NOTE 8 – CONVERTIBLE NOTES (HOST DEBT INSTRUMENT)

As of June 30, 2026, the Company’s outstanding convertible debt host instruments classified within current liabilities had an aggregate carrying value of $241,656, consisting of $66,241 in convertible notes net of an associated unamortized debt discount of $175,415.

These components represent the unamortized allocation blocks of the underlying short-term debt host instruments as of the balance sheet date. Pursuant to ASC 835-30, these host tranches are stated net of their respective unamortized debt discounts, which were initially generated by the detachment and fair value bifurcation of their embedded derivative liabilities at the inception of the respective offerings. These discounts are being systematically amortized to interest expense over the remaining contractual maturities of the underlying credit facilities.