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CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
12 Months Ended 110 Months Ended
May 31, 2013
May 31, 2012
May 31, 2013
Cash flows from operating activities:      
Net income (loss) $ (516,930) $ 4,135,062 $ (25,489,741)
Adjustments to reconcile net income (loss) to net Cash (used in) provided by operating activities:      
Depreciation and amortization 0 0 1,621,848
Amortization of debt discount 62,677 0 62,677
Stock based compensation 0 0 11,706,492
Warrants and beneficial conversion rights with debt 0 23,100 650,816
Debt and interest penalty 0 0 4,683,122
Amortization of deferred expenses 0 0 130,625
Gain on settlement of debt (2,025) (482,784) (11,819,506)
Changes in operating assets and liabilities:      
Inventory 0 0 630
Deferred expenses 0 0 674,246
Prepaid expenses 0 0 (47,213)
Payroll taxes and related penalties and interest payable 0 0 (22,916)
Accounts payable and accrued expenses 206,491 (276,528) 12,005,480
Net cash (used in) provided by operating activities (249,787) 3,398,850 (5,843,440)
Cash flows from investing activities:      
Purchase of fixed assets 0 0 (140,671)
Sale of assets 0 0 124,066
Net cash used in investing activities 0 0 (16,605)
Cash flows from financing activities:      
Related party payables 0 130,000 1,716,726
Proceeds from debt 0 0 1,746,745
Contribution of capital 0 0 1,232,646
Exercise of stock options 0 0 23,635
Repayment of debt (10,000) (106,355) (6,155,670)
Private placement 0 0 810,038
Proceeds from convertible debt 600,000 0 1,666,500
Issuance of debentures 0 0 9,533,461
Repayment of related party payables 0 (3,420,168) (4,369,195)
Net cash (used in) provided by financing activities 590,000 (3,396,523) 6,204,886
Net increase in cash 340,213 2,327 344,841
Cash and cash equivalents beginning of period 4,913 2,586 285
Cash and cash equivalents at end of period 345,126 4,913 345,126
Supplemental disclosure of cash flow information:      
Interest paid 0 0  
Income taxes paid 0 0  
Non-cash investing and financing activities:      
Debt converted into common stock $ 0 $ 51,582