Series B Notes – From October 1, 2013 through November 8, 2013, the Company processed a number of conversions in respect of the Series B Notes. In the aggregate, the Company issued 773,000 shares of its common stock in payment of principal in an aggregate amount of $2,275,000 plus interest in respect of the Series B Notes. As of November 8, 2013, the Series B Notes had an aggregate outstanding principal balance of $250,000.

Sugar Feedstock Purchase – On October 1, 2013, the Company purchased $6,800,000 of raw beet sugar to be used as feedstock over the next twelve months. The Company paid $1,900,000 in cash and financed $5,000,000, which amount is to be repaid in weekly installments based on the amount of sugar shipped to the Company with any remaining principal amount and accrued interest due and payable at maturity on September 30, 2014.