Company: PRMB
Filing Date: 2025-01-24
Form Type: S-1
Source: 0001193125-25-012325
Chunk: 159

Company: Primo Brands Corp
Filing Date: 2025-01-24
Form: S-1
Chunk 159
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 considers changes to the proportion of variable versus fixed rate debt
through refinancing, interest rate swaps, or other measures in response to the changing economic environment. Historically, Primo Water has not used derivative instruments to manage interest rate risk. If Primo Water uses and fails to manage these
derivative instruments successfully, or if Primo Water is unable to refinance its indebtedness or otherwise increase its debt capacity in response to changes in the marketplace, the expense associated with debt service could increase. This would
negatively affect Primo Water’s, and therefore the Company’s, financial condition and profitability.

109

The information below summarizes Primo Water’s market risks associated with debt obligations as of September 28, 2024. The table presents principal cash flows and related interest rates by year. Interest rates disclosed represent the actual weighted average rates as of September 28, 2024:

| (in millions of U.S. dollars, except 
 percentage                           
 amounts)                             
 Debt maturing in:                    |     | Debt Obligations 
 Outstanding Debt 
 Balance          |         |     | Weighted-Average 
 Interest Rate    |     |   |
|:-------------------------------------|:----|:-----------------|--------:|:----|:-----------------|----:|:--|
| 2024                                 |     | $                |     3.8 |     |                  | 5.5 | % |
| 2025                                 |     |                  |    16.1 |     |                  | 5.5 | % |
| 2026                                 |     |                  |    13.5 |     |                  | 5.5 | % |
| 2027                                 |     |                  |     5.6 |     |                  | 5.5 | % |
| 2028                                 |     |                  |   504.6 |     |                  | 3.9 | % |
| Thereafter                           |     |                  |   750.4 |     |                  | 4.4 | % |
| Total                                |     | $                | 1,294.0 |     |                  |     |   |

Commodity Price Risk The competitive marketplace in which Primo Water operates may limit its ability to recover increased costs through higher prices. As a result, Primo Water is subject to market risk with respect to commodity price fluctuations principally related to its purchases of resin for PET, HDPE, and polycarbonate bottles, aluminum for