NOTE 6 – NOTES PAYABLE

The Company has three non-collateral notes payable outstanding, that bear simple interest at 6% per annum. The first note is dated February 3, 2010 and is for $90,000. The second note is dated April 5, 2011 and is for $10,000. The third note is dated September 1, 2011 and is for $7,500. The notes principle and interest are due three years from the date of issuance. The due date for the note dated February 3, 2010 was extended to December 31, 2013. As of March 31, 2013 total accrued interest on all three notes is $19,013.

On March 6, 2013, an individual advanced the Company $25,000 for a short term loan. The loan accrues interest at 6% and is due on demand. The interest expense is recorded as additional paid in capital.

As of March 31, 2013, the Company owed an individual $4,942. The loan accrues interest at 6% and is due on demand. The interest expense will be recorded as additional paid in capital.

The Company also has a financing loan for its product liability insurance. As of March 31, 2013 and December 31, 2012 the loan has a balance of $2,159 and $5,346, respectively, accrues interest at 7.75% and is due within one year.

The five year maturity of these loans is as follows: