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SUBSEQUENT EVENTS
3 Months Ended
Mar. 31, 2014
Notes to Financial Statements  
Note 11 - SUBSEQUENT EVENTS

In April 2014, the Company and Holder entered into a further amendment to the Line of Credit to decrease the available borrowings to $3.0 million (the “Second Amendment”).  Contemporaneous with the execution of the Second Amendment, the Company entered into a new unsecured line of credit with available borrowings of up to $500,000 with a second member of the Company’s Board of Directors (the “Second Holder”), which amount would be convertible into shares of the Company’s common stock for $2.25 per share. As a result of these amendments, total available borrowings under aggregate lines of credit available to the Company remain unchanged at a total of $3,500,000. The Holder also assigned and transferred to the Second Holder one-half of the 177,778 warrants issued by the Company to the Holder to purchase shares of the Company’s common stock, originally granted to the Holder upon execution of the Amendment.  See Note 5, “Notes Payable and Lines of Credit” for a further description of the Lines of Credit and the Amendment.

 

In April 2014, the Company issued 2,380 shares of its common stock pursuant to the exercise of employee stock options for total cash proceeds of approximately $2,000. Also in April 2014, the Company issued 1,502,632 shares of its common stock pursuant to the exercise of 1,502,632 warrants for total cash proceeds of approximately $1,225,000.