Quarterly report pursuant to Section 13 or 15(d)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)
 6 Months Ended
Nov. 30, 2016
Nov. 30, 2015
CASH FLOWS FROM OPERATING ACTIVITIES    
Net income (loss) $ (1,740,528) $ (1,005,870)
Adjustments to reconcile net loss to net cash used in operating activities:    
Imputed interest 539 539
Change in fair value of derivative (148,266) 0
Loss on modification of debt 33,334 0
Issuance of stock for services 0 60,850
Stock-based compensation 0 109,167
Amortization of debt discounts 889,392 33,333
Depreciation and amortization expense 662 626
Changes in assets and liabilities:    
Prepaid expenses (16,049) 1,041
Accounts payable and accrued expenses 135,976 121,994
Deferred liabilities 0 46,603
Accrued compensation 75,000 68,750
Due to related parties 251 (525)
Accrued interest, related party 80,311 21,952
Accrued interest 1,545 15,041
Net cash used in operating activities (687,833) (526,499)
CASH FLOWS FROM INVESTING ACTIVITIES    
Payments to acquire equipment 0 (2,674)
Payment for construction in progress (35,013) 0
Net cash used in investing activities (35,013) (2,674)
CASH FLOWS FROM FINANCING ACTIVITIES    
Proceeds from related party convertible notes payable 150,000 0
Proceeds from related party notes payable 621,000 345,000
Repayments of related party notes payable (61,000) 0
Repayments of convertible notes payable (50,000) 0
Net cash provided by financing activities 660,000 345,000
Net increase in cash and cash equivalents (62,846) (184,173)
Cash and cash equivalents at beginning of period 88,244 208,821
Cash and cash equivalents at end of period 25,398 24,648
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:    
Interest paid 42,575 0
Income taxes paid 0 0
NON-CASH INVESTING AND FINANCING ACTIVITIES:    
Convertible note issued for unpaid accrued salary 250,000 0
Related party notes payable reclassified as related party convertible notes payable 222,750 0
Discount on convertible notes payable 518,720 0
Extinguishment of debt $ 254,114 $ 0