v3.26.3
CONVERTIBLE NOTES PAYABLE
 12 Months Ended
Jun. 30, 2026
CONVERTIBLE NOTES PAYABLE  
CONVERTIBLE NOTES PAYABLE

NOTE 4: CONVERTIBLE NOTES PAYABLE

 

Convertible Notes Payable

 

At June 30, 2026 and June 30, convertible notes payable consisted of the following:

 

 

 

June 30,

 

 

 

2026

 

 

2025

 

Convertible notes payable

 

$108,009

 

 

$183,873

 

Discount on convertible notes

 

 

-

 

 

 

-

 

Total

 

$108,009

 

 

$183,873

 

 

The Company had $108,009 of convertible notes payable outstanding at June 30, 2026, compared to $183,873 at June 30, 2025. Accrued interest related to convertible notes payable amounted to approximately $108,678 and $247,563 at June 30, 2026 and 2025, respectively. The $108,009 of principal and $108,678 of accrued interest outstanding at June 30, 2026 were convertible at a fixed conversion price of $121.50 per share into an aggregate of approximately 1,783 shares of common stock; the potential common shares issuable upon conversion were excluded from the diluted earnings per share computation in Note 2 because their effect was anti-dilutive. See Note 16 – Subsequent Events for developments after June 30, 2026 affecting certain of these notes.

 

For the year ended June 30, 2026, the following summarizes the conversion of debt for common shares:

 

 

 

 

 

Amount of

 

 

 Amount of

 

 

 

 

 

 

Conversion

 

 

 

Shares

 

 

Converted

 

 

 Converted

 

 

Conversion

 

 

 

 

Price

 

Name

 

Issued

 

 

Principal

 

 

Interest

 

 

Expense

 

 

Total

 

 

Per Share

 

FirstFire

 

 

41,399,186

 

 

$14,941

 

 

$131,020

 

 

$-

 

 

$145,961

 

 

$0.00353

 

1800 Diagonal

 

 

118,690,620

 

 

 

99,856

 

 

 

49,468

 

 

 

1,750

 

 

 

151,074

 

 

 

0.00127

 

Labrys Fund II

 

 

10,000,000

 

 

 

16,940

 

 

 

1,310

 

 

 

1,750

 

 

 

20,000

 

 

 

0.00200

 

Total

 

 

170,089,806

 

 

$131,737

 

 

$181,798

 

 

$3,500

 

 

$317,035

 

 

$0.00186

 

 

Transactions

 

Convertible Notes Payable

 

During the year ended June 30, 2026, the total shares issued upon conversion of convertible notes payable at the contractual rate was 170,089,806 with a total principal, accrued interest, and conversion expense of $317,035.

 

The Company recognized interest expense on convertible notes payable of approximately $147,327 and $241,424 during the fiscal years 2026 and 2025, respectively.