Marketable Securities

12 Months Ended

Sep. 30, 2011

Investments, Debt and Equity Securities [Abstract]

Marketable Securities

3.   Marketable Securities

The Company invested in certain marketable securities, which consist primarily of short-to-intermediate-term debt securities issued by the U.S. government, U.S. government agencies and municipalities and investment grade corporate securities. The Company only invested in marketable securities with active secondary or resale markets to ensure portfolio liquidity and the ability to readily convert investments into cash to fund current operations, or satisfy other cash requirements as needed. Due to the nature of the Company as a development stage company and its funding needs at times being uncertain, the Company had classified all marketable securities as available-for-sale. The unrealized gains and losses on these securities are included in accumulated other comprehensive loss as a separate component of stockholders’ equity. The specific-identification method is used to determine the cost of a security sold or the amount reclassified from accumulated other comprehensive income into earnings.

Marketable securities classified as available for sale are measured at fair value based on quoted market prices. The amortized cost, gross unrealized gains and losses and fair value of investment securities at September 30, 2011 are $0. As of September 30, 2010, the Company had $6 million marketable security investments. In March 2011, the Company modified its investment strategy to primarily invest in money market accounts.