CJ, we were talking about restructuring the debt the other day.. I found this part interesting (see below), that the Company was burning (burn rate) 500k$ a month just in these NOTES and high Interest payments. That had to be killing them. Now, with the addition of the $3.5 million dollars from PPP/Cares loans (and yes 500k$ is for a TLSS subsidiary and I say loan but most likely wont have to pay back) this will actually help free them up for about (7) Seven additional months but more importantly they will pay off about 7 months worth of this debt.. which at 100 million dollars a year in revs that is about 58 million dollars of extra revenue that can be generated during that 7 month period. And of course that 58 million has its own debt associated with it, but that should give TLSS a very significant boost of revenue and income. I wouldn't be surprised if we hear something very BIG from the Company on this debt restructuring, which you have been saying all along. I just saw this BURN RATE in the IBOX.. and wanted to comment, that will help US tremendously. And take a look at Sebastians resume below, I am convinced they will turn this around just like COACH and most likely even faster. I hope I didn't confuse you too much. ha ha
March 24th, 2020: TLSS Announces $1.7 Million in Debt Settlement Agreements
Transportation and Logistics Systems, Inc. (OTC: TLSS), (“TLSS", or the “Company"), a leading eCommerce fulfillment service provider, announced today that it has entered into several debt settlement agreements which, when finalized, will eliminate a total of approximately $1.7 million of high interest rate loans.
The settlements include four (4) outstanding merchant credit advance loans in the aggregate amount of approximately $1,600,000 and a Senior Secured Promissory Note (“Secured Note”) in the approximate amount of $100,000 as well as the cancellation of 40,300 common stock warrants that were issued in connection with the Secured Note. TLSS will pay approximately $1,100,000, in the aggregate, to settle the debts (together, the “Debt Settlements”). Once completed, the Debt Settlements will also eliminate all default penalties, unpaid accrued interest, legal fees and other charges that could have been assessed on these debt instruments.
According to Sebastian Giordano, who was recently engaged as a turnaround and restructuring consultant and who negotiated the Debt Settlements, “TLSS’s cashflow has been severely hampered during the last several months by these high-interest loans which required the Company to make payments of over $500,000 per month in principal and interest. While more work remains to be done to stabilize the Company’s balance sheet, these discounted settlements are a significant first step toward improving the Company’s financial condition.”
March 19th, 2020: Transportation and Logistics Systems, Inc. Expands Operations to Accommodate Increased ECommerce DemandMarch 10th, 2020: TLSS Engages Sebastian Giordano as Turnaround and Restructuring Consultant
Mr. Giordano has more than thirty-years of strategic, operational and operations experience in leading start-up businesses, turnaround situations and emerging growth companies, as well as an extensive background with public companies, mergers and acquisitions and capital raising. In February 2013, Mr. Giordano joined WPCS International Incorporated as a member of its board of directors. He was subsequently named Interim Chief Executive Officer in August 2013 and Chief Executive Officer in April 2016, while leading a successful restructuring of WPCS, primarily through the: (i) sale and/or closing of unprofitable business units; (ii) reduction of millions of dollars in administrative costs; and (iii) elimination of all secured debt. This restructuring culminated in the completion of a reverse merger with DropCar, Inc. (NASDAQ: DCAR). Mr. Giordano currently serves on the board of directors of DCAR and following the reverse merger, provided consulting services to DCAR from July 2018 to March 2019.
THIS COMPANY IS GOING TO EXPLODE. WE ALREADY KNOW THAT VAULATION SHOULD BE LIKE A MINIMAL 60 CENTS PPS... BUT SHOOT, GIVE THIS COMPANY 6 MONTHS TO A YEAR AND THE ABILITY TO ELIMINATE THE MAJORITY OF ITS DEBT AND THE STOCK /PPS MAY GO 2-3$ OR HIGHER WITH ANOTHER 6 MONTHS TO ONE YEAR UNDER THE WATCHFUL EYE OF SEBASTIAN AND JOHN M.