Note when loan from Sanofi has to be repaid - 9/23/24

[yossarian]

From: investors.mannkindcorp.com/secfiling.cfm?filingid=1193125-16-424863&CIK=899460

In addition to the License Agreement and Supply Agreement, the Company and Aventisub LLC, an affiliate of Sanofi, are parties to a Senior Secured Revolving Promissory Note, dated September 23, 2014 (the “Loan Facility”) and a Guaranty and Security Agreement (the “Security Agreement”). Both the Loan Facility and the Security Agreement remain in effect. The original maturity date of September 23, 2024 for repayment of the outstanding principal amount of the loans under the Loan Facility will not be affected by the termination of the License Agreement.

[stevil]

How does something like this work? Do these funds need to be earmarked and set aside on the balance sheet as a liability? Or does this loan get forfeited in bankruptcy? In other words, does this money need to be accounted for now, and if so, does anyone know if it has already been counted against our cash?

[james]

This loan is currently fully accounted for on the balance sheet. Nothing will change in that regard.