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Now THAT's a joke!
Debt has done nothing but go down here.
You mean I missed this?
The company is nearly bankrupt:
$3 million in LATE toxic obligations
$2 million in payroll taxes payable ($1 million from 2013)
5 MILLION in NEGATIVE equity
On track for $4 million in losses this year with $11 million total already.
Revenue averaged per branch down sharply.
$130K cash on hand per the last Q.
7.3 BILLION OS with 20 BILLION AS.
Public record is that the company has shrunk from 30 to 20 branches and maybe even down to 19 if we look at the website's location map.
One would do well to review the 2014 Q1 and Q2 reports to see the late 2013 payroll taxes and then at least acknowledge that 2015 payroll taxes payable were last reported as twice as much.
lol...OK.
Gee...a $100 billion industry without a harebrained app all these years? How did those companies ever become profitable while LTNC flounders under mounting debt after nearly 5 years?
Yeah, let's compare the needs of a consumer to the needs of a professional running a business with potentially millions of dollars on the line on any given project. SMH
Part of the value in having a temporary labor representative to contact and coordinate personnel is the assurance that the workers sent to you are already screened and qualified for your needs. It takes out an element of uncertainty that the app simply puts right back AND into the employers lap. If you were a busy superintendent who had to answer to a general contractor for the quality and cost of work being done would you rather assume the risk of screening yourself or rely on the expertise of professionals in the business of providing labor?
The app is dumb...dumb, dumb, dumb. It's just another promo gimmick for the uninformed that just adds to the long list of vanished promos:
Higher margins in 2014
S1 uplist in 2015
Buyout offer in 2015
"Strategic Partnership" in 2015
Crowd funding in 2015/2016
And now an app.
A friggin' app. Weren't apps all the rage, like, 2 years ago?
Not when bills and taxes go unpaid.
Business 101: Revenue doesn't mean squat if it never comes close to generating INCOME. Quarterly losses average $1 million now. The only reason 3rd quarter losses were only $500,000 was because of a $1 million sale of 5 branches. Otherwise, losses for 2015 3Q would have been over $1.5 million! That is the wrong direction for anything but bankruptcy.
"Hostile takeover" of a shell company...ROTFLMAO!!!!!
So much for the "merger" plan. lol
10. Business Combination Transaction
Is this offering being made in connection with a business combination transaction, such as a merger, acquisition or exchange offer? o Yes x No
Recent developments...hmmm
Diluted 1.3 billion shares in 2 months, then the CEO expected everyone to be giddy that he burned 700 million shares he said he paid $80,000 for right after he gave himself a $220,000 bonus to buy billions of shares at .0001/.0002.
CEO keeps talking about a "plan" to buyback "up to" $2 million worth of shares, but doesn't mention how he intends to fund that when there is only $130,000 cash on hand, revenue is collapsing, and losses are piling up to the tune of about $4 million for this year alone and $11 million total.
CEO keeps talking about a "plan" to reduce the OS, but doesn't mention how he can keep up with not only a $2 million buyback, but also daily payments on a $175,000 loan at 59% interest, $2 million to the IRS, payroll on $2 million in accounts receivable, plus 12 months worth of cash installments on $1.7 million in cash agreements for over $3 million in late toxic obligations.
CEO first tried promoting "crowd funding", but when that got burned up in the barrel with the share burning stunt he shifted to promoting an app that is supposed to revolutionize the labor industry. An app that basically expects clients who need streamlined "on demand" service to jump through hoops to find qualified candidates and somehow appreciate that more than simply calling a Labor Ready office to coordinate and send proven candidates at a specified time.
The CEO says he has paid off a toxic note since November, but he has 10 pages of late toxic notes to clear from the last quarterly report and he hasn't released anything officially declaring a note 100% satisfied, which is really strange because he used to do that regularly, so why not now?
What did I miss?
$700M company in "a year or 2"
Sparkly rainbow unicorns bound gleefully throughout the magical fields of the OTC, so why not here!
Oh, yeah. It's marked. I'll be happy to revisit this in April with the 10K release that will probably be late.
lol
Cashing out is the smartest thing anyone can do who is still holding with any kind of profit, so yeah...laugh all the way to the bank.
There are precious few "good things".
1. Supposedly "paid off a note", but we have seen no documentation of it.
2. Cancelled 700 million shares that he bought for $80,000 at .0001/.0002 with a $220,000 bonus he gave himself. Then revealed that he had diluted 1.3 billion shares just prior to that stunt so that the OS is still a whopping 7.2 BILLION shares!
3. Created an app.
Anything I miss?
Oh yeah,
"Plans" to reduce the AS and OS "up to" whatever. lol
Trip zero is a blessing compared to the no bid and .00001 42 week low this stock is heading right back to because this CEO can't control himself.
Don't forget Note 8: Loan Payable! 59% interest!!!
NOTE 8 – LOAN PAYABLE
On July 17, 2015, the Company issued a loan payable for $175,000 in cash. The loan payable matures on April 18, 2016 and is due in daily installments of $1,148, including principal and interest at 59%.
LOLOLOL...THESE notes! 9 pages worth! Duh!
ALL of these are late!
NOTE 9 – CONVERTIBLE PROMISSORY NOTES (CONTINUED)
On January 31, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Tonaquint Inc. (“Holder”) in the original principal amount of $115,000 less an original issuer’s discount of $10,000 and transaction costs of $5,000 bearing a 0% annual interest rate and maturing December 31, 2014. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. The Note is due in six equal monthly installments plus interest (“Installment Amount”) commencing nine months after the issue date. At the option of the Holder, the Installment Amount is convertible into shares of common stock of the Company at a variable conversion price calculated at 60% of the market price which means the average of the lowest two trading prices during the twenty trading day period ending on the latest complete trading day prior to the conversion date. The Company may elect to prepay in cash all or any portion of the outstanding balance of the Note if the Company pays the holder 125% of the outstanding balance. In October 2014, the Company paid principal and interest of $88,577 in cash. At September 25, 2015, the Note is recorded at a fully accreted value of $3,969 less unamortized debt discount of $0.
On March 27, 2014, the Company entered into a 10% Original Issue Discount Convertible Promissory Note (“Note”) with Gemini Master Fund, Ltd. (“Holder”) in the original principal amount of $220,000 bearing a 10% annual interest rate and maturing January 1, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. At the option of the Holder:
i) The Note together with any unpaid accrued interest is convertible into shares of common stock of the Company at a variable conversion price calculated at 65% of the market price which means the average of the lowest volume weighted average price during the twenty trading day period ending prior to the conversion date, or
ii) All principal, costs, charges and interest amounts outstanding may be exchanged for shares of the Company’s common stock at the Conversion Price of $0.25 per share. The Conversion Price is subject to an anti-dilution adjustment.
The Company may repay the Note at 130% of the original principal amount plus interest. During the year ended December 26, 2014, the Holder converted 2,386,034 shares of common stock of the Company with a fair value of $143,162 to settle $30,000 of principal and interest. During the nine months ended September 25, 2015, the Holder converted 24,923,077 shares of common stock of the Company with a fair value of $29,908 to settle $16,200 of principal and interest. During the nine months ended September 25, 2015, the Company paid $9,600 in cash for principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $277,815 less unamortized debt discount of $0.
On April 21, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Tailwind Partners 3, LLC (“Holder”) in the original principal amount of $106,000 less transaction costs of $5,000 bearing a 12% annual interest rate and maturing January 21, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 Note if repaid within 120 days of date of issue at 125% of the original principal amount plus interest, between 121 days and 150 days at 130% of the original principal amount plus interest and between 151 days and 180 days at 135% of the original principal amount plus interest. Thereafter, the Company does not have the right of prepayment. During the year ended December 26, 2014, the Holder converted 8,620,690 shares of common stock of the Company with a fair value of $142,698 to settle $49,000 of principal and interest. During the nine months ended September 25, 2015, the Holder converted 612,093,526 shares of common stock of the Company with a fair value of $116,540 to settle $58,200 of principal and interest. During the nine months ended September 25, 2015, the Company paid $7,500 in cash for principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $35,592 less unamortized debt discount of $0.
On May 27, 2014, the Company issued a Convertible Promissory Note (“Note”) to JMJ Financial (“Holder”), in the original principal amount of $330,000 bearing a 12% annual interest rate and maturing in one year for $300,000 of consideration paid in cash and a $30,000 original issue discount. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. The Company may repay the Note any time and if repaid within 90 days of date of issue with an interest rate is 0%. This Note together with any unpaid accrued interest is convertible into shares of common stock at the Holder’s option at a variable conversion price calculated as lessor of (a) $0.30 or (b) 60% of the lowest trade occurring during the 25 consecutive trading days immediately preceding the conversion date. On May 27, 2014, the Company received cash of $100,000 in the first tranche, which was net of original issue discount of $10,000. On August 19, 2014, the Company received cash of $50,000 in the second tranche, which was net of original issue discount of $5,000 bearing a 8% annual interest and maturing in one year. During the year ended December 26, 2014, the Holder converted 8,600,000 shares of common stock of the Company with a fair value of $25,880 to settle $14,256 of principal and interest. During the nine months ended September 25, 2015, the Holder converted 842,340,000 shares of common stock of the Company with a fair value of $129,439 to settle $70,598 of principal and interest. At September 25, 2015, the first tranche of the Note is recorded at a fully accreted value of $51,512 less unamortized debt discount of $0. At September 25, 2015, the second tranche of the Note is recorded at a fully accreted value of $91,479 less unamortized debt discount of $0.
On June 6, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Firehole River Capital, LLC (“Holder”) in the original principal amount of $106,000 less transaction costs of $5,000 bearing a 12% annual interest rate and maturing March 6, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 Note if repaid within 120 days of date of issue at 125% of the original principal amount plus interest, between 121 days and 150 days at 130% of the original principal amount plus interest and between 151 days and 180 days at 135% of the original principal amount plus interest. Thereafter, the Company does not have the right of prepayment. During the nine months ended September 25, 2015, the Holder converted 145,805,413 shares of common stock of the Company with a fair value of $72,617 to settle $33,000 of principal and interest. During the nine months ended September 25, 2015, the Company paid $25,000 in cash for principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $106,900 less unamortized debt discount of $0.
On June 9, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Group 10 Holdings, LLC (“Holder”) in the original principal amount of $113,000 less an original issue discount of $12,000 bearing a 12% annual interest rate and maturing June 9, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 55% of the lowest trading price of any day during the 20 consecutive trading days prior to the date on which the Holder elects to convert all or part of the Note. The Company may repay the Note if repaid within 30 days of date of issue at 125% of the original principal amount plus interest and between 31 days and 179 days at 135% of the original principal amount plus interest and thereafter, the Company may repay the Note at 145% of the original principal amount plus interest. During the nine months ended September 25, 2015, the Holder converted 611,130,000 shares of common stock of the Company with a fair value of $65,343 to settle $33,612 of principal and interest. During the nine months ended September 25, 2015, the Company paid $14,005 in cash for principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $142,946 less unamortized debt discount of $0.
On July 3, 2014, the Company received cash proceed of a Convertible Promissory Note (“Note”) dated June 26, 2014 with JSJ Investment Inc. (“Holder”) in the original principal amount of $101,000 bearing a 10% annual interest rate and maturing December 27, 2014. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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. Upon the maturity date, this note has a cash redemption value of 135%. This provision only may be exercise if the consent of the Note holder is obtained. During the nine months ended September 25, 2015, the Holder converted 215,886,723 shares of common stock of the Company with a fair value of $75,293 to settle $38,340 of principal and interest. During the nine months ended September 25, 2015, the Company paid $71,214 in cash for principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $8,444 less unamortized debt discount of $0.
On July 8, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Tailwind Partners, LLC (“Holder”) in the original principal amount of $106,000 less transaction costs of $5,000 bearing a 12% annual interest rate and maturing April 8, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 Note if repaid within 120 days of date of issue at 125% of the original principal amount plus interest, between 121 days and 150 days at 130% of the original principal amount plus interest and between 151 days and 180 days at 135% of the original principal amount plus interest. Thereafter, the Company does not have the right of prepayment. During the nine months ended September 25, 2015, the Company paid $64,000 in cash for principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $106,135 less unamortized debt discount of $0.
On July 11, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Tonaquint Inc. (“Holder”) in the original principal amount of $225,000 less an original issuer’s discount of $20,000 and transaction costs of $16,000 bearing a 10% annual interest rate and maturing June 11, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. The Note is due in six equal monthly installments plus interest (“Installment Amount”) commencing nine months after the issue date. At the option of the Holder, the Installment Amount is convertible into shares of common stock of the Company at a variable conversion price calculated at 60% of the market price which means the average of the lowest two trading prices during the twenty trading day period ending on the latest complete trading day prior to the conversion date. The Company may elect to prepay in cash all or any portion of the outstanding balance of the Note if the Company pays the holder 125% of the outstanding balance. During the nine months ended September 25, 2015, the Holder converted 872,000,000 shares of common stock of the Company with a fair value of $94,700 for $52,075 of principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $272,754 less unamortized debt discount of $0.
On July 11, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Macallan Partners, LLC (“Holder”) in the original principal amount of $115,000 less an original issue discount of $14,000 and transaction costs of $8,080 bearing a 0% annual interest rate and maturing January 7, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 lowest trading price of any day during the 15 consecutive trading days prior to the date on which the Holder elects to convert all or part of the Note. The Company may repay the Note if repaid within 60 days of date of issue at 125% of the original principal amount plus interest, and between 61 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. During the nine months ended September 25, 2015, the Holder converted 376,666,667 shares of common stock of the Company with a fair value of $68,126 to settle $33,000 of principal and interest. During the nine months ended September 25, 2015, the Company paid $17,500 in cash for principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $111,207 less unamortized debt discount of $0.
On July 15, 2014, the Company issued a Convertible Promissory Note (“Note”) to Iconic Holding, LLC (“Holder”), in the original principal amount of $110,250 less an original issue discount of $5,250 and transaction costs of $8,340 bearing a 0% annual interest rate and maturing July 15, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This unsecured Note is convertible into shares of common stock at the Holder’s option at a variable conversion price calculated at 60% of the lowest trading price of any day during the 10 consecutive trading days prior to the dated on which the Holder elects to convert all or part of the Note. The Company may repay the Note within 60 days of date of issue at 125% of the original principal amount plus interest, between 60 days and 120 days at 130% of the original principal amount plus interest plus 30,000 shares of common stock of the Company and between 120 days and 180 days at 135% of the original principal amount plus interest plus 60,000 shares of common stock of the Company. Thereafter, the Note may only be repaid with the consent of the Holder. During the nine months ended September 25, 2015, the Holder converted 263,993,047 shares of common stock of the Company with a fair value of $62,521 to settle $31,673 of principal and interest. During the nine months ended September 25, 2015, the Company paid $20,000 in cash for principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $97,628 less unamortized debt discount of $0.
On July 22, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Firehole River Capital, LLC (“Holder”) in the original principal amount of $106,000 less transaction costs of $8,080 bearing a 12% annual interest rate and maturing April 22, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 Note if repaid within 120 days of date of issue at 125% of the original principal amount plus interest, between 121 days and 150 days at 130% of the original principal amount plus interest and between 151 days and 180 days at 135% of the original principal amount plus interest. During the nine months ended September 25, 2015, the Company paid $64,000 in cash for principal and interest. Thereafter, the Company does not have the right of prepayment. At September 25, 2015, the Note is recorded at a fully accreted value of $105,891 less unamortized debt discount of $0.
On July 23, 2014, the Company entered into a Convertible Promissory Note (“Note”) with WHC Capital, LLC (“Holder”) in the original principal amount of $101,000 less transaction costs of $5,000 bearing a 12% annual interest rate and maturing July 23, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 fifteen trading day period ending on the latest complete trading day prior to the conversion date. The Company may repay the Note if repaid within 120 days of date of issue at 125% of the original principal amount plus interest, between 121 days and 150 days at 130% of the original principal amount plus interest and between 151 days and 180 days at 135% of the original principal amount plus interest. Thereafter, the Company does not have the right of prepayment. During the nine months ended September 25, 2015, the Holder converted 325,888,610 shares of common stock of the Company with a fair value of $46,723 to settle $27,089 of principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $146,726 less unamortized debt discount of $0.
On August 6, 2014, the Company entered into a Convertible Promissory Note (“Note”) with LG Capital Funding, LLC (“Holder”) in the original principal amount of $106,000 less transaction costs of $5,000 bearing a 10% annual interest rate and maturing August 6, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 lowest bid price during the twelve trading day period ending on the latest complete trading day prior to the conversion date. The Company may repay the Note if repaid within 90 days of date of issue at 125% of the original principal amount plus interest, between 91 days and 150 days at 130% of the original principal amount plus interest and between 151 days and 180 days at 135% of the original principal amount plus interest. Thereafter, the Company does not have the right of prepayment. During the nine months ended September 25, 2015, the Holder converted 188,206,378 shares of common stock of the Company with a fair value of $22,993 to settle $10,916 of principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $181,599 less unamortized debt discount of $0.
On August 8, 2014, the Company entered into a Convertible Debenture (“Note”) with Daniel James Management, Inc. (“Holder”) in the original principal amount of $101,000 bearing a 12% annual interest rate and maturing August 8, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 lowest closing bid price during the ten trading day period ending on the latest complete trading day prior to the conversion date. The Company may repay any portion of the principal amount at 135% of such amount along with any accrued interest of this Debenture at any time upon seven days written notice to the Holder. During the nine months ended September 25, 2015, the Holder converted 1,044,954,603 shares of common stock of the Company with a fair value of $112,975 to settle $60,567 of principal and interest. On June 1, 2015, the Company and the Holder entered into a new Convertible Note to settled $50,000 of principal. At September 25, 2015, the Note is recorded at a fully accreted value of $18,954 less unamortized debt discount of $0.
On August 18, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Redwood Fund III, LLC (“Holder”) in the original principal amount of $262,500 less original issue discount of $12,500 and transaction costs of $22,000 bearing a 11% annual interest rate and maturing August 18, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 as 60% of the lowest trading price, determined on the then current trading market for the Company’s common stock, for 20 trading days prior to conversion. The Company may repay any portion of the principal amount at 130% of such amount along with any accrued interest of this Debenture at any time upon five days written notice to the Holder. At September 25, 2015, the Note is recorded at a fully accreted value of $486,293 less unamortized debt discount of $0.
On August 18, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Redwood Management, LLC (“Holder”) in the original principal amount of $105,000 less original issue discount $5,000 bearing a 11% annual interest rate and maturing August 18, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 as 60% of the lowest trading price, determined on the then current trading market for the Company’s common stock, for 20 trading days prior to conversion. The Company may repay any portion of the principal amount at 130% of such amount along with any accrued interest of this Debenture at any time upon five days written notice to the Holder. During the nine months ended September 25, 2015, the Holder converted 269,145,700 shares of common stock of the Company with a fair value of $26,915 to settle $19,928 of principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $160,181 less unamortized debt discount of $0.
On September 19, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Eastmore Capital, LLC (“Holder”) in the original principal amount of $110,000 less transaction costs of $5,000 bearing a 12% annual interest rate and maturing September 18, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 60% of the market price which means the average of the lowest trading price during the fifteen trading day period ending on the latest complete trading day prior to the conversion date. For nine months, the Company may repay any portion of the principal amount at 130% of such amount along with any accrued interest of this Debenture at any time upon five days written notice to the Holder. Thereafter, the Company does not have the right of prepayment. During the nine months ended September 25, 2015, the Holder converted 145,000,000 shares of common stock of the Company with a fair value of $14,500 to settle $1,450 of principal and interest. During the nine months ended September 25, 2015, the Company paid $39,110 for principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $137,185 less unamortized debt discount of $0.
On September 19, 2014, the Company entered into a Convertible Promissory Note (“Note”) with RDW Capital, LLC (“Holder”) in the original principal amount of $131,250 less original issue discount of $6,250 bearing a 11% annual interest rate and maturing September 19, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 as 60% of the lowest trading price, determined on the then current trading market for the Company’s common stock, for 20 trading days prior to conversion. The Company may repay any portion of the principal amount at 130% of such amount along with any accrued interest of this Debenture at any time upon five days written notice to the Holder. At September 25, 2015, the Note is recorded at a fully accreted value of $243,147 less unamortized debt discount of $0.
On September 24, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Carebourn Capital, L.P. (“Holder”) in the original principal amount of $125,289 less transaction costs $6,300 bearing a 12% annual interest rate and maturing June 24, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 60% 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 Note if repaid within 30 days of date of issue at 110% of the original principal amount plus interest, between 31 days and 60 days at 115% of the original principal amount plus interest, between 61 days and 90 days at 120% of the original principal amount plus interest, between 91 days and 120 days at 125% of the original principal amount plus interest and 121 days and 150 days at 130% and between 151 days and 180 days at 135% of the original principal amount plus interest of the original principal amount plus interest. Thereafter, the Company does not have the right of prepayment. At September 25, 2015, the Note is recorded at a fully accreted value of $227,556 less unamortized debt discount of $0.
On October 1, 2014, the Company entered into a Convertible Promissory Note (“Note”) with KBM Worldwide, Inc. (“Holder”) in the original principal amount of $95,000 less transaction costs $10,000 bearing an 8% annual interest rate and maturing July 6, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 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, between 61 days and 90 days at 125% of the original principal amount plus interest, between 91 days and 120 days at 130% of the original principal amount plus interest and 121 days and 180 days at 135% of the original principal amount plus interest. During the nine months ended September 25, 2015, the Company paid $100,000 in cash for principal and interest. Thereafter, the Company does not have the right of prepayment. At September 25, 2015, the Note is recorded at a fully accreted value of $8,669 less unamortized debt discount of $0.
On October 31, 2014, the Company entered into a Convertible Promissory Note (“Note”) with Tailwind Partners, LLC (“Holder”) in the original principal amount of $106,000 less transaction costs of $5,000 bearing a 12% annual interest rate and maturing July 31, 2015. At September 25, 2015, the Note has passed its maturity date and the Company has not received a notice of default. This 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 Note if repaid within 120 days of date of issue at 125% of the original principal amount plus interest, between 121 days and 150 days at 130% of the original principal amount plus interest and between 151 days and 180 days at 135% of the original principal amount plus interest. Thereafter, the Company does not have the right of prepayment. During the nine months ended September 25, 2015, the Company paid $22,500 for principal and interest. At September 25, 2015, the Note is recorded at a fully accreted value of $160,519 less unamortized debt discount of $0.
On November 12, 2014, the Company entered into a Convertible Promissory Note (“Note”) with LG Capital Funding, LLC (“Holder”) in the original principal amount of $106,000 less transaction costs of $5,000 bearing a 10% annual interest rate and maturing November 12, 2015. This 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 lowest bid price during the twelve trading day period ending on the latest complete trading day prior to the conversion date. The Company may repay the Note if repaid within 90 days of date of issue at 125% of the original principal amount plus interest, between 91 days and 150 days at 130% of the original principal amount plus interest and between 151 days and 180 days at 135% of the original principal amount plus interest. Thereafter, the Company does not have the right of prepayment. At September 25, 2015, the Note is recorded at a fully accreted value of $199,105 less unamortized debt discount of $20,944.
On June 1, 2015, the Company entered into a Convertible Debenture (“Note”) with Daniel James Management, Inc. (“Holder”) in the original principal amount of $50,000 bearing a 12% annual interest rate and maturing May 31, 2016. The Note was issued to settle $50,000 of principal for the Convertible Debenture issued by the Holder on August 8, 2014. This 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 lowest closing bid price during the ten trading day period ending on the latest complete trading day prior to the conversion date. The Company may repay any portion of the principal amount at 135% of such amount along with any accrued interest of this Debenture at any time upon seven days written notice to the Holder. At September 25, 2015, the Note is recorded at a fully accreted value of $89,684 less unamortized debt discount of $24,204.
800% from NO BID. 52 week low .00001. lol
At .0008 and falling, clearly this CEO has the best interest of shareholders in mind.
$3 million in late toxic obligations
$2 million in late payroll taxes
10% interest (and more) on factor financing
$175,000 loan at 59% interest with daily payments
1.3 billion shares of dilution from Nov 17th to Jan. 13th.
$220,000 bonus to the CEO in the third quarter after 33% of branches had been closed or sold for a 9 month loss of $2.5 million and accumulated loss of $11 million.
lol
lol...okey-dokey!
That's funny, because the linked article was actually rather kind. Here is one from the same source exposing more of the ridiculousness with this company. Clearly, the author wasn't interested in Schadel's share burning stunt that reduced the December dilution by just half, but we're talking the difference between 7.2 billion OS and 7.9 billion OS. lol
http://www.hotstocked.com/article/92539/is-this-the-end-for-labor-smart-inc.html
lol..."dubious source"? Every single number in that article is from PR's and quarterly reports. Recent developments???? You mean pinky "plans" for AS reductions and stock buybacks...cuz that is NEVER said on the OTC. lol
Oh, maybe you mean the "industry changing app". lol
How about the share burning stunt that we later found out eliminated just half the dilution that had occurred in the month preceding it?
Maybe we mean the 50:1 reverse split the CEO is doing on the shell company he spent 1/4 of a million dollars on while notes went unpaid.
Man, the "facts" used to support this CEO are shameless. lol
Excellent article on LTNC: http://www.hotstocked.com/article/92639/labor-smart-inc-otcmkts-ltnc-is-back-with-a.html
Labor Smart Inc (OTCMKTS:LTNC, LTNC message board) managed to add 37.50% to its market cap yesterday, after making a positive announcement.
Upon first glance, the PR was excellent indeed – it made LTNC management look like it actually cares for investors. However, once you look closer, some inconsistencies start popping up.
First off, even if LTNC is to buy back and cancel $2 million worth of its common stock, at the current rate this will reduce its shares outstanding by about 2 billion – give or take a couple of hundred million. Last time we checked, LTNC had 7.8 billion shares outstanding, as of about two weeks ago.
So even if the company goes through with its plan, and carries it out completely, its effort still will not make all that much of a dent in the enormous pile of unpleasantness that is its share structure currently.
Secondly, where is that $2 million going to come from? Last time we checked, the company had just:
cash - $127 thousand
current assets - $3.3 million
current liabilities - $8.5 million
quarterly revenues - $5.7 million
quarterly net loss - $560 thousand
With this in mind, the inconsistencies between LTNC’s words and its actions should be more than obvious. Investors would do well to note said inconsistencies well and think long and hard on what said inconsistencies mean before committing to LTNC stock.
SO, a merger with a shell company doing a 50:1 reverse split is the expected plan, eh? Schadel may be right when he says that has never been done before...on NASDAQ and NYSE. But here in Pinky land it's how the ATMs stay stocked with cash.
Such a unique plan. So "BRILLIANT"! lol
How does CEO have $2 million for a share buyback when he seems to have LOST $2 million in factor financing? He was boasting about an increase in credit line for the longest time, then in January 2015 Schadel announced:
Labor SMART Boosts Credit Line With Transfac Capital
Under the terms of the Purchase and Sale Agreement, Transfac shall have the right, but not the obligation, to purchase up to Two Million Dollars ($2,000,000) worth of accounts receivable
Interest expense related to the factoring arrangement was $120,105 and $94,333 for the three months ended September 25, 2015 and September 26, 2014, respectively and $398,405 and $218,916 for the nine months ended September 25, 2015 and September 26, 2014, respectively.
Gave himself a $220,000 bonus for those shares he bought. Clearly, fundamentals aren't much of a concern for this CEO or he would have used that money for paying off late notes/taxes. Then, there was the $180,000 for the CCNI shell company. Then, there was $100,000 for TempBuddy.
Fundamentals are a joke here.
14c filed today for a decision that was made over two weeks ago. Way to stretch out the promo, Schadel.
Blah!
Yep. And it's actually 7.189 billion per the CEO over two weeks ago. The AS is 20 billion, but don't worry. The CEO has a "plan" to reduce the AS and buyback "up to" $2 million of the OS.
In 4th year branch count fell from 30 to 19, revenue fell from $24M (12 branches average) to $21M (25 branches average), losses for first 9 months of 2015 total $2.56 million despite $1 million sale of 5 branches for far less than the cost to open them.
Why focus so much on "ancient history" when there is much more relevant information to go on just within the past few months???
"Regurgitated" info from exaggerated official financial reports...lol
Meanwhile, people are oohing and awwing over an "industry changing" app that's going to make everyone RICH because this trip zero CEO is "brilliant"!!!!
ROTFLMAO!!!
You missed an extremely important bit of information.
Total losses for the first 9 months was $2,590,000. There was a $560,000 loss recorded in Q3 AFTER a $1 million sale of 5 branches in the same quarter. This means that without the sale (for much less than it cost to open those branches) there would have been nearly $3,600,000 in losses for the first 9 months.
This company is on track to have an effective loss equivalent to about 25% of total revenue for 2016. Even with the proceeds from the branch sale, losses are expected to be around 20% of total revenue.
That is hideous and completely unsustainable for a company approaching its 5th year of operation.
The numbers don't lie, but the CEO certainly seems to have no qualms with it. Either that or he is stupid and doesn't understand that the numbers reflect his poor management of the company. What a retarded tweet from a CEO of a company that owes $3 million in late toxic debt and $2 million in payroll taxes with his trip zero stock that has over $11 million in losses with collapsing revenue on 7.2 BILLION shares outstanding.
He's paid off notes before and still ended up with more toxic debt and $3 million late. He's got no cash flow from operations. It looks to me that all the payments for the past 2 months have been for one note and less than 10% of total cash obligations due over 12 months. Makes a great promo, but it is all dejavu from 2013. He still hasn't revealed any details on whether or not the notes carry a conversion for the balance owed beyond cash agreements. Note holders taking a "haircut" on expected returns is nothing like settling for zero return. Schadel still owes millions in one fashion or another.
Well, cpw, that is just the past. Don't you know that it doesn't matter what this CEO has done to repeatedly screw over shareholders? Nah....it's all about "the future".
Does ANYONE "invested" here read the quarterly reports???? For crying out loud, we've been talking about it ever since that information about the $220k CEO bonus and $175k loan at 59% (and due in daily installments) was released all the way back in November 2015.
From a flipper's point of view I understand that and respect it for what it is. I am talking about an investor's point of view. Nothing is priced in if the same leadership is making the same bad decisions over and over and over with no Board of Directors to keep him in check.
How many OTC scams have had that very same question asked? All of them. Hypotheticals don't create lasting value. Performance does and right now Schadel's performance has been a joke.
Look at my posting history and you'll see that I was right where you are today in 2013. Ryan Schadel HAS broken a lot of "promises" and hasn't even begun to make up for the shareholders he has burned and continues to burn. His behavior hasn't changed and even a lot of what he says is just recycled. Everyone's money is theirs to do with as they please, obviously. The point is to pay attention to the facts behind the message.