Forward Industries Extends Maturity Date of Promissory Note and Reduces Executive Salary

Forward Industries, Inc. (NASDAQ:FORD) recently disclosed in a Form 8-K filing with the Securities and Exchange Commission that the company’s Special Committee of the Board of Directors approved and ratified the extension of the maturity date of a promissory note issued by the company to Forward Industries (Asia-Pacific) Corporation (“Forward China”) on October 28, 2024.

The promissory note, originally valued at $1.6 million, has been reduced to $600,000 due to principal payments that totaled $1,000,000. The maturity date of the note has now been extended to June 30, 2025. Forward China is an entity owned by the Chairman and Chief Executive Officer of Forward Industries.

In conjunction with the extension of the promissory note, Forward Industries and Forward China have entered into an amendment to the Note to accommodate the new terms.

Additionally, as part of the company’s cost-cutting measures, Forward Industries announced that on the same day, October 28, 2024, an agreement was reached between the company and Tom KraMer, the President and Chief Executive Officer of Kablooe, Inc., a wholly-owned subsidiary of Forward Industries. Mr. KraMer voluntarily agreed to a reduction in his base salary from $250,000 to $225,000, effective November 1, 2024.

These decisions reflect the company’s strategic moves to manage its financial obligations and streamline operational costs.

The Form 8-K filing did not include additional information beyond these specific updates regarding the promissory note extension and the executive salary adjustment.

As per the filing, Kathleen Weisberg, the Chief Financial Officer of Forward Industries, signed off on the report on behalf of the company on November 1, 2024.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Forward Industries’s 8K filing here.

Forward Industries Company Profile

Forward Industries, Inc, together with its subsidiaries, designs, manufactures, sources, markets, and distributes carry and protective solutions. The company operates in two segments: OEM Distribution and Design. The OEM Distribution segment sources and distributes carrying cases and other accessories for medical monitoring and diagnostic kits; and various other portable electronic and non-electronic products, such as sporting and recreational products, bar code scanners, GPS location devices, tablets, and firearms.