NOTE 19 - SUBSEQUENT EVENTS

During April 2018, the Company issued 75,000 shares of $.001 par value common stock for services provided and to be provided through May 31, 2018 totaling approximately $58,000.

As of May 15, 2018, the Company’s four short term notes for which the penalty period for shares to be issued has been reached. The Company has recorded 435,000 shares of its common stock as issuable under the terms of those agreements. The shares were valued at approximately $178,400 and are recorded as interest expense. Additional shares will be issued by the Company under the terms of the agreements.

In anticipation of a larger on-going funding program, on May 8, 2018, the Company entered into a $1 million secured promissory note with a third-party lender. The note provides for interest accruing at 6.5% per annum due May 8, 2025. For the first six months of the loan, no payments will be made but interest will accrue. For months seven through twenty-four, interest only payments will be due monthly and commencing on the 25th month of the loan, the remaining unpaid principal and interest will be amortized over the remaining five-year period with equal monthly principal and interest payments. This note is part of a larger financing arrangement with an international lender who has proposed a second $1 million convertible loan to take place within the next month. This second note is convertible at $0.80 per share at the election of lender. As of the date of issuance of this report, the initial funds had not been received by the Company and all documents related to the entire agreement that stipulate details to the loan program will be executed by the parties upon initial proceeds being received by the Company.