----

----

| Nevada                                              | 88-0456274                                |
|-----------------------------------------------------|-------------------------------------------|
| (State      or other jurisdiction of incorporation) | (I.R.S.      Employer Identification No.) |
|                                                |                                      |
| 2121      Sage Road, Suite 200, Houston, Texas      | 77056                                     |
| (Address      of principal executive offices)       | (Zip      code)                           |

| Large      accelerated filer o | Accelerated      filer o                         |
|--------------------------------|--------------------------------------------------|
| Non-accelerated      filer o   | Smaller      reporting Company  þ |

----

----

|                                                                                                                                                                                                    |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                                                                                    |   |
|                                                                                                                                                                                               |   |   |  October      31, 2009 |   |   |   |  July      31, 2009 |   |
| ASSETS                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
| Current      Assets:                                                                                                                                                                               |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                               |   |   |   |   |   |   |   |   |
| Cash                                                                                                                                                                                               |   | $ | 28,575 |   |   | $ | 3 |   |
| Accounts      Receivable                                                                                                                                                                           |   |   | 2,706 |   |   |   | - |   |
| Other      Current Assets                                                                                                                                                                          |   |   | 11,194 |   |   |   | 8,561 |   |
| Total      Current Assets                                                                                                                                                                          |   |   | 42,475 |   |   |   | 8,564 |   |
|                                                                                                                                                                                               |   |   |   |   |   |   |   |   |
| Furniture,      fixtures and equipment, net                                                                                                                                                        |   |   | 365,709 |   |   |   | 395,338 |   |
| Other      Assets:                                                                                                                                                                                 |   |   |   |   |   |   |   |   |
| Patents,      net                                                                                                                                                                                  |   |   | - |   |   |   | 1 |   |
| Intangibles,      net                                                                                                                                                                              |   |   | 6,568 |   |   |   | 6,568 |   |
|                                                                                                                                                                                               |   |   |   |   |   |   |   |   |
| TOTAL      ASSETS                                                                                                                                                                                  |   | $ | 414,752 |   |   | $ | 410,471 |   |
|                                                                                                                                                                                               |   |   |   |   |   |   |   |   |
| LIABILITIES      AND STOCKHOLDERS' DEFICIT                                                                                                                                                         |   |   |   |   |   |   |   |   |
| Current      Liabilities:                                                                                                                                                                          |   |   |   |   |   |   |   |   |
| Accounts      Payable                                                                                                                                                                              |   | $ | 572,491 |   |   | $ | 432,621 |   |
| Accounts      Payable-Stockholders                                                                                                                                                                 |   |   | 2,576 |   |   |   | 2,594 |   |
| Accrued      Liabilities                                                                                                                                                                           |   |   | 467,492 |   |   |   | 314,964 |   |
| Advances      from Stockholders                                                                                                                                                                    |   |   | 883,343 |   |   |   | 875,081 |   |
| Note      Payable                                                                                                                                                                                  |   |   | 30,000 |   |   |   | 30,000 |   |
| Deferred      Income                                                                                                                                                                               |   |   | - |   |   |   | 1,400 |   |
| Total      Current Liabilities                                                                                                                                                                     |   |   | 1,955,902 |   |   |   | 1,656,660 |   |
|                                                                                                                                                                                               |   |   |   |   |   |   |   |   |
| TOTAL      LIABILITIES                                                                                                                                                                             |   |   | 1,955,902 |   |   |   | 1,656,660 |   |
|                                                                                                                                                                                               |   |   |   |   |   |   |   |   |
| STOCKHOLDERS'      DEFICIT                                                                                                                                                                         |   |   |   |   |   |   |   |   |
| Preferred      stock:                                                                                                                                                                              |   |   |   |   |   |   |   |   |
| Series      A convertible preferred stock, $0.001 par, 2,500,000 shares authorized,      1,378 and 1,378 shares issued and outstanding as of October 31, 2009 and      July 31, 2009, respectively |   |   | 1 |   |   |   | 1 |   |
|  Series      E convertible preferred stock, $0.001 par, 0 and  0 shares      issued and outstanding as of October 31, 2009 and July 31, 2009,      respectively                     |   |   | - |   |   |   | -- |   |
| Common      stock, $0.001 par value, 500,000,000 shares authorized,      371,250,303and      460,664,395 shares issued and outstanding at October 31, 2009 and July 31      2009, respectively     |   |   | 371,250 |   |   |   | 460,664 |   |
| Additional      paid-in capital                                                                                                                                                                    |   |   | 15,798,206 |   |   |   | 14,481,168 |   |
| Deficit      accumulated during development stage                                                                                                                                                  |   |   | (17,710,607 | ) |   |   | (16,188,022 | ) |
|                                                                                                                                                                                               |   |   |   |   |   |   |   |   |
| Total      stockholders' deficit                                                                                                                                                                   |   |   | (1,541,150 | ) |   |   | (1,246,189 | ) |
|                                                                                                                                                                                               |   |   |   |   |   |   |   |   |
| TOTAL      LIABILITIES AND STOCKHOLDERS' DEFICIT                                                                                                                                                   |   | $ | 414,752 |   |   | $ | 410,471 |   |

----

|                                                       |   | Quarter      Ended October 31, |            |   | Quarter      Ended October 31, |   |              | Period      from October 21, 2002 (Inception) To October 31, |   |
|------------------------------------------------------------|--------|--------------------------------|-----------------|--------|--------------------------------|--------|-------------------|--------------------------------------------------------------|--------|
|                                                       |   | 2009                           |            |   | 2008                           |   |              | 2009                                                         |   |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |
| Revenues                                                   |   | $                              | 3,900           |   |                           | $      | -                 |                                                         |   | $ | 3,900 |   |
| Cost      of Revenue                                       |   |                           | 9,057           |   |                           |   | -                 |                                                         |   |   | 23,714 |   |
| Gross      Loss                                            |   |                           | 5,157           |   |                           |   | -                 |                                                         |   |   | 19,814 |   |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| Operating      Expenses:                                   |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| General      & administrative                          |   |                           | 1,153,356       |   |                           |   | 158,746           |                                                         |   |   | 5,831,533 |   |
| Depreciation      and amortization                         |   |                           | 28,779          |   |                           |   | 20,785            |                                                         |   |   | 157,115 |   |
| Professional      fees                                     |   |                           | 135,069         |   |                           |   | 403,497           |                                                         |   |   | 4,347,407 |   |
| Payroll      expenses                                      |   |                           | 273,295         |   |                           |   | 311,470           |                                                         |   |   | 6,153,442 |   |
| Software      Development Expense                          |   |                           |                 |   |                           |   | -                 |                                                         |   |   | 902,824 |   |
| Loss      on disposal of assets                            |   |                           |            |   |                           |   |  -           |                                                         |   |   | 9,855 |   |
| Loss      on impairment of assets                          |   |                           |            |   |                           |   | -                 |                                                         |   |   |  50,591 |   |
| Research      and development                              |   |                           | 21,094          |   |                           |   |  -           |                                                         |   |   | 309,353 |   |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| Total      Operating Expenses                              |   |                           | 1,611,593       |   |                           |   | 894,498           |                                                         |   |   | 17,762,120 |   |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| Loss      from Operations                                  |   |                           |  1,611,593 |   |                           |   | 894,498           |                                                         |   |   | 17,781,934 |   |
| Other      Income (Expenses):                              |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| Gain      on derivatives                                   |   |                           | -               |   |                           |   | -                 |                                                         |   |   | 100,000 |   |
| Gain      on sale of patent                                |   |                           | 95,000          |   |                           |   |              |                                                         |   |   | 95,000 |   |
| Gain      on extinguishment of Accounts Payable            |   |                           |            |   |                           |   | -                 |                                                         |   |   |  84,065 |   |
| Gain      on extinguishment of note                        |   |                           | -               |   |                           |   | -                 |                                                         |   |   | 7,137 |   |
| Interest      income                                       |   |                           |                 |   |                           |   | 1.323             |                                                         |   |   |  3,578 |   |
| Interest      expense                                      |   |                           | (835            | )      |                           |   | (625              | )                                                            |   |   | (218,453 | ) |
| Total      Other Income                                    |   |                           | 94,165          |   |                           |   | 698               |                                                         |   |   | 71,327 |   |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| Loss      Before Income Taxes                              |   |                           | 1,522,585       |   |                           |   | 893,800           |                                                         |   |   | 17,710,607 |   |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| Provision      for Income Taxes                            |   |                           | -               |   |                           |   | -                 |                                                         |   |   | - |   |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| Net      Loss                                              |   | $                              | (1,522,585      | )      |                           | $      | (893,800          | )                                                            |   | $ | (17,710,607 | ) |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| Basic      and diluted                                     |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| Net      loss per common share-basic and diluted           |   |                           |            |   |                           | $      | (0.003            | )                                                            |   | $ | (0.00 | ) |
|                                                       |   |                           |            |   |                           |   |              |                                                         |   |   |   |   |
| Weighted      average shares outstanding-basic and diluted |   |                           | 463,996,587     |   |                           |   | 398,844,984  |                                                         |   |   |   |   |
|                                                       |   |                           |                 |   |                           |   |              |                                                         |   |   |   |   |

----

|                                                                                  |   | Quarter      Ended October 31, |       |   | Quarter      Ended October 31, |   |     | October 21,      2002 (Inception) to October 31, |   |
|---------------------------------------------------------------------------------------|--------|-------------------------------------|------------|--------|-------------------------------------|--------|----------|------------------------------------------------------------|--------|
|                                                                                  |   | 2009                                |       |   | 2008                                |   |     | 2009                                                       |   |
| CASH      FLOWS FROM OPERATING ACTIVITIES                                             |   |                                |       |   |                                |   |     |                                                       |   |
| Net      Loss                                                                         |   | $                                   | (1,522,585 | )      |                                | $      | (893,800 | )                                                          |   | $ | (17,710,607 | ) |
| Adjustments      to reconcile net loss to net cash used in operating      activities: |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
| Shares      issued for services                                                       |   |                                | 1,059,191  |   |                                |   | -        |                                                       |   |   | 4,761,445 |   |
| Warrant      issued for consulting services                                           |   |                                | -          |   |                                |   | -        |                                                       |   |   | 446,660 |   |
| Loss      on disposal of assets                                                       |   |                                | -          |   |                                |   | -        |                                                       |   |   | 9,856 |   |
| Loss      on impairment of assets                                                     |   |                                | -          |   |                                |   | -        |                                                       |   |   | 50,591 |   |
| Depreciation      and amortization                                                    |   |                                | 28,779     |   |                                |   | 20,785   |                                                       |   |   | 157,117 |   |
| Share-based      compensation                                                         |   |                                | 6,112      |   |                                |   | 186,740  |                                                       |   |   | 2,902,889 |   |
| (Gain)      Loss on derivative                                                        |   |                                | -          |   |                                |   | -        |                                                       |   |   | 5,000 |   |
| Gain      on debt extinguishment                                                      |   |                                | -          |   |                                |   | -        |                                                       |   |   | (7,137 | ) |
| (Gain)Loss      on accounts payable                                                   |   |                                | -          |   |                                |   | -        |                                                       |   |   | (84,065 | ) |
| (Gain)Loss      on sale of patent                                                     |   |                                | (95,000    | )      |                                |   |     |                                                       |   |   | (95,000 | ) |
| Contributed      capital                                                              |   |                                | 12,911     |   |                                |   | -        |                                                       |   |   | 75,433 |   |
| Amortization      of debt discount                                                    |   |                                | 304        |   |                                |   | -        |                                                       |   |   | 80,304 |   |
| Changes      in operating assets and  liabilities                           |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
| Prepaid      and other current assets                                                 |   |                                | (2,633     | )      |                                |   | 44,577   |                                                       |   |   | (11,194 | ) |
| Accounts      payable                                                                 |   |                                | 140,720    |   |                                |   | 99,429   |                                                       |   |   | 693,264 |   |
| Accounts      receivable                                                              |   |                                | (2,706     | )      |                                |   |     |                                                       |   |   | (2,706 | ) |
| Accrued      expenses                                                                 |   |                                | 152,528    |   |                                |   | (9,160   | )                                                          |   |   | 2,220,659 |   |
| Deferred      income                                                                  |   |                                | (1,400     | )      |                                |   | -        |                                                       |   |   | - |   |
| Accounts      payables to stockholders                                                |   |                                | (17        | )      |                                |   |     |                                                       |   |   | 2,576 |   |
| NET      CASH USED IN OPERATING ACTIVITIES                                            |   |                                | (223,796   | )      |                                |   | (551,429 | )                                                          |   |   | (6,504,915 | ) |
|                                                                                  |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
| CASH      FLOW FROM INVESTING ACTIVITIES                                              |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
| Proceeds      from sale of patents                                                    |   |                                | 95,000     |   |                                |   | -        |                                                       |   |   | 95,000 |   |
| Investment      in patents                                                            |   |                                | -          |   |                                |   | -        |                                                       |   |   | (67,233 | ) |
| Investment      in intangible assets                                                  |   |                                | -          |   |                                |   | -        |                                                       |   |   | (16,000 | ) |
| Investment      in property and equipment                                             |   |                                | -          |   |                                |   | (195,121 | )                                                          |   |   | (458,498 | ) |
| NET      CASH USED IN INVESTING ACTIVITIES                                            |   |                                | 95,000     |   |                                |   | (195,121 | )                                                          |   |   | (446,731 | ) |
|                                                                                  |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
| CASH      FLOWS FROM FINANCING ACTIVITIES                                             |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
| Proceeds      from sale of stock                                                      |   |                                | 112,000    |   |                                |   | -        |                                                       |   |   | 5,395,200 |   |
| Advances      from stockholders                                                       |   |                                | 6,368      |   |                                |   | -        |                                                       |   |   | 1,434,949 |   |
| Proceeds      from warrants exercised                                                 |   |                                | 9,000      |   |                                |   | -        |                                                       |   |   | 546,502 |   |
| Repayment      of advances from stockholders                                          |   |                                | -          |   |                                |   | -        |                                                       |   |   | (501,430 | ) |
| Convertible      note proceeds                                                        |   |                                | 30,000     |   |                                |   | -        |                                                       |   |   | 210,000 |   |
| Proceeds      from third party debt, net                                              |   |                                | -          |   |                                |   | -        |                                                       |   |   | (105,000 | ) |
| NET      CASH PROVIDED BY FINANCING ACTIVITIES                                        |   |                                | 157,368    |   |                                |   | -        |                                                       |   |   | 6,980,221 |   |
|                                                                                  |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
| NET      CHANGE IN CASH AND CASH EQUIVALENTS                                          |   |                                | 28,572     |   |                                |   | (746,550 | )                                                          |   |   | 28,575 |   |
| Cash      and cash equivalents at beginning of period                                 |   |                                | 3          |   |                                |   | 767,338  |                                                       |   |   | - |   |
| Cash      and cash equivalents at end of period                                       |   | $                                   | 28,575     |   |                                | $      | 20,788   |                                                       |   | $ | 28,575 |   |
|                                                                                  |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
|  SUPPLEMENTAL      DISCLOSURES                                                   |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
| Cash      paid for interest                                                           |   |                                |       |   |                                | $      | 625      |                                                       |   |   |   |   |
| Cash      paid for income taxes                                                       |   |                                |       |   |                                |   | -        |                                                       |   |   |   |   |
|                                                                                  |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
| NON-CASH      TRANSACTIONS                                                            |   |                                |       |   |                                |   |     |                                                       |   |   |   |   |
| Shares      Returned and Cancelled                                                    |   | $                                   | 128,069    |   |                                | $      | -        |                                                       |   |   |   |   |
| Discount      on Convertible Note                                                     |   |                                | 28,410     |   |                                |   | -        |                                                       |   |   |   |   |

----

----

| Expected      volatility     |   |   | 174%-      243%    |   |
|------------------------------|--------|--------|--------------------|--------|
| Term      (years)            |   |   | 1.5      – 3 |   |
| Risk-free      interest rate |   |   | 1.16%      - 3.01% |   |
| Expected      dividend yield |   |   | 0%                 |   |

|                               |   | Options |       |   | Weighted      Average Exercise Price |   |
|------------------------------------|--------|---------|------------|--------|--------------------------------------|--------|
| Outstanding      July 31, 2009     |   |    | 20,225,000 |   |                                 |   | 0.28 |   |
| Granted                            |   |    | 25,000     |   |                                 |   | 0.25 |   |
| Expired                            |   |    | -          |   |                                 |   | - |   |
| Exercised                          |   |    | -          |   |                                 |   | - |   |
| Outstanding,      October 31, 2009 |   |    | 20,250,000 |   |                                 | $      | 0.28 |   |

----

| Number      of Common Stock Equivalents |   |   | Expiration      Date |   | Remaining      Contracted Life (Years) |   |   | Exercise      Price |   |
|-----------------------------------------|--------|--------|----------------------|--------|----------------------------------------|--------|--------|---------------------|--------|
| 50,000                                  |   |   | 10/14/2011           |   |                                   | 2.00   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 11/14/2011           |   |                                   | 2.08   |   |                |   | 0.25 |   |
| 50,000                                  |   |   | 12/7/2011            |   |                                   | 2.17   |   |                |   | 0.25 |   |
| 75,000                                  |   |   | 12/16/2011           |   |                                   | 2.17   |   |                |   | 0.25 |   |
| 50,000                                  |   |   | 10/14/2012           |   |                                   | 3.00   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 11/14/2012           |   |                                   | 3.08   |   |                |   | 0.25 |   |
| 50,000                                  |   |   | 10/14/2013           |   |                                   | 4.00   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 11/14/2013           |   |                                   | 4.08   |   |                |   | 0.25 |   |
| 50,000                                  |   |   | 10/14/2014           |   |                                   | 5.00   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 11/14/2014           |   |                                   | 5.08   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 4/1/2012             |   |                                   | 2.42   |   |                |   | 0.25 |   |
| 50,000                                  |   |   | 4/28/2012            |   |                                   | 2.50   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 5/28/2012            |   |                                   | 2.58   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 6/17/2012            |   |                                   | 2.67   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 6/28/2012            |   |                                   | 2.67   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 7/28/2012            |   |                                   | 2.75   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 8/28/2012            |   |                                   | 2.83   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 9/28/2012            |   |                                   | 2.92   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 10/28/2012           |   |                                   | 3.00   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 4/1/2013             |   |                                   | 3.42   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 4/1/2014             |   |                                   | 4.42   |   |                |   | 0.25 |   |
| 25,000                                  |   |   | 4/1/2015             |   |                                   | 5.42   |   |                |   | 0.25 |   |
| 2,500,000                               |   |   | 1/1/2014             |   |                                   | 4.17   |   |                |   | 0.15 |   |
| 1,500,000                               |   |   | 1/1/2014             |   |                                   | 4.17   |   |                |   | 0.25 |   |
| 1,500,000                               |   |   | 1/1/2014             |   |                                   | 4.17   |   |                |   | 0.40 |   |
| 1,000,000                               |   |   | 1/1/2014             |   |                                   | 4.17   |   |                |   | 0.15 |   |
| 1,000,000                               |   |   | 1/1/2014             |   |                                   | 4.17   |   |                |   | 0.25 |   |
| 2,500,000                               |   |   | 5/18/2011            |   |                                   | 1.58   |   |                |   | 0.15 |   |
| 2,000,000                               |   |   | 5/18/2011            |   |                                   | 1.58   |   |                |   | 0.25 |   |
| 1,500,000                               |   |   | 5/18/2011            |   |                                   | 1.58   |   |                |   | 0.40 |   |
| 2,500,000                               |   |   | 5/18/2011            |   |                                   | 1.58   |   |                |   | 0.15 |   |
| 2,000,000                               |   |   | 5/18/2011            |   |                                   | 1.58   |   |                |   | 0.25 |   |
| 1,500,000                               |   |   | 5/18/2011            |   |                                   | 1.58   |   |                |   | 0.40 |   |
| 20,250,000                              |   |   |                 |   |                                   | 3.00   |   |                |   | 0.28 |   |

----

|                                       |   | OPTIONS |     |
|--------------------------------------------|--------|---------|----------|
| Non-vested      shares at July 31, 2009    |   |    | 386,198  |   |
| Granted                                    |   |    | 0        |   |
| Vested                                     |   |    | (107,813 | ) |
| Expired                                    |   |    | -        |   |
| Exercised                                  |   |    | -        |   |
| Non-vested      shares at October 31, 2009 |   |    | 278,385  |   |

| Warrants      Outstanding and Exercisable |   | Warrants |       |    | Weighted      Average Exercise Price |   |
|-------------------------------------------|--------|----------|------------|---------|--------------------------------------|--------|
| Outstanding,      July 31, 2009           |   |     | 15,994,284 |    |                                 | $      | 0.47 |   |
| Granted                                   |   |     | -          |    |                                 |   | - |   |
| Expired                                   |   |     | -          |    |                                 |   | - |   |
| Exercised                                 |   |     | (150,000   | )  |                                 |   |  (.06) |   |
| Outstanding,      October 31, 2009        |   |     | 15,844,284 |    |                                 | $      | 0.41 |   |

| Number      of Common Stock Equivalents |   |   | Expiration      Date |   |   | Remaining      Contracted Life (Years) |   |   | Exercise      Price |   |
|-----------------------------------------|--------|--------|----------------------|--------|--------|----------------------------------------|--------|--------|---------------------|--------|
| 2,902,500                               |   |   | 10/31/2010           |   |   |                                   | 1.00   |   |                | $      | 0.20 |   |
| 50,000                                  |   |   | 7/31/2011            |   |   |                                   | 1.75   |   |                | $      | 0.25 |   |
| 5,400,000                               |   |   | 12/31/2011           |   |   |                                   | 2.17   |   |                | $      | 1.00 |   |
| 1,600,000                               |   |   | 4/30/2012            |   |   |                                   | 2.50   |   |                | $      | 0.03 |   |
| 825,000                                 |   |   | 6/1/2012             |   |   |                                   | 2.58   |   |                | $      | 0.03 |   |
| 2,075,000                               |   |   | 6/4/2012             |   |   |                                   | 2.58   |   |                | $      | 0.03 |   |
| 83,333                                  |   |   | 6/12/2012            |   |   |                                   | 2.58   |   |                | $      | 0.03 |   |
| 1,408,451                               |   |   | 6/29/2012            |   |   |                                   | 2.66   |   |                | $      | 0.03 |   |
| 1,500,000                               |   |   | 9/24/2012            |   |   |                                   | 2.92   |   |                | $      | 0.30 |   |

----

----

| Dated:      January 29, 2010 | By:  /s/      Richard J. Kampa  |
|------------------------------|-------------------------------------------|
|                         | Richard      J. Kampa                     |
|                         | Chief      Executive Officer and Director |
|                         | (Principal      Executive Officer)        |

| Dated:      January 29, 2010 | By:      /s/ Michael G. Wirtz                     |
|------------------------------|---------------------------------------------------|
|                         | Michael      G. Wirtz                             |
|                         | Chief      Financial Officer                      |
|                         | (Principal      Financial and Accounting Officer) |

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