Apple currently has an existing loan arrangement with HSBC where it pays 7% fixed rate. Apple believes that interest rates are going to decline so it wants to swap its existing fixed rate loan arrangement with a floating rate arrangement. HSBC offers a floating rate of LIBOR + 2.5 % per annum. Samsung, on the other hand, has an existing loan arrangement with Bank Paribas where it pays a floating rate of LIBOR + 3% per annum. Samsung believes