WARRANTS AND PREFERRED STOCK

3 Months Ended

Mar. 31, 2026

WARRANTS AND PREFERRED STOCK

WARRANTS AND PREFERRED STOCKS

NOTE 5 - WARRANTS AND PREFERRED STOCKS:

Warrants

2026 Extension of Warrant Terms

The Company, acting by resolution of its Board of Directors, amended and extended the expiration date of its outstanding warrants to purchase up to 6,909,000 shares of common stock to March 7, 2029. The terms of the warrants, including the exercise price of $0.15 per share, remain in effect without modification. The warrants modification expense of $138,180 was recorded as the incremental value of the modified warrants over the unmodified warrants on the modification date. Assumptions used in the Black Scholes option-pricing model for these warrants were as follows:

Average risk-free interest rate	3.59	%
Average expected life-years	3
Expected volatility	293.85	%
Expected dividends	0	%

	Number of Warrants			Weighted Average Exercise Price		Weighted Average Remaining Contractual Life (Years)
Outstanding at December 31, 2025		6,909,000		$	0.15		0.18
Granted		—			—		—
Extended		6,909,000			0.15		3.00
Exercised		—			—		—
Forfeited/expired		(6,909,000	)		0.15		—
Outstanding at March 31, 2026		6,909,000		$	0.15		2.94
Exercisable at March 31, 2026		6,909,000		$	0.15		2.94

As of March 31, 2026 and December 31, 2025, the average remaining contractual life of the outstanding warrants was 2.94 years and 0.18 year, respectively. The warrants will expire on March 7, 2029. The intrinsic value of the warrants at March 31, 2026 was $0 due to the exercise price exceeding the fair market value of the common stock.

Series A 10% Convertible Preferred Stock

The Company has authorized 4,000,000 shares of Preferred Stock, of which 50,000 shares have been designated as Series A 10% Convertible Preferred Stock. As of March 31, 2026 and December 31, 2025, there was no preferred stock issued or outstanding.