XML 45 R6.htm IDEA: XBRL DOCUMENT v2.4.0.8
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
9 Months Ended
Sep. 30, 2014
Sep. 30, 2013
Cash flows from operating activities:    
Net loss $ (10,653,419) $ (4,287,982)
Adjustments to reconcile net loss to net cash used in operating activities    
Share-based compensation expense 1,133,335 728,917
Depreciation and amortization 414,486 1,463,900
Amortization of licensed content 63,903 112,743
Amortization of interest expense related to debt issuance costs 128,879 0
Amortization of interest expense related to beneficial conversion feature 2,126,301 0
Deferred income tax (84,249) (82,129)
Loss/(gain) on investment in unconsolidated entities 16,646 (7,873)
Loss on disposal of assets 8,334 0
Change in fair value of warrant liabilities 655,849 37,130
Change in fair value of contingent purchase price consideration liability 160,766 99,343
Gain on sale of Jinan Broadband 0 (5,616,269)
Impairment of long-lived assets 0 311,249
Gain on sale of subsidiary, net of cash (755,426) 0
Loss on dissolution of variable interest entity 27,463 0
Change in assets and liabilities:    
Accounts receivable (461,473) (111,371)
Inventory 0 (65,367)
Licensed content (619,665) 650,939
Prepaid expenses and other assets (97,399) 278,543
Accounts payable (482,932) 594,940
Accrued expenses and other liabilities 349,169 (12,546)
Deferred revenue 73,175 119,483
Deferred license fee 4,663 (2,795)
Other current liabilities 0 95,938
Others 1,372 (742)
Net cash used in operating activities (7,990,222) (5,693,949)
Cash flows from investing activities:    
Acquisition of property and equipment (58,869) (424,689)
Acquisition of leasehold improvements (9,492) 0
Investments in intangibles (292) (22,662)
Investment in unconsolidated entities (208,760) 0
Sale of subsidiary (7,549) (190,760)
Net cash used in investing activities (284,962) (638,111)
Cash flows from financing activities:    
Proceeds from sale of Series D Preferred Stock 0 4,000,000
Proceeds from sale of Series E Preferred Stock 19,000,000 0
Proceeds from the exercise of warrants and options 995,607 0
Series D Preferred Stock dividend payment (92,054) 0
Costs associated with financing and share issuance (2,386,051) (849,046)
Net cash provided by financing activities 17,517,502 3,150,954
Effect of exchange rate changes on cash (19,992) 14,553
Net increase/(decrease) in cash and cash equivalents 9,222,326 (3,166,553)
Total cash and cash equivalents at beginning of period 3,822,889 4,381,043
Less cash and cash equivalents of discontinued operations at beginning of period 0 1,103,152
Cash and cash equivalents of continuing operations at beginning of period 3,822,889 3,277,891
Cash and cash equivalents of continuing operations at end of period 13,045,215 1,214,490
Supplemental Cash Flow Information:    
Value of warrants issued for issuance cost in connection with Series D Preferred Stock 0 247,995
Value of warrants issued for issuance costs in connection with Series E Preferred Stock 2,166,296 0
Conversion of convertible promissory note for Series E Preferred Stock 2,000,000 0
Conversion of Series D Preferred Stock for Series E Preferred Stock 4,000,000 0
Value of common stock issued from conversion of Series C Preferred Stock 219,754 408,114
Value of common stock issued from conversion of Series B Preferred Stock 0 3,223,575
Values of shares and options issued for Sinotop contingent consideration earn-out $ 739,265 $ 410,475