INTANGIBLE ASSETS

6 Months Ended

Jun. 30, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets Disclosure [Text Block]

NOTE 6: INTANGIBLE ASSETS

Intangible assets consisted of the following:

	June 30,		December 31,
	2013		2012
Patents	$	4,704,853	$	4,704,853
Software		58,966		50,466
Less: Accumulated amortization		(306,200)		(115,095)
	$	4,457,619	$	4,640,224

Intangible assets amounted to $4,457,619 and $4,640,224 as of June 30, 2013 and December 31, 2012 respectively, mainly consisted of patents and software acquired. The acquired software in the amount of $50,466 and $58,966 as of June 30, 2013 and December 31, 2012, respectively, is for the purpose of managing laboratory results pursuant to a software installation agreement that was entered into on June 8, 2011. The amortization period for the purchased software is 3 years. Amortization expense related to software for the six months ended June 30, 2013 and 2012 was $9,591 and $8,410, respectively.

Patents amounted to $4,704,853 and $4,704,853 as of June 30, 2013 and December 31, 2012, respectively, and mainly consisted of patents acquired from Acueity on September 30, 2012 in an asset purchase transaction (see Note 13). Patent assets will be amortized based on their determined useful life, and tested annually for impairment. The amortization period was from 9 to 14 years. Amortization expense related to patents was $181,514 and $0 for the six months ended June 30, 2013 and 2012, respectively.

Future estimated amortization expenses as of June 30, 2013 for the five succeeding years is as follows:

As of June 30,	Amounts
2013	$	382,683
2014		366,022
2015		364,681
2016		363,028
2017		363,028
Thereafter		2,618,177
	$	4,457,619

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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