Company: UTZ
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001739566-25-000111
Chunk: 21

Company: Utz Brands, Inc.
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 1
Chunk 21
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,009 168 Net impact of debt issuance costs and original issue discount(5,929)(5,078)Total long-term debt848,192 768,581 Less: current portion(17,712)(16,097)Long term portion of term debt and financing obligations$830,480 $752,484 (1) Loan by City National Bank which is secured by a majority of the real estate assets of the Company ("Real Estate Term Loan").(2) Equipment loans have varying maturities from June 2026 to April 2030.

9

Other Notes Payable and Finance LeasesAmounts outstanding under notes payable and finance leases consisted of the following:(in thousands)As ofMarch 30, 2025As of December 29, 2024Note payable – IO notes$12,069 $12,095Finance lease obligations9,524 9,707Other— 100Total notes payable21,593 21,902Less: current portion(6,788)(6,917)Long term portion of notes payable$14,805 $14,985Interest ExpenseInterest expense consisted of the following:(in thousands)Thirteen weeks ended March 30, 2025Thirteen weeks ended March 31, 2024Company’s long-term debt$10,889 $11,782 Amortization of deferred financing fees349 1,760 IO loans232 289 Total interest$11,470 $13,831 

9.DERIVATIVE FINANCIAL INSTRUMENTS, PURCHASE COMMITMENTS, WARRANTS AND FAIR VALUE

Derivative Financial InstrumentsThe Company uses interest rate swaps to manage its interest rate exposure on its Term Loan B and its Real Estate Term Loan. The interest rate swaps are recorded in the Company’s Consolidated Balance Sheets at fair value. See Note 8. Term Debt, Revolving Credit Facility, and Other Notes Payable.Warrant LiabilitiesAs of each of March 30, 2025 and December 29, 2024, there were 7,200,000 private placement warrants (“Warrants”) outstanding, which are accounted for as derivative liabilities pursuant to ASC 815-40. The Warrants have a term of five years and expire in August 2025. A reconciliation of the changes in the warrant liability during the thirteen weeks ended March 30, 2025 is as follows:(in thousands)Fair value of warrant liabilities as of December 29, 202