STOCKHOLDERS' EQUITY (Tables)

9 Months Ended

Oct. 31, 2013

Stockholders Equity Tables

Fair value of the option grant

The fair value of the option grant estimated on the date of grant uses the Black-Scholes option-pricing model with the following weighted-average assumptions:

	July 30, 2011
Expected option life (year)		8
Expected volatility		58.62	%*
Expected dividends		0.00	%
Risk-free rate(s)		2.32	%

* As a thinly traded public entity, it is not practicable for it to estimate the expected volatility of its share price. The Company selected two (2) comparable companies to calculate the expected volatility.  The Company calculated two (2) comparable companies’ historical volatility over the expect life of the share options of eight (8) years and averaged the two (2) comparable companies’ historical volatility as its expected volatility.

Stock option activities

The table below summarizes the Company’s stock option activities through October 31, 2013:

	Number of Option Shares		Exercise Price Range Per Share		Weighted  Average Exercise Price		Fair Value at Date of Grant		Aggregate Intrinsic Value
Balance, January 31, 2013		8,000,000	$	0.10	$	0.10	$	504,024	$	-
Granted		-		-		-				-
Canceled		-		-		-				-
Exercised		-		-		-				-
Expired		-		-		-				-
Balance, October 31, 2013		8,000,000	$	0.10	$	0.10	$	504,024	$	-
Vested and exercisable, October 31, 2013		2,000,000	$	0.10	$	0.10		-	$	-
Unvested, October 31, 2013		6,000,000	$	0.10	$	0.10		-	$	-