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  "documentTitle": "Floor & Decor Holdings, Inc. (FND)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2024-07-01 00:00:00",
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  "notes": "The slide uses a 'Spruce Point Adjusted' methodology to reclassify liabilities as debt, resulting in a higher leverage ratio (3.1x vs 2.2x).",
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      "text": "Spruce Point believes FND's actual debt obligations are $618 million more than is being calculated by analysts and market data providers and its leverage is closer 3.1x and not 2.2x.",
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      "text": "Net Debt / Adj. EBITDA: 3.1x",
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      "text": "Spruce Point believes FND's actual debt obligations are $618 million more than is being calculated by analysts and market data providers and its leverage is closer 3.1x and not 2.2x. First, because its supply chain finance payables are due to financial intermediaries, we believe these payables should be considered debt. Secondly, FND discloses in its footnotes the amount of legally binding contractual lease commitments that are not yet included on the balance sheet. Since they are legally binding and will eventually be on the balance sheet, we believe they should also be considered as debt obligations.",
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      "text": "Source: FND SEC filings and Spruce Point analysis. (1) No quarterly disclosure but assumed to be the same amount as year end and are related to end of lease obligations. 120",
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      "text": "Spruce Point Adjusted Debt And Leverage table",
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      "kind": "title",
      "text": "We Believe FND Is Materially More Levered Than The Market Believes",
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