Company: HROW
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001641172-25-009263
Chunk: 30

Company: HARROW, INC.
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 1
Chunk 30
---
000 
  
    2026 
     193,830,000 
  
    2027 
     45,030,000 
  
    Total minimum payments 
     256,911,000 
  
    Less: amount representing interest payments 
     (30,398,000)
  
    Notes payable, gross principal amount due 
     226,513,000 
  
    Less: current portion, net of unamortized discount 
     (108,313,000)
  
    Less: unamortized discount, net of premium 
     (5,699,000)
  
    Notes payable, net of unamortized discount 
    $112,501,000 

NOTE 11. LEASES

The Company leases office and laboratory
space under the non-cancelable operating leases listed below. Except as indicated, these lease agreements have remaining terms
between two2
to seven
years and contain various clauses for renewal at the Company’s option.

·An operating lease for 38,200 square feet of lab, warehouse and office space in Ledgewood, New
Jersey that expires in July 2027, with an option to extend the term for two additional five-year periods. This lease was amended,
effective July 2020, to extend the term of the original lease and add 1,400 of additional square footage to the lease, amended
again in May 2021 to extend the term of the lease to July 2027 and add 8,900 square feet of space, and amended in May 2023 to
add another 2,900 square feet of space to the existing lease, which the Company took possession of in January 2024.

·An operating lease for 17,700 square feet of office space in Nashville, Tennessee that expires in June
2032, and includes options to extend the lease term to June 2042.

·An operating lease for 11,600 square feet of lab and office space in Nashville, Tennessee which
commenced in September 2022 and expires in September 2027.

At March 31, 2025, the weighted average incremental
borrowing rate and the weighted average remaining lease term for the operating leases held by the Company were 8.04% and 9.98 years, respectively.

During the three months ended March 31, 2025 and
2024, cash paid for amounts included for the operating lease