STOCK OPTIONS

Options

As of September 30, 2014, 250,000 non-qualified stock options common stock to a contractor were outstanding. Each option shall be exercisable to the nearest whole share, in installments or otherwise, as the respective agreements may provide. Notwithstanding any other provisions of the Option agreement, each Option expires on the date specified in the Option agreement, which date shall not be later than the fifth (5^th) anniversary from the grant date of the options. The stock options are fully vested and are exercisable for a period of five years from the date of grant at an exercise price $0.04 per share.

A summary of the Company’s stock option activity and related information follows:

			Weighted
	Number		average
	of		exercise
	Options		price
Outstanding, beginning of period		250,000	$	0.04
Granted		-		-
Exercised		-		-
Forfeited/Expired		-		-
Outstanding, end of period		250,000	$	0.04
Exercisable at the end of period		250,000	$	0.04
Weighted average fair value of options granted during the period			$	-