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INVENTORIES

6 Months Ended

Jun. 30, 2011

NOTE 2 - INVENTORIES

Inventory as of June 30, 2011 and December 31, 2010 consisted of the following:

	June 30, 2011		December 31, 2010
Raw materials	$	446	$	553
Finished goods		91		636
	$	537	$	1,189

During the 6 months ended June 30, 2011, the Company recorded a $272 write-down of inventory under cost of revenues.

- Definition

The entire disclosure for inventory. This may include, but is not limited to, the basis of stating inventory, the method of determining inventory cost, the major classes of inventory, and the nature of the cost elements included in inventory. If inventory is stated above cost, accrued net losses on firm purchase commitments for inventory and losses resulting from valuing inventory at the lower-of-cost-or-market may also be included. For LIFO inventory, may disclose the amount and basis for determining the excess of replacement or current cost over stated LIFO value and the effects of a LIFO quantities liquidation that impacts net income.

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