6. LOANS PAYABLE

The Company’s loans payable are summarized below:

During the three months ended March 31, 2021, the Company paid off the Land Loan in full and obtained forgiveness of the PPP Loan, which was recognized as other income on the condensed consolidated statement of operations. The remaining decrease in principal balances on the loans payable are the result of the impact of the change in exchange rates during the period.

The Company incurred interest expense related to the loans payable in the amount of $5,968 and $22,530 during the three months ended March 31, 2021 and 2020, respectively, of which, $0 and $3,325, respectively represented amortization of debt discount.