Correction of previously issued consolidated financial statements

9 Months Ended

Sep. 30, 2012

Correction of previously issued consolidated financial statements [Abstract]

Correction of previously issued consolidated financial statements

3. Correction of previously issued consolidated financial statements

Certain comparative amounts in prior periods have been corrected to conform to the current period's presentation. The principal corrections related to: 1) the separate presentation of research and development expenses as an operating expenses line item in the statement of operations, which was previously included in general and administrative expenses; and 2) correcting accounting errors such as recognition of capitalized interest.

The following table summarizes the adjustments made to the previously reported consolidated statement of operations and comprehensive income (loss) for the three and nine months ended September 30, 2011, and consolidated statement of cash flows for the nine months ended September 30, 2011.

Selected consolidated statement of operations and comprehensive income (loss) information for the three and nine months ended September 30, 2011:

	Three months ended September 30, 2011									Nine months ended September 30, 2011
	As previously reported			Corrections			As corrected			As previously reported			Corrections			As corrected
Research and development expenses		(793,702	)		(30,033	)		(823,735	)		(2,302,163	)					(2,302,163	)
Selling and distribution expenses		(1,487,490	)		(11,465	)		(1,498,955	)		(3,654,303	)					(3,654,303	)
General and administrative expenses, including stock-based compensation		(2,242,458	)		41,498			(2,200,960	)		(6,406,295	)					(6,406,295	)
Interest expense		(140,240	)		35,125			(105,115	)		(183,450	)		(181,807	)		(365,257	)
Loss before taxes		(739,318	)		35,125			(704,193	)		(345,865	)		(181,807	)		(527,672	)
Net loss		(665,635	)		35,125			(630,510	)		(414,960	)		(181,807	)		(596,767	)
Comprehensive loss		(603,836	)		35,125			(568,711	)		805,425			(181,807	)		623,618
Loss per share of common stock attributable to the Company
-Basic		(0.05	)					(0.05	)		(0.03	)		(0.01	)		(0.04	)
-Diluted		(0.05	)					(0.05	)		(0.03	)		(0.01	)		(0.04	)

Selected consolidated statement of cash flow information for the nine months ended September 30, 2011

	Nine months ended September 30, 2011
	As previously reported			Corrections			As corrected
Cash flows from operating activities
Net (loss) income		(414,960	)		(181,807	)		(596,767	)
Net cash flows used in operating activities		(894,251	)		(181,807	)		(1,076,058	)
Cash flows from investing activities
Acquisition of plant and equipment		(5,168,156	)		181,807			(4,986,349	)
Net cash flows used in investing activities		(5,168,156	)		181,807			(4,986,349	)