Risk factors

Total debt dropped significantly from $7.4 billion to $4.3 billion, with fixed-rate debt reaching 100%.

Concentration of lease risk in TA and Sonesta remains high for hotels and travel centers.

Southwest Gas added risks regarding the Great Basin Expansion Project and a material weakness in internal controls.

Concentration in the Gulf of Mexico exposes Talos to regional weather, infrastructure, and regulatory shocks.

Fintech partner relationships drive substantial deposits and income, creating concentration and termination exposure.

Taboola dropped its risk regarding public company management experience. Israel operations risk now reflects ongoing war and regional security volatility.

Tariffs and trade policy changes now explicitly threaten the supply of luxury vinyl tile from South Korea and rubber flooring from Germany. Cyberattack risks shift focus from the past November 2022 event to ongoing and future security expenses. Foreign currency impact text changed from a strengthening U.S. dollar to a weakening dollar.

TKO faces new risks regarding consumer taste shifts, IP claims, insurance costs, Endeavor transition services, and share repurchases.

Adopting AI and machine learning creates competitive and regulatory risks if implementation lags behind competitors.

New risks add portfolio-specific exposure to equipment leasing, life sciences, specialty finance fraud, acquisitions and artificial intelligence.

Supply-chain risk now emphasizes long-lead components, forecasting errors, geopolitical disruptions, shortages, excess inventory, and shipping delays.

Long-term debt figures updated alongside new technology products like TETRA Oasis TDS and TETRA PureFlow Plus. Brine lease mineral focus expanded to include magnesium resources alongside lithium and bromine. Commodity price benchmarks updated to reflect a lower average WTI oil price of $65.45 in 2025.