| DEBT |
Notes payable at December 31, 2017 consisted of the
following:
| |
|
|
Principal |
|
|
Unamortized Discount and Debt Issuance Costs |
|
| |
Senior Secured Notes, due June 30, 2018 (discount is based on imputed interest rate of 26%) |
|
$ |
5,750,000 |
|
|
$ |
987,500 |
|
The debt issuance costs of $237,500 and the unamortized
discount of $750,000 will be amortized into interest expense over the life of the loan. As the debt matures on June 30, 2018,
the entire amount will be expensed as interest expense in 2018.
As of December 31, 2017 long-term debt consisted
of the following:
| |
|
|
2017 |
|
|
2016 |
|
| |
|
|
|
|
|
|
|
| |
Secured mortgage payable to Bank for the purchase of
the 100 Commerce Drive Building due in monthly installments of $11,951. The interest rate is 6.5% and the maturity date is
November 1, 2026. |
|
$ |
1,741,379 |
|
|
$ |
1,767,950 |
|
| |
Note payable, former building owner interest payment
only due in monthly installments of $1,604 interest at 5.5%. A balloon payment of $350 thousand plus unpaid interest due August
2018. |
|
|
350,000 |
|
|
|
350,000 |
|
| |
Note payable to the City of Loveland paid off in May 2017 |
|
|
- |
|
|
|
50,000 |
|
| |
|
|
|
2,091,379 |
|
|
|
2,167,950 |
|
| |
Less current portion |
|
|
381,497 |
|
|
|
79,521 |
|
| |
Long term debt |
|
$ |
1,709,881 |
|
|
$ |
2,088,429 |
|
Aggregate
maturities of long-term debt are as follows:
| |
2019 |
|
|
33,607 |
|
| |
2020 |
|
|
35,857 |
|
| |
2021 |
|
|
38,259 |
|
| |
2022 |
|
|
44,344 |
|
| |
2023 |
|
|
43,791 |
|
| |
Thereafter |
|
|
1,514,023 |
|
| |
|
|
|
1,709,881 |
|
|