LINEAL MERGER AGREEMENT AND DIVESTITURE (Tables)

LINEAL MERGER AGREEMENT AND DIVESTITURE (Tables)

6 Months Ended

Sep. 30, 2020

Schedule of net consideration received for the divestiture

The net consideration received for the divestiture was as follows:

Return of Series E Preferred Shares	$	14,666,000
Return of Series F Preferred Shares		2,434,000
Total net consideration	$	17,100,000

Schedule of assets and liabilities transferred in Redemption agreement

The following table summarizes the assets and liabilities of Lineal which were transferred from the Company to the Preferred Holders, together with Lineal, as part of the Redemption agreement:

Cash	$	2,101,879
Accounts receivable		1,673,538
Deferred tax assets		34,000
Cost in excess of billings		497,340
Property and equipment		1,996,229
Right of use asset – operating leases		710,898
Other current assets and deposits		49,275
Goodwill		18,314,222
Accounts payable – trade		(260,882	)
Accrued and other liabilities		(369,448	)
Billings in excess of costs		(445,759	)
Operating lease liabilities		(710,898	)
Finance lease liabilities		(237,925	)
Notes payable		(3,545,841	)
Net assets divested	$	19,806,628

Schedule of consolidated statements of operations related to discontinued operations

Components of amounts reflected in the Company’s consolidated statements of operations related to discontinued operations are presented in the following table for the three and six months ended September 30, 2019.

	Three Months Ended			Six Months Ended
	September 30, 2019			September 30, 2019
Contract revenue	$	6,285,535		$	6,285,535
Contract costs		(4,897,196	)		(4,897,196	)
Depreciation and amortization		(64,868	)		(64,868	)
Selling, general and administrative		(791,312	)		(791,312	)
Operating income		532,159			532,159
Other income		263,113			263,113
Interest expense		(33,504	)		(33,504	)
Net income from discontinued operations	$	761,768		$	761,768

Quarterly report pursuant to Section 13 or 15(d)

LINEAL MERGER AGREEMENT AND DIVESTITURE (Tables)