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Financial Instruments
9 Months Ended
Sep. 30, 2011
Financial Instruments [Abstract] 
Financial Instruments

Note 2. Financial Instruments

The following table summarizes the fair value of our cash, cash equivalents and available-for-sale marketable securities held in our current investment portfolio:

 

                                 
    Amortized
Cost		     Gross
Unrealized
Gains		     Gross
Unrealized
(Losses)		     Fair Value  

September 30, 2011

                                

Cash

   $ 826,186     $ —       $ —       $ 826,186  

Cash equivalents

     6,467,888       —         —         6,467,888  

Marketable debt securities, current

     5,247,956       —         (7,556 )      5,240,400  
   

 

 

    

 

 

    

 

 

    

 

 

  

Total cash, cash equivalents, and marketable securities

   $ 12,542,030       —       $ (7,556 )    $ 12,534,474  
   

 

 

    

 

 

    

 

 

    

 

 

  

December 31, 2010

                                

Cash

   $ 1,001,868     $ —       $ —       $ 1,001,868  

Cash equivalents

     18,705,953       —         —         18,705,953  

Marketable equity securities, current

     74,456       116,348       —         190,804  
   

 

 

    

 

 

    

 

 

    

 

 

  

Total cash, cash equivalents, and marketable securities

   $ 19,782,277     $ 116,348     $ —       $ 19,898,625  
   

 

 

    

 

 

    

 

 

    

 

 

  

Gross unrealized gains and losses on cash equivalents were not significant at September 30, 2011 and December 31, 2010. At September 30, 2011, our cash equivalents were primarily money market funds consisting mainly of U.S. Treasury debt securities.

Our investment in marketable debt securities are short term investments that consist primarily of commercial paper and corporate debt securities.

Our investment in marketable equity securities consists of ordinary shares of ReNeuron Group Plc (ReNeuron), a publicly listed U.K. corporation. In July 2005, we entered into an agreement with ReNeuron under which we granted ReNeuron a license that allows ReNeuron to exploit its “c-mycER” conditionally immortalized adult human neural stem cell technology for therapy and other purposes. We received shares of ReNeuron common stock, as well as a cross-license to the exclusive use of ReNeuron’s technology for certain diseases and conditions, including lysosomal storage diseases, spinal cord injury, cerebral palsy, and multiple sclerosis. The agreement also provides for full settlement of any potential claims that either we or ReNeuron might have had against the other in connection with any putative infringement of certain of each party’s patent rights prior to the effective date of the agreement. In July and August 2005, we received approximately 8,836,000 ordinary shares of ReNeuron common stock, net of approximately 104,000 shares that were transferred to NeuroSpheres, Ltd., an Alberta corporation (NeuroSpheres), and subsequently, as a result of certain anti-dilution provisions in the agreement, we received approximately 1,261,000 more shares, net of approximately 18,000 shares that were transferred to NeuroSpheres. In February 2007, we sold 5,275,000 shares for net proceeds of approximately $3,075,000. We recognized approximately $716,000 as realized gain from this transaction. In the first quarter of 2009, we sold 2,900,000 shares of ReNeuron and received net proceeds of approximately $510,000 for a realized gain of approximately $398,000. In the second quarter of 2011, we sold our remaining 1,921,924 shares of ReNeuron and received net proceeds of approximately $158,000 for a realized gain of approximately $84,000. As of June 30, 2011, we no longer hold any shares of ReNeuron.