Annual report pursuant to Section 13 and 15(d)

Discontinued Operations

v3.21.1
Discontinued Operations
12 Months Ended
Dec. 31, 2020
Discontinued Operations and Disposal Groups [Abstract]  
Discontinued Operations

NOTE 12 – DISCONTINUED OPERATIONS

 

Restaurant

 

Through our other wholly owned subsidiary, E.A.J.: PHL Airport, Inc., we owned and operated the restaurant “Eat at Joe’s®,” which was located in the Philadelphia International Airport since 1997. Our lease in the Philadelphia Airport expired in April 2017. Concurrent with expiration of the lease the restaurant closed. Pursuant to current accounting guidelines, the restaurant segment is reported as discontinued operations.

 

The assets and liabilities of our discontinued restaurant operations as of December 31, 2020 and December 31, 2019 consisted of $0 assets and $22,000 in accounts payable and accrued liabilities.

 

The results of operations of our discontinued restaurant for the years ended December 31, 2020 and 2019, included in the consolidated statements of operations as discontinued operations, consisted of no operations for the year ended December 31, 2020 and 2019.

 

Digital Media

 

Historically, through our wholly owned subsidiary, SPYR APPS®, LLC, we engaged in the development, publication and co-publication of mobile electronic games, seeking to generate revenue through those games by way of advertising and in-app purchases. As of December 31, 2020, all of our games have been removed from the game stores and the Company decided not to continue this line of business. Pursuant to current accounting guidelines, the assets and liabilities of SPYR APPS LLC as well as the results of its operations were presented in these financial statements as discontinued operations.

 

The assets and liabilities of our discontinued digital media operations as of December 31, 2020 and December 31, 2019 were as follows:

 

    December 31, 2020   December 31, 2019
Assets:                
Accounts receivable, net   $ 13,000     $ 27,000  
Capitalized gaming assets and licensing rights, net     75,000       100,000  
Total Assets   $ 88,000     $ 127,000  
                 
Liabilities:                
Accounts payable and accrued liabilities   $ 745,000     $ 693,000  
Total Liabilities   $ 745,000     $ 693,000  

The results of operations of our discontinued digital media operations for the years ended December 31, 2020 and 2019, included in the consolidated statements of operations as discontinued operations, consisted of the following:

 

    Year ended   Year ended
    December 31,   December 31,
    2020   2019
Revenues:   $ 4,000     $ 51,000  
                 
Expenses                
  Labor and related expenses     8,000       193,000  
  Rent     —         1,000  
  Depreciation and amortization     —         24,000  
  Professional fees     —         2,000  
  Research and Development     —         (34,000 )
  Other general and administrative     34,000       71,000  
    Total operating expenses     42,000       257,000  
    Operating loss     (38,000 )     (206,000 )
                 
Other income (expense)                
  Interest expense     (52,000 )     (40,000 )
  Gain on disposition of assets     5,000       —    
  Write down of assets     (25,000 )     —    
Loss on discontinued operations   $ (110,000 )   $ (246,000 )