NOTE 15 – SUBSEQUENT EVENTS

On February 28, 2018, a majority of our shareholders gave their written consent approving a reverse split of our common stock at a ratio of 1 for 150. 127,287,211 votes, or 70.8% of the shareholder voting power, consented to the proposal. 15,897,670 votes were cast against the proposal, with 80,744 votes abstaining. We have been notified by FINRA that the market effective date for the reverse split will be March 8, 2018. Beginning March 8, 2018, our trading symbol will be changed to “TRKKD” for a period of twenty business days, after which it will revert to “TRKK.” Historical information will be retroactively adjusted for the post-split effect of shares outstanding and market prices. As a result of the reverse split, our common stock will have the following new CUSIP number: 68558X209.

Post-Split effect on capital structure

The total number of shares of common and preferred stock authorized, common and preferred stock issued and outstanding as of March 30, 2018 and common stock that may be issued upon conversion of each class of preferred stock as of March 30, 2018 is set forth below.

Even though the holders of the convertible preferred stock may not convert these securities if they would own more than 9.99% of the then-outstanding common stock, this restriction does not prevent these holders from selling some of their holdings and then converting additional shares. In this way, the holders could sell more than these limits while never holding more than those limits.

On March 20, 2018, the Company issued 1,688 shares of its common stock, for rounding adjustments in regard to the 1 for 150 reverse split.