Senior Secured Convertible Promissory Notes
|3 Months Ended|
Mar. 31, 2016
|Notes Payable / Senior Secured Convertible Promissory Notes [Abstract]|
|SENIOR SECURED CONVERTIBLE PROMISSORY NOTES||
6. SENIOR SECURED CONVERTIBLE PROMISSORY NOTES
The following is a summary of outstanding senior secured convertible notes as of March 31, 2016 (amount in thousands):
During the quarter ended March 31, 2016, the Company entered into a conversion agreement with Dominion Capital for the conversion of an aggregate amount of $75,000 in accrued interest on notes issued to Dominion Capital to 1.3 million shares of common stock.
Other Convertible Notes
On March 9, 2016, an individual investor exchanged its note payable of $300,000 for 12% senior secured convertible notes. The Company recorded additional embedded conversion feature of $105,000 as debt discount on the issuance date.
During March 2016, an outstanding $100,000 note was converted into 2.0 million shares of common stock, and the Company wrote off $35,000 debt discount associated with the note. The Company recorded a loss of $40,000 on the conversion based on the fair value of the common stock recorded.
During the quarter ended March 31, 2016, the Company entered into a conversion agreement with an investor to covert an aggregate amount of $100,000 to 110 shares of Series H convertible preferred stock including a 10% OID.
The Company is in default under the terms of all of its senior secured convertible promissory notes.
The entire disclosure for short-term debt.
Reference 1: http://www.xbrl.org/2003/role/presentationRef