Company: ATLN
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001605888-25-000055
Chunk: 88

Company: ATLANTIC INTERNATIONAL CORP.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 88
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Depreciation and amortization expense for the nine months ended September 30, 2025 and 2024 was $3,699,446 and $3,754,165, respectively, a decrease of $54,719 or 1.5%, which was slightly lower on a year-over year basis primarily due to more of the Company’s computer software being fully depreciated at the end of 2024.

Loss on Debt Extinguishment

Loss on debt extinguishment, for the three and nine months ended September 30, 2025 and 2024 were as follows:

Three Months EndedSeptember 30,Nine Months EndedSeptember 30,2025202420252024Loss on debt extinguishment$— $— $— $1,213,379 

Loss on debt extinguishment during the nine months ended September 30, 2024 relates to the Seventh Amendment and Forbearance Agreement to the previous Revolver being treated as a debt extinguishment after the Company’s analysis of Accounting Standards Codification (“ASC”) Topic 470 – Debt. See Note 8: Debt for further information. 

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Advisory Fees Paid in the Merger

Advisory fees incurred in connection with the Merger for the three and nine months ended September 30, 2025 and 2024 were as follows:

Three Months EndedSeptember 30,Nine Months EndedSeptember 30,2025202420252024Advisory fees paid in the merger$— $— $— $43,000,000 

Certain shareholders of Atlantic Acquisition Corp. were issued an aggregate of 18,220,338 shares of Company’s common stock at a market value of $2.36 per share or $43,000,000 in the aggregate on the date of the Merger.

Interest Expense

Interest expense for the three and nine months ended September 30, 2025 and 2024 were as follows:

Three Months EndedSeptember 30,Nine Months EndedSeptember 30,2025202420252024Interest expense$2,094,177 $1,472,564 $5,402,959 $10,494,818 

Interest expense for the three months ended September 30, 2025 and 2024 was $2,094,177 and $1,472,564, respectively. The increase of $621,613, or 42.2%, in the three months ended September 30,