Quarterly report pursuant to sections 13 or 15(d)

Consolidated Balance Sheets

v2.4.0.8
Consolidated Balance Sheets (USD $)
Feb. 28, 2014
May 31, 2013
Current assets:    
Cash $ 7,395,349 $ 603,681
Prepaid expenses 487,763 139,849
Deferred offering costs 68,292 96,930
Total current assets 7,951,404 840,460
Furniture and equipment, net 10,027  
Intangibles, net 3,054,739 3,317,239
Total Assets 11,016,170 4,157,699
Current liabilities:    
Accounts payable 738,130 1,111,285
Accrued liabilities 50,474 321,884
Accrued salaries and severance 234,442 364,698
Accrued interest payable 118,497 56,884
Indebtedness to related parties 500,000 509,000
Convertible notes payable, net 248,423 328,347
Stock rescission liability 378,000 536,500
Total current liabilities 2,267,966 3,228,598
Long-term liabilities    
Convertible notes payable, net 1,982,808 1,153,017
Total liabilities 4,250,774 4,381,615
Shareholders' equity (deficit):    
Series B convertible preferred stock, no par value; 400,000 shares authorized, 95,100 shares issued and outstanding at February 28, 2014 and May 31, 2013, respectively 266,251 274,091
Common stock, no par value; 100,000,000 shares authorized, 55,568,381 and 30,798,150 outstanding at February 28, 2014 and May 31, 2013, respectively; 55,768,381 and 30,998,150 issued at February 28, 2014 and May 31, 2013, respectively 30,432,560 16,244,673
Common stock payable 28,770 117,778
Additional paid-in capital 19,701,295 17,523,796
Common and preferred stock subject to rescission (378,000) (536,500)
Treasury stock, at cost, 200,000 shares held at February 28, 2014 and May 31, 2013 (100,000) (100,000)
Additional paid-in capital - treasury stock 252,880 255,065
Accumulated deficit on unrelated dormant operations (1,601,912) (1,601,912)
Accumulated deficit during development stage (41,836,448) (32,400,907)
Total shareholders' equity (deficit) 6,765,396 (223,916)
Total liabilities and shareholders' (deficit) $ 11,016,170 $ 4,157,699