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Warrant Liability
9 Months Ended
Sep. 30, 2011
Warrant Liability
Note 5 – Warrant Liability
 
In July 2008, the Company completed a registered direct offering of 6,686,650 units, raising approximately $17.5 million in net proceeds. Each unit consisted of one share of common stock and a warrant to purchase 0.5 shares of common stock (the “Warrants”) at a price of $2.68 per unit. The Warrants represent the right to acquire an aggregate of 3,343,325 shares of common stock at an exercise price of $3.62 per share and are exercisable between January 31, 2009 and July 31, 2013.

During the nine months ended September 30, 2011 and 2010, the Company recorded as other income in its statements of operations a change in fair value of warrant liability of $2.0 million and $1.8 million, respectively. As of September 30, 2011, the warrant liability recorded on the balance sheet was $0.9 million and all Warrants remain outstanding as of that date.