In April and May 2014, warrants to purchase 202,465 shares of common stock were exercised at $3.5164 per share for total proceeds of $712,000.

On May 6, 2014, the Board of Directors declared a dividend on each share of outstanding Series A preferred stock, which represents the accrued unpaid dividends through the declaration date, and a dividend of $0.005 on each share of outstanding common stock, totaling aggregate dividends of $60,000. All such dividends are payable in cash on June 4, 2014 to stockholders of record on May 27, 2014.