Company: SABR
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001597033-25-000090
Chunk: 61

Company: Sabre Corp
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 61
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 since origination and our stock price on the date of the occurrence of such Make-Whole Fundamental Change. Debt issuance costs are amortized over the contractual life of the Exchangeable Notes through interest expense, within our results from continuing operations. The effective interest rate at June 30, 2025 was 8.82% for the 2026 Exchangeable Notes. The effective interest rates at June 30, 2024 were 4.78% and 8.82% for the 2025 Exchangeable Notes and the 2026 Exchangeable Notes, respectively.The following table sets forth the carrying value of the Exchangeable Notes as of June 30, 2025 and December 31, 2024 (in thousands):June 30, 2025December 31, 20242025 Exchangeable Notes2026 Exchangeable Notes2025 Exchangeable Notes2026 Exchangeable NotesPrincipal$— $150,000 $183,220 $150,000 Less: Unamortized debt issuance costs— 2,314 414 3,311 Net carrying value$— $147,686 $182,806 $146,689 The following table sets forth interest expense recognized related to the Exchangeable Notes for the three and six months ended June 30, 2025 and 2024 (in thousands): Three Months Ended June 30,Six Months Ended June 30,20252024202520242025 Exchangeable Notes2026 Exchangeable Notes2025 Exchangeable Notes2026 Exchangeable Notes2025 Exchangeable Notes2026 Exchangeable Notes2025 Exchangeable Notes2026 Exchangeable NotesContractual interest expense$305 $2,745 $1,832 $2,745 $2,138 $5,490 $4,964 $3,111 Amortization of issuance costs59 504 342 461 414 996 920 522 

8. Derivatives 

Hedging Objectives—We are exposed to certain risks relating to ongoing business operations. The primary risk managed by using derivative instruments is interest rate risk. Interest rate swaps are entered into to manage interest rate risk associated with our floating-rate borrowings.In accordance with authoritative guidance on accounting for derivatives and hedging, we designate interest rate swaps as cash flow hedges of floating-rate borrowings.Cash Flow Hedging Strategy—We enter into interest rate swap agreements to manage interest rate risk exposure. The interest rate swap