Crocs(CROX)2024-02-14 16:00Financial Position - As of December 31, 2023, the company had borrowings with a face value of $1,713.3 million, down from $2,379.3 million in 2022[277]. - A hypothetical 1% increase in interest rates would raise interest expenses by $10.1 million over the next twelve months[278]. - An increase of 1% in the value of the USD relative to foreign currencies would have decreased revenues by approximately $13.8 million for the year ended December 31, 2023[280]. Production and Sourcing - Approximately 56% of Crocs Brand production was in Vietnam for the year ended December 31, 2023, with the largest manufacturer producing 47% of total production[61]. - For the HEYDUDE Brand, approximately 83% of production was in China for the year ended December 31, 2023[61]. - The company has a flexible, globally-diversified sourcing strategy to mitigate concentration risks in manufacturing[59]. Warehousing and Distribution - The company operated warehouses and distribution facilities provided 3.4 million square feet of space, with third-party facilities adding another 0.9 million square feet[60]. Research and Development - The company continues to invest in research and development to enhance the properties of its proprietary Croslite™ material and reduce environmental impact[55]. Intellectual Property and Risk Management - The company actively protects its intellectual property, including trademarks and patents, to maintain competitive advantages in the market[62]. - The company utilizes forward contracts to manage foreign currency exchange risks, with a notional value of approximately $185.0 million as of December 31, 2023[281].