Fixed Assets

6 Months Ended

12 Months Ended

Jun. 30, 2011

Dec. 31, 2010

6. Fixed Assets

Equipment and leasehold improvements, net, consists of the following:


	Useful Lives		June 30,		December 31,
	in Years		2011		2010
			(in thousands)
Equipment		3-7	$	1,370	$	1,370
Leasehold improvements	Term of lease			61		61

				1,431		1,431
Less, accumulated depreciation and amortization				1,370		1,349

Equipment and leasehold improvements, net			$	61	$	82

5. Fixed Assets

Tarrytown Facility. On December 8, 2008, we decided to close our research and development facilities in Tarrytown, NY to reduce costs and improve operating efficiency. As of December 8, 2008 we ceased using approximately 85% of the facilities which resulted in a restructuring charge of approximately $3.8 million in the fourth quarter, 2008. As a result, the Company wrote down the value of approximately $1.0 million (net) in leasehold improvements related to the Tarrytown facility no longer in use as of December 31, 2008. In addition, the useful lives of approximately $0.2 million in leasehold improvements were shortened because we ceased using the facilities on January 29, 2009 resulting in an accelerated charge to amortization expense for 2008 of approximately $0.1 million. Please refer to Footnote 16 “Commitments and Contingencies” for more information on this subject.

Fixed Assets. Equipment and leasehold improvements, net, consists of the following:


	December 31,
	Useful Lives In Years		2010		2009
	(In thousands)
Equipment		3-7	$	1,370	$	1,370
Leasehold improvements	Term of lease			61		61

				1,431		1,431
Less, accumulated depreciation and amortization				1,349		1,293

			$	82	$	138

Depreciation expense for the years ended December 31, 2010, 2009 and 2008, was $0.1 million, $0.1 million and $0.7 million, respectively.

In 2009, in connection with the closure of our Tarrytown facility, we abandoned leasehold improvements with a historical cost of $2.95 million and accumulated amortization of $2.85 million. We also abandoned equipment with a historical cost of $2.86 million and accumulated depreciation of $2.84. Additionally, during 2009, we sold equipment with a historical cost of $4.84 million and accumulated depreciation of $4.76 million for $0.99 million. The effect of these abandonments and sales was a gain of $0.79 million.

- Definition

The entire disclosure for long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale. Examples include land, buildings, machinery and equipment, and other types of furniture and equipment including, but not limited to, office equipment, furniture and fixtures, and computer equipment and software. This disclosure may include property plant and equipment accounting policies and methodology, a schedule of property, plant and equipment gross, additions, deletions, transfers and other changes, depreciation, depletion and amortization expense, net, accumulated depreciation, depletion and amortization expense and useful lives, income statement disclosures, assets held for sale and public utility disclosures.

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