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Posted On: 03/28/2019 9:00:25 PM
Post# of 154725
I think I found it in the 10Q.....I didn't have time to read it thoroughly, but on initial read this aligns with your comments in post #510.
Effective November 15, 2018, the Note was amended to allow the Investor to redeem the monthly redemption amount of $350,000 in
cash or stock, at the lesser of (i) $0.55, or (ii) the lowest closing bid price of the Company’s common stock during the 20 days prior to
the conversion, multiplied by a conversion factor of 85%. The variable rate redemption provision meets the definition of a derivative
instrument and subsequent to the amendment, it no longer meets the criteria to be considered indexed to the Company’s own stock. As of
November 15, 2018, the redemption provision requires bifurcation as a derivative liability at fair value under the guidance in ASC Topic
No. 815, “Derivatives and Hedging.”
Effective November 15, 2018, the Note was amended to allow the Investor to redeem the monthly redemption amount of $350,000 in
cash or stock, at the lesser of (i) $0.55, or (ii) the lowest closing bid price of the Company’s common stock during the 20 days prior to
the conversion, multiplied by a conversion factor of 85%. The variable rate redemption provision meets the definition of a derivative
instrument and subsequent to the amendment, it no longer meets the criteria to be considered indexed to the Company’s own stock. As of
November 15, 2018, the redemption provision requires bifurcation as a derivative liability at fair value under the guidance in ASC Topic
No. 815, “Derivatives and Hedging.”
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Please do your own due diligence. All my posts and comments are not to be considered investment advice.
