X0202 4 2007-10-12 0 0001069249 House of Taylor Jewelry, Inc. HOTJ 0001328246 Abramov Jack 9200 SUNSET BLVD. SUITE 425 WEST HOLLOYWOOD CA 90069 1 1 0 0 President and Chief Executive Common Stock 2007-10-12 4 P 0 68421 0.95 A 3870677 D Warrant-Right to Buy Common Stock 0.95 2007-10-12 4 P 0 102632 0.95 A 2007-10-12 2014-10-12 Common Stock 102632 102632 D Senior Secured Convertible Notes 4 2007-10-12 4 J 0 40000 40000 D 2006-05-12 2009-05-12 Common Stock 10000 0 D Series A Warrant Right to Buy Common Stock 0.95 2007-10-12 4 J 0 31974 0.95 A 2006-11-12 2011-05-11 Common Stock 31974 39474 D All of the shares are held directly by Jack Abramov. Effective October 12, 2007, House of Taylor Jewelry, Inc. (the Issuer) completed its sale of shares of common stock and warrants to institutional and other accredited investors (the Sale). Pursuant to the Sale, the Reporting Person acquired 68,421 shares of common stock for $0.95 per share and 102,632 warrants for $0.95 per warrant, each warrant of which entitled the Reporting Person to purchase one share of common stock for $0.95 per share. The exercise price of the warrant is subject to adjustment for certain dilutive issuances of common stock or securities exercisable or convertible into common stock. Concurrently with the completion of the Sale, the Issuer paid off the outstanding senior convertible notes. The market price of the common stock on the date of the pay off was $85. This Series A Warrant was previously reported by the Reporting Person on a Form 4 filed on May 15, 2006, as a Series A Warrant entitling the Reporting Person to purchase 7,500 shares of common stock for $5.00 per share. Due to an anti-dilution provision therein which was triggered by the Sale, the Series A Warrant was adjusted and became exercisable for 39,474 shares of common stock at an exercise price of $0.95 per share. The exercise price of the Warrant is subject to adjustments for certain dilutive issuances of common stock or securities exercisable or convertible into common stock. Jack Abramov 2007-10-16