PRIVATE PLACEMENT OFFERING (Tables)

12 Months Ended

Dec. 31, 2015

Private Placement Offering Tables

Allocated to the instruments as follows

Warrant liabilities	$	141,027
Redeemable and Convertible Preferred Stock		1,388,367
Common Stock		470,706
Total allocated gross proceeds:	$	2,000,100

Warrants

2014 Extension of Warrant Terms

Average risk-free interest rate	0.10	%
Average expected life- years	1
Expected volatility	56.64	%
Expected dividends	4.01	%

2015 Extension of Warrant Terms

Average risk-free interest rate	0.71	%
Average expected life- years	2
Expected volatility	49.01	%
Expected dividends	4.01	%

Assumptions for the valuation of the fair value of the warrant liability

	2015					2014
	Number of warrants			Weighted average exercise price		Number of warrants			Weighted average exercise price
Balance at January 1		6,909,000		$	0.15		6,909,000		$	0.15
Issued during the year		-		$	-		-		$	-
Exercised during the year		-		$	-		-		$	-
Extended warrant terms		6,909,000		$	0.15		6,909,000		$	0.15
Expired during the year		(6,909,000	)	$	0.15		(6,909,000	)	$	0.15
Balance at December 31		6,909,000		$	0.15		6,909,000		$	0.15