Company: BRID
Filing Date: 2025-06-02
Form Type: 10-Q
Source: 0001641172-25-013252
Chunk: 21

Company: BRIDGFORD FOODS CORP
Filing Date: 2025-06-02
Form: 10-Q
Item: Part I, Item 1
Chunk 21
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5. Our inability to meet financial covenant requirements
of the Credit Agreement may impact our liquidity. We are discussing potential solutions with Wells Fargo Bank, N.A., regarding amendment or renewal of the revolving line of credit. We have reclassified $1,239 of equipment note payable from a long-term notes payable
- equipment to a current notes payable – equipment in compliance with ASC 470 Debt. We plan to implement a price increase on our
products to help offset some of the higher costs for meat commodities and are focused on reducing selling, general and administrative
expenses. Certain factors such as increased commodity costs, tariffs, willingness of customers to accept price increases and inflation
of input costs, to name a few, may cause future outcomes to differ materially from those foreseen in forward-looking statements.

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Item
2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

(dollars
in thousands)

CAUTIONARY
NOTE REGARDING FORWARD-LOOKING STATEMENTS

Certain
statements included within in this Report, and the information and documents incorporated by reference with this Report, constitute “forward-looking
statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and
Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). These forward-looking statements are
intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. All statements
other than statements of historical fact included in this Report or incorporated by reference into this Report are forward-looking statements.
These statements include, among other things, any predictions of earnings, revenues, expenses or other financial items; plans or expectations
with respect to our business strategy; statements concerning industry trends; statements regarding anticipated demand for our products,
or the products of our competitors; statements relating to manufacturing forecasts; statements relating to forecasts of our liquidity
position or available cash resources; statements regarding operational challenges, including as a result of global supply chain disruptions
and labor shortages; statements regarding inflationary pressures, including increased costs for labor and freight, and the resulting
impact on our results of operations; statements regarding new regulations related to federal income tax and the impact on our financial
statements and cash flow; statements regarding the impact of the adoption of recent accounting pronouncements on our business; and statements
relating to the assumptions underlying any of the foregoing. Throughout this Report, we have attempted to