Company: ATLN
Filing Date: 2025-01-23
Form Type: S-4/A
Source: 0001213900-25-006032
Chunk: 304

Company: ATLANTIC INTERNATIONAL CORP.
Filing Date: 2025-01-23
Form: S-4/A
Chunk 304
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 price equals $ 25.714. Holders of Series H Preferred Stock are entitled to quarterly cash dividends at a per annum rate of 12%. The shares of the Series H Preferred Stock may be redeemed by the Company through a cash payment at a per share equal to the stated value, F-27 STAFFING 360 SOLUTIONS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
FISCAL YEARS ENDED DECEMBER 30, 2023 AND DECEMBER 31, 2022
(All amounts in thousands) NOTE 11 — DEBT (cont.) plus all accrued but unpaid dividends, at any time. On May 18, 2025, the Company shall redeem all of the shares of the Series H Preferred Stock. The redemption price represents the number of shares of the Preferred Stock ( 9,000,000), plus all accrued but unpaid dividends, multiplied by the Stated Value ($ 1). On May 18, 2022, the Company paid $ 14towards the Series H Preferred Stock balance. As of December 31, 2022 the redemption price was $ 9,000. In accordance with ASC 480 -10-15-3, the agreement includes certain rights and options including: redemption, dividend, voting, and conversion which have characteristics akin to liability and equity. The Series H Preferred Stock is redeemable and has a defined maturity date upon the third anniversary of the original issue date. As such and based on the authoritative guidance, the Series H Preferred Stock meets the definition of a debt instrument. The Company obtained a third -partyvaluation report to calculate the fair value of Series H Preferred Stock. As of May 18, 2022, the fair value of the Redemption Price was calculated as $ 8,265utilizing the CRR Binomial Lattice model. The difference in fair value was $ 735is accounted as a deferred financing charge and will be amortized over the life of the term. The quarterly dividends will be reflected as interest expense. On July 31, 2023, the Company, Chapel Hill Partners, L.P. (“Chapel Hill”) and Jean -PierreSakey (“Sakey”) entered into an agreement in connection with the Headway Purchase Agreement. Pursuant to the agreement, if on or prior to September 30, 2023, the Company pays an aggregate of $ 11,340(the “Agreed Amount”) to