NEW YORK TIMES CO

10. Other

The components of the Other liabilities — Other balance in our Consolidated Balance Sheets were as follows:

See Note 8 for detail related to deferred compensation.

See Note 16 for detail related to noncurrent operating lease liabilities.

See Note 8 for detail related to contingent consideration.

Other liabilities in the preceding table primarily included our post-employment liabilities, our contingent tax liability for uncertain tax positions, and self-insurance liabilities as of December 31, 2024, and December 31, 2023.

Marketing Expenses

Marketing expense, the cost to promote our brand and our products, was $152.5 million, $138.3 million and $151.1 million for the fiscal years ended December 31, 2024, December 31, 2023, and December 31, 2022, respectively. Media expense, the primary component of marketing expense, which represents the cost to promote our subscription business, was $138.8 million, $117.7 million and $134.1 million for the fiscal years ended December 31, 2024, December 31, 2023, and December 31, 2022, respectively. We expense these costs as incurred.

Interest income and other, net

Interest income and other, net, as shown in the accompanying Consolidated Statements of Operations, was as follows:

(1)On December 9, 2020, we entered into an agreement to lease and subsequently sell approximately four acres of land at our printing and distribution facility in College Point, N.Y., subject to certain conditions. The lease commenced on April 11, 2022. At the time of the lease expiration in February 2025, we will sell the parcel to the lessee for approximately $36 million. The transaction is accounted for as a sales-type lease and, as a result, we recognized a gain of approximately $34 million (net of commissions) at the time of lease commencement. Interest income related to this lease was $1.8 million in 2024 and 2023, respectively.

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A reconciliation of cash, cash equivalents and restricted cash as of December 31, 2024, and December 31, 2023, from the Consolidated Balance Sheets to the Consolidated Statements of Cash Flows is as follows:

Substantially all of the amount included in restricted cash is set aside to collateralize workers’ compensation obligations.

Revolving Credit Facility

In September 2019, the Company entered into a $250.0 million five-year unsecured revolving credit facility (the “2019 Credit Facility”). On July 27, 2022, the Company entered into an amendment and restatement of the 2019 Credit Facility that, among other changes, increased the committed amount to $350.0 million and extended the maturity date to July 27, 2027 (as amended and restated, the “Credit Facility”). Certain of the Company’s domestic subsidiaries have guaranteed the Company’s obligations under the Credit Facility. Borrowings under the Credit Facility bear interest at specified rates based on our utilization and consolidated leverage ratio. The Credit Facility contains various customary affirmative and negative covenants. In addition, the Company is obligated to pay a quarterly unused commitment fee of 0.20%.

As of December 31, 2024, there wereno outstanding borrowings under the Credit Facility and the Company was in compliance with the financial covenants contained in the Credit Facility.

Severance Costs

We recognized severance costs of $7.5 million, $7.6 million and $4.7 million for the fiscal years ended December 31, 2024, December 31, 2023, and December 31, 2022, respectively. These costs are recorded in General and administrative costs in our Consolidated Statements of Operations.

We had a severance liability of $4.8 million and $4.4 million included in Accrued expenses and other in our Consolidated Balance Sheets as of December 31, 2024, and December 31, 2023, respectively. We anticipate the payments related to the 2024 liability will be made within the next twelve months.

Generative AI Litigation Costs

During the year ended December 31, 2024, the Company recorded $10.8 million of pre-tax litigation-related costs in connection with a lawsuit against Microsoft Corporation (“Microsoft”) and Open AI Inc. and various of its corporate affiliates (collectively, “OpenAI”), alleging unlawful and unauthorized copying and use of the Company’s journalism and other content in connection with their development of generative artificial intelligence products (“Generative AI Litigation Costs”). See Note 17 for additional information.

Acquisition Related Costs

During the year-ended December 31, 2022, the Company acquired The Athletic Media Company. As part of the transaction, the Company incurred one-time $34.7 million acquisition-related costs, which primarily included expenses paid in connection with the acceleration of The Athletic Media Company stock options, as well as legal, accounting, financial advisory and integration planning expenses. The stock options acceleration is included in Acquisition-related costs in our Consolidated Statements of Operations for the year ended December 31, 2022.

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