| LONG-TERM DEBT, NET |
NOTE 8. LONG-TERM DEBT, NET
Long-term debt as of December 31, 2024 and 2023, was as follows:
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December 31, 2024 |
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December 31, 2023 |
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Revolving credit facility (a) |
$ |
- |
|
$ |
10,375 |
Other debt (b) |
|
1,888 |
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|
40 |
Term loan (c) |
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- |
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|
109,375 |
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|
1,888 |
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|
119,790 |
Less current portion |
|
(1,888) |
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|
(119,790) |
|
$ |
- |
|
$ |
- |
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(a) |
On February 29, 2024, upon the closing of the disposition of the Precision Sport segment, the Company terminated and paid off amounts outstanding under the revolving credit facility, and pursuant to the Credit Agreement with JPMorgan Chase Bank, N.A., as administrative agent and the lenders party thereto (the “Restated Credit Agreement”), in full. The Company paid interest monthly on any borrowings on the Restated Credit Agreement. As of December 31, 2023, the interest rates ranged between approximately 7.7% and 9.8%.
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(b) |
On December 5, 2024, pursuant to the RockyMounts Purchase Agreement, Clarus and its wholly-owned subsidiary, Rhino-Rack USA LLC, issued a promissory note in favor of RockyMounts, Inc. in the principal amount of $2,000, payable on December 5, 2025. Imputed interest is included within the principal amount and the fair value of the note was $1,878 on the date of issuance. As of December 31, 2024, the borrowing rate was 6.5%.
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Foreign subsidiaries of the Company had term debt with financial institutions, which was repaid as of December 31, 2024. The foreign subsidiaries paid interest monthly on any borrowings on the credit facility as well as monthly payments on the term debt. As of December 31, 2023, the interest rate was approximately 3.2%. The credit facility was secured by certain assets of the foreign subsidiaries.
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(c) |
On February 29, 2024, upon the closing of the disposition of the Precision Sport segment, the Company terminated and paid off amounts outstanding under the term loan in full. The Company paid interest monthly on any borrowings on the Restated Credit Agreement. As of December 31, 2023, the rate was approximately 7.7%.
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