Chipotle 2013 Annual Report Download - page 40

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Changing Interest Rates
We are exposed to interest rate risk through fluctuations of interest rates on our investments. Changes in
interest rates affect the interest income we earn, and therefore impact our cash flows and results of operations. As
of December 31, 2013, we had $652.5 million in investments and interest-bearing cash accounts, including an
insurance related restricted trust account classified in other assets, and $240.7 million in accounts with an
earnings credit we classify as interest income, which combined earned a weighted average interest rate of 0.33%.
Foreign Currency Exchange Risk
A portion of our operations consist of activities outside of the U.S. and we have currency risk on the
transactions in other currencies and translation adjustments resulting from the conversion of our international
financial results into the U.S. dollar. However, a substantial majority of our operations and investment activities
are transacted in the U.S. and therefore our foreign currency risk is limited at this date.
38
Annual Report