Company: BLNE
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023462
Chunk: 122

Company: Beeline Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 122
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The
Series B Preferred Stock accrues dividends at a rate of 6%
per annum, payable annually on the last day of December of each year. Dividends shall accrue from day to day, whether or not
declared, and shall be cumulative. Dividends are payable at the Company’s option either in cash or “in kind” in
shares of common stock; provided, however that dividends may only be paid in cash following the fiscal year in which the Company has
net income (as shown in its audited financial statements contained in its Annual Report on Form 10-K for such year) of at least
$0.5
million. For “in-kind” dividends, holders will receive that number of shares of common stock equal to (i) the amount of
the dividend payment due such stockholder divided by (ii) the volume weighted average price of the common stock for the 90 trading
days immediately preceding a dividend date (“VWAP”). For both the nine months ended September 30, 2025 and 2024, the
Company accrued $0.1
million of preferred dividends. During the nine months ended September 30, 2024, the Company issued dividends of 17,773 shares of common stock at
$8.44 per share to its Series B Preferred stockholders.

Issuance
of Series C Preferred Stock

In
January 2025, the Certificate of Designation was withdrawn for the Series C Preferred Stock.

Issuance
of Series D Preferred Stock

Each
share of Series D Preferred Stock has a stated value of $10.00 and is convertible into shares of the Company’s common stock pursuant
to the terms and conditions set forth in a Certificate of Designation establishing Series D Preferred Stock with an initial conversion
price of $18.00 per share. Each share of Series D Preferred Stock is convertible into common stock by a conversion ratio equal to the
stated value of the Series D Preferred Stock share divided by the Series D Preferred Stock conversion price. In the event that the Company
declares a dividend payable in cash or stock to holders of any class of the Company’s stock (including the Series B Preferred Stock),
the holder of a share of Series D Preferred Stock will be entitled to receive an equivalent dividend on an as-converted basis. In the
event of a liquidation of the Company, the holders of Series D Preferred Stock will share in the distribution of the Company’s
net assets on an as-