2.	Basis of presentation:

These financial statements are presented in U.S. dollars.

The accompanying unaudited interim financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, these financial statements do not include all of the information and footnotes required for complete financial statements and should be read in conjunction with the audited financial statements and notes for the year ended December 31, 2014 and included in the Company’s 2014 Annual Report on Form 10-K filed with the SEC on March 12, 2015.

These unaudited interim financial statements reflect all adjustments, consisting of normal recurring adjustments, which, in the opinion of management, are necessary for a fair presentation of results for the interim periods presented. The results of operations for the three month periods ended March 31, 2015 and 2014 are not necessarily indicative of results that can be expected for a full year. These unaudited interim financial statements follow the same significant accounting policies as those described in the notes to the audited financial statements of the Company included in the Company’s 2014 Annual Report on Form 10-K for the year ended December 31, 2014, with the exception of the liability classified stock options described in note 2 and the change in functional currency described in note 3.

Certain comparative figures have been reclassified to conform to the financial statement presentation adopted for the current interim period.

Restatement

The Company has determined that a restatement is required to the previously reported unaudited interim financial statements for the quarter ended March 31, 2015.

Under U.S. GAAP guidance for share-based payment transactions, awards of options that provide for an exercise price which is not denominated in: (a) the currency of a market in which a substantial portion of the Company’s equity securities trades, (b) the currency in which the individual’s pay is denominated, or (c) the Company’s functional currency, are required to be classified as liabilities. Liability classified awards are measured at fair value at each reporting period with changes in fair value recognized as compensation cost of the period.

The Company granted stock options with exercise prices denominated in Canadian dollars under its Amended and Restated Stock Option Plan to members of its board of directors and certain consultants prior to the Company’s IPO in November 2014. Following the change in functional currency on January 1, 2015, described in note 3, the options with exercise prices denominated in Canadian dollars that were granted to members of the Company’s board of directors and certain consultants were subject to liability accounting (the “liability options") with fair value calculated using the Black-Scholes option-pricing model. Prior to January 1, 2015, these options were subject to equity accounting.

The Company revalued the liability options as of March 31, 2015 and recorded a stock option liability of $6.3 million. The fair value of the liability options, net of amounts previously recognized in additional paid-in capital, is included in the statement of operations and comprehensive income (loss) as general and administrative stock based compensation expense.

A summary of the impact of the correction of the stock based compensation adjustment on the unaudited interim financial statements is as follows:

	As originally reported			Reclassification			Adjustment			Restated
Fair value of liability classified stock options	$	—		$	—		$	6,298		$	6,298
Additional paid-in capital		30,450			—			(1,367	)		29,083
Accumulated deficit		(107,999	)		—			(4,931	)		(112,930	)
General and administrative		1,789			(218	)		—			1,571
General and administrative - stock based compensation		—			218			4,931			5,149
Loss from operations		(1,206	)		—			(4,931	)		(6,137	)
Net loss		(4,225	)		—			(4,931	)		(9,156	)
Net loss attributable to common shareholders		(4,225	)		—			(4,931	)		(9,156	)
Net loss per common share - basic and diluted		(0.30	)		—			(0.34	)		(0.64	)
Comprehensive loss		(4,225	)		—			(4,931	)		(9,156	)
Adjustments to reconcile net loss to net cash used in operating activities: stock based compensation		288			—			4,931			5,219