Note 6 Impairment Loss
During the year ended December 31, 2010,
the Company issued 23,333,333 shares of its common stock in exchange for technology vital to its business plan. The Company performed
an impairment test on the value of this asset as of December 31, 2010 and determined its value to be impaired based on the undeterminable
amount of future benefit expected to be received. As such, the value of the intangible asset as been impaired reflecting a $2,100,000
loss in the statement of operations for the year ended December 31, 2010.