Income Taxes

6 Months Ended

Jun. 30, 2012

Income Taxes [Abstract]

Income Taxes

NOTE 15-INCOME TAXES

The Company is subject to United States of America ("US") and People's Republic of China ("PRC") profit tax.

US

     The Company is incorporated in the United States of America and is subject to United States federal taxation. No provisions for income taxes have been made as the Company has no taxable income for the year. The applicable income tax rate for the Company for the three and six months ended June 30, 2012 and 2011 was 35%, respectively. No tax benefit has been realized since a valuation allowance has offset the deferred tax asset resulting from the net operating losses

PRC

     Effective on January 1, 2008, the PRC Enterprise Income Tax Law, EIT Law, and Implementing Rules impose an unified enterprise income tax rate of 25% on all domestic-invested enterprises and foreign investment enterprises in PRC, unless they qualify under certain limited exceptions. As such, the Company's subsidiary in PRC is subject to an enterprise income tax rate of 25%.

No provisions for income taxes have been made as the Company has no taxable income for the periods. $38 of tax benefits were recognized due to the change in the deferred tax assets.

Loss before income taxes consisted of:

		For Three Months Ended						For Six Months Ended
		June, 30,						June, 30,
		2012			2011			2012			2011
					Restated						Restated
US	$	(2,193	)	$	(11,398	)	$	(4,514	)	$	(17,381	)
PRC		(4,743	)		(2,272	)		(6,972	)		(3,495	)
	$	(6,936	)	$	(13,670	)	$	(11,486	)	$	(20,876	)

Provision (Benefit) for income taxes consisted of:

	For Three Months Ended						For Six Months Ended
	June, 30,						June, 30,
		2012			2011		2012			2011
					Restated					Restated
Current provision:
US	$	--		$	3	$	--		$	4
PRC		--			--		--			--
Total current provision		--			3		--			4
Deferred provision (benefit):
US		--			--		--			--
PRC		(92	)		6		(130	)		(19	)
Total Deferred provision (benefit)		(92	)		6		(130	)		(19	)
Total provision / (benefit) for income
taxes	$	(92	)		9	$	(130	)	$	(15	)