Company: CVGI
Filing Date: 2025-03-17
Form Type: 10-K
Source: 0001628280-25-012913
Chunk: 102

Company: Commercial Vehicle Group, Inc.
Filing Date: 2025-03-17
Form: 10-K
Item: Item 8
Chunk 102
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 fixed and variable interest amounts calculated by reference to an agreed upon notional principal amount. The interest rate swaps are intended to mitigate the impact of rising interest rates on the Company and covers 50% of outstanding debt under the Term Loan Facility. Any changes in fair value are included in earnings or deferred through Accumulated other comprehensive loss, depending on the nature and effectiveness of the offset. Any 

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ineffectiveness in a cash flow hedging relationship is recognized immediately in earnings in the consolidated statements of operations.  During the second quarter ended June 30, 2022, the Company entered into transactions to cash settle existing interest rate swaps ("Interest rate swap agreements settled in 2022") and received proceeds of $3.9 million. The gain on the swap settlement has been recorded in Other comprehensive income (loss) and will be recognized over the life of the settled swaps. Following the settlement of the existing interest rate swaps, we entered into a new interest rate swap agreement to align with the SOFR rate and maturity date of the Credit Agreement.The fair values of our derivative assets and liabilities and Contingent Consideration measured on a recurring basis as of December 31 and are categorized as follows:December 31, 2024December 31, 2023TotalLevel 1Level 2Level 3TotalLevel 1Level 2Level 3Assets:Foreign exchange contract designated as hedging instruments$— $— $— $— $1,318 $— $1,318 $— Interest rate swap agreement$1,069 $— $1,069 $— $1,073 $— $1,073 $— Liabilities:Foreign exchange contract designated as hedging instruments$5,698 $— $5,698 $— $— $— $— $— Foreign exchange contract not designated as hedging instruments$53 $— $53 $— $304 $— $304 $— The following table summarizes the notional amount of our open foreign exchange contracts at December 31:20242023U.S. $EquivalentU.S. $EquivalentFair ValueU.S. $EquivalentU.S. $EquivalentFair ValueCommitments to buy or sell currencies - Foreign exchange contract designated as hedging instruments$54,359 $55,251 $56,741 $58,094 Commitments to buy or sell currencies -