Alternative Energy Partners Inc (AEGY)

[I-Glow]

Actually, AEGY has filed another false and misleading 8-K - when they stated the SKTO O/S was only 697 million.

At the date of this Agreement, approximately 697,106,135 shares of SKTO Common Stock were issued and outstanding, all of which are duly authorized, validly
issued, fully paid and non - assessable and none of which were issued in violation of any preemptive rights

From the SKTO financials we have the following:

As a result of the acquisitions and note conversions, there were a total of 539,990,303 common shares issued at June 30, 2013, as follows:

Shares issued at March 31, 2013 362,050,303
Shares issued on conversion of notes 137,940,000
Shares issued for acquisitions 40,000,000
Total shares issued and outstanding at June 30, 2013 539,990,303

Uh Oh, Houston I think we are headed for a problem.

But we still have the little issue of the Crystal Falls $4000 notes being converted into:

Under the terms of the settlement, Crystal Falls and Lotus Capital agreed not to pursue threatened litigation against the Company, and to cancel the two promissory notes and accrued interest in the name of Crystal Falls, in exchange for 53,000,000 shares of common stock issued in July, 2013, and an additional 117,000,000 common shares to be issued commencing October 1, 2013

In July 2013 SKTO issued Crystal Falls 53,000,000 shares.

So let's break out the calculator and see what we have:

539,990,303 + 53,000,000 = 592,990,303 shares in the O/S.

But SKTO still owes Crystal Falls 117,000,000 more shares.

On October 1, 2013 SKTO issued Crystal Falls another 57,000,000 shares per the agreement.

So now we have the following O/S as of 10/01/2013:

592,990,303 + 57,000,000 = 649,990,303 shares in the O/S but the bad news is that we have more.

On January 01, 2014 SKTO owes Crystal Falls another 57,000,000 shares.

So on 01/01/2014 the O/S is now:

649,990,303 + 57,000,000 = 706,990,303 shares in the O/S.

But wait there is much more - from the financials we have the following:

the balance due to CFOs to Go, Inc. was converted into a convertible promissory note, in the amount of $144,400, due December 31, 2013. In January, 2013, CFOs to Go, Inc. merged with and into Matriarch Management, Inc. and Matriarch thereafter assigned the note balance to six unrelated parties, with six new notes in the principal amounts of $24,067 each issued to replace the old note. In May, 2013, each of the six holders elected to convert $6,897 in principal of each note into 22,990,000 common shares in accordance with the conversion provisions in the original note. The principal balance still due on each of the six notes at September 30, 2013 is $17,170.

As you can see the principal due on each note is $17,170 for a grand total of $103,020.

As we know the conversion rate is a very favorable $0.0003.

That is another 343,400,000 shares to add to the O/S.

Keep in mind from the Crystal Falls calculations there is still 3,000,000 shares added to the O/S on 04/01/2014 plus another 8,500,000 shares for the Crystal Falls legal expenses.

We haven't even looked at the iEquity 60% of the common shares to be added to the O/S.

As anyone can see SKTO doesn't know how to read their own fabricated financials.

The SEC will love to see the O/S explained in such detail.

IG