DISCONTINUED OPERATIONS

12 Months Ended

Jun. 30, 2013

Notes to Financial Statements

DISCONTINUED OPERATIONS

On September 26, 2011, the Company agreed to transfer all membership units owned in its two wholly-owned subsidiaries, MojoRepublik, LLC and LiveBrew.com, LLC, to a former officer of the Company who is also the Company’s former majority stockholder, in consideration for the cancellation of all outstanding promissory notes held by the former officer and the assumption of other liabilities related to the subsidiaries. The former officer agreed to cancel and/or assume a total of $364,721 which included accounts payable, accrued interest and notes payable. The former officer also received fixed assets which had no carrying value on the date of sale as well as the bank account of one subsidiary with cash of $364. The Company did not recognize a gain on the transaction and recognized the net book deficiency of the subsidiaries sold as an increase in the Company’s additional paid-in-capital of $364,357.

On August 26, 2013, the Company made the decision to abandon the contract for the website MeAndMic.com. The operation pertaining to this business plan has been discontinued, and the related operating results have been reflected as discontinued operations.

In accordance with ASC 205, “Presentation of Financial Statements”, all results of operations related to the subsidiaries and the contract for the website MeAndMic.com, have been reclassified to loss from discontinued operations. Historical operations related to discontinued operations have also been retroactively reclassified to loss from discontinued operations to be presented separately from results of operations from continuing operations. The statements of cash flows have been retroactively reclassified to separate cash flow activity into cash flows from continuing operations and cash flows from discontinued operations.

Asset of discontinued operations consisted of the following as of June 30, 2013 and 2012:

	June 30,		June 30,
	2013		2012
Intangible asset	$	—	$	2,218
Asset of discontinued operations	$	—	$	2,218

Loss from discontinued operations consisted of the following for the years ended June 30, 2013 and 2012:

						From Inception
						on September 10,
	For the Year Ended		For the Year Ended			2007 Through
	June 30,		June 30,			June 30,
	2013		2012			2013
Revenues from discontinued operations	$	—	$	—		$	8,523
OPERATING EXPENSES
Professional fees		5,899		10,821			72,715
General and administrative		3,549		422			113,401
Impairment of intangible asset		1,765		—			1,765
Total operating expenses of discontinued operations		11,213		11,243			187,881
OTHER INCOME AND EXPENSES
Other income		—		—			104
Interest expense		—		(1,094	)		(14,700	)
Total other income and expense from discontinued operations		—		(1,094	)		(14,596	)
LOSS FROM DISCONTINUED OPERATIONS	$	(11,213)	$	(12,337	)	$	(193,954	)