CAPITALIZATION SUBSIDIARIES definition
CAPITALIZATION SUBSIDIARIES. The authorized capital stock of Nettaxi Online consists of 6,000,000 shares of Common Stock, par value $.001, and 1,000,000 shares of preferred stock, par value $.001. As of the date hereof, 4,731,590 shares of Common Stock were issued and outstanding, all of which are issued to Nettaxi, and no shares of preferred stock were issued or outstanding. Such outstanding shares of Common Stock are duly authorized, validly issued, fully paid, and non-assessable. As of the date hereof, there were no outstanding options, warrants or rights of conversion or other rights, agreements, arrangements or commitments relating to the capital stock of Nettaxi Online or obligating Nettaxi Online to issue or sell an aggregate number of shares of Common Stock. The authorized capital stock of RSAC consists of 1,000,000 shares of Common Stock, par value $.001. As of the date hereof, one hundred (100) shares of Common Stock were issued and outstanding, all of which are issued to Nettaxi. Such outstanding shares of Common Stock are duly authorized, validly issued, fully paid, and non-assessable. As of the date hereof, there were no outstanding options, warrants or rights of conversion or other rights, agreements, arrangements or commitments relating to the capital stock of RSAC or obligating RSAC to issue or sell an aggregate number of shares of Common Stock.