Company: FGMCU
Filing Date: 2025-09-18
Form Type: S-4
Source: 0001104659-25-091249
Chunk: 521

Company: FG Merger II Corp.
Filing Date: 2025-09-18
Form: S-4
Chunk 521
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 customers. Based on the loan terms, $850 thousand of these loan receivables have been classified as long-term and $270 thousand of these loan receivables have been classified as short-term, respectively. A portion of the loan receivable estimated to be uncollectible is recorded as a credit loss provision, a contra receivable balance in accordance with ASC 326 (ASU 2016-13), Current Expected Credit Losses (“CECL”). The Company has initiated loans to specific customers to assist them in their financing. The loans were negotiated on an arm’s length basis, accrue interest income, and were originated at market rates. Accordingly, there are no ASC 606 impacts related to a financing component embedded in the loan. Considering that the Company does not have a significant portfolio of loans, or any loss history, it does not have any basis to establish any anticipated expected credit loss. The Company has an on-going business relationship with these Customers and expects to deliver additional units in the future. As the loans are performing, the Company does not anticipate any credit loss associated with these loans. Management will continue to monitor the creditworthiness of these borrowers and apply an expected loss reserve if any anticipation of loss arises. An aging analysis was performed using historical and forecasted credit loss rates across various delinquency buckets, resulting in a total expected credit loss estimate of $0. As both loan receivables were current and no balances were aged, the Company concluded that no CECL reserve was required as of December 31, 2024.

F- 42

NOTE 7 — PROPERTY AND EQUIPMENT, NET The Company’s property and equipment consists of the following amounts as of December 31, 2024 and December 31, 2023:

| ​                                        | ​ |             ​ |      ​ | ​ |            ​ |      ​ |
| ​                                        |   | Balance as of |        |   |              |        |
| ​                                        |   |  December 31, |        |   | December 31, |        |
| (In Thousands)                           | ​ |          2024 |        | ​ |         2023 |        |
| Computers and other peripheral equipment | ​ |             $ |    404 | ​ |            $ |    266 |
| Furniture and fixtures                   | ​ |               |    182 | ​ |              |    182 |
| Machinery and equipment                  | ​ |               |  7,880 | ​ |              |  8