INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2012

Income Taxes Tables

Income tax provision (benefit)

The significant components of the income tax provision (benefit) are as follows:

($ in thousands)	Year Ended December 31,
	2012		2011
Current
Federal	$	—	$	—
State		—		—
Foreign		22		(19)
Deferred
Federal		—		—
State		—		—
Foreign		—		—
	$	22	$	(19)

Deferred tax assets (liabilities)

The principal components of the Company’s deferred tax assets (liabilities) at December 31, 2012 and 2011 are as follows:

($ in thousands)	2012		2011
Net operating loss carryforwards	$	11,554	$	10,654
Intangible assets		653		768
Stock based compensation		1,089		862
Reserves and accrued expenses		6		5
Other		(140)		(143)
		13,162		12,146
Less valuation allowance		(13,162)		(12,146)
Net deferred tax assets	$	—	$	—

Reconciliation of federal statutory income tax rate to our effective income tax rate

A reconciliation of the provision (benefit) for income taxes to the amount computed by applying the statutory income tax rates to loss before income taxes is as follows:

	2012			2011
Amounts computed at statutory rates	$	(3,465	)	$	(1,081	)
State income tax, net of federal benefit		(81	)		50
Expiration of net operating loss carryforwards		473			603
Non-deductible interest		1,602			163
Foreign taxes		473			528
Other		4			(1	)
Net change in valuation allowance on deferred tax assets		1,016			(281	)
	$	22		$	(19	)