Selling, General and Administrative Expenses. Income Before Income Taxes. Provision for Income Taxes. The decline in the effective tax rate in 2000 is primarily a result of more income being generated in jurisdictions with lower tax burdens, the implementation of certain tax planning strategies, and non-recurring tax refunds generated in the third quarter of 2000. The revolving facility permits the Company to borrow up to half its borrowing in specified foreign currencies.
Interest is payable monthly at an overnight money market borrowing rate.
These interest rate swap agreements will all expire by December 31, 2000. The interest rate swap agreements exchange variable interest rates on the senior secured credit facility for fixed interest rates. The Company does not use derivatives for speculative or profit-motivated purposes. Inflation and International Presence Management believes that the Company's operations have not been adversely affected by inflation. By operating internationally, the Company is affected by the economic conditions of certain countries.