Stockholders’ Equity |
3 Months Ended |
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Mar. 31, 2020 | |
| Equity [Abstract] | |
| Stockholders’ Equity | Note D – Stockholders’ Equity
Common Stock
On March 11, 2020, the board of directors amended the Articles of Incorporation to increase the number of authorized common shares to with a par value of $ per share. On March 31, 2020 and December 31, 2019 there were and shares issued and outstanding respectively.
During the three months ended March 31, 2020, unaffiliated holders of our convertible notes payable elected to convert $5,819 of principal into shares of our common stock and $8,021 in accrued interest into shares of common stock at prices per share between $ and $ per share at rates discounted from the stock’s fair market value on each conversion date based on discount rates specified in each respective note.
There were issuances of common stock during the three months ended March 31, 2019.
Preferred Stock
Our Articles of Incorporation provide that we may issue up to shares of various series of preferred stock. Subject to the requirements of the Colorado Business Corporation Act, the Board of Directors may issue the preferred stock in series with rights and preferences as the Board of Directors may determine appropriate, without shareholder approval.
The Company has designated Series B Convertible Preferred shares, of which shares were issued and outstanding at March 31, 2020 and December 31, 2019. These Series B shares are convertible into common shares. There were issuances of Series B convertible preferred stock during the three months ended March 31, 2020 or 2019.
The Company has also designated shares of Series A Convertible Preferred Shares. These shares entitle the holder to $0.01 per share dividend when declared by the Board of Directors, and 1,000 votes on all matters submitted to a vote by the shareholders. Each Series A convertible share may be converted into one share of our common stock. There were and shares of Series A convertible preferred stock at March 31, 2020 and December 31, 2019, respectively.
On January 15, 2020, Robert W. Ferguson, our CEO, and Fred J. Popke, our COO, were each issued shares of Series A convertible preferred stock in exchange for $25 each in services rendered. There were issuances of Series A convertible preferred stock during the three months ended March 31, 2019.
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