AFPW AlumiFuel Power Corporation (CE)

Item 2.03 Creation of a Direct Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

On January 20, 2015, Pure Energy 714 purchased a note totaling $21,000 in principal and $3,360 in accrued interest from one of our third party note holders and we issued a new note in the amount of $24,360; and on August 11, 2015 Pure Energy 714 purchased an additional note totaling $11,900 in principal and $1,139 in interest and issued a new note in the amount of $13,039 (together the "Pure Energy 2015 Notes"). The Pure Energy 2015 Notes may be converted at any time at a discount to market of 60% and 55%, respectively, of the lowest closing price per share of the Company's common stock for the thirty (30) and twenty (20) trading days, respectively, immediately preceding the date of conversion as adjusted for splits and other events. These notes have an interest rate of 8% per annum and are due in July 2015 and August 2015.

On February 12, 2015 we issued a $31,500 8% convertible note to LG Capital (the "LG 2015 Note"). The LG 2015 Note due in February 2016 has a conversion price of 50% of the lowest trading price per share of the Company's common stock for the twenty (20) trading days immediately preceding the date of conversion.

On March 10, 2015, Black Forest Capital purchased notes totaling $15,000 in principal from one of our third party note holders and issued a replacement convertible note in the amount of $15,000. In addition, this investor loaned the Company an additional $5,000 through a convertible note issued on March 13, 2015. These two notes together comprise a principal balance of $20,000 (together the "Black Forest Capital 2015 Notes"). The Black Forest Capital Notes may be converted at any time at a discount to market of 50% of the lowest closing price per share of the Company's common stock for the twenty (20) trading days immediately preceding the date of conversion as adjusted for splits and other events. These notes have an interest rate of 10% per annum, with a default interest rate of 15%, and are due in March 2016.

On March 10, 2015 we issued a convertible note in the principal amount of $26,500 and on March 30, 2015 another convertible note in the principal amount of total of $38,000 both of which carry interest at 12% to CareBourn Capital, LP. On August 14, 2015 an additional $33,000 in a third 12% convertible note was issued (together the "CareBourn 2015 Notes"). The CareBourn 2015 Notes are due in December 2015 and May 2016 and have a conversion price of 50% of the lowest trading price per share of the Company's common stock for the ten (10) trading days immediately preceding the date of conversion.

On July 2, 2015 an 8% convertible note for $16,500 was issued to David Schaper. This note is due in July 2015 and has a conversion price of 50% of the lowest three trading prices per share of the Company's common stock for the ten (10) trading days immediately preceding the date of conversion.

On August 9, 2016 the Gulfstream 1998 Irrevocable Trust sold certain promissory notes totaling $27,000 convertible at market price of the Registrant's common stock to CareBourn Capital, L.P. These notes are due on demand and carry an interest rate of 8% per annum. As part of the purchase of these notes the Registrant agreed to amend the conversion terms of the notes so that they may be converted at a price equaling 50% of the average of the lowest three last sales prices for AFPW common stock for the twenty trading days immediately preceding the conversion date.

On August 9, 2016 the Gulfstream 1998 Irrevocable Trust sold certain promissory notes totaling $27,000 convertible at market price of the Registrant's common stock to More Capital, LLC. These notes are due on demand and carry an interest rate of 8% per annum. As part of the purchase of these notes the Registrant agreed to amend the conversion terms of the notes so that they may be converted at a price equaling 50% of the average of the lowest three last sales prices for AFPW common stock for the twenty trading days immediately preceding the conversion date.