PROMISSORY NOTES	6 Months Ended
Jun. 30, 2015
Notes to Financial Statements
PROMISSORY NOTES	During 2013, the Company borrowed $150,000 under 2 notes at 18% interest per annum. The notes have matured but have not been declared in default. We continue to accrue interest at the face amount. During 2013, the Company borrowed $8,100,000 under 3 notes at 5% interest per annum. The promissory notes are unsecured and mature twenty-four months from their issuances. On January 27, 2014 the Company issued a promissory note in the principal amount of $4,000,000 at the interest rate of 5% per annum and due and payable twenty four months from the date of issuance, subject to acceleration in the event of default and may be prepaid in whole or in part without penalty or premium. On February 19, 2014 the Company issued a promissory note in the principal amount of $4,000,000 at the interest rate of 5% per annum and due and payable twenty four months from the date of issuance, subject to acceleration in the event of default and may be prepaid in whole or in part without penalty or premium. On March 27, 2014 the Company entered into a secured lending agreement in the principal amount of $14,000,000 at the interest rate of 5% per annum and due and payable twenty four months from the date of issuance, subject to acceleration in the event of default and may be prepaid in whole or in part without penalty or premium. No funds have been received from this agreement as of March 31, 2014. Total interest expense recorded on the notes for the periods ended June 30, 2015 and 2014 was $416,000 and $372,438.

PROMISSORY NOTES

6 Months Ended

Jun. 30, 2015

During 2013, the Company borrowed $150,000 under 2 notes at 18% interest per annum. The notes have matured but have not been declared in default. We continue to accrue interest at the face amount.

During 2013, the Company borrowed $8,100,000 under 3 notes at 5% interest per annum. The promissory notes are unsecured and mature twenty-four months from their issuances.

On January 27, 2014 the Company issued a promissory note in the principal amount of $4,000,000 at the interest rate of 5% per annum and due and payable twenty four months from the date of issuance, subject to acceleration in the event of default and may be prepaid in whole or in part without penalty or premium.

On February 19, 2014 the Company issued a promissory note in the principal amount of $4,000,000 at the interest rate of 5% per annum and due and payable twenty four months from the date of issuance, subject to acceleration in the event of default and may be prepaid in whole or in part without penalty or premium.

On March 27, 2014 the Company entered into a secured lending agreement in the principal amount of $14,000,000 at the interest rate of 5% per annum and due and payable twenty four months from the date of issuance, subject to acceleration in the event of default and may be prepaid in whole or in part without penalty or premium. No funds have been received from this agreement as of March 31, 2014.

Total interest expense recorded on the notes for the periods ended June 30, 2015 and 2014 was $416,000 and $372,438.

Cannabis-RX Inc. 10-Q