Note 5. Other Assets

Other assets include loan commitment fees. Initial loan commitment fees of approximately $0.7 million were being amortized over three years, the initial term of the loan. In connection with the refinancing (see Note 10), unamortized loan commitment fees of approximately $0.2 million were written off in proportion with the decrease in borrowing capacity. This amount was recognized as incremental interest expense in the Company’s Statements of Operations. The remaining unamortized loan commitment fees are being amortized over three years, the term of the Loan Agreement. The balance was $0.2 million and $0.6 million as of March 31, 2025 and June 30, 2024, respectively. For the three and nine months ended March 31, 2025, the Company recorded interest expense of $36 thousand and $0.2 million related to the amortization of the loan commitment fees, respectively. For both the three and nine months ended March 31, 2024, the Company recorded interest expense of approximately $0.1 million.