Quarterly report pursuant to Section 13 or 15(d)

NOTE 7: EQUITY TRANSACTIONS

v3.7.0.1
NOTE 7: EQUITY TRANSACTIONS
6 Months Ended
Jun. 30, 2017
Stockholders' Equity Note [Abstract]  
Stockholders' Equity Note Disclosure [Text Block]
NOTE 7: EQUITY TRANSACTIONS

Common Stock

During the six months ended June 30, 2017, the Company issued a total of 29,403,968 shares of common stock for the conversion of $1,936,687 in convertible note principal and accrued interest.

During the six months ended June 30, 2017, the Company issued 1,000,000 shares of common stock for a debt transfer expense valued at $127,400.

During the six months ended June 30, 2017, the Company issued 1,000,000 shares of common stock for conversion of $99,970 in related party short-term notes payable and recognized $27,430 loss on settlement of related party note payable.

During the six months ended June 30, 2017, the Company issued a total of 8,000,000 shares of common stock for a total of $1,000,000 in accrued wages to two officers and directors.

Common Stock Options

A summary of common stock option activity for the six months ended June 30, 2017 is as follows:

 
       
Weighted
   
Weighted
 
 
       
Average
   
Average
 
 
 
Options
   
Exercise Price
   
Remaining Term
 
Outstanding - December 31, 2016
   
685,713
   
$
4.52
     
2.62
 
Granted
   
-
     
-
     
-
 
Expired
   
-
     
-
     
-
 
Exercised
   
-
     
-
     
-
 
Outstanding – June 30, 2017
   
685,713
   
$
4.52
     
1.22
 
 
                       
Exercisable – June 30, 2017
   
685,713
   
$
4.52
     
1.22
 

The intrinsic value of the exercisable options as of June 30, 2017 was $0.

Common Stock Warrants

The following table presents the common stock warrant activity during the six months ended June 30, 2017:

 
       
Weighted
   
Weighted
 
 
       
Average
   
Average
 
 
 
Warrants
   
Exercise Price
   
Remaining Term
 
Outstanding - December 31, 2016
   
7,314,423
   
$
0.60
     
3.12
 
Granted
   
72,497
     
0.15
     
4.99
 
Forfeited/expired
   
(38,571
)
   
1.75
     
-
 
Exercised
   
-
     
-
     
-
 
Outstanding – June 30, 2017
   
7,348,349
   
$
0.40
     
2.66
 
 
                       
Exercisable – June 30, 2017
   
7,348,349
   
$
0.40
     
2.66
 

The intrinsic value of the exercisable warrants as of June 30, 2017 was $2,306,410.