Note 8 - Long-term Debt

9 Months Ended

Sep. 30, 2014

Notes

Note 8 - Long-term Debt

NOTE 8 – LONG-TERM DEBT

Our long-term debt consisted the following at September 30, 2014:

Long-term convertible debentures,    net of discount of $58,109 (see Note 5)	$8,891
Long-term note payable, net of discount of $4,098	25,902
Total	34,793
Current portion	20,245
Long-term debt	$14,548

 The long-term note payable is an unsecured note payable of $30,000 to an individual due July 30, 2016, with interest at 14% per annum.  Payment terms for the note payable are $350 per month for six months and $698 per month for sixty months, including interest. We are in default on the note payable at September 30, 2014 due to our failure to make timely payments in accordance with the terms of the note agreement.