4. LIABILITIES On November 30, 2011 the Company entered into an Installment Promissory Note (Note 1) with Magsamen Consulting, LLC in the principal sum of $195,000 without interest, as settlement of a default judgment. The initial payment of $20,000 was also paid on November 30, 2011, with an additional payment of $25,000 due on or before March 3, 2012 then quarterly payments of $18,750 thereafter, beginning June 15, 2012. On February 20, 2011 the Company entered into a Promissory Note (Note 2) as settlement of an old accounts payable amount incurred prior to 2008. The principal amount of Note 2 is $487,773 with interest at 8% per annum. As of December 31, 2011 the Company had not made any payments. 2011 2010 Land $ 67,400 $ 67,400 Buildings and improvements 1,058,034 1,058,034 Transportation Equipment 384,566 342,066 Furniture, Fixtures, Computer equipment and purchased software 792,372 792,372 Less: accumulated depreciation (3,647,164) (3,494,559) $ 454,078 $ 564,183 On March 26, 2010 the Company’s wholly owned subsidiary, Northeast Expedite Logistics, LLC (NEEL) entered into a Promissory Note (Note 3) for various cash advances received from a related party totaling $114,200 with interest at the rate of 20%.
Like I said. I don't think they are hiding anything.