6. PATENT COSTS

We amortize intangible assets with definite lives on a straight-line basis over their estimated useful lives, ranging from 3 to 10 years, and review for impairment on a quarterly basis and when events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable.

As of September 30, 2011, the Company capitalized certain patent costs, paid by Auxilium on behalf of the Company. These costs are reimbursable to Auxilium under the Auxilium Agreement and are creditable against future royalty revenues. Our net patent costs consisted of:

	September 30, 2011			December 31, 2010
Patents	$	273,554		$	250,621
Accumulated Amortization		(109,527	)		(77,178	)
	$	164,027		$	173,443

The amortization expense for patents was $32,349 for the nine months ended September 30, 2011. In the comparable period of 2010, the amortization expense for patents was $9,160 for the nine months September 30, 2010. The estimated aggregate amortization expense for each of the next five years is approximately as follows:

2012	$	37,000
2013		35,000
2014		27,000
2015		10,000
2016		10,000