DEBT |
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| DEBT |
NOTE 7 - DEBT
The
balance of long-term debt and its current portion was comprised of the
following finance leases as described below:
(1) Represents the carrying amount at the balance sheet date of the related ROU assets, in which the lessors have secured interests. Please refer to Note 5.
Finance Lease
During the second quarter of fiscal year 2026, the Company received a tool component associated with the purchase of an FPD lithography tool. Under the arrangement, the Company may either return or purchase the tool component from the vendor after a 12-month period. The Company has determined that the arrangement contains an embedded finance lease under ASC 842, as it contains an identified asset, has the right to direct the use of the asset and obtains substantially all the economic benefits from its use.
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