NOTE 2 - RESTATEMENT OF FINANCIAL STATEMENTS (Tables)

3 Months Ended

Mar. 31, 2013

Notes to Financial Statements

Original amounts and restated amounts

As of June 30, 2014

	Original			Adjustment			Restated
Derivative liability	$	75,722		$	761,767		$	837,489
Additional paid in capital	$	32,220,773		$	(911,177	)	$	31,309,596
Accumulated deficit	$	(36,243,863	)	$	149,410		$	(36,094,453	)

For the six months ended June 30, 2014

	Original			Adjustment			Restated
Option expenses	$	1,186,310		$	(1,119,859	)	$	66,451
Gain (loss) on change in fair value of derivative liability	$	(158,204	)	$	3,463		$	(161,667	)
Net (loss)		(1,984,965	)		1,116,396			(868,569	)
Weighted average loss per share	$	(0.02	)	$	0.01		$	(0.01	)

For the three months ended June 30, 2014

	Original			Adjustment			Restated
Gain (loss) on change in fair value of derivative liability	$	(87,031	)	$	(173,170	)	$	(260,201	)
Net (loss)		(305,454	)		(173,170	)		(478,624	)
Weighted average loss per share		**		$	(0.01	)	$	(0.01	)

Statement of Equity as of January 1, 2014

	Original			Adjustment			Restated
Additional paid in capital	$	30,078,730		$	208,682		$	30,287,412
Accumulated deficit	$	(34,258,898	)	$	(966,986	)	$	(35,225,884	)