Company: CHEF
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0001517175-25-000008
Chunk: 18

Company: Chefs' Warehouse, Inc.
Filing Date: 2025-04-30
Form: 10-Q
Item: Item 1
Chunk 18
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 Financial InstrumentsThe carrying amounts reported in the Company’s condensed consolidated balance sheets for accounts receivable and accounts payable approximate fair value due to their immediate to short-term nature. The fair values of the asset-based loan facility and term loan approximated their book values as of March 28, 2025 and December 27, 2024, as these instruments had variable interest rates that reflected current market rates available to the Company and are classified as Level 2 fair value measurements.The following table presents the carrying value and fair value of the Company’s convertible notes and its unsecured note issued in connection with the acquisition of Oakville Produce Partners, LLC (“GreenLeaf”) in fiscal 2023 (“GreenLeaf Note”). The fair value of the Company’s 2028 Convertible Senior Notes was based on bid/ask quotes as of or near the balance sheet date. The fair value of the GreenLeaf Note was determined based upon observable market prices of similar debt instruments. March 28, 2025December 27, 2024Fair Value HierarchyCarrying ValueFair ValueCarrying ValueFair Value2028 Convertible Senior NotesLevel 2$287,500 $398,547 $287,500 $365,556 GreenLeaf NoteLevel 2$5,000 $5,159 $5,000 $5,070 

Note 5 – Inventories

Inventories consist primarily of finished product and are reflected net of adjustments for shrinkage, excess and obsolescence to approximate their net realizable value totaling $10,297 and $11,579 at March 28, 2025 and December 27, 2024, respectively. 

Note 6 – Property and Equipment

 Property and equipment is net of accumulated depreciation and amortization of $161,333 and $147,902 at March 28, 2025 and December 27, 2024, respectively.

Note 7 – Goodwill and Other Intangible Assets

The changes in the carrying amount of goodwill are presented as follows:Carrying amount as of December 27, 2024$356,298 Foreign currency translation45 Carrying amount as of March 28, 2025$356,343 

Other intangible assets are net of accumulated amortization of $163,126 and $157,032 as of March 28, 2025 and December 27, 2024, respectively. Amortization expense for other intangibles was $6,094