Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Nov. 04, 2014 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'DELCATH SYSTEMS, INC. | ' |
Entity Central Index Key | '0000872912 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 9,708,832 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-14 | ' |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Current assets | ' | ' | ||
Cash and cash equivalents | $23,323 | $31,249 | ||
Accounts receivables, net | 157 | 349 | ||
Inventories, net | 518 | 719 | ||
Prepaid expenses and other current assets | 752 | 1,711 | ||
Total current assets | 24,750 | 34,028 | ||
Property, plant and equipment, net | 2,118 | 3,069 | ||
Total assets | 26,868 | 37,097 | ||
Current liabilities | ' | ' | ||
Accounts payable | 114 | 582 | ||
Accrued expenses | 4,426 | 3,740 | ||
Warrant liability | 555 | 2,310 | ||
Total current liabilities | 5,095 | 6,632 | ||
Other non-current liabilities | 1,088 | 366 | ||
Total liabilities | 6,183 | 6,998 | ||
Commitments and contingencies (Note 11) | ' | ' | ||
Stockholders' equity | ' | ' | ||
Preferred stock, $.01 par value; 10,000,000 shares authorized; no shares issued and outstanding at September 30, 2014 and December 31, 2013 | 0 | 0 | ||
Common stock, $.01 par value; 170,000,000 shares authorized; 9,515,175 and 8,394,397 shares issued and 9,448,903 and 8,392,641 shares outstanding at September 30, 2014 and December 31, 2013, respectively | 95 | [1] | 84 | [1] |
Additional paid-in capital | 264,140 | 259,102 | ||
Accumulated deficit | -243,568 | -229,132 | ||
Treasury stock, at cost; 1,757 shares at September 30, 2014 and December 31, 2013 | -51 | [1] | -51 | [1] |
Accumulated other comprehensive income | 69 | 96 | ||
Total stockholders' equity | 20,685 | 30,099 | ||
Total liabilities and stockholders' equity | $26,868 | $37,097 | ||
[1] | Reflects a one-for- sixteen (1:16) reverse stock split effected on April 8, 2014. |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Sep. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | |
Stockholders' equity | ' | ' | ' |
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 | $0.01 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 | 10,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 | 0 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 | $0.01 |
Common stock, shares authorized (in shares) | 170,000,000 | 170,000,000 | 170,000,000 |
Common stock, shares issued (in shares) | 9,515,175 | 9,515,175 | 8,394,397 |
Common stock, shares outstanding (in shares) | 9,448,903 | 9,448,903 | 8,392,641 |
Treasury stock, at cost (in shares) | 1,757 | 1,757 | 1,757 |
Reverse stock split ratio | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
REVENUES | ' | ' | ' | ' | ||||
Product revenues | $217 | $72 | $778 | $152 | ||||
Other revenues | 0 | 0 | 0 | 300 | ||||
Total revenues | 217 | 72 | 778 | 452 | ||||
COSTS OF SALES | ' | ' | ' | ' | ||||
Costs of goods sold | -50 | -23 | -209 | -386 | ||||
Gross profit | 167 | 49 | 569 | 66 | ||||
OPERATING EXPENSES | ' | ' | ' | ' | ||||
Selling, general and administrative | 4,538 | 4,573 | 12,956 | 16,919 | ||||
Research and development | 683 | 2,178 | 3,632 | 10,639 | ||||
Total operating expenses | 5,221 | 6,751 | 16,588 | 27,558 | ||||
Loss from operations | -5,054 | -6,702 | -16,019 | -27,492 | ||||
OTHER INCOME (EXPENSE) | ' | ' | ' | ' | ||||
Change in fair value of warrant liability, net | 519 | -497 | 1,612 | 2,345 | ||||
Interest income | 2 | 2 | 4 | 18 | ||||
Other income (expense) | -25 | -9 | -33 | -404 | ||||
Net loss | -4,558 | -7,206 | -14,436 | -25,533 | ||||
LOSS PER COMMON SHARE | ' | ' | ' | ' | ||||
Basic and diluted loss per common share (in dollars per share) | ($0.48) | [1] | ($1.15) | [1] | ($1.54) | [1] | ($4.35) | [1] |
WEIGHTED AVERAGE COMMON SHARES | ' | ' | ' | ' | ||||
Basic and diluted weighted average common shares outstanding (in shares) | 9,447,887 | [1] | 6,254,312 | [1] | 9,391,793 | [1] | 5,875,490 | [1] |
OTHER COMPREHENSIVE INCOME (LOSS) | ' | ' | ' | ' | ||||
Foreign currency translation adjustments | -6 | 15 | -27 | 384 | ||||
Comprehensive loss | ($4,564) | ($7,191) | ($14,463) | ($25,149) | ||||
[1] | Reflects a one-for- sixteen (1:16) reverse stock split effected on April 8, 2014. |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) (Parenthetical) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) [Abstract] | ' | ' | ' | ' | ' |
Reverse stock split ratio | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net loss | ($14,436) | ($25,533) |
Adjustments to reconcile net loss to net cash used in operating activities: | ' | ' |
Stock option compensation expense | 321 | 407 |
Restricted stock compensation expense | 96 | 179 |
Depreciation expense | 742 | 866 |
Provision for inventory obsolescence | 118 | 17 |
Warrant liability fair value adjustment | -1,612 | -2,345 |
Loss on write-downs and disposals of equipment | 147 | 5 |
Non-cash interest income | 0 | -1 |
Changes in assets and liabilities: | ' | ' |
Decrease in prepaid expenses and other current assets | 937 | 305 |
Decrease in accounts receivable | 187 | 36 |
Decrease in inventories | 73 | 133 |
Increase (decrease) in accounts payable and accrued expenses | 275 | -3,149 |
Increase in other non-current liabilities | 723 | 189 |
Net cash used in operating activities | -12,429 | -28,891 |
Cash flows from investing activities: | ' | ' |
Purchase of property, plant and equipment | 0 | -113 |
Proceeds from sales of property, plant and equipment | 37 | 0 |
Net cash provided by (used in) investing activities | 37 | -113 |
Cash flows from financing activities: | ' | ' |
Net proceeds from sale of stock and exercise of warrants | 4,489 | 32,218 |
Net cash provided by financing activities | 4,489 | 32,218 |
Foreign currency effects on cash | -23 | 795 |
Net (decrease) increase in cash and cash equivalents | -7,926 | 4,009 |
Cash and cash equivalents: | ' | ' |
Beginning of period | 31,249 | 23,726 |
End of period | 23,323 | 27,735 |
Supplemental non-cash activities: | ' | ' |
Fair value of warrants exercised | $143 | $219 |
General
General | 9 Months Ended | |
Sep. 30, 2014 | ||
General [Abstract] | ' | |
General | ' | |
-1 | General | |
The interim Condensed Consolidated Financial Statements of Delcath Systems, Inc. (“Delcath” or the “Company”) for the three and nine months ended September 30, 2014 and 2013 should be read in conjunction with the Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K (“Annual Report”) for the year ended December 31, 2013, which has been filed with the Securities Exchange Commission (“SEC”) and can also be found on the Company’s website (www.delcath.com). In these notes the terms “us”, “we” or “our” refer to Delcath and its consolidated subsidiaries. | ||
On April 8, 2014, the Company effected a one-for-sixteen (1:16) reverse stock split. Refer to Note 7 Stockholders’ Equity of these Condensed Consolidated Financial Statements for further information. | ||
Description of Business | ||
Delcath Systems, Inc. is a specialty pharmaceutical and medical device company focused on oncology. Our proprietary product—Melphalan Hydrochloride for Injection for use with the Delcath Hepatic Delivery System (Melphalan/HDS)—is designed to administer high dose chemotherapy to the liver, while controlling the systemic exposure to those agents. The Company's principal focus is on the treatment of primary and metastatic liver cancers. | ||
In the United States (U.S.), Melphalan/HDS is considered a combination drug and device product, and is regulated as a drug by the U.S. Food and Drug Administration (FDA). Melphalan/HDS has not been approved for sale in the U.S. In Europe, our proprietary system to deliver and filter melphalan hydrochloride is marketed as a device under the trade name Delcath Hepatic CHEMOSAT® Delivery System for Melphalan (CHEMOSAT). In April 2012, we obtained authorization to affix a CE Mark for Generation Two CHEMOSAT. The right to affix the CE Mark allows the Company to market and sell CHEMOSAT in Europe. The Company has initiated plans to investigate Melphalan/HDS for primary liver cancer. | ||
The Company has incurred losses since inception. The Company anticipates incurring additional losses until such time, if ever, that it can generate significant sales. Management believes that its capital resources are adequate to fund operations through the next twelve months, but anticipates that additional working capital will be required to continue operations. To the extent additional capital is not available when needed, the Company may be forced to abandon some or all of its development and commercialization efforts, which would have a material adverse effect on the prospects of the business. Operations of the Company are subject to certain risks and uncertainties, including, among others, uncertainties and risks related to clinical research, product development; regulatory approvals; technology; patents and proprietary rights; comprehensive government regulations; limited commercial manufacturing; marketing and sales experience; and dependence on key personnel. | ||
Basis of Presentation | ||
These interim Condensed Consolidated Financial Statements are unaudited and were prepared by the Company in accordance with generally accepted accounting principles in the United States of America (GAAP) and with the SEC’s instructions to Form 10-Q and Article 10 of Regulation S-X. They include the accounts of all entities controlled by Delcath and all significant inter-company accounts and transactions have been eliminated in consolidation. | ||
The preparation of interim financial statements requires management to make assumptions and estimates that impact the amounts reported. These interim Condensed Consolidated Financial Statements, in the opinion of management, reflect all adjustments, consisting of normal recurring accruals, necessary for a fair presentation of the Company’s results of operations, financial position and cash flows for the interim periods ended September 30, 2014 and 2013; however, certain information and footnote disclosures normally included in our Annual Report have been condensed or omitted as permitted by GAAP. It is important to note that the Company’s results of operations and cash flows for interim periods are not necessarily indicative of the results of operations and cash flows to be expected for a full fiscal year. | ||
Significant Accounting Policies | ||
A description of our significant accounting policies has been provided in Note 3 Summary of Significant Accounting Policies to the Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K filed for the period ended December 31, 2013. | ||
Recently Adopted Accounting Pronouncements | ||
In March 2013, the FASB issued ASU 2013-05, Foreign Currency Matters (Topic 830): Parent's Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity, which permits an entity to release cumulative translation adjustments into net income when a reporting entity (parent) ceases to have a controlling financial interest in a subsidiary or group of assets that is a business within a foreign entity. Accordingly, the cumulative translation adjustment should be released into net income only if the sale or transfer results in the complete or substantially complete liquidation of the foreign entity in which the subsidiary or group of assets had resided, or, if a controlling financial interest is no longer held. The revised standard became effective for fiscal years beginning after December 15, 2013. The Company adopted this guidance effective January 1, 2014. The Company’s adoption of this standard did not have a material impact on its consolidated financial statements. | ||
Accounting Pronouncements Not Yet Adopted | ||
In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”) that updates the principles for recognizing revenue. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 also amends the required disclosures of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. The Company expects to adopt this guidance when effective, and the potential impact on our financial statements is not currently estimable. | ||
In June 2014, the FASB issued ASU 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period (“ASU 2014-12”). ASU 2014-12 requires that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. As such, the performance target should not be reflected in estimating the grant-date fair value of the award. ASU 2014-12 is effective for annual reporting periods beginning after December 15, 2015, with early adoption permitted. The Company expects to adopt this guidance when effective, and does not anticipate that this guidance will materially impact its consolidated financial statements. | ||
In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements — Going Concern, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 requires management to assess an entity’s ability to continue as a going concern by incorporating and expanding upon certain principles that are currently in U.S. auditing standards. Specifically, the ASU (1) provides a definition of the term substantial doubt, (2) requires an evaluation every reporting period including interim periods, (3) provides principles for considering the mitigating effect of management’s plans, (4) requires certain disclosures when substantial doubt is alleviated as a result of consideration of management’s plans, (5) requires an express statement and other disclosures when substantial doubt is not alleviated, and (6) requires an assessment for a period of one year after the date that the financial statements are issued (or available to be issued). This standard is effective for the fiscal years ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. The Company expects to adopt this guidance when effective, and at the current time does not believe that it has met conditions which would subject its consolidated financial statements to the additional disclosures required by this guidance. |
Inventories
Inventories | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Inventories [Abstract] | ' | ||||||||
Inventories | ' | ||||||||
-2 | Inventories | ||||||||
Inventories consist of the following: | |||||||||
(in thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Raw materials | $ | 172 | $ | 249 | |||||
Work-in-process | 252 | 364 | |||||||
Finished goods | 94 | 106 | |||||||
Total inventory | $ | 518 | $ | 719 |
Prepaid_Expenses_and_Other_Cur
Prepaid Expenses and Other Current Assets | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Prepaid Expenses and Other Current Assets [Abstract] | ' | ||||||||
Prepaid Expenses and Other Current Assets | ' | ||||||||
-3 | Prepaid Expenses and Other Current Assets | ||||||||
Prepaid expenses and other current assets consist of the following: | |||||||||
(in thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Kits for clinical use | $ | 227 | $ | 287 | |||||
Insurance premiums | 184 | 407 | |||||||
Professional fees | 160 | 377 | |||||||
Other1 | 181 | 640 | |||||||
Total prepaid expenses and other current assets | $ | 752 | $ | 1,711 | |||||
1 Other consists of various prepaid expenses and other current assets with no individual item accounting for more than 5% of the total balance at September 30, 2014 and December 31, 2013. |
Property_Plant_and_Equipment
Property, Plant, and Equipment | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Property, Plant, and Equipment [Abstract] | ' | ||||||||
Property, Plant, and Equipment | ' | ||||||||
-4 | Property, Plant, and Equipment | ||||||||
Property, plant, and equipment consist of the following: | |||||||||
(in thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Enterprise hardware and software | $ | 1,982 | $ | 2,143 | |||||
Leaseholds | 1,642 | 1,749 | |||||||
Equipment | 1,350 | 1,552 | |||||||
Furniture | 955 | 957 | |||||||
Buildings and land | 603 | 603 | |||||||
Property, plant and equipment, gross | 6,532 | 7,004 | |||||||
Accumulated depreciation | (4,414 | ) | (3,935 | ) | |||||
Property, plant and equipment, net | $ | 2,118 | $ | 3,069 | |||||
Depreciation expense for the three and nine months ended September 30, 2014 was approximately $0.2 million and $0.7 million, respectively, as compared to approximately $0.3 million and $0.9 million for the same periods in 2013. |
Accrued_Expenses
Accrued Expenses | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Accrued Expenses [Abstract] | ' | ||||||||
Accrued Expenses | ' | ||||||||
-5 | Accrued Expenses | ||||||||
Accrued expenses consist of the following: | |||||||||
(in thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Compensation, excluding taxes | $ | 2,781 | $ | 1,866 | |||||
Deferred rent | 71 | 485 | |||||||
Professional fees | 282 | 360 | |||||||
Short-term portion of lease restructuring | 334 | – | |||||||
Other1 | 958 | 1,029 | |||||||
Total accrued expenses | $ | 4,426 | $ | 3,740 | |||||
1 Other consists of various accrued expenses, with no individual item accounting for more than 5% of current liabilities at September 30, 2014 and December 31, 2013. | |||||||||
In November 2013, the Board of Directors approved an Employee Retention Program for certain key employees, including the Company’s executive officers. The key employees will be eligible to receive a cash retention bonus payment equal to fifty percent (50%) of their current annual salary if they remain employed by the Company through March 31, 2015. The expense related to this program is being accrued ratably over the required service period and has been included in Accrued expenses on the Condensed Consolidated Balance Sheets and in both Selling, general and administrative and Research and development on the Condensed Consolidated Statements of Operations. | |||||||||
For a description of the Company’s lease restructuring liability refer to Note 6 Restructuring Expenses of these Condensed Consolidated Financial Statements. |
Restructuring_Expenses
Restructuring Expenses | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Restructuring Expenses [Abstract] | ' | ||||||||
Restructuring Expenses | ' | ||||||||
-6 | Restructuring Expenses | ||||||||
During 2013, the Company implemented workforce restructurings to reduce operating costs, better focus its organizational structure, increase efficiency and concentrate financial resources on its clinical development program and European commercialization activity. This resulted in a total reduction in the Company’s workforce by 50 employees. During the second and third quarters of 2014, the Company implemented additional workforce restructurings that resulted in a total reduction in the Company’s workforce by eight employees. As a result of termination benefits provided to these 58 employees the Company has incurred a total restructuring charge of approximately $5.3 million for employee related expenses. At September 30, 2014, the remaining restructuring reserve of approximately $1.4 million is included in Accrued expenses on the Condensed Consolidated Balance Sheets. | |||||||||
In order to help reduce operating costs and more appropriately align its office space with the reduced size of its workforce, during the quarter ended June 30, 2014, the Company implemented a plan to vacate and sub-lease office space at its 810 Seventh Avenue office. On May 22, 2014, the Company entered into a sub-lease agreement (“Sub-lease #1”) for approximately one-half of the office space at this location (“Suite 3500”), and had vacated and relinquished the premises to the sub-tenant as of June 30, 2014. Pursuant to Sub-lease #1, the sub-lease term commenced on July 1, 2014 and will expire on March 30, 2021, concurrent with the expiration of the Lease Agreement between Delcath and the landlord dated February 5, 2010 and subsequently modified by a Lease Modification, Extension and Additional Space Agreement between Delcath and the landlord dated September 27, 2010 (together the “Prime Lease”). At June 30, 2014, the Company’s future rent obligations for Suite 3500 under the Prime Lease over the remaining lease term of 81 months totaled approximately $3.6 million. Under Sub-lease #1 the Company will receive future sub-lease rental receipts totaling approximately $2.6 million, resulting in net future cash outflows of approximately $1.0 million. In accordance with ASC 420, Exit or Disposal Cost Obligations, the Company calculated the fair value of the remaining net cash flow liability for Suite 3500 and recorded a lease restructuring reserve of approximately $0.9 million as of June 30, 2014. Additionally, during the quarter ended June 30, 2014, the Company recorded contract termination costs related to Sub-lease #1 of approximately $150,000 and wrote off approximately $50,000 of unamortized leasehold improvements related to Suite 3500. The expenses related to this lease restructuring were recorded in Selling, general and administrative on the Condensed Consolidated Statements of Operations. | |||||||||
On August 18, 2014, the Company entered into a sub-lease agreement (“Sub-lease #2”) with a third party for the remaining one-half of office space at its 810 Seventh Avenue office (“Suite 3505”). On September 24, 2014, the Company received written consent from the landlord of the building with respect to Sub-lease #2, and had vacated and relinquished the premises to the sub-tenant as of September 30, 2014. Pursuant to Sub-lease #2, the sub-lease term commenced on October 1, 2014 and will expire concurrently with the expiration of the Prime Lease on March 30, 2021. At September 30, 2014, the Company’s future rent obligations for Suite 3505 under the Prime Lease over the remaining lease term of 78 months totaled approximately $3.4 million. Under Sub-lease #2 the Company will receive future sub-lease rental receipts totaling approximately $2.6 million, resulting in net future cash outflows of approximately $0.8 million. In accordance with ASC 420, Exit or Disposal Cost Obligations, the Company calculated the fair value of the remaining net cash flow liability for Suite 3505 and recorded a lease restructuring reserve of approximately $0.7 million as of September 30, 2014. Additionally, during the quarter ended September 30, 2014, the Company recorded contract termination costs related to Sub-lease #2 of approximately $150,000. The expenses related to this lease restructuring were recorded in Selling, General and Administrative expenses on the Condensed Consolidated Statements of Operations. As of September 30, 2014, the total remaining lease restructuring liability for its leased office space at 810 Seventh Ave was approximately $1.4 million, of which approximately $0.3 million and $1.1 million were included in Accrued expenses and Other non-current liabilities on the Condensed Consolidated Balance Sheets, respectively. | |||||||||
The following table provides the year-to-date activity of the Company’s restructuring reserves as of September 30, 2014: | |||||||||
(in thousands) | Employee Costs | Operating Lease | |||||||
Reserve balance as of December 31, 2013 | $ | 2,019 | $ | – | |||||
Charges | 1,327 | 1,547 | |||||||
Payments / utilizations | (1,990 | ) | (125 | ) | |||||
Reserve balance as of September 30, 2014 | $ | 1,356 | $ | 1,422 |
Stockholders_Equity
Stockholders Equity | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Stockholders Equity [Abstract] | ' | |||||||||||||||
Stockholders Equity | ' | |||||||||||||||
-7 | Stockholders’ Equity | |||||||||||||||
Stock Issuances | ||||||||||||||||
Reverse Stock Split | ||||||||||||||||
On February 24, 2014, shareholders of the Company approved, through a shareholder vote, an amendment to the Company’s Amended and Restated Certificate of Incorporation authorizing the Board of Directors to effect a reverse stock split of Delcath’s common stock. The reverse stock split became effective on April 8, 2014 at which time Delcath’s common stock began trading on the NASDAQ Stock Exchange on a one-for-sixteen (1:16) split-adjusted basis. All owners of record as of the close of the NASDAQ market on April 8, 2014 received one issued and outstanding share of Delcath common stock in exchange for sixteen issued and outstanding shares of Delcath common stock. No fractional shares were issued in connection with the reverse stock split. All fractional shares created by the one-for-sixteen exchange were rounded up to the next whole share. The reverse stock split had no impact on the number of common shares authorized or the par value per share of Delcath common stock, which remain 170,000,000 and $0.01, respectively. All current and prior period amounts related to shares, share prices and earnings per share, presented in these Condensed Consolidated Financial Statements and the accompanying Notes, have been restated to give retrospective presentation for the reverse stock split. | ||||||||||||||||
At-the-Market (“ATM”) Programs | ||||||||||||||||
In December 2011, the Company entered into an agreement with Cowen and Company, LLC (“Cowen”) to sell shares of its common stock, par value $.01 per share, from time to time, through an ATM equity offering program having aggregate sales proceeds of $39.8 million, under which Cowen would act as sales agent. During the first quarter of 2013, the Company sold approximately 14.2 million shares of its common stock under this ATM program for proceeds of approximately $20.9 million, with net cash proceeds after related expenses of approximately $20.8 million, and successfully completed the program. As of March 31, 2013, there were no shares of common stock of the Company remaining for sale under this ATM program. | ||||||||||||||||
In March 2013, the Company entered into a new agreement with Cowen to sell shares of the Company’s common stock, par value $.01 per share, from time to time, through an ATM equity offering program having aggregate sales proceeds of $50.0 million, under which Cowen will act as sales agent. During the year ended December 31, 2013, the Company sold approximately 1.0 million shares of its common stock under this ATM program for proceeds of approximately $5.0 million, with net cash proceeds after related expenses of approximately $4.8 million. During the first quarter of 2014 the Company sold an additional 1.0 million shares of its common stock under this ATM program for proceeds of approximately $4.4 million, with net cash proceeds after related expenses of approximately $4.4 million. The shares were issued pursuant to an effective registration statement on Form S-3 (333-187230). The net proceeds will be used for general corporate purposes, including, but not limited to, commercialization of our products, obtaining regulatory approvals, funding of our clinical trials, capital expenditures and working capital. There were no shares of common stock sold under the ATM program during the second or third quarters of 2014. As of September 30, 2014, the Company has approximately $40.4 million remaining under the program which may be sold subject to market conditions and certain limitations. | ||||||||||||||||
Committed Equity Financing Facility (“CEFF”) Program | ||||||||||||||||
In December 2012, the Company entered into a two-year agreement with Terrapin Opportunity, L.P. (“Terrapin”) for a CEFF program. Under the agreement Terrapin committed to purchase up to $35.0 million of Delcath common stock over a 24-month term. Since inception, the Company has sold approximately 0.5 million shares of its common stock through the program for total proceeds of approximately $11.1 million, with net cash proceeds after related expenses of approximately $10.8 million. As a result, there was approximately $23.9 million available under this CEFF program as of September 30, 2014. The shares were issued pursuant to an effective registration statement on Form S-3 (333-183675). The net proceeds have been used for general corporate purposes including, but not limited to, commercialization of our products, funding of our clinical trials, obtaining regulatory approvals, capital expenditures and general working capital needs. The Company does not anticipate selling any additional shares before the agreement expires in December 2014. | ||||||||||||||||
Warrants | ||||||||||||||||
In June 2009, the Company completed the sale of 0.1 million shares of its common stock and the issuance of warrants to purchase 0.1 million common shares (the “2009 Warrants”) pursuant to a subscription agreement with a single investor. The Company received proceeds of $3.0 million, with net cash proceeds after related expenses from this transaction of approximately $2.7 million. Of those proceeds, the Company allocated an estimated fair value of $2.2 million to the 2009 Warrants. As required by the 2009 Warrant agreement, the exercise price of the warrants was adjusted following the Company’s October 2013 sale of common stock and warrants. The shares and warrants were issued pursuant to an effective registration statement on Form S-3. During the six months ended June 30, 2014, 35,000 2009 Warrants were exercised for net proceeds of approximately $0.1 million. The 2009 Warrants had a five-year term which expired on June 15, 2014. The remaining liability after warrant exercises was credited to pre-tax derivative instrument income as of June 30, 2014. | ||||||||||||||||
In May 2012, the Company completed the sale of 1.0 million shares of its common stock and the issuance of warrants to purchase 0.3 million common shares (the “2012 Warrants”) pursuant to an underwriting agreement. The Company received proceeds of $21.5 million, with net cash proceeds after related expenses from this transaction of approximately $21.1 million. Of those proceeds, the Company allocated an estimated fair value of $3.4 million to the 2012 Warrants. As required by the 2012 Warrant agreement, the exercise price of the warrants was adjusted following the Company’s October 2013 sale of common stock and warrants. At September 30, 2014, the 2012 Warrants were exercisable at $2.56 per share with approximately 260,000 warrants outstanding. The 2012 Warrants have a three-year term. The shares and warrants were issued pursuant to an effective registration statement on Form S-3. During the nine months ended September 30, 2014, approximately 14,000 2012 Warrants were exercised for net proceeds of approximately $34,000. | ||||||||||||||||
In October 2013, the Company completed the sale of 1.3 million shares of its common stock and the issuance of warrants to purchase approximately 0.6 million common shares (the “2013 Warrants”) pursuant to a placement agency agreement. The Company received proceeds of $7.5 million, with net cash proceeds after related expenses from this transaction of approximately $6.9 million. Of those proceeds, the Company allocated an estimated fair value of $1.9 million to the 2013 Warrants. The 2013 Warrants became exercisable on April 30, 2014 and at September 30, 2014, the 2013 Warrants were exercisable at $7.04 per share with approximately 0.6 million warrants outstanding. The 2013 Warrants have a five-year term. The shares and warrants were issued pursuant to an effective registration statement on Form S-3. There were no 2013 Warrants exercised during the nine months ended September 30, 2014. | ||||||||||||||||
Stock Incentive Plans | ||||||||||||||||
The Company established the 2004 Stock Incentive Plan and the 2009 Stock Incentive Plan (collectively, the “Plans”) under which 187,500, and 406,250 shares, respectively, have been reserved for the issuance of stock options, stock appreciation rights, restricted stock, stock grants and other equity awards. The Plans are administered by the Compensation and Stock Option Committee of the Board of Directors which determines the individuals to whom awards shall be granted as well as the type, terms, conditions, option price and the duration of each award. | ||||||||||||||||
A stock option grant allows the holder of the option to purchase a share of the Company’s common stock in the future at a stated price. Options granted under the Plans vest as determined by the Company’s Compensation and Stock Option Committee and expire over varying terms, but not more than ten years from the date of grant. Stock option activity for the nine months ended September 30, 2014 is as follows: | ||||||||||||||||
Stock Option Activity under the Plans | ||||||||||||||||
Stock | Exercise Price | Weighted Average | Weighted Average Remaining | |||||||||||||
Options | per Share | Exercise | Life (Years) | |||||||||||||
Price | ||||||||||||||||
Outstanding at December 31, 2013 | 252,158 | $4.80 — $248.64 | $ | 57.9 | 7.36 | |||||||||||
Granted | 75,000 | $2.42 | 2.42 | |||||||||||||
Forfeited | (80,399 | ) | $4.80 — $248.64 | 62.11 | ||||||||||||
Expired | (22,166 | ) | $19.84 — $62.40 | 56.39 | ||||||||||||
Outstanding at September 30, 2014 | 224,593 | $4.80 — $245.12 | $ | 38.35 | 8.36 | |||||||||||
For the three and nine months ended September 30, 2014, the Company recognized compensation expense of approximately $0.1 million and $0.3 million, respectively, relating to stock options granted to employees. For the three and nine months ended September 30, 2013, the Company recognized compensation income of approximately $0.2 million and compensation expense of approximately $0.4 million, respectively. The compensation income for the three months ended September 30, 2013 is a result of the cancellation of stock options related to the Company’s restructuring activities discussed further in Note 6 to these condensed consolidated financial statements. | ||||||||||||||||
There were 75,000 options granted during the nine months ended September 30, 2014. The estimated fair value of each option award granted during the nine month period ended September 30, 2014 and September 30, 2013 was determined on the date of grant using an option pricing model with the following assumptions: | ||||||||||||||||
Nine months ended September 30, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Dividend yield | None | None | ||||||||||||||
Expected volatility | 98.14% | 86.16% — 93.9% | ||||||||||||||
Weighted average volatility | 98.14% | 86.37% | ||||||||||||||
Risk-free interest rates | 1.61% | 0.99% — 1.79% | ||||||||||||||
Expected life (in years) | 4.5 | 6.7 | ||||||||||||||
No dividend yield was assumed because the Company has never paid a cash dividend on its common stock and does not expect to pay dividends in the foreseeable future. Volatilities were developed using the Company’s historical volatility. The risk-free interest rate was developed using the U.S. Treasury yield for periods equal to the expected life of the stock options on the grant date. The expected option term is based on actual historical results. | ||||||||||||||||
Restricted stock activity for the nine months ended September 30, 2014 is as follows: | ||||||||||||||||
Restricted Stock Activity | ||||||||||||||||
under the Plans | ||||||||||||||||
Restricted | Weighted Average Grant Date | |||||||||||||||
Stock | Fair Value | |||||||||||||||
Non-vested at December 31, 2013 | 20,347 | $ | 16.84 | |||||||||||||
Granted | 62,504 | 2.6 | ||||||||||||||
Vested | (17,755 | ) | 49.68 | |||||||||||||
Forfeited | (581 | ) | 14.06 | |||||||||||||
Non-vested at September 30, 2014 | 64,515 | $ | 3.51 | |||||||||||||
For the three and nine months ended September 30, 2014, the Company recognized compensation expense of approximately $0.04 million and $0.1 million, respectively, related to restricted stock granted to employees. For the three and nine months ended September 30, 2013, the Company recognized compensation income of approximately $0.1 million and compensation expense of approximately $0.2 million, respectively. The compensation income for the three months ended September 30, 2013 is a result of the cancellation of restricted stock related to the Company’s restructuring activities discussed further in Note 6 to these condensed consolidated financial statements. | ||||||||||||||||
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Fair Value Measurements [Abstract] | ' | ||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
-8 | Fair Value Measurements | ||||||||||||||||
Derivative Warrant Liability | |||||||||||||||||
As disclosed in Note 7 Stockholders’ Equity of these Condensed Consolidated Financial Statements, the Company allocated part of the proceeds of public offerings in 2009, 2012 and 2013 of the Company’s common stock to warrants issued in connection with those transactions. The valuation of the warrants was determined using an option pricing model. This model uses inputs such as the underlying price of the shares issued when the warrant is exercised, volatility, risk free interest rate and expected life of the instrument. The Company has determined that the warrants should be classified as liabilities and has accounted for them as derivative instruments in accordance with ASC 815. Additionally, the Company has determined that the warrant derivative liability should be classified within Level 3 of the fair-value hierarchy by evaluating each input for the option pricing model against the fair-value hierarchy criteria and using the lowest level of input as the basis for the fair-value classification as called for in ASC 820. There are six inputs: closing price of Delcath stock on the day of evaluation; the exercise price of the warrants; the remaining term of the warrants; the volatility of Delcath’s stock over that term; annual rate of dividends; and the riskless rate of return. Of those inputs, the exercise price of the warrants and the remaining term are readily observable in the warrant agreements. The annual rate of dividends is based on the Company’s historical practice of not granting dividends. The closing price of Delcath stock would fall under Level 1 of the fair-value hierarchy as it is a quoted price in an active market (ASC 820-10). The riskless rate of return is a Level 2 input as defined in ASC 820-10, while the historical volatility is a Level 3 input as defined in ASC 820. Since the lowest level input is a Level 3, Delcath determined the warrant derivative liability is most appropriately classified within Level 3 of the fair value hierarchy. | |||||||||||||||||
For the three and nine months ended September 30, 2014, the Company recorded pre-tax derivative warrant income of $0.5 million and $1.6 million, respectively. The resulting derivative warrant liabilities totaled $0.6 million at September 30, 2014. In the event of a hypothetical 10% increase in the market price of our common shares on which the September 30, 2014 valuation was based, the value of the derivative liability would have increased by approximately $0.1 million. Management expects that the warrants will either be exercised or expire worthless. The fair value of the warrants at September 30, 2014 was determined by using an option pricing model with the following assumptions: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Warrants | Warrants | ||||||||||||||||
Expected volatility | 90.32% | 77.31% | |||||||||||||||
Risk-free interest rates | 1.43% | 0.08% | |||||||||||||||
Expected life (in years) | 4.08 | 0.67 | |||||||||||||||
Money Market Funds | |||||||||||||||||
The Company has determined that the inputs associated with the fair value determination of its money market funds are based on quoted prices (unadjusted) and, as a result, the investments have been classified within Level 1 of the fair value hierarchy. | |||||||||||||||||
The table below presents the Company’s assets and liabilities measured at fair value on a recurring basis as of September 30, 2014, aggregated by the level in the fair value hierarchy within which those measurements fall. | |||||||||||||||||
Assets and Liabilities Measured at Fair Value | |||||||||||||||||
on a Recurring Basis | |||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Balance at | |||||||||||||
30-Sep-14 | |||||||||||||||||
Assets | |||||||||||||||||
Money market funds | $ | 1,945 | $ | — | $ | — | $ | 1,945 | |||||||||
Liabilities | |||||||||||||||||
Warrant liability | $ | — | $ | — | $ | 555 | $ | 555 | |||||||||
The table below presents the activity within Level 3 of the fair value hierarchy for the nine months ended September 30, 2014: | |||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | |||||||||||||||||
(in thousands) | Warrant Liability | ||||||||||||||||
Beginning balance as of December 31, 2013 | $ | 2,310 | |||||||||||||||
Total change in the fair value of the liability included in earnings, including warrant expirations | (1,612 | ) | |||||||||||||||
Fair value of warrants exercised | (143 | ) | |||||||||||||||
Ending balance as of September 30, 2014 | $ | 555 |
Net_Loss_per_Common_Share
Net Loss per Common Share | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Net Loss per Common Share [Abstract] | ' | ||||||||
Net Loss per Common Share | ' | ||||||||
-9 | Net Loss per Common Share | ||||||||
Basic net loss per share is determined by dividing net loss by the weighted average shares of common stock outstanding during the period, without consideration of potentially dilutive securities. Diluted net loss per share is determined by dividing net loss by diluted weighted average shares outstanding. Diluted weighted average shares reflects the dilutive effect, if any, of potentially dilutive common shares, such as stock options and warrants calculated using the treasury stock method. In periods with reported net operating losses, all common stock options and warrants are generally deemed anti-dilutive such that basic net loss per share and diluted net loss per share are equal. However, in certain periods in which the exercise price of the warrants was less than the last reported sales price of Delcath’s common stock on the final trading day of the period and there is a gain recorded pursuant to the change in fair value of the warrant derivative liability, the impact of gains related to the mark-to-market adjustment of the warrants outstanding at the end of the period is reversed and the treasury stock method is used to determine diluted earnings per share. | |||||||||
For the three and nine months ended September 30, 2014, basic and diluted net loss per common share are equal. | |||||||||
The following potentially dilutive securities were excluded from the computation of earnings per share as of September 30, 2014 and 2013 because their effects would be anti-dilutive: | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
Stock options | 227,718 | 294,446 | |||||||
Unvested restricted shares | 64,515 | 21,243 | |||||||
Warrants | 850,138 | 339,994 | |||||||
Total | 1,142,371 | 655,683 |
Taxes
Taxes | 9 Months Ended | |
Sep. 30, 2014 | ||
Taxes [Abstract] | ' | |
Taxes | ' | |
-10 | Taxes | |
As discussed in Note 13 Income Taxes of the Company’s Annual Report, the Company has a valuation allowance against the full amount of its net deferred tax assets. The Company currently provides a valuation allowance against deferred tax assets when it is more likely than not that some portion or all of its deferred tax assets will not be realized. The Company has not recognized any unrecognized tax benefits in its balance sheet. | ||
The Company is subject to income tax in the U.S., as well as various state and international jurisdictions. The Company has not been audited by the U.S. Internal Revenue Service, international tax authorities, or any states in connection with income taxes. The Company’s New York State tax returns have been subject to annual desk reviews which have resulted in insignificant adjustments to the related franchise tax liabilities and credits. The Company’s tax years generally remain open to examination for all federal, state and foreign tax matters until its net operating loss carryforwards are utilized and the applicable statutes of limitation have expired. The federal and state tax authorities can generally reduce a net operating loss (but not create taxable income) for a period outside the statute of limitations in order to determine the correct amount of net operating loss which may be allowed as a deduction against income for a period within the statute of limitations. | ||
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended | |
Sep. 30, 2014 | ||
Commitments and Contingencies [Abstract] | ' | |
Commitments and Contingencies | ' | |
-11 | Commitment and Contingencies | |
The Company is a party to several legal proceedings. Refer to Part II, Item 1 Legal Proceedings in this Quarterly Report on Form 10-Q for more information. |
Subsequent_Events
Subsequent Events | 9 Months Ended | |
Sep. 30, 2014 | ||
Subsequent Events [Abstract] | ' | |
Subsequent Events | ' | |
-12 | Subsequent Events | |
Subsequent to the end of the third quarter through November 4, 2014, the Company sold approximately 0.3 million shares of its common stock under the March 2013 Sales Agreement through an “at the market” equity offering program for net proceeds of approximately $0.4 million. The shares were issued pursuant to an effective registration statement on Form S-3 (333-187230). The net proceeds will be used for general corporate purposes, including, but not limited to, funding of the Company’s clinical trials, commercialization of our products, obtaining regulatory approvals, capital expenditures and working capital. As of November 4, 2014, the Company has approximately $40.0 million remaining under the program. | ||
The Company completed an evaluation of the impact of any subsequent events through the date financial statements were issued and determined there were no other subsequent events requiring disclosure in or adjustment to these financial statements. |
General_Policies
General (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
General [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
These interim Condensed Consolidated Financial Statements are unaudited and were prepared by the Company in accordance with generally accepted accounting principles in the United States of America (GAAP) and with the SEC’s instructions to Form 10-Q and Article 10 of Regulation S-X. They include the accounts of all entities controlled by Delcath and all significant inter-company accounts and transactions have been eliminated in consolidation. | |
The preparation of interim financial statements requires management to make assumptions and estimates that impact the amounts reported. These interim Condensed Consolidated Financial Statements, in the opinion of management, reflect all adjustments, consisting of normal recurring accruals, necessary for a fair presentation of the Company’s results of operations, financial position and cash flows for the interim periods ended September 30, 2014 and 2013; however, certain information and footnote disclosures normally included in our Annual Report have been condensed or omitted as permitted by GAAP. It is important to note that the Company’s results of operations and cash flows for interim periods are not necessarily indicative of the results of operations and cash flows to be expected for a full fiscal year. | |
Recently Adopted Accounting Pronouncements | ' |
Recently Adopted Accounting Pronouncements | |
In March 2013, the FASB issued ASU 2013-05, Foreign Currency Matters (Topic 830): Parent's Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity, which permits an entity to release cumulative translation adjustments into net income when a reporting entity (parent) ceases to have a controlling financial interest in a subsidiary or group of assets that is a business within a foreign entity. Accordingly, the cumulative translation adjustment should be released into net income only if the sale or transfer results in the complete or substantially complete liquidation of the foreign entity in which the subsidiary or group of assets had resided, or, if a controlling financial interest is no longer held. The revised standard became effective for fiscal years beginning after December 15, 2013. The Company adopted this guidance effective January 1, 2014. The Company’s adoption of this standard did not have a material impact on its consolidated financial statements. | |
Accounting Pronouncements Not Yet Adopted | ' |
Accounting Pronouncements Not Yet Adopted | |
In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”) that updates the principles for recognizing revenue. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 also amends the required disclosures of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. The Company expects to adopt this guidance when effective, and the potential impact on our financial statements is not currently estimable. | |
In June 2014, the FASB issued ASU 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period (“ASU 2014-12”). ASU 2014-12 requires that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. As such, the performance target should not be reflected in estimating the grant-date fair value of the award. ASU 2014-12 is effective for annual reporting periods beginning after December 15, 2015, with early adoption permitted. The Company expects to adopt this guidance when effective, and does not anticipate that this guidance will materially impact its consolidated financial statements. | |
In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements — Going Concern, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 requires management to assess an entity’s ability to continue as a going concern by incorporating and expanding upon certain principles that are currently in U.S. auditing standards. Specifically, the ASU (1) provides a definition of the term substantial doubt, (2) requires an evaluation every reporting period including interim periods, (3) provides principles for considering the mitigating effect of management’s plans, (4) requires certain disclosures when substantial doubt is alleviated as a result of consideration of management’s plans, (5) requires an express statement and other disclosures when substantial doubt is not alleviated, and (6) requires an assessment for a period of one year after the date that the financial statements are issued (or available to be issued). This standard is effective for the fiscal years ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. The Company expects to adopt this guidance when effective, and at the current time does not believe that it has met conditions which would subject its consolidated financial statements to the additional disclosures required by this guidance. |
Inventories_Tables
Inventories (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Inventories [Abstract] | ' | ||||||||
Schedule of inventories | ' | ||||||||
Inventories consist of the following: | |||||||||
(in thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Raw materials | $ | 172 | $ | 249 | |||||
Work-in-process | 252 | 364 | |||||||
Finished goods | 94 | 106 | |||||||
Total inventory | $ | 518 | $ | 719 |
Prepaid_Expenses_and_Other_Cur1
Prepaid Expenses and Other Current Assets (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Prepaid Expenses and Other Current Assets [Abstract] | ' | ||||||||
Prepaid expenses and other current assets | ' | ||||||||
Prepaid expenses and other current assets consist of the following: | |||||||||
(in thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Kits for clinical use | $ | 227 | $ | 287 | |||||
Insurance premiums | 184 | 407 | |||||||
Professional fees | 160 | 377 | |||||||
Other1 | 181 | 640 | |||||||
Total prepaid expenses and other current assets | $ | 752 | $ | 1,711 | |||||
1 Other consists of various prepaid expenses and other current assets with no individual item accounting for more than 5% of the total balance at September 30, 2014 and December 31, 2013. |
Property_Plant_and_Equipment_T
Property, Plant, and Equipment (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Property, Plant, and Equipment [Abstract] | ' | ||||||||
Components of property, plant and equipment | ' | ||||||||
Property, plant, and equipment consist of the following: | |||||||||
(in thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Enterprise hardware and software | $ | 1,982 | $ | 2,143 | |||||
Leaseholds | 1,642 | 1,749 | |||||||
Equipment | 1,350 | 1,552 | |||||||
Furniture | 955 | 957 | |||||||
Buildings and land | 603 | 603 | |||||||
Property, plant and equipment, gross | 6,532 | 7,004 | |||||||
Accumulated depreciation | (4,414 | ) | (3,935 | ) | |||||
Property, plant and equipment, net | $ | 2,118 | $ | 3,069 |
Accrued_Expenses_Tables
Accrued Expenses (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Accrued Expenses [Abstract] | ' | ||||||||
Schedule of accrued expenses | ' | ||||||||
Accrued expenses consist of the following: | |||||||||
(in thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Compensation, excluding taxes | $ | 2,781 | $ | 1,866 | |||||
Deferred rent | 71 | 485 | |||||||
Professional fees | 282 | 360 | |||||||
Short-term portion of lease restructuring | 334 | – | |||||||
Other1 | 958 | 1,029 | |||||||
Total accrued expenses | $ | 4,426 | $ | 3,740 |
Restructuring_Expenses_Tables
Restructuring Expenses (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Restructuring Expenses [Abstract] | ' | ||||||||
Schedule of restructuring and related costs | ' | ||||||||
The following table provides the year-to-date activity of the Company’s restructuring reserves as of September 30, 2014: | |||||||||
(in thousands) | Employee Costs | Operating Lease | |||||||
Reserve balance as of December 31, 2013 | $ | 2,019 | $ | – | |||||
Charges | 1,327 | 1,547 | |||||||
Payments / utilizations | (1,990 | ) | (125 | ) | |||||
Reserve balance as of September 30, 2014 | $ | 1,356 | $ | 1,422 |
Stockholders_Equity_Tables
Stockholders Equity (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Stockholders Equity [Abstract] | ' | |||||||||||||||
Stock option activity | ' | |||||||||||||||
A stock option grant allows the holder of the option to purchase a share of the Company’s common stock in the future at a stated price. Options granted under the Plans vest as determined by the Company’s Compensation and Stock Option Committee and expire over varying terms, but not more than ten years from the date of grant. Stock option activity for the nine months ended September 30, 2014 is as follows: | ||||||||||||||||
Stock Option Activity under the Plans | ||||||||||||||||
Stock | Exercise Price | Weighted Average | Weighted Average Remaining | |||||||||||||
Options | per Share | Exercise | Life (Years) | |||||||||||||
Price | ||||||||||||||||
Outstanding at December 31, 2013 | 252,158 | $4.80 — $248.64 | $ | 57.9 | 7.36 | |||||||||||
Granted | 75,000 | $2.42 | 2.42 | |||||||||||||
Forfeited | (80,399 | ) | $4.80 — $248.64 | 62.11 | ||||||||||||
Expired | (22,166 | ) | $19.84 — $62.40 | 56.39 | ||||||||||||
Outstanding at September 30, 2014 | 224,593 | $4.80 — $245.12 | $ | 38.35 | 8.36 | |||||||||||
Assumptions used to determine the fair value of stock options | ' | |||||||||||||||
The estimated fair value of each option award granted during the nine month period ended September 30, 2014 and September 30, 2013 was determined on the date of grant using an option pricing model with the following assumptions: | ||||||||||||||||
Nine months ended September 30, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Dividend yield | None | None | ||||||||||||||
Expected volatility | 98.14% | 86.16% — 93.9% | ||||||||||||||
Weighted average volatility | 98.14% | 86.37% | ||||||||||||||
Risk-free interest rates | 1.61% | 0.99% — 1.79% | ||||||||||||||
Expected life (in years) | 4.5 | 6.7 | ||||||||||||||
Restricted stock activity | ' | |||||||||||||||
Restricted stock activity for the nine months ended September 30, 2014 is as follows: | ||||||||||||||||
Restricted Stock Activity | ||||||||||||||||
under the Plans | ||||||||||||||||
Restricted | Weighted Average Grant Date | |||||||||||||||
Stock | Fair Value | |||||||||||||||
Non-vested at December 31, 2013 | 20,347 | $ | 16.84 | |||||||||||||
Granted | 62,504 | 2.6 | ||||||||||||||
Vested | (17,755 | ) | 49.68 | |||||||||||||
Forfeited | (581 | ) | 14.06 | |||||||||||||
Non-vested at September 30, 2014 | 64,515 | $ | 3.51 |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Fair Value Measurements [Abstract] | ' | ||||||||||||||||
Schedule of fair value of the warrants | ' | ||||||||||||||||
The fair value of the warrants at September 30, 2014 was determined by using an option pricing model with the following assumptions: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Warrants | Warrants | ||||||||||||||||
Expected volatility | 90.32% | 77.31% | |||||||||||||||
Risk-free interest rates | 1.43% | 0.08% | |||||||||||||||
Expected life (in years) | 4.08 | 0.67 | |||||||||||||||
Assets and liabilities measured at fair value on a recurring basis | ' | ||||||||||||||||
The table below presents the Company’s assets and liabilities measured at fair value on a recurring basis as of September 30, 2014, aggregated by the level in the fair value hierarchy within which those measurements fall. | |||||||||||||||||
Assets and Liabilities Measured at Fair Value | |||||||||||||||||
on a Recurring Basis | |||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Balance at | |||||||||||||
30-Sep-14 | |||||||||||||||||
Assets | |||||||||||||||||
Money market funds | $ | 1,945 | $ | — | $ | — | $ | 1,945 | |||||||||
Liabilities | |||||||||||||||||
Warrant liability | $ | — | $ | — | $ | 555 | $ | 555 | |||||||||
Fair value measurements using significant unobservable inputs | ' | ||||||||||||||||
The table below presents the activity within Level 3 of the fair value hierarchy for the nine months ended September 30, 2014: | |||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | |||||||||||||||||
(in thousands) | Warrant Liability | ||||||||||||||||
Beginning balance as of December 31, 2013 | $ | 2,310 | |||||||||||||||
Total change in the fair value of the liability included in earnings, including warrant expirations | (1,612 | ) | |||||||||||||||
Fair value of warrants exercised | (143 | ) | |||||||||||||||
Ending balance as of September 30, 2014 | $ | 555 |
Net_Loss_per_Common_Share_Tabl
Net Loss per Common Share (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Net Loss per Common Share [Abstract] | ' | ||||||||
Anti-dilutive securities excluded from the computation of earnings per share | ' | ||||||||
The following potentially dilutive securities were excluded from the computation of earnings per share as of September 30, 2014 and 2013 because their effects would be anti-dilutive: | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
Stock options | 227,718 | 294,446 | |||||||
Unvested restricted shares | 64,515 | 21,243 | |||||||
Warrants | 850,138 | 339,994 | |||||||
Total | 1,142,371 | 655,683 |
General_Details
General (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
General [Abstract] | ' | ' | ' | ' | ' |
Stockholders' Equity, Reverse Stock Split | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) |
Inventories_Details
Inventories (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventories [Abstract] | ' | ' |
Raw materials | $172 | $249 |
Work-in-process | 252 | 364 |
Finished goods | 94 | 106 |
Total inventory | $518 | $719 |
Prepaid_Expenses_and_Other_Cur2
Prepaid Expenses and Other Current Assets (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Prepaid expenses and other current assets [Abstract] | ' | ' | ||
Kits for clinical use | $227 | $287 | ||
Insurance premiums | 184 | 407 | ||
Professional fees | 160 | 377 | ||
Other | 181 | [1] | 640 | [1] |
Total prepaid expenses and other current assets | $752 | $1,711 | ||
Maximum percentage of prepaid expenses and other current assets (in hundredths) | 5.00% | 5.00% | ||
[1] | Other consists of various prepaid expenses and other current assets with no individual item accounting for more than 5% of the total balance at September 30, 2014 and December 31, 2013. |
Property_Plant_and_Equipment_D
Property, Plant, and Equipment (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, gross | $6,532 | ' | $6,532 | ' | $7,004 |
Accumulated depreciation | -4,414 | ' | -4,414 | ' | -3,935 |
Property, plant and equipment, net | 2,118 | ' | 2,118 | ' | 3,069 |
Depreciation expense | 200 | 300 | 742 | 866 | ' |
Enterprise Hardware and Software [Member] | ' | ' | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, gross | 1,982 | ' | 1,982 | ' | 2,143 |
Leaseholds [Member] | ' | ' | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, gross | 1,642 | ' | 1,642 | ' | 1,749 |
Equipment [Member] | ' | ' | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, gross | 1,350 | ' | 1,350 | ' | 1,552 |
Furniture [Member] | ' | ' | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, gross | 955 | ' | 955 | ' | 957 |
Buildings and Land [Member] | ' | ' | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, gross | $603 | ' | $603 | ' | $603 |
Accrued_Expenses_Details
Accrued Expenses (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Accrued Expenses [Abstract] | ' | ' | ||
Compensation, excluding taxes | $2,781 | $1,866 | ||
Deferred rent | 71 | 485 | ||
Professional fees | 282 | 360 | ||
Short-term portion of lease restructuring | 334 | 0 | ||
Other | 958 | [1] | 1,029 | [1] |
Total accrued expenses | $4,426 | $3,740 | ||
Maximum percentage of current liabilities accrued (in hundredths) | 5.00% | 5.00% | ||
Percentage of current annual salary as cash retention bonus (in hundredths) | 50.00% | ' | ||
[1] | Other consists of various accrued expenses, with no individual item accounting for more than 5% of current liabilities at September 30, 2014 and December 31, 2013. |
Restructuring_Expenses_Details
Restructuring Expenses (Details) (USD $) | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 9 Months Ended | 12 Months Ended | 21 Months Ended | 3 Months Ended | |||
Sep. 30, 2014 | Jun. 30, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Jun. 30, 2014 | Sep. 30, 2014 | |
Operating Lease [Member] | Sub Lease 1 [Member] | Employee Costs [Member] | Facility Closing [Member] | Facility Closing [Member] | Accrued Expenses [Member] | Other non-current liabilities [Member] | Operating Expense [Member] | Operating Expense [Member] | Operating Expense [Member] | Selling, General and Administrative Expenses [Member] | Selling, General and Administrative Expenses [Member] | |
Sub Lease 1 [Member] | Sub Lease 2 [Member] | Employee | Employee | Employee | Contract Termination [Member] | Contract Termination [Member] | ||||||
Sub Lease 1 [Member] | Sub Lease 2 [Member] | |||||||||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of positions eliminated | ' | ' | ' | ' | ' | ' | ' | 8 | 50 | 58 | ' | ' |
Severance costs | ' | ' | ' | ' | ' | ' | ' | ' | $5,300,000 | ' | ' | ' |
Outstanding lease term | ' | ' | ' | '81 months | '78 months | ' | ' | ' | ' | ' | ' | ' |
Contractual Obligation | ' | ' | ' | 3,600,000 | 3,400,000 | ' | ' | ' | ' | ' | ' | ' |
Sub-lease revenue | ' | ' | ' | 2,600,000 | 2,600,000 | ' | ' | ' | ' | ' | ' | ' |
Net future cash outflow sub lease rental receipts | ' | ' | ' | 1,000,000 | 800,000 | ' | ' | ' | ' | ' | ' | ' |
Restructuring reserve charges | 1,547,000 | ' | 1,327,000 | 900,000 | 700,000 | ' | ' | ' | ' | ' | ' | ' |
Contract termination costs related to sub-lease | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150,000 | 150,000 |
Leasehold improvements written off | ' | 50,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring reserve balance | 0 | ' | 2,019,000 | ' | ' | 300,000 | 1,100,000 | ' | ' | ' | ' | ' |
Charges | 1,547,000 | ' | 1,327,000 | 900,000 | 700,000 | ' | ' | ' | ' | ' | ' | ' |
Restructuring expenses paid | -125,000 | ' | -1,990,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring reserve balance | $1,422,000 | ' | $1,356,000 | ' | ' | $300,000 | $1,100,000 | ' | ' | ' | ' | ' |
Stockholders_Equity_Details
Stockholders Equity (Details) (USD $) | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 0 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | 1 Months Ended | 6 Months Ended | 1 Months Ended | 9 Months Ended | 3 Months Ended | 12 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||||
Oct. 31, 2013 | 31-May-12 | Jun. 30, 2009 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Nov. 04, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | 31-May-12 | Sep. 30, 2014 | Jun. 30, 2009 | Jun. 30, 2014 | Oct. 31, 2013 | Sep. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Mar. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | |
Subsequent Event [Member] | 2004 Stock Incentive Plan [Member] | 2009 Stock Incentive Plan [Member] | Stock Options [Member] | Stock Options [Member] | Stock Options [Member] | Stock Options [Member] | Restricted Stock [Member] | Restricted Stock [Member] | Restricted Stock [Member] | Restricted Stock [Member] | 2012 Warrants [Member] | 2012 Warrants [Member] | 2009 Warrants [Member] | 2009 Warrants [Member] | 2013 Warrants [Member] | 2013 Warrants [Member] | Sales Agreement March 2013 [Member] | Sales Agreement March 2013 [Member] | Sales Agreement March 2013 [Member] | CEFF [Member] | Sales Agreement December 2011 [Member] | Sales Agreement December 2011 [Member] | Sales Agreement December 2011 [Member] | |||||||||
Cowen and Company, LLC [Member] | Cowen and Company, LLC [Member] | Cowen and Company, LLC [Member] | Terrapin Opportunity, L.P. [Member] | Cowen and Company, LLC [Member] | Cowen and Company, LLC [Member] | Cowen and Company, LLC [Member] | ||||||||||||||||||||||||||
Stock Issuances [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reverse stock split ratio | ' | ' | ' | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | 'one-for- sixteen (1:16) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock, shares authorized (in shares) | ' | ' | ' | 170,000,000 | ' | 170,000,000 | ' | 170,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock, par value (in dollars per share) | ' | ' | ' | $0.01 | ' | $0.01 | ' | $0.01 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock, par value under sales agreement (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.01 | ' | ' | ' | $0.01 |
Proceeds from issuance of common stock | ' | ' | ' | ' | ' | ' | ' | ' | $400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $4,400,000 | $5,000,000 | ' | $11,100,000 | ' | $20,900,000 | ' |
Proceeds of common stock issued, net of related expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,400,000 | 4,800,000 | ' | 10,800,000 | ' | 20,800,000 | ' |
Number of shares of common stock remaining for sale under the offering program | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' |
Common stock sold through the program (in shares) | 1,300,000 | 1,000,000 | 100,000 | ' | ' | ' | ' | ' | 300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000,000 | 1,000,000 | ' | 500,000 | 14,200,000 | ' | ' |
Aggregate proceeds from sale of common stock under equity offering program, maximum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50,000,000 | ' | ' | ' | 39,800,000 |
Aggregate proceeds from sale of common stock under equity offering program, remaining | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40,400,000 | ' | ' | ' | ' |
Amount to be purchased by party under agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 35,000,000 | ' | ' | ' |
Term of purchase agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '24 months | ' | ' | ' |
Amount available under committed equity financing facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 23,900,000 | ' | ' | ' |
Warrant [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants issued (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300,000 | ' | 100,000 | ' | 600,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of private placement | 7,500,000 | 21,500,000 | 3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net proceeds from issuance of private placement | 6,900,000 | 21,100,000 | 2,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated fair value allocated to warrants issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,400,000 | ' | 2,200,000 | ' | 1,900,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants exercisable per share price (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2.56 | ' | ' | ' | $7.04 | ' | ' | ' | ' | ' | ' | ' |
Number of warrants outstanding (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 260,000 | ' | ' | ' | 600,000 | ' | ' | ' | ' | ' | ' | ' |
Term period for warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | ' | '5 years | ' | '5 years | ' | ' | ' | ' | ' | ' | ' |
Warrants Exercised (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14,000 | ' | 35,000 | ' | 0 | ' | ' | ' | ' | ' | ' | ' |
Net proceeds from exercise of warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 34,000 | ' | 100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Incentive Plans [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares reserved for the issuance (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 187,500 | 406,250 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum term of options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Recognized compensation expense | ' | ' | ' | ' | ' | 321,000 | 407,000 | ' | ' | ' | ' | 100,000 | ' | 300,000 | 400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Recognized compensation income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted stock compensation expense | ' | ' | ' | ' | ' | 96,000 | 179,000 | ' | ' | ' | ' | ' | ' | ' | ' | 40,000 | ' | 100,000 | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted stock income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stockholders_Equity_Stock_Ince
Stockholders Equity, Stock Incentive Plans (Details) (USD $) | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Stock Options [Member] | ' | ' | ' |
Stock Options [Roll Forward] | ' | ' | ' |
Outstanding at December 31, 2013 (in shares) | 252,158 | ' | ' |
Granted (in shares) | 75,000 | ' | ' |
Forfeited (in shares) | -80,399 | ' | ' |
Expired (in shares) | -22,166 | ' | ' |
Outstanding at September 30, 2014 (in shares) | 224,593 | ' | 252,158 |
Stock Options, Exercise Price per Share [Roll Forward] | ' | ' | ' |
Granted (in dollars per share) | $2.42 | ' | ' |
Weighted Average Exercise Price [Roll Forward] | ' | ' | ' |
Outstanding at December 31, 2013 (in dollars per share) | $57.90 | ' | ' |
Granted (in dollars per share) | $2.42 | ' | ' |
Forfeited (in dollars per share) | $62.11 | ' | ' |
Expired (in dollars per share) | $56.39 | ' | ' |
Outstanding at September 30, 2014 (in dollars per share) | $38.35 | ' | $57.90 |
Weighted Average Remaining Life [Abstract] | ' | ' | ' |
Weighted Average Remaining Life | '8 years 4 months 10 days | ' | '7 years 4 months 10 days |
Assumptions used to determine the fair value of stock options [Abstract] | ' | ' | ' |
Dividend yield (in hundredths) | 0.00% | 0.00% | ' |
Expected volatility (in hundredths) | 98.14% | ' | ' |
Weighted average volatility (in hundredths) | 98.14% | 86.37% | ' |
Risk-free interest rates (in hundredths) | 1.61% | ' | ' |
Expected life | '4 years 6 months | '6 years 8 months 12 days | ' |
Stock Options [Member] | Minimum [Member] | ' | ' | ' |
Stock Options, Exercise Price per Share [Roll Forward] | ' | ' | ' |
Outstanding at December 31, 2013 (in dollars per share) | $4.80 | ' | ' |
Forfeited (in dollars per share) | $4.80 | ' | ' |
Expired (in dollars per share) | $19.84 | ' | ' |
Outstanding at September 30, 2014 (in dollars per share) | $4.80 | ' | ' |
Assumptions used to determine the fair value of stock options [Abstract] | ' | ' | ' |
Expected volatility (in hundredths) | ' | 86.16% | ' |
Risk-free interest rates (in hundredths) | ' | 0.99% | ' |
Stock Options [Member] | Maximum [Member] | ' | ' | ' |
Stock Options, Exercise Price per Share [Roll Forward] | ' | ' | ' |
Outstanding at December 31, 2013 (in dollars per share) | $248.64 | ' | ' |
Forfeited (in dollars per share) | $248.64 | ' | ' |
Expired (in dollars per share) | $62.40 | ' | ' |
Outstanding at September 30, 2014 (in dollars per share) | $245.12 | ' | ' |
Assumptions used to determine the fair value of stock options [Abstract] | ' | ' | ' |
Expected volatility (in hundredths) | ' | 93.91% | ' |
Risk-free interest rates (in hundredths) | ' | 1.79% | ' |
Restricted Stock [Member] | ' | ' | ' |
Restricted Stock [Roll Forward] | ' | ' | ' |
Outstanding at December 31, 2013 (in shares) | 20,347 | ' | ' |
Granted (in shares) | 62,504 | ' | ' |
Vested (in shares) | -17,755 | ' | ' |
Forfeited (in shares) | -581 | ' | ' |
Outstanding at September 30, 2014 (in shares) | 64,515 | ' | ' |
Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' | ' |
Outstanding at December 31, 2013 (in dollars per share) | $16.84 | ' | ' |
Granted (in dollars per share) | $2.60 | ' | ' |
Vested (in dollars per share) | $49.68 | ' | ' |
Forfeited (in dollars per share) | $14.06 | ' | ' |
Outstanding at September 30, 2014 (in dollars per share) | $3.51 | ' | ' |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2014 | Sep. 30, 2014 | |
Input | ||
Derivative warrant liability [Abstract] | ' | ' |
Number of inputs used for valuation of warrants | ' | 6 |
Pre Tax Derivative Instrument Income | $500,000 | $1,600,000 |
Hypothetical change in market price of common shares (in hundredths) | ' | 10.00% |
Impact of the hypothetical change in market price of common shares on derivative liability | ' | 100,000 |
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) [Roll Forward] | ' | ' |
Beginning balance as of December 31, 2013 | ' | 2,310,000 |
Total change in the fair value of the liability included in earnings, including warrant expirations | ' | -1,612,000 |
Fair value of warrants exercised | ' | -143,000 |
Ending balance as of September 30, 2014 | 555,000 | 555,000 |
Recurring [Member] | Warrant liability [Member] | ' | ' |
Liabilities [Abstract] | ' | ' |
Total Liabilities | 555,000 | 555,000 |
Recurring [Member] | Warrant liability [Member] | Level 1 [Member] | ' | ' |
Liabilities [Abstract] | ' | ' |
Total Liabilities | 0 | 0 |
Recurring [Member] | Warrant liability [Member] | Level 2 [Member] | ' | ' |
Liabilities [Abstract] | ' | ' |
Total Liabilities | 0 | 0 |
Recurring [Member] | Warrant liability [Member] | Level 3 [Member] | ' | ' |
Liabilities [Abstract] | ' | ' |
Total Liabilities | 555,000 | 555,000 |
Recurring [Member] | Money market funds [Member] | ' | ' |
Assets [Abstract] | ' | ' |
Total Assets | 1,945,000 | 1,945,000 |
Recurring [Member] | Money market funds [Member] | Level 1 [Member] | ' | ' |
Assets [Abstract] | ' | ' |
Total Assets | 1,945,000 | 1,945,000 |
Recurring [Member] | Money market funds [Member] | Level 2 [Member] | ' | ' |
Assets [Abstract] | ' | ' |
Total Assets | 0 | 0 |
Recurring [Member] | Money market funds [Member] | Level 3 [Member] | ' | ' |
Assets [Abstract] | ' | ' |
Total Assets | $0 | $0 |
2012 Warrants [Member] | ' | ' |
Derivative warrant liability [Abstract] | ' | ' |
Expected volatility (in hundredths) | ' | 77.31% |
Risk-free interest rates (in hundredths) | ' | 0.08% |
Expected life (in years) | ' | '0 years 8 months 1 day |
2013 Warrants [Member] | ' | ' |
Derivative warrant liability [Abstract] | ' | ' |
Expected volatility (in hundredths) | ' | 90.32% |
Risk-free interest rates (in hundredths) | ' | 1.43% |
Expected life (in years) | ' | '4 years 0 months 29 days |
Net_Loss_per_Common_Share_Deta
Net Loss per Common Share (Details) | 9 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2013 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Antidilutive securities excluded from computation of earnings per share (in shares) | 1,142,371 | 655,683 |
Stock Options [Member] | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Antidilutive securities excluded from computation of earnings per share (in shares) | 227,718 | 294,446 |
Unvested Restricted Stock [Member] | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Antidilutive securities excluded from computation of earnings per share (in shares) | 64,515 | 21,243 |
Warrants [Member] | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Antidilutive securities excluded from computation of earnings per share (in shares) | 850,138 | 339,994 |
Subsequent_Events_Details
Subsequent Events (Details) (USD $) | 1 Months Ended | 0 Months Ended | ||
In Millions, unless otherwise specified | Oct. 31, 2013 | 31-May-12 | Jun. 30, 2009 | Nov. 04, 2014 |
Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ' | ' | ' | ' |
Common stock sold through the equity offering program (in shares) | 1.3 | 1 | 0.1 | 0.3 |
Net proceeds from sale of common stock under equity offering program | ' | ' | ' | $0.40 |
Remaining amount available in equity offering program | ' | ' | ' | $40 |