NOTE 16 - COMMON STOCK TO BE ISSUED

On August 1^st, 2013, a settlement agreement was reached to convert a note in the amount of $68,750 plus default penalty and interest of $24,063 into 5,568,768 shares of common stock.  Of the total shares, 1,856,256 were Class A common stock with no restrictions.  These shares are currently awaiting the attorney opinion letter and are recorded in "Common Stock to Be Issued' at the date of this report. The remaining 3,712,500 Class A shares with a 144 restriction and a one year restriction were issued on September 26, 2013. (See Note 14)