Audiotech Healthcare had arranged a private placement of 445 $1,000 convertible debentures to nine investors to raise a total of $445,000. The convertible debentures pay interest, quarterly, at 10 per cent CSA, and mature two years from the date of issue. The debentures accrue interest at 10 per cent CSA and are payable in blended monthly payments of principal and interest based upon a 20-year amortization period and mature two years from the date of issue. The debentures are convertible at the option of the holder at any time before the maturity date at a conversion price of 30 cents per share.

The convertible debentures are a direct, unsecured obligation of the company ranking subordinate to all senior indebtedness.

The private placement has now been amended to exclude an investor purchasing 30 $1,000 convertible debentures, to raise a total of $30,000, on the same terms as recited above. The private placement now consists of 415 $1,000 convertible debentures to eight investors to raise a total of $415,000.