Company: LGCY
Filing Date: 2025-09-25
Form Type: 10-K
Source: 0001493152-25-014945
Chunk: 572

Company: Legacy Education Inc.
Filing Date: 2025-09-25
Form: 10-K
Item: Item 1C
Chunk 572
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 Conversion and Other Options (Subtopic 470-20) and Derivatives
and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts
in an Entity’s Own Equity. This ASU amends the guidance on convertible instruments and the derivatives scope exception for contracts
in an entity’s own equity, and also improves and amends the related EPS guidance for both Subtopics. The Company adopted ASU 2020-06
on July 1, 2024 and it did not have a material impact on its consolidated financial statements and related disclosures.

In
November 2023, the FASB issued ASU 2023-07, Segment Reporting—Improvements to Reportable Segment Disclosures (“ASU
2023-07”), which requires incremental disclosures related to a public entity’s reportable segments. Required disclosures
include, on an annual and interim basis, significant segment expenses that are regularly provided to the chief operating decision
maker (“CODM”) and included within each reported measure of segment profit or loss, an amount for other segment items
(which is the difference between segment revenue less segment expenses and less segment profit or loss) and a description of its
composition, the title and position of the CODM, and an explanation of how the CODM uses the reported measure(s) of segment profit
or loss in assessing segment performance and deciding how to allocate resources. The standard also permits disclosure of more than
one measure of segment profit. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and interim periods
within fiscal years beginning after December 15, 2024. There are aspects of ASU 2023-07 that apply to entities with one reportable
segment. The Company adopted this guidance in the fiscal fourth quarter of 2025. The adoption of ASU 2023-07 is reflected in Note 2,
“Summary of Significant Accounting Policies - Segment Reporting.”.

Note
3 – Acquisition

On
December 18, 2024, Antioch completed its acquisition of CCMCC for a base purchase price of $8,000,000. Under the asset purchase agreement
(“APA”), Antioch acquired certain assets and assumed certain liabilities of CCMCC. Under the terms of the APA as consideration
for the sale, Antioch paid Sellers $6,600,000 subject to a working capital adjustment, entered into a $