0001654954-19-013140.txt : 20191118 0001654954-19-013140.hdr.sgml : 20191118 20191118170453 ACCESSION NUMBER: 0001654954-19-013140 CONFORMED SUBMISSION TYPE: NT 10-Q PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20190930 FILED AS OF DATE: 20191118 DATE AS OF CHANGE: 20191118 EFFECTIVENESS DATE: 20191118 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Fusion Connect, Inc. CENTRAL INDEX KEY: 0001071411 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-PREPACKAGED SOFTWARE [7372] IRS NUMBER: 582342021 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: NT 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-32421 FILM NUMBER: 191228228 BUSINESS ADDRESS: STREET 1: 210 INTERSTATE NORTH PARKWAY CITY: ATLANTA STATE: GA ZIP: 30339 BUSINESS PHONE: (212) 201-2400 MAIL ADDRESS: STREET 1: 210 INTERSTATE NORTH PARKWAY CITY: ATLANTA STATE: GA ZIP: 30339 FORMER COMPANY: FORMER CONFORMED NAME: FUSION TELECOMMUNICATIONS INTERNATIONAL INC DATE OF NAME CHANGE: 19981001 NT 10-Q 1 fsnn_nt10q.htm NOTIFICATION OF LATE FILING template_nt10q.htm
 
 
 
 
 
 
 
 OMB APPROVAL
 
 
 
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 Expires: February 28, 2022
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FORM 12b-25
 SEC FILE NUMBER
 
001-32421
 
 
 
 
 
 
 
 CUSIP NUMBER
 
 NOTIFICATION OF LATE FILING
36116X102
 
(Check one):
 Form 10-K
 Form 20-F
 Form 11-K
 Form 10-Q
 Form 10-D
 Form N-SAR
 Form N-CSR
                                   
     
                            
     
                             
     
                             
     
                             
     
                             
     
                             
     
                             
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For Period Ended:   September 30, 2019
 
 
 
 
 
 
 
 
 
 
 ☐
 Transition Report on Form 10-K
 
 
 
 
 
 
 ☐
 Transition Report on Form 20-F
 
 
 
 
 
 
 ☐
 Transition Report on Form 11-K
 
 
 
 
 
 
 ☐
 Transition Report on Form 10-Q
 
 
 
 
 
 
 ☐
 Transition Report on Form N-SAR
 
 
 
 
 
 
 
 
For the Transition Period Ended:
 
                    
 
Nothing in this form shall be construed to imply that the Commission has verified any information contained herein.
 
 
If the notification relates to a portion of the filing checked above, identify the Item(s) to which the notification relates:
 
 
PART I — REGISTRANT INFORMATION
 
Fusion Connect, Inc.
 
Full Name of Registrant
 
Fusion Telecommunications International, Inc.
 
Former Name if Applicable
 
210 Interstate North Parkway, Suite 300
 
Address of Principal Executive Office (Street and Number)
 
Atlanta, Georgia 30339
 
City, State and Zip Code
 
 
 
 
 
 
 
PART II — RULES 12b-25(b) AND (c)
 
If the subject report could not be filed without unreasonable effort or expense and the registrant seeks relief pursuant to Rule 12b-25(b), the following should be completed. (Check box if appropriate)
 
 
 (a)
The reason described in reasonable detail in Part III of this form could not be eliminated without unreasonable effort or expense
 
 
 
 (b)
The subject annual report, semi-annual report, transition report on Form 10-K, Form 20-F, Form 11-K, Form N-SAR or Form N-CSR, or portion thereof, will be filed on or before the fifteenth calendar day following the prescribed due date; or the subject quarterly report or transition report on Form 10-Q or subject distribution report on Form 10-D, or portion thereof, will be filed on or before the fifth calendar day following the prescribed due date; and
 
 
 
 
 (c)
The accountant’s statement or other exhibit required by Rule 12b-25(c) has been attached if applicable.
 
 
 
 
PART III – NARRATIVE
 
State below in reasonable detail the reasons why Forms 10-K, 20-F, 11-K, 10-Q, 10-D, N-SAR, N-CSR, or the transition report or portion thereof, could not be filed within the prescribed time period.
 
(Attach extra Sheets if Needed)
 
As previously reported, Fusion Connect, Inc. (the “Company”) filed a Form 12b-25 with the U.S. Securities and Commission (the “SEC”) on March 15, 2019 and an amendment to such Form 12b-25 on April 2, 2019 to indicate that the Company would not be able to file its Annual Report on Form 10-K for the fiscal year ended December 31, 2018 (the “2018 Form 10-K”) by the March 15, 2019 deadline or April 2, 2019 extension deadline, respectively, without unreasonable effort or expense.
 
As previously reported on the Company’s Current Report on Form 8-K filed with the SEC on April 2, 2019 (the “April 2, 2019 Form 8-K”), the Company concluded that certain financial statements for the fiscal year ended December 31, 2017 and the quarters ended on June 30, 2018 and September 30, 2018 need to be restated (the “Restatement”) and should no longer be relied upon due to accounting errors identified at one of the companies acquired by the Company in connection with its merger with Birch Communication Holdings, Inc. on May 4, 2018. The determination was made upon the recommendation of the audit committee of the Company’s board of directors and after consultation with the Company’s independent auditors and management team.
 
As previously reported, on June 3, 2019, the Company and each of its U.S. subsidiaries (collectively, the “Debtors”) filed voluntary petitions (and the cases commenced thereby, the “Chapter 11 Cases”) under chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the Southern District of New York (the “Court”). The Chapter 11 Cases are being jointly administered under the caption In re Fusion Connect, Inc., et al. (Case No. 19-11811). The Debtors are operating their businesses as “debtors in possession” under the jurisdiction of the Court and in accordance with the applicable provisions of the Bankruptcy Code.
 
On July 1, 2019, the Debtors filed the Joint Chapter 11 Plan of Fusion Connect, Inc. and Its Subsidiary Debtors (the “Initial Plan”) and the related disclosure statement (the “Initial Disclosure Statement”) with the Court. On October 7, 2019, the Debtors filed the second amended Joint Chapter 11 Plan of Fusion Connect, Inc. and Its Subsidiary Debtors (the “Second Amended Plan”) and the related second amended disclosure statement (the “Second Amended Disclosure Statement” and, together with the Initial Disclosure Statement, the “Disclosure Statement”) with the Court. On November 8, 2019, the Debtors filed with the Court the Third Amended Joint Chapter 11 Plan of Fusion Connect, Inc. and Its Subsidiary Debtors (the “Third Amended Plan”), which amends the Second Amended Plan (the “Third Amended Plan”, together with the Initial Plan and the Second Amended Plan, the “Plan”). The Plan has been approved by the Court and the Company is in the process of soliciting approval of the Plan from certain of the Company’s creditors. A confirmation hearing on the Plan is scheduled for December 5, 2019.
 
The Company filed (i) a Form 12b-25 with the SEC on July 3, 2019 to indicate that the Company would be unable to timely file its Quarterly Report on Form 10-Q for the fiscal quarter ended March 31, 2019 (the “March 2019 Form 10-Q”) without unreasonable effort or expense and (ii) a Form 12b-25 with the SEC on August 9, 2019 to indicate that the Company would be unable to timely file its Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2019 (the “June 2019 Form 10-Q”) without unreasonable effort or expense.
 
As a result of these events, the considerable time and resources management must devote to the Chapter 11 Cases and the related administrative requirements, the Company has been unable to complete the preparation of its Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2019 (the “September 2019 Form 10-Q”) within its normal review cycle and has determined that it is unable to timely file its September 2019 Form 10-Q without unreasonable effort or expense. At this time, the Company is unable to estimate when it will be able to complete and file its September 2019 Form 10-Q.
 
For additional information on the Company’s filing of the Plan and the Disclosure Statement and risk factors applicable to the Company, see the Company’s Current Report on Form 8-K filed on July 2, 2019, which is incorporated by reference herein.
 
 
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Cautionary Statement Concerning Forward Looking Statements
 
This form includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are subject to risks and uncertainties. All statements, other than statements of historical facts, are forward-looking statements. When used in this Current Report on Form 8-K, the words “believes,” “anticipates,” “expects,” “intends,” “plans,” “projects,” “estimates,” “assumes,” “may,” “should,” “could,” “shall,” “will,” “seeks,” “targets,” “future,” or other similar expressions or the statements that include those words, are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Readers are cautioned not to place undue reliance on forward-looking statements. Forward-looking statements include, but are not limited to: statements relating to the Company’s ability to emerge from bankruptcy proceedings; statements relating to the timing of the completion of the audit procedures for the 2018 Form 10-K; statements relating to the timing of the filing of the 2018 Form 10-K, the March 2019 Form 10-Q, the June 2019 Form 10-Q, the September 2019 Form 10-Q and other SEC filings.
 
Such forward-looking statements involve known and unknown risks, uncertainties and other important factors, and the Company’s actual results, performance or achievements could differ materially from future results, performance or achievements expressed in these forward-looking statements. These forward-looking statements are based on the Company’s current beliefs, intentions and expectations. These statements are not guarantees or indicative of future performance, nor should any conclusions be drawn or assumptions be made as to any potential outcome of the Company’s bankruptcy proceedings. Trading in the Company’s securities during the Chapter 11 Cases is highly speculative and poses substantial risks. The Plan contemplates that, on the effective date, all of the Company’s equity interests will be extinguished and shall be of no further force and effect, whether surrendered for cancellation or otherwise, and holders of such equity interests will not receive any recovery on account of those interests. The Company therefore cautions readers against relying on these forward-looking statements.
 
Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, levels of activity, performance or achievements. Moreover, neither the Company nor any other person assume responsibility for the accuracy and completeness of the forward-looking statements. The Company undertakes no obligation to update any of the forward-looking statements after the date of this Current Report on Form 8-K, conform such statements to actual results or to changes in Company’s expectations, except as required by law. Please also refer to the “Risk Factors” in the Company’s Current Report on Form 8-K filed on July 2, 2019.
 
PART IV — OTHER INFORMATION
 
(1)
Name and telephone number of person to contact in regard to this notification
 
 
James P. Prenetta, Jr.
 
(212)
 
201-2425
 
(Name)
 
(Area Code)
 
(Telephone Number)
 
(2)
Have all other periodic reports required under Section 13 or 15(d) of the Securities Exchange Act of 1934 or Section 30 of the Investment Company Act of 1940 during the preceding 12 months or for such shorter period that the registrant was required to file such report(s) been filed? If answer is no, identify report(s).
Yes 
No 
 
 
Form 10-K for the fiscal year ended December 31, 2018
Form 10-Q for the fiscal quarter ended March 31, 2019
Form 10-Q for the fiscal quarter ended June 30, 2019
 
(3)
Is it anticipated that any significant change in results of operations from the corresponding period for the last fiscal year will be reflected by the earnings statements to be included in the subject report or portion thereof?
Yes 
No 
 
 
 
If so, attach an explanation of the anticipated change, both narratively and quantitatively, and, if appropriate, state the reasons why a reasonable estimate of the results cannot be made.
 
Information regarding the results of operations for the quarterly period ended September 30, 2019 will not be finalized until after the Company has completed its financial reporting processes for the 2018 Form 10-K, the March 2019 Form 10-Q and the June 2019 Form 10-Q and finalized the Restatement. A discussion of the preliminary estimated effects of misstatements and adjustments in connection with the Restatement was set forth in Item 4.02 of the April 2, 2019 Form 8-K.
 
 
 
 

3
 
 
 
Fusion Connect, Inc.
 
(Name of Registrant as Specified in Charter)
 
has caused this notification to be signed on its behalf by the undersigned hereunto duly authorized.
 
Date: November 18, 2019
 
 
By:
/s/ James P. Prenetta, Jr.
 
 
 
 
Name: James P. Prenetta, Jr.
 
 
 
 
Title: EVP and General Counsel

 

 
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