Quarterly report pursuant to sections 13 or 15(d)

CONDENSED STATEMENTS OF CASH FLOWS

v2.4.0.8
CONDENSED STATEMENTS OF CASH FLOWS (USD $)
 3 Months Ended 17 Months Ended
Mar. 31, 2014
Mar. 31, 2013
Mar. 31, 2014
Cash flows from operating activities:      
Net loss $ (31,009,723) $ (54,324) $ (36,552,091)
Adjustments to reconcile net loss to net cash used in operating activities:      
Depreciation and amortization 24,213 0 28,930
Stock based compensation 492,123 0 508,271
Amortization of debt discount 920,739 0 1,626,028
Warrant expense 0 0 724,000
Change in fair market value of derivative liabilities 27,991,000 0 28,168,000
Write off of abandoned trademark 0 0 4,725
Changes in operating assets and liabilities:      
Prepaid expenses and other current assets (192,582) (28,167) (319,779)
Other assets 0 0 (6,959)
Accounts payable 391,262 (1,525) 752,300
Accrued expenses 135,864 30,950 379,487
Other current liabilities 0 25,000 0
Net cash used in operating activities (1,247,104) (28,066) (4,687,088)
Cash flows from investing activities:      
Purchase of property and equipment (27,739) 0 (222,068)
Costs of trademark 0 0 (4,725)
Net cash used in investing activities (27,739) 0 (226,793)
Cash flows from financing activities:      
Proceeds from the sale of common stock 0 160,417 210,681
Payment of deferred offering costs (248,658) (12,120) (336,977)
Repurchase of restricted common stock 0 0 (29,553)
Proceeds from the sale of senior secured convertible notes 0 0 5,500,009
Deposit to purchase common stock 300,000 0 300,000
Net cash provided by financing activities 51,342 148,297 5,644,160
Net (decrease) increase in cash and cash equivalents (1,223,501) 120,231 730,279
Cash and cash equivalents - beginning 1,953,780 994 0
Cash and cash equivalents - ending $ 730,279 $ 121,225 $ 730,279