Shareholders' Equity

6 Months Ended

Aug. 31, 2019

Stockholders' Equity Note [Abstract]

SHAREHOLDERS' EQUITY

NOTE 6 – SHAREHOLDERS' EQUITY (restated)

Common Stock

During the six months ended August 31, 2019, the Company issued 1,688,223 shares of common stock for $480,076, of which 1,030,385 was issued in satisfaction of amounts owed to Cipora Lavut of $329,723, and 658,015 shares were issued for cash in the amount of $150,353, including the issuance of an aggregate 10,000 warrants to three investors, immediate vesting, an exercise price of $1.40, and a 5-year term.

During the six months ended August 31, 2018 (restated), the Company issued 7,364,735 shares of common stock, valued at $2,280,964 to BetterSea LLC, a greater than 15% shareholder as part of a restructuring agreement in fulfillment of a contractual obligation. The issuance of the shares was previously reported by the Company.

During the six months ended August 31, 2018, the Company issued 742,857 warrants to member of its board of directors. The warrants have a term of five years and an exercise price of $1.40. The Company recorded and expense of $312,072 for the issuance of these warrants. During the six months ended August 31, 2018, the Company re-priced to $1.40 all outstanding employee stock options and warrants that had a previous exercise price greater than $1.40. The Company recorded an expense of $105,352 as a result of the re-pricing.

Employee Stock Options

The 2006 Employee Stock Option Plan

In September 2006, our Board of Directors adopted the 2006 Employee Stock Option Plan, subject to shareholder approval, which was obtained at a special shareholders meeting in 2009. Under the 2006 Plan, the Company may grant options for up to the greater of Three Million (3,000,000) or 10% of the number of shares of the Common Stock of Aura from time to time outstanding. The shares of Common Stock available under the 2006 Plan was increased to the greater of Ten Million shares (10,000,000) or 15% of the number of shares of Common Stock of Aura from time to time outstanding at the October 2011 shareholders meeting. The exercise price of each option shall be at least equal to the fair market value of such shares on the date of grant. The term of the options may not be greater than ten years, and they typically vest over a three-year period. No options were issued during the three-month period ended August 31, 2019. Activity in the plan for the six-month period ended August 31, 2019 is as follows:

						Weighted
	Number of			Exercise		Average Intrinsic
	Shares			Prices		Value
Outstanding, February 28, 2019		647,000		$	1.40	$	-
Granted		-			-		-
Exercised		-			-		-
Cancelled		(75,000	)		1.40		-
Outstanding, August 31, 2019		572,000		$	1.40	$	-

Information regarding the options outstanding and exercisable as of August 31, 2019 follows:

Options Outstanding

Exercisable Options

Weighted

Weighted

Weighted

Weighted

Range of

Average

Average

Average

Average

Exercise

Remaining

Exercise

Remaining

Exercise

Price

Number

Life

Price

Life

Number

Price

$

1.40

572,000

.5 Yr

$

1.40

.5 Yr

572,000

$

1.40

The 2011 Director and Executive Officers Stock Option Plan

In October 2011 shareholders approved the 2011 Director and Executive Officers Stock Option Plan at the Company's annual meeting. Under the 2011 Plan, the Company may grant options for up to 15% of the number of shares of Common Stock of the Company from time to time outstanding. Pursuant to this plan, the Board or a committee of the Board may grant an option to any person who is elected or appointed a director or executive officer of the Company. The exercise price of each option shall be at least equal to the fair market value of such shares on the date of grant. The term of the options may not be greater than five years. Activity in the plan for the six-month period ended August 31, 2019 is as follows:

Warrants

Activity in issued and outstanding warrants is as follows:

	Number of			Exercise
	Shares			Prices
Outstanding, February 28, 2019		7,490,987		$	1.40
Granted		10,000			1.40
Exercised		-			-
Cancelled		(85,714	)		-
Outstanding, August 31, 2019		7,415,273		$	1.40

Information regarding the warrants outstanding and exercisable as of August 31, 2019 follows 

Range of Exercise Price		Stock Warrants Outstanding		Stock Warrants Exercisable		Weighted Average Remaining Contractual Life		Weighted Average Exercise Price of Warrants Outstanding		Weighted Average Exercise Price of Warrants Exercisable
$	1.40		7,415,273		7,415,273		3.0 Yrs.	$	1.40	$	1.40