Company: INTG
Filing Date: 2025-09-30
Form Type: 10-K
Source: 0001493152-25-016154
Chunk: 69

Company: INTERGROUP CORP
Filing Date: 2025-09-30
Form: 10-K
Item: Item 1
Chunk 69
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 the entities that issue these investments. These investments are reviewed on a periodic
basis for other-than-temporary impairment. The Company reviews several factors to determine whether a loss is other-than-temporary. These
factors include but are not limited to: (i) the length of time an investment is in an unrealized loss position, (ii) the extent to which
fair value is less than cost, (iii) the financial condition and near-term prospects of the issuer and (iv) our ability to hold the investment
for a period of time sufficient to allow for any anticipated recovery in fair value. For certain equity interests without readily determinable
fair values, the Company applies the ASC 321 measurement alternative (cost less impairment, adjusted for observable price changes in
orderly transactions). For the years ended June 30, 2025 and 2024, the Company recorded impairment losses related to other investments
of $0 and $5,000, respectively.

Cash
and Cash Equivalents

Cash
equivalents consist of highly liquid investments with an original maturity of three months or less when purchased and are carried at
cost, which approximates fair value. As of June 30, 2025 and 2024, the Company did not have any cash equivalents.

Restricted
Cash

Restricted
cash is comprised of amounts held by lenders for payment of real estate taxes, insurance, furniture, fixtures and equipment (“FF&E”)
reserves, and amounts subject to cash-management lockbox arrangements under certain loan agreements.

Other
Assets

Other
assets include prepaid insurance, accounts receivable, prepaid expenses, and other miscellaneous assets.

Accounts
receivable from the Hotel and rental property customers are carried at cost less an allowance for doubtful accounts measured under ASC
326 (CECL) using historical loss experience, current conditions, and reasonable and supportable forecasts. As of June 30, 2025, and 2024,
the accounts receivable was $525,000 and $654,000, respectively, net of allowance of $772,000 and $653,000 at June 30, 2025 and 2024,
respectively.

The
Company extends unsecured credit to its customers but mitigates the associated credit risk by performing ongoing credit evaluations of
its customers. Collection experience may be affected by local tenant-protection measures and economic conditions in the markets in which
we operate.

Due
to Securities Broker

The
Company may utilize margin for its marketable securities purchases through the use of