NOTE PAYABLE

9 Months Ended

Sep. 30, 2015

Notes to Financial Statements

NOTE PAYABLE

On July 15, 2010, the Company issued a convertible promissory note in the amount of $1,000,000 to FIHK's prior shareholders to execute the Shares Exchange Agreement between the Company and FIHK. The outstanding principal amount of this Note, together with all accrued and unpaid interest due thereunder, is convertible into Six Million and Eight Hundred Thousand (6,800,000) shares of the Company's common stock. The note bears a 10% annual interest rate and its principal and accrued interest are due on June 3, 2015 or on such earlier date that the note is converted.

On September 15, 2012, the note holder ("original holder") transferred $400,000 of the convertible promissory note and the related interests to 8 individuals ("new holders"), 5 of whom were not the Company's shareholders as of September 30, 2015.

On August 20, 2014, the original holder converted $600,000 of the convertible promissory note and the related interests of $251,836 into 4,080,000 common shares.

On September 29, 2015, the new holders converted $400,000 of the convertible promissory note and the related interest of 84,000 into 2,720,000 common shares. Any accrued and unpaid interests not converted are waived by the new holders.

For the nine months ended September 30, 2015 and 2014, the interest expense for this note was $29,808 and $67,891, respectively.