Company: BRID
Filing Date: 2025-01-29
Form Type: 10-K
Source: 0001493152-25-004182
Chunk: 7

Company: BRIDGFORD FOODS CORP
Filing Date: 2025-01-29
Form: 10-K
Item: Item 1
Chunk 7
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 consumer spending rates, and energy availability and costs (including fuel surcharges). We have
been experiencing high levels of inflations these past few years, which has had varying impacts on our business. Such prolonged periods
of inflation decrease consumers’ discretionary spending, which negatively impacts our results of operations. These and other general risks
related to the food industry, if realized by us, could have a significant adverse effect on demand for our products, as well as the costs
and availability of raw materials, ingredients, and packaging materials, thereby negatively affecting our operating results and financial
position.

 6 

Climate change and related
climate change regulations, including with respect to greenhouse gas effects, may negatively affect our results of operations.

Climate change and rising
global temperatures may contribute to changing weather patterns, droughts, heavier or more frequent storms and wildfires, and increased
frequency and severity of natural disasters. If such climate change has a negative impact on agricultural productivity, we may have decreased
availability or less favorable pricing for the raw materials necessary for our operations.  Increased frequency or duration of extreme
weather conditions could cause disruptions in our operations and supply chain, or impact demand for our products.

Increasing concern over climate
change also may result in additional legal or regulatory requirements designed to manage greenhouse gas emissions, climate risks, and
resulting environmental impacts. If such requirements are enacted, we could experience significant cost increases in our operations and
supply chain. 

Further, such requirements
may obligate us to make certain climate-related disclosures and set goals for reducing our carbon footprint.  While we are committed
to mitigating our impact on the environment and managing greenhouse gas emissions, there can be no assurance that we will accomplish such
goals.  If we fail to achieve any such goals related to climate change or the related expectations from stakeholders and consumers
are not met, the resulting negative publicity could adversely impact our results of operations in part as a consequence of changes in
consumer preferences for our products.

Fluctuations in commodity
prices and the availability of raw materials could negatively impact our financial results.

We purchase large quantities
of commodity pork, beef, and flour. Historically, market prices for products we process have fluctuated in response to a number of factors,
including changes in the United States government farm support programs, changes in international agricultural and trading policies, weather,
and other conditions during the growing and harvesting seasons. Our operating results are heavily dependent upon the prices paid for raw
materials, as well as the available supply of commodities. Com