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Shareholders' Equity
 6 Months Ended
Jun. 30, 2012
Shareholders’ Equity [Abstract]  
Stockholders' Equity Note Disclosure [Text Block]
Note 11 – Shareholders' Equity

Share-based Compensation

We utilize share-based compensation in the form of stock options, warrants and restricted stock.  The following table summarizes the components of share-based compensation expense for the three and six months ended June 30, 2012 and 2011:

 
 
Three Months Ended
 
Six Months Ended
 
 
June 30,
 
June 30,
 
 
2012
 
2011
 
2012
 
2011
Cost of goods sold
 
$
16.4

 
$
32.7

 
$
100.3

 
$
45.2

Research and development
 
98.9

 
357.5

 
260.2

 
617.6

Selling, general and administrative
 
971.1

 
4,355.4

 
3,194.5

 
5,994.2

Total share-based compensation expense
 
$
1,086.4

 
$
4,745.6

 
$
3,555.0

 
$
6,657.0

 
 
 
 
 
 
 
 
 


During the six months ended June 30, 2012, the Company issued 1,577,021 shares of restricted stock. The following table summarizes the activity for stock options and warrants for the six months ended June 30, 2012:

 
 
Stock Options
 
Warrants
Outstanding at December 31, 2011
 
17,143,505

 
37,389,825

 
 
 
 
 
Changes during the Year:
 
 
 
 
Granted
 
6,377,529

 
21,483,524

Exercised
 
—

 
—

Forfeited
 
(1,433,305
)
 
—

Expired
 
(103,133
)
 
(585,394
)
Outstanding at June 30, 2012
 
21,984,596

 
58,287,955

 
 
 
 
 


Total compensation cost related to nonvested awards not yet recognized and the weighted-average periods over which the awards are expected to be recognized at June 30, 2012 were as follows (dollars in thousands):

 
 
Stock Options
 
Warrants
 
Restricted Stock
Unrecognized compensation cost
 
$
3,049.7

 
$
66.7

 
$
33.6

Expected weighted-average period in years of compensation cost to be recognized
 
1.73

 
0.12

 
0.12



Common Stock

The Company raised an aggregate of approximately $2.25 million in a private placement consummated in February 2012 pursuant to which three entities acquired an aggregate of 3,465,404 shares of Common Stock.
 
In March 2012, the Company completed an underwritten offering of 15,000,000 units at a purchase price of $0.40 per unit, with each unit consisting of one share of Common Stock and a five year warrant to purchase one share of Common Stock at an exercise price of $0.51 per share (the “ March 2012 Offering”). The Company sold securities in the March 2012 Offering under the Company’s previously filed shelf registration statement on Form S-3 (333-173855), which was declared effective by the Securities and Exchange Commission on June 13, 2011. The Company received gross proceeds of $6,000,000, prior to deducting underwriting discounts and offering expenses payable by the Company, for net proceeds of approximately $5,297,000. In April 2012, the underwriters in the March 2012 Offering exercised their over-allotment option for an additional 2,000,000 units. The Company received additional gross proceeds of $800,000, prior to deducting underwriting discounts, for net proceeds of approximately $744,000. Additionally in April 2012, the warrants issued in connection with the offering initially exercisable beginning on September 30, 2012, were accelerated and are now exercisable immediately.

On May 11, 2012, we consummated a private placement pursuant to which three persons and/or entities acquired an aggregate of 3,250,000 Units (the Units”), each Unit consisting of one share of common stock and one warrant for an aggregate consideration of $1.3 million at $0.40 per Unit. The warrants have an exercise price of $0.51, expiring five years from the date of issuance and are exercisable at any time. The warrants have been classified as equity and will not be subject to remeasurement.

In June 2012, the Company issued an additional 818,182 Units (the “Units”), each Unit consisting of one share of common stock and one warrant for an aggregate consideration of $350,000 at $.40 and $.44 per Unit. The warrants have an exercise price of $0.51, expiring five years from the date of issuance and are exercisable at any time.  The warrants have been classified as equity and will not be subject to remeasurement.