2.4.0.800000026 - Disclosure - NOTES PAYABLEtruefalsefalse1false falsefalseFrom2013-03-01to2013-05-31http://www.sec.gov/CIK0001084597duration2013-03-01T00:00:002013-05-31T00:00:001true 1XPWR_NotesToFinancialStatementsAbstractXPWR_falsenadurationfalsefalsefalsefalsefalsefalsefalsefalse1falsefalsefalse00falsefalsefalsexbrli:stringItemTypestringfalse0Notes to Financial Statements2false 2XPWR_NotesPayableDisclosureTextBlockXPWR_falsenadurationfalsefalsefalsefalsefalsefalsefalsefalse1falsefalsefalse00Notes Payable consists of three separate notes: <table cellspacing="0" cellpadding="0" align="center" style="width: 80%; border-collapse: collapse; font-size: 10pt"> <tr style="vertical-align: bottom"> <td> </td> <td colspan="3" style="border-bottom: black 1pt solid; text-align: center">May 31, 2013</td> <td style="padding-bottom: 1pt"> </td> <td colspan="3" style="border-bottom: black 1pt solid; text-align: center">February 28, 2013</td></tr> <tr style="background-color: rgb(204,238,204); vertical-align: bottom"> <td style="text-align: justify; padding-left: 5.4pt; width: 69%">Note payable dated August 6, 2012. The Company entered into a purchase order (PO) financing agreement which provided $1,500,000 in debt financing. This agreement also enabled us to receive a portion of the funds owed by customers in advance of when the customer is required to pay the balance (usually prior to shipment or delivery). We will be required to submit customer orders as collateral for the funds received under the agreement. Once the products are shipped and the end customer pays the remaining balance, those funds are then used to pay back the amount of the particular PO financed. The amount repaid is then available for us to borrow against other of our accounts receivable. The agreement calls for a 16% annual interest rate on any funds outstanding. As additional consideration for the financing agreement, we issued the financing party warrants to purchase up to 600,000 shares of our common stock, exercisable at any time during the 24 months from the date of issue, at an exercise price of $0.35 per share. The note was amended in March 2013 to include the outstanding accrued interest to date. Under the new terms, interest remains at 16%, and monthly principal payments are due as follows: month 1 - $275,000; month 4 and 5 - $30,000; months 611 - $60,000; and month 12 - $105,000. The May 31, 2013 balance is shown net of a $23,737 debt discount.</td> <td style="text-align: left; width: 1%"> </td> <td style="text-align: right; width: 13%">1,141,263</td> <td style="text-align: left; width: 1%"> </td> <td style="width: 1%"> </td> <td style="text-align: left; width: 1%">$</td> <td style="text-align: right; width: 13%">1,408,350</td> <td style="text-align: left; width: 1%"> </td></tr> <tr style="background-color: white; vertical-align: bottom"> <td style="text-align: justify; padding-left: 5.4pt"> </td> <td style="text-align: left"> </td> <td style="text-align: right"> </td> <td style="text-align: left"> </td> <td> </td> <td style="text-align: left"> </td> <td style="text-align: right"> </td> <td style="text-align: left"> </td></tr> <tr style="background-color: rgb(204,238,204); vertical-align: bottom"> <td style="text-align: justify; padding-left: 5.4pt">Notes payable due within five days of receipt by Company, in whole or in part, portion of funds collected on collateral sales order, or, Company may submit a new collateral sales order with value equal to or in excess of principal outstanding. Borrowings were originally due December 31, 2012, but notes were combined on April 1, 2013 under a simple promissory note due October 1, 2014. Under the new terms, interest remains at 16%, and monthly principal payments are due as follows: April 15, 2013 - month 1 - $160,000; months 2-5 - $20,000; months 610 - $80,000; month 11 - $20,000; and month 12 all accrued interest. Interest rate is 10% annually. Under the note, outstanding accrued interest was added to principal as of the amendment date.</td> <td style="text-align: left"> </td> <td style="text-align: right">480,000</td> <td style="text-align: left"> </td> <td> </td> <td style="text-align: left"> </td> <td style="text-align: right">660,000</td> <td style="text-align: left"> </td></tr> <tr style="background-color: white; vertical-align: bottom"> <td style="text-align: justify; padding-left: 5.4pt"> </td> <td style="text-align: left"> </td> <td style="text-align: right"> </td> <td style="text-align: left"> </td> <td> </td> <td style="text-align: left"> </td> <td style="text-align: right"> </td> <td style="text-align: left"> </td></tr> <tr style="background-color: rgb(204,238,204); vertical-align: bottom"> <td style="text-align: justify; padding-left: 5.4pt">Promissory note bearing a 12% annual interest rate originally due December 31, 2012. Unsecured. The note was amended on April 1, 2013 to include the outstanding accrued interest to date. Under the new terms, interest remains at 12%, and monthly payments of $1,981 are due May 1, 2013 until October 1, 2014, when all remaining principal and interest are due.</td> <td style="text-align: left"> </td> <td style="text-align: right">160,000</td> <td style="text-align: left"> </td> <td> </td> <td style="text-align: left"> </td> <td style="text-align: right">160,000</td> <td style="text-align: left"> </td></tr> <tr style="background-color: white; vertical-align: bottom"> <td style="text-align: justify; padding-left: 5.4pt"> </td> <td style="text-align: left"> </td> <td style="text-align: right"> </td> <td style="text-align: left"> </td> <td> </td> <td style="text-align: left"> </td> <td style="text-align: right"> </td> <td style="text-align: left"> </td></tr> <tr style="background-color: rgb(204,238,204); vertical-align: bottom"> <td style="text-align: justify; padding-bottom: 1pt; padding-left: 5.4pt">On April 3, 2013, the Company entered into a new credit facility, which provides up to $6,500,000 in debt financing. The agreement calls for a 10% annual interest rate on any funds outstanding. As additional consideration for the financing agreement, the financing parties were issued warrants to purchase up to 7,500,000 shares of our common stock, exercisable at any time during four years from the date of issue, at an exercise price of $0.35 per share. The May 31, 2013 balance is shown net of a $565,348 debt discount.</td> <td style="border-bottom: black 1pt solid; text-align: left"> </td> <td style="border-bottom: black 1pt solid; text-align: right">2,854,652</td> <td style="text-align: left; padding-bottom: 1pt"> </td> <td style="padding-bottom: 1pt"> </td> <td style="border-bottom: black 1pt solid; text-align: left"> </td> <td style="border-bottom: black 1pt solid; text-align: right"></td> <td style="text-align: left; padding-bottom: 1pt"> </td></tr> <tr style="background-color: white; vertical-align: bottom"> <td style="text-align: right; padding-left: 5.4pt">Totals</td> <td style="text-align: left"> </td> <td style="text-align: right">4,635,915</td> <td style="text-align: left"> </td> <td> </td> <td style="text-align: left"> </td> <td style="text-align: right">2,228,350</td> <td style="text-align: left"> </td></tr> <tr style="background-color: rgb(204,238,204); vertical-align: bottom"> <td style="text-align: right; padding-bottom: 1pt; padding-left: 5.4pt">Less: current maturities</td> <td style="border-bottom: black 1pt solid; text-align: left"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(1,621,263</td> <td style="text-align: left; padding-bottom: 1pt">)</td> <td style="padding-bottom: 1pt"> </td> <td style="border-bottom: black 1pt solid; text-align: left"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(2,068,350</td> <td style="text-align: left; padding-bottom: 1pt">)</td></tr> <tr style="background-color: white; vertical-align: bottom"> <td style="text-align: right; padding-bottom: 2.5pt; padding-left: 5.4pt">Long-term portion</td> <td style="border-bottom: black 2.5pt double; text-align: left">$</td> <td style="border-bottom: black 2.5pt double; text-align: right">3,014,652</td> <td style="text-align: left; padding-bottom: 2.5pt"> </td> <td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: black 2.5pt double; text-align: left">$</td> <td style="border-bottom: black 2.5pt double; text-align: right">160,000</td> <td style="text-align: left; padding-bottom: 2.5pt"> </td></tr> </table>  falsefalsefalsenonnum:textBlockItemTypenaNo authoritative reference available.No definition available.false0NOTES PAYABLEfalseNOTES PAYABLEUnKnownUnKnownUnKnownUnKnowntruefalsefalseNoteshttp://XPWR/role/NotesPayable12