NOTE 5. LONG-TERM DEBT

Long-term debt is comprised of the following:

	March 31, 2015		December 31, 2014
Real estate loans	$	7,836,865	$	7,912,354
Hard Rock Note (net of $602,667 and $828,667 discount, respectively)		11,897,333		11,671,333
Related party loan		1,490,703		1,610,273
Machinery loans		980,891		1,019,100
Transportation loans		751,962		786,767
		22,957,754		22,999,827
Current portion of long-term debt		(6,013,873)		(10,720,243)
	$	16,943,881	$	12,279,584

On May 29, 2014 as part of the Reorganization, the Company issued notes to our founders, entities owned by the Meiers, in the aggregate amount of $2 million.

On May 29, 2014, the Company purchased all of the interests of Hard Rock. Consideration consisted of $12.5 million paid in cash at closing and a $12.5 million seller’s note (the “Hard Rock Note”).

During April 2015, we amended the Hard Rock Note and our real estate loan with American Bank of the North. See further discussion in Note 10 – Subsequent Events. (The effect of the refinancing of these notes is reflected in the current portion of long-term debt.)