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Derivative Instruments
 12 Months Ended
Dec. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments
12.Derivative Instruments
The Company is exposed to certain market risks relating to its ongoing business operations. From time to time, the Company enters into derivative instrument arrangements to manage various risks including interest rate risk.
Interest rate swap contracts
The Company has entered into interest rate swap contracts to manage the interest rate risk associated with its outstanding variable-interest rate borrowings. Such contracts are intended to economically hedge the floating benchmark rate component of future interest payments associated with outstanding borrowings under the Company’s Amended and Restated Credit Agreement.
A summary of the Company’s interest rate swap contracts with a collective notional amount of $1.9 billion outstanding as of December 31, 2021 is as follows:
Contract Inception DateContract End Date
Fixed Interest Rates1
Notional Amount at inception
(in thousands)
December 2017December 20222.204%$300,000 
March 2020March 20231.954%150,000 
March 2019March 20231.956%100,000 
March 2019March 20232.413%200,000 
March 2020December 20231.862%200,000 
May 2021May 20240.435%150,000 
May 2021May 20240.440%150,000 
May 2021May 20250.678%300,000 
May 2021May 20260.909%150,000 
May 2021May 20260.910%150,000 
1 Fixed interest rates payable by WEX. Counterparties pay floating rate equal to the one-month USD LIBOR.
The following table presents information on the location and amounts of interest rate swap gains and losses:
(In thousands)Year ended December 31,
Derivatives
Not Designated as Hedging Instruments		Location of Gain (Loss) Recognized in Consolidated Statements of Operations202120202019
Interest rate swap contracts –
unrealized portion		Net unrealized gain (loss) on financial instruments$39,986 $(27,569)$(35,363)
Interest rate swap contracts –
realized portion		Financing interest expense$25,650 $15,842 $(5,411)
In addition to its interest rate swap contracts, at December 31, 2021 the Company has a contingent consideration derivative liability associated with its asset acquisition from Bell Bank. See Note 4, Acquisitions, for further discussion of this derivative. Also, see Note 18, Fair Value, for more information regarding the valuation of the Company’s interest rate swaps and the Company’s contingent consideration derivative liability.