NOTE 3 - RELATED PARTY TRANSACTIONS

During the years ended August 31, 2021, and 2020, Blackrock Ventures, Ltd., an entity owned by the Senior Vice President, European Operations, who is a major stockholder of the Company, provided $60 and $64 worth of consulting services to the Company, of which, $5 and $5 was outstanding, as of August 31, 2021 and 2020, respectively.

Lease

On May 12, 2021, the Company entered into a lease arrangement for office space with Beckman/Lomas LLC, an entity controlled by a close family member of a director (see Note 7)

Employment

The Company has an employment contract with a key employee, Mr. Gregory Gorgas, who is an officer of the Company. As of August 31, 2021, and 2020, the Company recorded accrued bonuses of $0 and $150, respectively. During the years ended August 31, 2021, and 2020, the Company recorded salary and bonus of $626 and $581 to Mr. Gorgas, respectively. During the years ended August 31, 2021 and 2020, Mr. Gorgas paid expenses on behalf of the Company of $1 and $1, respectively and received reimbursements of $6 and $0, respectively. Amounts payable to Mr. Gorgas as of August 31, 2021 and 2020 were $0 and $5, respectively.

The Company has an employment contract with a key employee, Mr. Randy Schreckhise, Vice President, Finance and Operations. As of August 31, 2021, and 2020, the Company recorded accrued bonuses of $47 and $23, respectively. During the years ended August 31, 2021, and 2020, the Company recorded salary and bonus of $236 and $125 to Mr. Schreckhise, respectively. During the years ended August 31, 2021 and 2020, Mr. Schreckhise paid expenses on behalf of the Company of $1 and $1, respectively and received reimbursements of $2 and $0, respectively. Amounts payable to Mr. Schreckhise as of August 31, 2021 and 2020 were $0 and $1 respectively.

The amounts and terms of the above transactions may not necessarily be indicative of the amounts and terms that would have been incurred had comparable transactions been entered into with independent third parties.

Restricted stock awards

The Company recorded stock-based compensation expense for members of our Board of Directors totaling $34 and $42 during the years ended August 31, 2021, and 2020, respectively. The stock-based compensation is related to restricted stock awards issued in 2017. The stock-based compensation was fully amortized as of August 31, 2021.