In late the Company began to monitor the global effects of “COVID- an infectious disease caused by Severe Acute Respiratory Syndrome Coronavirus (SARS CoV-) that was detected in in the city of Wuhan, China.

 

On President Trump signed the Coronavirus Aid, Relief and Economic Security (the “CARES Act”), which, among other things, outlines the provisions of the Paycheck Protection Program (the “PPP”). The Company determined that it met the criteria to be eligible to obtain a loan under the PPP because, among other reasons, in light of COVID- outbreak and the uncertainty of economic conditions related thereto, the loan was necessary to support the Company’s ongoing operations. Under the PPP, the Company could obtain a U.S. Small Business Administration loan in an amount equal to the average of the Company’s monthly payroll costs (as defined under the PPP) for calendar multiplied by (approximately weeks of payroll costs). Section of the CARES Act contains provisions for the forgiveness of all or a portion of a PPP loan, subject to the satisfaction of certain requirements.  The amount eligible for forgiveness is, subject to certain limitations, the sum of the Company’s payroll costs, rent and utilities paid by the Company during the -week period beginning on the funding date of the PPP loan.

 

On the Company closed on a PPP loan in the amount of which was funded on and which was transferred by the Company into an account dedicated to allowable uses of the PPP loan proceeds.

 

The Company has evaluated events that have occurred between and the date that the accompanying financial statements were issued, and has determined that there are other material subsequent events that require disclosure.