Labor Smart Inc (LTNC)

[DD2Gain]

Oh for God's sake!

Sobe4Life said

the Asher note DID NOT have an amortization clause in it. Either the loan is prepaid in full or they are allowed to convert per the agreement.

Per the 10Q

On March 12, 2014, the Company entered into a Convertible Promissory Note with Asher Enterprises, Inc. (“Holder”) in the original principal amount of $103,500 bearing an 8% annual interest rate and maturing December 17, 2014. This convertible promissory note together with any unpaid accrued interest is convertible into shares of common stock of the Company at the Holder’s option at a variable conversion price calculated at 58% of the market price which means the average of the lowest three trading prices during the ten trading day period ending on the latest complete trading day prior to the conversion date. The Company may repay the convertible promissory note if repaid within 30 days of date of issue at 112% of the original principal amount plus interest, between 31 days and 60 days at 119% of the original principal amount plus interest and between 61 days and 90 days at 125% of the original principal amount plus interest and between 91 days and 120 days at 130% of the original principal amount plus interest and between 121 days and 180 days at 135% of the original principal amount plus interest. Thereafter, the Company does not have the right of prepayment.

It's pretty obvious here that the note could be prepaid in any manner of installments chosen with various premiums through December.

The amortized note in reference was an EARLIER note with the unreputable Asher (that makes at least TWO times Schadel makes the mistake of dealing with Asher). So, my bad...the only note amortized was the earlier note. The latest note with Asher is completely unknown as to its status:

On July 7, 2014, the Company elected to pay in full Asher Enterprises Inc. $87,535 in cash a convertible promissory note dated January 8, 2014. The payment comprises $63,000 of principal, $2,485 of interest and $22,050 of premium.

That is, unknown without your insider information of course.