NOTE 2  RELATED PARTY TRANSACTIONS

LEASED AIRCRAFT

From 1992 to 2018, we leased an aircraft from AMI Aviation, Inc., of which our former President and Chief Executive Officer, Andrew Sealfon, was a majority shareholder. The lease payments were zero and $3,876 for the three months ended June 30, 2019 and 2018, respectively and zero and $7,752 for the six months ended June 30, 2019 and 2018 respectively. Upon the termination of Mr. Sealfon as President and Chief Executive Officer on July 25, 2018, the Company ceased leasing this aircraft.

BUILDING LEASE

Mr. Pastreich, a former director, is a principal in the entity that owns the building leased by us for our corporate headquarters and manufacturing facility at 24 Carpenter Road, Chester, New York 10918.  On February 28, 2019, we completed year twenty of a twenty year lease with monthly lease payments of $11,042.  On November 14, 2017, we executed a lease extension, which calls for six month extensions beginning March 1, 2019 with the option to renew six times at a monthly lease amount of $12,088.

The lease payments were $36,264 and $33,126 for the three months ended June 30, 2019 and 2018, respectively, and $70,436 and $66,252 for the six months ended June 30, 2019 and 2018, respectively. The Company also paid property taxes in the amount of $12,989 and $12,720 for the three months ended June 30, 2019 and 2018, respectively and $25,416 and $25,432 for the six months ended June 30, 2019 and 2018, respectively.