No revs. No employees. Yet......
RESULTS OF OPERATIONS
THREE MONTHS ENDED SEPTEMBER 30, 2015 COMPARED WITH THE THREE MONTHS ENDED SEPTEMBER 30, 2014
REVENUES
For the three months ended September 30, 2015 and 2014, we had no revenues. We are completely dependent upon the willingness of our management to fund our operations by way of loans or advances from our Chief Executive Officer, shareholders and others.
OPERATING COSTS
Compensation was $504,352 for the three months ended September 30, 2015, compared to $0 for the three months ended September 30, 2014. The increase in compensation is due to employment contracts with three executives and a consulting agreement with a shareholder entered into during 2015. Pursuant to the terms of these agreements, total annual compensation for services is $396,000. The executive or shareholder have the option to accept shares of the Company’s common stock in lieu of cash based on a 50% discount to the average stock price, as defined. For the three months ended September 30, 2015, the Company recorded $504,352 of compensation related to these agreements, which included $99,000 for accrual of annual compensation with the balance reflecting the value of the options to be paid in shares of common stock. At September 30, 2015, the executives and shareholder had the option to be paid in 800,045 shares of the Company’s common stock valued at $792,045
You can lead a horse to water. But you can't make him get down on one knee and do an Al Jolson impression!
