Note 2. Basis of Presentation

The consolidated financial statements for the periods ended September 30, 2011 and 2010 included herein are unaudited. Such consolidated financial statements reflect, in the opinion of management, all adjustments necessary to present fairly the financial position and results of operations as of and for the periods indicated. All such adjustments are of a normal recurring nature except for those related to the derivative liability described in note 9. These interim results are not necessarily indicative of the results to be expected for the fiscal year ending December 31, 2011 or for any other period. Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission. The Company believes that the disclosures are adequate to make the interim information presented not misleading. These consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2010, as filed with the SEC.

The Company’s comprehensive net loss is as follows:

	Nine months ended
	September 30,
	2011			2010
	(Unaudited)

Net loss applicable to common stockholders	$	(1,550	)	$	(1,301	)
Foreign currency adjustment		(1	)		—
Comprehensive net loss applicable to common stockholders	$	(1,551	)	$	(1,301	)
Basic and diluted comprehensive net loss per common share	$	(0.03	)	$	(0.03	)
Basic and diluted weighted average number of common shares outstanding		55,644,245			47,141,033