On Nov 17, FAT Brands Received Acceleration Notices From UMB For Securitization Notes; In Talks With Representatives Of Noteholders For Transactions Involving Refinancing, Restructuring Or Similar Deal Of Securitization Notes

On November 17, 2025, the Company received notices of acceleration (the "Acceleration Notices") from UMB with respect to Securitization Notes issued by four of the Securitization Issuers (FAT Brands GFG Royalty I, LLC, FAT Brands Royalty I, LLC, FAT Brands Fazoli's Native I, LLC and Twin Hospitality I, LLC) (the "Accelerated Notes"). The Acceleration Notices stated that UMB, pursuant to Section 9.2 of each of the Indentures, acting at the direction of the Control Party under the Indentures, (i) accelerates and declares the outstanding principal amount of the Accelerated Notes issued under the respective Indentures to be immediately due and payable, (ii) declares the accrued and unpaid interest thereon through the date of acceleration to be immediately due and payable, and (iii) declares all other amounts due to the noteholders and the other Secured Parties under the Transaction Documents (as such terms are defined in the respective Indentures) to be immediately due and payable. At this time, there has been no foreclosure on the collateral securing the Accelerated Notes, but the Company cannot provide any assurance that will not occur.

The aggregate principal amount outstanding under the Accelerated Notes is $1,256.5 million, or $1,153.6 million net of Securitization Notes retained by the Company, and the aggregate amount of accrued and unpaid interest under the Accelerated Notes through the date of this report is approximately $43.2 million. The Company and the Securitization Issuers do not currently have amounts on hand to pay such principal and interest, and such acceleration or any subsequent foreclosure may materially and adversely affect the Company's business, financial condition and liquidity, and could cause the Company and/or its subsidiaries to seek to reorganize through a bankruptcy proceeding.