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Acquisition of Hocks
3 Months Ended
Mar. 31, 2012
Notes to Financial Statements  
Acquisition of Hocks

 

8. Acquisition of Hocks

On February 14, 2011, Hocks Acquisition Corporation (“Hocks Acquisition”), the Company’s wholly-owned subsidiary, entered into an Asset Purchase Agreement (the “Asset Purchase Agreement”) with Hocks Pharmacy Inc., an Ohio corporation (“Hocks Pharmacy”) and its stockholders.  Under the Asset Purchase Agreement, Hocks Acquisition purchased all of the inventory and fixed assets (the “Purchased Assets”) owned by Hocks Pharmacy and used in the operation of its internet pharmacy business (the “Internet Business).  The Internet Business consists primarily of the internet sale of over-the-counter health and medical products and supplies.
 
During the three months ended March 31, 2011, for the months of February and March, the Company recognized $636,204 of revenue generated by Hocks.com.
 
The following table presents the unaudited pro-forma combined results of operations of the Company and Hocks.com for the three months ended March 31, 2011 as if Hocks.com had been acquired at the beginning of that period.
 
   
For the three months 
ended March 31, 2011
(unaudited)
 
       
       
Revenue
  $ 2,618,506  
         
Net loss
  $ (1,078,476  
         
Pro-forma basic and diluted net loss per common share
  $ (0.10 )
 
       
Weighted average common shares outstanding – basic and diluted
    10,653,713