Company: CMDB
Filing Date: 2025-03-31
Form Type: 20FR12B
Source: 0001140361-25-011425
Chunk: 265

Company: Costamare Bulkers Holdings Ltd
Filing Date: 2025-03-31
Form: 20FR12B
Chunk 265
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 interest rate changes, an increase of 100 basis points in the reference rates would have decreased our net income and cash flows during the fiscal year ended December 31, 2024 by approximately $1.7 million based upon our debt level during such period. As of December 31, 2024, we had outstanding bank loan indebtedness of $339.3 million. The following table sets forth the sensitivity of our outstanding long-term debt, including the effect on our statement of operations of our derivative contracts (if any) to a 100 basis points increase in the aforementioned reference rates during the next five years on the same basis. Net Difference in Earnings and Cash Flows (in millions of U.S. dollars):

| Year |     | Amount |
| 2025 |     |    3.2 |
| 2026 |     |    2.9 |
| 2027 |     |    2.6 |
| 2028 |     |    2.3 |
| 2029 |     |    1.1 |

Derivative Financial Instruments Interest Rates According to our long-term strategic plan to maintain stability in our interest rate exposure, we may decide to minimize our exposure to floating interest rates by entering into interest rate swap/cap agreements. To this effect, we may enter into interest rate swap/cap transactions with varying start and maturity dates, in order to proactively and efficiently manage our floating rate exposure. Furthermore, we may enter into cross currency swap agreements and foreign currency exchange agreements to manage our exposure to fluctuations of foreign currencies risks. ASC 815, “Derivatives and Hedging”, established accounting and reporting standards for derivative instruments, including certain derivative instruments embedded in other contracts and for hedging activities. All derivatives will be recognized in the predecessor combined carve-out financial statements at their fair value. On the inception date of the derivative contract, and an ongoing basis, and after putting in place the formal documentation required by ASC 815 in order to designate these derivatives as hedging instruments, we designate the derivative as a hedge of a forecasted transaction or the variability of cash flow to be paid. Changes in the fair value of a derivative that is qualified, designated and highly effective as a cash flow hedge is recorded in other comprehensive income until earnings are affected by the forecasted transaction or the variability of cash flow and are then reported in earnings. Changes in the fair value of undesignated derivative instruments and the ineffective portion of designated derivative instruments are reported in earnings in the period in which those