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Subsequent Events
3 Months Ended
Mar. 31, 2014
SUBSEQUENT EVENTS [Abstract]  
Subsequent Events
  11. Subsequent Events

 

On April 30, 2014, the Company's subsidiary, DSS Technology Management, contracted to purchase a portfolio of 115 patents for an aggregate cash purchase price of $1,150,000. This pending patent acquisition is expected to be completed during the second quarter of 2014.

 

On May 2, 2014, the Company extended a promissory note in the principal sum of $850,000 set to mature on May 24, 2014 until May 24, 2015. The Company also issued lender's president, as additional consideration for the extension, a five-year warrant to purchase up to 40,000 shares of the Company's common stock at an exercise price of $1.50 per share valued at approximately $29,000 using the Black-Scholes-Merton option pricing model with a volatility of 70.0%, a risk free rate of return of 1.53% and zero dividend and forfeiture estimates. In conjunction with the issuance of the warrants, the Company will record a discount on debt of approximately $29,000 in May 2014 that will be amortized over the amended term of the note.