Quarterly report pursuant to sections 13 or 15(d)

Consolidated Balance Sheets

v2.4.0.8
Consolidated Balance Sheets (USD $)
Aug. 31, 2013
May 31, 2013
Current assets:    
Cash $ 676,470 $ 603,681
Prepaid expenses 141,030 139,849
Deferred offering costs 196,929 96,930
Total current assets 1,014,429 840,460
Furniture and equipment, net 2,151  
Deferred offering costs 200,138  
Intangibles, net 3,229,739 3,317,239
Total Assets 4,446,457 4,157,699
Current liabilities:    
Accounts payable 933,852 1,111,285
Accrued liabilities 428,051 321,884
Accrued salaries and severance 317,782 364,698
Accrued interest payable 127,950 56,884
Indebtedness to related parties 509,000 509,000
Convertible notes payable, net 670,093 328,347
Stock rescission liability 536,500 536,500
Total current liabilities 3,523,228 3,228,598
Long-term liabilities    
Convertible notes payable, net 1,343,668 1,153,017
Total liabilities 4,866,896 4,381,615
Shareholders' (deficit):    
Series B convertible preferred stock, no par value; 400,000 shares authorized, 95,100 shares issued and outstanding at August 31, 2013 and May 31, 2013 274,091 274,091
Common stock, no par value; 100,000,000 shares authorized, 32,040,935 and 30,798,150 outstanding at August 31, 2013 and May 31, 2013, respectively; 32,240,935 and 30,998,150 issued at August 31, 2013 and May 31, 2013, respectively 17,176,886 16,244,673
Common stock payable 136,682 117,778
Additional paid-in capital 18,949,707 17,523,796
Common and preferred stock subject to rescission (536,500) (536,500)
Treasury stock, at cost, 200,000 shares held at August 31, 2013 and May 31, 2013, respectively (100,000) (100,000)
Additional paid-in capital - treasury stock 255,065 255,065
Accumulated deficit on unrelated dormant operations (1,601,912) (1,601,912)
Deficit accumulated during development stage (34,974,458) (32,400,907)
Total shareholders' (deficit) (420,439) (223,916)
Total liabilities and shareholders' (deficit) $ 4,446,457 $ 4,157,699