Leases

12 Months Ended

Sep. 28, 2025

LEASES

We lease certain real estate, vehicles, and equipment. Our leases have remaining lease terms of 1 to 40 years, some of which may include options to extend the leases, and some of which may include options to terminate the leases. The exercise of lease renewal options and terminations are at our sole discretion. The depreciable lives of assets and leasehold improvements are limited by the expected lease term unless there is a transfer of title or purchase option reasonably certain of exercise.

We entered into a lease agreement between BH Media, as Landlord, and we, as Tenant, provide for the leasing of approximately 70 properties and related fixtures (including production equipment) used in the BH Media Newspaper Business ("BH Lease"). The BH Lease commenced on March 16, 2020. The BH Lease requires us to pay annual rent of $8.0 million, payable in equal payments, as well as all operating costs relating to the properties (including maintenance, repairs, property taxes and insurance). Rent payments are subject to a Rent Credit (as defined in the Lease) equal to 8.00% of the net consideration for any leased real estate sold by BH Media during the term of the lease. As of September 28, 2025, we have earned monthly rent credits of $0.3 million, making current annual rent of $4.7 million.

Total lease expense consists of the following:


(Thousands of Dollars)	2025	2024	2023
Operating lease costs	11,069	11,925	12,688
Variable lease costs	1,023	996	1,175
Short-term lease costs	303	301	355
Total Operating Lease Expense	12,395	13,222	14,218

Supplemental cash flow information related to our operating leases is as follows:


(Thousands of Dollars)	2025	2024	2023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflow from operating leases	11,721	12,540	13,403
Right-of-use assets obtained in exchange for operating lease liabilities	3,461	4,679	3,855

As of September 28, 2025, maturities of lease liabilities were as follows:


(Thousands of Dollars)
2026			9,963
2027			7,836
2028			5,695
2029			4,716
2030			2,065
Thereafter			2,126
Total lease payments			32,401
Less: interest			(5,360)
Present value of lease liabilities			27,041

Our lease contracts are discounted using the incremental borrowing rate for us. We determined the incremental borrowing rate based on our senior secured collateral adjusted yield curve. This yield curve reflects the

estimated rate that would have been paid by us to borrow on a collateralized basis over a similar term in a similar economic environment. The weighted average revolving lease terms and discount rates for all of our operating leases were as follows.


	2025		2024
Weighted average remaining lease term	4.3 years		4.8 years
Weighted Average discount rate	7.98	%	7.91	%