Company: ALIT
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0001809104-25-000062
Chunk: 230

Company: Alight, Inc. / Delaware
Filing Date: 2025-02-27
Form: 10-K
Item: Item 3
Chunk 230
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 $526,095,599 1.6533 %June 2025December 2021April 2024$435,602,520 $263,047,800 1.6560 %June 2025December 2021April 2024$435,602,520 $263,047,800 1.6650 %June 2025March 2022June 2025$1,197,000,000 $1,197,000,000 2.5540 %December 2026March 2023March 2023$150,000,000 $150,000,000 3.9025 %December 2026March 2023March 2023$150,000,000 $150,000,000 3.9100 %December 2026Concurrent with the refinancing of certain term loans, we amended our interest rate swaps to incorporate Term SOFR. In accordance with Accounting Standards Codification Topic 848, Reference Rate Reform, we did not redesignate the interest rate hedges when they were amended from LIBOR to SOFR as we are permitted to maintain the designation through the transition. During the year ended December 31, 2024, we did not execute any new interest rate swaps. Our interest rate swaps have been designated as cash flow hedges.Certain swap agreements amortize or accrete based on achieving targeted hedge ratios. The Company currently has two instruments that the fair value of the instruments at the time of re-designation are being amortized into interest expense over the remaining life of the instruments.Financial Instrument PresentationThe fair values and location of outstanding derivative instruments recorded in the Consolidated Balance Sheets are as follows (in millions):December 31,2024December 31,2023AssetsOther current assets$23 $60 Other assets8 17 Total$31 $77 LiabilitiesOther current liabilities$— $— Other liabilities— 3 Total$— $3 The Company estimates that approximately $23 million of derivative gains included in Accumulated other comprehensive income as of December 31, 2024 will be reclassified into earnings over the next twelve months.

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14. Financial Instruments Seller EarnoutsUpon completion of the Business Combination, the equity owners of Alight Holdings received an earnout in the form of non-voting shares of Class B-1 and Class B-2 Common Stock, which automatically