SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2013 |
Accounting Policies [Abstract] | ' |
Segment Reporting, Policy [Policy Text Block] | ' |
SEGMENT INFORMATION |
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The Company currently operates in one business segment, which is the development of targeted therapeutics primarily for the treatment of cancer. The Company is managed and operated as one business. EntreMed’s senior management team reports to the Board of Directors and is responsible for aligning the Company’s business strategy with its core scientific strengths, while maintaining prudent resource management, fiscal responsibility and accountability. The Company employs a drug development strategy in the United States and China to develop targeted therapeutics for the global market and its current lead drug candidate is ENMD-2076, an Aurora A and angiogenic kinase inhibitor for the treatment of cancer. |
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The Company does not operate separate lines of business with respect to its product candidates. Accordingly, the Company does not have separately reportable segments as defined by authoritative guidance issued by the Financial Accounting Standards Board (FASB). |
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Research and Development Expense, Policy [Policy Text Block] | ' |
RESEARCH AND DEVELOPMENT |
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Research and development expenses consist primarily of compensation and other expenses related to research and development personnel, research collaborations, costs associated with pre-clinical correlative testing and clinical trials of our drug candidate, including the costs of manufacturing drug substance and drug product, regulatory maintenance costs, and facilities expenses. Research and development costs are expensed as incurred, including costs incurred in filing, defending and maintaining patents. |
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Property, Plant and Equipment, Policy [Policy Text Block] | ' |
PROPERTY AND EQUIPMENT |
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Furniture and equipment and leasehold improvements are stated at cost and are depreciated over their estimated useful lives of 3 to 10 years. Depreciation and amortization is determined on a straight-line basis. Depreciation and amortization expense was $17,389 and $20,457 in 2013 and 2012, respectively. |
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Property and equipment consists of the following: |
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| | DECEMBER 31, | |
| | 2013 | | 2012 | |
Furniture and equipment | | $ | 248,732 | | $ | 235,093 | |
Leasehold improvements | | | 6,382 | | | 101,026 | |
| | | 255,114 | | | 336,119 | |
Less: accumulated depreciation and amortization | | | -176,972 | | | -283,563 | |
| | $ | 78,142 | | $ | 52,556 | |
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Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | ' |
IMPAIRMENT OF LONG-LIVED ASSETS |
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In accordance with authoritative guidance issued by FASB, the Company periodically evaluates the value reflected in its balance sheet of long-lived assets, such as equipment, when events and circumstances indicate that the carrying amount of an asset may not be recovered. Such events and circumstances include the use of the asset in current research and development projects, any potential alternative uses of the asset in other research and development projects in the short to medium term and restructuring plans entered into by the Company. No impairment charges were recorded in 2013 and 2012. |
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Cash and Cash Equivalents, Policy [Policy Text Block] | ' |
CASH AND CASH EQUIVALENTS |
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Cash and cash equivalents include cash and highly liquid investments with original maturities of less than 90 days. Substantially all of the Company's cash equivalents are held in short-term money market accounts. |
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Receivables, Policy [Policy Text Block] | ' |
ACCOUNTS RECEIVABLE |
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Accounts receivable are stated net of allowances for doubtful accounts. Allowances for doubtful accounts are determined on a specific item basis. Management reviews the credit worthiness of individual customers and past payment history to determine the allowance for doubtful accounts. There is an allowance for doubtful accounts of $12,536 at December 31, 2013 and 2012. |
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As of December 31, 2012, one customer represented 100% of the total accounts receivable. |
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Foreign Currency Transactions and Translations Policy [Policy Text Block] | ' |
FOREIGN CURRENCY TRANSLATION |
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The U.S. dollar is the functional and reporting currency of the Company. Foreign currency denominated assets and liabilities of the Company and all of its subsidiaries are translated into U.S. dollars. Accordingly, monetary assets and liabilities are translated using the exchange rates in effect at the consolidated balance sheet date and revenues and expenses at the rates of exchange prevailing when the transactions occurred. Remeasurement adjustments are included in income. |
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Deferred Charges, Policy [Policy Text Block] | ' |
DEFERRED RENT |
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The Company accounts for rent expense related to operating leases by determining total minimum rent payments on the leases over their respective periods and recognizing the rent expense on a straight-line basis. The difference between the actual amount paid and the amount recorded as rent expense in each fiscal year is recorded as an adjustment to deferred rent. Deferred rent as of December 31, 2013 and 2012 was $6,871 and $2,029, respectively, and is included in accrued liabilities in the accompanying consolidated balance sheets. |
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Debt, Policy [Policy Text Block] | ' |
DEBT ISSUANCE COST |
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Amortization expense of debt issuance costs is calculated using the interest method over the term of the debt and is recorded in interest expense for 2012 in the accompanying consolidated statements of operations. |
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Convertible Notes With Detachable Warrants And Beneficial Conversion Feature [Policy Text Block] | ' |
CONVERTIBLE NOTES WITH DETACHABLE WARRANTS AND BENEFICIAL CONVERSION FEATURE |
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The Company accounts for the issuance of detachable stock purchase warrants in accordance with Accounting Standards Codification (ASC) Topic 470, whereby the proceeds received from convertible notes are allocated between the convertible notes and the detachable warrants based on the relative fair value of the convertible notes without the warrants and the warrants. The portion of the proceeds allocated to the warrants is recognized as additional paid-in capital and a debt discount. The debt discount related to warrants is accreted into interest expense through maturity of the notes. |
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In accordance with the provisions of ASC Topic 470, the Company allocated a portion of the proceeds received in connection with the 2012 Financing to the embedded beneficial conversion feature, based on the difference between the effective conversion price of the proceeds allocated to the convertible notes and the fair value of the underlying common stock on the date the convertible notes were issued. Since the convertible notes also had detachable stock purchase warrants, the Company first allocated the proceeds to the stock purchase warrants and the convertible notes and then allocated the resulting convertible notes proceeds between the beneficial conversion feature, which was accounted for as paid-in capital, and the initial carrying amount of the convertible notes. The discount resulting from the beneficial conversion feature is recorded as a debt discount. |
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Expenses For Clinical Trials [Policy Text Block] | ' |
EXPENSES FOR CLINICAL TRIALS |
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Expenses for clinical trials are incurred from planning through patient enrollment to reporting of the data. The Company estimates expenses incurred for clinical trials that are in process based on patient enrollment and based on clinical data collection and management. Costs that are associated with patient enrollment are recognized as each patient in the clinical trial completes the enrollment process. Estimated clinical trial costs related to enrollment can vary based on numerous factors, including expected number of patients in trials, the number of patients that do not complete participation in a trial, and the length of participation for each patient. Costs that are based on clinical data collection and management are recognized in the reporting period in which services are provided. In the event of early termination of a clinical trial, the Company accrues an amount based on estimates of the remaining non-cancelable obligations associated with winding down the clinical trial. As of December 31, 2013 and 2012, clinical trial accruals were $244,192 and $222,304, respectively, and are included in accounts payable in the accompanying consolidated balance sheets. |
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Income Tax, Policy [Policy Text Block] | ' |
INCOME TAXES |
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Income tax expense is accounted for in accordance with authoritative guidance issued by FASB. Income tax expense has been provided using the liability method. Deferred tax assets and liabilities are determined based on the difference between the financial statement and tax bases of assets and liabilities as measured by the enacted tax rates that will be in effect when these differences reverse. The Company provides a valuation allowance against net deferred tax assets if, based upon the available evidence, it is not more likely than not that the deferred tax assets will be realized. |
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The Company accounts for uncertain tax positions pursuant to the guidance of FASB ASC Topic 740, Income Taxes. The Company recognizes interest and penalties related to uncertain tax positions, if any, in income tax expense. As of December 31, 2013 and 2012, the Company did not accrue any interest related to uncertain tax positions. To date, there have been no interest or penalties charged to the Company in relation to the underpayment of income taxes. |
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Revenue Recognition, Policy [Policy Text Block] | ' |
REVENUE RECOGNITION |
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Revenue is not recognized until it is realized or realizable and earned. Revenue is recognized when all of the following criteria are met: persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price to the buyer is fixed and determinable and collectibility is reasonably assured. Royalties from licenses are based on third-party sales and recorded as earned in accordance with contract terms, when third-party results are reliably measured and collectibility is reasonably assured. |
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All of the Company’s 2012 revenues were from royalties based on the sale of Thalomid®, distributed by Celgene Corporation (“Celgene”). In 2004, certain provisions of a purchase agreement dated June 14, 2001 by and between Bioventure Investments kft (“Bioventure”) and the Company were satisfied, and, as a result, in 2005 the Company became entitled to share in the royalty payments received by Royalty Pharma Finance Trust, successor to Bioventure, on annual Thalomid® sales above a certain threshold. Based on the licensing agreement royalty formula, the Company’s right to share in the annual royalty commences when net royalties received by Royalty Pharma exceeds $15,375,000. The Company did not recognize any royalty revenue in 2013, as it did not meet the threshold to earn royalties on the sale of Thalomid® in 2013. The Company does not expect to earn royalties from the sale of Thalomid® in any subsequent year. |
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Earnings Per Share, Policy [Policy Text Block] | ' |
NET LOSS PER SHARE |
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Net loss per share (basic and diluted) was computed by dividing net loss attributable to common shareholders by the weighted average number of shares of common stock outstanding. Outstanding options and warrants totaling 7,907,959 and 3,686,338 for 2013 and 2012, respectively, were anti-dilutive and, therefore, were not included in the computation of weighted average shares used in computing diluted loss per share. |
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Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | ' |
SHARE-BASED COMPENSATION |
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The Company records compensation expense associated with service, performance, market condition based stock options and other equity-based compensation in accordance with provisions of authoritative guidance. The fair value of awards whose fair values are calculated using the Black-Scholes option pricing model is generally being amortized on a straight-line basis over the requisite service period and is recognized based on the proportionate amount of the requisite service period that has been rendered during each reporting period. The fair value of awards with market conditions, which are valued using a binomial model, is being amortized based upon the derived service period. Share based awards granted to employees with a performance condition are measured based on the probable outcome of that performance condition during the requisite service period. Awards with performance conditions will be expensed if it is probable that the performance condition will be achieved. As of December 31, 2013, no expense has been recorded for share awards with performance conditions. |
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New Accounting Pronouncements, Policy [Policy Text Block] | ' |
NEW ACCOUNTING PRONOUNCEMENTS |
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EntreMed has implemented all new accounting pronouncements that are in effect and that may impact the Company’s consolidated financial statements, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its consolidated financial statements. |
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Fair Value Of Financial Instruments And Concentrations Of Risk [Policy Text Block] | ' |
FAIR VALUE OF FINANCIAL INSTRUMENTS AND CONCENTRATIONS OF RISK |
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Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company maintains its cash in bank deposit accounts, which, at times, may exceed federally insured amounts. The Company believes it is not exposed to any significant credit risk on cash and cash equivalents. The carrying amount of current assets and liabilities approximates their fair values due to their short-term maturities. |
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Use of Estimates, Policy [Policy Text Block] | ' |
USE OF ESTIMATES |
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The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Our most critical accounting estimates relate to accounting policies for clinical trial accruals and share-based arrangements. Management bases its estimates on historical experience and on various other assumptions that it believes are reasonable under the circumstances. Actual results may differ from those estimates, and such differences may be material to the consolidated financial statements. |
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