Note (2) Discontinued Operation and Deconsolidation of Held Subsidiary

3 Months Ended

Mar. 31, 2016

Notes

Note (2) Discontinued Operation and Deconsolidation of Held Subsidiary

Note (2) Discontinued Operation and Deconsolidation of Held Subsidiary

The Company follows the policy of segregating the assets and liabilities of subsidiaries or lines of business on its Balance Sheet from the assets liabilities of continuing subsidiaries or lines of businesses when it is decided to close or dispose of a subsidiary or line of business. The Company also, follows the policy of separately disclosing the assets and liabilities and the net operations of a subsidiary or line of business in its financial statements when it is decided to close or dispose of a subsidiary or line of business.

On August 28, 2015, the Company entered into a separation agreement with BreedIT Ltd., the Company's majority-owned subsidiary ("BreedIT Israel"), in which the company agreed that its Equity Interest shall be diluted from sixty-six and two-thirds (66 2/3%) percent to nineteen (19%) percent. Accordingly BreedIt Ltd. is no longer consolidated, a $6,780 gain was recorded on deconsolidation and the remaining 19% of investment written off during deconsolidation.

As a result of entering into the Separation Agreement, the operations of BreedIt Ltd. have been classified as Discontinued Operations on the Statement of Operations. The components of Discontinued Operations summarized on the Statement of Operations arising from the decision to separate from BreedIt Ltd. are as follows:

		For the three		For the three
		months ended		months ended
		March 31, 2016		March 31, 2015
Revenues	$	-	$	41,762
Expenses
Research and development		-		5,161
General and administrative		-		(199,969)
Total operating expenses		-		(153,046)
(Loss) from operations		-		(153,046)
Other income (expense)		-		-
Financial income (expense)		-		-
Net loss	$	-	$	(153,046)
Assets:
Cash		-		17,906
Other assets		-		49,309
Total assets held for sale		-		67,215
Liabilities:
Accounts payable		-		39,393
Total liabilities related to assets held for sale		-		39,393