On July 23, 2013, the Company issued PhytoSPHERE 1,208,334 shares of its common stock in partial satisfaction of its third payment obligation due under the PhytoSPHERE Agreement. The Company satisfied its remaining obligation to PhytoSPHERE on the third payment by payment of cash.

On July 25, 2013 the shareholders approved the Company’s 2013 Equity Incentive Plan (the “Plan”) which reserves 1,000,000 shares of the Company’s common stock for issuance under the Plan. There are currently no option shares outstanding under the Plan.