| RELATED PARTY TRANSACTIONS |
Note
H - Related Party Transactions
|
[1] |
On April 25, 2012, the Company repurchased
27,757 shares of its common stock from its Chief Financial Officer at a purchase price of $1.35 per share or aggregate consideration
of $37,472. |
|
[2] |
On March 16, 2011, the Company's employment
agreement, dated June 8, 2009, with its Chairman and Chief Executive Officer, was amended pursuant to which, in consideration of
a payment of $250,000, the Chairman and Chief Executive Officer agreed to reduce Additional Bonus Compensation and Royalty Bonus
Compensation (as such terms are defined in Section 5(b)(ii) of the agreement) payable to him from the proceeds of patents other
than the Remote Power Patent from 12.5% to 10%. |
|
[3] |
On May 20, 2011, the Company's Board of Directors
approved three year extensions of the expiration dates (which were to expire in 2011) for certain outstanding options and warrants
to purchase an aggregate of 1,095,218 shares of common stock, exercisable at $0.13 and $0.68 per share, which included options
and warrants held by the Chairman and Chief Executive Officer, and an affiliated entity (aggregate of 835,218 shares), Chief Financial
Officer (75,000 shares), and two directors (aggregate 150,000 shares). The extensions of the expiration dates for the Chairman
and CEO (515,218 shares), Chief Financial Officer (75,000 shares), and two directors (aggregate 100,000 shares) were subsequently
cancelled in December |
2011 as the holders exercised such
options prior to the original expiration dates of such options.
|
[4] |
On October 15 and October 17, 2011,
the Company repurchased 114,815 and 24,434 shares of its common stock from a director and a consultant, respectively, at an aggregate
purchase price of $187,986 or $1.35 per share (the fair market value at the date of purchase). The repurchase was part of the Company's
stock repurchase program to repurchase up to $4,000,000 of its common stock (See Note K). |
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