New Energy Technologies, Inc. (the Company)
was incorporated in the State of Nevada on May 5, 1998, under the name Octillion Corp. On December 2, 2008, the Company
amended its Articles of Incorporation to effect a change of name to New Energy Technologies, Inc. The accompanying consolidated
financial statements include the accounts of the Company and its wholly-owned subsidiaries, Sungen Energy, Inc. (Sungen),
Kinetic Energy Corporation (KEC), and New Energy Solar Corporation (New Energy Solar).
Sungen was incorporated on July 11,
2006, in the State of Nevada and is currently inactive.
KEC was incorporated on June 19, 2008,
in the State of Nevada and holds the patents related to the Companys MotionPower Technology. The Companys
business activities related to the MotionPower Technology are conducted through KEC.
New Energy Solar was incorporated on
February 9, 2009, in the State of Florida and has entered into a License Agreement, an Addendum to the License Agreement, an Option
Agreement and a Sponsored Research Agreement with the University of South Florida Research Foundation, Inc.
On March 16, 2011, pursuant to the Consents,
the Company filed a Certificate of Amendment to its Certificate of Incorporation increasing its authorized shares of common stock,
$0.001 par value, from 100,000,000 to 300,000,000.
On August 19, 2011, the Company established
Nakoda, a California corporation and wholly-owned subsidiary of the Company, which began operations in September 2011. Nakoda is
an energy savings and management corporation that provides a broad range of energy solutions and savings projects with the goal
of implementing energy conservation, load management, and reducing building energy consumption in target markets. Due to the high
costs associated with growing operations and difficult financing environment, management suspended all Nakoda related operations
as of November 30, 2011. On January 20, 2012, management completed the sale of Nakoda Energy, Inc. as described pursuant to a Stock
Purchase Agreement. The Company did not recognize any revenue from Nakoda related operations nor were there any recorded assets
or liabilities as of and during the years ended August 31, 2012 and 2011. During the year ended August 31, 2012, The
Company recognized a loss of $242,210 from discontinued operations, of which $102,250 of this loss resulted from the disposition.
The Company is a renewable and alternative
energy company, actively developing two novel technologies for generating sustainable electricity, one of which harvests solar
energy of the sun and artificial light, and the other harvests kinetic energy present in moving vehicles. The Companys proprietary,
patent-pending technologies and products, which are the subjects of fifty-six (56) patent-filings, have been invented, designed,
engineered, and prototyped in preparation for further field testing, product development, and commercial deployment.
The Companys SolarWindow
Technology generates electricity when glass surfaces are sprayed with electricity-generating coatings, creating, semi-transparent,
see-through solar cells. If successfully developed, SolarWindow could potentially be used on any of the more than 85 million
commercial and residential buildings in the United States alone (U.S. Census Bureau, 2007 American Housing Survey & U.S. Energy
Information Administration, 2003 Commercial Buildings Energy Consumption Survey).
The Companys MotionPower
Technology harvests the available "kinetic" or "motion" energy of cars, trucks, buses, and heavy commercial
vehicles when they slow down before coming to a stop. MotionPower converts this captured energy into electricity. If successfully
developed, MotionPower could potentially be used to harvest kinetic energy generated by any of the estimated 250 million
vehicles registered in America (U.S. Department of Transportation Federal Highway Administration, 2008 Highway Statistics), which
drive approximately six billion miles on our nations roadways every day (U.S. Environmental Protection Agency).
The Companys product development
programs involve ongoing research and development efforts, and the commitment of significant resources to support the extensive
invention, design, engineering, testing, prototyping, and intellectual property initiatives carried-out by its contract engineers,
scientists, and consultants.