Supplemental Disclosure of Cash Flow Information

6 Months Ended

Jun. 30, 2012

Supplemental Disclosure of Cash Flow Information [Abstract]

Supplemental Disclosure of Cash Flow Information

13.  Supplemental Disclosure of Cash Flow Information

We did not disburse any cash for the payment of interest expense during either of the three or six-month periods ended June 30, 2012 or 2011.

We disbursed $600 and $0 for the payment of income taxes during the three-month periods ended June 30, 2012 and 2011, respectively, and $1,700 and $700 for the payment of income taxes during the six-month periods ended June 30, 2012 and 2011, respectively. All such disbursements were for the payment of foreign income taxes related to the operation of our Israeli subsidiary, GraphOn Research Labs Ltd.

During the six-month period ended June 30, 2012, we capitalized $143,000 of property and equipment for which no cash was disbursed. We recorded $104,100 of such amount to long term liabilities - deferred rent, $24,000 of such amount to current liabilities - deferred rent, and the balance to accounts payable. Also, we reported approximately $1,600 as other assets for which no cash was disbursed. We reported this amount as a component of accounts payable as of June 30, 2012. During the six-month period ended June 30, 2011, we capitalized $1,700 of stock-based compensation expense for which no cash was disbursed, as a component of capitalized software development costs. We did not capitalize any software development costs during the six-month period ended June 30, 2012.