NOTE 5. WARRANTS
At May 31, 2008, the Company had 10,000 common stock purchase warrants outstanding, originally sold as part of a unit, allowing the holder to purchase one share of common stock at an exercise price of $40, anytime through May 15, 2011. In fiscal year 2009, the Company sold 10,000 units to an investor for cash at $25 per unit, or an aggregate of $250,000. Each unit consisted of one share of common stock and one warrant to purchase one share of common stock at an exercise price of $40, anytime through June 9, 2011. At May 31, 2009, none of the warrants had been exercised, leaving a year-end balance of 20,000 warrants. The entire value of the units sold for $250,000 was assigned to the common stock as the warrants are non-detachable.
In fiscal year 2010, the Company sold 20,252 units to certain investors for cash at prices ranging from $17 - $100 per unit, or an aggregate of $1,250,000. Each unit consisted of one share of common stock and one warrant to purchase one share of common stock at exercise prices ranging from of $20 - $125, anytime through expiration dates varying from June 2012 through February 2013. The entire value of the units was assigned to the common stock as the warrants are non-detachable. At May 31, 2010, none of the warrants had been exercised or had expired, leaving a year-end balance of 40,252 warrants.
During the year ended May 31, 2011, the Company sold 50,000 units to investors at a price of $2 per unit for a total of $100,000. Each unit consisted of one share of common stock and one warrant to purchase one share of common stock at an exercise price of $2.50, anytime through July 2013. The entire value of the units was assigned to the common stock as the warrants are non-detachable. As of May 31, 2011, none of the warrants have been exercised. During the fiscal year of 2011, 10,000 warrants expired, leaving a year-end balance of 80,252 warrants.
During the year ended May 31, 2012, 10,000 warrants expired, leaving a year-end balance of 70,252 warrants.
During the year ended May 31, 2013, 20,252 warrants expired, leaving a year-end balance of 50,000 warrants.