11.

NOTES PAYABLE

Notes payable consists of the following as of June 30, 2014:

Promissory note payable, unsecured, bearing interest at 5% simple interest per annum, due in weekly principal and interest payments of $250, maturing on March 10, 2015.	$	9,114

Less amounts due within one year		9,114

Long-term portion of notes payable	$	—

As of June 30, 2014, principal payments on the notes payable are as follows:

2014	$	6,349
2015		2,765
2016		—
2017		—
2018		—
Thereafter		—

	$	9,114

The unsecured note payable in the table above and as reflected table below in the December 31, 2013, note payable balance resulted from conversion of a vendor payable dating back to February 2011. The note payable was restructured once in June 2012 to reduce the monthly payments and to extend the maturity.

Notes payable consists of the following as of December 31, 2013:

Promissory note payable, unsecured, bearing interest at 5% simple interest per annum, due in weekly principal and interest payments of $250, maturing on March 10, 2015.	$	15,305

Less amounts due within one year		12,540

Long-term portion of notes payable	$	2,765