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<dei:EntityRegistrantName contextRef="Context_6ME_30-Jun-2011">Vanity Events Holding, Inc.</dei:EntityRegistrantName>
<dei:EntityCentralIndexKey contextRef="Context_6ME_30-Jun-2011">0001393935</dei:EntityCentralIndexKey>
<dei:TradingSymbol contextRef="Context_6ME_30-Jun-2011">vaev</dei:TradingSymbol>
<dei:EntityCurrentReportingStatus contextRef="Context_6ME_30-Jun-2011">Yes</dei:EntityCurrentReportingStatus>
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<dei:CurrentFiscalYearEndDate contextRef="Context_6ME_30-Jun-2011">--12-31</dei:CurrentFiscalYearEndDate>
<dei:EntityFilerCategory contextRef="Context_6ME_30-Jun-2011">Smaller Reporting Company</dei:EntityFilerCategory>
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<dei:DocumentType contextRef="Context_6ME_30-Jun-2011">10-Q</dei:DocumentType>
<dei:DocumentPeriodEndDate contextRef="Context_6ME_30-Jun-2011">2011-06-30</dei:DocumentPeriodEndDate>
<dei:AmendmentFlag contextRef="Context_6ME_30-Jun-2011">false</dei:AmendmentFlag>
<dei:DocumentFiscalYearFocus contextRef="Context_6ME_30-Jun-2011">2011</dei:DocumentFiscalYearFocus>
<dei:DocumentFiscalPeriodFocus contextRef="Context_6ME_30-Jun-2011">Q2</dei:DocumentFiscalPeriodFocus>
<us-gaap:OrganizationConsolidationBasisOfPresentationBusinessDescriptionAndAccountingPoliciesTextBlock contextRef="Context_6ME_30-Jun-2011">&lt;div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;NOTE 1 - ORGANIZATION AND LINE OF BUSINESS
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;COMPANY OVERVIEW&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;Nature of Operations&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;VANITY EVENTS HOLDING, INC. (the &amp;#8220;Company&amp;#8221; or &amp;#8220;Vanity&amp;#8221; or &amp;#8220;we&amp;#8221; or &amp;#8220;our&amp;#8221;), was organized as a Delaware Corporation on August 25, 2004, and is a holding company with expanding lines of business. Utilizing the acquired trademark of America&amp;#8217;s Cleaning Company&amp;#153;, Vanity had established a cleaning company offering a full range of residential and commercial cleaning services as its only operating business until December 2010. In September 2010 the Company was forced to temporarily suspend its cleaning services operations due to a lack of available funds. In December 2010 we entered into a share exchange agreement (&amp;#8220;Exchange Agreement&amp;#8221;) by and among the Company, Shogun Energy, Inc., a South Dakota corporation (&amp;#8220;Shogun&amp;#8221;), Shawn Knapp, the principal shareholder of Shogun (the &amp;#8220;Principal Shareholder&amp;#8221;) and the other shareholders of Shogun (the &amp;#8220;Shogun Shareholders&amp;#8221; and collectively with the Principal Shareholder, the &amp;#8220;Shareholders&amp;#8221;). Pursuant to the terms of the Exchange Agreement, the Shareholders exchanged an aggregate of 100% of the issued and outstanding shares of capital stock of Shogun in exchange for 500,000 shares of the Company&amp;#8217;s series A preferred stock (the &amp;#8220;Exchange&amp;#8221;). Each share of series A preferred stock shall be entitled to 1,604 votes per share and shall be convertible into 1,604 shares of the Company&amp;#8217;s common stock. Upon filing an amendment to the Company&amp;#8217;s certificate of incorporation to increase the number of shares of authorized common stock so that there is an adequate amount of shares of authorized common stock for issuance upon conversion of the series A preferred stock (the &amp;#8220;Amendment&amp;#8221;), the shares of series A preferred stock will be automatically converted into an aggregate of 802,000,000 shares of the Company&amp;#8217;s common stock. The Exchange Agreement contains customary terms and conditions for a transaction of this type, including representations, warranties and covenants, as well as provisions describing the Exchange consideration, the process of exchanging the consideration and the effect of the Exchange. The closing of the transaction took place on December 31, 2010.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The Company&amp;#8217;s wholly-owned subsidiaries include Shogun Energy, Inc.; Vanity Events, Inc.; America&amp;#8217;s Cleaning Company; and Vanity Licensing, Inc.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;Reverse Mergers&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;&lt;font style="display:inline;text-decoration:underline;" &gt;April 2008 Transaction
&lt;/font&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;On April 2, 2008, the Company, formerly known as Map V Acquisition, Inc., a Delaware corporation entered into a Share Exchange Agreement with Vanity Holding Group, Inc. (&amp;#8220;Vanity Group&amp;#8221;) and Vanity Group&amp;#8217;s then shareholders whereby we acquired all of the issued and outstanding shares of the common stock of Vanity Group. As consideration for the acquisition of the shares of Vanity Group, the Company agreed to issue an aggregate of 21,392,109 shares (with the 1.7118 to 1 share of stock split effect) of its common stock, $0.0001 par value (the &amp;#8220;Common Stock&amp;#8221;) to the Vanity Group Shareholders. Upon consummation of the acquisition, Vanity Group became a wholly-owned subsidiary of the Company. Subsequent to the completion of the reverse merger acquisition, we filed a Certificate of Amendment with the Delaware Secretary of State changing its name from Map V Acquisition, Inc. to Vanity Events Holding, Inc. (&amp;#8220;Vanity&amp;#8221; or the &amp;#8220;Company&amp;#8221;) in 2008. &lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The acquisition was accounted for as a &amp;#8220;reverse merger&amp;#8221;, since the stockholders of Vanity Group owned the majority of the Company&amp;#8217;s common stock immediately following the transaction and their management has assumed operational, management and governance control. The reverse merger transaction is recorded as a recapitalization of Vanity Group pursuant to which Vanity Group is treated as the surviving and continuing entity although Vanity or the Company is the legal acquirer rather than a business
 combination. The Company did not recognize goodwill or any intangible assets in connection with this transaction. Accordingly, the Company&amp;#8217;s then historical financial statements were those of Vanity Group prior to the consummation of the December 2010 Transaction.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;margin-left:0pt;margin-right:0pt;" &gt;&lt;div&gt;&lt;div style="width:100%;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="page-break-after:always;width:100%;" &gt;&lt;div style="text-align:center;width:100%;" &gt;
&lt;/div&gt;&lt;div style="text-align:center;width:100%;" &gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div&gt;&lt;div style="width:100%;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Effective with the reverse merger, all previously outstanding common stock owned by Vanity Group&amp;#8217;s shareholders were exchanged for the Company&amp;#8217;s common stock. The value of the Company&amp;#8217;s common stock that was issued to Vanity Group&amp;#8217;s shareholders was the historical cost of the Company&amp;#8217;s net tangible assets, which did not differ materially from its fair value.&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Vanity had no operations and or no or minimal assets prior to and on the closing date of the December 31, 2010 reverse recapitalization transaction.&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;&lt;font style="display:inline;text-decoration:underline;" &gt;December 2010 Transaction
&lt;/font&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;On December 31, 2010, we entered into a share exchange agreement (&amp;#8220;Exchange Agreement&amp;#8221;) by and among the Company, Shogun Energy, Inc., a South Dakota corporation (&amp;#8220;Shogun&amp;#8221;), Shawn Knapp, the principal shareholder of Shogun (the &amp;#8220;Principal Shareholder&amp;#8221;) and the other shareholders of Shogun (the &amp;#8220;Shogun Shareholders&amp;#8221; and collectively with the Principal Shareholder, the &amp;#8220;Shareholders&amp;#8221;). Pursuant to the terms of the Exchange Agreement, the Shareholders exchanged an aggregate of 100% of the issued and outstanding shares of capital stock of Shogun in exchange for 500,000 shares of the Company&amp;#8217;s series A preferred stock (the &amp;#8220;Exchange&amp;#8221;). Each share of series A preferred stock shall be entitled to 1,604 votes per share and shall be convertible into 1,604 shares of the Company&amp;#8217;s common stock. Upon filing an amendment to the Company&amp;#8217;s certificate of incorporation to increase the number of shares of authorized common stock so that there is an adequate amount of shares of authorized common stock for issuance upon conversion of the series A preferred stock (the &amp;#8220;Amendment&amp;#8221;), the shares of series A preferred stock will be automatically converted into an aggregate of 802,000,000 shares of the Company&amp;#8217;s common stock. The Exchange Agreement contains customary terms and conditions for a transaction of this type, including representations, warranties and covenants, as well as provisions describing the Exchange consideration, the process of exchanging the consideration and the effect of the Exchange. The closing of the transaction took place on December 31, 2010.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The transaction has been accounted for as a reverse acquisition of Vanity by Shogun but in substance as a capital transaction, rather than a business combination since Vanity had no or nominal operations and assets prior to and as of the closing of the transaction. The stockholders of Shogun owned a majority of the Company&amp;#8217;s voting power immediately following the transaction and Shogun&amp;#8217;s management has assumed operational, management and governance control. The transaction is deemed as reverse recapitalization and the accounting is similar to that resulting from a reverse acquisition, except that no goodwill or other intangible assets should be recorded. Shogun is treated as the surviving and continuing entity. The Company did not recognize goodwill or any intangible assets in connection with this transaction. Accordingly, the Company&amp;#8217;s historical financial statements are those of Shogun, Energy, Inc.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;All references to common stock, share and per share amounts have been retroactively restated to reflect the reverse recapitalization as if the transaction had taken place as of the beginning of the earliest period presented.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Vanity assets and liabilities retained at December 31, 2010, subsequent to the transaction, are as follows:
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:center;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:left;" &gt;&lt;table cellspacing="0" cellpadding="0" width="100%" style="font-family:times new roman;font-size:10pt;" &gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom"
 width="88%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Other current asset
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
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&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;184
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&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="88%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Accounts payable and accrued expenses
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;(229,218
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;)
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="88%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Accrued payroll liabilities and sales tax liabilities
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;(281,100
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;)
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="88%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Loans and notes payable, net of discount of $132,877
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;(137,123
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;)
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="88%" style="padding-bottom:2px;text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Derivative liability
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:2px;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;(1,551,289
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:2px;text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;)
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="88%" style="padding-bottom:4px;text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Net liabilities retained
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:4px;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 4px double;text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 4px double;text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;(2,198,546
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:4px;text-align:left;" &gt;&lt;div
 style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;)
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;
&lt;/tr&gt;
&lt;/table&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;margin-left:0pt;margin-right:0pt;" &gt;&lt;div&gt;&lt;div style="width:100%;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="page-break-after:always;width:100%;" &gt;&lt;div style="text-align:center;width:100%;" &gt;
&lt;/div&gt;&lt;div style="text-align:center;width:100%;" &gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div&gt;&lt;div style="width:100%;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Vanity was forced to temporarily suspend its operations due to lack of available funds as disclosed above. In addition, the Company had no operations and no or minimal assets prior to and on the closing date of the December 2010 Transaction. The transaction is in substance as a capital transaction or deemed as reverse recapitalization, rather than a business combination and no goodwill or other intangible assets should be recorded.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;Current Operations
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Shogun Energy, Inc. (&amp;#8220;Shogun&amp;#8221;) was incorporated in the state of South Dakota on September 25, 2009 under the name &amp;#8220;Abstract Nationwide Distributing, Inc.&amp;#8221; On September 20, 2010, Shogun changed its name from &amp;#8220;Abstract Nationwide Distributing, Inc.&amp;#8221; to &amp;#8220;Shogun Energy, Inc.&amp;#8221;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Shogun&amp;#8217;s goal is to produce a premium line of energy drinks that are unique and appealing to all demographics, which adds to the allure of its product and the value of its brand. Shogun operates with the four warrior attributes in mind: loyalty to our customers; honor and pride in ourselves to produce an excellent product; confidence to promote our energy drink; and determination to toil long hours in order to perfect our product.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Currently, Shogun&amp;#8217;s only product is the Shogun Energy&amp;#174; drink which is available in both regular and sugar-free varieties. Shogun packages its Shogun Energy&amp;#174; drinks in 8.4-ounce and/or 16-ounce aluminum cans.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;BASIS OF PRESENTATION AND GOING CONCERN
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;We have incurred a net loss of $2,661,195 for the six months ended June 30, 2011. At June 30, 2011 we have negative working capital of $5,341,337 and a stockholders&amp;#8217; deficiency of $5,271,146. As a result, there is substantial doubt about the Company&amp;#8217;s ability to continue as a going concern at June 30, 2011.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Management&amp;#8217;s plan regarding these matters is to increase sales, resulting in reduced losses and raise additional debt and/or equity financing to cover operating costs as well as its obligations as they become due.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Management is actively in engaged in evolving the existing business model of the Company from a sourcing and distribution company to that of a licensing and marketing company. This model allows the Company to have the ability to capture revenue without many of the associated costs that come along with the production of its products.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;There can be no assurances that funds will be available to the Company when needed or, if available, that such funds would be available under favorable terms. In the event that the Company is unable to generate adequate revenues to cover expenses and cannot obtain additional funds in the near future, the Company may seek protection under bankruptcy laws. To date, management has not considered this alternative, nor does management view it as a likely occurrence, since the Company is progressing with various potential sources of new capital and we anticipate a successful outcome from these activities. However, capital markets remain difficult and there can be no certainty of a successful outcome from these activities. &lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The accompanying unaudited condensed
 consolidated financial statements have been prepared assuming that the Company will continue as a going concern. This basis of accounting contemplates the recovery of the Company&amp;#8217;s assets and the satisfaction of liabilities in the normal course of business and does not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;</us-gaap:OrganizationConsolidationBasisOfPresentationBusinessDescriptionAndAccountingPoliciesTextBlock>
<us-gaap:SignificantAccountingPoliciesTextBlock contextRef="Context_6ME_30-Jun-2011">&lt;div&gt;&lt;div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;General&lt;br /&gt;
&lt;br /&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The unaudited condensed consolidated financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission. The information furnished herein reflects all adjustments (consisting of normal recurring accruals and adjustments) which are, in the opinion of management, necessary to fairly present the operating results for the respective periods. Certain information and footnote disclosures normally present in annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such rules and regulations. These consolidated financial statements should be read in conjunction with the audited financial statements and footnotes included in the Company's Annual Report on Form 10-K. The results for the three and six months ended June 30, 2011 are not necessarily indicative of the results to be expected for the full year ending December 31, 2011.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The condensed consolidated balance sheet as at December 31, 2010 has been derived from the audited financial statements at that date but do not include all disclosures required by the accounting principles generally accepted in the United States of America.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;USE OF ESTIMATES
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;REVENUE RECOGNITION
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;We recognize revenue in accordance with Financial Accounting Standards Board (&amp;#8220;FASB&amp;#8221;) Accounting Standards Codification (&amp;#8220;ASC&amp;#8221;) Topic 605 &amp;#8220;Revenue Recognition&amp;#8221;. Revenue is recognized when persuasive evidence of an arrangement exists, delivery has occurred and title has transferred or services have been rendered, the price is fixed and determinable and collectability is reasonably assured. Revenue is not recognized on product sales transacted on a test or pilot basis. Instead, receipts from these types of transactions offset marketing expenses.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;MAJOR CUSTOMERS
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Three customers accounted for 56% of our sales for the six months ended June 30, 2011 and five customers accounted for 58% of our sales for the six months ended June 30, 2010.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Two customers accounted for 55% of our accounts receivable at June 30, 2011. Two customers accounted for 31% of our accounts receivable at December 31, 2010.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;FAIR VALUE OF FINANCIAL INSTRUMENTS
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Our short-term financial instruments, including cash, accounts receivable and accounts payable and accrued expenses consist primarily of instruments without extended maturities, the fair value of which, based on management&amp;#8217;s estimates, reasonably approximate their book value. The fair value of our notes and advances payable is based on management estimates and reasonably approximates their book value based on their current maturity.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;margin-left:0pt;margin-right:0pt;" &gt;&lt;div&gt;&lt;div style="text-align:left;width:100%;" &gt;&lt;font
 style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="page-break-after:always;width:100%;" &gt;&lt;div style="text-align:center;width:100%;" &gt;
&lt;/div&gt;&lt;div style="text-align:center;width:100%;" &gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div&gt;&lt;div style="text-align:right;width:100%;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;Fair value measurements
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;ASC 820 &amp;#8220;Fair Value Measurements and Disclosure&amp;#8221; establishes a framework for measuring fair value and expands disclosure about fair value measurements.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;ASC 820 defines fair value as the amount that would be received for an asset or paid to transfer a liability (i.e., an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 820 describes the following three levels of inputs that may be used:
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:72pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Level 1 &amp;#8211; Quoted prices in active markets for identical assets or liabilities.&lt;br /&gt;
&lt;br /&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:72pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:72pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Level 2 &amp;#8211; Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.&lt;br /&gt;
&lt;br /&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:72pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:72pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Level 3 &amp;#8211; Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. &lt;br /&gt;
&lt;br /&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:72pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;In accordance with ASC 820, the following table represents the fair value hierarchy for our financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2011:&lt;br /&gt;
&lt;br /&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:left;" &gt;&lt;div&gt;&lt;table cellspacing="0" cellpadding="0" width="100%" style="font-family:times new roman;font-size:10pt;" &gt;&lt;tr&gt;&lt;td valign="bottom" width="52%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="10%" colspan="2" style="border-bottom:black 2px solid;" &gt;&lt;div style="text-align:center;text-indent:0pt;display:block;margin-left:0pt;margin-right:7.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Level 1
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="10%" colspan="2" style="border-bottom:black 2px solid;" &gt;&lt;div style="text-align:center;text-indent:0pt;display:block;margin-left:0pt;margin-right:7.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Level 2
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="10%" colspan="2" style="border-bottom:black 2px solid;" &gt;&lt;div style="text-align:center;text-indent:0pt;display:block;margin-left:0pt;margin-right:7.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Level 3
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="10%" colspan="2" style="border-bottom:black 2px solid;" &gt;&lt;div
 style="text-align:center;text-indent:0pt;display:block;margin-left:0pt;margin-right:7.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Total
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="52%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Assets
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="10%" colspan="2" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="10%" colspan="2" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="10%" colspan="2" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="10%" colspan="2" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="52%" style="text-align:left;padding-bottom:2px;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Cash and cash equivalents
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;8,223
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;8,223
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="52%" style="text-align:left;padding-bottom:2px;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Total Assets
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%"
 style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;8,223
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;8,223
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="52%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Liabilities
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="52%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Notes payable
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font
 style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;804,687
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;804,687
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="52%" style="text-align:left;padding-bottom:2px;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Conversion and warrant derivative liabilities
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;3,859,570
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;3,859,570
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="52%" style="text-align:left;padding-bottom:4px;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Total Liabilities
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;padding-bottom:4px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 4px double;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new
 roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 4px double;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:4px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:4px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 4px double;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 4px double;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:4px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:4px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 4px double;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 4px double;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;4,664,257
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:4px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;padding-bottom:4px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 4px double;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 4px double;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:3.2pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;4,664,257
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;padding-bottom:4px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;
&lt;/table&gt;&lt;br /&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The following is a description of the valuation methodologies used for these items:
&lt;/font&gt;&lt;br /&gt;
&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;&lt;font style="font-style:italic;display:inline;" &gt;Conversion derivative liability
&lt;/font&gt;&amp;#8212; these instruments consist of certain of our notes which are convertible based on a discount to the market value of our common stock. These instruments were valued using pricing models which incorporate the Company&amp;#8217;s stock price, volatility, U.S. risk free rate, dividend rate and estimated life.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The table below sets forth a summary of changes in the fair value of the Company&amp;#8217;s Level 3 financial liabilities (warrant derivative liability and conversion derivative liability) for the six months ended June 30, 2011.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;margin-left:0pt;margin-right:0pt;" &gt;&lt;div&gt;&lt;div style="text-align:left;width:100%;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="page-break-after:always;width:100%;" &gt;&lt;div style="text-align:center;width:100%;" &gt;
&lt;/div&gt;&lt;div style="text-align:center;width:100%;" &gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div&gt;&lt;div style="text-align:right;width:100%;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div&gt;
&lt;/div&gt;&lt;div style="text-align:left;" &gt;&lt;div&gt;&lt;table cellspacing="0" cellpadding="0" width="100%" style="font-family:times new roman;font-size:10pt;" &gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="88%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Balance at beginning of year
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="9%" style="text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;1,551,289
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td
 valign="bottom" width="88%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:9pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Additions to derivative instruments
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="9%" style="text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;3,295,135
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="88%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:9pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Change in fair value of derivative liabilities
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="9%" style="text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;(977,712
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;)
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="88%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:9pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Reclassification to equity upon conversion of debentures
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="9%" style="text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;(9,142
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;)
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="88%" style="text-align:left;padding-bottom:2px;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:9pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Reclassification to equity upon extinguishment or modification
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="border-bottom:black 2px solid;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;-
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="padding-bottom:2px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="88%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="9%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="88%" style="text-align:left;padding-bottom:4px;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Balance at end of period
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:right;padding-bottom:4px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="border-bottom:black 4px double;text-align:left;" &gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="9%" style="border-bottom:black 4px double;text-align:right;" &gt;&lt;div style="text-align:right;text-indent:0pt;display:block;margin-left:0pt;margin-right:0.8pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;3,859,570
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="top" width="1%" style="text-align:left;padding-bottom:4px;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;
&lt;/table&gt;&lt;br /&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:left;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;LOSS PER SHARE
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div
 style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;We utilize ASC 260, &amp;#8220;Earnings Per Share&amp;#8221; for calculating the basic and diluted loss per share. Basic loss per share is computed by dividing loss available to common shareholders by the weighted-average number of common shares outstanding. Diluted loss per share is computed similar to basic loss per share except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potential common shares had been issued and if the additional common shares were dilutive. Common equivalent shares are excluded from the computation if their effect is anti-dilutive. There were 4,408,291,588 common share equivalents at June 30, 2011 and none at June 30, 2010 which have been excluded from the computation of the weighted average diluted shares. &lt;font style="display:inline;font-weight:bold;" &gt;
&lt;/font&gt;&lt;br /&gt;
&lt;br /&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;INCOME TAXES
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;We utilize ASC 740 &amp;#8220;Income Taxes&amp;#8221; which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred income taxes are recognized for the tax consequences in future years of differences between the tax bases of assets and liabilities and their financial reporting amounts at each year-end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The Company made a comprehensive review of its portfolio of uncertain tax positions in accordance with recognition standards established by the guidance. As a result of this review, the Company concluded that at this time there are no uncertain tax positions that would result in tax liability to the Company. There was no cumulative effect on retained earnings as a result of applying the provisions of this guidance.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS&lt;br /&gt;
&lt;br /&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:justify;text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force), the AICPA, and the SEC did not, or are not believed by management to have a material impact on the Company's present or future consolidated financial statements.
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;
&lt;/div&gt;</us-gaap:SignificantAccountingPoliciesTextBlock>
<us-gaap:InventoryDisclosureTextBlock contextRef="Context_6ME_30-Jun-2011">&lt;div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;NOTE 3 - INVENTORY
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Inventory at June 30, 2011 and December 31, 2010 consisted of the following:
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-align:left;" &gt;&lt;table cellspacing="0" cellpadding="0" width="100%" style="font-family:times new roman;font-size:10pt;" &gt;&lt;tr&gt;&lt;td valign="bottom" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" colspan="2" style="border-bottom:black 2px solid;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:5.4pt;text-align:center;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;June 30,
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:5.4pt;text-align:center;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;2011
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" colspan="2" style="border-bottom:black 2px solid;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:5.4pt;text-align:center;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;December 31,
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:5.4pt;text-align:center;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;2010
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr&gt;&lt;td valign="bottom" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" colspan="2" &gt;
&lt;/td&gt;&lt;td valign="bottom" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" colspan="2" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="76%" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Work in process
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;42,750
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;42,750
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="76%" style="padding-bottom:2px;text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Finished goods
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:2px;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;42,101
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:2px;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new
 roman;font-size:10pt;" &gt;69,445
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="76%" style="padding-bottom:4px;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Total
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:4px;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 4px double;text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 4px double;text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;84,851
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:4px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:4px;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 4px double;text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 4px double;text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:2.4pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;112,195
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;
&lt;/tr&gt;
&lt;/table&gt;
&lt;/div&gt;
&lt;/div&gt;</us-gaap:InventoryDisclosureTextBlock>
<us-gaap:DebtDisclosureTextBlock contextRef="Context_6ME_30-Jun-2011">&lt;div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;NOTE 4 &amp;#8211; CONVERTIBLE DEBENTURES, NOTES PAYABLE AND DERIVATIVE LIABILITY&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;CONVERTIBLE DEBENTURES&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The Company has identified the embedded derivatives related to its convertible notes, consisting of the conversion feature and its warrants. Since the notes are convertible into a variable number of shares, the conversion features of the debentures are recorded as derivative liabilities. Since the warrants have a price reset feature, they are recorded as derivative liabilities. The accounting treatment of derivative financial instruments requires that the Company record fair value of the derivatives as of the inception date and to adjust to fair value as of each subsequent balance sheet date.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;During the three months ended March 31, 2011, $1,900 of our convertible debentures subject to derivative accounting was converted into 2,638,888 shares of common stock. As a result of the conversion of the debt, we have reclassified $9,142 of our conversion feature derivative liability to additional paid in capital. &lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;On April 6, 2011, the Company entered into a Securities Purchase Agreement with IIG Management LLC &lt;font style="display:inline;font-weight:bold;" &gt;,
&lt;/font&gt; an accredited investor (the &amp;#8220;Investor&amp;#8221;), providing for the sale by the Company to the Investor of a 10% convertible debenture in the principal amount of up to $135,000 (the &amp;#8220;Debenture&amp;#8221;). The Debenture matures on the first anniversary of the date of issuance (the &amp;#8220;Maturity Date&amp;#8221;) and bears interest at the annual rate of 10% per year. The Company is not required to make any payments until the Maturity Date. The Investor may convert, at any time, the outstanding principal and accrued interest on the Debenture into shares of the Company&amp;#8217;s common stock at a conversion price per share equal to the lower of ten percent (10%) of the lowest closing price of the Common Stock during the ten (10) trading days immediately preceding the conversion date or ten percent of the closing price on the date of issue of the debenture. In connection with the agreement, the Investor received a warrant to purchase 30,000,000 shares of the Company&amp;#8217;s Common Stock (the &amp;#8220;Warrant&amp;#8221;). The Warrant is exercisable for a period of three years from the date of issuance at an initial exercise price of $0.0045 per share, the closing price of the Company&amp;#8217;s Common Stock as quoted on the Over-the-Counter Bulletin Board on April 5, 2011. The Investor may exercise the Warrant on a cashless basis if the shares of Common Stock underlying the Warrant are not then registered pursuant to an effective registration statement after one year from the date of issuance. In the event the Investor exercises the Warrant on a cashless basis, then we will not receive any proceeds.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;As an inducement for the Investors to enter into the Purchase Agreement, the Company, Shawn Knapp, the Company&amp;#8217;s then chief executive officer (&amp;#8220;Mr. Knapp&amp;#8221;) and the Investor entered into a Pledge Agreement pursuant to which the Debenture is secured by 270,262 of Mr. Knapp&amp;#8217;s shares of series A convertible preferred stock of the Company. In addition, on April 6, 2011, Mr. Knapp entered into a Make Good Securities Escrow Agreement with the Investor and Sichenzia Ross Friedman Ference LLP (the &amp;#8220;Escrow Agent&amp;#8221;) whereby Mr. Knapp has agreed to deliver to the Escrow Agent certificate(s) representing an aggregate of 129,738 shares of the Company&amp;#8217;s series A convertible preferred stock, which shall be deliverable in the event the Company fails to achieve certain financial performance thresholds for the 12-month period ending December 31, 2011.&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;On May 10, 2011, the Company entered into a Securities Purchase Agreement with Greystone Capital Partners LLC &lt;font style="display:inline;font-weight:bold;" &gt;,
&lt;/font&gt; an accredited investor (the &amp;#8220;Investor&amp;#8221;), providing for the sale by the Company to the Investor of a 10% convertible debenture in the principal amount of up to $50,000 (the &amp;#8220;Debenture&amp;#8221;). The Debenture matures on the first anniversary of the date of issuance (the &amp;#8220;Maturity Date&amp;#8221;) and bears interest at the annual rate of 10% per year. The Company is not required to make any payments until the Maturity Date. The Investor may convert, at any time, the outstanding principal and accrued interest on the Debenture into shares of the Company&amp;#8217;s common stock at a conversion price per share equal to the lower of ten percent (10%) of the lowest closing price of the Common Stock during the ten (10) trading days immediately preceding the conversion date or ten percent of the closing price on the date of issue of the
 debenture. In connection with the agreement, the Investor received a warrant to purchase 16,666,667 shares of the Company&amp;#8217;s Common Stock (the &amp;#8220;Warrant&amp;#8221;). The Warrant is exercisable for a period of three years from the date of issuance at an initial exercise price of $0.003 per share, the closing price of the Company&amp;#8217;s Common Stock as quoted on the Over-the-Counter Bulletin Board on May 9, 2011. The Investor may exercise the Warrant on a cashless basis if the shares of Common Stock underlying the Warrant are not then registered pursuant to an effective registration statement after one year from the date of issuance. In the event the Investor exercises the Warrant on a cashless basis, then we will not receive any proceeds.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;margin-left:0pt;margin-right:0pt;" &gt;&lt;div&gt;&lt;div style="width:100%;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="page-break-after:always;width:100%;" &gt;
&lt;/div&gt;&lt;div&gt;&lt;div style="width:100%;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;On June 13, 2011, the Company entered into a Securities Purchase Agreement with Greystone Capital Partners LLC &lt;font style="display:inline;font-weight:bold;" &gt;,
&lt;/font&gt; an accredited investor (the &amp;#8220;Investor&amp;#8221;), providing for the sale by the Company to the Investor of a 10% convertible debenture in the principal amount of up to $50,000 (the &amp;#8220;Debenture&amp;#8221;). The Debenture matures on the first anniversary of the date of issuance (the &amp;#8220;Maturity Date&amp;#8221;) and bears interest at the annual rate of 10% per year. The Company is not required to make any payments until the Maturity Date. The Investor may convert, at any time, the outstanding principal and accrued interest on the Debenture into shares of the Company&amp;#8217;s common stock at a conversion price per share equal to the lower of ten percent (10%) of the lowest closing price of the Common Stock during the five (5) trading days immediately preceding the conversion date or ten percent of the closing price on the date of issue of the debenture. In connection with the agreement, the Investor received a warrant to purchase 33,333,333 shares of the Company&amp;#8217;s Common Stock (the &amp;#8220;Warrant&amp;#8221;). The Warrant is exercisable for a period of three years from the date of issuance at an initial exercise price of $0.0015 per share, the closing price of the Company&amp;#8217;s Common Stock as quoted on the Over-the-Counter Bulletin Board on June 12, 2011. The Investor may exercise the Warrant on a cashless basis if the shares of Common Stock underlying the Warrant are not then registered pursuant to an effective registration statement after one year from the date of issuance. In the event the Investor exercises the Warrant on a cashless basis, then we will not receive any proceeds.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The conversion feature of the debentures contains a variable conversion rate and the warrants issued with the debt have a price protection feature. As a result, we have classified these instruments as derivative liabilities in the financial statements. At issue, we have recorded a conversion feature liability of $2,947,635 and a warrant liability of $235,000. The value of the conversion feature liabilities and the warrant liabilities was determined using the Black-Scholes method based on the following assumptions: (1) risk free interest rate of 0.20% - 0.28%; (2) dividend yield of 0%; (3) volatility factor of the expected market price of our common stock of 522% - 582%; and (4) an expected life of 1 - 3 years.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Of the aggregate amount of $3,182,635, the Company has allocated $235,000 to debt discount, to be amortized over the life of the debt, with the balance of $2,947,635 being charged to expense at issue.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The warrants issued with the April debentures have been adjusted due to the May and June issuance of debt. As a result, those warrants now total 90,000,000 with an exercise price of $0.0015. The Company has recorded income related to the change in fair value of the warrants through the dates of adjustment in the amount of $112,500. The Company has also recorded an expense of $112,500 due to the increase in the fair value of the warrants as a result of the modifications.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;At June 30, 2011, we recalculated the fair value of our embedded conversion features and warrants subject to derivative accounting and have determined that their fair value at June 30, 2011 was $3,859,570. The value of the conversion liabilities and warrant liabilities was determined using the Black-Scholes method based on the following assumptions: (1) risk free interest rate of 0.20% - 1.25%; (2) dividend yield of 0%; (3) volatility factor of the expected market price of our common stock of 582%; and (4) an expected life of 0.16 &amp;#8211; 2.75 years. We recorded income of $840,810 and $865,212 during the three and six month periods ending June 30, 2011, respectively.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;During the three months ended March 31, 2011, we executed three promissory notes in the aggregate amount of $36,500. Two of the notes, aggregating $21,500, bear interest at the rate of 10% per year and mature on June 30, 2011. The third note, in the amount of $15,000, has no stated interest rate and is due upon the consummation of our next financing through either debt or equity
 securities. The $15,000 note was repaid on April 6, 2011.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;On March 9, 2011 we executed a promissory note in the amount of $84,775 as payment of outstanding legal fees. The note bears interest at 5% per year and matures on September 9, 2011.
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;</us-gaap:DebtDisclosureTextBlock>
<vaev:NotesAndAdvancesPayableRelatedPartyTextBlock contextRef="Context_6ME_30-Jun-2011">&lt;div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;NOTE 5 &amp;#8211; NOTES AND ADVANCES PAYABLE &amp;#8211; RELATED PARTIES
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Shawn Knapp, Shogun&amp;#8217;s chief executive officer, has funded Shogun on an ongoing basis through loans and advances made by him personally, by his company, Shawn Custom Home, Inc., by his wife, by his father and by the affiliated entities. The aggregate amounts due to Mr. Knapp, his wife, his father and the affiliated entities were $287,382 and $252,771 at June 30, 2011 and December 31, 2010, respectively. At December 31, 2010 these advances and loans have been converted into notes bearing interest at 5% per year with repayment scheduled to begin in June 2011.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;margin-left:0pt;margin-right:0pt;" &gt;&lt;div style="page-break-after:always;width:100%;" &gt;&lt;div style="text-align:center;width:100%;" &gt;
&lt;/div&gt;&lt;div style="text-align:center;width:100%;" &gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div&gt;&lt;div style="width:100%;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-align:left;" &gt;&lt;table cellspacing="0" cellpadding="0" width="100%" style="font-family:times new roman;font-size:10pt;" &gt;&lt;tr&gt;&lt;td valign="bottom" style="padding-bottom:2px;text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;A Summary of Advances and Notes Payable - Related Parties at June 30, 2011 and December 31, 2010 are as follows:&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" colspan="2" style="border-bottom:black 2px solid;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:3.6pt;text-align:center;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;2011
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" colspan="2" style="border-bottom:black 2px solid;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:3.6pt;text-align:center;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;2010
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr&gt;&lt;td valign="bottom" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" colspan="2" &gt;
&lt;/td&gt;&lt;td valign="bottom" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" colspan="2" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="76%" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Notes Payable / Advances - LaserIT, Inc.
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;17,131
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;20,684
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="76%" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Notes Payable / Advances - Shawn Knapp and Shawn's Custom Home, Inc.
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;"
 &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;52,367
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;52,367
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="76%" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Notes Payable / Advances - Roxanne Knapp
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;117,884
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;79,720
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#ffffff;" &gt;&lt;td valign="bottom" width="76%" style="padding-bottom:2px;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Notes Payable / Advances - Duane Knapp
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:2px;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;100,000
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:2px;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 2px solid;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 2px solid;text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;100,000
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:2px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;&lt;tr style="background-color:#cceeff;" &gt;&lt;td valign="bottom" width="76%" style="padding-bottom:4px;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Total
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:4px;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 4px double;text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 4px double;text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;287,382
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:4px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:4px;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="border-bottom:black 4px double;text-align:left;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;$
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="9%" style="border-bottom:black 4px double;text-align:right;" &gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:1.6pt;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;252,771
&lt;/font&gt;
&lt;/div&gt;
&lt;/td&gt;&lt;td valign="bottom" width="1%" style="padding-bottom:4px;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;
&lt;/font&gt;
&lt;/td&gt;
&lt;/tr&gt;
&lt;/table&gt;
&lt;/div&gt;
&lt;/div&gt;</vaev:NotesAndAdvancesPayableRelatedPartyTextBlock>
<us-gaap:RelatedPartyTransactionsDisclosureTextBlock contextRef="Context_6ME_30-Jun-2011">&lt;div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;NOTE 6 &amp;#8211; ADVANCES RECEIVABLE &amp;#8211; RELATED PARTIES
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Shogun has made advances to an entity affiliated with Shawn Knapp. These advances aggregated $58,080 at June 30, 2011 and December 31, 2010, respectively.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;As of June 30, 2011, Vanity had loan receivables due from related parties / shareholders in the amount of $617,424, as a result of a note issued by Vanity which was executed in April 2010 under the direction of Vanity&amp;#8217;s former CEO, Steven Y. Moskowitz, without proper approval of, or ratification by, the Company&amp;#8217;s board of directors. These related parties are or were under the common ownership / control and or management of Steven Y. Moskowitz, where he was an officer and or shareholder. The Company cannot determine whether it will be able to collect any further monies on this note and has fully impaired it as of June 30, 2011. The Company is determining what options it may have in attempting to take action to collect on the note.
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;</us-gaap:RelatedPartyTransactionsDisclosureTextBlock>
<us-gaap:StockholdersEquityNoteDisclosureTextBlock contextRef="Context_6ME_30-Jun-2011">&lt;div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;NOTE 7 &amp;#8211; STOCKHOLDERS&amp;#8217; EQUITY&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;Preferred Stock&lt;br&gt;&lt;/br&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The Company is authorized to issue 50,000,000 shares of preferred stock, with par value of $0.001 per share, of which there were 500,000 shares issued and outstanding at June 30, 2011 and December 31, 2010.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The 500,000 preferred shares were issued in connection with the December 31, 2010 transaction pursuant to which Shogun was acquired in a reverse recapitalization which in substance is a capital transaction. Pursuant to the terms of the transaction, the shareholders of Shogun exchanged an aggregate of 100% of the issued and outstanding shares of capital stock of Shogun in exchange for 500,000 shares of our series A preferred stock. Each share of series A preferred stock shall be entitled to 1,604 votes per share and shall be convertible into 1,604 shares of our common stock. Upon filing an amendment to our certificate of incorporation to increase the number of shares of authorized common stock so that there is an adequate amount of shares of authorized common stock for issuance upon conversion of the series A preferred stock, the shares of series A preferred stock will be automatically converted into an aggregate of 802,000,000 shares of our common stock.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;Common Stock
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The Company is authorized to issue 350,000,000 shares of common stock, with par value of $0.001 per share. As of June 30, 2011 and December 31, 2010, there were 67,628,695 and 64,989,807 shares of common stock issued and outstanding, respectively.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;margin-left:0pt;margin-right:0pt;" &gt;&lt;div&gt;&lt;div style="width:100%;text-align:left;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div&gt;&lt;div style="width:100%;text-align:right;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:8pt;" &gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;During the three months ended March 31, 2011, $1,900 of our convertible debentures was converted into 2,638,888 shares of common stock. As a result of the conversion of the debt, we have reclassified $9,142 of our conversion feature derivative liability to additional paid in capital.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;&lt;font style="display:inline;font-weight:bold;" &gt;The Company does not have sufficient authorized shares of common stock as of June 30, 2011 and as of the filing date of this report to satisfy the equivalent common stock if converted.
&lt;/font&gt;
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;</us-gaap:StockholdersEquityNoteDisclosureTextBlock>
<us-gaap:SubsequentEventsTextBlock contextRef="Context_6ME_30-Jun-2011">&lt;div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;font-weight:bold;" &gt;NOTE 8 - SUBSEQUENT EVENTS
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;&lt;font style="display:inline;text-decoration:underline;" &gt;Preferred Stock Financing
&lt;/font&gt;
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;On July 13, 2011, the Company entered into a Securities Purchase Agreement (the &amp;#8220;Purchase Agreement&amp;#8221;) with Thalia Woods Management, Inc.&lt;font style="display:inline;font-weight:bold;" &gt;,
&lt;/font&gt;an accredited investor (the &amp;#8220;Investor&amp;#8221;), pursuant to which the Investor purchased 75,000 shares of the Company&amp;#8217;s series B convertible preferred stock (the &amp;#8220;Preferred Stock&amp;#8221;) for an aggregate purchase price of $75,000. Each share of Preferred Stock shall be entitled to 1,000 votes per share which voting right shall be non-dilutive for a period of one year from the date of issuance. The Preferred Stock pays dividends of 10% per year, payable quarterly in arrears beginning on the one year anniversary of the date of issuance, at the Company&amp;#8217;s option, in cash or in additional shares of the Company&amp;#8217;s common stock.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;Each share of Preferred Stock has a stated value equal to $1.00 per share and is initially convertible at any time into shares of the Company&amp;#8217;s common stock at a conversion price equal to $0.002 per share or an aggregate of 37,500,000 shares of the Company&amp;#8217;s common stock. The conversion price of the Preferred Stock is subject to full ratchet and anti-dilution adjustment for subsequent lower price issuances by the Company, as well as customary adjustments provisions for stock splits, stock dividends, recapitalizations and the like.
&lt;/font&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;" &gt;&lt;br /&gt;
&lt;/div&gt;&lt;div style="text-indent:0pt;display:block;margin-left:0pt;margin-right:0pt;text-align:justify;" &gt;&lt;font style="display:inline;font-family:times new roman;font-size:10pt;" &gt;The securities were offered and sold to the Investor in a private placement transaction made in reliance upon exemptions from registration pursuant to Section 4(2) under the Securities Act of 1933 and Rule 506 promulgated under Regulation D thereunder. The Investor is an accredited investor as defined in Rule 501 of Regulation D promulgated under the Securities Act of 1933, as amended.
&lt;/font&gt;
&lt;/div&gt;
&lt;/div&gt;</us-gaap:SubsequentEventsTextBlock>
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</xbrli:xbrl>