Quarterly report pursuant to Section 13 or 15(d)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

v2.4.0.6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
 6 Months Ended
Mar. 31, 2012
Mar. 31, 2011
CASH FLOWS FROM OPERATING ACTIVITIES    
Net loss $ (11,125,700) $ (7,043,900)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization 9,100 6,000
Amortization of discount on bridge notes issued 2,402,800 1,577,100
Stock-based compensation 670,400 845,300
Issuance of warrants for financing services 56,800 126,000
Loss on derivative liability valuation 5,501,700 (254,200)
Non-cash interest expense 305,200 2,513,100
Changes in operating assets and liabilities    
Accounts receivable 15,600 (20,600)
Prepaids and other current assets (41,300) (14,400)
Accounts payable and accrued liabilities 307,400 (245,700)
Deferred compensation 1,800 157,800
Security deposit 4,600 (9,900)
Net cash used in operating activities (1,891,600) (2,363,400)
CASH FLOWS FROM INVESTING ACTIVITIES:    
Acquisition of furniture & equipment (4,300) (20,100)
Acquisition of intellectual property (21,200) 0
Net cash used in operating activities (25,500) (20,100)
CASH FLOWS FROM FINANCING ACTIVITIES    
Repayment of note 0 (24,700)
Repayment of leases (2,900) (2,400)
New equipment lease 0 15,900
Net proceeds from bridge notes 1,995,300 1,840,000
Proceeds from exercise of warrants 900 1,334,000
Net cash provided by financing activities 1,993,300 3,162,800
Net increase in cash 76,200 779,300
Cash, beginning of period 93,400 62,000
Cash, end of period 169,600 841,300
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION    
Interest 4,400 2,100
Income taxes 900 1,300
Fair value of intellectual property 20,500 0
Non-cash financing activities:    
Offering costs $ 221,000 $ 0