On October 9, 2012 the Company formed a new wholly
owned subsidiary, HyperSound Health, Inc. (HHI), intended for conduct of activities related to technology and products
targeted for sound amplification and the hearing impaired.
The entire disclosure for significant events or transactions that occurred after the balance sheet date through the date the financial statements were issued or the date the financial statements were available to be issued. Examples include: the sale of a capital stock issue, purchase of a business, settlement of litigation, catastrophic loss, significant foreign exchange rate changes, loans to insiders or affiliates, and transactions not in the ordinary course of business.