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Note 5: Stockholders' Equity
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6 Months Ended |
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Jun. 30, 2011
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| Stockholders' Equity Note Disclosure [Text Block] |
Note
5: Stockholders’ Equity
As
of June 30, 2011, 60,448,815 shares of common stock were
outstanding out of the 100,000,000 shares of common stock
authorized.
On April 6, 2010,
the Company commenced a Confidential Private Placement
offering to certain accredited investors for up to 12,500,000
shares of common stock at a purchase price of $.40 per
share. On July 13, 2010, the Board of Directors
amended the offering to include the issuance of a warrant to
purchase one additional share of common stock for each share
of common stock sold through the offering. Each
warrant has a term of three years from the date of
purchase and an exercise price of $0.40 per
share. As of December 31, 2010, a total
subscription of $188,443 had been received and 471,108 shares
had been issued. Costs of the offering in the
amount of $17,396 were offset against the common stock
account. This offering expired.
During
March and April, 2011, the Company conducted a private
placement to certain accredited investors only under Rule
506. As a result of the offering, the Company
received subscriptions in the total amount of $860,000 and
4,300,000 shares have been issued. Ms. Isabel
Moeller also subscribed for 1,000,000 shares. In lieu of cash
payment for the subscribed shares, Ms. Moeller agreed to a
$200,000 reduction in the outstanding principal balance of
her note effective April 1, 2011. Costs of
the offering in the amount of $1,770 were offset against the
common stock account.
On
September 30, 2010, 50,000 shares were issued in exchange for
services valued at $25,000, or $.50 per share. On
March 31, 2011, an additional 32,300 shares were issued in
exchange for services valued at $9,690, or $0.30 per
share.
Through
June 30, 2011, stock option grant notices for up to
14,020,000 shares of common stock have been issued to
employees and service providers of the Company pursuant to
the 2008 Stock Option Plan, in accordance with the provisions
of Topic 718, Compensation, of the Accounting Standards
Codification, which requires companies to measure the cost of
employee services received in exchange for equity instruments
based on the grant date fair value of those awards and to
recognize the compensation expense over the requisite service
period during which the awards are expected to
vest. A total of $1,753,409 has been recognized as
Additional Paid in Capital as the value of these options
granted, which includes $306,367 and $117,610 for the six
months ended June 30, 2011 and the year ended December 31,
2010, respectively. Of the total grants for
shares issued, 20,000 have expired as of June 30, 2011 and
options to purchase up to 14,000,000 shares of common stock
are outstanding. Additional details regarding the stock
options granted is found in Note 8: Stock
Options.
On
June 2, 2009, the Company, through Glendale Securities, Inc.
of Sherman Oaks, California as broker-dealer, filed a
Disclosure Statement with the Financial Investment Regulatory
Agency (FINRA) pursuant to Rule 15c2-11 of the Securities and
Exchange Act of 1934, as amended, to establish a secondary
trading market on the Pink Sheets Electronic OTC Markets
system. Glendale Securities’ request for
un-priced quotation on the Pink OTC Markets was cleared by
FINRA on July 13, 2009 and trading began on July 24,
2009. In May 2011, the OTC Markets, Inc. moved the
Company to the OTCQB trading platform. The trading
symbol is PENT.
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