2020 Q1 Form 10-Q Financial Statement

#000139297220000097 Filed on May 05, 2020

View on sec.gov

Income Statement

Concept 2020 Q1 2019 Q1
Revenue $66.31M $56.13M
YoY Change 18.14% 17.16%
Cost Of Revenue $28.73M $20.79M
YoY Change 38.18% 6.5%
Gross Profit $37.58M $35.34M
YoY Change 6.35% 24.49%
Gross Profit Margin 56.68% 62.96%
Selling, General & Admin $39.80M $33.15M
YoY Change 20.05% 17.32%
% of Gross Profit 105.9% 93.81%
Research & Development $19.14M $15.80M
YoY Change 21.12% 6.87%
% of Gross Profit 50.92% 44.7%
Depreciation & Amortization $3.420M $3.325M
YoY Change 2.86% -1.16%
% of Gross Profit 9.1% 9.41%
Operating Expenses $58.94M $48.95M
YoY Change 20.4% 13.73%
Operating Profit -$21.35M -$13.61M
YoY Change 56.88% -7.71%
Interest Expense -$2.060M -$4.360M
YoY Change -52.75% 4.31%
% of Operating Profit
Other Income/Expense, Net $831.0K $1.271M
YoY Change -34.62% 529.21%
Pretax Income -$22.58M -$16.70M
YoY Change 35.27% -10.84%
Income Tax $152.0K $222.0K
% Of Pretax Income
Net Earnings -$22.74M -$16.92M
YoY Change 34.39% -10.28%
Net Earnings / Revenue -34.29% -30.14%
Basic Earnings Per Share -$0.53 -$0.45
Diluted Earnings Per Share -$0.53 -$0.45
COMMON SHARES
Basic Shares Outstanding 43.10M shares 37.62M shares
Diluted Shares Outstanding 43.10M shares 37.62M shares

Balance Sheet

Concept 2020 Q1 2019 Q1
SHORT-TERM ASSETS
Cash & Short-Term Investments $251.8M $272.6M
YoY Change -7.63% 84.06%
Cash & Equivalents $251.8M $272.6M
Short-Term Investments
Other Short-Term Assets $15.20M $10.90M
YoY Change 39.45% 9.0%
Inventory
Prepaid Expenses
Receivables $53.60M $45.60M
Other Receivables $0.00 $0.00
Total Short-Term Assets $320.6M $329.2M
YoY Change -2.61% 75.86%
LONG-TERM ASSETS
Property, Plant & Equipment $26.70M $15.92M
YoY Change 67.71% 7.59%
Goodwill $48.91M $38.03M
YoY Change 28.62% -1.9%
Intangibles $12.95M $17.48M
YoY Change -25.87% -30.26%
Long-Term Investments
YoY Change
Other Assets $7.163M $5.530M
YoY Change 29.53% 30.46%
Total Long-Term Assets $136.1M $115.8M
YoY Change 17.49% 24.14%
TOTAL ASSETS
Total Short-Term Assets $320.6M $329.2M
Total Long-Term Assets $136.1M $115.8M
Total Assets $456.7M $445.0M
YoY Change 2.63% 58.66%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $12.76M $7.562M
YoY Change 68.7% 109.71%
Accrued Expenses $18.73M $12.35M
YoY Change 51.67% 131.79%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due $138.4M
YoY Change
Total Short-Term Liabilities $177.8M $287.2M
YoY Change -38.1% 183.97%
LONG-TERM LIABILITIES
Long-Term Debt $112.4M $89.90M
YoY Change 25.03% -58.4%
Other Long-Term Liabilities $1.260M $740.0K
YoY Change 70.27% -13.25%
Total Long-Term Liabilities $1.260M $740.0K
YoY Change 70.27% -13.25%
TOTAL LIABILITIES
Total Short-Term Liabilities $177.8M $287.2M
Total Long-Term Liabilities $1.260M $740.0K
Total Liabilities $327.1M $414.5M
YoY Change -21.1% 23.51%
SHAREHOLDERS EQUITY
Retained Earnings -$384.5M -$309.6M
YoY Change 24.19% 25.19%
Common Stock $48.00K $42.00K
YoY Change 14.29% 13.51%
Preferred Stock
YoY Change
Treasury Stock (at cost) $29.85M $13.94M
YoY Change 114.14% 0.0%
Treasury Stock Shares 4.681M shares 4.418M shares
Shareholders Equity $129.6M $30.47M
YoY Change
Total Liabilities & Shareholders Equity $456.7M $445.0M
YoY Change 2.63% 58.66%

Cashflow Statement

Concept 2020 Q1 2019 Q1
OPERATING ACTIVITIES
Net Income -$22.74M -$16.92M
YoY Change 34.39% -10.28%
Depreciation, Depletion And Amortization $3.420M $3.325M
YoY Change 2.86% -1.16%
Cash From Operating Activities -$24.17M -$8.095M
YoY Change 198.62% 71.07%
INVESTING ACTIVITIES
Capital Expenditures $10.99M $611.0K
YoY Change 1699.18% -21.47%
Acquisitions
YoY Change
Other Investing Activities
YoY Change
Cash From Investing Activities -$11.41M -$1.529M
YoY Change 645.91% -26.98%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -$18.81M -$13.30M
YoY Change 41.46% 137.26%
NET CHANGE
Cash From Operating Activities -$24.17M -$8.095M
Cash From Investing Activities -$11.41M -$1.529M
Cash From Financing Activities -$18.81M -$13.30M
Net Change In Cash -$54.30M -$22.84M
YoY Change 137.72% 83.75%
FREE CASH FLOW
Cash From Operating Activities -$24.17M -$8.095M
Capital Expenditures $10.99M $611.0K
Free Cash Flow -$35.17M -$8.706M
YoY Change 303.93% 58.0%

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AmortizationOfDeferredCharges
1100000 USD
CY2019Q1 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect
-22840000 USD
CY2019Q4 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
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CY2018Q4 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
295476000 USD
CY2020Q1 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
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CY2019Q1 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
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CY2020Q1 us-gaap Capital Expenditures Incurred But Not Yet Paid
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3253000 USD
CY2019Q1 us-gaap Capital Expenditures Incurred But Not Yet Paid
CapitalExpendituresIncurredButNotYetPaid
1565000 USD
CY2019Q4 us-gaap Stockholders Equity
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StockIssuedDuringPeriodValueRestrictedStockAwardGross
-20172000 USD
CY2020Q1 us-gaap Proceeds From Stock Plans
ProceedsFromStockPlans
1364000 USD
CY2020Q1 pro Warrant Exercise Value
WarrantExerciseValue
0 USD
CY2020Q1 us-gaap Adjustments To Additional Paid In Capital Sharebased Compensation Requisite Service Period Recognition Value
AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue
6327000 USD
CY2020Q1 us-gaap Other Comprehensive Income Loss Net Of Tax
OtherComprehensiveIncomeLossNetOfTax
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CY2020Q1 us-gaap Net Income Loss
NetIncomeLoss
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CY2020Q1 us-gaap Stockholders Equity
StockholdersEquity
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CY2018Q4 us-gaap Stockholders Equity
StockholdersEquity
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-14239000 USD
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CY2020Q1 us-gaap Nature Of Operations
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Organization and Nature of Operations<div style="line-height:120%;text-align:justify;text-indent:48px;font-size:10pt;"><span style="font-family:inherit;font-size:10pt;">    </span></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:10pt;"><span style="font-family:inherit;font-size:10pt;">PROS Holdings, Inc., a Delaware corporation, through its operating subsidiaries (collectively, the "Company"), provides artificial intelligence ("AI") solutions that power commerce in the digital economy by providing fast, frictionless and personalized buying experiences. PROS solutions enable dynamic buying experiences for both business-to-business ("B2B") and business-to-consumer ("B2C") companies across industry verticals. Companies can use the Company's selling, pricing, revenue optimization and eCommerce solutions to assess their market environments in real time to deliver customized prices and offers. The Company's solutions enable buyers to move fluidly across its customers’ direct sales, online, mobile and partner channels with personalized experiences regardless of which channel those buyers choose. The Company's decades of data science and AI expertise are infused into its solutions and are designed to reduce time and complexity through actionable intelligence. The Company provides standard configurations of its software based on the industries it serves and offers professional services to configure these solutions to meet the specific needs of each customer.</span></div>
CY2020Q1 pro Treasury Money Market Funds At Fair Value
TreasuryMoneyMarketFundsAtFairValue
239000000.0 USD
CY2019Q4 pro Treasury Money Market Funds At Fair Value
TreasuryMoneyMarketFundsAtFairValue
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AmortizationOfDeferredCharges
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CY2020Q1 us-gaap Revenue Recognition Customer Acquisitions
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<div style="line-height:120%;text-indent:48px;font-size:10pt;"><span style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Deferred costs</span></div><div style="line-height:120%;text-indent:48px;font-size:10pt;"><span style="font-family:inherit;font-size:10pt;"><br/></span></div><div style="line-height:120%;text-align:justify;text-indent:48px;font-size:10pt;"><span style="font-family:inherit;font-size:10pt;">Sales commissions earned by the Company's sales representatives are considered incremental and recoverable costs of obtaining a customer contract. Sales commissions are deferred and amortized on a straight-line basis over the period of benefit, which the Company has determined to be five to eight years. The Company determined the period of benefit by taking into consideration its customer contracts, expected renewals of those customer contracts (as the Company currently does not pay an incremental sales commission), the Company's technology and other factors. The Company also defers amounts earned by employees other than sales representatives who earn incentive payments under compensation plans that are also tied to the value of customer contracts acquired. Deferred costs were </span><span style="font-family:inherit;font-size:10pt;"><span>$20.5 million</span></span><span style="font-family:inherit;font-size:10pt;"> and </span><span style="font-family:inherit;font-size:10pt;"><span>$21.2 million</span></span><span style="font-family:inherit;font-size:10pt;"> as of </span><span style="font-family:inherit;font-size:10pt;">March 31, 2020</span><span style="font-family:inherit;font-size:10pt;"> and </span><span style="font-family:inherit;font-size:10pt;">December 31, 2019</span><span style="font-family:inherit;font-size:10pt;">, respectively. Amortization expense for the deferred costs was </span><span style="font-family:inherit;font-size:10pt;"><span>$1.4 million</span></span><span style="font-family:inherit;font-size:10pt;"> and </span><span style="font-family:inherit;font-size:10pt;"><span>$1.1 million</span></span><span style="font-family:inherit;font-size:10pt;"> for the </span><span style="font-family:inherit;font-size:10pt;">three</span><span style="font-family:inherit;font-size:10pt;"> months ended </span><span style="font-family:inherit;font-size:10pt;">March 31, 2020</span><span style="font-family:inherit;font-size:10pt;"> and </span><span style="font-family:inherit;font-size:10pt;">2019</span><span style="font-family:inherit;font-size:10pt;">, respectively.</span></div>
CY2020Q1 us-gaap Deferred Costs Current And Noncurrent
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20500000 USD
CY2020Q1 us-gaap Capitalized Contract Cost Net
CapitalizedContractCostNet
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CY2019Q4 us-gaap Capitalized Contract Cost Net
CapitalizedContractCostNet
4400000 USD
CY2020Q1 us-gaap Capitalized Contract Cost Amortization
CapitalizedContractCostAmortization
500000 USD
CY2019Q1 us-gaap Capitalized Contract Cost Amortization
CapitalizedContractCostAmortization
200000 USD
CY2020Q1 us-gaap Deferred Revenue Revenue Recognized1
DeferredRevenueRevenueRecognized1
47700000 USD
CY2019Q1 us-gaap Deferred Revenue Revenue Recognized1
DeferredRevenueRevenueRecognized1
38300000 USD
CY2020Q1 us-gaap Revenue Remaining Performance Obligation
RevenueRemainingPerformanceObligation
391000000.0 USD
CY2020Q1 pro Revenue Remaining Performance Obligationtoberecognizedwithin12months
RevenueRemainingPerformanceObligationtoberecognizedwithin12months
191600000 USD
CY2020Q1 us-gaap Revenues
Revenues
66311000 USD
CY2020Q1 pro Percentage Of Total Revenue
PercentageOfTotalRevenue
1
CY2019Q1 us-gaap Revenues
Revenues
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CY2019Q1 pro Percentage Of Total Revenue
PercentageOfTotalRevenue
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CY2020Q1 us-gaap Lessee Operating Lease Renewal Term
LesseeOperatingLeaseRenewalTerm
P15Y
CY2020Q1 pro Lessee Operating Lease Termination Option
LesseeOperatingLeaseTerminationOption
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CY2020Q1 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
RightOfUseAssetObtainedInExchangeForOperatingLeaseLiability
1500000 USD
CY2020Q1 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Discount From Market Price Offering Date
ShareBasedCompensationArrangementByShareBasedPaymentAwardDiscountFromMarketPriceOfferingDate
0.15
CY2020Q1 us-gaap Operating Lease Payments
OperatingLeasePayments
1627000 USD
CY2019Q1 us-gaap Operating Lease Payments
OperatingLeasePayments
1016000 USD
CY2020Q1 us-gaap Lessee Operating Lease Liability Payments Remainder Of Fiscal Year
LesseeOperatingLeaseLiabilityPaymentsRemainderOfFiscalYear
5567000 USD
CY2020Q1 us-gaap Lessee Operating Lease Liability Payments Due Year Two
LesseeOperatingLeaseLiabilityPaymentsDueYearTwo
9080000 USD
CY2020Q1 us-gaap Lessee Operating Lease Liability Payments Due Year Three
LesseeOperatingLeaseLiabilityPaymentsDueYearThree
8447000 USD
CY2020Q1 us-gaap Lessee Operating Lease Liability Payments Due Year Four
LesseeOperatingLeaseLiabilityPaymentsDueYearFour
4880000 USD
CY2020Q1 us-gaap Lessee Operating Lease Liability Payments Due Year Five
LesseeOperatingLeaseLiabilityPaymentsDueYearFive
4930000 USD
CY2020Q1 us-gaap Lessee Operating Lease Liability Payments Due After Year Five
LesseeOperatingLeaseLiabilityPaymentsDueAfterYearFive
34072000 USD
CY2020Q1 us-gaap Lessee Operating Lease Liability Payments Due
LesseeOperatingLeaseLiabilityPaymentsDue
66976000 USD
CY2020Q1 us-gaap Lessee Operating Lease Liability Undiscounted Excess Amount
LesseeOperatingLeaseLiabilityUndiscountedExcessAmount
23703000 USD
CY2020Q1 pro Lessee Operating Lease Anticipated Incentives
LesseeOperatingLeaseAnticipatedIncentives
14207000 USD
CY2020Q1 us-gaap Operating Lease Liability
OperatingLeaseLiability
29066000 USD
CY2020Q1 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Discount From Market Price Offering Date
ShareBasedCompensationArrangementByShareBasedPaymentAwardDiscountFromMarketPriceOfferingDate
0.15
CY2020Q1 pro Maximum Amount Contributablebyemployeesunder Espp Halfyearly
MaximumAmountContributablebyemployeesunderESPPHalfyearly
5000 USD
CY2020Q1 us-gaap Net Income Loss
NetIncomeLoss
-22735000 USD
CY2019Q1 us-gaap Net Income Loss
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CY2020Q1 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
43102000 shares
CY2019Q1 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
37623000 shares
CY2020Q1 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
0 shares
CY2019Q1 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
0 shares
CY2020Q1 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
43102000 shares
CY2019Q1 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
37623000 shares
CY2020Q1 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
-0.53
CY2019Q1 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
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CY2020Q1 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
-0.53
CY2019Q1 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
-0.45
CY2020Q1 us-gaap Amortization Of Financing Costs
AmortizationOfFinancingCosts
156000 USD
CY2020Q1 us-gaap Allocated Share Based Compensation Expense
AllocatedShareBasedCompensationExpense
6347000 USD
CY2019Q1 us-gaap Allocated Share Based Compensation Expense
AllocatedShareBasedCompensationExpense
6046000 USD
CY2020Q1 us-gaap Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized
EmployeeServiceShareBasedCompensationNonvestedAwardsTotalCompensationCostNotYetRecognized
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CY2020Q1 us-gaap Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Period For Recognition1
EmployeeServiceShareBasedCompensationNonvestedAwardsTotalCompensationCostNotYetRecognizedPeriodForRecognition1
P3Y
CY2020Q1 pro Sharebasedcompensationarrangementbysharebasedpayment Minimum Employee Subscriptionrate
SharebasedcompensationarrangementbysharebasedpaymentMinimumEmployeeSubscriptionrate
0.01
CY2020Q1 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Maximum Employee Subscription Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardMaximumEmployeeSubscriptionRate
0.10
CY2020Q1 pro Maximum Amount Contributable By Employees Under Espp Annually
MaximumAmountContributableByEmployeesUnderESPPAnnually
10000 USD
CY2020Q1 us-gaap Stock Issued During Period Shares Employee Stock Purchase Plans
StockIssuedDuringPeriodSharesEmployeeStockPurchasePlans
26774 shares
CY2020Q1 pro Esp Pcontributionsby Employees
ESPPcontributionsbyEmployees
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CY2020Q1 us-gaap Debt Instrument Fair Value
DebtInstrumentFairValue
121500000 USD
CY2019Q4 us-gaap Debt Instrument Fair Value
DebtInstrumentFairValue
163200000 USD
CY2020Q1 us-gaap Debt Instrument Face Amount
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143750000 USD
CY2019Q4 us-gaap Debt Instrument Face Amount
DebtInstrumentFaceAmount
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CY2020Q1 us-gaap Debt Instrument Unamortized Discount Premium And Debt Issuance Costs Net
DebtInstrumentUnamortizedDiscountPremiumAndDebtIssuanceCostsNet
31344000 USD
CY2019Q4 us-gaap Debt Instrument Unamortized Discount Premium And Debt Issuance Costs Net
DebtInstrumentUnamortizedDiscountPremiumAndDebtIssuanceCostsNet
33046000 USD
CY2020Q1 us-gaap Convertible Debt
ConvertibleDebt
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CY2019Q4 us-gaap Convertible Debt
ConvertibleDebt
110704000 USD
CY2020Q1 us-gaap Debt Instrument Convertible Carrying Amount Of The Equity Component
DebtInstrumentConvertibleCarryingAmountOfTheEquityComponent
32883000 USD
CY2019Q4 us-gaap Debt Instrument Convertible Carrying Amount Of The Equity Component
DebtInstrumentConvertibleCarryingAmountOfTheEquityComponent
32883000 USD
CY2020Q1 us-gaap Debt Instrument Periodic Payment Interest
DebtInstrumentPeriodicPaymentInterest
360000 USD
CY2019Q1 us-gaap Debt Instrument Periodic Payment Interest
DebtInstrumentPeriodicPaymentInterest
1250000 USD
CY2019Q1 us-gaap Amortization Of Financing Costs
AmortizationOfFinancingCosts
365000 USD
CY2020Q1 us-gaap Amortization Of Debt Discount Premium
AmortizationOfDebtDiscountPremium
1546000 USD
CY2019Q1 us-gaap Amortization Of Debt Discount Premium
AmortizationOfDebtDiscountPremium
2741000 USD
CY2020Q1 us-gaap Interest Expense Debt
InterestExpenseDebt
2062000 USD
CY2019Q1 us-gaap Interest Expense Debt
InterestExpenseDebt
4356000 USD
CY2020Q1 pro Purchaseofcappedcall
Purchaseofcappedcall
-16400000 USD
CY2020Q1 us-gaap Purchase Obligation
PurchaseObligation
58400000 USD

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