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(16) Subsequent Events
12 Months Ended
Dec. 31, 2012
Notes  
(16) Subsequent Events

(16)     Subsequent Events

 

The Company issued various Convertible Debentures in the total amount of $55,000.  All debentures bear simple interest of 14% per annum with a one year maturity.  The outstanding principal and interest of the debenture is convertible into shares of common stock at a conversion price of $0.04 per share (1,375,000 shares of common stock, based upon the market price of the Company's common stock as determined by reference to recent cash sales).  None of these debentures have been converted as of the date of these financials.

 

In January, 2013, the Company entered into a one year business development consulting contract with Cory E. Stiles valued at $50,000.  The payment was made in March of 2013 in the form of common stock at $0.04 per share (1,500,000 shares of common stock, based upon the market price of the Company's common stock as determined by reference to recent cash sales.)

 

On February 5, 2013, the Company entered into a 60-day promissory note in the total amount of $10,000, with Cory E. Stiles. The note bears an interest rate of 14% per annum.

 

Several of the Company’s Debentures were converted in March 2013, accounting for a reduction in debt totaling $109,219.