Company: IPST
Filing Date: 2025-01-27
Form Type: S-1
Source: 0001213900-25-006695
Chunk: 333

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-01-27
Form: S-1
Chunk 333
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,395 |
| Interest on Lease Liabilities       |     |              |       275 |     |      |     2,177 |
| Operating lease cost(1)             |     |              | 1,495,846 |     |      | 1,512,015 |
| Total lease cost                    |     | $            | 1,525,420 |     | $    | 1,563,587 |

| (1) | Included in “Cost of sales”, “Sales and Marketing”                                                   
 and “General and Administrative “expenses in the accompanying consolidated statements of operations. |

|                                                                     |     | December 31, |    |   |     |      |     |   |
|                                                                     |     |         2023 |    |   |     | 2022 |     |   |
| Weighted-average remaining lease term – operating leases (in years) |     |              |  6 |   |     |      | 6.5 |   |
| Weighted-average discount rate – operating leases                   |     |              | 22 | % |     |      |  22 | % |

The Company’s ROU assets and liabilities for
operating leases were $ and $, respectively, as of December 31, 2023. The ROU assets and liabilities for operating leases
were $ and $, respectively, as of December 31, 2022. The ROU assets for operating leases were included in “Operating
Lease Right-of-Use Assets, net” in our accompanying consolidated balance sheets. The liabilities for operating leases were included
in the “Operating Lease Liabilities, Current” and “Operating Lease Liabilities, net of Current Portion” in the
accompanying consolidated balance sheets.

F-72 Heritage Distilling Holding Company, Inc.
Notes to Consolidated Financial Statements NOTE 11 — LEASES (cont.)

| Years Ending            |     | Amounts |            |   |
|:------------------------|:----|:--------|-----------:|:--|
| 2024                    |     | $       |  1,449,504 |   |
| 2025                    |     |         |  1,245,614 |   |
| 2026                    |     |         |  1,187,039 |   |
| 2027                    |     |         |  1,199,467 |   |
| 2028                    |     |