Company: BRID
Filing Date: 2025-03-07
Form Type: 10-Q
Source: 0001493152-25-009592
Chunk: 93

Company: BRIDGFORD FOODS CORP
Filing Date: 2025-03-07
Form: 10-Q
Item: Part I, Item 2
Chunk 93
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5).

Recently
issued accounting pronouncements and regulations

In June 2016, the FASB issued ASU No. 2016-13, Financial
Instruments—Credit Losses (ASC 326), which provides guidance on measurement of credit losses on financial instruments. This ASU
adds a current expected credit loss impairment model to GAAP that is based on expected losses rather than incurred losses whereby a broader
range of reasonable and supportable information is required to be utilized in order to derive credit loss estimates. The effective date
of the new guidance as amended by ASU No. 2019-10 is fiscal years beginning after December 15, 2022, including interim periods within
those fiscal years. The adoption of ASU No. 2019-10 did not have a material or significant impact on the Company’s Consolidated
Financial Statements as it has been our policy to estimate and record credit losses on trade accounts receivable.

In November 2023, the FASB issued ASU No. 2023-07,
Segment Reporting – Improvements to Reportable Segments Disclosures. ASU No. 2023-07 enhances disclosures of significant segment
expenses by requiring disclosure of significant segment expenses regularly provided to the chief operating decision maker (CODM), extending
certain annual disclosures to interim periods, and permitting more than one measure of segment profit or loss to be reported under certain
conditions. ASU No. 2023-07 is effective for the Company in fiscal years beginning after December 15, 2023, and interim periods within
fiscal years beginning after December 15, 2024. Early adoption is permitted, including adoption in any interim periods for which financial
statements have not been issued. The Company is currently evaluating the guidance and its impact on the financial statements.

21 of 25

In
December 2023, the FASB issued ASU No. 2023-09, Income Taxes – Improvements to Income Tax Disclosures. ASU 2023-09 is designed
to strengthen the clarity and interpretation of income tax disclosures in order to better assess and understand the impact of taxes on
an entity’s operations including risk and opportunities. ASU 2023-09 is effective for the Company in fiscal years beginning after
December 15, 2024, our fiscal year 2026, and will be applied prospectively. The Company is currently evaluating the guidance and its
impact to the financial statements.

In