Company: WW
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000950170-25-029511
Chunk: 237

Company: WW INTERNATIONAL, INC.
Filing Date: 2025-02-28
Form: 10-K
Item: Item 1B
Chunk 237
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 CONSOLIDATED FINANCIAL STATEMENTS (IN THOUSANDS, EXCEPT PER SHARE AND PER UNIT AMOUNTS)  

18.Fair Value MeasurementsAccounting guidance on fair value measurements for certain financial assets and liabilities requires that assets and liabilities carried at fair value be classified and disclosed in one of the following three categories:•Level 1 — Quoted prices in active markets for identical assets or liabilities.•Level 2 — Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.•Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.When measuring fair value, the Company is required to maximize the use of observable inputs and minimize the use of unobservable inputs.Fair Value of Financial InstrumentsThe Company’s significant financial instruments include long-term debt agreements as of December 28, 2024. The Company’s significant financial instruments included long-term debt and interest rate swap agreements as of December 30, 2023. Since there were no outstanding borrowings under the Revolving Credit Facility as of December 28, 2024 and December 30, 2023, the fair value approximated a carrying value of $0 at both December 28, 2024 and December 30, 2023.The fair value of the Company’s Credit Facilities is determined by utilizing average bid prices on or near the end of each fiscal quarter (Level 2 input). As of December 28, 2024 and December 30, 2023, the fair value of the Company’s long-term debt was approximately $320,174 and $996,429, respectively, as compared to the carrying value (net of deferred financing costs and debt discount) of $1,430,643 and $1,426,464, respectively.Derivative Financial InstrumentsThe fair values for the Company’s derivative financial instruments were determined using observable current market information such as the prevailing Term SOFR interest rate and Term SOFR yield curve rates and included consideration of counterparty credit risk. See Note 19 for disclosures related to the Company’s use of derivative financial instruments.The following table presents the aggregate fair value of the Company’s derivative financial instruments:

        Fair Value Measurements Using:

        TotalFairValue

        Quoted Prices inActive Marketsfor Identical Assets