Exit Activities

9 Months Ended

Sep. 30, 2011

Exit Activities [Abstract]

Exit Activities

7. Exit Activities

In September 2005, the Company relocated its headquarters from Boston to Hopkinton, Massachusetts. The Company amended its lease dated January 28, 2002 with Brentwood Properties, Inc. (the “Landlord”) for the property located on Newbury Street in Boston. In May 2011, the Landlord agreed to the termination of the Company’s lease obligation on the Newbury Street property which had been scheduled to expire on May 31, 2012. In consideration for the early termination of the lease, the Company waived all rights to the security deposit and accrued interest under the Lease Agreement of approximately $89,200.

As a result of the Company’s relocation, an expense had been recorded for the cost associated with the exit activity at its fair value in the period in which the liability was incurred. The liability recorded was calculated by discounting the estimated cash flows for the two sublease agreements and the Lease Agreement using an estimated credit-adjusted risk-free rate of 15%. As of the early termination date, the remaining accrual balance of approximately $76,100 was written-off resulting in net expense of $13,100 included in general and administrative expense in the accompanying Condensed Consolidated Statements of Operations.

			Cash
			payments,
			net of
	December 31,		sublease		September 30,
	2010		receipts		2011
Lease Amendment	$	96,425	$	96,425	$	—
Short-term portion of lease accrual		65,922				—
Long-term portion of lease accrual	$	30,503			$	—

For the three and nine months ended September 30, 2011 the Company recorded approximately $0 and $17,300, respectively of expense related to the imputed cost of the lease expense accrual included in general and administrative expense in the accompanying Condensed Consolidated Statements of Operations. For the three and nine months ended September 30, 2010 the Company recorded approximately $4,500 and $15,000, respectively of expense related to the imputed cost of the lease expense accrual included in general and administrative expense in the accompanying Condensed Consolidated Statements of Operations.