Derivative Instruments And Hedging Strategies
|12 Months Ended|
Dec. 31, 2020
|Derivative Instruments and Hedging Activities Disclosure [Abstract]|
|Derivative Instruments And Hedging Strategies||
10. DERIVATIVE INSTRUMENTS AND HEDGING STRATEGIES
Cash Flow Hedges. RF Vessel Holdings has subsidiaries with interest rate swap agreements designated as cash flow hedges, with an aggregate amortizing notional value of $48.0 million that mature in March 2028. These interest rate swaps call for these subsidiaries to pay a fixed rate of 1.74% on the aggregate amortizing notional value and receive a variable interest rate based on LIBOR. By entering into these interest rate swap agreements, these subsidiaries converted the variable LIBOR component of certain of its outstanding borrowings to a fixed interest rate. During the year ended December 31, 2020, the Company recognized losses on the fair value of these contracts of $1.0 million which is included as a component of other comprehensive loss.
The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef