Intangible Assets

6 Months Ended

Jun. 30, 2011

Notes to Financial Statements

Note 5.Intangible Assets

 Intangible assets as of the balance sheet dates consisted of the following:

	June 30, 2011		December 31, 2010
Licensed patents and patent rights	$	50,000	$	50,000
Patents		41,004		41,004
Less: accumulated amortization		(48,330)		(44,199	)
Intangibles, net	$	42,674	$	46,085

The Company’s intangible assets are carried at the legal cost to obtain them. Intangible assets are amortized using the straight line method over the estimated useful life. Useful lives are as follows: licensed patents and patent rights, eight to 15 years; patents, 17 years; technology license, five years; and website development costs, three years. Amortization expense totaled $2,065 and $4,131 for the three and six months ended June 30, 2011 and $4,540 and $8,844 for the three and six months ended June 30, 2010, respectively.  Impairment will be considered in accordance with the Company’s impairment policy which requires at least an annual analysis. No impairment was recognized as of June 30, 2011.