Grapefruit USA Inc (GPFT)

[TASHI]

Chevyman, the last paragraph of the 8k of 02/04/2008 states:

"The shareholders of the Company will experience dilution as a result of the arrangement, up to 20 million additional shares of the Company's common stock. Mr. Janes will have the same number of shares of common stock in the Company as he had before the arrangement, but will be diluted to the extent that up to an additional 20 million shares of the Company's common stock are issued and outstanding as a result of the private placement. There is no assurance as to the amount or timing of any sales or purchases of shares that may be made under the arrangement, if any."

My perception was that it would be a gradual dilution in order to minimize the effects of applying 20M shares at once. I also thought that if FDA clearance were to come sooner, a rise in pps would benefit I3 by Dean selling shares at a higher rate, thus, more working capital. (?)