STOCK OPTIONS

9 Months Ended

Nov. 30, 2012

Stock Options

Note 4. STOCK OPTIONS

During January 2012, the Company issued options to purchase 1,116,500 shares of common stock at $0.68 per share to its President, members of its scientific advisory board and several consultants involved in the Company’s ongoing research related to cancer. All of the options except for 220,000 vest immediately and expire on January 6, 2022. These options have a fair value of $611,250, as calculated using the Black-Scholes model. Assumptions used in the Black-Scholes model included: (1) a discount rate of 1.98%; (2) an expected term of 10 years; (3) an expected volatility of 403%; and (4) zero expected dividends.

The following table summarizes common stock options issued and outstanding:

	Options		Weighted average exercise price		Aggregate intrinsic value		Weighted average remaining contractual life (years)
Outstanding at February 29, 2012		1,116,500	$	0.68	$	2,052,976		9.86
Granted		-		-		-		-
Exercised		-		-		-		-
Forfeited		-		-		-		-
Expired		-		-		-		-
Outstanding at November 30, 2012		1,116,500	$	0.68	$	2,678,905		9.11

As of November 30, 2012, 1,116,500 options were exercisable at $0.68 per share with a weighted average life of 9.11 years.