Related Party Disclosures

3 Months Ended

Jun. 30, 2012

Related Party Disclosures

Related Party Transactions Disclosure [Text Block]

 (4) Related Party Transactions

The Company has received some of its working capital from its founder, Jerett A. Creed. These costs have been carried as a shareholder loan accruing interest at the rate of 5% per annum. On January 4, 2010, Mr. Creed converted $50,000 of his outstanding shareholder loan balance in exchange for 11,000,000 shares of the Company's common stock. There was no compensation or interest expense included in the conversion. The amounts due at June 30, 2012, including accrued interest, amounted to $0.  Interest expense charged to operations for the three months ended June 30, 2012 and 2011 amounted to $790 and $639 respectively. Interest expense charged to operations for the six ended June 30, 2012 and 2011 amounted to $916 and $1,363 respectively. During the second quarter of 2012, 57,519 shares were sold to affiliates and family members of the Company’s management.