Intangible assets are summarized as follows:



		December 31,
		2013			2012
	Weighted Average Amortization Lives	Cost			Cost
Licenses (a) (b) (c) (d)	10 years	$	6,075,000		$	6,075,000
Patents & Know How (d)	14 years	7,798,910			7,690,000
Customer & Supplier Relationships (d)	14 years	3,761,000			3,761,000
Tradenames & Trademarks (d)	indefinite	1,008,000			1,008,000
In Process Research & Development (d)	indefinite	25,000			25,000
Patents in Process (e)	indefinite	579,987			—
Total		19,247,897			18,559,000
Less Accumulated amortization and impairment charges		(8,069,324		)	(6,647,251		)
Net		$	11,178,573		$	11,911,749

(a)

On January 29, 2007, the Company acquired a license from Shriners Hospitals for Children and University of South Florida Research Foundation, Inc. in the amount of $996,000. Within 30 days after the receipt by the Company of approval by the FDA allowing the sale of the first licensed product, the Company is required to pay an additional $200,000 to the licensor. Due to its contingent nature, this amount is not recorded as a liability. The Company will also be required to pay a royalty of 3% on all commercial sales revenue from the licensed products. The Company is also obligated to pay a $50,000 minimum annual royalty payment over the life of the license. As of December 31, 2013, this license had a remaining net book value of approximately $309,000.

(b)

On September 1, 2005, we acquired a license from SaluMedica, LLC (SaluMedica) in the original amount of $2,399,000 for the use of certain developed technologies related to spine repair. This license was acquired through the acquisition of SpineMedica Corp. In 2012, we booked an impairment charge related to this asset of $851,676. In the fourth quarter of 2013, the Company made a decision to discontinue marketing the HydroFix^® product line and fully impaired the asset. There was no charge to Operations as the asset was fully amortized.

(c)

On March 31, 2008, the Company entered into a license agreement for the use of certain developed technologies related to surgical sheets made of polyvinyl alcohol cryogel in the original amount of $2,667,000. In 2012, we booked an impairment charge related to this asset of $946,819. In the fourth quarter of 2013, the Company made a decision to discontinue marketing the HydroFix^® product line and fully impaired the asset. This resulted in an impairment charge of $368,102 which is included in the Company's Statement of Operations.

(d)

On January 5, 2011, the Company acquired Surgical Biologics, LLC. As a result, the Company recorded intangible assets for Customer & Supplier Relationships of $3,761,000, Patents & Know-How of $7,690,000, Licenses of $13,000, Trade Names & Trademarks of $1,008,000 and In-Process Research & Development of $25,000. During 2013 an additional $108,910 of costs associated with patents granted during the year were capitalized and included in Patents & Know- How subject to amortization.


(e)	Capitalized external legal and other registration costs in connection with internally developed tissue-based patents that are pending. Once issued, the costs associated with a given patent will be included in Patents & Know-How under intangible assets subject to amortization.