15. Notes Payable-Related Parties
|12 Months Ended|
Dec. 31, 2015
|Pro forma financial information|
|15. Notes Payable-Related Parties||
At December 31, 2015 and 2014, components of notes payable related parties are comprised of the following:
The note payable to Marvin Rosen, the Companys Chairman of the Board, is subordinated to borrowings under the Amended Credit Facility and the Fourth Amended SPA. This note is unsecured, pays interest monthly at an annual rate of 7%, and matures 120 days after the Companys obligations under the Amended Credit Facility and the Fourth Amended SPA are paid in full.
For the year ended December 31, 2015, the Company recognized interest expense on the Rosen note of approximately $105,000 (paid $97,000), and amortization on the discount of approximately $82,000.
During the year ended December 31, 2015, Mr. Rosen converted $0.3 million of the Rosen Note into 137,615 shares of Fusions common stock at conversion price of $2.18 per share of common stock, the closing bid price of our common stock on December 4, 2015.