QS Energy Inc (QSEP)

[mr_sano]

“During 2018 the Company paid Temple $10,000 and incurred an additional $230,700 of costs (including the $187,500 license fee and $43,200 of interest). As of December 31, 2018, total unpaid fees due to Temple pursuant to these agreements are $1,073,000, which are included as part of Accounts Payable – license agreements in the accompanying consolidated balance sheets. With regards to the unpaid fees to Temple, a total of $135,000 are deferred until such time the Company achieves a revenue milestone of $835,000 or upon termination of the licensing agreements and the remaining $938,000 are deemed past due. The Company is currently in negotiations with Temple to settle or cure the past due balance.
“

So much for “Temple is a partner” thesis. Interest on past due debt 10% ! That’s 93k a year in interest along not including the 187k they owe every year each year until the end of time!