5. STOCKHOLDERS EQUITY (Tables)

9 Months Ended

Sep. 30, 2013

STOCKHOLDERS' EQUITY (DEFICIT)

A Summary Of The Status Of The Warrants Granted

For the Nine Months Ended September 30, 2013
	Shares		Weighted Average Exercise Price
Outstanding at beginning of period		12,099,968	$	0.65
Granted		7,115,544		0.15
Exercised		1,539,769		0.02
Forfeited		375,000		0.09
Expired		375,000		1.00
Outstanding at end of period		16,925,743	$	0.38

Schedule of warrants by warrant price range

		As of September 30, 2013						As of September 30, 2013
		Warrants Outstanding						Warrants Exercisable
Range of Exercise Prices		Number Outstanding		Weighted-Average Remaining Contract Life		Weighted- Average Exercise Price		Number Exercisable		Weighted-Average Exercise Price
$	0.06		4,500,000		5.0	$	0.06		4,500,000	$	0.06
	0.08		550,000		4.4		0.08		550,000		0.08
	0.09		1,125,000		4.6		0.09		750,000		0.09
	0.15		1,571,300		3.9		0.15		1,571,300		0.15
	0.25		120,000		2.1		0.25		120,000		0.25
	0.40		1,299,999		1.0		0.40		1,299,999		0.40
	0.44		1,515,544		2.9		0.44		1,515,544		0.44
	0.50		2,614,450		0.7		0.50		2,614,450		0.50
	0.60		975,000		3.0		0.60		975,000		0.60
	0.75		120,000		2.1		0.75		120,000		0.75
	1.00		2,534,450		0.6		1.00		2,534,450		1.00
$	0.06-1.00		16,925,743		2.9	$	0.38		16,550,743	$	0.38

Schedule of option activity

For the Nine Months Ended September 30, 2013
	Options		Weighted Average Exercise Price
Outstanding at beginning of period		5,043,500	$	0.15
Granted		-		-
Exercised		-		-
Forfeited		1,100,000	$	0.15
Expired		-		-
Outstanding at end of Period		3,943,500	$	0.15

Schedule of options by option price range

		As of September 30, 2013						As of September 30, 2013
		Stock Options Outstanding						Stock Options Exercisable
Exercise Price		Number Outstanding		Weighted-Average Remaining Contract Life		Weighted- Average Exercise Price		Number Exercisable		Weighted-Average Exercise Price
$	0.15		3,943,500		3.89		0.15		3,510,165	$	0.15