Liposcience (LPDX) 10-Q 13 Aug 14 2014 Q2 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	6 Months Ended
	Jun. 30, 2014	Aug. 08, 2014
Document and Entity Information [Abstract]	'	'
Entity Registrant Name	'LIPOSCIENCE INC	'
Entity Central Index Key	'0001168197	'
Document Type	'10-Q	'
Document Period End Date	30-Jun-14	'
Amendment Flag	'false	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q2	'
Document Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	15,276,491

Balance_Sheets

Balance Sheets (USD $)	Jun. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$42,789	$49,574
Accounts receivable, net	4,352	5,821
Inventories	191	224
Prepaid expenses and other	1,095	972
Total current assets	48,427	56,591
Property and equipment, net of accumulated depreciation of $12,706 and $12,608 at June 30, 2014 and December 31, 2013, respectively	16,336	13,955
Other noncurrent assets:	'	'
Restricted cash	502	502
Intangible assets, net	863	841
Deferred financing costs	53	64
Other assets	35	45
Total other noncurrent assets	1,453	1,452
Total assets	66,216	71,998
Current liabilities:	'	'
Accounts payable	1,437	2,045
Accrued expenses	3,939	3,744
Current maturities of long-term debt	2,411	0
Long-term debt reclassified to current	0	15,816
Total current liabilities	7,787	21,605
Long-term liabilities:	'	'
Long-term debt, less current maturities	13,437	0
Other long-term liabilities	2,577	2,635
Total liabilities	23,801	24,240
Stockholders’ equity:	'	'
Common stock, $.001 par value; 75,000,000 shares authorized; 15,270,696 and 15,188,861 shares issued and outstanding at June 30, 2014 and December 31, 2013, respectively	15	15
Preferred stock, $.001 par value; 5,000,000 shares authorized; issuable in series, no shares issued and outstanding at June 30, 2014 and December 31, 2013, respectively	0	0
Additional paid-in capital	109,027	108,271
Accumulated deficit	-66,627	-60,528
Total stockholders’ equity	42,415	47,758
Total liabilities and stockholders’ equity	$66,216	$71,998

Balance_Sheets_Parenthetical

Balance Sheets (Parenthetical) (USD $)	Jun. 30, 2014	Dec. 31, 2013
In Thousands, except Share data, unless otherwise specified
Statement of Financial Position [Abstract]	'	'
Accumulated depreciation	$12,706	$12,608
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized (in shares)	75,000,000	75,000,000
Common stock, shares issued (in shares)	15,270,696	15,188,861
Common stock, shares outstanding (in shares)	15,270,696	15,188,861
Preferred stock, par value (in dollars per share)	$0.00	$0.00
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0

Statements_of_Comprehensive_Lo

Statements of Comprehensive Loss (USD $)	3 Months Ended		6 Months Ended
In Thousands, except Share data, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Income Statement [Abstract]	'	'	'	'
Revenues	$9,045	$13,311	$21,053	$26,927
Cost of revenues	2,461	2,616	5,075	5,466
Gross profit	6,584	10,695	15,978	21,461
Operating expenses:	'	'	'	'
Research and development	2,057	3,118	4,617	6,250
Sales and marketing	4,975	6,802	10,075	13,461
General and administrative	3,177	2,770	6,524	6,077
Total operating expenses	10,209	12,690	21,216	25,788
Loss from operations	-3,625	-1,995	-5,238	-4,327
Other expense:	'	'	'	'
Interest income	6	26	11	47
Interest expense	-437	-468	-872	-998
Other expense	0	-7	0	-14
Total other expense	-431	-449	-861	-965
Net loss	-4,056	-2,444	-6,099	-5,292
Net loss per share—basic and diluted	($0.27)	($0.17)	($0.40)	($0.36)
Weighted average shares used to compute basic and diluted net loss per share	15,250,060	14,670,779	15,232,251	14,670,779
Comprehensive loss	($4,056)	($2,444)	($6,099)	($5,292)

Statements_of_Cash_Flows

Statements of Cash Flows (USD $)	6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013
Operating activities	'	'
Net loss	($6,099)	($5,292)
Adjustments to reconcile net loss to net cash used in operating activities:	'	'
Depreciation and amortization	1,048	775
Amortization of deferred financing costs	11	18
Amortization of debt discount	32	52
Stock-based compensation expense	572	552
Fair value remeasurement of preferred stock warrant liability	0	-2
Loss on sale or disposal of equipment	31	0
Changes in operating assets and liabilities:	'	'
Accounts receivable, net	1,469	-1,700
Inventories	33	-125
Prepaid expenses and other	-198	-156
Accounts payable and accrued expenses	-418	-1,057
Other non-current assets	10	-36
Other long-term liabilities	-58	126
Net cash used in operating activities	-3,567	-6,845
Investing activities	'	'
Purchases of property and equipment	-3,462	-1,920
Capitalized patent and trademark costs	-39	-80
Proceeds from sale of equipment	100	0
Net cash used in investing activities	-3,401	-2,000
Financing activities	'	'
Payments on revolving line of credit	0	-5,000
Payments of Series F redeemable convertible preferred stock accrued dividends	0	-5,200
Changes in restricted cash	0	1,004
Changes in deferred financing costs	0	-6
Issuance cost of common stock	0	-4,443
Proceeds from issuance of common stock	0	51,750
Proceeds from exercise of stock options	183	218
Net cash provided by financing activities	183	38,323
Net (decrease) increase in cash and cash equivalents	-6,785	29,478
Cash and cash equivalents at beginning of period	49,574	24,768
Cash and cash equivalents at end of period	$42,789	$54,246

Basis_of_Presentation_and_Sign

Basis of Presentation and Significant Accounting Policies	6 Months Ended
	Jun. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Basis of Presentation and Significant Accounting Policies	'
	Basis of Presentation and Significant Accounting Policies
	Basis of Presentation
	The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information, and the rules and regulations for the United States Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, certain information or footnote disclosures normally included in the annual financial statements prepared in accordance with U.S. GAAP have been condensed, or omitted, pursuant to the rules and regulations of the SEC. In the opinion of management, the interim financial statements include all normal recurring adjustments necessary to state fairly the Company's financial position as of June 30, 2014, results of operations for the three and six months ended June 30, 2014 and 2013 and cash flows for the six months ended June 30, 2014 and 2013. The December 31, 2013 balance sheet included herein was derived from audited financial statements, but does not include all disclosures including notes required by U.S. GAAP for complete annual financial statements.
	These financial statements should be read in conjunction with the audited financial statements and the accompanying notes for the year ended December 31, 2013 contained in the Company's Annual Report on Form 10-K filed with the SEC on March 28, 2014 (the "Form 10-K"). Interim results are not necessarily indicative of results to be expected for the year ending December 31, 2014 or any other interim period or for any other future year.
	The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and the disclosures of contingent assets and liabilities as of the date of the financial statements and reported amounts of revenue and expenses during the reporting periods. Actual results could differ from those estimates and assumptions used.
	Significant Accounting Policies
	The significant accounting policies used in preparation of these interim financial statements are disclosed in the Company's Form 10-K, and have not changed significantly since such filing.

Recent_Accounting_Pronouncemen

Recent Accounting Pronouncements	6 Months Ended
	Jun. 30, 2014
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]	'
Recent Accounting Pronouncements	'
	Recent Accounting Pronouncements
	In July 2013, the FASB issued ASU No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. The amendments in this update provide clarification, and are intended to reduce diversity in practice, on the financial statement presentation of unrecognized tax benefits. The guidance specifies that an unrecognized tax benefit (or a portion thereof) shall be presented in the financial statements as a reduction to a deferred tax asset when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. If such deferred tax asset is not available at the reporting date to settle additional income taxes resulting from the disallowance of a tax position, or the entity does not plan to use the deferred tax asset for such purpose given the option, the unrecognized tax benefit shall be presented in the financial statements as a liability and shall not be combined with deferred tax assets. The assessment of whether a deferred tax asset is available is based on the unrecognized tax benefit and deferred tax asset that exist at the reporting date and should be made presuming disallowance of the tax position at the reporting date. For public companies, the amendments that are subject to this update are effective for interim and annual reporting periods beginning after December 15, 2013, with early adoption permitted. The Company adopted this guidance beginning in the first quarter of 2014. Adoption of this guidance had no material impact on the Company’s financial statements as the guidance is consistent with the Company’s practice.
	In March 2014, the FASB issued ASU No. 2014-06, Technical Corrections and Improvements Related to Glossary Terms. The amendments in this update cover a wide range of topics in the Accounting Standards Codification and are limited to amendments related to the Master Glossary of the Accounting Standards Codification. The amendments include technical corrections related to glossary links, glossary term deletions and glossary term name changes. For public companies, the amendments of this update are effective upon the March 14, 2014 issuance date. Accordingly, the Company adopted this update upon issuance. Adoption of this new guidance had no material impact on the Company’s financial statements.
	In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). ASU 2014-09 supersedes the revenue recognition requirements in Revenue Recognition (Topic 605) and most industry-specific guidance. The new standard affects any entity that either enters into contracts with customers to transfer goods or services, or enters into contracts for the transfer of nonfinancial assets. The core principle of ASU 2014-09 is for companies to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration a company expects to receive in exchange for those goods or services. Companies will need to use more judgment and make more estimates than under current guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation.
	For public companies, this standard is effective for interim and annual reporting periods beginning after December 15, 2016, and will be effective for the Company in the first quarter of fiscal year 2017. Early adoption is not permitted and companies can transition to the new standard under the full retrospective method or the modified retrospective method. The Company is currently evaluating the method and the impact of the adoption of this standard on its financial statements and disclosures.

Fair_Value_Measurement

Fair Value Measurement	6 Months Ended
	Jun. 30, 2014
Fair Value Disclosures [Abstract]	'
Fair Value Measurement	'
	Fair Value Measurement
	As a basis for determining the fair value of certain of the Company's financial instruments, the Company utilizes a three-tier value hierarchy, which prioritizes the inputs used in measuring fair value as follows:
	•	Level I - Observable inputs such as quoted prices in active markets for identical assets or liabilities.
	•	Level II - Observable inputs, other than Level I prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
	•	Level III - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
	This hierarchy requires the Company to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value. The Company did not elect to report any of its non-financial assets or non-financial liabilities at fair value.
	The fair value of the Company's long-term debt was estimated using the discounted cash flow method, which is based on the future expected cash flows, discounted to their present values, using a discount rate that approximates market rates. This fair value measurement is categorized as Level II under the fair value hierarchy as of June 30, 2014 and December 31, 2013. The carrying value of the Company's long-term debt as of June 30, 2014 and December 31, 2013 approximated fair value because the interest rate under the obligation approximates market rates of interest available to the Company for similar instruments.
	Recurring Fair Value Measurements
	Cash and cash equivalents are the Company's only financial instruments that are measured at fair value on a recurring basis. Assets and liabilities measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company's assessment of the significance of a particular input to the entire fair value measurement requires management to make judgments and consider factors specific to the asset or liability. All of the Company's cash equivalents, which consist of money market funds, are classified within Level I of the fair value hierarchy because they are valued using quoted market prices. At June 30, 2014 and December 31, 2013, the fair value of money market funds pledged as security for the Company's office and laboratory space operating lease was $0.5 million, which is included in restricted cash.

LongTerm_Debt_and_Line_of_Cred

Long-Term Debt and Line of Credit	6 Months Ended
	Jun. 30, 2014
Debt Disclosure [Abstract]	'
Long-Term Debt and Line of Credit	'
	Long-Term Debt and Line of Credit
	The Company had total debt with a carrying value of $15.8 million as of June 30, 2014 and December 31, 2013. Long-term debt consists of the following (in thousands):
		June 30, 2014			December 31, 2013
	Long-term debt to financial institutions	$	16,000		$	16,000
	Less unamortized debt discount	(152		)	(184		)
	Less current maturities of long-term debt	(2,411		)	—
	Long-term debt, less current maturities and unamortized debt discount	$	13,437		$	15,816
	On December 20, 2012, the Company entered into a credit facility with Square 1 and Oxford Finance and repaid the outstanding balance under a previous facility. The current credit facility consists of $16.0 million in term loans and a revolving line of credit of up to $6.0 million in borrowing capacity, subject to certain limitations relating to the Company's eligible accounts receivable. At June 30, 2014, total unamortized debt issuance costs incurred in connection with the current credit facility were $53,000.
	As of June 30, 2014, under the credit facility, as amended, the term loans carry interest at a fixed annual rate of 9.5% and are payable in monthly installments of interest only through January 2015 and then principal and interest thereafter in monthly installments through July 2017. Advances under the revolving line of credit, which matures in February 2015, carry a variable interest rate equal to the greater of 6.25% or the institution's prime rate plus 3.0%.
	As of June 30, 2014 and December 31, 2013, there was no amount outstanding under the revolving line of credit.
	Borrowings under the credit facility are secured by substantially all of the Company's tangible assets. Effective June 29, 2014, the Company entered into a fourth amendment to the loan agreement. Under the loan agreement as amended, the Company must maintain a specified liquidity ratio of 1.25 and a quick ratio of 1.0, measured monthly over the term of the credit facility. The Company must also comply with certain monthly reporting covenants. The fourth amendment eliminated the minimum revenue level covenant. As of December 31, 2013, the full balance of the Company's $15.8 million of long-term debt was classified as current on the accompanying balance sheet, based on the Company's initial assessment of the likelihood of maintaining compliance with the minimum revenue level covenant in 2014 following the termination of its agreement with Health Diagnostic Laboratory, Inc. on March 28, 2014. Based on the Company's assessment of the likelihood of maintaining compliance with its remaining financial covenants, the Company reclassified $13.4 million of amounts outstanding under the loan agreement as long-term debt in the accompanying balance sheet as of June 30, 2014.
	As of June 30, 2014 and December 31, 2013, the Company was in compliance with all financial and non-financial covenants under this credit facility, as modified.

Net_Loss_Per_Share

Net Loss Per Share	6 Months Ended
	Jun. 30, 2014
Earnings Per Share [Abstract]	'
Net Loss Per Share	'
	Net Loss Per Share
	The Company computes basic net loss per share by dividing net loss by the weighted average number of shares of common stock outstanding for the period, without consideration for common share equivalents. Diluted net loss per share is computed on the basis of the weighted average number of shares of common stock plus dilutive potential common share equivalents during the period, consisting of incremental common shares deemed outstanding from the assumed exercise of common stock options, warrants and restricted stock units. The dilutive effect of common share equivalents is reflected in diluted earnings per shares by application of treasury stock method. Under the treasury stock method, earnings per share data is computed as if the common share equivalents were outstanding at the beginning of the period (or at the time of issuance, if later) and as if the funds obtained from exercise of the common share equivalents were used to purchase common stock at the average market price during the period.
	Because of their anti-dilutive effect, the following common stock equivalents, consisting of common stock options, warrants and restricted stock units, have been excluded from the diluted loss per share calculations for the respective periods presented:
		Three Months Ended June 30,		Six Months Ended June 30,
	Anti-Dilutive Common Share Equivalents:	2014	2013	2014	2013
	Common Stock Options and Warrants	1,822,674	2,329,988	1,822,674	2,329,988
	Restricted Stock Units	681,633	56,398	681,633	56,398
	Total	2,504,307	2,386,386	2,504,307	2,386,386

Equity_Transactions_and_ShareB

Equity Transactions and Share-Based Compensation	6 Months Ended
	Jun. 30, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Equity Transactions and Share-Based Compensation	'
	Equity Transactions and Share-Based Compensation
	2012 Equity Incentive Plan
	As of June 30, 2014, the Company had one active share-based compensation plan, the 2012 Equity Incentive Plan (the "2012 Plan"), under which it has granted stock options and restricted stock units. The Company estimates the fair value of its share-based payment awards on the grant date. The fair value is then amortized on a straight-line basis over the requisite service period of the awards, based on the total number of awards expected to vest. The 2012 Plan will terminate on May 24, 2022, unless sooner terminated by the Company's Board of Directors.
	Restricted Stock Units
	During the six months ended June 30, 2014, the Company's Board of Directors approved and granted 634,866 restricted stock units ("RSUs") to certain of the Company's employees and directors at a weighted average grant-date fair value of $3.30 per share. During the six months ended June 30, 2014, the Company issued approximately 5,400 shares of outstanding common stock upon the vesting and settlement of RSUs, with a total fair value of $17,600.
	Each RSU represents the contingent right to receive one share of common stock of the Company. The RSUs granted to the Company's employees generally vest over a three year period from the date of grant, or sooner based on the achievement of certain performance vesting criteria. The RSUs granted to non-employee directors generally vest quarterly over a one-year period from the date of grant.
	Stock Options
	During the six months ended June 30, 2014, the Company's Board of Directors granted stock options under the 2012 Plan to purchase an aggregate of 317,306 shares to the CEO at a weighted average exercise price of $4.16 per share and a weighted average grant-date fair value of $1.57 per share. The stock options granted to the CEO vest in equal quarterly installments over a four year period. During the six months ended June 30, 2014, the Company issued approximately 76,000 shares of outstanding common stock upon the exercise of stock options, at a weighted average exercise price of $2.40 a share.
	The Company recognized non-cash stock-based compensation expense, for both RSUs and stock options, to employees in its research and development, sales and marketing and general and administrative functions as follows (in thousands):
		Three Months Ended June 30,				Six Months Ended June 30,
		2014		2013		2014		2013
	Cost of revenues	$	12	$	11	$	20	$	18
	Research and development	12		138		120		240
	Sales and marketing	63		47		101		90
	General and administrative	182		105		331		204
	Total:	$	269	$	301	$	572	$	552

Income_Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2014
Income Tax Disclosure [Abstract]	'
Income Taxes	'
	Income Taxes
	The Company computes its provision for income taxes by applying the estimated annual effective tax rate, adjusted for any material items. For each of the six months ended June 30, 2014 and 2013, no provision or benefits for income taxes have been recorded. The Company has recorded a full valuation allowance against its net deferred tax assets based on the Company's assessment regarding the realizability of these net deferred tax assets in future periods. At June 30, 2014, the Company had no unrecognized tax benefits that would affect the Company's effective tax rate. The Company's effective tax rate for each of the six months ended June 30, 2014 and 2013 was 0%.

Commitments_and_Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2014
Commitments and Contingencies Disclosure [Abstract]	'
Commitments and Contingencies	'
	Commitments and Contingencies
	Leases
	The Company leases an aggregate of approximately 83,000 square feet of office and laboratory space under a long-term lease agreement that expires on September 30, 2022. The lease contains fixed scheduled rent escalations, $0.9 million of rent concession and $1.8 million of leasehold improvement incentives. In connection with the lease, the Company obtained a $1.5 million letter of credit secured by restricted cash. In June 2013, the required amount for the letter of credit secured by restricted cash was reduced to $0.5 million. The Company also leases office equipment and software licenses through operating leases. Rent expense is calculated on a straight-line basis over the term of the lease.
	Legal Contingencies
	The Company is subject to claims and assessments from time to time in the ordinary course of business. The Company's management does not believe that any such matters, individually or in the aggregate, will have a material adverse effect on the Company's business, financial condition, results of operations or cash flows.
	Indemnification
	In the normal course of business, the Company enters into contracts and agreements that contain a variety of representations and warranties and provide for general indemnification. The Company's exposure under these agreements is unknown because it involves claims that may be made against the Company in the future, but that have not yet been made. To date, the Company has not paid any claims or been required to defend any action related to its indemnification obligations. The Company may, however, record charges in the future as a result of these indemnification obligations.
	In accordance with its Certificate of Incorporation and Bylaws, the Company has indemnification obligations to its directors, and has the authority to indemnify its officers and employees, for certain events or occurrences, subject to certain limits, while they are serving at the Company's request in such capacity. There have been no claims to date, and the Company has director and officer insurance that enables it to recover a portion of any amounts paid for future potential claims.
	In addition to the indemnification provided for in its Certificate of Incorporation and Bylaws, the Company has also entered into separate indemnification agreements with each of its directors, which agreements provide such directors with indemnification rights under certain circumstances.

Workforce_Reductions

Workforce Reductions	6 Months Ended
	Jun. 30, 2014
Restructuring and Related Activities [Abstract]	'
Workforce Reductions	'
	In January 2014, the Company implemented a workforce reduction to reduce approximately 24 positions throughout the Company, impacting primarily positions in corporate headquarters and field sales. The workforce reduction related to its plan to realign the Company’s cost structure in light of its current revenue performance. The Company recorded total charges for severance, related benefits and other costs of approximately $0.4 million during the first quarter of 2014. The charges incurred are classified in general and administrative expenses on the accompanying statement of comprehensive loss. All charges related to the January workforce reduction were paid during the first six months of 2014.
	In May 2014, the Company implemented a second workforce reduction to reduce approximately 22 positions throughout the Company. The workforce reduction impacted positions in operations, research and development and administration and is related to its plan to improve operational efficiencies and other cost-cutting measures. The Company recorded total charges for severance, related benefits and other costs of approximately $1.0 million during the second quarter of 2014. The charges incurred are classified in general and administrative expenses on the accompanying statement of comprehensive loss. The Company paid $0.3 million related to the workforce reduction during the second quarter of 2014, and the remaining $0.7 million of liability is included in accrued expenses at June 30, 2014. The Company expects to make the remaining payments to employees impacted by this workforce reduction through April 2015.

Basis_of_Presentation_and_Sign1

Basis of Presentation and Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Basis of Presentation	'
	The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information, and the rules and regulations for the United States Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, certain information or footnote disclosures normally included in the annual financial statements prepared in accordance with U.S. GAAP have been condensed, or omitted, pursuant to the rules and regulations of the SEC. In the opinion of management, the interim financial statements include all normal recurring adjustments necessary to state fairly the Company's financial position as of June 30, 2014, results of operations for the three and six months ended June 30, 2014 and 2013 and cash flows for the six months ended June 30, 2014 and 2013. The December 31, 2013 balance sheet included herein was derived from audited financial statements, but does not include all disclosures including notes required by U.S. GAAP for complete annual financial statements.
	These financial statements should be read in conjunction with the audited financial statements and the accompanying notes for the year ended December 31, 2013 contained in the Company's Annual Report on Form 10-K filed with the SEC on March 28, 2014 (the "Form 10-K"). Interim results are not necessarily indicative of results to be expected for the year ending December 31, 2014 or any other interim period or for any other future year.
	The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and the disclosures of contingent assets and liabilities as of the date of the financial statements and reported amounts of revenue and expenses during the reporting periods. Actual results could differ from those estimates and assumptions used.

Recent_Accounting_Pronouncemen1

Recent Accounting Pronouncements (Policies)	6 Months Ended
	Jun. 30, 2014
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]	'
Recent Accounting Pronouncements	'
	In July 2013, the FASB issued ASU No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. The amendments in this update provide clarification, and are intended to reduce diversity in practice, on the financial statement presentation of unrecognized tax benefits. The guidance specifies that an unrecognized tax benefit (or a portion thereof) shall be presented in the financial statements as a reduction to a deferred tax asset when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. If such deferred tax asset is not available at the reporting date to settle additional income taxes resulting from the disallowance of a tax position, or the entity does not plan to use the deferred tax asset for such purpose given the option, the unrecognized tax benefit shall be presented in the financial statements as a liability and shall not be combined with deferred tax assets. The assessment of whether a deferred tax asset is available is based on the unrecognized tax benefit and deferred tax asset that exist at the reporting date and should be made presuming disallowance of the tax position at the reporting date. For public companies, the amendments that are subject to this update are effective for interim and annual reporting periods beginning after December 15, 2013, with early adoption permitted. The Company adopted this guidance beginning in the first quarter of 2014. Adoption of this guidance had no material impact on the Company’s financial statements as the guidance is consistent with the Company’s practice.
	In March 2014, the FASB issued ASU No. 2014-06, Technical Corrections and Improvements Related to Glossary Terms. The amendments in this update cover a wide range of topics in the Accounting Standards Codification and are limited to amendments related to the Master Glossary of the Accounting Standards Codification. The amendments include technical corrections related to glossary links, glossary term deletions and glossary term name changes. For public companies, the amendments of this update are effective upon the March 14, 2014 issuance date. Accordingly, the Company adopted this update upon issuance. Adoption of this new guidance had no material impact on the Company’s financial statements.
	In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). ASU 2014-09 supersedes the revenue recognition requirements in Revenue Recognition (Topic 605) and most industry-specific guidance. The new standard affects any entity that either enters into contracts with customers to transfer goods or services, or enters into contracts for the transfer of nonfinancial assets. The core principle of ASU 2014-09 is for companies to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration a company expects to receive in exchange for those goods or services. Companies will need to use more judgment and make more estimates than under current guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation.
	For public companies, this standard is effective for interim and annual reporting periods beginning after December 15, 2016, and will be effective for the Company in the first quarter of fiscal year 2017. Early adoption is not permitted and companies can transition to the new standard under the full retrospective method or the modified retrospective method. The Company is currently evaluating the method and the impact of the adoption of this standard on its financial statements and disclosures.

LongTerm_Debt_and_Line_of_Cred1

Long-Term Debt and Line of Credit (Tables)	6 Months Ended
	Jun. 30, 2014
Debt Disclosure [Abstract]	'
Schedule of Long-term Debt	'
	Long-term debt consists of the following (in thousands):
		June 30, 2014			December 31, 2013
	Long-term debt to financial institutions	$	16,000		$	16,000
	Less unamortized debt discount	(152		)	(184		)
	Less current maturities of long-term debt	(2,411		)	—
	Long-term debt, less current maturities and unamortized debt discount	$	13,437		$	15,816

Net_Loss_Per_Share_Tables

Net Loss Per Share (Tables)	6 Months Ended
	Jun. 30, 2014
Earnings Per Share [Abstract]	'
Schedule of Antidilutive Common Share Equivalents	'
	Because of their anti-dilutive effect, the following common stock equivalents, consisting of common stock options, warrants and restricted stock units, have been excluded from the diluted loss per share calculations for the respective periods presented:
		Three Months Ended June 30,		Six Months Ended June 30,
	Anti-Dilutive Common Share Equivalents:	2014	2013	2014	2013
	Common Stock Options and Warrants	1,822,674	2,329,988	1,822,674	2,329,988
	Restricted Stock Units	681,633	56,398	681,633	56,398
	Total	2,504,307	2,386,386	2,504,307	2,386,386

Equity_Transactions_and_ShareB1

Equity Transactions and Share-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs	'
	The Company recognized non-cash stock-based compensation expense, for both RSUs and stock options, to employees in its research and development, sales and marketing and general and administrative functions as follows (in thousands):
		Three Months Ended June 30,				Six Months Ended June 30,
		2014		2013		2014		2013
	Cost of revenues	$	12	$	11	$	20	$	18
	Research and development	12		138		120		240
	Sales and marketing	63		47		101		90
	General and administrative	182		105		331		204
	Total:	$	269	$	301	$	572	$	552

Fair_Value_Measurement_Narrati

Fair Value Measurement (Narrative) (Details) (Fair Value, Measurements, Recurring [Member], Level I [Member], Money Market Funds [Member], USD $)	Jun. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Fair Value, Measurements, Recurring [Member] | Level I [Member] | Money Market Funds [Member]	'	'
Assets	'	'
Cash and cash equivalents	$502	$502

LongTerm_Debt_and_Line_of_Cred2

Long-Term Debt and Line of Credit (Schedule of Debt) (Details) (USD $)	Jun. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Debt Disclosure [Abstract]	'	'
Long-term debt to financial institutions	$16,000	$16,000
Less unamortized debt discount	-152	-184
Less current maturities of long-term debt	-2,411	0
Long-term debt, less current maturities and unamortized debt discount	13,437	0
Long-term debt, less current maturities and unamortized debt discount	$0	$15,816

LongTerm_Debt_and_Line_of_Cred3

Long-Term Debt and Line of Credit (Narrative) (Details) (USD $)	Jun. 30, 2014	Dec. 31, 2013	Dec. 20, 2012	Dec. 20, 2012	Jun. 30, 2014	Jun. 30, 2014	Dec. 20, 2012	Dec. 20, 2012
			Revolving Credit Facility [Member]	Term Loan [Member]	Square 1 and Oxford Finance [Member]	Square 1 and Oxford Finance [Member]	Square 1 and Oxford Finance [Member]	Square 1 and Oxford Finance [Member]
						Revolving Credit Facility [Member]	Revolving Credit Facility [Member]	Term Loan [Member]
Debt Instrument [Line Items]	'	'	'	'	'	'	'	'
Carrying value of long-term debt	$15,848,000	$15,816,000	'	'	'	'	'	'
Face value of long-term debt	'	'	'	'	'	'	'	16,000,000
Revolving line of credit, borrowing capacity	'	'	'	'	'	'	6,000,000	'
Total unamortized debt issuance costs	'	'	'	'	53,000	'	'	'
Fixed annual interest rate	'	'	'	9.50%	'	'	'	'
Variable interest rate	'	'	6.25%	'	'	'	'	'
Description of variable rate basis	'	'	'institution's prime rate	'	'	'	'	'
Basis spread on variable rate, percent	'	'	3.00%	'	'	'	'	'
Revolving line of credit, amount outstanding	'	'	'	'	'	0	'	'
Minimum covenant ratio, liquidity	1.25	'	'	'	'	'	'	'
Minimum covenant ratio, quick ratio	1	'	'	'	'	'	'	'
Long-term debt reclassified to current	0	15,816,000	'	'	'	'	'	'
Long-term debt, less current maturities	$13,437,000	$0	'	'	'	'	'	'

Net_Loss_Per_Share_AntiDilutiv

Net Loss Per Share (Anti-Dilutive Common Share Equivalents) (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'	'	'
Antidilutive common share equivalents	2,504,307	2,386,386	2,504,307	2,386,386
Common Stock Options and Warrants [Member]	'	'	'	'
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'	'	'
Antidilutive common share equivalents	1,822,674	2,329,988	1,822,674	2,329,988
Restricted Stock Units [Member]	'	'	'	'
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'	'	'
Antidilutive common share equivalents	681,633	56,398	681,633	56,398

Equity_Transactions_and_ShareB2

Equity Transactions and Share-Based Compensation (Allocation of Share-based Compensation) (Details) (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Allocated share-based compensation expense	$269	$301	$572	$552
Cost of Revenues [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Allocated share-based compensation expense	12	11	20	18
Research and Development [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Allocated share-based compensation expense	12	138	120	240
Sales and Marketing [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Allocated share-based compensation expense	63	47	101	90
General and Administrative [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Allocated share-based compensation expense	$182	$105	$331	$204

Equity_Transactions_and_ShareB3

Equity Transactions and Share-Based Compensation (Narrative) (Details) (USD $)	6 Months Ended
	Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'
Stock issued upon exercise of stock options (in shares)	76,000
Weighted average exercise price upon exercise of stock options (in dollars per share)	$2.40
Chief Executive Officer [Member]	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'
Options issued during the period	317,306
Weighted average exercise price (in dollars per share)	$4.16
Weighted average grant-date fair value (in dollars per share)	$1.57
Restricted Stock Units (RSUs) [Member]	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'
Restricted stock units granted (in shares)	634,866
Weighted average grant-date fair value (in dollars per share)	$3.30
Stock issued upon vesting of restricted stock units (in shares)	5,400
Fair value of stock issued upon vesting of restricted stock units	$17,600
Award vesting period	'3 years
Restricted Stock Units (RSUs) [Member] | Non-Employee Director [Member]	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'
Award vesting period	'1 year
Employee Stock Option [Member] | Chief Executive Officer [Member]	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'
Award vesting period	'4 years

Income_Taxes_Details

Income Taxes (Details) (USD $)	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013
Income Tax Disclosure [Abstract]	'	'
Provision or benefit for income taxes	$0	$0
Unrecognized tax benefits that would impact effective tax rate	$0	'
Effective income tax rate	0.00%	0.00%

Commitments_and_Contingencies_

Commitments and Contingencies (Details) (USD $)	6 Months Ended			6 Months Ended
In Millions, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2014	Dec. 31, 2012	Jun. 30, 2014
	sqft	Standby Letters of Credit [Member]	Standby Letters of Credit [Member]	Leasehold Improvements [Member]
		Letter of Credit [Member]	Letter of Credit [Member]
Loss Contingencies [Line Items]	'	'	'	'
Area of leased office and laboratory space	83,000	'	'	'
Rent concession	$0.90	'	'	'
Lease incentives	'	'	'	1.8
Line of credit facility, current borrowing capacity	'	$0.50	$1.50	'

Workforce_Reductions_Details

Workforce Reductions (Details) (USD $)	1 Months Ended	6 Months Ended	3 Months Ended	1 Months Ended	3 Months Ended		3 Months Ended
In Millions, unless otherwise specified	Jan. 31, 2014	Jun. 30, 2014	Mar. 31, 2014	31-May-14	Jun. 30, 2014	Jun. 30, 2014	Jun. 30, 2014
	January 2014 Workforce Reduction [Member]	January 2014 Workforce Reduction [Member]	January 2014 Workforce Reduction [Member]	May 2014 Workforce Reduction [Member]	May 2014 Workforce Reduction [Member]	May 2014 Workforce Reduction [Member]	May 2014 Workforce Reduction [Member]
	position	Employee Severance [Member]	General and Administrative [Member]	position	Employee Severance [Member]	Employee Severance [Member]	General and Administrative [Member]
						Accrued Expenses [Member]
Restructuring Cost and Reserve [Line Items]	'	'	'	'	'	'	'
Reduction in number of positions	24	'	'	22	'	'	'
Severance related benefits and other costs	'	'	$0.40	'	'	'	$1
Payments related to workforce reduction	'	0.4	'	'	0.3	'	'
Remaining liability for workforce reduction	'	'	'	'	'	$0.70	'