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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
6 Months Ended
Jun. 30, 2012
Jun. 30, 2011
Cash flows from operating activities    
Net income $ 1,808,923 $ 1,949,145
Adjustments to reconcile net income to net cash used in operating activities    
Stock-based compensation expense 124,077 59,300
Depreciation and amortization 246,448 219,976
Change in fair value of warrants liability 92,067 (149,867)
Recovery of doubtful accounts 27,942 0
Changes in assets and liabilities:    
Increase in accounts receivable (282,688) (3,451,269)
Increase in prepayments and other current assets (522,831) (4,240,759)
Decrease (Increase) in other receivables (1,670,623) 2,810
Decrease (Increase) in inventories 733,009 96,299
Decrease (Increase) in tax receivable 384,599 (911,942)
Increase (Decrease) in accounts payable 6,115 1,153,882
Decrease in advances from customers (65,347) (116,220)
(Decrease) Increase in accrued expenses and other current liabilities (31,931) 9,502
(Decrease) Increase in tax payable (1,616,959) 2,022,812
Net cash used in operating activities (767,199) (3,356,331)
Cash flows from investing activities    
Acquisition of machinery and software copyrights (2,405,707) (62,302)
Advances to related parties 0 (2,358)
Net cash used in investing activities (2,405,707) (64,660)
Cash flows from financing activities    
Proceeds from bank loan 2,373,145 1,542,680
Repayment of bank loan (1,580,436) (1,533,604)
Net cash provided by financing activities 792,709 9,076
Effect of exchange rate fluctuations on cash and cash equivalents (206,347) 496,552
Net decrease in cash and cash equivalents (2,586,544) (2,915,363)
Cash and cash equivalents at beginning of period 3,694,486 5,923,386
Cash and cash equivalents at end of period 1,107,942 3,008,023
Supplemental cash flow information    
Income tax paid 779,678 13,260
Interest paid $ 64,904 $ 26,993