Company: LDWY
Filing Date: 2025-08-28
Form Type: 10-KT
Source: 0001558370-25-011807
Chunk: 65

Company: LENDWAY, INC.
Filing Date: 2025-08-28
Form: 10-KT
Chunk 65
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, for the six months ended June 30, 2025. Depreciation expense of $ 1,267,000and $ 64,000were recorded within cost of goods sold and sales, general and administrative expenses, respectively, for calendar year 2024. Depreciation expense of $ 40,000was recorded within sales, general and administrative expenses for calendar year 2023. 8. Equity Method Investment. Araucanía Flowers SA (“Araucania”) is based in Chile and serves as a marketing arm for the Tulip 24.1 to export its crops to Latin-America countries. Araucanía has twoother shareholders that hold 70% of its aggregate issued and outstanding shares. At June 30, 2025 and December 31, 2024, the Tulp 24.1 had a 30% equity interest in Araucania with a carrying amount of approximately $ 216,000and $ 191,000respectively. For the six months ended June 30, 2025 and calendar year 2024, the equity in net income of Araucania was approximately $- 0- and $ 37,000, respectively. As of both June 30, 2025 and December 31, 2024, the Tulp 24.1 had a note receivable from Araucanía with a balance of $ 360,000. As of June 30, 2025, the current portion of $ 120,000is included in prepaid expenses and other current assets, and the remainder is included in long-term receivable in the accompanying consolidated balance sheets. Bloomia had a 50% ownership interest in Horti-Group USA LLC (“Horti-Group”). Horti-Group operates a 45-acre facility near Washington D.C. that Bloomia utilizes to grow and distribute its tulips to North American customers. On February 9, 2023, Bloomia sold its interest in Horti-Group to V-Maxx for a sale price of $ 2,500,000. The sale price was seller-financed via the issuance of an interest-free loan from Fresh Tulips to V-Maxx with an original principal amount $ 2,500,000. The loan to V-Maxx was to be repaid in 17monthly installments of $ 150,000for the first 16months and $ 100,000for the last month, with the