OWC Pharmaceutical Research Corp (OWCP)

[236T568]

Medmar LLC distribution rights TERMINATED!


https://www.sec.gov/Archives/edgar/data/1431934/000129534517000150/owcp03312017.htm

NOTE 4 - SUBSEQUENT EVENTS

As previously discussed in Note 6 of the consolidated financial statements as at December 31, 2016, OWC received $50,000 from Medmar LLC("Medmar") during February 2017. On April 21, 2017, OWC served written notice to Medmar of OWC's determination to prepay the non-recourse loan by Medmar to OWC in the principal amount of $300,000. OWC has elected to exercise what it believes is its absolute right to terminate certain distribution rights granted to Medmar under the loan agreement. As a result of the Company exercising its right to terminate the distribution rights, the loans from Medmar are no longer considered by the company to be non-recourse, and the entire amount of the obligation has been classified as a current liability as of March 31, 2017.