NOTE 11. STOCK-BASED COMPENSATION

12 Months Ended

Sep. 30, 2012

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

NOTE 11. STOCK-BASED COMPENSATION

NOTE 11 – STOCK-BASED COMPENSATION

Options

The Prior board of directors adopted the 2000 Stock Option Plan effective January 1, 2001. Our stockholders formally approved the 2000 Stock Option Plan on February 14, 2001. The 2000 Stock Option plan terminated in accordance with the plan provisions on December 1, 2010. The current Board of Directors did not extend the Stock Option Plan, allowing it to terminate.

There were no options outstanding for the years ended September 30, 2012 and 2011, respectively.

Warrants

The Company values all warrants using the Black-Scholes option-pricing model.  Critical assumptions for the Black-Scholes option-pricing model include the market value of the stock price at the time of issuance, the risk-free interest rate corresponding to the term of the warrant, the volatility of the Company’s stock price, dividend yield on the common stock, as well as the exercise price and term of the warrant.  The warrants are not subject to any form of vesting schedule and, therefore, are exercisable by the holders anytime at their discretion during the life of the warrant.  No discounts were applied to the valuation determined by the Black-Scholes option-pricing model.

During the years ended September 30, 2012 and 2011, no awards were granted, no share purchase warrants were exercised, and no warrants were forfeited.

Summary of warrant activity for the years ended September 30, 2012 and 2011 is presented below:

	Number of Shares Granted			Weighted Average Exercise Price		Weighted Average Remaining Contractual Life (years)		Aggregate Intrinsic Value
September 30, 2010		2,308,497		$	0.10		.38		—
Grants		—			—
Expired		(2,308,497	)		—
September 30, 2011		—		$	—	$	—	$	—
Grants		—
Expired		—
September 30, 2012		—		$	—	$	—	$	—