Company: CHEF
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001517175-25-000002
Chunk: 131

Company: Chefs' Warehouse, Inc.
Filing Date: 2025-02-25
Form: 10-K
Item: Item 8
Chunk 131
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 and financing activities:Warrants issued for acquisition$— $— $1,701 Conversion of debt into common stock$37,938 $— $11,375 Common stock issued for acquisitions$— $2,496 $— Contingent earn-out liabilities for acquisitions$— $5,765 $8,700 Unsecured notes issued for acquisitions$— $10,000 $— 

Note 15 – Employee Benefit Plans

 Employee Tax-Deferred Savings Plan The Company sponsors a defined contribution plan covering substantially all full-time employees (the “401(k) Plan”) that provides for tax-deferred salary deductions for eligible employees. Employees choose to make voluntary contributions of their annual compensation to the 401(k) Plan, limited to an annual maximum amount as set periodically by the Internal Revenue Service. The Company provides discretionary matching contributions equal to 50 percent of the employee’s contribution amount, up to a maximum of six percent of the employee’s annual salary, or the annual compensation limit set by the Internal Revenue Service, whichever is lower. Matching contributions begin vesting after one year and are fully vested after five years. Employee contributions are fully vested when made. Under the 401(k) Plan, participants are not able to receive or purchase the Company’s common stock. Matching contributions under the 401(k) Plan were $4,378, $3,500 and $1,714, respectively, for fiscal 2024, 2023 and 2022.

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Note 16 – Related Parties

The Chefs’ Warehouse Mid-Atlantic, LLC, a subsidiary of the Company, leases a distribution facility that is 100% owned by entities controlled by Christopher Pappas, the Company’s chairman, president and chief executive officer, and John Pappas, the Company’s vice chairman and chief operating officer, and are deemed to be affiliates of these individuals. Expense related to this facility was $705, $617 and $493 for fiscal 2024, 2023 and 2022. The lease expires on September 30, 2028.

Note 17 – Commitments and Contingencies

  Legal Contingencies The Company is involved in various legal proceedings. The Company establishes reserves for specific legal proceedings when it determines that the likelihood of an unfavorable outcome is probable and the amount of loss can be reasonably estimated. Management has also identified certain other legal matters where the Company believes an unfavorable outcome is reasonably possible and