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While we continue to negotiate the terms of a definitive agreement with Pono and SNI, and complete due diligence efforts, on Oct. 18, 2016, we executed an Interim Products and Services Support Agreement with both companies (the “Interim Agreement”). This Interim Agreement is intended to act as a “bridge” to allow us to work with both Pono and SNI to perpetuate our respective business plans and take advantage of our respective synergies during the time the definitive agreements are being completed. Through this agreement we will share net revenues with Pono and SNI, as applicable and expect to also benefit from the anticipated generation of new clients, and sharing of intellectual property. https://www.youtube.com/watch?feature=youtube_gdata&v=bN1f1rs_q2cIn yesterday’s 8K filing, the Company noted that it had previously reported signing a non-binding term sheet to acquire Capital G Ltd, an Ohio limited liability company and its three wholly owned subsidiary companies, Funk Sac LLC, Commodigy LLC, and OdorNo LLC, in consideration for the issuance of an aggregate of 1.3 million shares of our common stock. We believe that this transaction remains viable; however, the due diligence efforts are taking longer than expected. While we remain optimistic that this acquisition will be successful, the successful closing of this transaction is dependent on the outcome of our due diligence. As part of the terms included in the term sheet, we have fulfilled our agreement with Capital G Ltd. To provide funding for its operations over the past several months in the form of $250,000 in convertible debt. This note is for a one-year term and accrues interest at 12% per annum.
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