NOTE 2 — GOING CONCERN

As of June 30, 2016, the Company has negative working capital of approximately $9.9 million, has a capital deficit of approximately $6.2 million, and has incurred cumulative net losses from its inception of approximately $29 million. These circumstances raise substantial doubt as to the Company’s ability to continue as a going concern. In response to this uncertainty, Management has taken certain measures in 2015 and to date in 2016 and has plans for the remainder of 2016 and beyond, with the objective of alleviating this concern. They include the following:

•	Subsequent to June 30, 2016, the Company received gross proceeds of approximately $9.1 million upon closing the Offering.

•	In order to meet customers’ needs for consumer products, the Company is continuing to develop new products to complement existing products and expand overall product offerings, with the objective of increasing revenue and gross profit percentages. The Company will be introducing additional new action sports cameras in 2016.

While the Company believes it will be successful in obtaining the necessary financing to fund its operations, there are no assurances that such additional funding will be achieved and that it will succeed in its future operations. The financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts of liabilities that might be necessary should the Company be unable to continue in existence.