Company: DXPE
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001020710-25-000137
Chunk: 83

Company: DXP ENTERPRISES INC
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 83
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 be recorded in the period of enactment, which will be reflected in our third quarter financial statements. We expect that OBBB will provide some reductions in cash taxes, however we do not anticipate the OBBB to materially impact income tax expense.  Management will continue to monitor U.S. Treasury Department and IRS implementation of the OBBB and will apply applicable guidance and rulemaking as it becomes available.The Organization of Economic Cooperation and Development (“OECD”) continues to release additional guidance, including administrative guidance on how Pillar Two rules should be interpreted and applied by jurisdictions as they adopt Pillar Two. A number of countries have utilized the administrative guidance as a starting point for legislation that went into effect January 1, 2024. As of June 30, 2025, DXP anticipates the impact of Pillar Two to be immaterial to the Company based on current legislation that has been enacted to date.

NOTE 8 – LONG-TERM DEBT

Long-term debt consisted of the following (in thousands): June 30, 2025December 31, 2024ABL Revolver$— $— Amended Senior Secured Term Loan B due October 13, 2030(1)644,629 647,876 Promissory Note due November 1, 20291,000 1,000 Total debt645,629 648,876 Less: current maturities(6,595)(6,595)Total long-term debt$639,034 $642,281 Unamortized discount and debt issuance costs18,795 20,597 Long-term debt, net of unamortized discount and debt issuance costs$620,239 $621,684 (1) The fair value of the Amended Term Loan B due October 13, 2030 using level 2 input values was $643.8 million and $657.6 million as of June 30, 2025 and December 31, 2024, respectively.

10

Senior Secured Term Loan B:On October 3, 2024, the Company entered into an amendment on its existing Senior Secured Term Loan B (the “Term Loan Amendment”), which provides for, among other things, an additional $105.0 million in new incremental commitments. The Term Loan Amendment refinanced the existing Senior Term Loan B and replaced it with an Amended Senior Secured Term Loan B with total borrowings of $649.