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Subsequent Events
6 Months Ended
Dec. 31, 2014
Subsequent Events  
Subsequent Events

9.    SUBSEQUENT EVENTS

 

Management has evaluated subsequent events according to the requirements of ASC TOPIC 855, and has reported the following events:

 

On January 5, 2015, the Company entered into a convertible promissory note (the “January 2015 Note”) in the amount of $250,000, at which time an initial advance of $30,000 was received to cover operational expenses. The lender advanced an additional $45,000 on January 20, 2015, an additional $45,000 on February 2, 2015, for a total draw of $120,000. The terms of the January 2015 Note allow the lender to convert all or part of the outstanding balance plus accrued interest, at any time after the effective date, at a conversion price of the lower of (a) $0.015 per share, or (b) 50% of the lowest trade price of Common Stock recorded on any trade day after the effective date of the agreement. The January 2015 Note bears interest at a rate of 10% per year and matures 18 months from the effective date of each advance.

 

On February 3, 2015, the Company granted 63,000,000 non-qualified stock options at a strike price of $0.0131. The options vest 1/36th monthly and expire February 3, 2022.