LONG-TERM CONVERTIBLE NOTES PAYABLE

12 Months Ended

Dec. 31, 2014

LONG-TERM CONVERTIBLE NOTES PAYABLE:

LONG-TERM CONVERTIBLE NOTES PAYABLE

11 LONG-TERM CONVERTIBLE NOTES PAYABLE

Long Term Convertible Notes payable consisted of the following as of December 31, 2014 and 2013, respectively:

Description	InterestRate			Maturity		December 31,2014			December31,2013
Notes payable		6	%		November 19, 2017	$	11,250		$	388,875
Accrued interest							1,470			95,124
Unamortized debt discount							(6,500	)		(302,480	)
Total long-Term Convertible Notes Payable						$	6,220		$	181,519

The convertible notes payable consist of notes issued to a number of private principals (“the Notes”). The Notes bear interest at the rate of 6% per annum and are due on November 19, 2017. The Notes are convertible into common stock at a fixed conversion price of $0.02 per share.

Effective April 1, 2014, convertible notes with an aggregate principal amount of $349,500 inclusive of interest thereon of $97,202 totaling $446,702 was converted into 22,335,124 common shares at a conversion price of $0.02 per share.

On December 31, 2014, a convertible note with an aggregate principal amount of $28,125, inclusive of interest of $3,578, totaling $31,703 was converted into 1,585,171common shares at a conversion price of $0.02 per share.

Subsequent to year end, On February 6, 2015, the remaining convertible note with an aggregate principal amount of $11,250, inclusive of interest of $1,539, totaling $12,789 was converted into 639,432 common shares at a conversion price of $0.02 per share.