Find the lowest trading price in the last 20 trading days...multiply that by 0.7 and then divide that into $47,850 and that will be the number of shares they could get today for one of those notes. When the stock was at $0.0001 they were getting stock issued as low as $0.000034. There are usually clauses for default that kick in a ridiculous discount...so obviously some notes were in default.
But here is the kicker...as of the last financial filing they still had close to $1 million of convertible debt on the books.
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