Other non-current assets were immaterial at March 27, 2022 and June 27, 2021. Included within Other non-current assets are UNIFI’s investments in unconsolidated affiliates: U.N.F. Industries, Ltd. (“UNF”); and UNF America LLC (“UNFA”) (collectively “UNFs”).

Raw material and production services for UNF are provided by Nilit Ltd. under separate supply and services agreements. UNF’s fiscal year end is December 31, and it is a registered Israeli private company located in Migdal Ha-Emek, Israel.

Raw material and production services for UNFA are provided by Nilit America Inc. under separate supply and services agreements. UNFA’s fiscal year end is December 31, and it is a limited liability company located in Ridgeway, Virginia. UNFA is treated as a partnership for its income tax reporting.

In conjunction with the formation of UNFA, UNIFI entered into a supply agreement with UNF and UNFA whereby UNIFI agreed to purchase all of its first quality nylon POY requirements for texturing (subject to certain exceptions) from either UNF or UNFA. The supply agreement has no stated minimum purchase quantities and pricing is typically negotiated every six months, based on market rates. As of March 27, 2022, UNIFI’s open purchase orders related to this supply agreement were $2,079.

UNIFI’s raw material purchases under this supply agreement consisted of the following:

	For the Nine Months Ended
	March 27, 2022		March 28, 2021
UNFA	$	20,849	$	13,677
UNF		239		548
Total	$	21,088	$	14,225

As of March 27, 2022 and June 27, 2021, UNIFI had combined accounts payable due to UNF and UNFA of $5,167 and $2,955, respectively.

UNIFI has determined that UNF and UNFA are variable interest entities and that UNIFI is the primary beneficiary of these entities, based on the terms of the supply agreement discussed above. As a result, these entities should be consolidated with UNIFI’s financial results. As (i) UNIFI purchases

substantially all of the output from the two entities; (ii) the two entities’ balance sheets constitute 3% or less of UNIFI’s current assets, total assets, and total liabilities at each of UNIFI’s fiscal year ends; and (iii) such balances are not expected to comprise a larger portion in the future, UNIFI has not included the accounts of UNF and UNFA in its consolidated financial statements. The financial results of UNF and UNFA are included in UNIFI’s consolidated financial statements with a one-month lag, using the equity method of accounting and with intercompany profits eliminated in accordance with UNIFI’s accounting policy. Other than the supply agreement discussed above, UNIFI does not provide any other commitments or guarantees related to either UNF or UNFA.

Condensed balance sheet and income statement information for UNIFI’s unconsolidated affiliates (including reciprocal balances) are presented in the tables below.

	March 27, 2022		June 27, 2021
Current assets	$	9,263	$	7,931
Non-current assets		634		659
Current liabilities		6,969		3,967
Non-current liabilities		—		—
Shareholders’ equity and capital accounts		2,928		4,623

UNIFI’s portion of undistributed earnings		1,715		2,100

	For the Three Months Ended				For the Nine Months Ended
	March 27, 2022		March 28, 2021		March 27, 2022			March 28, 2021
Net sales	$	8,816	$	5,983	$	22,301		$	13,847
Gross profit		487		1,047		1,059			2,580
Income (loss) from operations		60		629		(194	)		1,348
Net income (loss)		54		630		(199	)		1,353
Depreciation and amortization		29		38		93			116

Distributions received		750		—		750			—