Capital Stock (Tables)

12 Months Ended

Mar. 31, 2013

Capital Stock Tables

Black-Scholes Option Pricing Model

Assumption:	Pre-modification			Post-modification
Market price per share	$	2.60		$	2.60
Exercise price per share	$	1.50 - $2.625		$	0.75 - $1.31
Risk-free interest rate		0.18% - 0.45	%		0.02	%
Expected term in years		0.90 – 3.25			0.25
Volatility		65.7% - 82.8	%		41.1	%
Dividend rate		0.0	%		0.0	%
Weighted Average Fair Value per share	$	1.30		$	1.50

Black-Scholes Option Pricing Model on Modifications

Assumption:	Pre-modification		Post-modification
Market price per share (weighted average)	$	1.95	$	1.95
Exercise price per share (weighted average)	$	2.75	$	0.50
Risk-free interest rate (weighted average)		0.29%		0.06%
Expected term in years (weighted average)		1.93		0.12
Volatility (weighted average)		78.0%		85.7%
Dividend rate		0.0%		0.0%
Weighted Average Fair Value per share	$	0.64	$	1.45

Black-Scholes Option Pricing Model on Assumptions

Assumption:	Pre-modification		Post-modification
Market price per share (weighted average)	$	0.60	$	0.60
Exercise price per share (weighted average)	$	2.51	$	1.50
Risk-free interest rate (weighted average)		0.21%		0.21%
Expected term in years (weighted average)		1.38		1.38
Volatility (weighted average)		80.8%		80.8%
Dividend rate		0.0%		0.0%
Weighted Average Fair Value per share	$	0.03	$	0.07

Other Warrant Modifications assumptions

Assumption:	Pre-modification			Post-modification
Market price per share	$	2.99		$	2.99
Exercise price per share	$	2.25 - $3.00		$	1.125 - $1.50
Risk-free interest rate		0.02% - 0.29	%		0.29	%
Expected term in years		0.53 – 2.39			2.39
Volatility		69.4% – 81.0	%		81.0	%
Dividend rate		0.0	%		0.0	%
Weighted Average Fair Value per share	$	1.00		$	2.03

Black-Scholes Other Warrant Modifications Option Pricing Model on Assumptions

Assumption:	Pre-modification			Post-modification
Market price per share	$	3.05		$	$3.05
Exercise price per share	$	1.75 - $2.50		$	$0.88 - $1.25
Risk-free interest rate		0.25% - 0.29	%		0.29	%
Expected term in years		2.00 – 2.36			2.36
Volatility		74.8% – 78.3	%		78.3	%
Dividend rate		0.0	%		0.0	%
Weighted Average Fair Value per share	$	1.69		$	2.25

Warrants outstanding

Warrants Outstanding

The following table summarizes outstanding warrants to purchase restricted shares of the Company’s common stock as of March 31, 2013 and 2012.  The weighted average exercise price of outstanding warrants at March 31, 2013 and 2012 was $1.26 and $2.16 per share, respectively.

		Shares Subject to Purchase
Exercise	Expiration	March 31,		March 31,
Price	Date	2013		2012
$0.64	3/3/2023		3,000,000		-
$0.88	5/11/2014		15,428		314,328
$1.00	9/15/2017 to 9/30/2017		3,053,573		1,500
$1.125	12/28/2012		-		97,679
$1.25	5/11/2014 to 12/31/2014		120,280		120,280
$1.50	12/31/2012 to 3/14/2018		7,460,816		375,000
$1.75	12/31/2013		349,235		643,184
$2.00	8/3/2013 to 9/15/2017		425,000		609,000
$2.50	5/11/2014		42,443		617,394
$2.625	12/31/2013		68,560		588,200
$2.75	2/28/2017		-		272,724
$3.00	5/11/2015 to 2/13/2016		125,000		430,000
$6.00	6/28/2012 to 12/31/2013		-		57,300
			14,660,335		4,126,589

Reserved Shares

Reserved Shares

At March 31, 2013, the Company has reserved shares of its common stock for future issuance as follows:

Upon exchange of all shares of Series A Preferred Stock currently issued and outstanding (1)	15,000,000
Warrant shares issuable to Platinum upon exercise of common stock warrant upon exchange of Series A preferred stock under the terms of the October 11, 2012 Note Purchase and Exchange Agreement	7,500,000
110% of shares issuable upon conversion of 10% convertible Exchange Note and Investment Notes issued to Platinum in October 2012, February 2013 and March 2013, including interest accrued through maturity (2)	9,747,422
Pursuant to warrants to purchase common stock:
Subject to outstanding warrants	14,660,335
Issuable pursuant to accrued interest through maturity on outstanding promissory notes
issued to Morrison & Foerster, Cato Research Ltd., and University Health Network	1,196,427
	15,856,762
Pursuant to stock incentive plans:
Subject to outstanding options under the 2008 and 1999 Stock Incentive Plans	4,912,604
Available for future grants	257,867
	5,170,471
Upon sales of additional Units pursuant to the 2012 Private Placement of Units	15,414,583
Total	68,689,238

(1) assumes exchange under the terms of the October 11, 2012 Note Exchange and Purchase Agreement with Platinum

(2) assumes conversion under the terms of the October 11, 2012 Note Exchange and Purchase Agreement with Platinum and the terms of the individual notes