General form of registration statement for all companies including face-amount certificate companies

CONSOLIDATED STATEMENTS OF CASH FLOWS

 v2.3.0.11
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
6 Months Ended 12 Months Ended
Jun. 30, 2011
Jun. 30, 2010
Dec. 31, 2010
Dec. 31, 2009
Cash flows from operating activities:        
Net loss $ (1,754,987) $ (690,117) $ (1,423,647) $ (1,226,804)
Adjustments to reconcile net loss to cash used by operating activities:        
Amortization and depreciation 87,802 80,932 164,456 144,792
Amortization of intangible assets     164,456 144,792
Amortization of debt issuance costs   21,554 35,923 43,108
Amortization of debt discount 2,666 80,792    
Amortization of warrants issued with notes payable     126,624 142,745
Employee compensation expense 278,479 122,808    
(Increase) decrease in assets:        
Accounts receivable (150,000)      
Grant receivable 223,540   (223,540)  
Inventory (607,497) (267,364) (253,639) (30,023)
Prepaid expenses 61,523 (36,792) (211,717)  
Increase (decrease) in liabilities:        
Accounts payable (78,408) (29,927) 190,524 220,031
Accrued interest payable to shareholders (members) (172,554) 39,692 112,047  
Accrued expenses (37,336) 92,936 191,224 93,359
Deferred grant revenue (143,540)   223,540  
Net cash used by operating activities (2,290,312) (585,486) (909,939) (165,213)
Cash flows from investing activities:        
Acquisition of patents and trademarks (552,123) (84,882) (108,116) (6,840)
Acquisition of office furniture and fixtures (4,791)      
Net cash used by investing activities (556,914) (84,882) (108,116) (6,840)
Cash flows from financing activities:        
Payment of deferred private placement costs   (53,452) (60,976)  
Payment on demand bank loans   (7,383) (71,810) (1,371)
Proceeds from issuance of notes and warrants   450,000   55,000
Payments on notes payable to shareholders (393,275) (4,389)    
Proceeds from issuance of common stock   410,000    
Net proceeds from January 25, 2011 private placement 3,346,729   549,870  
Net advances (repayments) from related party (21,272) (90,400) (120,028) 69,161
Net advances from (payments to) officers 1,309 (930)    
Payment on note payable to repurchase membership units     (4,390)  
Proceeds from issuance of notes     318,271  
Proceeds from issuance of warrants     405,000  
Net advances from members     2,270 35,860
Net cash provided by financing activities 2,933,491 703,446 1,018,207 158,650
Net increase (decrease) in cash 86,265 33,078 152 (13,403)
Cash - beginning of period (year) 310 158 158 13,561
Cash - end of period (year) 86,575 33,236 310 158
Cash paid during the period for interest 189,736 7,598 16,890 5,661
Reduction of accounts payable not related to operating activities:        
Payment of accounts payable for patent costs 500,000      
Payment of accounts payable for deferred private placement costs 526,127      
Accounts payable converted to promissory notes 587,000      
Supplemental Accounts Payable, Total 1,613,127      
Deferred private placement costs charged to contributed capital 587,133      
Conversion of member note to common shares and warrants 614,070 31,311    
Issuance of warrants as derivative liability instruments and reduction of capital in excess of par value 3,061,750      
Patent and trademark additions included in accounts payable   16,367 39,796 221,102
Deferred private placement cost additions included in accounts payable   209,177 526,157  
Debt discount related to warrants issued with notes payable       36,395
Cash paid during the year for:        
Cash paid during the period for interest 189,736 7,598 16,890 5,661
Equity
       
Adjustments to reconcile net loss to cash used by operating activities:        
Employee compensation expense     144,345 407,387
Increase (decrease) in liabilities:        
Payments for outside services     2,192 40,192
Note
       
Adjustments to reconcile net loss to cash used by operating activities:        
Employee compensation expense     9,537  
Increase (decrease) in liabilities:        
Payments for outside services     2,192  
Reduction of accounts payable not related to operating activities:        
Conversion to Membership Units     31311 88172
Note payable issued to repurchase Membership Units       $ 35,019
Member advances
       
Reduction of accounts payable not related to operating activities:        
Conversion to Membership Units     - 271992