STRATEGIC ALLIANCE AGREEMENT

9 Months Ended

Sep. 30, 2012

Strategic Alliance Agreement [Abstract]

Strategic Alliance Agreement [Text Block]

21. STRATEGIC ALLIANCE AGREEMENT

On April 10, 2012, the Company entered into a strategic alliance agreement with Precision Paddleboards, Inc. The agreement provides for 12 month exclusivity granted for $24,000 in one year restricted stock, or 666,667. Price per share was calculated as the weighted average per share for 30 days preceding the agreement or $.036 per share. The Company will recognize the operating expense ratably over the twelve month vesting term with corresponding entry to shares payable. For the three and nine months ended September 30, 2012, the Company recognized $6,000 and $11,333, respectively, operating expense under the agreement.