Company: UTZ
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001739566-25-000111
Chunk: 53

Company: Utz Brands, Inc.
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 8
Chunk 53
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 30, 2025As of December 29, 2024Subject to amortization:  Distributor/customer relationships$647,712 $647,712 Trademarks59,920 59,920 Amortizable assets, gross707,632 707,632 Accumulated amortization(160,895)(151,878)Amortizable assets, net546,737 555,754 Not subject to amortization:Trade names428,733 428,733 Route assets14,364 12,023 Intangible assets, net$989,834 $996,510 Amortization of distributor/customer relationships, technology and trade names amounted to $9.0 million and $9.2 million for the thirteen weeks ended March 30, 2025 and March 31, 2024, respectively. The expense related to the amortization of intangibles is included in administrative expenses in Selling, general and administrative expenses in the Consolidated Statements of Operations and Comprehensive Income (Loss).

6.NOTES RECEIVABLE

Contracts are executed between the Company and its independent operators (“IOs”) for the sale of product distribution routes, including notes in favor of the Company, in certain cases. The notes bear interest at rates ranging from 5.00% to 10.55% with terms ranging generally from one to ten years. The notes receivable balances due from IOs at March 30, 2025 and December 29, 2024 totaled $13.4 million and $13.8 million, respectively, and are collateralized by the routes for which the loans are made. The Company also sold certain notes to Bank of America and two other banks. The Company has a corresponding notes payable related to the sale of IOs notes receivables. See Note 10. Contingencies.

7.ACCRUED EXPENSES AND OTHER

Current accrued expenses and other consisted of the following:(in thousands)As of March 30, 2025As of December 29, 2024Accrued compensation and benefits$7,728 $24,303 Operating right of use liability17,951 17,341 Insurance liabilities7,132 6,762 Accrued freight and manufacturing related costs2,844 3,947 Accrued dividends and distributions11,203 8,594 Accrued interest3,450 11,086 Deferred transition services and other fees (