Supplemental disclosures of Cash Flow Information

3 Months Ended

Sep. 30, 2011

Notes to Financial Statements

Supplemental Disclosures of Cash Flow Information

Supplemental Disclosures of Cash Flow Information and Non-Cash Transactions 

During the three months ended September 30, 2010, we issued the following restricted shares of our common stock for the reasons and values identified below.

	Shares		Value
Issued to outside board of directors for accrued director fees		133,334	$	76,000
Issued to management for accrued salaries		212,963	$	121,389
Issued to consultants for accrued consulting fees		51,919	$	29,594

The values we recorded for the settlement of accrued payables and director fees payable were at the “last sale” market price for free-trading shares of our common stock on the date our Board of Directors approved the issuances, which was $0.57 per share. The difference between the market price and settlement value was booked to additional paid in capital, since all parties were affiliates of the Company.