INCOME TAXES (Tables)

12 Months Ended

Aug. 31, 2012

INCOME TAXES [Abstract]

Differences between provision and estimated income tax

The provision for income taxes differs from the amount estimated by applying the statutory federal income tax rate to income (loss) before taxes as follows:

	August 31,
	2012					2011					2010
Federal tax (benefit) at statutory rate	$	(13,111	)	-34.00	%	$	(12,679	)	-34.00	%	$	(6,391	)	-34.00	%
State tax (benefit) at statutory rate, net of federal tax benefit		(1,069	)	-2.77	%		(2,248	)	-6.03	%		(953	)	-5.07	%
Change in valuation allowance		4,775		12.38	%		19,279		51.70	%		6,068		32.28	%
Research and development credits		(1,033	)	-2.68	%		(1,831	)	-4.91	%		(708	)	-3.77	%
Fair market value of warrants		1,079		2.80	%		5,542		14.86	%		2,004		10.66	%
Qualified Therapeutic Discovery Project Grant income		(0	)	0.00	%		(297	)	-0.80	%		0		0.00	%
Intangible asset basis allocation		2,951		7.66	%		(8,632	)	-23.15	%		(20	)	-0.11	%
Stock based compensation – ISO		1,525		3.96	%		493		1.32	%		2		0.01	%
Foreign losses not benefited		3,848		9.98	%		0		0.00	%		0		0.00	%
Other		1,035		2.67	%		373		1.01	%		(2	)	0.00	%
Provision for income taxes	$	0		0.00	%	$	0		0.00	%	$	0		0.00	%

Deferred tax assets (liabilities)

Deferred tax assets (liabilities) consist of the following:
	August 31,
	2012			2011
Deferred Tax Assets
Net operating loss carryforwards	$	18,075		$	14,940
Capitalized start-up costs		8,946			6,636
Stock option expense		462			462
Research credit		7,873			6,275
Basis difference for fixed assets and intangibles		5,766			7,560
Accruals		105			138
Other		(441	)		0
Valuation allowance		(40,786	)		(36,011	)
Gross deferred tax asset	$	0		$	0