WARRANTS

9 Months Ended

Sep. 30, 2013

Notes to Financial Statements

Note 11. WARRANTS

 At September 30, 2013, the Company had the following outstanding warrants:

	Number of Shares Exercisable		Exercise Price		Date of Expiration
Outstanding warrants accounted for as derivative warrant liability:
Granted to debt holder		400,000	$	20.00	8/31/2017
Granted to debt holder		100,000		21.30	9/20/2017
Granted to debt holder		50,000		22.70	10/17/2017
Granted to debt holder		150,000		21.10	11/6/2017
Total outstanding warrants accounted for as derivative warrant liability		700,000
Weighted average exercise price			$	20.61
Weighted average time to expiration in years					3.98 years
Outstanding warrants accounted for as equity:
Granted to investors in private placement of preferred stock		3,228	$	10.00	9/30/2013
Granted to investors in private placement of preferred stock		19,834		15.00	10/28/2013
Granted to investors in private placement of preferred stock		39,000		7.50	2/28/2014
Granted to vendor		6,000		6.00	3/15/2014
Granted to investors in private placement		40,000		15.90	6/30/2014
Granted to investors in private placement		76,800		20.00	11/13/2014
Granted to placement agent in private placement		25,695		15.00	11/13/2014
Granted to investors in private placement		6,300		20.00	12/3/2014
Granted to investors in private placement		34,146		22.50	2/9/2015
Granted to placement agents in private placement		2,853		22.50	2/9/2015
Granted to investor in private placement		638		22.50	3/18/2015
Granted to investors in private placement		95,960		30.00	12/7/2014
Total outstanding warrants accounted for as equity		350,454
Weighted average exercise price			$	20.17
Weighted average time to expiration in years					0.96 years
Totals for all warrants outstanding:
Total		1,050,454
Weighted average exercise price			$	20.46
Weighted average time to expiration in years					2.97 years

 A summary of warrant activity for the nine months ended September 30, 2013 is as follows:

Warrants	Shares			Weighted- Average Exercise Price
Outstanding at January 1, 2013		1,254,004		$	20.08
Granted		9,175			12.60
Exercised		—			—
Forfeited or expired		(212,725	)		17.69
Outstanding at September 30, 2013		1,050,454		$	20.46

Exercise of Common Stock Warrants

 During the nine months ended September 30, 2013, the Company issued no shares of its Common Stock upon the exercise of warrants.