It appears that each holder can only sell 1 million shares each between Feb.5th and Feb. 22nd, half of which needs to be sold above .45. So as long as we stay over .09 it doesn't appear there will be any huge dumping before Feb. 22nd. On the schedule B payment schedule they list January 27th as Monday. Monday was the 25th. Unbelievable attorneys making this kind of money screw up a date in which there is to be $1 million dollar payment.
Each Holder may sell shares underlying the Securities per the following schedule:
1) If the Company’s Common Stock is trading below $0.09 per share, there are no restrictions on trading.
2) If the Company’s Common Stock is trading at or above $0.09 per share and below $1.25 per share:
a) From January 27, 2016 to February 1, 2016 – Other than the conversion permitted below, none of the Preferred Stock, Warrants and Notes held by the Holders may be converted, exercised, transferred or sold.
b) At any time after February 1, 2016 – Each of _______ and _________ can convert or exercise Preferred Stock, Notes or Warrants and receive but not sell up to 1,000,000 shares of Common Stock each (the “Converted Shares”).
c) After February 5, 2016 – Each of _____ and _______ can sell up to (i) 500,000 of the Converted Shares without volume restriction at or above $0.16 per share and (ii) up to an additional 500,000 of the Converted Shares at or above $0.45 per share.
d) After February 22, 2016 – Any of the remaining Converted Shares can be sold by each of _______ and ______ without volume restriction at or above $0.16 per share
3) If the Company’s Common Stock is trading above $1.25 per share, there are no restrictions on sales.
4) Notwithstanding the restrictions contained in item 2 above, in the event the aggregate dollar volume of trading in Company Common Stock as measured beginning February 1, 2016 exceeds $8 million, each of the Holders can trade no more than 10% of the average daily dollar volume without restriction at or above $0.16 per share.
