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(formerly Ameritek Ventures, Inc.; “GlobalTek” or the “Company”) is a Nevada corporation organized in 2010. Its name was changed on April 16, 2026 by its then custodian; the Order described in Note 2 directs that no charter documents be amended pending the appointment of a neutral, and the validity of the name change and of the 2025 increase in authorized common stock has not been determined. The common stock is quoted on the OTC Markets under the symbol ATVK.</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Company’s only revenue-producing activity is the rental of furnished condominiums in Chicago, Illinois through Chicago Real Estate Partners, LLC, begun in the third quarter of 2025. Its former software business (Ecker Capital, LLC) was sold in October 2024 and Galaxy Batteries, Inc. was purchased in August 2025; both transactions were declared void by the Order (Note 6). Its other subsidiaries (AeroPass, Augumum, CordTell, Equock and WeeBeeO, Inc. of Indiana and DittoMask, Inc. of Wyoming) have no operations. Ecker Capital, LLC is not consolidated because its membership interests have not been returned to the Company.</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Company has had no directors or officers since August 11, 2026. Jacob Sherman, appointed successor custodian on October 6, 2026, is authorized by the Court to act as principal executive and principal financial officer for the Company’s Exchange Act reports (Note 16); he held no position with the Company during the periods presented and prepared these financial statements from the records delivered to him.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Going concern</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. As of June 30, 2026, the Company had cash of $29,328, current liabilities of $2,192,354, current assets of $30,815, a working capital deficit of $2,161,539 and a stockholders’ deficit of $1,157,138. The Company generated operating revenue of $11,706, incurred a net loss of $732,925 and used $101,217 of cash in operating activities during the six months ended June 30, 2026, and has relied on related-party financing and other external sources of liquidity to fund operations. Current liabilities include $576,706 due to Meridian Pacific Holdings, LLC, which the Court has allowed and on which interest continues to accrue, and $1,573,294 of advances from affiliates of the former custodian, which cannot be expected to continue. The Company has no directors or officers and its affairs are subject to the supervision of the Court. These conditions raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date these consolidated financial statements are issued.</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The successor custodian’s plans include completing the rehabilitation of the Company under the Court’s supervision and nominating an independent board, funding the Company’s reporting obligations under the convertible note from Jennings Family Investments, Inc. approved by the Court on October 15, 2026 (Note 16), generating rental income and reducing expenditure. These plans depend on the Court and on third parties and do not alleviate the substantial doubt. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.</p> 2026-04-16 29328 2192354 30815 a working capital deficit of $2,161,539 -1157138 11706 -732925 -101217 576706 1573294 The successor custodian’s plans include completing the rehabilitation of the Company under the Court’s supervision and nominating an independent board, funding the Company’s reporting obligations under the convertible note from Jennings Family Investments, Inc. approved by the Court on October 15, 2026 (Note 16), generating rental income and reducing expenditure. These plans depend on the Court and on third parties and do not alleviate the substantial doubt. The financial statements do not include any adjustments that might result from the outcome of this uncertainty. <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>2.  COURT ORDER AND RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS</b></p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Background</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Shaun Passley, PhD was appointed custodian of the Company by the Eighth Judicial District Court, Clark County, Nevada (the “Court”) on November 9, 2020 under NRS 78.347 and acted as custodian and sole director and officer until August 11, 2026. On August 11, 2026, after trial of the derivative claims of two creditors and the Company’s claims against them, the Court entered Findings of Fact, Conclusions of Law and Order in Case No. A-20-822695-B (the “Order”, filed as Exhibit 99.1).</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Court (i) removed Dr. Passley as custodian, held that he had not been validly appointed as a director or officer (ii) declared void ab initio transactions including the Management Services Agreement with Epazz, Inc., the mergers of Bozki, Inc. and VW Win Century, Inc., the Technology Exclusive License Agreement with ZenaTech, Inc., the Stock Compensation Agreement, the sale of Ecker Capital, LLC, the purchase of Galaxy Batteries, Inc., cancelled the shares issued under them and left the debt assumed under them with the originating party; (iii) rescinded the 1-for-1,200 reverse stock split of January 20, 2026; (iv) allowed the creditor claim of Meridian Pacific Holdings, LLC (“Meridian”) at $579,100 as of August 11, 2026 with interest accruing. The Company has applied the Order as written; Dr. Passley’s challenges to it are described in Note 14.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Restatement</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">On August 20, 2026 the Company’s then independent registered public accounting firm advised that its reports for 2019 through the quarter ended March 31, 2026 should no longer be relied upon, and the Company so reported on Form 8-K filed October 15, 2026. The transactions being void from inception, the Company did not acquire the assets, assume the liabilities or issue the shares concerned, and the previously issued financial statements also omitted the Meridian note outstanding since 2017. The comparative amounts are restated under ASC 250 as follows:</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Adjustment</b></span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Treatment in these financial statements</b></span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">R1 – Ecker Capital sale</span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">ZenaTech, Inc. shares received as consideration ($10,471,466 at December 31, 2025) derecognized and related gains and losses reversed; the Company’s interest in Ecker Capital, LLC carried at <span style="-sec-ix-hidden:fact66">nil</span> (Note 6).</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">R2 – Bozki / VW Win mergers</span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Epazz, Inc. notes assumed in the mergers (principal $1,014,094; accrued interest $699,009 at December 31, 2025) and related interest derecognized; 50,000,000 conversion shares cancelled; commitment-fee amortization reversed.</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">R3 – Meridian note</span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Recognized with accrued interest and late charge (Note 10).</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">R4 – Equity</span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Shares issued for Galaxy Batteries (10,000,000,000) and the $37,000,000 common control adjustment account reversed; 366,000,000 shares issued in January 2025 under the voided compensation and management agreements cancelled and 2025 stock-based compensation of $477,722 ($183,000 in the 2025 periods presented) reversed; other shares issued to Dr. Passley and his affiliates and the Series B, C and D preferred stock cancelled (Note 11); reverse stock split rescinded. No effect on total equity.</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">R6 – Management fees</span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Fees of $479,565 billed by Epazz, Inc. under the voided Management Services Agreement and unpaid at December 31, 2025 derecognized from the beginning of the earliest period presented (Note 12).</span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Order has not yet been implemented on the transfer agent’s register, which continues to show 9,222,729 post-split common shares and the preferred stock as previously reported; the cancelled shares have not been surrendered and the ZenaTech shares and Ecker membership interests have not been exchanged. Amounts may change when matters the Order does not resolve are determined by the Court, the custodian or on appeal.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Effect on the consolidated balance sheet as of December 31, 2025</i></b></p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As previously reported</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Adjustment</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As restated</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cash</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">2,543</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">2,543</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total current assets</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>2,543</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>–</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>2,543</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Property and equipment, net</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">417,313</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">417,313</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Franchise and development rights, net</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">78,375</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">78,375</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Investment in securities</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,471,466</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(10,471,466)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total long-term assets</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>10,967,154</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(10,471,466)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>495,688</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total assets</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>10,969,697</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(10,471,466)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>498,231</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accounts payable</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">516,051</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(479,565)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">36,486</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accrued interest and expenses</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">700,642</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(699,009)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">1,633</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Short-term debt</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">125,232</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(104,232)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">21,000</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Short-term advances from affiliates</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">892,386</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">892,386</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Amount due to Meridian Pacific Holdings, LLC</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">566,195</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">566,195</span></p> </td> </tr> </table> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total current liabilities</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>2,234,311</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(716,611)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,517,700</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Long-term debt</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">935,065</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(909,862)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">25,203</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total long-term liabilities</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>935,065</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(909,862)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>25,203</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total liabilities</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>3,169,376</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(1,626,473)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,542,903</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Preferred stock – Series A</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">74,887</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">74,887</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Preferred stock – Series B</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">100,000</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(100,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Preferred stock – Series C</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">599,890</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(599,890)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Preferred stock – Series D</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">90,836</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(90,836)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Preferred stock – Series E</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">230,000</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">230,000</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Common stock</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">9,124</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">358,892</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">368,016</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Additional paid-in capital</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">38,940,342</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(37,045,888)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">1,894,454</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Common control adjustment account</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(37,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">37,000,000</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accumulated surplus (deficit)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">4,755,242</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(8,367,271)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(3,612,029)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total stockholders’ equity (deficit)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>7,800,321</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(8,844,993)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(1,044,672)</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total liabilities and stockholders’ equity (deficit)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>10,969,697</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(10,471,466)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>498,231</b></span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify"><span style="font-size:9.5pt">The adjustment to accumulated surplus (deficit) comprises R1 $(10,471,466), R2 $1,713,103, R3 $(566,195), R4 $477,722 and R6 $479,565. Common shares outstanding change from 9,124,451 post-split to 368,015,948 pre-split.</span></p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Effect on the consolidated statements of operations for the three and six months ended June 30, 2025</i></b></p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>Three months as previously reported</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>Adjustment</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>As restated</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>Six months as previously reported</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>Adjustment</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>As restated</b></span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Revenue</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">22,492</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">22,492</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">22,492</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">22,492</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">General and administrative</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">2,067</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">2,067</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">10,353</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">10,353</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Stock-based compensation</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">183,000</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(183,000)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">183,000</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(183,000)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Depreciation and amortization</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">2,000</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">2,000</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">4,000</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">4,000</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt"><b>Total operating expenses</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>187,067</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(183,000)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>4,067</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>197,353</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(183,000)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>14,353</b></span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt"><b>Operating income (loss)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(164,575)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>183,000</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>18,425</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(174,861)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>183,000</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>8,139</b></span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Interest expense</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(28,623)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">21,387</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(7,236)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(55,615)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">42,832</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(12,783)</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Gain (loss) on investment in securities</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">1,725,833</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(1,725,833)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(7,296,262)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">7,296,262</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt"><b>Net income (loss)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>1,532,635</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(1,521,446)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>11,189</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(7,526,738)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>7,522,094</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(4,644)</b></span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Weighted average shares – basic and diluted</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">949,226,791</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">368,015,948</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">949,226,791</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">382,933,075</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Net income (loss) per share – basic and diluted</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">0.00</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">0.00</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(0.01)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(0.00)</span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify"><span style="font-size:9.5pt">The interest adjustment reverses interest and commitment-fee amortization on the Epazz, Inc. notes and adds Meridian interest ($5,284 and $10,511).</span></p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Effect on the consolidated statement of cash flows for the six months ended June 30, 2025</i></b></p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As previously reported</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Adjustment</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As restated</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Net income (loss)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(7,526,738)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">7,522,094</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(4,644)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Amortization and depreciation</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">4,000</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">4,000</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Amortization of LOC commitment fees</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">3,696</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(3,696)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">(Gain) loss on fair value changes in investments</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">7,296,262</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(7,296,262)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Stock-based compensation</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">183,000</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(183,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accounts payable</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(11,100)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(11,100)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accrued interest and expenses</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">51,918</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(49,647)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">2,271</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accrued interest and late charge – Meridian</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,511</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,511</span></p> </td> </tr> </table> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Short-term advances from affiliates</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">100</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(100)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Net cash (used in) provided by operating activities</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,138</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(100)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,038</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Advances from affiliates, net</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">100</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">100</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Net cash provided by financing activities</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>–</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>100</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>100</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Net increase in cash</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,138</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>–</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,138</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Cash – end of the period</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,138</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>–</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,138</b></span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify"><span style="font-size:9.5pt">Cash advances from affiliates, previously presented in operating activities, are presented in financing activities.</span></p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Three months ended March 31, 2026</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify"><span style="font-size:9.5pt">Effect on the quarter ended March 31, 2026, included in the six-month amounts:</span></p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As previously reported</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Adjustment</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As restated</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Revenue</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">5,419</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">5,419</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">General and administrative</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">8,223</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">8,223</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Depreciation and amortization</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">8,208</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">8,208</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Operating loss</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(11,012)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(11,012)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Interest expense</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(22,458)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">16,512</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(5,946)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Loss on investment in securities</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(2,976,458)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">2,976,458</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Net loss</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(3,009,928)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>2,992,970</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(16,958)</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Weighted average shares – basic and diluted</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">9,131,485</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">368,015,948</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Net loss per share – basic and diluted</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.33)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total stockholders’ equity (deficit), March 31, 2026</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>4,790,393</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(5,852,023)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(1,061,630)</b></span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Cumulative effect at January 1, 2025</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify"><span style="font-size:9.5pt">The cumulative effect at December 31, 2024 is a reduction of stockholders’ equity of $12,497,288 (from $13,729,792 to $1,232,504): preferred stock $(790,726), common stock $397,505, additional paid-in capital $363,246 and accumulated surplus $(12,467,313), from removing the ZenaTech shares ($14,053,981), the Epazz, Inc. notes and interest ($1,622,127) and the management fees ($479,565) and recognizing the Meridian liability ($545,000). The allocation between additional paid-in capital and accumulated surplus for pre-2025 transactions has not been completed and does not affect total equity. The restatement has no income tax effect (Note 15). The Company has not determined whether it will amend its 2025 Form 10-K or its Form 10-Q for the quarter ended March 31, 2026.</span></p> 1-for-1,200 579100 <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Adjustment</b></span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Treatment in these financial statements</b></span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">R1 – Ecker Capital sale</span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">ZenaTech, Inc. shares received as consideration ($10,471,466 at December 31, 2025) derecognized and related gains and losses reversed; the Company’s interest in Ecker Capital, LLC carried at <span style="-sec-ix-hidden:fact66">nil</span> (Note 6).</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">R2 – Bozki / VW Win mergers</span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Epazz, Inc. notes assumed in the mergers (principal $1,014,094; accrued interest $699,009 at December 31, 2025) and related interest derecognized; 50,000,000 conversion shares cancelled; commitment-fee amortization reversed.</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">R3 – Meridian note</span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Recognized with accrued interest and late charge (Note 10).</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">R4 – Equity</span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Shares issued for Galaxy Batteries (10,000,000,000) and the $37,000,000 common control adjustment account reversed; 366,000,000 shares issued in January 2025 under the voided compensation and management agreements cancelled and 2025 stock-based compensation of $477,722 ($183,000 in the 2025 periods presented) reversed; other shares issued to Dr. Passley and his affiliates and the Series B, C and D preferred stock cancelled (Note 11); reverse stock split rescinded. No effect on total equity.</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">R6 – Management fees</span></p> </td> <td style="width:358pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Fees of $479,565 billed by Epazz, Inc. under the voided Management Services Agreement and unpaid at December 31, 2025 derecognized from the beginning of the earliest period presented (Note 12).</span></p> </td> </tr> </table> 10471466 1014094 699009 -50000000 -10000000000 37000000 -366000000 -477722 -183000 -479565 9222729 <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As previously reported</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Adjustment</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As restated</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cash</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">2,543</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">2,543</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total current assets</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>2,543</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>–</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>2,543</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Property and equipment, net</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">417,313</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">417,313</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Franchise and development rights, net</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">78,375</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">78,375</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Investment in securities</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,471,466</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(10,471,466)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total long-term assets</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>10,967,154</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(10,471,466)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>495,688</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total assets</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>10,969,697</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(10,471,466)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>498,231</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accounts payable</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">516,051</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(479,565)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">36,486</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accrued interest and expenses</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">700,642</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(699,009)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">1,633</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Short-term debt</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">125,232</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(104,232)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">21,000</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Short-term advances from affiliates</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">892,386</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">892,386</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Amount due to Meridian Pacific Holdings, LLC</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">566,195</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">566,195</span></p> </td> </tr> </table> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total current liabilities</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>2,234,311</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(716,611)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,517,700</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Long-term debt</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">935,065</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(909,862)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">25,203</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total long-term liabilities</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>935,065</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(909,862)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>25,203</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total liabilities</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>3,169,376</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(1,626,473)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,542,903</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Preferred stock – Series A</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">74,887</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">74,887</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Preferred stock – Series B</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">100,000</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(100,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Preferred stock – Series C</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">599,890</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(599,890)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Preferred stock – Series D</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">90,836</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(90,836)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Preferred stock – Series E</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">230,000</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">230,000</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Common stock</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">9,124</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">358,892</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">368,016</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Additional paid-in capital</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">38,940,342</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(37,045,888)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">1,894,454</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Common control adjustment account</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(37,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">37,000,000</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accumulated surplus (deficit)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">4,755,242</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(8,367,271)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(3,612,029)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total stockholders’ equity (deficit)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>7,800,321</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(8,844,993)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(1,044,672)</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total liabilities and stockholders’ equity (deficit)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>10,969,697</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(10,471,466)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>498,231</b></span></p> </td> </tr> </table> 2543 0 2543 2543 0 2543 417313 0 417313 78375 0 78375 10471466 -10471466 0 10967154 -10471466 495688 10969697 -10471466 498231 516051 -479565 36486 700642 -699009 1633 125232 -104232 21000 892386 0 892386 0 566195 566195 2234311 -716611 1517700 935065 -909862 25203 935065 -909862 25203 3169376 -1626473 1542903 74887 0 74887 100000 -100000 0 599890 -599890 0 90836 -90836 0 230000 0 230000 9124 358892 368016 38940342 -37045888 1894454 -37000000 37000000 0 4755242 -8367271 -3612029 7800321 -8844993 -1044672 10969697 -10471466 498231 -10471466 R2 $1,713,103 566195 -477722 -479565 9124451 368015948 <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>Three months as previously reported</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>Adjustment</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>As restated</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>Six months as previously reported</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>Adjustment</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:8.5pt"><b>As restated</b></span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Revenue</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">22,492</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">22,492</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">22,492</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">22,492</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">General and administrative</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">2,067</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">2,067</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">10,353</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">10,353</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Stock-based compensation</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">183,000</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(183,000)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">183,000</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(183,000)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Depreciation and amortization</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">2,000</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">2,000</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">4,000</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">4,000</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt"><b>Total operating expenses</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>187,067</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(183,000)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>4,067</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>197,353</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(183,000)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>14,353</b></span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt"><b>Operating income (loss)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(164,575)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>183,000</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>18,425</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(174,861)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>183,000</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>8,139</b></span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Interest expense</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(28,623)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">21,387</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(7,236)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(55,615)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">42,832</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(12,783)</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Gain (loss) on investment in securities</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">1,725,833</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(1,725,833)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(7,296,262)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">7,296,262</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">–</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt"><b>Net income (loss)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>1,532,635</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(1,521,446)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>11,189</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(7,526,738)</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>7,522,094</b></span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt"><b>(4,644)</b></span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Weighted average shares – basic and diluted</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">949,226,791</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">368,015,948</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">949,226,791</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">382,933,075</span></p> </td> </tr> <tr> <td style="width:138pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:8.5pt">Net income (loss) per share – basic and diluted</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">0.00</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">0.00</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(0.01)</span></p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:55pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:8.5pt">(0.00)</span></p> </td> </tr> </table> 22492 0 22492 22492 0 22492 2067 0 2067 10353 0 10353 183000 -183000 0 183000 -183000 0 2000 0 2000 4000 0 4000 187067 -183000 4067 197353 -183000 14353 -164575 183000 18425 -174861 183000 8139 28623 -21387 7236 55615 -42832 12783 1725833 -1725833 0 -7296262 7296262 0 1532635 -1521446 11189 -7526738 7522094 -4644 949226791 368015948 949226791 382933075 0 0 -0.01 0 5284 10511 <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As previously reported</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Adjustment</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As restated</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Net income (loss)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(7,526,738)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">7,522,094</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(4,644)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Amortization and depreciation</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">4,000</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">4,000</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Amortization of LOC commitment fees</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">3,696</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(3,696)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">(Gain) loss on fair value changes in investments</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">7,296,262</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(7,296,262)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Stock-based compensation</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">183,000</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(183,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accounts payable</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(11,100)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(11,100)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accrued interest and expenses</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">51,918</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(49,647)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">2,271</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accrued interest and late charge – Meridian</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,511</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,511</span></p> </td> </tr> </table> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Short-term advances from affiliates</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">100</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(100)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Net cash (used in) provided by operating activities</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,138</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(100)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,038</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Advances from affiliates, net</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">100</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">100</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Net cash provided by financing activities</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>–</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>100</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>100</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Net increase in cash</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,138</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>–</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,138</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Cash – end of the period</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,138</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>–</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,138</b></span></p> </td> </tr> </table> -7526738 7522094 -4644 4000 0 4000 3696 -3696 0 -7296262 7296262 0 183000 -183000 0 -11100 0 -11100 51918 -49647 2271 0 10511 10511 100 -100 0 1138 -100 1038 0 100 100 0 100 100 1138 0 1138 1138 0 1138 <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As previously reported</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Adjustment</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>As restated</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Revenue</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">5,419</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">5,419</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">General and administrative</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">8,223</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">8,223</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Depreciation and amortization</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">8,208</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">8,208</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Operating loss</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(11,012)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(11,012)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Interest expense</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(22,458)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">16,512</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(5,946)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Loss on investment in securities</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(2,976,458)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">2,976,458</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Net loss</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(3,009,928)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>2,992,970</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(16,958)</b></span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Weighted average shares – basic and diluted</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">9,131,485</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">368,015,948</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Net loss per share – basic and diluted</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.33)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> </tr> <tr> <td style="width:228pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total stockholders’ equity (deficit), March 31, 2026</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>4,790,393</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(5,852,023)</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>(1,061,630)</b></span></p> </td> </tr> </table> 5419 0 5419 8223 0 8223 8208 0 8208 -11012 0 -11012 22458 -16512 5946 -2976458 2976458 0 -3009928 2992970 -16958 9131485 368015948 -0.33 0 4790393 -5852023 -1061630 -12497288 13729792 1232504 -790726 397505 363246 -12467313 14053981 the Epazz, Inc. notes and interest ($1,622,127) -479565 545000 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>3.  SUMMARY OF SIGNIFICANT ACCOUNTING PRINCIPLES</b></p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Basis of Preparation</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The consolidated financial statements and accompanying notes are prepared under the accrual basis of accounting in accordance with generally accepted accounting principles of the United States of America (“US GAAP”) for interim financial information and Article 8 of Regulation S-X. They do not include all of the information and notes required by US GAAP for complete financial statements. In the opinion of the successor custodian, the financial statements include all adjustments, consisting of normal recurring adjustments and the restatement adjustments described in Note 2, considered necessary for a fair presentation of the Company’s financial position, results of operations, stockholders’ equity (deficit) and cash flows for the periods presented. The results for interim periods are not necessarily indicative of results for the full year. The December 31, 2025 consolidated balance sheet is derived from the previously audited balance sheet as restated; the restated amounts have not been audited. The previously issued annual financial statements for the year ended <span style="-sec-ix-hidden:fact3">December 31</span>, 2025 should no longer be relied upon (Note 2).</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Principles of consolidation</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The consolidated financial statements include the Company and its wholly owned subsidiaries (Note 1); intercompany balances and transactions are eliminated.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Use of Estimates</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Preparation of financial statements under U.S. GAAP requires estimates and assumptions that affect reported amounts. Significant judgements include the application of the Order where it does not resolve a matter (Notes 2 and 11), the carrying amount of advances from affiliates (Note 12), useful lives, impairment, contingencies (Note 14) and the valuation allowance on deferred tax assets (Note 15). Actual results could differ.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Cash and Cash Equivalents</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Cash and cash equivalents comprise bank balances and highly liquid instruments with original maturities of three months or less.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Property and Equipment</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Property and equipment, including real estate held for rental, is stated at cost less accumulated depreciation and impairment and depreciated on a straight-line basis over estimated useful lives (real estate <span style="-sec-ix-hidden:fact67">27.5 years</span>; furniture 5 years; computers and equipment <span style="-sec-ix-hidden:fact68">3</span>–5 years; website development 3 years; land not depreciated). Repairs and maintenance are expensed. Long-lived assets, including franchise and development rights (amortized over 10 years), are reviewed for impairment when events indicate that the carrying amount may not be recoverable; an impairment is recognized when the carrying amount exceeds the undiscounted cash flows and is measured at the excess over fair value. The FlexFridge patent, product development costs and goodwill were fully impaired in 2025.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Stock-based compensation</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Share-based payments to employees and non-employees are measured at the grant-date fair value of the equity instruments or, if more reliably measurable, of the goods or services received, and recognized as the services are received. No stock-based compensation was recognized in the periods presented as restated (Note 2); the 91,244 post-split shares issued to Maxim Group Partners, LLC on May 19, 2026 for investment banking services were measured at the quoted market price, $620,459, and expensed.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Basic and Diluted Net Earnings per Share</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Basic earnings (loss) per share is net income (loss) divided by the weighted-average common shares outstanding; diluted earnings (loss) per share also includes dilutive potential common shares, which are excluded when anti-dilutive (Note 13).</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Revenue Recognition</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Rental income from furnished condominium units is recognized on a straight-line basis over the lease term under ASC 842; tenant security deposits are recorded as liabilities. The Company had no revenue within the scope of ASC 606 and no accounts receivable in the periods presented.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Investment in Securities</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Equity securities with readily determinable fair values are measured at fair value through earnings (ASC 321). The ZenaTech, Inc. shares received under the voided sale of Ecker Capital, LLC are not recognized because the Company has no rights to them under the Order (Note 2).</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Income Taxes</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Income taxes are accounted for under the asset-and-liability method (ASC 740); deferred tax assets are reduced by a valuation allowance when realization is not more likely than not (Note 15).</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Segment Information</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Company has one operating and reportable segment, the rental of residential real estate; the chief operating decision maker (the former sole director and, since October 6, 2026, the custodian) reviews financial information on a consolidated basis.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Recent Accounting Pronouncements</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">No recently issued accounting pronouncements are expected to have a material effect on the consolidated financial statements.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Basis of Preparation</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The consolidated financial statements and accompanying notes are prepared under the accrual basis of accounting in accordance with generally accepted accounting principles of the United States of America (“US GAAP”) for interim financial information and Article 8 of Regulation S-X. They do not include all of the information and notes required by US GAAP for complete financial statements. In the opinion of the successor custodian, the financial statements include all adjustments, consisting of normal recurring adjustments and the restatement adjustments described in Note 2, considered necessary for a fair presentation of the Company’s financial position, results of operations, stockholders’ equity (deficit) and cash flows for the periods presented. The results for interim periods are not necessarily indicative of results for the full year. The December 31, 2025 consolidated balance sheet is derived from the previously audited balance sheet as restated; the restated amounts have not been audited. The previously issued annual financial statements for the year ended <span style="-sec-ix-hidden:fact3">December 31</span>, 2025 should no longer be relied upon (Note 2).</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Principles of consolidation</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The consolidated financial statements include the Company and its wholly owned subsidiaries (Note 1); intercompany balances and transactions are eliminated.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Use of Estimates</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Preparation of financial statements under U.S. GAAP requires estimates and assumptions that affect reported amounts. Significant judgements include the application of the Order where it does not resolve a matter (Notes 2 and 11), the carrying amount of advances from affiliates (Note 12), useful lives, impairment, contingencies (Note 14) and the valuation allowance on deferred tax assets (Note 15). Actual results could differ.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Cash and Cash Equivalents</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Cash and cash equivalents comprise bank balances and highly liquid instruments with original maturities of three months or less.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Property and Equipment</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Property and equipment, including real estate held for rental, is stated at cost less accumulated depreciation and impairment and depreciated on a straight-line basis over estimated useful lives (real estate <span style="-sec-ix-hidden:fact67">27.5 years</span>; furniture 5 years; computers and equipment <span style="-sec-ix-hidden:fact68">3</span>–5 years; website development 3 years; land not depreciated). Repairs and maintenance are expensed. Long-lived assets, including franchise and development rights (amortized over 10 years), are reviewed for impairment when events indicate that the carrying amount may not be recoverable; an impairment is recognized when the carrying amount exceeds the undiscounted cash flows and is measured at the excess over fair value. The FlexFridge patent, product development costs and goodwill were fully impaired in 2025.</p> cost less accumulated depreciation and impairment P5Y P5Y P3Y P10Y <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Stock-based compensation</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Share-based payments to employees and non-employees are measured at the grant-date fair value of the equity instruments or, if more reliably measurable, of the goods or services received, and recognized as the services are received. No stock-based compensation was recognized in the periods presented as restated (Note 2); the 91,244 post-split shares issued to Maxim Group Partners, LLC on May 19, 2026 for investment banking services were measured at the quoted market price, $620,459, and expensed.</p> 0 91244 620459 <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Basic and Diluted Net Earnings per Share</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Basic earnings (loss) per share is net income (loss) divided by the weighted-average common shares outstanding; diluted earnings (loss) per share also includes dilutive potential common shares, which are excluded when anti-dilutive (Note 13).</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Revenue Recognition</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Rental income from furnished condominium units is recognized on a straight-line basis over the lease term under ASC 842; tenant security deposits are recorded as liabilities. The Company had no revenue within the scope of ASC 606 and no accounts receivable in the periods presented.</p> 0 0 <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Investment in Securities</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Equity securities with readily determinable fair values are measured at fair value through earnings (ASC 321). The ZenaTech, Inc. shares received under the voided sale of Ecker Capital, LLC are not recognized because the Company has no rights to them under the Order (Note 2).</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Income Taxes</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Income taxes are accounted for under the asset-and-liability method (ASC 740); deferred tax assets are reduced by a valuation allowance when realization is not more likely than not (Note 15).</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Segment Information</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Company has one operating and reportable segment, the rental of residential real estate; the chief operating decision maker (the former sole director and, since October 6, 2026, the custodian) reviews financial information on a consolidated basis.</p> 1 <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Recent Accounting Pronouncements</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">No recently issued accounting pronouncements are expected to have a material effect on the consolidated financial statements.</p> <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>4.  FAIR VALUE OF FINANCIAL INSTRUMENTS</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Company had no assets or liabilities measured at fair value on a recurring basis at June 30, 2026 or December 31, 2025; the ZenaTech, Inc. securities previously measured at fair value (Levels 1 and 2 under ASC 820) are no longer recognized (Note 2). The carrying amounts of cash, payables, accrued liabilities, debt and advances from affiliates approximate fair value because of their short-term nature; the Meridian liability is carried at the amount allowed by the Court plus accrued interest.</p> 0 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>5.  PROPERTY AND EQUIPMENT</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Property and equipment consisted of the following as of June 30, 2026 and December 31, 2025.</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>June 30, 2026</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>December 31, 2025</b></span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Furniture and fixtures</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Computer and equipment</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Software</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Website development</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">4,200</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">4,200</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Real Estate Investment*</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">976,148</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">423,242</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Total property and equipment</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">980,348</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">427,442</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Less: accumulated depreciation</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(24,326)</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(10,129)</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Net property and equipment</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>956,022</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>417,313</b></span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">*Four condominium units in Chicago, Illinois held for rental through Chicago Real Estate Partners, LLC; two units costing $552,906 (including $21,390 paid directly by Epazz, Inc., Note 12) were acquired in 2026. Depreciation expense was $14,197 for the six months ended June 30, 2026 ($4,000 in 2025).</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>June 30, 2026</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>December 31, 2025</b></span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Furniture and fixtures</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Computer and equipment</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Software</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Website development</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">4,200</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">4,200</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Real Estate Investment*</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">976,148</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">423,242</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Total property and equipment</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">980,348</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">427,442</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Less: accumulated depreciation</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(24,326)</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(10,129)</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Net property and equipment</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>956,022</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>417,313</b></span></p> </td> </tr> </table> 0 0 0 0 0 0 4200 4200 976148 423242 980348 427442 24326 10129 956022 417313 4 552906 21390 14197 4000 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>6.  ACQUISITIONS &amp; DIVESTITURES</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Galaxy Batteries, Inc. was acquired from Epazz, Inc. on August 14, 2025 for 10,000,000,000 common shares, accounted for as a common-control transaction with a $37,000,000 common control adjustment account. The Order declared the purchase void; the shares and the adjustment account are reversed (Note 2). Galaxy Batteries had no recorded assets or liabilities.</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Ecker Capital, LLC (“Ecker”), the parent of the Company’s former software subsidiaries, was sold to ZenaTech, Inc. on October 14, 2024 (effective October 1, 2024) for 5,000 super voting, 1,583,333 common and 750,000 preferred shares of ZenaTech, Inc. The Order declared the sale void; the ZenaTech shares, the gain on deconsolidation and subsequent fair value changes are reversed (Note 2). The membership interests revert to the Company but have not been returned; the Company has no financial information on Ecker after October 1, 2024 (net liabilities then $870,571, including an SBA loan of $535,145, as previously reported) and cannot direct its activities under the Order, so Ecker is not consolidated and the interest is carried at <span style="-sec-ix-hidden:fact66">nil</span>. Any obligation for Ecker’s liabilities on their return has not been determined (Note 14).</p> 10000000000 -37000000 5,000 super voting 1583333 750000 net liabilities then $870,571 535145 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>7.  PRODUCT DEVELOPMENT COSTS</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Company had no product development costs at June 30, 2026 or December 31, 2025; the remaining costs ($96,000) were fully impaired in 2025.</p> 0 96000 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>8.  FRANCHISE AND DEVELOPMENT RIGHTS</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Franchise and development rights of $82,500 relate to an Area Development Agreement with Anytime Fitness Franchisor LLC dated July 3, 2025 for three fitness centers in Chicago, assigned to the Company by Dr. Passley on that date. The nonrefundable development fee is amortized over 10 years; the carrying amount was $74,340 at June 30, 2026 ($78,375 at December 31, 2025) after amortization of $4,035 for the six months. No fitness center has been opened and the rights are reviewed for impairment; the agreement is not among those voided by the Order.</p> 82500 three fitness centers P10Y 74340 78375 4035 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>9.  GOODWILL</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Company had no goodwill at June 30, 2026 or December 31, 2025; the goodwill of $1,771,676 previously reported was fully impaired in 2025.</p> 0 1771676 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>10.  DEBT</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Debt consisted of the following as of June 30, 2026 and December 31, 2025:</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Notes outstanding, in USD</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>June 30, 2026</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>December 31, 2025 (as restated)</b></span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cloud Builder, Inc. promissory note</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">25,961</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">25,203</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Advocate CPA, Inc. demand note</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">21,000</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">21,000</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Gross debt obligations</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">46,961</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">46,203</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Less: current portion</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(21,000)</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(21,000)</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Long-term debt, net of current portion</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>25,961</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>25,203</b></span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The notes payable to Epazz, Inc. assumed in the voided mergers (principal $1,014,094; accrued interest $699,009 at December 31, 2025, as previously reported) have been derecognized (Note 2).</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Cloud Builder, Inc. promissory note</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Cloud Builder, Inc. note bears interest at 6% per year added to principal; Cloud Builder, Inc. is associated with the successor custodian (Note 12). The Advocate CPA, Inc. demand note bears interest at 6% (Note 12).</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Secured Promissory Note – Meridian Pacific Holdings, LLC</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Secured Promissory Note to Meridian dated August 21, 2017 (0.5% per month; 10% late charge) was payable on February 20, 2018 and is in default. The Court allowed Meridian’s claim at $579,100 as of August 11, 2026 (principal and facility fee $353,500, interest $190,250, late fee $35,350), with interest continuing to accrue:</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>June 30, 2026</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>December 31, 2025 (as restated)</b></span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Principal and facility fee</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">353,500</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">353,500</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accrued interest</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">187,856</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">177,345</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Late charge</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">35,350</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">35,350</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Amount due to Meridian Pacific Holdings, LLC</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>576,706</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>566,195</b></span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Interest expense on the note was $5,284 and $10,511 for each three-month and six-month period presented. The Company has no information that the security interest is enforceable against any of its assets. The Company was in compliance with its other debt at both dates.</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Notes outstanding, in USD</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>June 30, 2026</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>December 31, 2025 (as restated)</b></span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cloud Builder, Inc. promissory note</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">25,961</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">25,203</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Advocate CPA, Inc. demand note</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">21,000</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">21,000</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Gross debt obligations</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">46,961</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">46,203</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Less: current portion</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(21,000)</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(21,000)</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Long-term debt, net of current portion</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>25,961</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>25,203</b></span></p> </td> </tr> </table> 25961 25203 21000 21000 46961 46203 21000 21000 25961 25203 1014094 699009 0.06 0.06 0.005 per month; 10% late charge 2018-02-20 is in default 579100 353500 190250 35350 <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>June 30, 2026</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>December 31, 2025 (as restated)</b></span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Principal and facility fee</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">353,500</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">353,500</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Accrued interest</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">187,856</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">177,345</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Late charge</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">35,350</span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">35,350</span></p> </td> </tr> <tr> <td style="width:258pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Amount due to Meridian Pacific Holdings, LLC</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>576,706</b></span></p> </td> <td style="width:105pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>566,195</b></span></p> </td> </tr> </table> 353500 353500 187856 177345 35350 35350 576706 566195 5284 10511 in compliance with its other debt at both dates <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>11.  STOCKHOLDERS’ EQUITY AND CONTRIBUTED CAPITAL</b></p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Reverse Stock Split – rescinded</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Order rescinded the 1-for-1,200 reverse stock split of January 20, 2026; all share and per-share amounts are presented on the pre-split basis for all periods. No instruction has yet been given to the transfer agent or FINRA </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">to implement the rescission or the cancellations; the register continued to show 9,222,729 post-split shares, and the transfer agent’s report as of October 16, 2026 showed the same holdings as at June 30, 2026.</p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Preferred Stock</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The authorized preferred stock ($0.01 par value) and the effect of the Order on it, as determined by the Company, are as follows:</p> <table style="border-collapse:collapse;width:453pt"> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Authorized</b></span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Previously reported outstanding</b></span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Cancelled</b></span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Outstanding, as restated</b></span></p> </td> </tr> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Series A</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,000,000</span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">7,488,730</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">7,488,730</span></p> </td> </tr> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Series B</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,000,000</span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,000,000</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(10,000,000)</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Series C</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">60,000,000</span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">59,988,972</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(59,988,972)</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Series D</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,000,000</span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">9,083,630</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(9,083,630)</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Series E</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">23,000,000</span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">23,000,000</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">23,000,000</span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Series B, issued to Epazz, Inc. under the voided Management Services Agreement, is cancelled under ¶ 213. Series C and D, held by Dr. Passley, GG Mars Capital, Inc., Star Financial Corporation and Passley family members (51,196,002 and 8,845,370 shares), Cloud Builder, Inc. (7,700,000 Series C; Note 12) and L &amp; F Lawn Service, Inc. (1,092,970 Series C and 238,260 Series D, which account for the difference between the Order’s count of 58,896,002 Series C shares and the register), are treated as cancelled under ¶ 212,. Series A (7,488,730 shares) and Series E (23,000,000 shares), issued to Dr. Passley, are presented as outstanding because the Order makes no finding as to their consideration, pending the custodian’s determination with counsel; if cancelled, $304,887 of par value would move to additional paid-in capital, with no effect on total equity. Series A is convertible at the holder’s option into <span style="-sec-ix-hidden:fact71">60% of the outstanding common stock (9.99% beneficial-ownership limit)</span> and Series E into <span style="-sec-ix-hidden:fact72">15%</span>, all at once, with dividends contingent on revenue and income thresholds. </p> <p style="font:10.5pt Times New Roman;margin-top:6pt;margin-bottom:4pt"><b><i>Common Stock</i></b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Authorized common stock is 11,000,000,000 shares of $0.001 par value (increased in July 2025 with the approval of Epazz, Inc. as majority voting holder; validity following the Order not determined). Shares outstanding after the cancellations:</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Shares</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Order</b></span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Outstanding at December 31, 2025 as previously recorded (pre-split)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><span style="-sec-ix-hidden:fact73">10,949,226,791</span></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">105, 124</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: Galaxy Batteries, Inc. purchase (Epazz, Inc.), August 14, 2025</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(10,000,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">¶ 3</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: Stock Compensation Agreement (Dr. Passley), January 29, 2025</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(300,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">13</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: issued to Dr. Passley during the custodianship before 2025</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(79,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"> 121, 212</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: Management Services Agreement (Epazz, Inc.), January 29, 2025</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(66,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"> 213</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: issued to Epazz, Inc. on November 13, 2020</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(50,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"> 78, 212</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: issued to Epazz, Inc. on conversion of VW Win note, September 24, 2021</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(50,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"> 86, 213</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: GG Mars Capital, Inc., Star Financial Corporation and Passley family members</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(36,210,843)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"> 78, 212</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Outstanding at December 31, 2025, as restated</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>368,015,948</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Issued May 19, 2026 to Maxim Group (91,244 post-split shares at the pre-split equivalent)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">109,492,800</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Outstanding at June 30, 2026</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>477,508,748</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">On May 19, 2026 the Company issued 91,244 post-split shares (109,492,800 pre-split equivalent) to Maxim Group Partners, LLC for investment banking services, valued at $620,459 (Note 3); the shares are not addressed by the Order, were issued after the stay of share issuances found by the Court (¶¶ 91–92), and their status was raised in the motion for clarification (Note 14). The 30,000,000 shares issued to Cloud Builder, Inc. were cancelled on April 1, 2025, before the Order. The count above does not treat as cancelled 100,400 shares Dr. Passley bought in the market before his appointment; includes 516,270 shares issued in November 2020 on a </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Series A conversion the Court found contrary to the Articles (¶ 64); and deducts 50,000,000 shares issued to Epazz, Inc. in November 2020 that were transferred before the split and are held by transferees required by the Order to surrender them, so the register shows about that many more pre-split shares than the restated count. The final count will be determined when the register is conformed to the Order. Shares outstanding were 477,508,748 at June 30, 2026 and 368,015,948 at December 31, 2025, as restated.</p> 1-for-1,200 9222729 0.01 <table style="border-collapse:collapse;width:453pt"> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Authorized</b></span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Previously reported outstanding</b></span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Cancelled</b></span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Outstanding, as restated</b></span></p> </td> </tr> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Series A</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,000,000</span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">7,488,730</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">7,488,730</span></p> </td> </tr> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Series B</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,000,000</span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,000,000</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(10,000,000)</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Series C</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">60,000,000</span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">59,988,972</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(59,988,972)</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Series D</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">10,000,000</span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">9,083,630</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(9,083,630)</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> </tr> <tr> <td style="width:118pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Series E</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">23,000,000</span></p> </td> <td style="width:90pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">23,000,000</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">–</span></p> </td> <td style="width:85pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">23,000,000</span></p> </td> </tr> </table> 10000000 7488730 0 7488730 10000000 10000000 -10000000 0 60000000 59988972 -59988972 0 10000000 9083630 -9083630 0 23000000 23000000 0 23000000 51196002 8845370 7700000 1092970 238260 58,896,002 Series C shares 7488730 23000000 if cancelled, $304,887 of par value would move to additional paid-in capital 11000000000 0.001 <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Shares</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Order</b></span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Outstanding at December 31, 2025 as previously recorded (pre-split)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><span style="-sec-ix-hidden:fact73">10,949,226,791</span></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">105, 124</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: Galaxy Batteries, Inc. purchase (Epazz, Inc.), August 14, 2025</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(10,000,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">¶ 3</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: Stock Compensation Agreement (Dr. Passley), January 29, 2025</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(300,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">13</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: issued to Dr. Passley during the custodianship before 2025</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(79,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"> 121, 212</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: Management Services Agreement (Epazz, Inc.), January 29, 2025</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(66,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"> 213</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: issued to Epazz, Inc. on November 13, 2020</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(50,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"> 78, 212</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: issued to Epazz, Inc. on conversion of VW Win note, September 24, 2021</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(50,000,000)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"> 86, 213</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Cancelled: GG Mars Capital, Inc., Star Financial Corporation and Passley family members</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(36,210,843)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"> 78, 212</span></p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Outstanding at December 31, 2025, as restated</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>368,015,948</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Issued May 19, 2026 to Maxim Group (91,244 post-split shares at the pre-split equivalent)</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">109,492,800</span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> </tr> <tr> <td style="width:308pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Outstanding at June 30, 2026</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000;border-bottom:3px double #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>477,508,748</b></span></p> </td> <td style="width:80pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"> </p> </td> </tr> </table> -10000000000 -300000000 -79000000 -66000000 -50000000 -50000000 -36210843 368015948 109492800 477508748 91244 109492800 620459 -30000000 100400 516270 -50000000 477508748 368015948 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>12.  RELATED PARTIES</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Dr. Passley (custodian and sole director and officer until August 11, 2026), Epazz, Inc. and ZenaTech, Inc. (which he controls), GG Mars Capital, Inc. and Star Financial Corporation (whose presidents are family members), other family members and their entities are related parties (ASC 850). Balances:</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Related party</b></span></p> </td> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Nature of balance</b></span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>June 30, 2026 (USD)</b></span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>December 31, 2025 (USD)</b></span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Epazz, Inc.</span></p> </td> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Advances and costs paid on the Company’s behalf, non-interest-bearing, no fixed repayment terms</span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">1,602,418</span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">890,186</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">ZenaTech, Inc. and subsidiaries</span></p> </td> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Short-term advance / affiliate payable (receivable), net</span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(29,124)</span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">2,200</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total short-term advances from affiliates</b></span></p> </td> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,573,294</b></span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>892,386</b></span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The advances are cash advanced to the Company (including the funds used to buy the condominium units) and costs paid on its behalf, <span style="-sec-ix-hidden:fact74">non-interest-bearing</span> with no fixed terms; net advances were $659,518 in the six months ended June 30, 2026 ($100 in 2025) plus $21,390 of real estate cost paid directly. The Epazz, Inc. notes and $479,565 of management fees under the voided Management Services Agreement have been derecognized (Note 2);  The custodian has not completed his analysis of the balance advanced before 2025, within which any fees or mark-ups under the voided agreement would not be payable. The advances cannot be expected to continue. The January 2025 Stock Compensation Agreement (300,000,000 shares to Dr. Passley, $391,575) and Management Services Agreement (66,000,000 shares to Epazz, Inc., $86,147), the Ecker sale and the Galaxy purchase were related-party transactions declared void (Notes 2 and 6). After the cancellations these parties hold no common stock other than the 100,400 shares noted in Note 11, and Dr. Passley holds the Series A and E preferred stock presented as outstanding; under the Order they may not serve as officers or directors.</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Jacob Sherman, successor custodian from October 6, 2026, is associated with Cloud Builder, Inc. (holder of the $25,961 note and of 7,700,000 Series C shares treated as cancelled; former holder of 30,000,000 common shares cancelled in April 2025; holder of convertible notes issued by Dr. Passley), is the son of James A. Sherman, CPA, whose firm Advocate CPA, Inc. holds the $21,000 demand note and served the Company and Dr. Passley, and is President of Jennings Family Investments, Inc., lender under the convertible note approved by the Court on October 15, 2026 (Note 16). The Court noted its concern about his relationship with Dr. Passley but was not persuaded that he is not independent. He serves <span style="-sec-ix-hidden:fact75">without</span> compensation.</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Related party</b></span></p> </td> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Nature of balance</b></span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>June 30, 2026 (USD)</b></span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>December 31, 2025 (USD)</b></span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Epazz, Inc.</span></p> </td> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Advances and costs paid on the Company’s behalf, non-interest-bearing, no fixed repayment terms</span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">1,602,418</span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">890,186</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">ZenaTech, Inc. and subsidiaries</span></p> </td> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Short-term advance / affiliate payable (receivable), net</span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(29,124)</span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">2,200</span></p> </td> </tr> <tr> <td style="width:110pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt"><b>Total short-term advances from affiliates</b></span></p> </td> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>1,573,294</b></span></p> </td> <td style="width:95pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-top:0.5pt solid #000000" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt"><b>892,386</b></span></p> </td> </tr> </table> 1602418 890186 29124 2200 1573294 892386 659518 100 21390 -479565 -300000000 391575 -66000000 86147 100400 25961 7700000 -30000000 21000 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>13.  BASIC &amp; DILUTED EARNINGS PER SHARE</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The following table presents the calculation of basic and diluted earnings (loss) per share:</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Three Months Ended June 30, 2026</b></span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Three Months Ended June 30, 2025 (restated)</b></span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Six Months Ended June 30, 2026</b></span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Six Months Ended June 30, 2025 (restated)</b></span></p> </td> </tr> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Net income (loss) attributable to common shareholders</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(715,967)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">11,189</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(732,925)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(4,644)</span></p> </td> </tr> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Weighted average shares outstanding — Basic</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">419,754,304</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">368,015,948</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">394,028,050</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">382,933,075</span></p> </td> </tr> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Basic earnings (loss) per share</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">0.00</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> </tr> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Weighted average shares outstanding — Diluted</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">419,754,304</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">368,015,948</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">394,028,050</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">382,933,075</span></p> </td> </tr> </table> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Diluted earnings (loss) per share</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">0.00</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> </tr> </table> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:3pt"> </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">Weighted average shares reflect the share register as restored by the Order for all periods (Note 11), the Maxim Group shares from May 19, 2026 and the 30,000,000 shares cancelled on April 1, 2025. The Series A and E preferred stock (convertible into <span style="-sec-ix-hidden:fact71">60%</span> and <span style="-sec-ix-hidden:fact72">15%</span> of the outstanding common stock) is anti-dilutive in the loss periods and does not change the diluted amount of $0.00 for the three months ended June 30, 2025; there are no other potentially dilutive securities.</p> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0"> </p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Three Months Ended June 30, 2026</b></span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Three Months Ended June 30, 2025 (restated)</b></span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Six Months Ended June 30, 2026</b></span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt;border-bottom:0.5pt solid #000000" valign="bottom"><p style="font:10.5pt Times New Roman;margin:0;text-align:center"><span style="font-size:9pt"><b>Six Months Ended June 30, 2025 (restated)</b></span></p> </td> </tr> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Net income (loss) attributable to common shareholders</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(715,967)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">11,189</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(732,925)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(4,644)</span></p> </td> </tr> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Weighted average shares outstanding — Basic</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">419,754,304</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">368,015,948</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">394,028,050</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">382,933,075</span></p> </td> </tr> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Basic earnings (loss) per share</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">0.00</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> </tr> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Weighted average shares outstanding — Diluted</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">419,754,304</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">368,015,948</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">394,028,050</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">382,933,075</span></p> </td> </tr> </table> <table style="border-collapse:collapse;width:468pt"> <tr> <td style="width:168pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0"><span style="font-size:9pt">Diluted earnings (loss) per share</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">0.00</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> <td style="width:75pt;padding-top:1pt;padding-left:3pt;padding-bottom:1pt;padding-right:3pt" valign="top"><p style="font:10.5pt Times New Roman;margin:0;text-align:right"><span style="font-size:9pt">(0.00)</span></p> </td> </tr> </table> -715967 11189 -732925 -4644 419754304 368015948 394028050 382933075 0 0 0 0 419754304 368015948 394028050 382933075 0 0 0 0 -30000000 0 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>14.  CONTINGENT LIABILITIES &amp; CAPITAL COMMITMENTS</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify"><i>Shaun Passley v. Ameritek Ventures</i>, Case No. A-20-822695-B (consolidated with A-21-833150-B), Eighth Judicial District Court, Clark County, Nevada, was decided by the Order (Note 2): Meridian’s claim was allowed at $579,100, Mr. Stokes’ claim disallowed, the Company’s claims against Meridian, Mr. Stokes, Ari Zieger and Kenneth Mayeaux denied and the 2017 share issuances to Mr. Stokes and Meridian confirmed. Attorney fees and costs are reserved (¶ 133); a loss is reasonably possible and cannot be estimated. Dr. Passley’s motion for clarification of August 24, 2026 and later emergency motion were disposed of as moot, the latter by the Court on October 15, 2026 and the former per the Company’s counsel; his petition to the Supreme Court of Nevada (Case No. 93419) for writs against the remedies in the Order remained pending at the date of this report, with no stay granted. If the Order is stayed, modified or vacated, the restatement could change materially.</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Company has not determined whether it has any obligation for Ecker’s liabilities on the return of the membership interests (Note 6). Epazz, Inc., ZenaTech, Inc., other counterparties and stockholders who acquired shares during the custodianship may assert claims arising from the voided transactions, and the Company may assert claims against them. The Company did not file this report and certain Forms 8-K when due and may be subject to regulatory action, loss of its OTC quotation or deregistration. No amounts are recognized for these matters (ASC 450). There were no capital commitments at either date.</p> 579100 0 0 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>15.  INCOME TAXES</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">No income tax expense or benefit was recorded. The Company had net operating loss carryforwards of approximately $2,840,392 at December 31, 2025 before the restatement; a full valuation allowance is provided against deferred tax assets because their realization is not more likely than not, so the restatement has no tax effect. The tax effect of the voided transactions has not been determined. No tax examinations are in progress and there are no uncertain tax positions.</p> 0 2840392 0 <p style="font:10.5pt Times New Roman;margin-top:10pt;margin-bottom:5pt"><b>16.  SUBSEQUENT EVENTS</b></p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">The Company has evaluated subsequent events through October 21, 2026, the date these financial statements were issued. The Order of August 11, 2026 is described in Note 2. Subsequent events are:</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:4pt;margin-left:18pt;text-align:justify"><b>August 20–26, 2026.</b> The Company’s then independent registered public accounting firm advised that its previously issued reports should no longer be relied upon (Note 2), delivered a report under Section 10A(b)(2) of the Exchange Act and, the Company having no directors or officers, furnished it to the SEC on August 26; the firm resigned on September 10, 2026.</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:4pt;margin-left:18pt;text-align:justify"><b>October 6 and 12, 2026.</b> The Court appointed Jacob Sherman successor custodian, with a mandate to complete the Company’s rehabilitation, nominate an independent board and then end the custodianship, and authorized him to act as principal executive and principal financial officer, retain professionals and accept Court-approved advances of reporting-compliance costs (order filed as Exhibit 99.2). The Company’s records were delivered to him on October 7, 2026.</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:4pt;margin-left:18pt;text-align:justify"><b>October 15, 2026.</b> The Court approved (written order to follow) a convertible promissory note from Jennings Family Investments, Inc., of which the custodian is President (Note 12): up to $250,000 of </p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:4pt;margin-left:18pt;text-align:justify">approved reporting-compliance costs paid directly to vendors against a budget of $58,950; 8% simple interest; <span style="-sec-ix-hidden:fact76">twelve-month</span> maturity; unsecured; convertible at 75% of the last bid price, no floor, 9.99% beneficial-ownership limit. No advance had been made at the date of this report. The Court also denied Dr. Passley’s emergency motion as moot (Note 14). The Company engaged Bansal &amp; Co LLP to review the interim financial information in this report and Anuj G &amp; Co. to assist in its preparation, and filed a Form 8-K reporting the auditor resignation, the non-reliance and the change of custodian; the engagement of Bansal &amp; Co LLP was reported on a further Form 8-K filed October 19, 2026.</p> <p style="font:10.5pt Times New Roman;margin-top:0pt;margin-bottom:6pt;text-align:justify">No other events requiring recognition or disclosure occurred after June 30, 2026.</p> 2026-10-21 250000 budget of $58,950 0.08 75% of the last bid price, no floor, 9.99% beneficial-ownership limit 0 * Share and per-share amounts in these financial statements are presented on the basis of the share register as restored by the Court’s Order of August 11, 2026, without the 1-for-1,200 reverse stock split and after the cancellations ordered (Note 2 and Note 11). * Weighted average shares are presented on the pre-split basis restored by the Order, after the cancellations described in Note 11. See Note 13. * Common shares and amounts as previously reported are on the post-split basis used in the previously issued financial statements; restated amounts are on the pre-split basis restored by the Order, after the cancellations described in Note 11. The Series B, C and D preferred stock is treated as cancelled by the Order; the Series A and Series E preferred stock is presented as outstanding (Note 11). *Four condominium units in Chicago, Illinois held for rental through Chicago Real Estate Partners, LLC; two units costing $552,906 (including $21,390 paid directly by Epazz, Inc., Note 12) were acquired in 2026. Depreciation expense was $14,197 for the six months ended June 30, 2026 ($4,000 in 2025).