XML 63 R8.htm IDEA: XBRL DOCUMENT v2.4.0.8
Consolidated Statements of Cash Flows (USD $)
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Cash flows from operating activities:      
Net loss $ (26,439,159) $ (28,491,153) $ (21,328,538)
Adjustments to reconcile net loss to net cash used in operating activities:      
Depreciation and amortization 1,058,725 991,721 1,207,911
Amortization of debt discount and issuance costs 288,951    
Stock-based compensation for employees and external services 2,608,670 2,878,134 3,260,937
Loss (gain) on disposal of fixed assets (38,854) 20,883 32,145
Write-down of fixed assets   27,500  
Impairment of intangible asset     654,961
Gain on sale of marketable securities     (83,750)
Change in fair value of warrant liability (3,253,253) 5,944,571 (6,612,092)
Changes in operating assets and liabilities:      
Other receivables (298,734) 39,825 (78,503)
Trade receivables 3,606 (50,451) 67,974
Prepaid and other current assets 801,611 22,232 495,662
Other assets 493,584 89,790 76,187
Accounts payable and accrued expenses 2,143,917 (409,333) 130,766
Accrued wind-down expenses (1,102,762) (1,032,024) (1,165,585)
Deferred revenue (24,270) 13,389 (18,903)
Deferred rent 435,967 85,572 1,302,543
Net cash used in operating activities (23,322,001) (19,869,344) (22,058,283)
Cash flows from investing activities:      
Purchases of marketable debt securities (687,798) (16,380,748) (10,188,285)
Sales or maturities of marketable debt securities 14,430,000 5,762,000 6,905,000
Proceeds from sales of marketable equity securities     158,206
Purchases of property, plant and equipment (4,680,796) (73,083) (296,933)
Proceeds from sale of property, plant and equipment 38,500    
Acquisition of other assets (64,000)    
Net cash provided by (used) in investing activities 9,035,906 (10,691,831) (3,422,012)
Cash flows from financing activities:      
Proceeds from issuance of common stock, net 23,491,597 19,747,550 19,774,820
Proceeds from the exercise of warrants 530,097 6,256,438  
Proceeds from the exercise of stock options 3,452 3,629 2,386
Proceeds from loan payable, net of issuance costs 13,558,358    
Payments related to net share issuance of stock based awards (342,366) (59,090) (403,625)
Repayments of capital lease obligations (12,396) (20,167) (67,847)
Repayments of debt obligations (826,465) (191,250) (176,250)
Net cash provided by financing activities 36,402,277 25,737,110 19,129,484
Increase (decrease) in cash and cash equivalents 22,116,182 (4,824,065) (6,350,811)
Cash and cash equivalents at beginning of year 8,471,275 13,311,261 19,707,821
Effects of foreign currency rate changes on cash (2,033) (15,921) (45,749)
Cash and cash equivalents at end of the year 30,585,424 8,471,275 13,311,261
Supplemental disclosure of cash flow information:      
Interest paid 427,040 50,193 71,363
Supplemental schedule of non-cash investing and financing activities:      
Stock issued for an option agreement   50,000 [1]  
Equipment acquired under a capital lease 43,600 [2] 21,721 [2]  
Equity Financing Agreement [Member]
     
Supplemental schedule of non-cash investing and financing activities:      
Fair value of shares issued as consideration 600,006 [3]    
Acquired Patent Portfolio [Member]
     
Supplemental schedule of non-cash investing and financing activities:      
Fair value of shares issued as consideration $ 200,000 [4]    
[1] In September 2012, we issued 24,753 shares of restricted common stock under the terms of an agreement with a developer of biological materials in return for certain product rights including an exclusive right of first offer to commercialize the developer's products as may be developed on or before April 18, 2017.
[2] Represents the present value of future minimum capital lease payments for equipment leased.
[3] In June 2013, we entered into an agreement with an institutional investor, under which we have the right to sell up to $30.0 million of common stock to the institutional investor. In consideration for entering into the agreement, we issued 329,131 shares of our common stock to the institutional investor. We will not receive any cash proceeds from the issuance of these 329,131 shares. All shares sold or to be sold under this agreement are offered under our shelf registration statement previously filed with, and declared effective by, the SEC. In October 2013, we terminated the agreement without any cost or penalty.
[4] In October, 2013, we acquired from NeuroSpheres a patent portfolio we licensed on an exclusive worldwide basis, including the six patents that are the subject of our patent infringement litigation against Neuralstem. As consideration for the patents, we issued 139,548 shares of unregistered common stock with a fair value of $200,000 to NeuroSpheres. In connection with the patent acquisition, all preexisting agreements were terminated. The acquisition relieves us from further milestone and royalty payments to NeuroSpheres.