Business Context and Reporting Period
This Form 8-K Current Report was filed by iQSTEL Inc. on July 7, 2026. The filing details amendments to the employment agreements of the Company's Chief Executive Officer, Leandro Jose Iglesias, and Chief Financial Officer, Álvaro Quintana Cardona, approved by the Board of Directors on the same date.
Key Financial Metrics
The filing does not provide financial performance data such as revenue, profit, cash flow, margins, debt, or liquidity. The report focuses exclusively on executive compensation adjustments.
Material Changes
The Board approved immediate cash compensation changes and proposed equity compensation changes subject to shareholder approval:
- CEO Base Salary: Leandro Jose Iglesias' monthly base salary increased from $31,000 to $37,800, effective immediately. This incorporates a $6,800 monthly relocation allowance for his move to Cyprus.
- CEO Performance Bonus: A two-month cash performance bonus was approved for Mr. Iglesias to cover relocation expenses.
- Bonus Timing: Annual performance bonuses for both executives may now be paid at any time starting 15 days after the filing of the Annual Report on Form 10-K.
- Equity Incentive Structure: Existing annual equity incentives (up to 1,000,000 Common Shares for the CEO and 800,000 for the CFO) are proposed to be replaced with an annual equity performance incentive of up to 50,000 Series B Preferred Shares per year for each executive.
- FY-2025 Grants: Subject to approval, grants of 20,000 Series B Preferred Shares for the CEO and 14,000 for the CFO were approved for Fiscal Year 2025.
Guidance, Outlook, and Risks
Contingencies: The equity compensation changes and FY-2025 grants are contingent upon stockholder approval under Nasdaq Listing Rule 5635(c). No Series B Preferred Stock will be issued until such approval is obtained via a Schedule 14C Information Statement.
Management Commentary: The cash adjustments reflect the CEO's relocation to Cyprus. The full text of the amendments will be filed as exhibits to the Quarterly Report on Form 10-Q for the quarter ending June 30, 2026.
Investor Verification Checklist
- Verify the outcome of the upcoming stockholder vote on the equity amendments and Series B Preferred Share grants.
- Review the full text of the employment agreement amendments in the upcoming Form 10-Q for the quarter ending June 30, 2026.
- Confirm the specific payment terms and vesting schedules for the two-month cash performance bonus and the new Series B Preferred Shares.
- Monitor the filing of the Schedule 14C Information Statement regarding the equity changes.