factual
When did the monthly payments for Aunt Millies Bakeries' 2015 pension withdrawal obligation begin?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
| R | elated Parties | 9 | Third Parties | Total | ||
|---|---|---|---|---|---|---|
| 2025 | $ | 1,731,497 | $ | 3,546,573 | $ | 5,278,070 |
| 2026 | 1,513,587 | 2,899,996 | 4,413,583 | |||
| 2027 | 1,158,988 | 2,120,538 | 3,279,526 | |||
| 2028 | 1,032,306 | 1,548,750 | 2,581,056 | |||
| 2029 | 974,241 | 1,088,403 | 2,062,644 | |||
| Thereafter | _ | 4,549,508 | 5,412 | _ | 4,554,920 | |
| Total future lease payments | 10,960,127 | 11,209,672 | 22,169,799 | |||
| Less: imputed interest | (1,920,612) | _ | (779,409) | _ | (2,700,021) | |
| Present value of lease liabilities | 9,039,515 | 10,430,263 | 19,469,778 | |||
| Less: Lease liabilities, current | - | (1,417,438) | _ | (3,274,251) | )() | (4,691,689) |
| Lease liabilities, non-current | $ | 7,622,077 | $ | 7,156,012 |
Source: Item 23 — RECEIPT (FDD pages 44–196)
What This Means (2025 FDD)
According to Aunt Millies Bakeries' 2025 Franchise Disclosure Document, the company negotiated an exit from one of its multiemployer defined benefit pension plans in 2015, resulting in a pension withdrawal obligation expense of $6,285,098. This amount represents the present value of the established payments, calculated at a 6.5% interest rate.
The payment plan requires Aunt Millies Bakeries to make monthly payments of $46,860, covering both principal and interest. These payments are scheduled over a period of 240 months, which is equivalent to 20 years.
The payments commenced on November 1, 2015, and are expected to continue until the final payment is made on October 1, 2035.
Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only.
It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.