Annual report pursuant to section 13 and 15(d)

Consolidated Statements of Cash Flows

v2.4.0.8
Consolidated Statements of Cash Flows (USD $)
 12 Months Ended 115 Months Ended
May 31, 2013
May 31, 2012
May 31, 2013
Cash flows from operating activities      
Net loss $ (9,568,301) $ (7,474,224) $ (32,400,907)
Adjustments to reconcile net loss to net cash used by operating activities:      
Amortization / depreciation 222,684 2,013 405,546
Loss on disposal of furniture and equipment   2,560 2,560
Amortization of discount on convertible debt 1,703,616 2,063 2,422,881
Gain on settlement of accounts payable (372,759)   (710,101)
Purchased in process research and development     274,399
Stock-based compensation 3,590,011 2,857,859 12,167,995
Changes in current assets and liabilities:      
Increase in accrued salaries 175,449 189,249 364,698
Increase in prepaid expenses (73,867) (6,707) (139,849)
(Increase) decrease in other assets 5,744 (25,987)  
Increase in accounts payable, accrued interest and accrued liabilities 924,490 62,079 2,210,482
Net cash used in operating activities (3,392,933) (4,391,095) (15,402,296)
Cash flows from investing activities:      
Asset acquisition of intangibles (3,500,000)   (3,500,000)
Furniture and equipment purchases (3,135)   (24,218)
Net cash used in investing activities (3,503,135)   (3,524,218)
Cash flows from financing activities:      
Capital contributions by executive   1,336 15,748
Preferred stock dividends   (1,500) (1,500)
Proceeds from notes payable to related parties 500,000   1,205,649
Payments on notes payable to related parties (74,492) (74,492) (314,482)
Proceeds from notes payable issued to individuals     145,000
Payments on notes payable issued to individuals     (34,500)
Proceeds from convertible notes payable 6,588,250   7,274,250
Proceeds from sale of common stock   3,386,024 8,966,072
Proceeds from Series B preferred stock     2,009,000
Purchase of treasury stock     (436,000)
Proceeds from sale of treasury stock     559,210
Deferred offering costs     (1,029,940)
Proceeds from exercise of warrants and options 201,000 326,900 556,250
Net cash provided by financing activities 7,214,758 3,638,268 19,526,957
Net change in cash 318,690 (752,827) 600,443
Cash, beginning of period 284,991 1,037,818 3,238
Cash, end of period 603,681 284,991 603,681
Supplemental disclosure of cash flow information:      
Income taxes         
Interest 224,724 2,593 251,481
Non-cash investing and financing transactions:      
Net assets acquired in exchange for common stock in CytoDyn/Rexray business combination     7,542
Common stock issued to former officer to repay working capital advance     5,000
Common stock issued for convertible debt 567,000   1,229,000
Common stock issued for debt     245,582
Common stock issued for accrued interest payable 4,205   25,161
Options to purchase common stock issued for debt     62,341
Original issue discount and intrinsic value of beneficial conversion feature related to convertible debt issued with warrants 6,243,502   6,962,768
Common stock issued for preferred stock     167,500
Treasury stock issued for prepaid services     118,291
Common stock issued on settlement of accounts payable 80,000   129,000
Preferred and common stock subject to rescission 3,212,500 1,102,000 536,500
Accrued stock incentive and deferred offering costs     1,717,000
Common stock issued for Series B preferred stock 19,000 1,064,500 1,526,484
Series B preferred stock dividends 2,190 88,743 99,483
Accrued salaries related party contributed as capital     229,500
Reversal of accrued stock incentive and deferred offering costs     1,717,000
Constructive dividend     6,000,000
Amortization of deferred offering costs related to rescission liability 580,398 199,097 779,495
Common shares issued from escrow liability   1,425,000 1,425,000
AITI Acquisition
      
Cash flows from financing activities:      
Proceeds from issuance of stock of acquisition     512,200
AGTI Acquisition
      
Cash flows from financing activities:      
Proceeds from issuance of stock of acquisition     $ 100,000