Company: KW
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0001408100-25-000084
Chunk: 191

Company: Kennedy-Wilson Holdings, Inc.
Filing Date: 2025-02-28
Form: 10-K
Item: Item 8
Chunk 191
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 indebtedness, the maximum balance sheet leverage ratio (as defined in the indenture) is greater than 1.50 to 1.00, subject to certain exceptions.  As of December 31, 2024, the maximum balance sheet leverage ratio was 1.28 to 1.00.  See Note 18 for the guarantor and non-guarantor financial statements.    As of December 31, 2024, the Company was in compliance with all financial covenants.

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Table of ContentsKennedy-Wilson Holdings, Inc.Notes to Consolidated Financial Statements—(continued)December 31, 2024 2023 and 2022

NOTE 10—KWE UNSECURED BONDS

The following table details the KWE unsecured bonds as of December 31, 2024 and 2023: December 31,(Dollars in millions)20242023KWE Euro Medium Term Note Programme(1)$310.0 $523.3 Unamortized loan fees(0.2)(0.5)Total KWE Unsecured Bonds$309.8 $522.8 (1)  The KWE unsecured bonds balances include unamortized debt discounts.  Debt discounts represent the difference between the fair value of debt at issuance and the principal value of debt and are amortized into interest expense over the remaining term of the related debt in a manner that approximates the effective interest method.  The net unamortized loan discount as of December 31, 2024 and 2023 was $0.5 million and $1.0 million, respectively.KWE issued senior unsecured notes for an aggregate principal amount of (€550 million) (the "KWE Notes").  The KWE Notes were issued at a discount with an annual fixed coupon of 3.25%, and mature in November 2025.  KWE invested proceeds from the KWE Notes to fund equity investments in euro denominated assets and has designated the KWE Notes as a net investment hedge under ASC Topic 815.  Subsequent fluctuations in foreign currency rates that impact the carrying value of the KWE Notes are recorded to accumulated other comprehensive income.  During the year ended December 31, 2024, Kennedy Wilson recognized a gain of $24.4 million in accumulated other comprehensive income due to the weakening of the euro against the GBP during the period.  On December 18, 202