Note 11 — Subsequent Events

On August 14, 2019, the Company issued a press release announcing a planned one-for-ten reverse stock split of its outstanding stock to regain compliance with the minimum $1.00 bid price per share requirement of Nasdaq Listing Rule 5550(a)(2). The Company expects its common stock to begin trading on the Nasdaq Capital Market on a split-adjusted basis when the market opens on August 20, 2019.  The par value of the Company’s common stock will remain unchanged at $0.001 per share after the reverse stock split.

The reverse stock split will reduce the number of shares of the Company’s common stock issued and outstanding from 14,722,840 to 1,472,284 plus any shares to be issued in exchange for fractional interests. The number of shares of the Company’s common stock issuable upon conversion of the outstanding shares of the Company’s preferred stock will be reduced from 810,000 shares to 81,000 shares. The number of authorized shares of the Company’s common stock will not be changed by the reverse stock split.

The reverse stock split proportionately affects the number of shares of the Company’s common stock available for issuance under the Company’s equity incentive plans. The number of shares of the Company’s common stock subject to all options, warrants and stock awards of the Company outstanding immediately prior to the reverse stock split will be proportionately adjusted in accordance with their terms.