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Convertible Debt
6 Months Ended
Jun. 30, 2012
Convertible Debt

Note 6—Convertible Debt

 

On August 17, 2006, our existing credit facility with Pyxis was amended to provide the Company with access to approximately $14.3 million of additional working capital borrowings at any time prior to August 17, 2008. Any amounts borrowed thereunder bear interest at the prime rate and require quarterly interest payments. This credit facility has been extended several times. Most recently, on June 29, 2012, the date was extended to November 30, 2012.

  

On April 13, 2012, the Company borrowed the remaining $1,316,255 of available credit, leaving the full amount of $14,316,255 due on November 30, 2012. The fair value of convertible debt is estimated to be approximately $3.1 million at June 30, 2012. The principal amount of borrowings under this credit facility is convertible at Pyxis’ election into 2,521,222 shares of common stock, reflecting a conversion price of $5.6783 per share.