Company: PRMB
Filing Date: 2025-02-07
Form Type: S-1/A
Source: 0001193125-25-022806
Chunk: 108

Company: Primo Brands Corp
Filing Date: 2025-02-07
Form: S-1/A
Chunk 108
---
 the year ended December 31, 2022, primarily driven by a $30.4 million increase in spending on information technology (“IT”), and to a lesser extent administrative personnel costs, and
recycling processing fees, partially offset by reductions in spending on marketing, sales and promotional programs, and legal fees when compared to the prior year.

Acquisition, Integration and Restructuring Expenses

Acquisition expenses include those costs associated with BlueTriton’s acquisitions, as well as costs incurred on potential acquisitions.
Integration and restructuring expenses mainly include IT implementation costs, costs incurred to achieve post-acquisition synergies, and costs incurred on business optimization, among others.

During the year ended December 31, 2023, acquisition, integration and restructuring expenses were $16.9 million, a decrease of
$66.9 million, or 79.8%, as compared to the year ended December 31, 2022, primarily as a result of a year over year decrease in IT implementation costs of $56.0 million and, to a lesser extent, lower severance costs during 2023.

Other Operating Expenses, Net

Other
operating expenses, net, includes primarily foreign exchange, unrealized hedge mark to market, and other infrequent income or charges.

Other operating expenses, net, during the year ended December 31, 2023 were $4.9 million, an increase of $4.8 million, as
compared to the year ended December 31, 2022, primarily due to unrealized loss of $3.6 million related to commodity forward contracts and an unrealized foreign exchange loss in the current period.

Interest and Financing Expense, Net

Interest and financing expense, net, primarily related to interest expense on BlueTriton’s debt and finance leases, revolver commitment
fees and costs associated with its debt, partially offset by interest income earned on cash and cash equivalents, including restricted cash.

During the year ended December 31, 2023, interest and financing expense, net, was $288.1 million, an increase of $76.2 million,
or 36.0%, as compared to the year ended December 31, 2022, primarily relating to an approximately 270 basis point increase in the average variable interest rate on the BlueTriton Term Loan Facility, and to a lesser extent, due to outstanding
revolver balances during the year ended December 31, 2023.

Provision for (Benefit from) Income Taxes

During