☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

As of ~~August 5, 2021,~~May 18, 2022, the Company had ~~90,396,596~~102,774,276, shares of common stock, $0.001 par value, issued and outstanding.

In this Quarterly Report on Form 10-Q, the terms “RespireRx,” the “Company,” “we,” “us” and “our” refer to RespireRx Pharmaceuticals Inc. a Delaware corporation, and, unless the context indicates otherwise, its consolidated subsidiaries.

This Quarterly Report on Form 10-Q of RespireRx Pharmaceuticals Inc., referred to herein as our “Q1 2022 Quarterly Report” (“RespireRx” and together with RespireRx’s wholly owned subsidiary, Pier Pharmaceuticals, Inc. (“Pier”), the “Company,” “we,” or “our,” unless the context indicates otherwise) contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and the Company intends that such forward-looking statements be subject to the safe harbor created thereby. These might include statements regarding the Company’s future plans, targets, estimates, assumptions, financial position, business strategy and other plans and objectives for future operations, and assumptions and predictions about research and development efforts, including, but not limited to, preclinical and clinical research design, execution, timing, costs and results, future product demand, supply, manufacturing, costs, marketing and pricing factors.

In some cases, forward-looking statements may be identified by words including “assumes,” “could,” “ongoing,” “potential,” “predicts,” “projects,” “should,” “will,” “would,” “anticipates,” “believes,” “intends,” “estimates,” “expects,” “plans,” “contemplates,” “targets,” “continues,” “budgets,” “may,” or the negative of these terms or other comparable terminology, although not all forward-looking statements contain these words, and such statements may include, but are not limited to, statements regarding (i) future research plans, expenditures and results, (ii) potential collaborative arrangements, (iii) the potential utility of the Company’s products candidates, (iv) reorganization plans, and (v) the need for, and availability of, additional financing. Forward-looking statements are based on information available at the time the statements are made and involve known and unknown risks, uncertainties and other factors that may cause our results, levels of activity, performance or achievements to be materially different from the information expressed or implied by the forward-looking statements in this ~~report.~~Q1 2022 Quarterly Report.

These factors include but are not limited to, regulatory policies or changes thereto, available cash, research and development results, issuance of patents, competition from other similar businesses, interest of third parties in collaborations with us, and market and general economic factors, and other risk factors disclosed in ~~“Item 1A. Risk Factors” in the Company’s~~our Annual Report on Form 10-K for the fiscal year ended December 31, ~~2020,~~2021 as filed with the SEC on April 15, ~~2021~~2022 (the ~~“2020~~“2021 Form 10-K”). and as may be included in this Q1 2022 Quarterly Report.

You should read these risk factors and the other cautionary statements made in the Company’s filings as being applicable to all related forward-looking statements wherever they appear in this ~~report.~~Q1 2022 Quarterly Report. We cannot assure you that the forward-looking statements in this ~~report~~Q1 2022 Quarterly Report or in our 2021 Annual Report will prove to be accurate and therefore prospective investors are encouraged not to place undue reliance on forward-looking statements. You should read this ~~report~~Q1 2022 Quarterly Report completely. Other than as required by law, we undertake no obligation to update or revise these forward-looking statements, even though our situation may change in the future.

We caution investors not to place undue reliance on any forward-looking statement that speaks only as of the date made and to recognize that forward-looking statements are predictions of future results, which may not occur as anticipated. Actual results could differ materially from those anticipated in the forward-looking statements and from historical results, due to the risks and uncertainties described in ~~the 2020 Form 10-K~~this Q1 2022 Quarterly Report and ~~in this report,~~our 2021 Annual Report, as well as others that we may consider immaterial or do not anticipate at this time. These forward-looking statements are based on assumptions regarding the Company’s business and technology, which involve judgments with respect to, among other things, future scientific, economic, regulatory and competitive conditions, collaborations with third parties, and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond the Company’s control. Although we believe that the expectations reflected in our forward-looking statements are reasonable, we do not know whether our expectations will prove correct. Our expectations reflected in our forward-looking statements can be affected by inaccurate assumptions that we might make or by known or unknown risks and uncertainties, including those described in ~~the 2020 Form 10-K~~this Q1 2022 Quarterly Report and ~~in this report.~~our 2021 Annual Report. These risks and uncertainties are not exclusive and further information concerning us and our business, including factors that potentially could materially affect our financial results or condition, may emerge from time to time.

For more information about the risks and uncertainties the Company faces, see “Item 1A. Risk Factors” in our 2020 Form 10-K, and subsequent reports and registration statements filed from time to time with the SEC. Forward-looking statements speak only as of the date they are made. The Company does not undertake and specifically declines any obligation to update any forward-looking statements or to publicly announce the results of any revisions to any statements to reflect new information or future events or developments. We advise investors to consult any further disclosures we may make on related subjects in our annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K that we file with or furnish to the SEC.

	June 30, 2021			December 31, 2020				March 31, 2022			December 31, 2021
		(unaudited)					March 31, 2022			December 31, 2021
ASSETS
							(unaudited)
Current assets:
Cash	$	32,056		$	825
Cash and cash equivalents							$	252		$	1,398
Deferred financing costs		-			52,609			-			177,883
Prepaid expenses		110,397			31,653			103,079			29,456

Total current assets		142,453			85,087			103,331			208,737

Total assets	$	142,453		$	85,087		$	103,331		$	208,737

LIABILITIES AND STOCKHOLDERS’ DEFICIENCY
Current liabilities:
Accounts payable and accrued expenses, including amounts owed to related parties	$	5,138,775		$	4,923,947
Accounts payable and accrued expenses, including amounts owed to related parties (Note 5)							$	5,479,486		$	5,235,767
Accrued compensation and related expenses		2,131,659			1,540,809			2,788,508			2,608,708
Convertible notes payable, including accrued interest of $98,518 and $85,693 at June 30, 2021 and December 31, 2020, respectively, which includes accrued interest to related parties (Note 4)		351,773			414,860
Note payable to SY Corporation, including accrued interest of $435,174 and $411,385 at June 30, 2021 and December 31, 2020, respectively (payment obligation currently in default – Note 4)		856,086			864,551
Notes payable to officer, including accrued interest (Note 4)		214,164			213,067
Convertible notes payable, currently due and payable on demand, including accrued interest of $181,219 and $151,391 at March 31, 2022 and December 31, 2021, respectively (Note 4)								1,029,764			790,153
Note payable to SY Corporation, including accrued interest of $472,186 and $459,358 at March 31, 2022 and December 31, 2021, respectively, payment obligation currently in default (Note 4)								832,496			837,104
Notes and advances payable to officers, including accrued interest (Note 4)								255,681			230,356
Notes payable to former officer, including accrued interest (Note 4)		195,817			186,565			210,282			205,222
Other short-term notes payable		71,060			4,608			111,035			15,185

Total current liabilities		8,959,334			8,148,407			10,707,252			9,922,495

Long-term liabilities
Long-term accounts payable associated with payment settlement agreements, including long-term accounts payable due to affiliates of $264,000 and $294,000 at March 31, 2022 and December 31, 2021, respectively (Note 5)								264,000			294,000

Total long-term liabilities								264,000			294,000

Total liabilities								10,971,252			10,216,495

Commitments and contingencies (Note 8)								-

Stockholders’ deficiency: (Note 6)
Series B convertible preferred stock, $0.001 par value; $0.6667 per share liquidation preference; aggregate liquidation preference $25,001; shares authorized, issued and outstanding: 37,500; common share issuable upon conversion at 0.000030 common shares per Series B share: 1		21,703			21,703
Common stock, $0.001 par value; shares authorized: 2,000,000,000; shares issued and outstanding: 90,396,596 at June 30, 2021 and 71,271,095 at December 31, 2020, respectively (Note 2 and Note 6)		90,397			71,271
Series B convertible preferred stock, $0.001 par value; $0.6667 per share liquidation preference; aggregate liquidation preference $25,001; shares authorized: 37,500; shares issued and outstanding: 37,500; common shares issuable upon conversion at 0.000030 common shares per Series B share: 1								21,703			21,703
Common stock, $0.001 par value; shares authorized: 2,000,000,000; shares issued and outstanding: 97,894,276 outstanding at March 31, 2022 and at December 31, 2021, respectively								97,894			97,894
Additional paid-in capital		163,543,778			162,654,002			163,827,781			163,827,781
Accumulated deficit		(172,472,759	)		(170,810,296	)		(174,815,299	)		(173,955,136	)

Total stockholders’ deficiency		(8,816,881	)		(8,063,320	)		(10,867,921	)		(10,007,758	)

Total liabilities and stockholders’ deficiency	$	142,453		$	85,087		$	103,331		$	208,737

See accompanying notes to condensed consolidated financial statements (unaudited).

RespireRx Pharmaceuticals Inc. (“RespireRx”) was formed in 1987 under the name Cortex Pharmaceuticals, Inc. to engage in the discovery, development and commercialization of innovative pharmaceuticals for the treatment of neurological and psychiatric disorders. On December 16, 2015, RespireRx filed a Certificate of Amendment to its Second Restated Certificate of Incorporation (as amended, the “Certificate of Incorporation”) with the Secretary of State of the State of Delaware to amend its Second Restated Certificate of Incorporation to change its name from Cortex Pharmaceuticals, Inc. to RespireRx Pharmaceuticals Inc. In August 2012, RespireRx acquired Pier Pharmaceuticals, Inc. (“Pier”), which is now a wholly owned subsidiary. Pier was a clinical stage biopharmaceutical company developing a pharmacologic treatment for obstructive sleep apnea (“OSA”) and had been engaged in research and clinical development activities which activities are now in RespireRx.

The condensed consolidated financial statements are of RespireRx and its wholly-owned subsidiary, Pier (collectively referred to herein as the “Company,” “we” or “our,” unless the context indicates otherwise). The condensed consolidated financial statements of the Company at ~~June 30, 2021~~March 31, 2022 and for the three-months ended March 31, 2022 and ~~six-months ended June 30,~~ 2021, ~~and 2020,~~ are unaudited. In the opinion of management, all adjustments (including normal recurring adjustments) have been made that are necessary to present fairly the condensed consolidated financial position of the Company, the condensed results of operations, condensed changes in stockholders’ deficiency and condensed changes in cash flows as of ~~June 30, 2021, the results of its condensed consolidated operations~~and for the ~~three-months~~periods ended March 31, 2022 and six-months ended June 30, 2021 and 2020, changes in its condensed consolidated statements of stockholders’ deficiency for the three-months and six-months ended June 30, 2021 and 2020 and its condensed consolidated cash flows for the six-months ended June 30, 2021 and 2020.2021. Condensed consolidated operating results for the interim periods presented are not necessarily indicative of the results to be expected for a full fiscal year. The consolidated balance sheet at December 31, ~~2020~~2021 has been derived from the Company’s audited consolidated financial statements at such date. For comparative purposes, certain 2021 and 2020 amounts, including, but not limited to, share and per share amounts, par value and additional paid-in capital have been adjusted to a post-reverse stock split basis which occurred on January 5, 2021.

The condensed consolidated financial statements and related notes have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain information and note disclosures normally included in financial statements prepared in accordance with United States generally accepted accounting principles (“GAAP”) have been omitted pursuant to such rules and regulations. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and other information included in the Company’s Annual Report on Form 10-K atfor the fiscal year ended December 31, ~~2020~~2021 as filed with the SEC on April 15, 2022 (“~~2020~~2021 Form ~~10-K)~~10-K”).

The mission of the Company is to develop innovative and revolutionary treatments to combat disorders caused by disruption of neuronal signaling. We are developing treatment options that address conditions ~~that affect~~affecting millions of people, but for which there are limited or poor treatment options, including ~~obstructive sleep apnea (“OSA”),~~OSA, attention deficit hyperactivity disorder (“ADHD”), epilepsy, acute and chronic pain, including inflammatory and neuropathic pain, recovery from spinal cord injury (“SCI”)~~, as well as~~ and certain orphan disorders. We are also considering developing treatment options for other ~~areas of interest~~conditions based on results of preclinical and clinical studies to date.

~~RespireRx~~In order to facilitate our business activities and product development, the Company has implemented an internal restructuring plan based upon our two research platforms: pharmaceutical cannabinoids and neuromodulators. The business unit focused on pharmaceutical cannabinoids is ~~developing a pipeline of new drug products based~~referred to as ResolutionRx and the business unit focused on ~~our broad patent portfolios across~~neuromodulators is referred to as EndeavourRx. It is anticipated that the Company will use, at least initially, its management personnel to provide management, operational and oversight services to these two ~~distinct drug platforms:~~business units.

Management intends to organize our ResolutionRx and EndeavourRx business units into two subsidiaries: (i) a ResolutionRx subsidiary, into which we would contribute our pharmaceutical cannabinoid platform and its related tangible and intangible assets and certain of its liabilities and (ii) an EndeavourRx subsidiary, into which we would contribute our neuromodulator platform, including either or both of the AMPAkine and GABAkine programs and their related tangible and intangible assets and certain of their liabilities.

Management believes that there are advantages to separating these platforms formally into newly formed subsidiaries, including but not limited to optimizing their asset values through separate financing channels and making them more attractive for capital raising as well as for strategic transactions.

The Company is also engaged in business development efforts (licensing, sub-licensing, joint venture and other commercial structures) with a view to securing strategic partnerships that represent strategic and operational infrastructure additions, as well as cash and in-kind funding opportunities. These efforts have focused on, but have not been limited to, transacting with brand and generic pharmaceutical and biopharmaceutical companies as well as companies with potentially useful clinical development, formulation or manufacturing capabilities, significant subject matter expertise and financial resources. No assurance can be given that any transaction will come to fruition and that, if it does, the terms will be favorable to the Company.

Our major challenge has been to raise substantial equity or equity-linked financing to support research and development plans for our ~~pharmaceutical~~ cannabinoid and neuromodulator platforms, while minimizing the dilutive effect to pre-existing stockholders. At present, we believe that we are hindered primarily by our public corporate structure, our OTCQB listing, and low market capitalization as a result of our low stock price.

For this reason, the Company has ~~implemented~~effected an internal restructuring plan through which our two drug platforms have been reorganized into separate business units and may in the future, be organized into subsidiaries of RespireRx. We believe that by creating one or more subsidiaries to further the aims of ResolutionRx and EndeavourRx, it may be possible, through separate finance channels, to ~~optimize~~unlock the unrealized asset values of each. ~~We are also planning~~

The Company filed a Form 1-A which included an offering circular that was qualified by The Securities and Exchange Commission on December 13, 2021 and subsequently amended. The offering is of the Company’s common stock and is up to ~~commence, assuming~~$7.5 million at $0.02 per share and allows for multiple closings until October 31, 2023 unless earlier terminated by the ~~SEC qualifies~~Company. As of March 31, 2022, no closings had taken place, the Company’s stock price had been below the offering ~~a securities~~price and unless our stock price increases in the future, it would be unlikely that this particular offering ~~pursuant to Regulation A under the Securities Act. See Note 9. Subsequent Events –~~ ~~Filing of Form 1-A~~ ~~for further information.~~will provide significant, if any, new funds.

The Company’s condensed consolidated financial statements have been presented on the basis that it is a going concern, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. The Company has incurred net losses of $~~812,214~~ ~~and $1,662,463~~860,163 for the three-months ended March 31, 2022 and ~~six-months ended June 30, 2021, respectively,~~a net loss attributable to commons shareholders of $3,144,840, and after accounting for deemed dividends, a total net loss of $~~4,301,211~~3,522,882 for the fiscal year ended December 31, ~~2020,~~2021, as well as negative operating cash flows of $~~688,571~~23,133 for the ~~six-months~~three-months ended ~~June 30, 2021~~March 31, 2022 and $~~513,001~~956,172 for the fiscal year ended December 31, ~~2020.~~2021. The Company also had a stockholders’ deficiency of $~~8,816,881~~10,867,921 at ~~June 30, 2021~~March 31, 2022 and expects to continue to incur net losses and negative operating cash flows for at least the next few years. Additionally, all of the Company’s convertible notes have maturity dates within one year and must be paid, converted or otherwise have maturity dates extended in order to avoid a default on such convertible notes. In addition, the Company’s obligation to the University of Illinois of $100,000 that was due on December 31, 2021, was extended to and is due on May 31, 2022. The Company is currently in discussions with the University of Illinois to further extend the due date. In the past, the Company has been successful in getting maturity dates extended or having convertible note holders repaid via conversion. In addition, the Company has been successful in having license payment due dates extended and then meeting the payment obligations on such extended dates or further extended dates. There can be no assurance that the Company will remain successful in those efforts. As a result, management has concluded that there is substantial doubt about the Company’s ability to continue as a going concern, and the Company’s independent registered public accounting firm, in its report on the Company’s consolidated financial statements for the year ended December 31, ~~2020,~~2021, expressed substantial doubt about the Company’s ability to continue as a going concern.

The Company is currently, and has for some time, been in significant financial distress. It has extremely limited cash resources and current assets and has no ongoing source of sustainable revenue. Management is continuing to address various aspects of the Company’s operations and obligations, including, without limitation, debt obligations, financing requirements, intellectual property, licensing agreements, legal and patent matters and regulatory compliance, and has taken steps to continue to raise new debt and equity capital to fund the Company’s business activities from both related and unrelated parties.

The Company is continuing its efforts to raise additional capital in order to be able to pay its liabilities and fund its business activities on a going forward basis, including the pursuit of the Company’s planned research and development activities. The Company regularly evaluates various measures to satisfy the Company’s liquidity needs, including development and other agreements with collaborative partners and, when necessary, seeking to exchange or restructure the Company’s outstanding securities. The Company is evaluating certain changes to its operations and structure to facilitate raising capital from sources that may be interested in financing only discrete aspects of the Company’s development programs. Such changes could include a significant reorganization, which may include the formation of one or more subsidiaries into which one or more programs may be contributed. As a result of the Company’s current financial situation, the Company has limited access to external sources of debt and equity financing. Accordingly, there can be no ~~assurance~~assurances that the Company will be able to secure additional financing in the amounts necessary to fully fund its operating and debt service requirements. If the Company is unable to access sufficient cash resources, the Company may be forced to discontinue its operations entirely and liquidate.

The accompanying condensed consolidated financial statements are prepared in accordance with GAAP and include the financial statements of RespireRx and its wholly-owned subsidiary, Pier. Intercompany balances and transactions have been eliminated in consolidation.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates include, among other things, accounting for potential liabilities, and the assumptions used in valuing stock-based compensation issued for services. Actual amounts may differ from those estimates.

On January 5, 2021, the Company effected a ten to one reverse-stock split of its common stock. Every ten shares of the “old” common stock was exchanged for one “new” share of common stock rounded down to the nearest whole share with any fractional shares of common stock paid to the stockholder in cash. Option and warrant issuances prior to January 5, 2021 have also been proportionately adjusted by dividing the number of shares into which such options and warrants may exercise by ten and multiplying the exercise price by ten. The effect of the reverse-stock split has been reflected retroactively in the Company’s consolidated financial statements as of December 31, 2020 and any interim periods in 2020. Certain amount with respect to 2019 that appear in these condensed consolidated financial statements have also been reflected on a post reverse-stock split basis.

Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents. The Company limits its exposure to credit risk by investing its cash with high quality financial institutions. The Company’s cash balances may periodically exceed federally insured limits. The Company has not experienced a loss in such accounts to date.

The authoritative guidance with respect to value of financial instruments established a value hierarchy that prioritizes the inputs to valuation techniques used to measure value into three levels and requires that assets and liabilities carried at value be classified and disclosed in one of three categories, as presented below. Disclosure as to transfers into and out of Levels 1 and 2, and activity in Level 3 value measurements, is also required.

Level 1. Observable inputs such as quoted prices in active markets for an identical asset or liability that the Company has the ability to access as of the measurement date. Financial assets and liabilities utilizing Level 1 inputs include active-exchange traded securities and exchange-based derivatives.

Level 2. Inputs, other than quoted prices included within Level 1, which are directly observable for the asset or liability or indirectly observable through corroboration with observable market data. Financial assets and liabilities utilizing Level 2 inputs include fixed income securities, non-exchange based derivatives, mutual funds, and fair-value hedges.

Level 3. Unobservable inputs in which there is little or no market data for the asset or liability which requires the reporting entity to develop its own assumptions. Financial assets and liabilities utilizing Level 3 inputs include infrequently-traded, non-exchange-based derivatives and commingled investment funds, and are measured using present value pricing models.

The Company determines the level in the value hierarchy within which each value measurement falls in its entirety, based on the lowest level input that is significant to the value measurement in its entirety. In determining the appropriate levels, the Company performs an analysis of the assets and liabilities at each reporting period end.

The carrying amounts of financial instruments (consisting of cash, cash equivalents, and accounts payable and accrued expenses) are considered by the Company to be representative of the respective values of these instruments due to the short-term nature of those instruments. With respect to the note payable to SY Corporation Co., Ltd. (“SY Corporation”) and the convertible notes payable, management does not believe that the credit markets have materially changed for these types of borrowings since the original borrowing date. The Company considers the carrying amounts of the notes payable to officers, inclusive of accrued interest, to be representative of the respective values of such instruments due to the short-term nature of those instruments and their terms.

Costs incurred in connection with ongoing debt and equity financings, including legal fees, are deferred until the related financing is either completed or ~~abandoned.~~abandoned or are unlikely to be completed.

Costs related to abandoned debt or equity financings are charged to operations in the period of abandonment. Costs related to completed equity financings are netted against the proceeds.

The Company presents debt issuance costs related to debt obligations in its consolidated balance sheet as a direct deduction from the carrying amount of that debt obligation, consistent with the presentation for debt discounts.

Convertible notes are evaluated to determine if they should be recorded at amortized cost. To the extent that there are associated warrants, commitment shares of ~~common stock~~Common Stock or a beneficial conversion feature, the convertible notes and equity or equity-linked securities are evaluated to determine if there are embedded derivatives to be identified, bifurcated and valued in connection with and at the time of such financing.

The Company accounts for the extinguishment of debt and settlement of liabilities by comparing the carrying value of the debt or liability to the value of consideration paid or assets given up and recognizing a loss or gain in the condensed consolidated statement of operations in the amount of the difference in the period in which such transaction occurs. See Note ~~4 for additional information.~~4. Notes Payable.

Prepaid insurance represents the ~~premiums paid~~premium due in March ~~2021~~2022 for directors and officers ~~insurance and other insurance in April 2021.~~insurance. The amounts of prepaid insurance amortizable in the ensuing twelve-month period are recorded as prepaid insurance in the Company’s consolidated balance sheet at each reporting date and amortized to the Company’s consolidated statement of operations for each reporting period.

The Company periodically issues common stock and stock options to officers, directors, Scientific Advisory Board members, consultants and vendors for services rendered. Such issuances vest and expire according to terms established at the issuance date of each grant.

The Company accounts for stock-based payments to officers, directors, outside consultants and vendors by measuring the cost of services received in exchange for equity awards based on the grant date fair value of the awards, with the cost recognized as compensation expense on the straight-line basis in the Company’s consolidated financial statements over the vesting period of the awards.

Stock grants and stock options, which are sometimes subject to time-based vesting, are measured at the grant date fair value and charged to operations ratably over the vesting period.

The value of stock options granted as stock-based payments is determined utilizing the Black-Scholes option-pricing model, and is affected by several variables, the most significant of which are the life of the equity award, the exercise price of the stock option as compared to the fair market value of the common stock on the grant date, and the estimated volatility of the common stock over the term of the equity award. Estimated volatility is based on the historical volatility of the Company’s common stock. The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant. The fair market value of common stock is determined by reference to the quoted market price of the Company’s common stock.

Stock and stock option grants and warrants issued to non-employees as compensation for services to be provided to the Company or in settlement of debt are accounted for based upon the fair value of the services provided or the estimated fair value of the stock option or warrant, whichever can be more clearly determined. Management uses the Black-Scholes option-pricing model to determine the fair value of the stock options and warrants issued by the Company. The Company recognizes this expense over the period in which the services are provided.

There were 0 stock or stock option grants during the ~~six-months~~three-months ended ~~June 30, 2021.~~March 31, 2022.

The Company recognizes the amortized value of stock-based payments in general and administrative costs and in research and development costs, as appropriate, in the Company’s condensed consolidated statements of operations. The Company issues new shares of common stock to satisfy stock option and warrant exercises. There were 0 stock options exercised during the ~~six-months~~three-months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ respectively.

There were ~~warrants to purchase~~ ~~380,568~~ 0~~shares of common stock~~ warrants issued as compensation or for services during the ~~six-months~~three-months ended ~~June 30, 2021~~March 31, 2022 and ~~NaNduring the six-months ended June 30, 2020.~~2021. Warrants, if issued for services, are typically issued to placement agents or brokers for fund raising ~~services. In addition warrants to purchase~~ ~~11,256,333~~ ~~shares of common stock were issued during the six-months ended June 30, 2021~~services, or to lenders, ~~with respect to or in association with the issuance of convertible notes to such lenders. Warrant~~and are not issued from any of the Company’s stock and option plans, from which options issued to non-employees for services are typically issued.

The Company accounts for income taxes under an asset and liability approach for financial accounting and reporting for income taxes. Accordingly, the Company recognizes deferred tax assets and liabilities for the expected impact of differences between the financial statements and the tax basis of assets and liabilities.

The Company records a valuation allowance to reduce its deferred tax assets to the amount that is more likely than not to be realized. In the event the Company was to determine that it would be able to realize its deferred tax assets in the future in excess of its recorded amount, an adjustment to the deferred tax assets would be credited to operations in the period such determination was made. Likewise, should the Company determine that it would not be able to realize all or part of its deferred tax assets in the future, an adjustment to the deferred tax assets would be charged to operations in the period such determination was made.

Pursuant to Internal Revenue Code Sections 382 and 383, use of the Company’s net operating loss and credit carryforwards may be limited if a cumulative change in ownership of more than 50% occurs within any three-year period since the last ownership change. The Company may have had a change in control under these Sections. However, the Company does not anticipate performing a complete analysis of the limitation on the annual use of the net operating loss and tax credit carryforwards until the time that it anticipates it will be able to utilize these tax attributes.

As of ~~June 30, 2021,~~March 31, 2022, the Company did not have any unrecognized tax benefits related to various federal and state income tax matters and does not anticipate any material amount of unrecognized tax benefits within the next 12 months.

The Company is subject to U.S. federal income taxes and income taxes of various state tax jurisdictions. As the Company’s net operating losses have yet to be utilized, all previous tax years remain open to examination by Federal authorities and other jurisdictions in which the Company currently operates or has operated in the past.

The Company accounts for uncertainties in income tax law under a comprehensive model for the financial statement recognition, measurement, presentation and disclosure of uncertain tax positions taken or expected to be taken in income tax returns as prescribed by GAAP. The tax effects of a position are recognized only if it is “more-likely-than-not” to be sustained by the taxing authority as of the reporting date. If the tax position is not considered “more-likely-than-not” to be sustained, then no benefits of the position are recognized. As of ~~June 30, 2021,~~March 31, 2022, the Company had not recorded any liability for uncertain tax positions. In subsequent periods, any interest and penalties related to uncertain tax positions will be recognized as a component of income tax expense.

The note payable to SY Corporation, which is denominated in a foreign currency (the South Korean Won), is translated into the Company’s functional currency (the United States Dollar) at the exchange rate on the balance sheet date. The foreign currency exchange gain or loss resulting from translation is recognized in the related condensed consolidated statements of operations.

Research and development costs include compensation paid to management directing the Company’s research and development activities, including but not limited to compensation paid to our Chief Scientific Officer who is also our Executive Chairman, our Interim President and our Interim Chief Executive Officer, and fees paid to consultants and outside service providers and organizations (including research institutes at universities), and other expenses relating to the acquisition, design, development and clinical testing of the Company’s treatments and product candidates.

Obligations incurred with respect to mandatory payments provided for in license agreements are recognized ratably over the appropriate term, as specified in the underlying license agreement, and are recorded as liabilities in the Company’s condensed consolidated balance sheet, with a corresponding charge to research and development costs in the Company’s condensed consolidated statement of operations. Obligations incurred with respect to milestone payments provided for in license agreements are recognized when it is probable that such milestone will be reached and are recorded as liabilities in the Company’s condensed consolidated balance sheet, with a corresponding charge to research and development expenses in the Company’s condensed consolidated statement of operations.

Due to the significant uncertainty associated with the successful development of one or more commercially viable products based on the Company’s research efforts and any related patent applications, all patent costs, including patent-related legal and filing fees, are expensed as incurred and recorded as general and administrative expenses.

The Company’s computation of earnings per share (“EPS”) includes basic and diluted EPS. Basic EPS is measured as the income (loss) attributable to common stockholders divided by the weighted average common shares outstanding for the period. Diluted EPS is similar to basic EPS but presents the dilutive effect on a per share basis of potential common shares (e.g., warrants and options) as if they had been converted at the beginning of the periods presented, or issuance date, if later. Potential common shares that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS.

Net loss attributable to common stockholders consists of net loss, as adjusted for actual and deemed preferred stock dividends declared, amortized or accumulated.

Loss per common share is computed by dividing net loss by the weighted average number of shares of common stock outstanding during the respective periods. Basic and diluted loss per common share is the same for all periods presented because all warrants and stock options outstanding are anti-dilutive.

At ~~June 30,~~March 31, 2022 and 2021 ~~and 2020~~ the Company excluded the outstanding securities summarized below, which entitle the holders thereof to acquire shares of common stock, from its calculation of earnings per share, as their effect would have been anti-dilutive.

Schedule of ~~Anti-dilutive~~Antidilutive Securities Excluded from Computation of Earnings Per Share

Certain comparative figures in ~~2020~~2021 have been reclassified to conform to the current quarter’s presentation. These reclassifications were immaterial, both individually and in the aggregate.

In August 2020, the FASB issued Accounting Standards Update No. 2020-06, Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40). The subtitle is Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. This Accounting Standard Update (“ASU”) addresses complex financial instruments that have characteristics of both debt and equity. The application of this ASU would reduce the number of accounting models for convertible debt instruments and convertible preferred stock. Limiting the accounting models would result in fewer embedded conversion features being separately recognized from the host contract as compared with current GAAP. Convertible instruments that continue to be subject to separation models are (1) those with embedded conversion features that are not clearly and closely related to the host contract, that meet the definition of a derivative, and that do not qualify for a scope exception from derivative accounting and (2) convertible debt instruments issued with substantial premiums for which the premiums are recorded as paid-in capital. The Company has historically issued complex financial instruments and has considered whether embedded conversion features have existed within those contracts or whether derivatives would appropriately be bifurcated. To date, no such bifurcation has been necessary. However, it is possible that this ASU may have a substantial impact on the Company’s financial statements. Management is evaluating the potential impact. This ASU becomes effective for fiscal years beginning after December 15, 2023.

In January 2020, the FASB issued ASU 2020-01, Clarifying the Interactions between Topic 321, Topic 323, Equity Method and Joint Ventures, and Topic 815, Derivatives and Hedging which represents an amendment clarifying the interaction between accounting standards related to equity securities, equity method investments and certain derivatives. The guidance is effective for fiscal years beginning after December 15, 2020. Management is currently evaluating the impact the guidance will have on our consolidated financial statements.

On April 1, 2021, May 3, 2021, May 10, 2021 and June 30, 2021, the Company closed on financings, pursuant to which, four convertible notes were issued to three separate investors, due in each case, one year from the effective date (which for the first, second and fourth closings was March 31, 2021, April 30, 2021 and June 29, 2021, respectively), with maturity amounts of $~~112,500, $150,000,~~ $~~150,000~~ ~~and $115,000~~, ~~respectively. In addition, the noteholders received as consideration, warrants to purchase~~ ~~2,400,000~~, ~~3,200,000,~~ ~~3,200,000~~ ~~and~~ ~~2,453,333~~ ~~shares of common stock, respectively, each exercisable at $0.02~~ ~~per share for five years. The Company received net proceeds of $96,750, $123,400,~~ $~~123,400~~ ~~and $100,000~~ ~~respectively, for an aggregate of $443,550~~. The difference between the maturity amounts and the net proceeds were due to original issue discounts, investor legal fees and in two cases, broker fees. The four notes are convertible at a fixed price of $~~0.02~~ ~~per share and bear interest at~~ ~~10%~~ ~~per year which interest is guaranteed regardless of prepayment. The Company has the right to prepay the notes during the first six months subject to prepayment premiums that range from~~ 0% to ~~15%~~ (~~100%~~ to ~~115%~~ ~~of the maturity amount plus accrued interest and any default interest and similar costs).~~

The Company periodically issues convertible notes with similar characteristics. As described in the table below, during the ~~six-months~~three-months ended ~~June 30, 2021,~~March 31, 2022, there were ~~eight~~nine such notes outstanding (including the convertible notes described in the paragraph above), two of which were satisfied in full by conversion of both principal and interest and one of which was satisfied in part, principal only, during that period. These notesoutstanding. Notes all have ~~or had~~ a fixed conversion price of $0.02per share of ~~common stock,~~Common Stock, subject to adjustment in certain circumstances. An adjustment to $0.01 per share of Common Stock was made on April 14, 2022 pursuant to the “most favored nation clauses” of such notes upon the issuance of a similar convertible note, but with a $0.01 per share of Common Stock conversion price. See Note 9. Subsequent Events. All, ~~notes~~ but one of the notes had an annual interest rate of ~~10%~~ 10% which was guaranteed in full. ~~One~~The note ~~had an~~that did not have a 10% annual interest rate ofhad an 8%8.% rate. The convertible notes had an original issue discount (“OID”), certain notes had debt issuance costs (“DIC”) that were capitalized by the Company, a warrant (“WT”) or commitment shares (“CS”) and in ~~two~~seven cases a beneficial conversion feature (“BCF”). The OID, CN, WTs, CSs and BCF allocated values are amortized over the life of the notes to interest expense. All notes mature or matured nine to fifteen months from their issuance date. All notes were prepayable by the Company during the first six months, subject to prepayment premiums that range from ~~100%~~ 100% to ~~115%~~ 115% of the maturity amount plus accrued interest. If not earlier paid, the notes ~~were~~are convertible by the holder into the Company’s ~~common stock. Two of the notes were paid before maturity.~~Common Stock.

The table below summarizes the convertible notes ~~with similar characteristics~~ outstanding during the three months ended and as of ~~June 30, 2021 and the~~March 31, 2022. There were no repayments by conversion during the ~~six-months~~three-months ended ~~June 30, 2021:~~March 31, 2022, however there was one partial conversion in April 2022 (see also Note 9. Subsequent Events):

In addition to what appears in the table above, there is outstanding accrued interest of $2,747 from a prior floating rate convertible note that has not been paid in cash or by conversion as of ~~June 30, 2021.~~March 31, 2022.

On ~~July 27, 2021,~~April 14, 2022, the Company issued a convertible note and related warrants to an investor with a maturity ~~date~~amount of $25,000, bearing interest at 10% per annum, maturing on April 14, 2023, convertible at $0.01 per share of common stock. A warrant is exercisable into 2,777,800 shares of Common Stock for a term of five years. The issuance triggered most-favored-nation (“MFN”) clauses in certain convertible notes in the above table. See Note 9. Subsequent Events in the notes to our condensed consolidated financial statements as of March 31, 2022 for a more detailed description of this transaction and the effect of the ~~note scheduled to mature on~~ ~~July 28, 2021~~MFN. ~~was extended to~~ ~~December 1, 2021~~ ~~and the original and remaining principal amount of the note was increased by $5,000~~ ~~from $40,000~~ ~~to $45,000~~ ~~and from $15,000~~ ~~to $20,000~~ ~~respectively, with interest on the incremental increase in principal amount accruing from the note inception date. See Note 9 for additional information.~~

~~In addition to the convertible notes with similar characteristics described above, on~~On December 31, 2018 and January 2, 2019, the Company issued convertible notes to a single investor totaling $35,000of maturity amount with accrued interest of $~~9,321~~ 12,785as of ~~June 30, 2021.~~March 31, 2022. The number of shares of common stock (or preferred stock) into which these notes may convert is not determinable. The warrants to purchase 19,000shares of common stock issued in connection with the sale of these notes and other convertible notes issued December 2018 and March 2019 are exercisable at a fixed price of $15.00per share of common stock, provide no right to receive a cash payment, and included no reset rights or other protections based on subsequent equity transactions, equity-linked transactions or other events and expire on December 30, 2023.

Other convertible notes were also sold to investors in 2014 and 2015 (“Original Convertible ~~Notes”)~~Notes), which aggregated a total of $579,500, and had a fixed interest rate of ~~10%~~ 10% per annum. The Original Convertible Notes have no reset rights or other protections based on subsequent equity transactions, equity-linked transactions or other events. The warrants to purchase shares of common stock issued in connection with the sale of the ~~Original Convertible Notes~~convertible notes have either been exchanged as part of April and May 2016 note and warrant exchange agreements ~~executed in April and May of 2016~~ or expired on September 15, 2016.

The remaining outstanding Original Convertible Notes (including those for which default notices have been received) consist of the following at ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020:~~2021:

As of ~~June 30, 2021,~~March 31, 2022, principal and accrued interest on the Original Convertible Note that is subject to a default notice accrues annual interest at ~~12%~~12% instead of ~~10%~~10%, totaled $~~51,111~~58,311, of which $~~26,111~~34,357 was accrued interest. As of December 31, ~~2020,~~2021, principal and accrued interest on Original Convertible Notes subject to default notices totaled $~~48,700~~57,084 of which $~~23,700~~32,085 was accrued interest.

As of ~~June 30, 2021~~March 31, 2022 all of the outstanding Original Convertible Notes, inclusive of accrued interest, were convertible into an aggregate of ~~1,286~~1,412 shares of the Company’s common ~~stock.~~stock at a conversion price of approximately $114 per share of Common Stock. Such Original Convertible Notes will continue to accrue interest until exchanged, paid or otherwise discharged. There can be no assurance that any of the additional holders of the remaining Original Convertible Notes will exchange their Original Convertible Notes.

On June 25, 2012, the Company borrowed 465,000,000 Won (the currency of South Korea, equivalent to approximately $400,000 United States Dollars as of that date) from and executed a secured note payable to SY Corporation Co., Ltd., (“SY Corporation”). The note accrues simple interest at the rate of ~~12%~~12% per annum and had a maturity date of June 25, 2013. The Company has not made any payments on the promissory note. At June 30, 2013 and subsequently, the promissory note was outstanding and in default, although SY Corporation has not issued a notice of default or a demand for repayment. Management believes that SY Corporation is in default of its obligations under its January 2012 license agreement, as amended, with the Company, but the Company has not yet issued a notice of default. The Company has in the past made several efforts towards a comprehensive resolution of the aforementioned matters involving SY Corporation. During the ~~six-months~~three-months ended ~~June 30, 2021,~~March 31, 2022, there were no further communications between the Company and SY Corporation.

The promissory note is secured by collateral that represents a lien on certain patents owned by the Company, dating back to January, August and September 2007, including composition of matter patents for certain of the Company’s high impact ampakine compounds and the low impact ampakine compounds CX2007 and CX2076, and other related compounds that the Company is no longer developing and where patent rights date back to January, August and September 2007. The security interest does not extend to the Company’s patents for its ~~low impact~~ ampakine compounds ~~such as CX717,~~ CX1739 and CX1942 or certain related method of use patents.

The note payable to SY Corporation consists of the following at ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020:~~2021:

Interest expense with respect to this promissory note was $~~23,789~~ 11,829~~and $23,921~~ ~~for the six-months ended June 30, 2021 and 2020, respectively, and $11,960~~for the three-months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020.~~respectively.

~~The following amounts were~~For the three-months ended March 31, 2022 and 2021, $3,338 and $3,034 was charged to interest expense with respect to Dr. Arnold S. Lippa’s notes, respectively.

In addition, Dr. Lippa periodically makes advances to the Company which are re-payable upon demand, do not accrue interest and are included in the total of notes payable to ~~Dr. Arnold S. Lippa: $~~Officers.

~~2,817~~ ~~for~~For the three-months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020, respectively, and~~ $~~6,097~~5,060 and $~~5,633~~4,600, respectively, ~~for the six-months ended June 30, 2021 and 2020,~~ ~~respectively.~~

~~The following amounts were~~ was charged to interest expense with respect to ~~notes payable to~~former executive officer, Dr. James S. ~~Manuso: $4,651~~ ~~and $4,228~~ ~~for the three-months ended June 30, 2021 and 2020, respectively, and $9,252~~ ~~and $8,439~~ ~~for the six-months ended June 30, 2021 and 2020, respectively.~~

~~As of September 30, 2018, Dr. James S. Manuso resigned as executive officer in all capacities and as a member of the board of directors of RespireRx (the “Board of Directors”).~~Manuso’s notes.

Other short-term notes payable at ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 consisted of premium financing agreements with respect to various insurance policies. At ~~June 30, 2021,~~March 31, 2022, a premium financing agreement was payable in the initial amount of $~~81,672~~ 85,457~~(after~~ (after payment of a deposit of $~~20,347~~21,364), with interest at ~~11%~~ 11% per annum, in ~~eight~~nine monthly installments of $~~10,635~~9,971. In addition, there is $~~9,238~~ 4,214of short-term financing of office and clinical trials insurance premiums. At ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020,~~2021, the aggregate amount of the short-term notes payable was $~~71,060~~ 111,035and $~~4,608~~ 15,185respectively.

On April 29, 2021, RespireRx agreed to a payment and settlement agreement with the University of California Innovation and Entrepreneurship to a payment schedule with respect to accounts payable in an amount that was not in dispute and is reflected in accounts payable and accrued expenses in the Company’s condensed consolidated financial statements as of March 31, 2022. The total amount due is $234,657. The agreed payment schedule is for the Company to pay $10,000 on each of July 1, 2021, September 1, 2021, November 1, 2021, January 1, 2022 and March 31, 2022. If RespireRx pays an aggregate of $175,000 on or before March 31, 2022, the amounts will be considered paid in full with no further amounts due. RespireRx has not made any payments after the September, 2021 payment. If an aggregate of $175,000 had not been paid by March 31, 2022, the remaining unpaid amount up to an aggregate of the original amount of $234,657 would be due and payable and is recorded in accounts payable at March 31, 2022.

On February 21, 2020, Sharp Clinical Services, Inc. (“Sharp”), a vendor of the Company, filed a complaint against the Company in the Superior Court of New Jersey Law Division, Bergen County related to a December 16, 2019 demand for payment of past due invoices inclusive of late fees totaling $103,890~~103,890~~. ~~of which $3,631 related to late fees, seeking $100,259 plus 1.5% interest per month on outstanding unpaid invoices.~~ On May 29, 2020, a default was entered against the Company, and on September 4, 2020, a final judgment ~~by default~~ was entered against the Company in the amount of $104,217. On March 3, 2021, we executed a settlement agreement with Sharp (the “Sharp Settlement Agreement”), and on March 9, 2021, Sharp requested of the Bergen (NJ) County Sheriff, the return of the Writ of Execution which resulted in a release of the lien in favor of Sharp. The Sharp Settlement Agreement calls for a payment schedule of ten ~~$10,000~~ $10,000 payments due on April 1, 2021 and every other month thereafter, and permitted early settlement at ~~$75,000~~ $75,000 if the Company had paid Sharp that lower total by August 1, 2021, but the Company did not pay Sharp that lower amount by that date.The Company has recorded a liability to Sharp of $~~83,859~~53,568 as of ~~June 30, 2021~~March 31, 2022 after payments totaling $~~20,000~~30,000 pursuant to the Sharp Settlement Agreement. The Company has not made the October 1, 2021, December 1, 2021 and February 1, 2022 payments that were due. On March 3, 2022, Company counsel received a default notice from counsel to Sharp with respect to the Sharp Settlement Agreement ..and that Sharp may exercise its remedies. Company counsel has communicated with counsel to Sharp. On March 28, 2022, one of the Company’s bank accounts was debited for the benefit of Sharp $415inclusive of fees about which the Company is seeking additional information but which the Company believes indicates that either a new Writ of Execution was established or the original writ was re-established.

By letter dated February 5, 2016, the Company received a demand from a law firm representing Salamandra, LLC (“Salamandra”) alleging an amount due and owing for unpaid services rendered. On January 18, 2017, following an arbitration proceeding, an arbitrator awarded Salamandra the full amount sought in arbitration of $146,082. Additionally, the arbitrator granted Salamandra attorneys’ fees and costs of $47,937. All such amounts have been accrued as of ~~June 30, 2021 and December~~March 31, ~~2020,~~2022, including accrued interest at ~~4.5%~~4.5% annually from February 26, 2018, the date of the judgment, through ~~June 30, 2021,~~March 31, 2022, totaling $~~27,954~~33,742.The Company had previously entered into a settlement agreement with Salamandra that is no longer in effect. ~~RespireRx~~The Company has approached Salamandra seeking to negotiate a new settlement agreement. A lien with respect to the amounts owed is in ~~effect.~~

On February 23, 2021 our bank received two New Jersey Superior Court Levies totaling $320,911 related to amounts owed to ~~Sharp~~two vendors (Sharp and Salamandra as defined above) which amounts were not in ~~dispute. The bank~~dispute, debited our accounts and restricted access to those ~~accounts pursuant to the liens placed on the~~ accounts. Our accounts were debited for $1,559 on February 23, 2021 which represented all of the cash in our accounts on that date.

On ~~April 29,~~September 14, 2021, ~~RespireRx~~the Company and DNA Healthlink, Inc. (“DNA Healthlink”) entered into a ~~payment and~~ settlement agreement ~~with the University of California Innovation and Entrepreneurship, pursuant to which it agreed to a payment schedule that is reflected~~(the “ DNA Healthlink Settlement Agreement”) regarding $410,000 in unpaid accounts payable ~~and accrued expenses in the Company’s condensed consolidated financial statements as of June 30, 2021. The total amount due is $234,657~~. ~~The agreed payment schedule is for~~owed by the Company to DNA Healthlink (the “DNA Healthlink Settlement Amount”) for services provided by DNA Healthlink to the Company pursuant to an agreement by and between the Company and DNA Healthlink dated October 15, 2014. Under the terms of the DNA Healthlink Settlement Agreement, the Company is obligated to pay ~~$10,000~~to DNA Healthlink the full DNA Healthlink Settlement Amount as follows: twelve monthly payments of $8,000 each commencing on November 15, 2021, followed by twelve monthly payments of $10,000each commencing on November 15, 2022, followed by twelve monthly payments of ~~July 1, 2021, September 1, 2021,~~$15,000 each commencing on November ~~1, 2021, January 1, 2022 and~~15, 2023, followed by one final payment of $14,000 on November 15, 2024. If, prior to March ~~31, 2022. If RespireRx pays an~~14, 2023, the Company receives one or more upfront license fee payments or any other similar fee or fees from one or more strategic partners that aggregate ~~of $175,000 on or before March 31, 2022,~~at least fifteen million dollars ($15,000,000) (“Upfront Fees”), then the full DNA Healthlink Settlement Amount, less any amounts previously paid, will be ~~considered paid~~accelerated and become due and payable in full within ninety (90) days of receipt of any Upfront Fees. As a result of the DNA Healthlink Settlement Agreement, the Company recorded a gain with ~~no further amounts due. If an aggregate~~respect to vendor settlements of ~~$175,000~~$62,548 for the fiscal year ended December 31, 2021. The Company made payments of $8,000 in November 2021 and December 2021, but has not ~~been paid by~~made payments in January through March ~~31, 2022, the remaining unpaid amount up to an aggregate of the original amount of $234,657 would be due and payable. The payment due on~~ ~~July 1, 2021~~ ~~was timely paid.~~2022.

~~The due date of the $100,000~~An annual ~~amount~~obligation payable to the University of Illinois of $100,000 that was originally due on December 31, ~~2020~~2021 pursuant to the 2014 License Agreement was extended to ~~April 19, 2021 and was paid in full on April 1, 2021 .~~May 31, 2022.

By email dated July 21, 2016, the Company received a demand from an investment banking consulting firm that represented the Company in 2012 in conjunction with the Pier transaction alleging that $225,000 is due and payable for investment banking services rendered. Such amount has been included in accrued expenses at ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020. See Note 1 for additional information on the Pier transaction.~~2021.

The Company is periodically the subject of various pending and threatened legal actions and claims. In the opinion of management of the Company, adequate provision has been made in the Company’s consolidated financial statements as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 with respect to such matters, including, specifically, the matters noted above. The Company intends to vigorously defend itself if any of the matters described above results in the filing of a lawsuit or formal claim.

RespireRx has authorized a total of 5,000,000 shares of preferred stock, par value $0.001 per share. As of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020,~~2021, 37,500 shares were designated as Series B Convertible Preferred Stock (non-voting, “Series B Preferred Stock”).

Series B Preferred Stock outstanding as of ~~June 30,~~March 31, 2022 and December 31, 2021 ~~and 2020~~ consisted of 37,500shares issued in a May 1991 private placement. The shares of Series B Preferred Stock are convertible into 1share of common stock. RespireRx may redeem the Series B Preferred Stock for $25,001at any time upon 30 days prior notice.

Although other series of preferred stock have been designated, no other shares of preferred stock are outstanding. As of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020,~~2021, 3,504,424 shares of preferred stock were undesignated and may be issued with such rights and powers as the Board of Directors may designate.

RespireRx has authorized 2,000,000,000(2 (2 billion) shares of ~~common stock,~~Common Stock, par value $0.001~~per share.~~ (“Common Stock”). There are ~~90,396,596~~ 97,894,276shares of the Company’s ~~common stock~~Common Stock outstanding as of ~~June 30, 2021.~~March 31, 2022. After reserving for conversions of convertible debt and convertible preferred stock, as well as exercises of common stock purchase options (granted and available for grant within the 2014 and 2015 stock and stock option plans) and warrants and the issuance of Pier contingent shares and before accounting for incremental contract excess reserves, there were ~~1,821,470,177~~ 1,763,596,952shares of the Company’s ~~common stock~~Common Stock available for future issuances as of ~~June 30, 2021.~~March 31, 2022. After accounting for incremental excess reserves contractually required by the various convertible notes and certain warrants, there were ~~1,744,916,143~~1,619,418,794, shares of common stock available for future issuances as of ~~June 30, 2021. On May 27, 2021, a holder of a warrant exercised the warrant in part, exercising into~~ ~~900,000~~ ~~shares of common stock on a cashless basis, what would have exercised into~~ ~~1,665,958~~ shares of common stock on a cash basis. The Company did not receive any cash proceeds from the exercise. No other warrants were exercised during the six-months ended June 30, 2021. No options were exercised during the six-months ended June 30, 2021.March 31, 2022. No warrants or options were exercised after ~~June 30, 2021.~~March 31, 2022. Options to purchase 39,500 shares of Common Stock expired during the three-month period ended March 31, 2022 and such shares were added back to the shares of common stock available for issuance from the 2015 Plan. See Note 9. Subsequent Events in the notes to our condensed consolidated financial statements as of March 31, 2022.

A summary of warrant activity for the ~~six-months~~three-months ended ~~June 30, 2021~~March 31, 2022 is presented below.

The exercise prices of common stock warrants outstanding and exercisable are as follows at ~~June 30, 2021:~~March 31, 2022:

Schedule of Exercise Prices of Common Stock Warrants Outstanding and Exercisable

Based on a value of $~~0.0365~~0.01 per share on ~~June 30, 2021,~~March 31, 2022, there were ~~12,727,148~~no exercisable in-the-money common stock warrants as of ~~June 30, 2021.~~March 31, 2022.

A summary of warrant activity for the ~~six-months~~three-months ended ~~June 30, 2020~~March 31, 2021 is presented below.

Number of
Shares Weighted
Average
Exercise Price Weighted
Average
Remaining
Contractual
Life (in Years)
Warrants outstanding at December 31, 2019 219,104 $ 18.7109 3.44000
Warrants issued due to anti-dilution provisions increasing number of originally issued warrants included in December 31, 2019 balance 13,882,479 0.0153 3.70650
Exercised (1,650,118 ) 0.0157 -
Warrants outstanding and exercisable at June 30, 2020 12,451,465 $ 0.3272 3.78506

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Contractual Life (in Years)
Warrants outstanding at December 31, 2020		28,809,352		$	0.1528		2.64
Issued		-			-
Expired		(8,595	)		79.3000
Warrants outstanding at March 31, 2021		28,800,757		$	0.1292		2.39

The exercise prices of common stock warrants outstanding and exercisable are as follows at ~~June 30, 2020 ranged from $0.01485~~ March 31, 2021:

~~to $~~

Exercise Price		Warrants Outstanding (Shares)		Warrants Exercisable (Shares)		Expiration Date
$	0.016		2,212,500		2,212,500	May 17, 2022
$	0.070		26,439,926		26,439,926	September 30, 2023
$	11.00 -27.50		148,331		148,331	December 31, 2021-December 30, 2023
			28,800,757		28,800,757

~~79.30~~ ~~and these~~ ~~warrants were exercisable into an aggregate of~~ ~~12,451,465~~ ~~shares,~~ ~~which warrants have expired or will expire, as applicable, between~~ ~~February 28, 2021 and October 22, 2024~~.

Based on a value of $~~0.064~~ 0.045per share on ~~June 30, 2020,~~March 31, 2021, there were ~~12,269,098~~ 2,212,500exercisable in-the-money common stock warrants as of ~~that date.~~March 31, 2021.

On March 18, 2014, the stockholders of RespireRx holding a majority of the votes to be cast on the issue approved the adoption of RespireRx’s 2014 Equity, Equity-Linked and Equity Derivative Incentive Plan (the “2014 Plan”), which had been previously adopted by the Board of Directors, subject to stockholder approval. The Plan permits the grant of options and restricted stock in addition to stock appreciation rights and phantom stock, to directors, officers, employees, consultants and other service providers of the Company. As of March 31, 2022, there are 6,325 share available in the 2014 Plan.

On June 30, 2015, the Board of Directors adopted the 2015 Stock and Stock Option Plan (as amended, the “2015 Plan”). As of ~~June 30, 2021,~~March 31, 2022, there are ~~8,756,559~~ 13,602,598shares available in the 2015 Plan. The Company has not and does not intend to present the 2015 Plan to stockholders for approval.

Information with respect to the Black-Scholes variables used in connection with the evaluation of the fair value of stock-based compensation costs and fees is provided at Note 3.

A summary of stock option activity for the ~~six-months~~three-months ended ~~June 30, 2021~~March 31, 2022 is presented below.

The exercise prices of common stock options outstanding and exercisable were as follows at ~~June 30, 2021:~~March 31, 2022:

There was no deferred compensation expense for the outstanding and unvested stock options at ~~June 30, 2021.~~March 31, 2022.

Based on a fair value of $~~$0.0365~~ 0.01per share on ~~June 30, 2021,~~March 31, 2022, there were no0 exercisable in-the-money common stock options as of ~~that date.~~March 31, 2022.

As of ~~June 30, 2021,~~March 31, 2022, there are 2,000,000,000 shares of ~~common stock~~ Common Stock, par value $0.001 authorized, of which ~~90,396,596~~97,894,276 are issued and outstanding. As of ~~June 30, 2021,~~March 31, 2022, there ~~are~~were outstanding options to purchase ~~7,112,907~~9,266,868 ~~share~~shares of ~~common stock~~Common Stock and 6,325 and ~~8,756,559~~13,602,598 shares available for issuance under the 2014 Plan and 2015 Plan respectively. There are 649 Pier contingent shares of ~~common stock~~Common Stock that may be issued under certain circumstances. As of ~~June 30, 2021,~~March 31, 2022, there are ~~33,623,313~~49,287,033 ~~shares~~issuable upon conversion of convertible notes. As of ~~June 30, 2021,~~March 31, 2022, there are ~~38,633,473~~59,420,298 shares that may be issued upon exercise of outstanding warrants. As of ~~June 30, 2021,~~March 31, 2022, the Series B Preferred Stock may convert into 1 share of ~~common stock.~~Common Stock. Therefore, the Company is reserving ~~88,133,227~~138,508,772 shares of ~~common stock~~Common Stock for future issuances with respect to conversions and exercises as well as for the Pier contingent ~~shares.~~shares and warrants exercisable into 6,925,00 shares of Common Stock that may be issued to one note holder under certain circumstances that have not yet occurred. In addition, certain convertible notes and related warrants impose an additional contractual reserve requirement, above the number of shares into which such convertible notes and related warrants may convert or exercise respectively. Although the Company does not anticipate having to issue such shares, such incremental additional contractual reserves total an additional ~~76,554,034~~144,178,158 shares of ~~common stock.~~Common Stock.

Dr. Arnold S. Lippa and Jeff E. Margolis, officers and directors of RespireRx since March 22, 2013, have indirect ownership and managing membership interests in Aurora Capital LLC (“Aurora”) through interests held in its members, and Jeff. E. Margolis is also an officer of Aurora. Aurora, was a boutique investment banking firm specializing in the life sciences sector that ceased its securities related activities in April ~~2021. On May 5,~~ 2021 ~~Aurora filed to~~and withdraw its membership with FINRA and its registration with the SEC ~~which withdrawal became effective~~ in July 2021. Although Aurora has not provided services to RespireRx during the ~~six-months~~three-months ended ~~June 30, 2021~~March 31, 2022 or the fiscal year ended December 31, ~~2020,~~2021, Aurora had previously provided services to the Company and there remains $96,000owed to Aurora by RespireRx which amount is included in accounts payable and accrued expenses as of ~~June 30, 2021.~~March 31, 2022.

A description of advances and notes payable to officers is provided at Note 4. Notes Payable.

The Company is periodically the subject of various pending and threatened legal actions and claims. In the opinion of management of the Company, adequate provision has been made in the Company’s condensed consolidated financial statements as of ~~June 30,~~March 31, 2022, December 31, 2021 and ~~2020~~March 31, 2021 with respect to such matters. See Note 55. Settlement and Payment Agreements for additional items and details.

On April 29, 2021, RespireRx entered into a payment and settlement agreement with the University of California Innovation and Entrepreneurship, pursuant to which it agreed to a payment schedule that is reflected in accounts payable and accrued expenses in the Company’s condensed consolidated financial statements as of June 30, 2021. The total amount due is $~~234,657~~. The agreed payment schedule is for the Company to pay $10,000 on each of July 1, 2021, September 1, 2021, November 1, 2021, January 1, 2022 and March 31, 2022. If RespireRx pays an aggregate of $175,000 on or before March 31, 2022, the amounts will be considered paid in full with no further amounts due. ~~If an aggregate of $175,000~~ ~~has not been paid by March 31, 2022, the remaining unpaid amount up to an aggregate of the original amount of $234,657~~ ~~would be due and payable. The payment due on~~ ~~July 1, 2021~~ ~~was timely paid.~~

Richard Purcell, the Company’s Senior Vice President of Research and Development on at-will basis since October 15, 2014, ~~provides~~provided his services to the Company on a month-to-month basis and since agreeing to a payment and settlement agreement, on a prepaid hourly basis at a rate of $250 per hour, through his consulting firm, DNA Healthlink, Inc. ~~(“DNA Healthlink”)~~, through which the Company has contracted for his ~~services~~services. See Note 5. Payment and Settlement Agreements for a ~~monthly cash fee~~description of $~~12,500. Cash compensation expense pursuant to this agreement totaled $~~0 ~~and $37,500~~ ~~for~~the current payment terms. During the three-months ended ~~June 30, 2021 and 2020, respectively, and $~~0 ~~and $75,000~~ for the six-months ended June 30, 2021 and 2020, respectively, which is included in research and development expenses in the Company’s condensed consolidated statements of operations for such periods. March 31, 2022 Mr. Purcell ~~provided~~did not provide any services to the ~~Company through DNA Healthlink at a rate of $250 per hourand totaled $5,000~~ during the three-months and six-months ended June 30, 2021, respectively. Mr. Purcell and the Company are in discussions intended to amend the contract with DNA Healthlink to define going-forward services to be provided to the Company and establish a rate therefore and to establish a payment schedule for amounts due to DNA Healthlink currently recorded in accounts payable.Company.

The Company entered into a consulting contract with David Dickason effective September 15, 2020 pursuant to which Mr. Dickason was appointed to and serves as the Company’s Senior Vice President of Pre-Clinical Product Development on an at-will basis at the rate of $250 per hour. ~~The Company recorded, but~~During the three-months ended March 31, 2022 Mr. Dickason did not ~~pay cash compensation expense pursuant~~provide any services to ~~this agreement of $72,375~~ ~~for~~ the ~~six-months ended June 30, 2021.~~Company.

Effective on May 6, 2020, Timothy ~~L. Jones, Arnold S. Lippa and Jeff E. Margolis have similar employment agreements. Mr.~~ Jones was appointed as RespireRx’s President and Chief Executive Officer ~~on May 6, 2020.~~and entered into an employment agreement as of that date. Effective January 31 2022, Mr. Jones resigned as RespireRx’s President and Chief Executive Officer as well as a member of RespireRx’s Board of Directors pursuant to an Employment Agreement Termination and Separation Agreement dated February 8, 2022.

Effective January 31, 2022, Dr. Lippa iswas appointed as RespireRx’s Interim President and Interim Chief ~~Scientific Officer and~~Executive Officer. Dr. Lippa continues to serve as RespireRx’s Executive Chairman and ~~Mr.~~as a member of the Board of Directors as well as the Company’s Chief Scientific Officer.

Jeff E. Margolis iscurrently serves as the Company’s Senior Vice President, Chief Financial Officer, Treasurer and Secretary. ~~Dr. Lippa’s and~~ Mr. ~~Margolis’ employment agreements became effective~~Margolis also serves on ~~August 18, 2015. All three agreements are subject to automatic annual extensions on September 30~~^ththe Company’s Board of ~~each year beginning with the initial termination date if not earlier terminated, subject to notice in accordance with the terms of the agreements. Mr. Jones’ initial termination date is~~ ~~September 30, 2023~~ ~~and Dr. Lippa’s and Mr. Margolis’ agreements are in their automatic extension periods.~~Directors.

The table below summarized the current cash commitments to ~~each individual~~Dr. Lippa and Mr. Margolis through the next September 30^th renewal ~~date and in the case of Mr. Jones, through September 30, 2023.~~date.

Under certain circumstances base salaries may be contractually increased or the executives may become eligible for additional benefits and base salaries may be increased at the discretion of the Board of Directors. All executives are eligible for stock and stock option and similar grants at the discretion of the Board or Directors.

The payment of certain amounts reflected in the table above have been voluntarily deferred indefinitely and payments against accrued compensation may be made based upon the Company’s ability to make such payments.

On August 1, 2020, RespireRx exercised its option pursuant to its option agreement dated March 2, 2020, between RespireRx and UWM Research Foundation, an affiliate of the University of Wisconsin-Milwaukee (“~~Effective Date”~~UWMRF”)~~, the Company~~. Upon exercise, RespireRx and UWMRF executed the UWMRF Patent License Agreement effective August 1, 2020 pursuant to which RespireRx licensed the identified intellectual property.

Under the UWMRF Patent License Agreement, the Company has an exclusive license to commercialize GABAkine products based on UWMRF’s rights in certain patents and patent applications, and a non-exclusive license to commercialize products based on UWMRF’s rights in certain technology that is not the subject of the patents or patent applications. UWMRF maintains the right to use, and, upon the approval of the Company, to license, these patent and technology rights for any non-commercial purpose, including research and education. The UWMRF Patent License Agreement expires upon the later of the expiration of the Company’s payment obligations to UWMRF or the expiration of the last remaining licensed patent granted thereunder, subject to early termination upon the occurrence of certain events. The License Agreement also contains a standard indemnification provision in favor of UWMRF and confidentiality provisions obligating both parties.

Under the UWMRF Patent License Agreement, in consideration for the licenses granted, the Company will pay to UWMRF the following: (i) patent filing and prosecution costs incurred by UWMRF prior to the effective date, paid in yearly installments over three years from the Effective Date; (ii) annual maintenance fees, beginning on the second anniversary of the Effective Date, which annual maintenance fees terminate upon the Company’s payment of royalties pursuant to clause (iv) below; (iii) milestone payments, paid upon the occurrence of certain dosing events of patients during clinical trials and certain approvals by the FDA; and (iv) royalties on net sales of products developed with the licenses, subject to minimum annual payments and to royalty rate adjustments based on whether separate royalty payments by the Company yield an aggregate rate beyond a stated threshold. The Company has also granted UWMRF certain stock appreciation rights with respect to the Company’s neuromodulator programs, subject to certain limitations, and will pay to UWMRF certain percentages of revenues generated from sublicenses of the licenses provided under the UWMRF Patent License Agreement by the Company to third parties.

On July 12, 2021, the Company and the Board of Regents of the University of Wisconsin System on behalf of the University of Wisconsin-Milwaukee (“UWM”) entered into an Outreach Services Agreement pursuant to which UWM agreed to provide, among other molecules, multiple milligram to gram quantities of KRM-II-81 (GABAkine) and the Company agreed to pay UWM an annual sum of $75,000payable in three installments of $25,000each beginning October 12, 2021, which amount was timely paid, and on a quarterly basis thereafter. The payments that were due on January 12, 2022 and April 12, 2022 have not yet been paid. The Company and UWM are in discussions to establish an new payment schedule. The agreement terminates on June 30, 2022unless extended upon consent of both parties. ~~See Note 9 for additional information.~~

~~The~~On June 27, 2014, the Company ~~and the University of Illinois~~ entered into ~~the~~an Exclusive License Agreement (the “2014 License Agreement”) with the University of Illinois, the material terms of which were similar to a License Agreement between the parties that had been previously terminated on March 21, 2013. The 2014 License Agreement became effective on September 18, 2014, ~~pursuant to which~~upon the completion of certain conditions set forth in the 2014 License Agreement, including: (i) the payment by the Company ~~obtained~~of a $25,000 licensing fee, (ii) the payment by the Company of outstanding patent costs aggregating $15,840, and (iii) the assignment to the University of Illinois of rights the Company held in certain patent applications, all of which conditions were fulfilled.

The 2014 License Agreement granted the Company (i) exclusive rights to several issued and pending patents in numerous jurisdictions and (ii) the non-exclusive right to certain technical information that is generated by the University of Illinois in connection with certain clinical trials as specified in the 2014 License Agreement, all of which relate to the use of cannabinoids for the treatment of sleep related breathing disorders. The Company is developing dronabinol (Δ9-tetrahydrocannabinol), a cannabinoid, for the treatment of OSA, the most common form of sleep apnea.

The 2014 License Agreement provides for various commercialization and reporting requirements ~~that commenced~~commencing on June 30, 2015. In addition, the 2014 License Agreement provides for various royalty payments, including a royalty on net sales of 4%, payment on sub-licensee revenues of 12.5%, and a minimum annual royalty beginning in 2015 of $100,000, which is due and payable on December 31 of each year beginning on December 31, 2015. The minimum annual royalty obligation of $100,000 due on December 31, ~~2020,~~2021, was extended to ~~April 19, 2021~~May 31, 2022 and ~~was paid in full on~~ has not yet been paid.

~~April 1, 2021.~~One-time milestone payments may become due based upon the achievement of certain development milestones. $75,000 will be due within 5 days of any one of the following, (a) dosing of the first patient with a dronabinol product in a Phase 2 human clinical study anywhere in the world that is not sponsored by the University of Illinois, (b) dosing of the first patient in a Phase 2 human clinical study anywhere in the world with a low dose dronabinol (defined as less than or equal to 1 mg), or (c) dosing of the first patient in a Phase 1 human clinical study anywhere in the world with a proprietary reformulation of dronabinol. $350,000 will be due within five days after the dosing of the first patient is a Phase III human clinical trial anywhere in the world. $500,000 will be due within five days after the first NDA filing with FDA or a foreign equivalent. $1,000,000 will be due within twelve months of the first commercial sale. One-time royalty payments may also become due and payable. Annual royalty payments may also become due. In the year after the first application for market approval is submitted to the FDA or a foreign equivalent and until approval is obtained, the minimum annual royalty will increase to $150,000. In the year after the first market approval is obtained from the FDA or a foreign equivalent and until the first sale of a product, the minimum annual royalty will increase to $200,000. In the year after the first commercial sale of a product, the minimum annual royalty will increase to $250,000.

~~The~~During the three-months ended March 31, 2022 and 2021, the Company recorded charges to operations of $25,000 ~~during~~representing the ~~three-months ended June 30, 2021 and 2020, respectively, and $50,000during~~allocated portion of the ~~six-months ended June 30, 2021 and 2020, respectively, with respect to its~~annual minimum ~~annual~~ royalty, ~~obligation,~~ which is included in research and development expenses in the Company’s condensed consolidated statement of operations for the three-months ended March 31, 2022 and ~~six-months ended June 30,~~ 2021, ~~and 2020. As discussed above, the~~respectively. The Company did not pay the amount due on December 31, ~~2020~~2021 for which the Company was granted an extension until ~~April 19, 2021 and which was paid in full on April 1, 2021.~~May 31, 2022.

On September 4, 2018, RespireRx entered into a dronabinol Development and Supply Agreement with Noramco Inc., one of the world’s major dronabinol manufacturers, which Noramco subsequently assigned to its subsidiary, Purisys LLC (the “Purisys Agreement”). Under the terms of the Purisys Agreement, Purisys has agreed to (i) provide all of the active pharmaceutical ingredient (“API”) estimated to be needed for the clinical development process for both the first- and second-generation products (each a “Product” and collectively, the “Products”), three validation batches for New Drug Application (“NDA”) filing(s) and adequate supply for the initial inventory stocking for the wholesale and retail channels, subject to certain limitations, (ii) maintain or file valid drug master files (“DMFs”) with the FDA or any other regulatory authority and provide the Company with access or a right of reference letter entitling the Company to make continuing reference to the DMFs during the term of the agreement in connection with any regulatory filings made with the FDA by the Company, (iii) participate on a development committee, and (iv) make available its regulatory consultants, collaborate with any regulatory consulting firms engaged by the Company and participate in all FDA or Drug Enforcement Agency (“DEA”) meetings as appropriate and as related to the API. We now refer to the second-generation product as our proprietary formulation or proprietary product and have de-emphasized the first-generation product.

In consideration for these supplies and services, the Company has agreed to purchase exclusively from Purisys during the commercialization phase all API for its Products (as defined in the Development and Supply Agreement) at a pre-determined price subject to certain producer price index adjustments and agreed to Purisys’ participation in the economic success of the commercialized Product or Products up to the earlier of the achievement of a maximum dollar amount or the expiration of a period of time.

~~Transactions with Bausch Health Companies Inc. (formerly known as Biovail Laboratories International SRL)~~

Beginning in March 2010, the Company entered into a series of asset purchase and license agreements with Biovail Laboratories International SRL which later merged with Valeant Pharmaceuticals International, Inc. which was later renamed Bausch Health Companies Inc. (“Bausch”).

In March 2011, the Company entered into a new agreement with Bausch to reacquire the ampakine compounds, patents and rights that Bausch had acquired from the Company in March 2010. The new agreement provided for potential future payments of up to $~~15,150,000~~ by the Company based upon the achievement of certain developments, including new drug application submissions and approval milestones pertaining to an intravenous dosage form of the ampakine compounds for respiratory depression, a therapeutic area not currently pursued by the Company. Bausch is also eligible to receive additional payments of up to $~~15,000,000~~ ~~from the Company based upon the Company’s net sales of an intravenous dosage form of the compounds for respiratory depression.~~

At any time following the completion of Phase 1 clinical studies and prior to the end of Phase 2A clinical studies, Bausch retains an option to co-develop and co-market intravenous dosage forms of an ampakine compound as a treatment for respiratory depression and vaso-occlusive crises associated with sickle cell disease. In such an event, the Company would be reimbursed for certain development expenses to date and Bausch would share in all such future development costs with the Company. If Bausch makes the co-marketing election, the Company would owe no further milestone payments to Bausch and the Company would be eligible to receive a royalty on net sales of the compound by Bausch or its affiliates and licensees.

There was no activity during the three-months ended ~~and six-months ended June 30,~~March 31, 2022 or 2021 ~~or 2020 that affect~~with respect to the ~~Bausch agreement.~~Purisys Agreement.

The following table sets forth the Company’s principal cash obligations and commitments for the next five fiscal years as of ~~June 30,~~March 31, 2021, aggregating $~~2,179,870~~990,877.License agreement amounts included in the ~~2021~~2022 column ~~represents~~represent amounts contractually due from ~~July~~April 1, ~~2021~~2022 through December 31, ~~2021 (six~~2022 (nine months) and in each of the subsequent years, represents the full year. Employment agreement amounts included in the ~~2021~~2022 column represent amounts contractually due at from ~~July~~April 1, ~~2021~~2022 through September 30, ~~2021 (three~~2022 (six months) when such contracts expire unless extended pursuant to the terms of the contracts.

On April 14, 2022, the Company and Barton Asset Management (“Barton”) entered into a Securities Purchase Agreement (the “Barton SPA”) pursuant to which Barton is to provide a sum of ~~Wisconsin-Milwaukee Outreach Services~~$25,000 (the “Barton Consideration”) to the Company in return for a convertible promissory note (the “Barton Note”) with a face amount of $27,778 (which difference in value as compared to the Barton Consideration is due to an original issue discount of $2,778), and a common stock purchase warrant (the “Barton Warrant”) exercisable for five years at an exercise price of $0.01 per share on a cash or cashless basis, to purchase up to 2,777,800 shares of the Company’s common stock, par value $0.001. In addition, and to induce Barton to enter into the Barton SPA, the Company and Barton entered into a Piggy-Back Registration Rights Agreement (the “Barton Registration Rights Agreement”) under which the Company has agreed to provide certain piggy-back registration rights under the Securities Act of 1933, as amended with respect to the common stock issuable pursuant to the Barton SPA.

~~On July 12, 2021,~~The Note obligates the Company to pay by April 14, 2023 (the “Barton Maturity Date”) a principal amount of $27,778 together with interest at a rate equal to 10% per annum. The first twelve months of interest, equal to $2,778, is guaranteed and ~~the Board of Regents~~earned in full as of the ~~University~~effective date. Any amount of ~~Wisconsin System on behalf~~principal or interest that is not paid by the Barton Maturity Date would bear interest at the rate of 24% from the ~~University of Wisconsin-Milwaukee (“UWM”) entered into an Outreach Services Agreement pursuant~~Barton Maturity Date to ~~which UWM agreed to provide, among other molecules, multiple milligram to gram quantities of KRM-II-81 (GABAkine) and~~ the ~~Company agreed to pay UWM an annual sum of $75,000~~ ~~payable in three installments of $25,000~~ ~~each beginning October 12, 2021 and on a quarterly basis thereafter. The agreement terminates on~~ ~~June 30, 2022unless extended upon consent of both parties.~~date it is paid.

Barton has the right, in its discretion, at any time, to convert any outstanding and unpaid amount of the Barton Note into shares of common stock, provided that the conversion would not result in Barton beneficially owning more than 4.99% of the Company’s then outstanding common stock. Barton may convert at a per share conversion price equal to $0.01, subject to equitable adjustments for stock splits, stock dividends, combinations, recapitalizations, extraordinary distributions and similar events. Upon any conversion, all rights with respect to the portion of the Barton Note being so converted will terminate, except for the right to receive common stock or other securities, cash or other assets as provided for in the Barton Note.

The Company may, in the absence of an event of default, and with prior written notice to Barton, prepay the outstanding principal amount under the Barton Note during the initial 180 day period after the effective date by making a payment to Barton of an amount in cash equal to 115% of the outstanding principal, interest, default interest and other amounts owed. Under certain circumstances, including the occurrence of an event of default, a sale, merger or other business combination where the Company is not the survivor, or the conveyance or disposition of all or substantially all of the assets of the Company, the Company may be required to prepay in cash an amount equal to 125% of the outstanding principal, interest, default interest and other amounts owed. The Company’s wholly owned subsidiary, Pier Pharmaceuticals, Inc., provided an unlimited guarantee of the Company’s obligations under the Barton Note.

The Barton Note requires that the Company reserve the greater of (i) 4,166,700 shares of Common Stock or (ii) one and a half times the number of shares into which the Barton Note may convert. The Barton Warrant requires that the Company reserve three times the number of shares into which the Barton Warrant is at any time exercisable.

The Barton SPA includes, among other things: (1) the grant of an option to Barton to incorporate into the Barton Note any terms applicable to a subsequent issuance of a convertible note or security by the Company that are more beneficial to an investor than the terms of the Barton SPA and Barton Note are to Barton; and (2) certain registration rights by reference to the Barton Registration Rights Agreement, and the right to have any shares of common stock issued in connection with the conversion of the Barton Note or exercise of the Barton Warrant included in any Regulation A offering statement that the Company files with the Securities and Exchange Commission.

The terms of the Barton SPA, Barton Note and related documents will trigger most favored nation adjustments to certain of the Company’s outstanding notes, including, but not necessarily limited to an adjustment of the conversion prices to $0.01, generally from $0.02 per share of Common Stock and adjustment of the warrant exercise prices to $0.01, generally from $0.02 per share of Common Stock for warrants issued in connection with those same convertible notes.

~~Amendment to~~Most-Favored Nation Clauses of Certain Convertible ~~Note~~Notes

~~On July 27, 2021, the maturity date~~Upon completion of the ~~note scheduled to mature on~~ ~~July 28, 2021~~ ~~was extended to~~ ~~December 1, 2021~~Barton Note and related agreements described above, the ~~original~~most-favored nations clauses (“MFN”) of other convertible notes and ~~remaining principal amount of the note was increased by $5,000~~related warrants and agreements became effective. As a result, conversion prices were adjusted from $~~40,000~~0.02 to $~~45,000~~0.01 per share of common stock. In addition, the number of shares into which the warrants could be exercised doubled and the exercise price was reduced from $~~15,000~~0.02 to $~~20,000~~0.01 ~~respectively,~~per share of common stock. The resultant potential issuance of additional shares associated with ~~interest on~~reduction of the ~~incremental~~conversion price as well as the increase in ~~principal amount accruing from~~ the ~~note inception date.~~number of shares of common stock issuable upon exercise of the additional warrants increases the number of shares the Company must contractually and incrementally reserve. The effect of the MFN is that an additional 49,138,730 shares of common stock could be issued upon conversion of the convertible notes, an additional 37,474,108 shares of common stock could be issued upon exercise of warrants and 179,691,579 additional shares were required to be contractually reserved.

On ~~August 9, 2021, the Company filed~~April 18, 2022, a ~~Form 1-A Preliminary Offering Statement under Regulation A~~convertible note holder converted as a partial conversion, $33,300 of principal, $15,000 of accrued interest and $500 of conversion fees for a total of $48,800 at a conversion price of $0.01 (adjusted from $0.01 to $0.01 as a result of the ~~Securities Act~~MFN described above) into 4,880,000 shares of Common Stock. There remains $116,700 of principal amount with respect to ~~a contemplated Tier 2 offering that may continue for a two-year period. No offering of securities may be~~such convertible note.

On April 14, 2022, the Company’s Interim President, Interim Chief Executive Officer and Chief Scientific Officer advanced $62,800 to the Company which funds were used to pay certain accounts payable. This advance is identical in nature to several advances made ~~until and unless the offering is qualified~~in prior periods by the ~~SEC. The proposed offering is~~same officer for ~~up to~~ ~~250,000,000~~ ~~shares of common stock at a per share offering price of between $0.02~~ ~~to $0.03, with the exact share price to be set forth by supplement to the Offering Statement, and with gross proceeds not to exceed $7,500,000~~. On August 12, 2021, the Company received a letter from the SEC informing us that it does not intend to review the Offering Statement, and that upon satisfaction of certain conditions, it will consider qualifying the Offering Statement at the Company’s request.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion and analysis should be read in conjunction with the condensed consolidated financial statements (unaudited) and notes related thereto appearing elsewhere in this document, as well as the audited consolidated financial statements, notes related thereto, and Management’s Discussion and Analysis of Financial Condition and Results of Operations in our ~~2020~~2021 Form 10-K.

The mission of the Company is to develop innovative and revolutionary treatments to combat disorders caused by disruption of neuronal signaling. We are developing treatment options that address OSA, ADHD, epilepsy, acute and chronic pain, including inflammatory and neuropathic pain, and recovery from SCI”, which are conditions that affect millions of people but for which there are limited or poor treatment options. We are also considering developing treatment options including obstructive sleep apnea (OSA), attention deficit hyperactivity disorder (“ADHD”), epilepsy, chronic pain, including inflammatory and neuropathic pain, recovery from spinal cord injury (“SCI”), as well asfor other ~~areas of interest~~conditions based on results of preclinical and clinical studies to date.

RespireRx is developing a pipeline of new drug products ~~based on~~supported by our broad patent portfolios across two distinct drug platforms:

Management intends to organize our ResolutionRx and EndeavourRx business units into two subsidiaries: (i) a ResolutionRx subsidiary, into which we would contribute our pharmaceutical cannabinoid platform and its related tangible and intangible assets and certain of its liabilities and (ii) an EndeavourRx subsidiary, into which we would contribute our neuromodulator platform, including both the AMPAkine and GABAkine programs and their related tangible and intangible assets and certain of their liabilities.

For this reason, the Company has implemented an internal restructuring plan through which our two drug platforms have been reorganized into separate business units and may in the future be organized into subsidiaries of RespireRx. We believe that by creating one or more subsidiaries to further the aims of ResolutionRx and EndeavourRx, it may be possible, through separate finance channels, to optimize the asset values of each. We are also planning to commence, assuming the SEC qualifies the offering, a securities offering pursuant to Regulation A under the Securities Act. See Note 9. Subsequent Events – ~~Filing of Form 1-A~~ ~~to the Company’s condensed consolidated financial statements at June 30, 2021.~~

The Company is also ~~involved~~engaged in business development efforts (licensing/sub-licensing, joint venture and other commercial structures) with a view to securing strategic partnerships that represent strategic and operational infrastructure additions, as well as cash and in-kind funding opportunities. These efforts have focused on, but have not been limited to, ~~engaging~~transacting with brand and generic pharmaceutical and biopharmaceutical companies as well as companies with potentially useful formulation or manufacturing capabilities, significant subject matter expertise and financial resources. No assurance can be given that any transaction will come to fruition orand that if it does, that the terms will be favorable to the Company.

~~Below is~~We filed a ~~chart~~Form 1-A with the SEC, which was qualified on December 13, 2021 that ~~represents our current development status for each~~may enable the Company to raise finance via a Regulation A Offering “Reg A Offering.” We provide no assurance that although qualified, the Company would complete any financing on terms as to price per share or other securities offered, amount of ~~our product candidates for~~funds raised or other terms acceptable to the ~~disorders for which they are being developed. Preclinical testing is pre-human testing~~Company or at all. As of March 31, 2022, the Company had not completed any closings of financings pursuant to the Reg A Offering and ~~includes~~ does not anticipate closing any financings pursuant to the Reg A Offering in ~~vitro~~ and animal studies. Phase 1 clinical trials are primarily safety, generally conducted in healthy adults. Phase 2 clinical trials are generally somewhat larger than Phase 1 and often include dose finding, additional safety and preliminary efficacy. Phase 3 clinical trials are larger studies designed to test efficacy and safety in a broader population. See “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our 2020 Form 10-K for more information on our proposed regulatory approach and development plans for our product candidates.

~~Below is our current business organization with ResolutionRx and EndeavourRx currently operating as divisions and which are planned to become, initially, wholly-owned subsidiaries.~~Recent Developments

~~Technology Rights~~UIC has granted the Company an extension of the due date for the payment of the minimum annual royal obligation of $100,000 that was originally due on December 31, 2021 until May 31, 2022. The Company is in discussions with UIC that include a possible further extension of the due date.

Outreach Services Agreement with the Board of Regents of the University of ~~Illinois License~~Wisconsin System

On July 12, 2021, the Board of Regents of the University of Wisconsin System on behalf of the University of Wisconsin Milwaukee (“UWM”) and RespireRx entered into an agreement pursuant to which UWM agreed to provide multiple milligram to gram quantities of KRM-II-81 and its salts. In addition, UWM is to supply KRM-II-81 to RespireRx within three months of the effective date. RespireRx agreed to pay $75,000 in three installments of $25,000 each beginning on October 12, 2021 and on a quarterly basis thereafter within thirty (30) days receipt of invoice. The payments that were due on January 12, 2022 and April 12, 2022 have not yet been paid. The Company and UWM are in discussions to establish an new payment schedule. The agreement terminates on June 30, 2022 unless extended upon consent of both parties.

See Note ~~8. Commitments~~5. Settlement and ~~Contingencies – Significant~~Payment Agreements for detailed information about the status of the Sharp Settlement Agreement. All amounts owed have been recorded on the Company’s balance sheet as of March 31, 2022.

See Note 5. Settlement and ~~Contracts –~~ Payment Agreements for detailed information about the status of the Salamandra settlement agreement. All amounts owed have been recorded on the Company’s balance sheet as of March 31, 2022.

University of ~~Illinois 2014 Exclusive License~~California Innovation and Entrepreneurship affiliated with the Regents of the University of California

See Note 5. Settlement and Payment Agreements for detailed information about the status of the University of California Innovation and Entrepreneurship payment settlement agreement. All amounts owed have been recorded on the Company’s balance sheet as of March 31, 2022.

On January 4, 2022, Mr. Timothy L. Jones notified the Company of his intent to ~~our~~resign at the end of January 2022. On February 8, 2022, the Company received a resignation letter from Mr. Jones pursuant to which he resigned, effective January 31, 2022, as both the Company’s President and Chief Executive Officer and as a member of the Company’s Board of Directors pursuant to certain conditions precedent to the effectiveness of the resignation letter. The conditions precedent to the effectiveness of the registration were met upon the execution by the Company and Mr. Jones of an Employment Agreement Termination and Separation Agreement (“SA”), also on February 8, 2022, which agreement became effective upon completion of a seven-day revocation period without revocation. Pursuant to the terms of the SA, the Company has agreed to pay Mr. Jones up to a maximum of $789,267 in accordance with a schedule set forth in the SA based on amounts of funding raised by the Company all in payment for Mr. Jones’ service to the Company as President and Chief Executive Officer prior to January 31, 2022. All amounts owed have been recorded on the Company’s balance sheet as of March 31, 2022.

Mr. Jones did not resign because of any disagreement with the Company relating to the Company’s operations, policies or practices.

On February 8, 2022, the Board of Directors of the Company elected Arnold S. Lippa, PhD, the Company’s Chief Scientific Officer and Executive Chairman of the Board, as the Company’s Interim President and Interim Chief Executive Officer. Dr. Lippa will also continue in his current roles. The Company did not enter into any new compensatory plan, agreement or arrangement with Dr. Lippa in connection with his interim appointment.

See Note 5. Settlement and Payment Agreements to the Company’s condensed consolidated financial statements at ~~June 30, 2021.~~

~~See Notes 1, 2 and 8 to our condensed consolidated financial statements at June 30, 2021.~~March 31, 2022.

See Note 2. Business – Going Concern to our condensed consolidated financial statements at ~~June 30, 2021.~~March 31, 2022.

The Company’s regular efforts to raise capital and to evaluate measures to permit sustainability are time-consuming and intensive. Such efforts may not prove successful and may cause distraction, disruption or other adversity that limits the Company’s development program efforts.

See Note 2 to the Company’s condensed consolidated financial statements at ~~June 30, 2021.~~March 31, 2022.

Management does not believe that any recently issued, but not yet effective, authoritative guidance, if currently adopted, would have a material impact on the Company’s financial statement presentation or disclosures.

See Note 2. Significant Accounting Policies – Concentration of Credit Risk to the Company’s condensed consolidated financial statements at ~~June 30, 2021.~~March 31, 2022.

See Note 8. Commitments and Contingencies – University of Illinois 2014 Exclusive License Agreement to the Company’s condensed consolidated financial statements at ~~June 30, 2021.~~March 31, 2022.

See Note 8. Commitments and Contingencies – UWMRF Patent License Agreement to the Company’s condensed consolidated financial statements at ~~June 30, 2021.~~March 31, 2022.

~~See Note 9. Subsequent Events -~~ ~~University of Wisconsin-Milwaukee Outreach Services Agreement~~ ~~to the Company’s condensed consolidated financial statements at June 30, 2021.~~

The Company prepared its condensed consolidated financial statements in accordance with GAAP. The preparation of these condensed consolidated financial statements requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Management periodically evaluates the estimates and judgments made. Management bases its estimates and judgments on historical experience and on various factors that are believed to be reasonable under the circumstances. Actual results may differ from these estimates as a result of different assumptions or conditions.

Critical accounting policies and estimates are described in the notes to the Company’s condensed consolidated financial statements and include:

See Critical Accounting Policies and Estimates in our ~~2020~~2021 Form 10-K for a complete description.

The Company’s consolidated statements of operations as discussed herein are presented below.

Revenues. The Company had no revenues during the three-months ended ~~June 30, 2021~~March 31, 2022 and ~~2020.~~2021.

General and Administrative. For the three-months ended ~~June 30, 2021~~March 31, 2022 general and administrative expenses were ~~$426,169,~~$495,793, a decrease of ~~$37,570,~~$149,583, as compared to ~~$463,739~~$645,376 for the three-months ended ~~June 30, 2020.~~March 31, 2021. The decrease in general and administrative expenses for the three-months ended March 31, 2022, as compared to the three-months ended March 31, 2021, is primarily ~~the result of decreases in general legal expenses of $77,654~~ due to ~~reduced usage~~a guaranteed bonus of ~~professional services~~$200,000 during the three-months ended March 31, 2021 and $0 during the three-months ended March 31, 2022 and the termination of an executive officer effective January 31, 2022 resulting in a decrease of ~~$10,769~~salary of $75,000 for a total reduction in compensation of $275,000. Similarly, there was a reduction in employee benefits of $9,455. In addition, there were reductions in legal fees of $52,734 and share-based expenses ~~for directors and officers liability insurance (“D&O”) premiums~~of $28,000. These decreases were offset by the write-off of deferred financing costs during the three-months ended March 31, 2022 of $177,883 with no comparable write-off in the prior comparable quarterly period. Patent related expenses increased $19,466, primarily as a result of the ~~expiration after June 30, 2020~~filing of a new provisional patent application related to the Company’s new formulation technology. The balance of the ~~tail component~~difference was the net of such D&O coverage, offset by increases in salaries of $39,300 as a result of our President and CEO accruing salary for the full quarter in 2021 in contrast to only a partial quarter in 2020, as well as an increase in accounting services of $37,783 andseveral smaller increases ~~in other categories of general~~ and ~~administrative expenses.~~decreases.

Research and Development. For the three-months ended ~~June 30, 2021,~~March 31, 2022, research and development expenses were ~~$237,828, an increase~~$121,159, a decrease of ~~$84,652,~~$33,605, as compared to ~~$153,176~~$154,764 for the three-months ended ~~June 30, 2020.~~March 31, 2021. The ~~increase~~decrease in research and development expenses for the three-months ended ~~June 30, 2021,~~March 31, 2022, as compared to the three-months ended ~~June 30, 2020,~~March 31, 2021, is primarily ~~due to the increase~~a decrease in ~~expenses with respect to new product formulation development~~utilization of consultants and ~~for quality testing of active pharmaceutical ingredients for anticipated research and development activities.~~related share-based compensation.

~~Research and development expenses included $7,500 of stock-based compensation for the three-months ended June 30, 2021 and $0 for the three-months ended June 30, 2020.~~

Interest ~~Expense.~~ Expense. During the three-months ended ~~June 30, 2021,~~March 31, 2022, interest expense was ~~$151,842~~$259,647 as compared to ~~$190,606~~$79,470 for the three-months ended ~~June 30, 2020.~~March 31, 2021. The ~~decrease~~increase of ~~$38,764~~$180,177 is primarily the result of a full quarter of interest ~~no longer being incurred on~~and the amortization to interest expense of debt discounts and capitalized note costs associated with new convertible ~~notes repaid~~debt, much of which commenced after March 31, 2021, in ~~full or in part as a result~~April, May, June, August, October and December of ~~conversion.~~2021.

Foreign Currency Transaction (Loss) Gain. Foreign currency transaction gain was ~~$2,526~~$16,436 for the three-months ended ~~June 30, 2021,~~March 31, 2022, as compared to a foreign currency transaction ~~loss~~gain of ~~$8,616~~$29,361 for the three-months ended ~~June 30, 2020.~~March 31, 2021. The foreign currency transaction (loss) gain relates to the $399,774 loan from SY Corporation, made in June 2012, which is denominated in the South Korean Won.

Net Loss Attributable to Common Stockholders. For the three-months ended ~~June 30, 2021,~~March 31, 2022, the Company incurred a net loss of ~~$812,214~~$860,163 as compared to a net loss of ~~$816,137~~$850,249 for the three-months ended ~~June 30, 2020.~~March 31, 2021.

~~Revenues. The Company had no revenues during the six-months ended June 30, 2021 and 2020.~~

~~General and Administrative~~. For the six-months ended June 30, 2021, general and administrative expenses were $1,071,545, an increase of $242,526, as compared to $829,019 for the six-months ended June 30, 2020. The increase in general and administrative expenses is primarily due to an increase of $314,300 in salaries, primarily due to a $200,000 guaranteed bonus to our President and CEO as well as a full six months of salary and benefits in 2021 compared to a salary for a partial period in the prior year given that our President and CEO had joined the Company in May 2020 and had not accrued a full six months salary. In addition, there was an increase of $54,433 in accounting expenses and $20,437 in transfer agent expenses. These increases were offset by decreases of $120,651 in corporate legal expenses and $10,398 in directors and officers liability insurance (“D&O”) premiums as a result of the expiration after June 30, 2020 of the tail component of such D&O coverage.

~~Research and Development~~. For the six-months ended June 30, 2021, research and development expenses were $392,592, an increase of $84,126, as compared to $308,466 for the six-months ended June 30, 2020. The increase in research and development expenses for the six-months ended June 30, 2021, as compared to the three-months ended June 30, 2020, is primarily due to the increase in expenses with respect to new product formulation development and for quality testing of active pharmaceutical ingredients for anticipated research and development activities.

~~Research and development expenses included $15,000 of stock-based compensation for the six-months ended June 30, 2021 and $0 for the six-months ended June 30, 2020.~~

~~Loss on Extinguishment of Convertible Debt. There was no loss on extinguishment of debt during the six-months ended June 30, 2021 as compared to a loss on extinguishment of debt of $323,996 for the six-months ended June 30, 2020.~~

~~Interest Expense~~. During the six-months ended June 30, 2021, interest expense was $231,312 as compared to $331,316 for the six-months ended June 30, 2020. The decrease of $100,004 is primarily the result of interest no longer being incurred on convertible notes repaid in full or in part as a result of conversion.

~~Foreign Currency Transaction (Loss) Gain~~. Foreign currency transaction gain was $31,887 for the six-months ended June 30, 2021, as compared to a foreign currency transaction gain of $29,942 for the six-months ended June 30, 2020. The foreign currency transaction (loss) gain relates to the $399,774 loan from SY Corporation, made in June 2012, which is denominated in the South Korean Won.

~~Net Loss Attributable to Common Stockholders. For the six-months ended June 30, 2021, the Company incurred a net loss of $1,662,463 as compared to a net loss of $1,762,855 for the six-months ended June 30, 2020.~~

At ~~June 30, 2021,~~March 31, 2022, the Company had a working capital deficit of ~~$8,816,881,~~$10,603,921, as compared to a working capital deficit of ~~$8,063,320~~$9,713,758 at December 31, ~~2020,~~2021 reflecting an increase in the working capital deficit of ~~$753,561~~$890,163 for the ~~six-months~~three-months ended ~~June 30, 2021. This~~March 31, 2022. The increase in the working capital deficit is primarily ~~the result of increases in~~due to an increase accounts payable and accrued expenses of $243,719, an increase in convertible notes payable of $239,611 and ~~accrued compensation reflected~~an increase in our loss from operations during the six-months ended June 30, 2021. During the fiscal year ended December 31, 2020, there was forgiveness of certain compensation and related benefits by certain executive officers aggregating $1,684,218 in exchange for equity, having the effect of reducing accrued compensation and ~~related~~ benefits of $179,800. There was also a net decrease in current assets of $105,406 due to the write-off of deferred financing fees offset by an increase in prepaid insurance that ~~amount, which did not occur during the six-month period ended June 30, 2021. For more information, see “Item 7. Management’s Discussion and Analysis~~in turn, was offset by an increase in short-term financings of ~~Financial Condition and Results of Operations-~~~~Forgiveness of Accrued Compensation and Related Costs~~” in our 2020 Form 10-K. In addition, a portion of accounts payable to two vendors totaling $241,109 was exchanged for equity during the fiscal year ended December 31, 2020. No similar exchanges occurred during the six-months ended June 30, 2021.

At ~~June 30,~~March 31, 2021, the Company had cash of ~~$32,056,~~$252, as compared to ~~$825~~$1,398 at December 31, ~~2020,~~2021, reflecting ~~an increase~~a decrease in cash of ~~$31,231~~$1,146 for the ~~six-months~~three-months ended ~~June 30, 2021.~~March 31, 2022.

~~In general, substantially all~~The limited cash of ~~the cash~~$21,987 raised in financings during the ~~six-months~~three-months ended ~~June 30, 2021~~March 31, 2022 were utilized for insurance premiums and working capital. The financings completed during fiscal year ended December 31, ~~2020 was~~2021 were utilized to pay general and administrative and research and development expenses or the related accounts payable, including, but not limited to, payments to our licensors, our independent registered public accounting ~~firm, our corporate law~~ firm, our patent and intellectual property law firm and for other patent and intellectual property services, our transfer agent, our financial printer and limited cash payments of compensation. Cash was also utilized, to pay research and development expenses or the related accounts payable for new product formulation work performed by a contractor with respect to the development of a new proprietary formulation of dronabinol. Cash was also utilized, among other purposes, to make payments pursuant to directors and officers insurance and other insurance ~~financings and to repay, in part, certain advances made by officers and one vendor and payments of certain outstanding accounts payable.~~financings.

The Company is currently, and has for some time, been in significant financial distress. It has limited cash resources and current assets and has no ongoing source of sustainable revenue. Management is continuing to address various aspects of the Company’s operations and obligations, including, without limitation, debt obligations, financing requirements, intellectual property, licensing agreements, legal and patent matters and regulatory compliance, and has continued to raise new debt and equity capital to fund the Company’s general and administrative and research and development activities from both related and unrelated parties.

The Company is continuing its efforts to raise additional capital in order to be able to pay its liabilities and fund its business activities on a going forward basis, including the pursuit of the Company’s planned research and development activities. ~~We are planning to commence, assuming~~Although we filed a Form 1-A with the SEC, ~~qualifies the offering, a securities offering pursuant to Regulation~~which was qualified on December 13, 2021 (the “Reg A ~~under the Securities Act. See Note 9. Subsequent Events –~~ ~~Filing of Form 1-A~~ ~~to the Company’s condensed consolidated financial statement at June 30, 2021.~~

WeOffering”), we have not raised any funds and we provide no assurance that ~~this offering~~we will be ~~qualified, or if qualified, would result in a~~able to raise any funds from the Reg A Offering. Accordingly, we wrote-off the deferred financing ~~on terms or for net proceeds acceptable~~costs related to the ~~Company.~~Reg A Offering during the three-months ended March 31, 2022. The Company regularly evaluates various other measures to satisfy the Company’s liquidity needs, including development and other agreements with collaborative partners and, when necessary, ~~seeks~~seeking to exchange or restructure the Company’s outstanding securities. The Company is evaluating certain changes to its operations and structure to facilitating raising capital from sources that may be interested in financing only discrete aspects of the Company’s development programs. Such changes could include a significant reorganization, which may include the formation of one or more subsidiaries into which one or more programs may be contributed. As a result of the Company’s current financial situation, the Company has limited access to external sources of debt and equity financing. Accordingly, there can be no assurances that the Company will be able to secure additional financing in the amounts necessary to fully fund its operating and debt service requirements. If the Company is unable to access sufficient cash resources, the Company may be forced to discontinue its operations entirely and liquidate.

Operating Activities. For the ~~six-months~~three-months ended ~~June 30, 2021,~~March 31, 2022, operating activities utilized cash of ~~$688,571,~~$23,133, as compared to utilizing cash of ~~$106,448~~$286,861 for the ~~six-months~~three-months ended ~~June 30, 2020,~~March 31, 2021, to support the Company’s ongoing general and administrative expenses as well as its research and development activities.

Financing ~~Activities.~~Activities. For the ~~six-months~~three-months ended ~~June 30, 2021,~~March 31, 2022, financing activities consisted of ~~net proceeds~~$21,987 of advances from ~~convertible note financings of $541,050 net of original issue discounts and note costs, sales of common stock pursuant to~~ an ~~equity line of $117,299 and $66,453 with respect to financing of a new directors and officers insurance policy, offset by a $5,000 partial repayment of an officer advance.~~executive officer.

See Note 8. Commitments and Contingencies – Significant Agreements and Contracts – Employment Agreements to our condensed consolidated financial statements at ~~June 30, 2021.~~March 31, 2022.

See Note 8. Commitments and Contingencies – Significant Agreements and Contracts – University of Illinois 2014 Exclusive License Agreement to our condensed consolidated financial statements at ~~June 30, 2021.~~March 31, 2022.

See Note 8. Commitments and Contingencies – Significant Agreements and Contracts, UWM Research Foundation Patent License Agreement to our condensed consolidated financial statements at ~~June 30, 2021.~~

~~See Note 9. Subsequent Events -~~ ~~University of Wisconsin-Milwaukee Outreach Services Agreement~~ ~~to our condensed consolidated financial statements at June 30, 2021.~~March 31, 2022.

A table setting forth the Company’s principal cash obligations and commitments for the next five fiscal years as of ~~June 30, 2021,~~March 31, 2022, aggregating ~~$2,179,870,~~$990,877 is set forth in Note 8. Commitments and Contingencies – Summary of Principal Cash Obligations and ~~Commitments.~~Commitments to our condensed consolidated financial statements at March 31, 2022.

At ~~June 30, 2021,~~March 31, 2022, the Company did not have any transactions, obligations or relationships that could be considered off-balance sheet arrangements.

The Company maintains disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) that are designed to ensure that information required to be disclosed in the reports that the Company files with the Securities and Exchange Commission (the “SEC”) under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms and that such information is accumulated and communicated to the Company’s management, including its Chief Executive Officer and Chief Financial Officer, to allow for timely decisions regarding required disclosures.

The Company carried out an evaluation, under the supervision and with the participation of its management, consisting of its principal executive officer and principal financial officer, of the effectiveness of the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act). Based upon that evaluation, the Company’s principal executive officer and principal financial officer concluded that, as of the end of the period covered by this report, the Company’s disclosure controls and procedures were not effective to ensure that information required to be disclosed in reports filed under the Exchange Act is recorded, processed, summarized and reported within the required time periods and is accumulated and communicated to the Company’s management, consisting of the Company’s principal executive officer and principal financial officer, to allow timely decisions regarding required disclosure.

Management has been focusing on developing replacement controls and procedures that are adequate to ensure that information required to be disclosed in reports filed under the Exchange Act is recorded, processed, summarized and reported within the required time periods and is accumulated and communicated to the Company’s management to allow timely decisions regarding required disclosure. Although the senior executive team has been developing more formalized and regular communication and collaboration processes, thereby improving the control environment, these controls and procedures are not yet sufficient to remediate the Company’s control weaknesses. The Company is current in its SEC periodic reporting obligations, but as of the date of the filing of this Quarterly Report on Form 10-Q, the Company had not yet established adequate internal controls over financial reporting.

The Company’s management, consisting of its principal executive officer and principal financial officer, does not expect that its disclosure controls and procedures or its internal controls will prevent all error or fraud. A control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Furthermore, the design of a control system must reflect the fact that there are resource constraints and the benefits of controls must be considered relative to their costs. Due to the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, have been detected. In addition, as conditions change over time, so too may the effectiveness of internal controls. However, management believes that the financial information included in this Quarterly Report on Form 10-Q fairly present, in all material respects, the Company’s financial condition, results of operations and cash flows for the periods presented.

The Company’s management, consisting of its principal executive officer and principal financial officer, has determined that no change in the Company’s internal control over financial reporting (as that term is defined in Rules 13(a)-15(f) and 15(d)-15(f) of the Securities Exchange Act of 1934) occurred during or subsequent to the end of the period covered in this report that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

We are periodically subject to various pending and threatened legal actions and claims. See Note 8. Commitments and Contingencies – Pending or Threatened Legal Actions and Claims to our condensed consolidated financial statements at ~~June 30, 2021~~March 31, 2022 for details regarding these matters.

As of the date of this filing, there have been no material changes to the Risk Factors included in the Company’s ~~2020~~2021 Form 10-K. The Risk Factors set forth in the ~~2020~~2021 Form 10-K should be read carefully in connection with evaluating the Company’s business and in connection with the forward-looking statements contained in this Quarterly Report on Form 10-Q. Any of the risks described in the ~~2020~~2021 Form 10-K could materially adversely affect the Company’s business, financial condition or future results and the actual outcome of matters as to which forward-looking statements are made. These are not the only risks that the Company faces. Additional risks and uncertainties not currently known to the Company or that the Company currently deems to be immaterial also may materially adversely affect the Company’s business, financial condition and/or operating results.

There were no unregistered sales of equity securities during the ~~six-months~~three-months ended ~~June 30, 2021~~March 31, 2022 that were not disclosed by the Company on a Current Report on Form 8-K. ~~In connection with previously reported unregistered sales of warrants and convertible notes, there was a cashless exercise of warrants as described in Note 6. Stockholders’ Deficiency –~~ ~~Common Stock~~~~, and there~~There were conversions of convertible notes inclusive of accrued interest as disclosed in Note 4. Notes Payable – Convertible Notes Payable of our condensed consolidated financial statements at ~~June 30, 2021~~March 31 2022 and Part I, Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations – .Liquidity and Capital Resources – March 31, 2022.

Additional information with respect to the transactions described above is provided in the Notes to the Condensed Consolidated Financial Statements for the three-months ended March 31, 2022.

On June 25, 2012, the Company borrowed 465,000,000 Won (the currency of South Korea, equivalent to approximately $400,000 United States Dollars) from and executed a secured note payable to SY Corporation, The note accrues simple interest at the rate of 12% per annum and had a maturity date of June 25, 2013. The Company has not made any payments on the promissory note. At June 30, 2013 and subsequently, the promissory note was outstanding and in technical default, although SY Corporation has not issued a notice of default or a demand for repayment. The Company believes that SY Corporation is in default of its obligations under its January 2012 license agreement, as amended, with the Company, but the Company has not yet issued a notice of default. The Company has in the past made several efforts towards a comprehensive resolution of the aforementioned matters involving SY Corporation. During the ~~six-months~~three-months ended ~~June 30, 2021,~~March 31, 2022, there were no further communications between the Company and SY Corporation.

The note payable to SY Corporation consists of the following at ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020:~~

Interest expense with respect to this promissory note was ~~$23,789 and $23,921 for the six-months ended June 30, 2021 and 2020, respectively and $11,960~~$11,829 for the three-months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ respectively.

As of ~~June 30, 2021,~~March 31, 2022, principal and accrued interest on the Original Convertible Note that is subject to a default notice accrues annual interest at 12% instead of 10%, totaled ~~$51,111,~~$58,311, of which ~~$26,111~~$34,357 was accrued interest. ~~See Note 4. Notes Payable –~~ ~~Convertible Notes Payable~~ ~~for more information.~~

~~The information below is reported in lieu of information that would be reported under Items 1.01 and 2.03 under Form 8-K.~~None.

On August 6, 2021, the Company entered into an investment banking agreement (“PA Agreement”) with Primary Capital LLC (“PC”), pursuant to which PC will act as the Company’s exclusive placement agent for a twelve-month period beginning August 2, 2021, in connection with a contemplated best-efforts securities offering under Regulation A of the Securities Act (“Reg A Offering”). The PA Agreement calls for PC to provide additional investment banking services, both related to the Reg A Offering and independent of the Reg A Offering. The PA Agreement calls for cash fees payable to PC equal to 7% of the gross proceeds from the Reg A Offering associated with investors originated by PC and 4% of the gross proceeds from the Reg A Offering associated with investors originated by the Company. In addition, the PA Agreement calls for fees payable as warrants equal to 7% of that number of shares of the Company’s common stock with respect to investors originated by PC and 4% for investors originated by the Company. The PA Agreement also provides for a 7% cash and 7% warrant fee for PC-originated investors in any non-Reg A Offering of securities and a cash fee of 5% of the transaction value at the closing of a sale or merger or acquisition transaction. This PA Agreement supersedes all prior contemporaneous negotiations, commitments, agreements and writings with respect to the subject matter of the PA Agreement. The foregoing description of the PA Agreement does not purport to be complete and is qualified in its entirety by reference to the PA Agreement, a copy of which is attached to this report as Exhibit 99.1.

~~The Company filed a Form 1-A Preliminary Offering Statement with the SEC on August 9, 2021. The SEC has not yet qualified the Reg A Offering. See Note 9. Subsequent Events –~~ ~~Filing of Form 1-A~~ ~~to the Company’s condensed consolidated financial statements as of June 30, 2021.~~

In accordance with the requirements of the Securities and Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Delaware		33-0303583
(State or other jurisdiction of		(I.R.S. Employer
incorporation or organization)		Identification Number)

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
N/A		N/A		N/A

Large accelerated filer ☐	Accelerated filer ☐

Non-accelerated filer ☒	Smaller reporting company ☒

	Emerging growth company ☐

	Page Number
PART I - FINANCIAL INFORMATION

Item 1. Condensed Consolidated Financial Statements	4

Condensed Consolidated Balance Sheets ~~– June 30, 2021~~- March 31, 2022 (Unaudited) and December 31, ~~2020~~2021	4

Condensed Consolidated Statements of Operations (Unaudited) - Three-months Ended March 31, 2022 and ~~Six-months Ended June 30,~~ 2021 ~~and 2020~~	5

Condensed Consolidated Statements of Stockholders’ Deficiency (Unaudited) - Three-months Ended March 31, 2022 and ~~Six-months Ended June 30,~~ 2021 ~~and 2020~~	6

Condensed Consolidated Statements of Cash Flows (Unaudited) - Three-months Ended March 31, 2022 and ~~Six-months Ended June 30,~~ 2021 ~~and 2020~~	7

Notes to Condensed Consolidated Financial Statements (Unaudited)	9

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	2527

Item 3. Quantitative and Qualitative Disclosures about Market Risk	3033

Item 4. Controls and Procedures	3033

PART II - OTHER INFORMATION

Item 1. Legal Proceedings	3134

Item 1A. Risk Factors	3134

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	3134

Item 3. Defaults Upon Senior Securities	3134

Item 4. Mine Safety Disclosures	3235

Item 5. Other Information	3235

Item 6. Exhibits	3235

SIGNATURES	3336


	Three-Months Ended						Six-Months Ended						Three-months Ended March 31,
	June 30,						June 30,						2022			2021
	2021			2020			2021			2020
Operating expenses:
General and administrative, including related parties	$	426,169		$	463,739		$	1,071,545		$	829,019
Research and development, including related parties		237,828			153,176			392,592			308,466
Total operating expenses		663,997			616,915			1,464,137			1,137,485
General and administrative													$	495,793		$	645,376
Research and development														121,159			154,764

Total operating costs and expenses													$	616,952		$	800,140

Loss from operations		(663,997	)		(616,915	)		(1,464,137	)		(1,137,485	)		(616,952	)		(800,140	)
Gain on warrant exchange		1,099			-			1,099			-
Loss on extinguishment of debt and other liabilities in exchange for equity		-			-			-			(323,996	)
Interest expense, including related parties		(151,842	)		(190,606	)		(231,312	)		(331,316	)		(259,647	)		(79,470	)
Foreign currency transaction gain (loss)		2,526			(8,616	)		31,887			29,942
Foreign currency transaction gain														16,436			29,361

Net loss attributable to common stockholders	$	(812,214	)	$	(816,137	)	$	(1,662,463	)	$	(1,762,855	)	$	(860,163	)	$	(850,249	)

Net loss per common share - basic and diluted	$	(0.01	)	$	(0.01	)	$	(0.02	)	$	(0.04	)	$	(0.01	)	$	(0.01	)

Weighted average common shares outstanding - basic and diluted		89,832,860			86,606,705			82,212,945			49,320,761			97,894,276			78,148,365

	Shares		A	mount	Shares		P	Value	P	Capital		Accumulated Deficit			Stockholders’ Deficiency
	Series B
	Convertible
	Preferred Stock				Common Stock				Additional					Total
	Shares		Amount		Shares		Par Value		Paid-in Capital		Accumulated Deficit			Stockholders’ Deficiency

Balance, December 31, 2021		37,500	$	21,703		97,894,276	$	97,894	$	163,827,781	$	(173,955,136	)	$	(10,007,758	)
Sale of common stock
Sale of common stock, shares
Costs of stock issuance
Issuance of note commitment shares and beneficial conversion feature
Issuance of note commitment shares and beneficial conversion feature, shares
Issuance of common stock upon conversion of convertible notes
Issuance of common stock upon conversion of convertible notes, shares
Stock -based compensation
Deferred financing costs
Adjustment due to reverse stock split
Adjustment due to reverse stock split, shares
Net loss		-		-		-		-		-		(860,163	)		(860,163	)
Balance, March 31, 2022		37,500	$	21,703		97,894,276	$	97,894	$	163,827,781	$	(174,815,299	)	$	(10,867,921	)


	Six-months							2022			2021
	Ended June 30,						Three-months Ended March 31,
	2021			2020			2022			2021

Cash flows from operating activities:
Net loss	$	(1,662,463	)	$	(1,762,855	)	$	(860,163	)	$	(850,249	)
Adjustments to reconcile net loss to net cash used in operating activities:
Amortization of original issue discount		22,193			12,315
Amortization of capitalized note costs and debt discounts		139,396			225,300
Amortization of original issue discount, capitalized note costs and debt discounts to interest expense								209,772			49,866
Stock-based compensation included in -
General and administrative expenses		36,750			-			-			28,000
Research and development expenses		15,000			-			-			16,250
Gain on warrant exchange		(1,099	)		-
Loss on extinguishment of debt		-			323,996
Foreign currency transaction (gain) loss		(32,255	)		(29,942	)		(16,436	)		(29,361	)
Changes in operating assets and liabilities:
(Increase) decrease in -
Deferred financing costs								177,883
Prepaid expenses		(78,744	)		(55,552	)		22,227			(68,627	)
Fees paid with common stock		4,000			-
Fees paid with shares of Common Stock								-			4,000
Increase (decrease) in -
Accounts payable and accrued expenses		214,828			535,198			243,719			143,036
Accrued compensation and related expenses		590,850			492,243			179,800			393,300
Long-term liabilities								(30,000	)		-
Accrued interest payable		62,973			152,849			50,065			26,924
Net cash used in operating activities		(688,571	)		(106,448	)		(23,133	)		(286,861	)

Cash flows from financing activities:
Proceeds from convertible note borrowings		541,050			90,000
Proceeds from common stock issuance		117,299			-
Proceeds from issuance of note payable to officer		-			1,250
Repayment of officer advance		(5,000	)		-
Borrowings on short-term note payable, net of repayments		66,453			-
Proceeds from convertible note financing, net of note costs and original issue discount								-			97,500
Borrowings on short-term notes payable								-			81,584
Proceeds from sale of Common Stock								-			117,299
Proceeds from or repayment of officer advance								21,987			(5,000	)
Net cash provided by financing activities		719,802			91,250			21,987			291,383

Cash and cash equivalents:
Net increase/(decrease)		31,231			(15,198	)		(1,146	)		4,522
Balance at beginning of period		825			16,690			1,398			825
Balance at end of period	$	32,056		$	1,492		$	252		$	5,347

	Six-months Ended June 30,				Three-months Ended March 31,
	2021		2020		2022		2021

Supplemental disclosures of cash flow information:
Cash paid for -
Interest	$	2,926	$	1,498	$	1,712	$	410
Income taxes	$	-	$	-	$	-	$	-

Non-cash financing activities:
Amortization of deferred financing costs	$	52,609	$	-	$	-	$	52,609
Insurance policies						95,850		-
Debt discounts established for convertible debt	$	541,050	$	90,000	$	-	$	97,500
Issuance of common stock for accrued compensation and benefits	$	-	$	306,000
Debt and accrued interest converted to common stock	$	4,000	$	950,241
Cashless warrant exercises	$	900	$	15,638
Issuance of common stock in exchange for extinguishment of convertible notes payable					$	-	$	252,511
Issuance of common stock as commitment for convertible note					$	-	$	100,000

	(i)	ResolutionRx, our pharmaceutical cannabinoids platform ~~(which we refer to as ResolutionRx )~~ is developing compounds that target the body’s endocannabinoid system, and in particular, the re-purposing of dronabinol, an endocannabinoid CB1 and CB2 receptor agonist, for the treatment of OSA. Dronabinol is already approved by the FDA for other indications.

	(ii)	EndeavourRx, our neuromodulators platform ~~(which we refer to as EndeavourRx)~~ is made up of two programs: (a) our AMPAkines program, which is developing proprietary compounds that ~~are~~act as positive allosteric modulators (“PAMs”) of AMPA-type glutamate receptors to promote neuronal function and (b) our GABAkines program, which is developing proprietary compounds that ~~are~~act as PAMs of GABAA receptors, and which was recently established pursuant to our entry into a patent license agreement (the “UWMRF Patent License Agreement”) with the University of Wisconsin-Milwaukee Research Foundation, Inc., an affiliate of the University of Wisconsin-Milwaukee (“UWMRF”)~~, into a patent license agreement (the “UWMRF Patent License Agreement”)~~.

Inception Date	Maturity date	Original Principal Amount		Interest rate			Original aggregate DIC, OID, Wts, CS and BCF			Cumulative amortization of DIC, OID, Wts, CS and BCF		Accrued coupon interest		Repayment by conversion			Balance sheet carrying amount at June 30, 2021 inclusive of accrued interest		Maturity date	Original Principal Amount		Interest rate			Original aggregate DIC, OID, Wts, CS and BCF			Cumulative amortization of DIC, OID, Wts, CS and BCF		Accrued coupon interest		Repayment by conversion			Balance sheet carrying amount at March 31, 2022 inclusive of accrued interest

July 2, 2020	April 2, 2021	$	137,500		10.00	%	$	(44,423	)	$	44,423	$	6,875	$	(144,375	)	$	-
July 28, 2020	July 28, 2021	$	40,000		8.00	%	$	—		$	—	$	2,368	$	(25,000	)	$	17,368	June 30, 2022	$	53,000		8.00	%	$	(13,000	)	$	10,736	$	7,413	$	(25,000	)	$	33,149
July 30, 2020	October 30, 2021	$	75,000		10.00	%	$	(27,778	)	$	27,778	$	4,136	$	(79,136	)	$	-
February 17, 2021	November 17, 2021	$	112,000		10.00	%	$	(112,000	)	$	16,531	$	5,386	$	-		$	59,251	June 17, 2022		112,000		10.00	%		(112,000	)		112,000		9,485		(80,000	)		41,485
April 1, 2021	March 31, 2022	$	112,500		10.00	%	$	(112,500	)	$	28,048	$	2,805	$	-		$	30,853	July 31, 2022		112,500		10.00	%		(112,500	)		112,500		11,250		-			123,750
May 3, 2021	April 30, 2022	$	150,000		10.00	%	$	(150,000	)	$	25,068	$	2,507	$	-		$	27,575	July 31, 2022		150,000		10.00	%		(150,000	)		137,671		13,767		-			151,438
May 10, 2021	May 10, 2022	$	150,000		10.00	%	$	(150,000	)	$	20,959	$	2,096	$	-		$	23,055	August 10, 2022		150,000		10.00	%		(150,000	)		133,562		13,356		-			146,918
June 30, 2021	June 29, 2022	$	115,000		10.00	%	$	(115,000	)	$	315	$	32	$	-		$	347	June 29, 2022		115,000		10.00	%		(115,000	)		86,644		8,664		-			95,308
August 31, 2021																			August 31, 2022		115,000		10.00	%		(109,675	)		63,702		6,679		-			75,706
October 7, 2021																			October 7, 2022		115,000		10.00	%		(96,705	)		46,365		5,514		-			70,174
December 23, 2021																			June 21, 2022		87,000		10.00	%		(36,301	)		26,046		2,336		-			79,081

Total		$	892,000				$	(711,701	)	$	163,122	$	26,205	$	(248,511	)	$	158,449		$	1,009,500				$	(895,181	)	$	729,226	$	78,464	$	(105,000	)	$	817,009

	June 30, 2021		December 31, 2020		March 31, 2022			December 31, 2021
Principal amount of note payable	$	399,774	$	399,774	$	399,774		$	399,774
Accrued interest payable		435,174		411,384		471,186			459,358
Foreign currency transaction adjustment		21,138		53,393		(38,464	)		(22,028	)
Total note payable	$	856,086	$	864,551	$	832,496		$	837,104

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Contractual Life (in Years)
Warrants outstanding at December 31, 2020		28,809,352		$	0.1528		2.64
Issued		12,561,174			0.02
Expired		(8,595	)
Cancelled upon exchange		(1,062,500	)		0.07
Exercised		(1,665,958	)		0.02
Warrants outstanding at June 30, 2021		38,633,473		$	0.1002		1.78

Warrants exercisable at June 30, 2020		12,451,465		$	0.3272		3.79
Warrants exercisable at June 30, 2021		38,633,473		$	0.1002		1.78

Exercise Price		Warrants Outstanding and Exercisable (Shares)		Expiration Date
$	0.016		2,212,500	May 17, 2022
$	0.020		10,514,648	March 31, 2026-June 30, 2021
$	0.039		208,227	May 10, 2026
$	0.047		172,341	May 3, 2026
$	0.070		25,377,426	September 30, 2023
$	11.00 -27.50		148,331	December 31, 2021-December 30, 2023
			38,633,473

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Contractual Life (in Years)
Options outstanding at December 31, 2020		7,165,215		$	1.96		4.98
Expired		(52,308	)		73.78		-
Options outstanding at June 30, 2021		7,112,907		$	1.43		4.13

Options exercisable at June 30, 2021		7,062,907		$	1.44		4.13

Exercise Price	Exercise Price	Options Outstanding (Shares)		Options Exercisable (Shares)		Expiration Date	Exercise Price	Options Outstanding (Shares)		Options Exercisable (Shares)		Expiration Date
$	0.0540		1,700,000		1,650,000	September 30, 2025	0.0190		2,194,444		2,194,444	December 31, 2026
$	0.072		5,050,000		5,050,000	July 31, 2025	0.0540		1,700,000		1,700,000	September 30, 2025
$	7.00-$195.00		362,907		362,907	September 12, 2021 - December 9, 2027	0.072		5,050,000		5,050,000	July 31, 2025
$							7.00-$195.00		322,424		322,424	June 30, 2022 - December 9, 2027
			7,112,907		7,062,907				9,266,868		9,266,868

	Contract year ending								Contract year ending								Contract year ending								Contract year ending
	September 30, 2021								September 30, 2022								September 30, 2023								September 30, 2022
	Three months								Twelve months								Twelve months								Six months
	Base				Guaranteed				Base				Guaranteed				Base				Guaranteed				Base
	Salary		Benefits		Bonus		Total		Salary		Benefits		Bonus		Total		Salary		Benefits		Bonus		Total		Salary		Benefits		Total

Timothy L. Jones	$	75,000	$	9,900	$	150,000	$	234,900	$	300,000	$	39,600	$	300,000	$	639,600	$	300,000	$	39,600	$	300,000	$	639,600
Arnold S. Lippa		75,000		9,900		-		84,900		—		—		—		—		—		—		—		—	$	150,000	$	19,800	$	169,800
Jeff E. Margolis		75,000		5,400		—		80,400		—		—		—		—		—		—		—		—		150,000		10,800		160,800

	$	225,000	$	25,200	$	150,000	$	400,200	$	300,000	$	39,600	$	300,000	$	639,600	$	300,000	$	39,600	$	300,000	$	639,600	$	300,000	$	30,600	$	330,600

				Payments Due By Year											Payments Due By Year
		Total		2021		2022		2023		2024		2025	Total		2022		2023		2024		2025		2026
License agreements	$	585,370	$	75,000	$	165,092	$	115,093	$	130,185	$	100,000	$	660,277	$	175,092	$	140,185	$	115,000	$	115,000	$	115,000
Employment agreements (1)		1,594,500		400,200		639,600		554,700		-		-		330,600		330,600		-		-		-		-
Total	$	2,179,870	$	475,200	$	804,692	$	669,793	$	130,185	$	100,000	$	990,877	$	505,692	$	140,185	$	115,000	$	115,000	$	115,0000

	-	Stock-based awards
	-	Research and Development Costs
	-	License Agreements
	-	Patent Costs
	-	Convertible Notes

	Three-Months Ended June 30,						Six-Months Ended June 30,
		2021			2020			2021			2020
Operating expenses:
General and administrative, including related parties	$	426,169		$	463,739		$	1,071,545		$	829,019
Research and development, including related parties		237,828			153,176			392,592			308,466
Total operating expenses		663,997			616,915			1,464,137			1,137,485
Loss from operations		(663,997	)		(616,915	)		(1,464,137	)		(1,137,485	)
Gain on warrant exchange,		1,099			-			1,099
Loss on extinguishment of debt and other liabilities in exchange for equity		-			-			-			(323,996	)
Interest expense, including related parties		(151,842	)		(190,606	)		(231,312	)		(331,316	)
Foreign currency transaction gain (loss)		2,526	)		(8,616	)		31,887			29,942

Net loss attributable to common stockholders	$	(812,214	)	$	(816,137	)	$	(1,662,463	)	$	(1,762,855	)

Net loss per common share - basic and diluted	$	(0.01	)	$	(0.01	)	$	(0.02	)	$	(0.04	)

Weighted average common shares outstanding - basic and diluted		89,832,860			86,606,705			82,212,945			49,320,761

	Three-months Ended March 31, (unaudited)
	2022			2021

Operating expenses:
General and administrative	$	495,793		$	645,376
Research and development		121,159			154,764

Total operating costs and expenses		616,952			800,140

Loss from operations		(616,952	)		(800,140	)
Loss on extinguishment of debt in exchange for equity		(259,647	)		-
Interest expense		16,436	)		(79,470	)
Foreign currency transaction gain (loss)					29,361	)

Net loss attributable to common stockholders	$	(860,163	)	$	(850,249	)

Net loss per common share - basic and diluted	$	(0.01	)	$	(0.01	)

Weighted average common shares outstanding – basic and diluted		97,894,276			78,148,365

	June 30, 2021		December 31, 2020		March 31, 2022			December 31, 2021
Principal amount of note payable	$	399,774	$	399,774	$	399,774		$	399,774
Accrued interest payable		435,174		411,384		471,186			459,358
Foreign currency transaction adjustment		21,138		53,393		(38,464	)		(22,028	)
	$	856,086	$	864,551	$	832,496		$	837,104

Exhibit Number		Description of Document

10.1		~~Securities Purchase Agreement,~~Amendment No. 1 to Promissory Note Issued on March 31, 2021 dated April ~~30, 2021,~~1, 2022 by and between RespireRx Pharmaceuticals ~~Inc. and Labrys Fund, L.P. (incorporated by reference to Exhibit 99.1 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed May 3, 2021).~~

~~10.2~~		Piggy-Back Registration Rights Agreement, dated April 30, 2021, between RespireRx Pharmaceuticals Inc. and Labrys Fund, L.P. (incorporated by reference to Exhibit 99.2 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed May 3, 2021).

~~10.3~~		~~10% Convertible Note, dated April 30, 2021 (incorporated by reference to Exhibit 99.3 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed May 3, 2021).~~

~~10.4~~		~~Common Stock Purchase Warrant, dated April 30, 2021 (incorporated by reference to Exhibit 99.4 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed May 3, 2021).~~

~~10.5~~		Securities Purchase Agreement, dated May 10, 2021, between RespireRx Pharmaceuticals Inc. and LGH Investments, LLC (incorporated by reference to Exhibit 99.1 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed May 14, 2021).

~~10.6~~		Piggy-Back Registration Rights Agreement, dated May 10, 2021, between RespireRx Pharmaceuticals Inc. and LGH Investments, LLC (incorporated by reference to Exhibit 99.2 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed May 14, 2021).

~~10.7~~		~~10% Convertible Note, dated May 10, 2021 (incorporated by reference to Exhibit 99.3 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed May 14, 2021).~~

~~10.8~~		~~Common Stock Purchase Warrant, dated May 10, 2021 (incorporated by reference to Exhibit 99.4 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed May 14, 2021).~~

~~10.9~~		~~Securities Purchase Agreement, dated June 29, 2021, between RespireRx Pharmaceuticals Inc.~~Inc and EMA Financial, LLC (incorporated by reference to Exhibit 99.1 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed ~~July 6, 2021)~~April 4, 2022).

~~10.10~~10.2		~~Piggy-Back Registration Rights Agreement,~~First Amendment to the Promissory Note Issued on March 31, 2021 dated ~~June 29, 2021,~~May 11, 2022 by and between RespireRx Pharmaceuticals ~~Inc.~~Inc and ~~EMA Financial,~~Labrys Fund, LLC (incorporated by reference to Exhibit ~~99.2 of~~99.1 the Company’s Current Report on Form 8-K (file no. 1-16467) filed ~~July 6, 2021)~~May 16, 2022).

~~10.11~~		~~10% Convertible Note, dated June 29, 2021 (incorporated by reference to Exhibit 99.3 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed July 6, 2021).~~

~~10.12~~		~~Common Stock Purchase Warrant, dated June 29, 2021 (incorporated by reference to Exhibit 99.4 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed July 6, 2021).~~

~~10.13~~		Exchange Agreement, dated June 28, 2021, between RespireRx Pharmaceuticals Inc. and EMA Financial, LLC (incorporated by reference to Exhibit 99.5 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed July 6, 2021).

~~10.14~~		~~Common Stock Purchase Warrant, dated June 28, 2021 (incorporated by reference to Exhibit 99.6 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed July 6, 2021).~~

~~10.15~~		Exchange Agreement, dated June 30, 2021, between RespireRx Pharmaceuticals Inc. and FirstFire Global Opportunities Fund LLC (incorporated by reference to Exhibit 99.8 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed July 6, 2021).

~~10.16~~		~~Common Stock Purchase Warrant, dated June 30, 2021 (incorporated by reference to Exhibit 99.9 of the Company’s Current Report on Form 8-K (file no. 1-16467) filed July 6, 2021).~~

~~99.1~~		Placement Agent Agreement, dated August 6, 2021, by and between Primary Capital LLC and RespireRx Pharmaceuticals Inc. (incorporated by reference to Exhibit 1.1 of the Company’s Offering Statement on Form 1-A (file no. 24-11602) filed August 9, 2021).

31.1*		Officer’s Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of ~~2002~~2002..

31.2*		Officer’s Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of ~~2002~~2002..

32.1**		Officer’s Certification Pursuant to Section 906 of the Sarbanes-Oxley Act of ~~2002~~2002..

32.2**		Officer’s Certification Pursuant to Section 906 of the Sarbanes-Oxley Act of ~~2002~~2002..

101.INS***		~~iXBRL~~Inline XBRL Instance Document

101.SCH***		~~iXBRL~~Inline XBRL Taxonomy Extension Schema Document

101.CAL***		~~iXBRL~~Inline XBRL Taxonomy Extension Calculation Linkbase Document

101.LAB***		~~iXBRL~~Inline XBRL Taxonomy Extension Label Linkbase Document

101.PRE***		~~iXBRL~~Inline XBRL Taxonomy Extension Presentation Linkbase Document

101.DEF***		~~iXBRL~~Inline XBRL Taxonomy Extension Definition Linkbase Document

104*104		Cover Page Interactive Data File ~~(formatted as~~(embedded within the Inline XBRL ~~and contained in Exhibit 101.INS)~~document)

	* Filed herewith.

	** Furnished herewith.

	*** In accordance with Regulation S-T, the XBRL related information on Exhibit No. 101 to this Quarterly Report on Form 10-Q shall be deemed “furnished” herewith not “filed.”

	RESPIRERX PHARMACEUTICALS INC.
	(Registrant)

Date: ~~August 16, 2021~~May 23, 2022	By:	/s/ ~~Timothy Jones~~Arnold S. Lippa
		~~Timothy Jones~~Arnold S. Lippa
		Interim President, Interim Chief Executive Officer and Chief ~~Executive~~Scientific Officer

Date: ~~August 16, 2021~~May 23, 2022	By:	/s/ Jeff Eliot Margolis
		Jeff Eliot Margolis
		Senior Vice President, Chief Financial Officer, Treasurer and Secretary