Company: BTBDW
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001477932-25-006037
Chunk: 18

Company: BT Brands, Inc.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 18
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 value, discounted at 4.5% of the remaining lease obligation of approximately $809,000, is reflected as a liability in the accompanying financial statements at June 29, 2025.  In May 2024, with the acquisition of Schnitzel Haus assets, we assumed the remaining 44 months on the restaurant’s lease obligation for approximately $5,400 per month. The Schnitzel Haus lease is accounted for as an operating lease. At its inception, we recorded an operating lease obligation and a right-of-use asset of $182,878. The present value, discounted at 6.5% of the remaining lease obligation of $146,000, is reflected as a liability in the accompanying financial statements at June 29, 2025.

 15Table of Contents

 The following is a schedule of the approximate minimum future lease payments on the operating leases as of June 29, 2025:   Total Remainder 2025 $125,440 2026  267,996 2027  220,251 2028  222,507 2029  225,193 2030 and thereafter  558,164 Total future minimum lease payments  1,619,551 Less - interest  (189,602)  $1,436,949  The total operating lease expenses for the second 13-week period in 2025 and 2024 were approximately $73,000 and $85,000, respectively. In the 2025 and 2024 respective 26-week periods, operating lease expenses totaled approximately $147,000 and $155,000. Cash paid for leases during the 13 weeks ending June 29, 2025, totaled approximately $68,000, and in the 13 weeks ending June 30, 2024 it totaled approximately $79,000. Cash paid for leases was approximately $141,000 and $146,000 for the 2025 and 2024 26-week periods, respectively.  Variable expenses for lease properties were approximately $11,000 in the 13 weeks in 2025 and $9,000 in the 13 weeks of 2024. Variable lease expenses were approximately $20,000 and $26,000 in the 26-week periods in 2025 and 2024, respectively. The Company pays monthly rent under month-to-month arrangements for corporate and administrative office spaces in  Minneton