GPO Plus, Inc. (GPOX) presents a deeply negative liquidation posture as of January 31, 2026. MFFAIS-reported cash liquidation value is approximately -$6.95M, consistent with the filed balance sheet showing total assets of $646K against total liabilities of $6.97M, producing GAAP stockholders' equity of -$8.24M (inclusive of accumulated deficit of $45.8M). Under a liquidation haircut framework, recoverable assets are negligible: cash of $17,897 (100% recovery), accounts receivable of $78,640 (at 90-95% ~$72K), inventory of $43,775 (at 60% ~$26K), PP&E net of $56,203 (at 50-70% ~$28-39K), and finance lease ROU assets of $407,845 (near-zero in distress). Total haircutted asset pool is approximately $144K-$163K. Against this, creditors hold face-value claims of $6.97M in liabilities, including $3.36M in promissory notes payable (net of discount), $549K in accrued interest on promissory notes, $433K in finance lease obligations, $1.62M in accounts payable and accrued liabilities, and $332K due to related parties. Recovery to equity is deeply negative—zero cents on the dollar to common stockholders under any plausible scenario. Compared to the prior filing (October 31, 2025), the working capital deficiency deteriorated from $(5.87M) to $(6.51M), driven by gross promissory note additions of $1.02M (proceeds $935K) against repayments of only $277K in cash/stock, and finance lease liabilities expanding from $448K to $434K net (additions of $299K offset by repayments of $75K). Subsequent events disclose five additional promissory notes totaling $300K issued in February 2026 at 22% interest, further compounding the liability stack before next quarter's measurement. The filing also corrects a prior 10-K disclosure: the note conversion rate was incorrectly stated as 25% of VWAP; the correct rate is 75% of VWAP in default—a structural detail relevant to dilution modeling but not the liquidation calculus. Management reports ongoing going concern issues; cash on hand of $17,897 at period end is insufficient to cover even one month of operating cash burn (~$115K/month based on $1.04M nine-month operating outflow). Mezzanine equity (Series A non-voting redeemable preferred at $10/share stated value, 175,000 shares outstanding = $1.75M redemption claim) and 148.5 shares of Series C preferred (stock payable of $655K outstanding) represent additional claims senior to common equity in liquidation that the GAAP balance sheet does not fully reflect in liabilities. Filing does not separately tag mezzanine preferred redemption values as liability-side items in XBRL, though the redemption obligation is disclosed in Note 6 narrative.
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