Time to dispense with the frivolity and the utter just plain wrong....
As of the last filing for DKAM, there were 86,582,904 shares of common stock issued and outstanding.
Since that ending date of Jan 31, 2009, the following has occurred:
In March 2009 we issued 350,000 shares of Company stock in consideration for settlement of a Note Payable in the amount of $500,000 . This is a huge deal for DKAM. $500K settled for about $70K. (Get your calculators out. Toes aren't enough in this case. 350K +)
On March 12, 2009 the Company granted an aggregate of 5,812,000 options under its 2008 Stock Incentive Plan to various employees, the directors of the Company, and to a consultant to the Company. (Plus zero...no shares issued)
Also on March 12, 2009 the Company granted 1,175,000 shares of its common stock under the Plan to several of its employees as consideration for past services they have performed for the Company. (Never hit the balance sheet before now...and they took shares. Go team! +1,175,000)
On March 1, 2009 as consideration for extending a note the Company issued the lender 286,623 shares of Company common stock. (Peanuts for free money during the worst economic crisis in this country's history +286,623)
Options are just that...options. They are not issued and outstanding stock. They are restricted and have exercise prices.
The company included $188,000 on its balance sheet for issuing stock under the SIP which completely negates any dilutive factor on this issue. The company did as is proper and recoreded it as non cash employee compensation.
Therefore, as the filing indicates, the company has issued an aggregate 1,811,623 additional shares from those actions where stock was issued exclusive of options related activity, have made offsetting transactions for $188,000 on the issue of those shares, and saved the company $430,000 to pay down a previous debt.
Further, 500,000 shares were issued to a consultant firm and are being amortized over the life of the agreement. (Amortized and equally written off on the balance sheet...no dilution but still added to the OS shares)
Further, there is a limit of 10,000,000 options in the DKAM SIP. To date, 6,987,000 options have been granted and a resulting 1,811,623 shares have been issued to various employees and consultants for services they have performed for the company in the past and have been listed above previously. This has also been included in the current outstanding shares. These shares upon issue, are restricted, and not currently available for sale.
As a provisionary clause to the June 2009 Financing, the company converted 461.73 Series A Preferred Shares into 4,617,250 common shares to five members of the December 2007 Financing that are not outstanding, nor will they be outstanding, unless the price of DKAM stock trades above 35 cents 9 months after the June 2009 Financing closes. To date, that financing has not closed.
The company issued 600,000 shares to CEOCast in consideration for services performed. (To date, they have been present and involved more than any IR firm to date)
Therefore, as of this date, DKAM has issued and outstanding, per their SEC filings and subsequent 8-K filings, 89,494,527 shares. The company has saved shareholders $430,000 and amortized an additional 500,000 shares, as well as properly recording the offsetting transactions on its balance sheet to adequately reflect the issuance of shares.
AI
