Debt

The current material terms and conditions of debt outstanding are as follows:



Original loan amount	Interest rate	Monthly repayment	Maturity date	June 30, 2018			December 31, 2017
ACOA AIF grant (C$2,871,919)	0%	Royalties	-	$	2,185,243		$	2,287,771
ACOA term loan (C$337,000)	0%	C$3,120	June 2026	225,562			251,056
Kubota Canada Ltd. (C$95,961)	0%	C$1,142	January 2025	68,670			—
Finance PEI term loan (C$717,093)	4%	C$4,333	July 2021	511,475			545,387
Total debt				$	2,990,950		$	3,084,214
less: current portion				(58,377		)	(49,794		)
Long-term debt				$	2,932,573		$	3,034,420

Estimated principal payments remaining on loan debt are as follows:



Year	AIF		ACOA		FPEI		Kubota		Total
2018	$	—	$	14,244	$	9,604	$	5,215	$	29,063
2019	—		28,488		19,851		10,431		58,770
2020	—		28,488		20,659		10,431		59,578
2021	—		28,488		461,361		10,431		500,280
2022	—		28,488		—		10,431		38,919
Thereafter	2,185,243		97,366		—		21,731		2,304,340
Total	$	2,185,243	$	225,562	$	511,475	$	68,670	$	2,990,950

Atlantic Canada Opportunities Agency (“ACOA”)

ACOA is a Canadian government agency that provides funding to support the development of businesses and promote employment in the Atlantic region of Canada.

In January 2009, the Canadian Subsidiary was awarded an Atlantic Innovation Fund (“AIF”) grant from ACOA to provide a contribution towards the funding of a research and development project. Contributions under the grant were made through 2014 and no further funds are available. Amounts claimed by the Canadian Subsidiary must be repaid in the form of a 10% royalty on any products that are commercialized out of this research project until the loan is fully repaid. Revenue from the sale of AquAdvantage Salmon are not subject to the royalty, and the Company does not expect to commercialize products that would be subject to the royalty in the next five years.

In February 2016, the Canadian Subsidiary executed an agreement with ACOA to partially finance the renovations to the Rollo Bay farm site. All available funding under the agreement was disbursed through May 2017, and no further amounts are available. The loan is being repaid over a period of nine years.

Kubota Canada Ltd. (“Kubota”)

Kubota is a manufacturer of power equipment for the construction, agriculture, commercial, and residential industries. In January 2018, the Canadian Subsidiary financed the purchase of equipment through a lease with Kubota. The total amount financed was $75,911 and is being repaid in monthly installments. The loan is secured by the underlying equipment.

Finance PEI (“FPEI”)

FPEI is a corporation of the Ministry of Economic Development and Tourism for Prince Edward Island, Canada, and administers business financing programs for the provincial government. In August 2016, the Canadian Subsidiary obtained a loan from FPEI to partially finance the purchase of the assets of the former Atlantic Sea Smolt plant in Rollo Bay West on Prince Edward Island. The loan is being repaid through monthly payments of principal and interest with a balloon payment for the balance due in July 2021. The loan is collateralized by a mortgage executed by the Canadian Subsidiary, which conveys a first security interest in all of its current and acquired assets. The loan is guaranteed by the Parent.

The Company recognized interest expense of $10,613 and $10,523 for the six months ended June 30, 2018 and 2017, respectively, on its interest-bearing debt.