Note 9 Subsequent Events

During the month of July, 2018, there were conversions of 48 preferred Series C shares, or a total of $0.24 million, into 200,000 common shares reducing the outstanding Series C preferred shares from 54 to 6, which are convertible into 25,000 common shares.

On July 10, 2018, we announced that our Board of Directors has approved a purchase of 500,000 shares of its common stock in a private transaction. The transaction was priced at $1.00 per share for a total transaction amount of $500,000. Upon repurchase, the shares were returned to treasury.

As a result of the subsequent transactions, the common shares outstanding changed from 8,546,003 to 8,246,003.