Settlement Agreement for 9% Convertible Subordinate Debentures between ATSI Communications, Inc. and Multiple Holders

Summary

ATSI Communications, Inc. and the holders of its 9% Convertible Subordinate Debentures have agreed to settle the remaining balances on these debentures as of October 20, 2008. The holders—Bancorp of Rantoul, Thomas Bryan, Dennis Long, and Steven Combest—will receive specified cash payments and shares of ATSI common stock in exchange for fully discharging the debentures. ATSI has not defaulted on any payment terms. This agreement finalizes the obligations and releases ATSI from further liability on these debentures.

EX-10.4 12 v134796_ex10-4.htm
 
EXHIBIT: 10.4
 
Settlement of 9% Convertible Subordinate Debenture due 2011, dated June 1, 2006
 
ATSI Communications, Inc. (“ATSI) executed a 9% Convertible Subordinate Debenture dated June 1, 2006 (“Debenture”) in the Principal Amount of $113,568. As of October 20, 2008 the parties have agreed to settle the remaining balance due as follows:
 
BANKCORP OF RANTOUL
 
PAYOFF
         
CONVERSION
   
COMMON
 
PRINCIPAL
   
INTEREST
   
TOTAL
   
PRICE
   
SHARES
 
$ 45,427     $ 1,579     $ 47,007     $ 0.27       174,098  
 
ATSI is not and has not been in default of the payment terms of the Debenture.
 
Now comes Bancorp of Rantoul (“Bancorp”) and represents it remains the holder of such Debenture and agrees that it will fully discharge the Debenture.
 
Signed this 20th day of October, 2008.
 
Bancorp of Rantoul
   
By
 /s/ Dennis Long
 
It’s Authorized Representative
 
 
 

 
 
Settlement of 9% Convertible Subordinate Debenture due 2011, dated June 1, 2006
 
ATSI Communications, Inc. (“ATSI) executed a 9% Convertible Subordinate Debenture dated June 1, 2006 (“Debenture”) in the Principal Amount of $113,568. As of October 20, 2008 the parties have agreed to settle the remaining balance due as follows:
 
THOMAS BRYAN
 
PAYOFF
         
CONVERSION
   
COMMON
 
PRINCIPAL
   
INTEREST
   
TOTAL
   
PRICE
   
SHARES
 
$ 45,427     $ 1,579     $ 47,007     $ 0.27       174,098  
 
ATSI is not and has not been in default of the payment terms of the Debenture.
 
Now comes Thomas Bryan (“T. Bryan”) and represents it remains the holder of such Debenture and agrees that it will fully discharge the Debenture.
 
Signed this 20th day of October, 2008.
 
Thomas Bryan
 
By
/s/ Thomas Bryan
   
It’s Authorized Representative
 
 
 

 
 
Settlement of 9% Convertible Subordinate Debenture due 2011, dated June 1, 2006
 
ATSI Communications, Inc. (“ATSI) executed a 9% Convertible Subordinate Debenture dated June 1, 2006 (“Debenture”) in the Principal Amount of $113,568. As of October 20, 2008 the parties have agreed to settle the remaining balance due as follows:
 
DENNIS LONG
 
PAYOFF
         
CONVERSION
   
COMMON
 
PRINCIPAL
   
INTEREST
   
TOTAL
   
PRICE
   
SHARES
 
$ 45,427     $ 1,579     $ 47,007     $ 0.27       174,098  
 
ATSI is not and has not been in default of the payment terms of the Debenture.
 
Now comes Dennis Long (“D. Long”) and represents it remains the holder of such Debenture and agrees that it will fully discharge the Debenture.
 
Signed this 20th day of October, 2008.
 
Dennis Long
 
By
/s/ Dennis Long
 
It’s Authorized Representative
 
 
 

 
 
Settlement of 9% Convertible Subordinate Debenture due 2011, dated June 1, 2006
 
ATSI Communications, Inc. (“ATSI) executed a 9% Convertible Subordinate Debenture dated June 1, 2006 (“Debenture”) in the Principal Amount of $75,296. As of October 20, 2008 the parties have agreed to settle the remaining balance due as follows:
 
STEVEN COMBEST
 
PAYOFF
         
CONVERSION
   
COMMON
 
PRINCIPAL
   
INTEREST
   
TOTAL
   
PRICE
   
SHARES
 
$ 30,118     $ 1,047     $ 31,166     $ 0.27       115,428  
 
ATSI is not and has not been in default of the payment terms of the Debenture.
 
Now comes Steven Combest (“S. Combest”) and represents it remains the holder of such Debenture and agrees that it will fully discharge the Debenture.
 
Signed this 20th day of October, 2008.
 
Steven Combest
 
By
/s/ Steven Combest
 
It’s Authorized Representative