Adama Technologies Corp. (fka ADAC)

[jimstr]

you want to see how toxic these convertible can be...look at the first one signed back in 2011: $30,000 convertible note never paid now owes the holder with interest and penalties $273,650

On November 18, 2011, the Company signed a $30,000 convertible promissory note with a third party. The note bears interest at 8% per annum and was due on August 18, 2012. The note has conversion rights that allow the holder of the note to convert after 180 days all or any part of the remaining principal balance into the Company’s common stock at a price equal to 58% of the average of the lowest six trading prices for the Common Stock during the most recent ten-day period. The conversion feature was determined to exist and was recorded at the time of issue as a derivative liability, but has been fully amortized in prior periods. This note is in default. According to the terms of the note upon default the balance due is 150% of the unpaid principal balance. In addition, from the date of default the notes bear interest at 22% per annum. The investor may in its sole discretion convert the default amount into equity. The total balance outstanding on this note at December 31, 2016 was $273,650, which included $243,650 of accrued interest and penalties.

All of this from the last filing ending Sept 30, 2017

https://backend.otcmarkets.com/otcapi/company/sec-filings/12654169/content/html