Subsequent Events

12 Months Ended

Jan. 03, 2015

Subsequent Events [Abstract]

Subsequent Events

On January 28, 2015, the Company awarded 350,000 shares of common stock to consultants for certain investor relations services to be provided.

On February 25, 2015, the Board of Directors (the “Board”) appointed Stephen Allen, a current Board member, to serve as Chairman of the Board.  Mr. Allen remained on the Board’s Compensation Committee and chairperson of the Board’s Nominating and Corporate Governance Committee.

Also on February 25, 2015, Michael Brauser and Barry Honig, who were Co-Chairmen of the Board of Directors (the “Board”) of the Company, resigned from the Board.  Mr. Brauser’s and Mr. Honig’s resignations were not a result of any disagreements with the Company’s operations, policies or practices.  At the time of resignation, Mr. Brauser and Mr. Honig held following unvested securities of the Company:

· Michael Brauser – 26,667 stock options at an exercise price of $1.25 per share; 250,000 shares of restricted stock.

· Barry Honig – 26,667 stock options at an exercise price of $1.25 per share; 250,000 shares of restricted stock.

The Board made a resolution that above unvested securities are immediately vested on the date of resignation.  In addition, the Board made a resolution that all stock options held by Mr. Brauser and Mr. Honig will expire in accordance with their terms as if Mr. Brauser and Mr. Honig remained directors of the Company.