Let's just close our eyes and pretend that this doesn't exist:
Our Articles of Incorporation authorize 10,000,000,000 shares of common stock, of which 9,942,223,868 shares of common stock are issued and outstanding as of December 31, 2016, and 10,000,000 shares of preferred stock, of which 5,000,000 shares were issued as Series A Preferred Stock and then converted into common stock and retired and of which 5,000,000 remain unissued and undesignated. The Company may also be obligated to issue an additional 114,889,067,758 shares of common stock including shares of common stock issuable upon exercise of options and warrants and excluding shares of common stock issuable upon conversion of convertible notes. There is no assurance that the Company will ever have enough authorized shares of common stock to honor the exercise and conversion requests of its options and warrants.
We can sell additional shares of common stock or securities convertible into shares of common stock, without consulting stockholders and without offering shares to existing stockholders, which would result in dilution of existing stockholders’ interests in our company and could depress our stock price.
