INTANGIBLE ASSETS

9 Months Ended

Sep. 30, 2011

NOTE 8.

INTANGIBLE ASSETS

Intangible assets are comprised of patents acquired in October, 2005. Intangible assets, net consisted of the following at September 30, 2011 and December 31, 2010:

Intangible assets	September 30, 2011			December 31, 2010
Patent - Amlexanox (Aphthasol®)	$	2,090,000		$	2,090,000
Patent - Amlexanox (OraDisc™ A)		6,873,080			6,873,080
Patent - OraDisc™		73,000			73,000
Patent - Hydrogel nanoparticle aggregate		589,858			589,858
		9,625,938			9,625,938
Less: accumulated amortization		( 4,847,003	)		(4,234,371	)
Intangible assets, net	$	4,778,935		$	5,391,567

Amortization expense for intangible assets was $206,454 and $206,454 for the three months ended September 30, 2011 and 2010, respectively, and was $612,632 and $699,252 for the nine months ended September 30, 2011 and 2010, respectively.

The future aggregate amortization expense for intangible assets, remaining as of September 30, 2011, is as follows:

Calendar Years	Future Amortization Expense
2011 (Three months)	$	156,500
2012		476,450
2013		475,148
2014		475,148
2015		475,148
2016 & Beyond		2,720,541
Total	$	4,778,935