Debt Retructure

IFRS US GAAP Equity Swap

Asset Swap Noted Payable XX Order of Priority
Noted Payable XX Accrued Unpaid XX a. Fair Value of Shares
Accrued Unpaid XX Carrying Amount of Liability XX b. Fair Value of iability
Carrying Amount of Liability XX Less: Fair Value of Asset XX c. Carrying Amount of Liability
Less: Carrying Amount of Asset XX Gain/Loss on Debt Restructuring XX
Gain/Loss on Extinguishment XX Fair Value XX Fair Value XX
Less: Carrying Amount of Liability Less: Par Value of Share XX
XX
Fair Value of Asset XX Including the Accrued Interest Share Premium XX
Less: Carrying Amount of Asset XX Gain on Extinguishment of Debt XX
Gain/Loss on Exchange of Asset XX

Notes Payable XX Notes Payable XX Notes Payable XX

Premium XX Premium XX Premium XX
Accrued Interest XX Accrued Interest XX Accrued Interest XX
Accumulated Depreciation XX Accumulated Depreciation XX Discount XX
Asset Given Up XX Asset Given Up XX Share Capital XX
Discount XX Discount XX Share Premium XX
Gain on Extinguishment XX Gain on Debt Restructuring XX Gain on restructuring XX
Gain on Exchange of Asset XX

Modification of Term
With Substantial Modification No Substantial Modification
10% Test

Carrying Amount of Liability XX Carrying Amount of Liability XX Carrying Amount of Liability XX

Less: PV of the Liability Using the old EIR XX Less: PV of the Liability using new EIR XX Less: FV of the Liability using Old EIR XX
Net Gain on Modification XX Net Gain on Modification XX Net Gain on Modification XX

Divide this to
*Less the gain if there is transaction cost *Less in gain if there is transaction cost *Less the gain if there is transaction cost
Carrying Amount to
*Add the loss if there is transaction Cost *Add in loss if there is transaction Cost *Add the loss if there is transaction Cost
get the 10% Test
*Divide the Gain/Loss to Carrying Amount*
Notes Payable - Old XX Notes Payable - Old XX
Discount XX Discount XX
Accrued Interest XX Accrued Interest XX
Notes Payable - New XX Notes Payable - New XX
Premium XX Premium XX
*Cash* XX *Cash* XX

Discount or Premium
Recording Interest, USE NEW IR Present Value of New Note Payable XX
Interest Expense XX Less: Arrangement Cost XX
Cash XX Adjusted Present Value of New Liab XX
Discount XX Less: Face Amount XX
Discount or Premium XX
Premium XX
Interest Expense XX