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SUBSEQUENT EVENTS
12 Months Ended
Dec. 31, 2015
Notes to Financial Statements  
SUBSEQUENT EVENTS

19.    SUBSEQUENT EVENTS

 

In March 2016, the Company and an existing shareholder and member of our Board of Directors (the “Holder”) entered into a fourth amendment to the Line of Credit (the “Fourth Amendment”) solely to (i) increase available borrowings to $5.0 million; (ii) extend the maturity date to June 30, 2017, and (iii) provide for the conversion of the outstanding balance due under the terms of the Line of Credit into that number of fully paid and non-assessable shares of the Company’s Common Stock as is equal to the quotient obtained by dividing the outstanding balance by $1.25.

 

Contemporaneous with the execution of the Fourth Amendment, the Company and a second member of the Company’s Board of Directors (the “Second Holder”) entered into a new $500K Line of Credit with available borrowings of up to $500,000, which replaced the original $500K Line of Credit that terminated as a result of the consummation of the Series E Financing.  Similar to the Fourth Amendment, the new $500K Line of Credit with the Second Holder matures on June 30, 2017, and provides for the conversion of the outstanding balance due under the terms of the $500K Line of Credit into that number of fully paid and non-assessable shares of the Company’s Common Stock as is equal to the quotient obtained by dividing the outstanding balance by $1.25.  Both the Line of Credit and $500K Line of Credit accrue interest at the rate of 8% per annum.

 

As of March 15, 2016, no advances were made under the Company’s Lines of Credit.