Fair Value Measurements

6 Months Ended

Jun. 30, 2012

Fair Value Measurements [Abstract]

Fair Value Measurements

10. Fair Value Measurements

The fair value hierarchy prioritizes observable and unobservable inputs used to measure fair value into three broad levels:

Level 1 — unadjusted quoted prices in active markets for identical securities;

Level 2 — unadjusted quoted prices in markets that are not active,

Level 3 — significant unobservable inputs, including our own assumptions in determining fair value

The following table summarizes the financial assets that we measured at fair value as of June 30, 2012 and December 31, 2011.

	June 30, 2012 Fair Value		Input Level	December 31, 2011 Fair Value		Input Level
Short-term investments	$	20,389	Level 2	$	27,446	Level 2
	$	20,389		$	27,446

As of June 30, 2012 and December 31, 2011, the Company’s short-term investments consisted of 39,209 shares of FluoroPharma Medical, Inc. stock. These shares are traded on the OTC Bulletin Board (“OTCBB”) under the symbol FPMI. The Rule 144 holding period has lapsed for these shares as of June 30, 2012, but the stock continues to trade on very thin volume in the open market. Therefore the Company continues to classify this asset as Level 2.

The Company did not have any non-financial assets or liabilities that were measured or disclosed at fair value for the period ended June 30, 2012 or December 31, 2011. It is not practicable to estimate the fair value of the Company’s convertible debt. However, it is likely that the fair value of the debt would be materially less than the carrying value of the debt because the conversion price of $2.50 is higher than the Company’s stock price of $0.12 as of June 30, 2012.