) for the years ended December 31, 2024, 2023 and 2022. 

        Year Ended December 31,

        Derivatives in Cash Flow Hedging Relationships:
        2024
         
        2023
         
        2022

        Effective portion of derivatives
        $
        12,032
         
        $
        6,934
         
        $
        40,902

        Reclassification adjustment for amounts included in net gain or loss (effective portion)
        $
        (16,480
        )
        $
        (15,978
        )
        $
        737

89

INLAND REAL ESTATE INCOME TRUST, INC.NOTES TO CONSOLIDATED FINANCIAL STATEMENTSDecember 31, 2024(Dollar amounts in thousands, except per share amounts) 

The total amount of interest expense presented on the consolidated statements of operations and comprehensive income (loss) was $41,272, $42,451 and $33,069 for the years ended December 31, 2024, 2023 and 2022, respectively. The net gain or loss reclassified into income from accumulated other comprehensive income (loss) is reported in interest expense on the consolidated statements of operations and comprehensive income (loss). The amount that is expected to be reclassified from accumulated other comprehensive income into income (loss) in the next 12 months is $10,838. 

NOTE 7 – EQUITY-BASED COMPENSATIONUnder the Company’s Employee and Director Restricted Share Plan (“RSP”), restricted shares and restricted share units generally vest over a one to three year vesting period from the date of the grant, subject to the specific terms of the grant. On November 6, 2024, the Company issued 8,346 restricted shares to its independent directors pursuant to the automatic grant provisions of the RSP, which become vested in equal installments of 33-1/3% on each of the first three anniversaries of November 6, 2024, subject to certain exceptions. In accordance with the RSP, restricted shares and restricted share units are issued to non-employee directors as compensation. Each restricted share unit entitled the holder to