AIM ImmunoTech (AIM) 10-Q 15 Aug 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Aug. 01, 2016
Document And Entity Information
Entity Registrant Name	HEMISPHERX BIOPHARMA INC
Entity Central Index Key	946,644
Document Type	10-Q
Trading Symbol	HEB
Document Period End Date	Jun. 30, 2016
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity a Well-known Seasoned Issuer	No
Entity a Voluntary Filer	No
Entity's Reporting Status Current	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		248,932,220
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2,016

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 1,538	$ 2,115
Escrow account for litigation settlement	1,750
Marketable securities	4,974	6,795
Inventory-work in process	1,326	1,326
Assets held for sale	764
Prepaid expenses and other current assets	378	335
Total current assets	10,730	10,571
Property and equipment, net	10,057	11,237
Patent and trademark rights, net	899	862
Other assets	232	134
Total assets	21,918	22,804
Current liabilities:
Accounts payable	1,391	1,213
Accrued expenses	3,038	1,219
Current portion of capital lease		1
Total current liabilities	4,429	2,433
Commitments and contingencies (Note 6)
Stockholders' equity:
Preferred stock, par value $0.01 per share, authorized 5,000,000; issued and outstanding; none
Common stock, par value $0.001 per share, authorized 350,000,000 shares; issued and outstanding 248,829,720 and 247,559,487, respectively	249	247
Additional paid-in capital	313,619	313,220
Accumulated other comprehensive income (loss)	87	(97)
Accumulated deficit	(296,466)	(292,999)
Total stockholders' equity	17,489	20,371
Total liabilities and stockholders' equity	$ 21,918	$ 22,804

Consolidated Balance Sheets (U3

Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2016	Dec. 31, 2015
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, authorized	5,000,000	5,000,000
Preferred stock, issued	0	0
Preferred stock, outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized	350,000,000	350,000,000
Common stock, issued	248,829,720	247,559,487
Common stock, outstanding	248,829,720	247,559,487

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Revenues:
Clinical treatment programs	$ 15	$ 47	$ 54	$ 83
Total revenues	15	47	54	83
Costs and expenses:
Production costs	290	507	558	879
Research and development	900	2,439	1,902	5,113
General and administrative	1,639	2,002	4,087	3,915
Total costs and expenses	2,829	4,948	6,547	9,907
Operating loss	(2,814)	(4,901)	(6,493)	(9,824)
Interest expense				(2)
Interest and other income/expense	55	56	116	162
Insurance proceeds from legal settlement, net	1,436		1,436
Gain (Loss) on sales of short term marketable securities	20		(87)
Gain from sale of income tax net operating losses			1,561	1,374
Net loss	(1,303)	(4,845)	(3,467)	(8,290)
Other comprehensive income (loss):
Reclassification adjustments for loss on sales of short term marketable securities included in net loss			87
Unrealized gain (loss) on marketable securities	38	(137)	97	(26)
Net comprehensive loss	$ (1,265)	$ (4,982)	$ (3,283)	$ (8,316)
Basic and diluted loss per share (in dollars per share)	$ (0.01)	$ (0.02)	$ (0.01)	$ (0.04)
Weighted average shares outstanding, basic and diluted (in shares)	248,008,113	236,149,999	247,786,026	224,954,200

Consolidated Statement of Chang

Consolidated Statement of Changes in Stockholders' Equity (Unaudited) - 6 months ended Jun. 30, 2016 - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-In Capital [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Accumulated Deficit [Member]	Total
Balance, at beginning at Dec. 31, 2015	$ 247	$ 313,220	$ (97)	$ (292,999)	$ 20,371
Balance, at beginning (in shares) at Dec. 31, 2015	247,559,487
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity-based compensation		238			238
Shares sold at the market	$ 2	161			163
Shares sold at the market (in shares)	1,270,233
Net comprehensive loss			184	(3,467)	(3,283)
Balance, at end at Jun. 30, 2016	$ 249	$ 313,619	$ 87	$ (296,466)	$ 17,489
Balance, at end (in shares) at Jun. 30, 2016	248,829,720

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Cash flows from operating activities:
Net loss	$ (3,467)	$ (8,290)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation of property and equipment	576	458
Amortization and abandonment of patent and trademark rights	70	79
Equity-based compensation	238	111
Realized loss on sale of marketable securities	87
Change in assets and liabilities:
Escrow account for litigation settlement	(1,750)
Inventories		(1,009)
Prepaid expenses and other current assets	(43)	61
Accounts payable	178	189
Accrued expenses	1,819	(836)
Net cash used in operating activities	(2,292)	(9,237)
Cash flows from investing activities:
Purchase of property, equipment and construction in progress	(160)	(240)
Additions to patent, trademark and licensing rights	(207)	(169)
Deposits on capital leases refunded	2
Sales and maturities of short-term and long-term marketable securities	1,918	54
Net cash provided by (used in) investing activities	1,553	(355)
Cash flows from financing activities:
Payments on capital leases	(1)	(15)
Proceeds from sale of stock, net of issuance costs	163	9,293
Net cash provided by financing activities	162	9,278
Net decrease in cash and cash equivalents	(577)	(314)
Cash and cash equivalents at beginning of period	2,115	2,156
Cash and cash equivalents at end of period	1,538	1,842
Supplemental disclosures of non-cash investing and financing cash flow information:
Issuance of common stock for accounts payable		672
Unrealized (loss) gain on marketable securities	184	(26)
Supplemental disclosure of cash flow information:
Cash paid for interest expense		(2)
Insurance proceeds from legal settlement	$ 3,536

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Note 1: Basis of Presentation The consolidated financial statements include the financial statements of Hemispherx Biopharma, Inc. and its wholly-owned subsidiaries (“Company”). The Company has three domestic subsidiaries: BioPro Corp., BioAegean Corp. and Core Biotech Corp., all of which are incorporated in Delaware and are dormant. The Company also has a foreign subsidiary, Hemispherx Biopharma Europe N.V./S.A., which was established in Belgium in 1998. All significant intercompany balances and transactions have been eliminated in consolidation. In the opinion of Management, all adjustments necessary for a fair presentation of such consolidated financial statements have been included. Such adjustments consist of normal recurring items. Interim results are not necessarily indicative of results for a full year. The interim consolidated financial statements and notes thereto are presented as permitted by the Securities and Exchange Commission (“SEC”), and do not contain certain information which will be included in the Company’s annual consolidated financial statements and notes thereto. These consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements for the years ended December 31, 2015 and 2014, contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015.

Net Loss Per Share

Net Loss Per Share	6 Months Ended
	Jun. 30, 2016
Earnings Per Share [Abstract]
Net Loss Per Share	Note 2: Net Loss Per Share Basic and diluted net loss per share is computed using the weighted average number of shares of common stock outstanding during the period. Equivalent common shares, consisting of stock options and warrants which amounted to 18,814,995 and 17,228,280 shares for the six months ended June 30, 2016 and 2015, respectively, are excluded from the calculation of diluted net loss per share since their effect is anti-dilutive.

Equity-Based Compensation

Equity-Based Compensation	6 Months Ended
	Jun. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Equity-Based Compensation	Note 3: Equity-Based Compensation The fair value of each option and equity warrant award is estimated on the date of grant using a Black-Scholes-Merton option pricing valuation model. Expected volatility is based on the historical volatility of the price of the Company’s stock. The risk-free interest rate is based on U.S. Treasury issues with a term equal to the expected life of the option and equity warrant. The Company uses historical data to estimate expected dividend yield, expected life and forfeiture rates. There were 2,225,000 and 800,000 options or equity warrants granted in the six months ended June 30, 2016 and 2015, respectively. Stock option for employees' activity during the six months ended June 30, 2016 is as follows: Stock option activity for employees: Number of Weighted Weighted Aggregate Outstanding January 1, 2016 10,725,248 $ 1.58 4.02 $ — Granted 2,225,000 .13 — — Forfeited (851,650 ) .85 — — Outstanding June 30, 2016 12,098,598 $ 1.37 4.84 $ — Vested and expected to vest June 30, 2016 12,098,598 $ 1.37 4.84 $ — Exercisable June 30, 2016 9,898,598 $ 1.39 3.56 $ — Unvested stock option activity for employees: Number of Weighted Average Aggregate Outstanding January 1, 2016 333,333 $ 0.29 7.82 $ — Granted 2,225,000 .13 — — Vested (358,333 ) .24 — Forfeited — — — — Outstanding June 30, 2016 2,200,000 $ .14 9.74 $ — Stock option activity for non-employees: Number of Weighted Weighted Aggregate Outstanding January 1, 2016 3,303,000 $ 1.29 4.31 $ — Granted 550,000 .13 — — Exercised — — — — Forfeited (380,000 ) 3.73 — — Outstanding June 30, 2016 3,473,000 $ .84 5.21 $ — Vested and expected to vest June 30, 2016 3,473,000 $ .84 5.21 $ — Exercisable June 30, 2016 2,923,000 $ .97 4.31 $ — Unvested stock option activity for non-employees during the year: Number of Weighted Average Aggregate Outstanding January 1, 2016 — $ — — $ — Granted 550,000 .13 — — Vested — — — — Forfeited — — — — Outstanding June 30, 2016 550,000 $ .13 10.00 $ — The impact on the Company’s results of operations of recording equity-based compensation for the six months ended June 30, 2016 and 2015 was to increase costs and expenses by approximately $238,000 and $111,000, respectively, which had no impact on earnings per share. As of June 30, 2016 and 2015, respectively, there was $380,000 and $269,000 of unrecognized equity-based compensation cost related to options granted under the Equity Incentive Plan. On January 26, 2016, the Board, based on the recommendation of its Compensation Committee, established two programs - the 2016 Senior Executive Deferred Cash Performance Award Plan for Dr. William A. Carter and Thomas K. Equels, the Company’s two primary executive officers, and the 2016 Voluntary Incentive Stock Award Plan for Company employees and Board members other than Dr. Carter and Mr. Equels. Both Plans include a Base Pay Supplement provision. The Company maintains a record of the number of shares of stock represented by each Incentive Right issued out of the 2016 Voluntary Incentive Stock Award Plan. During the six months ended June 30, 2016, The Company granted rights to 1,477,201 incentive shares and recorded $192,000 in equity-based compensation under this Plan.

Inventories

Inventories	6 Months Ended
	Jun. 30, 2016
Inventory Disclosure [Abstract]
Inventories	Note 4: Inventories The Company uses the lower of first-in, first-out (“FIFO”) cost or market method of accounting for inventory. Inventories consist of the following: (in thousands) June 30, December 31, 2016 2015 Inventory work-in-process, January 1 $ 1,326 $ — Production (1) — 1,443 Spoilage — (117 ) Inventory work-in-process, end of period $ 1,326 $ 1,326 (1) Commercial sales of Alferon® will not resume until new batches of commercial filled and finished product are produced and released by the FDA. The Company is continuing the validation of Alferon® production and production of new Alferon® API inventory commenced in February 2015. While the facility is approved by the FDA under the Biological License Application (“BLA”) for Alferon®, this status will need to be reaffirmed by an FDA pre-approval inspection. The Company will also need the FDA’s approval to release commercial product once it has submitted satisfactory stability and quality release data.

Marketable Securities

Marketable Securities	6 Months Ended
	Jun. 30, 2016
Marketable Securities [Abstract]
Marketable Securities	Note 5: Marketable Securities Marketable securities consist of mutual funds. For the six months ended June 30, 2016 and 2015, it was determined that none of the marketable securities had other-than-temporary impairments. At June 30, 2016 and December 31, 2015, all securities were classified as available for sale investments and were measured as Level 1 instruments of the fair value measurements standard. Securities classified as available for sale consisted of: June 30, 2016 (in thousands) Securities Amortized Gross Gross Fair Value Short-Term Long Term Mutual Funds $ 4,887 $ 87 $ — $ 4,974 $ 4,974 $ — Totals $ 4,887 $ 87 $ — $ 4,974 $ 4,974 $ — December 31, 2015 (in thousands) Securities Amortized Gross Gross Fair Value Short-Term Long Term Mutual Funds $ 6,892 $ — $ (97 ) $ 6,795 $ 6,795 $ — Totals $ 6,892 $ — $ (97 ) $ 6,795 $ 6,795 $ — Unrealized losses on investments Investments with continuous unrealized losses for less than 12 months and 12 months or greater and their related fair values were as follows: June 30, 2016 As of June 30, 2016 there were no investments in a loss position. December 31, 2015 (in thousands) Less Than 12 Months 12 Months or Greater Totals Securities Total Fair Unrealized Fair Unrealized Total Total Mutual Funds 2 $ 2,834 $ (159 ) $ 2,041 $ (21 ) $ 4,875 $ (180 ) Totals 2 $ 2,834 $ (159 ) $ 2,041 $ (21 ) $ 4,875 $ (180 )

Accrued Expenses

Accrued Expenses	6 Months Ended
	Jun. 30, 2016
Payables and Accruals [Abstract]
Accrued Expenses	Note 6: Accrued Expenses Accrued expenses consist of the following: (in thousands) June 30, December 31, Compensation, including severance $ 558 $ 229 Professional fees 2,085 619 Clinical trial expenses 107 143 Other expenses 288 228 $ 3,038 $ 1,219

Property and Equipment

Property and Equipment	6 Months Ended
	Jun. 30, 2016
Property, Plant and Equipment [Abstract]
Property and Equipment	Note 7: Property and Equipment (in thousands) June 30, December 31, Land, buildings and improvements $ 10,530 $ 11,603 Furniture, fixtures, and equipment 5,630 5,490 Leasehold improvements — 85 Total property and equipment 16,160 17,178 Less: accumulated depreciation and amortization (6,103 ) (5,941 ) Property and equipment, net $ 10,057 $ 11,237 Property and equipment are recorded at cost. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the respective assets, ranging from three to thirty-nine years.

Stockholders' Equity

Stockholders' Equity	6 Months Ended
	Jun. 30, 2016
Stockholders' equity:
Stockholders' Equity	Note 8: Stockholders’ Equity The Equity Incentive Plan of 2009, effective June 24, 2009, authorizes the grant of non-qualified and incentive stock options, stock appreciation rights, restricted stock and other stock awards. A maximum of 15,000,000 shares of common stock is reserved for potential issuance pursuant to awards under the Equity Incentive Plan of 2009. In September 2015, the Company's shareholders approved the following amendments to the 2009 Plan: (1) increased the number of shares authorized to be issued under the Equity Incentive Plan from 15,000,000 to 22,000,000; (2) required a gradual vesting period of options issued under the Equity Incentive Plan over a three year period; (3) revised the definition of “change in control” to make it less “liberal” by amending the provision that a change in control occurs upon stockholder approval of a merger, consolidation or sale or disposition by the Company of all or substantially all of its assets (a “Business Combination”) to state that such a change in control occurs upon the consummation of the Business Combination; and (4) clarified that the definition of change in control has a double trigger. For a Participant to get the benefit resulting from a change in control, such Participant must have been terminated other than for cause within a two year period. Unless sooner terminated, the Equity Incentive Plan of 2009 will continue in effect for a period of 10 years from its effective date. For the six months ended June 30, 2016 and 2015, there were 2,775,000 and 800,000 options granted by the Company, respectively. On December 15, 2015, the Company entered into an Equity Distribution Agreement with Chardan Capital Markets, LLC (the “Chardan Agreement”) to create an at-the-market equity program under which it may sell shares of its common stock (the “Shares”) from time to time through Chardan Capital Markets, LLC, as sales agent (“Chardan”). Under the Chardan Agreement, Chardan will be entitled to a commission at a fixed commission rate of 3.0% of the gross sales price of Shares sold under the Chardan Agreement. Sales of the Shares, if any, under the Chardan Agreement may be made in transactions that are deemed to be “at-the-market” offerings as defined in Rule 415 under the Securities Act of 1933, as amended, including sales made by means of ordinary brokers’ transactions, including on the NYSE MKT, at market prices or as otherwise agreed with Chardan. The Company has no obligation to sell any of the Shares, and may at any time suspend offers under the Chardan Agreement or terminate the Chardan Agreement. The Shares will be issued pursuant to the Company’s previously filed and effective Registration Statement on Form S-3 (File No. 333-205228). On December 16, 2015, the Company filed a Prospectus Supplement relating to the Chardan offering with the Securities and Exchange Commission. In 2015, no shares were sold under the Chardan Agreement. For the period ended June 30, 2016, the Company sold an aggregate of 1,270,233 shares that resulted in net cash proceeds of approximately $163,000 after commissions paid to Chardan for approximately $5,000. The Company’s plans to allocate the net proceeds from the offering towards research and development, operations and general and administrative purposes related to the commercialization of Ampligen® and Alferon® related products, including, but not limited to, the following: (1) costs to maintain the Alferon N Injection® manufacturing facility and to prepare for the FDA pre-approval inspections of the Ampligen® facility, (2) manufacture of commercial product, (3) potential new preclinical and/or clinical studies in order to gain commercial approval for Ampligen® and broader approvals for Alferon® and Alferon LDO®, (4) working capital to build and maintain sufficient inventory by procuring raw materials, supplies and other items for the New Brunswick manufacturing facility, as well as to remunerate outside contractors for necessary services, such as, final filling and finishing operations in order to meet any anticipated demand from normal operations as well as through the possible pursuit of other disease areas and/or geographic regions that may present themselves, (5) pursuit of potential partnering opportunities for Ampligen®, (6) potential establishment of sales and marketing capabilities, as well as consideration towards the expansion of our manufacturing capacity, and (7) working capital for general and administrative expenses.

Cash and Cash Equivalents

Cash and Cash Equivalents	6 Months Ended
	Jun. 30, 2016
Cash and Cash Equivalents [Abstract]
Cash and Cash Equivalents	Note 9 Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. The Company has restricted $1,750,000 of these funds in an escrow account which is designated for litigation expenses pursuant to the terms of a litigation settlement agreement.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	6 Months Ended
	Jun. 30, 2016
Accounting Changes and Error Corrections [Abstract]
Recent Accounting Pronouncements	Note 10: Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2014-09 (ASU 2014-09), Revenue from Contracts with Customers In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements-Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern In January 2016, the (“FASB”) has issued Accounting Standards Update (ASU) No. 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02 - Leases, may have an impact on the Company’s financial statement presentation or disclosures. In 2016, the FASB also issued Accounting Standards Updates (“ASU”) 2016-03 through 2016-13. These updates did not have a significant impact on the financial statements.

Funds Received from Sale of Inc

Funds Received from Sale of Income Tax Net Operating Losses	6 Months Ended
	Jun. 30, 2016
Income Tax Disclosure [Abstract]
Funds Received from Sale of Income Tax Net Operating Losses	Note 11: Funds Received from Sale of Income Tax Net Operating Losses As of December 31, 2015, the Company has approximately $166,000,000 of federal net operating loss carryforwards (expiring in the years 2018 through 2035) available to offset future federal taxable income. The Company also has approximately $36,000,000 of Pennsylvania state net operating loss carryforwards (expiring in the years 2018 through 2033) and approximately $29,000,000 of New Jersey state net operating loss carryforwards (expiring in the years 2034 and 2035) available to offset future state taxable income. In January 2016, the Company effectively sold $16,000,000 of its New Jersey state net operating loss carryforward for the year 2014 for approximately $1,320,000, and also sold New Jersey research and development credits for $241,000. The utilization of certain state net operating loss carry-forwards may be subject to annual limitations. With no tax due for the foreseeable future, the Company has determined that the accounting for interest or penalties related to the payment of tax is not necessary at this time.

Assets held for sale

Assets held for sale	6 Months Ended
	Jun. 30, 2016
Receivables [Abstract]
Assets held for sale	Note 12: Assets held for sale The assets held for sale consists of the net book value of an underutilized building located adjacent to the site of the Company’s New Jersey manufacturing facility. As part of the Company’s objectives to achieve its commercial goals and increase stockholder value, the Company has initiated the sale of underutilized assets. As a result, the Company is in the process of selling this building at its current market value and has reclassified it as held for sale at its net book value of $764,000.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2016
Subsequent Events [Abstract]
Subsequent Events	Note 13: Subsequent Events The Company evaluated subsequent events through the date on which these financial statements were issued and determined that no subsequent event constituted a matter that required adjustment to the financial statements for the six months ended June 30, 2016.

Equity-Based Compensation (Tabl

Equity-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2016
Employees [Member]
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items]
Schedule of stock option activity	Stock option activity for employees: Number of Weighted Weighted Aggregate Outstanding January 1, 2016 10,725,248 $ 1.58 4.02 $ — Granted 2,225,000 .13 — — Forfeited (851,650 ) .85 — — Outstanding June 30, 2016 12,098,598 $ 1.37 4.84 $ — Vested and expected to vest June 30, 2016 12,098,598 $ 1.37 4.84 $ — Exercisable June 30, 2016 9,898,598 $ 1.39 3.56 $ —
Schedule of unvested stock option activity	Unvested stock option activity for employees: Number of Weighted Average Aggregate Outstanding January 1, 2016 333,333 $ 0.29 7.82 $ — Granted 2,225,000 .13 — — Vested (358,333 ) .24 — Forfeited — — — — Outstanding June 30, 2016 2,200,000 $ .14 9.74 $ —
Non-Employees [Member]
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items]
Schedule of stock option activity	Stock option activity for non-employees: Number of Weighted Weighted Aggregate Outstanding January 1, 2016 3,303,000 $ 1.29 4.31 $ — Granted 550,000 .13 — — Exercised — — — — Forfeited (380,000 ) 3.73 — — Outstanding June 30, 2016 3,473,000 $ .84 5.21 $ — Vested and expected to vest June 30, 2016 3,473,000 $ .84 5.21 $ — Exercisable June 30, 2016 2,923,000 $ .97 4.31 $ —
Schedule of unvested stock option activity	Unvested stock option activity for non-employees during the year: Number of Weighted Average Aggregate Outstanding January 1, 2016 — $ — — $ — Granted 550,000 .13 — — Vested — — — — Forfeited — — — — Outstanding June 30, 2016 550,000 $ .13 10.00 $ —

Inventories (Tables)

Inventories (Tables)	6 Months Ended
	Jun. 30, 2016
Inventory Disclosure [Abstract]
Schedule of inventories	Unvested stock option activity for non-employees during the year: Number of Weighted Average Aggregate Outstanding January 1, 2016 — $ — — $ — Granted 550,000 .13 — — Vested — — — — Forfeited — — — — Outstanding June 30, 2016 550,000 $ .13 10.00 $ —

Marketable Securities (Tables)

Marketable Securities (Tables)	6 Months Ended
	Jun. 30, 2016
Marketable Securities [Abstract]
Schedule of available for sale	Securities classified as available for sale consisted of: June 30, 2016 (in thousands) Securities Amortized Gross Gross Fair Value Short-Term Long Term Mutual Funds $ 4,887 $ 87 $ — $ 4,974 $ 4,974 $ — Totals $ 4,887 $ 87 $ — $ 4,974 $ 4,974 $ — December 31, 2015 (in thousands) Securities Amortized Gross Gross Fair Value Short-Term Long Term Mutual Funds $ 6,892 $ — $ (97 ) $ 6,795 $ 6,795 $ — Totals $ 6,892 $ — $ (97 ) $ 6,795 $ 6,795 $ —
Schedule of investments with continuous unrealized losses	As of June 30, 2016 there were no investments in a loss position. December 31, 2015 (in thousands) Less Than 12 Months 12 Months or Greater Totals Securities Total Fair Unrealized Fair Unrealized Total Total Mutual Funds 2 $ 2,834 $ (159 ) $ 2,041 $ (21 ) $ 4,875 $ (180 ) Totals 2 $ 2,834 $ (159 ) $ 2,041 $ (21 ) $ 4,875 $ (180 )

Accrued Expenses (Tables)

Accrued Expenses (Tables)	6 Months Ended
	Jun. 30, 2016
Payables and Accruals [Abstract]
Schedule of accrued expenses	Accrued expenses consist of the following: (in thousands) June 30, December 31, Compensation, including severance $ 558 $ 229 Professional fees 2,085 619 Clinical trial expenses 107 143 Other expenses 288 228 $ 3,038 $ 1,219

Property and Equipment (Tables)

Property and Equipment (Tables)	6 Months Ended
	Jun. 30, 2016
Property, Plant and Equipment [Abstract]
Schedule of property and equipment	(in thousands) June 30, December 31, Land, buildings and improvements $ 10,530 $ 11,603 Furniture, fixtures, and equipment 5,630 5,490 Leasehold improvements — 85 Total property and equipment 16,160 17,178 Less: accumulated depreciation and amortization (6,103 ) (5,941 ) Property and equipment, net $ 10,057 $ 11,237

Net Loss Per Share (Details Nar

Net Loss Per Share (Details Narrative) - shares	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Earnings Per Share [Abstract]
Antidilutive securities excluded from computation of net loss per share	18,814,995	17,228,280

Equity-Based Compensation (Deta

Equity-Based Compensation (Details) - USD ($)	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Granted	2,225,000	800,000
Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Outstanding, beginning of year	10,725,248
Granted	2,225,000
Forfeited	(851,650)
Outstanding, end of year	12,098,598
Vested and expected to vest	12,098,598
Exercisable at end of year	9,898,598
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward]
Outstanding, beginning of year	$ 1.58
Granted	0.13
Forfeited	0.85
Outstanding, end of year	1.37
Vested and expected to vest	1.37
Exercisable at end of year	$ 1.39
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term [Roll Forward]
Outstanding, beginning of year	4 years 7 days
Outstanding, end of year	4 years 10 months 2 days
Vested and expected to vest	4 years 10 months 2 days
Exercisable at end of year	3 years 6 months 22 days
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Aggregate Intrinsic Value [Roll Forward]
Outstanding, beginning of year
Granted
Forfeited
Outstanding, end of year
Vested and expected to vest
Exercisable at end of year

Equity-Based Compensation (De27

Equity-Based Compensation (Details 1) - USD ($)	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]
Granted	2,225,000	800,000
Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]
Outstanding, beginning of year	333,333
Granted	2,225,000
Vested	(358,333)
Forfeited
Outstanding, end of year	2,200,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Exercise Price [Roll Forward]
Outstanding, beginning of year	$ 0.29
Granted	0.13
Vested	0.24
Forfeited
Outstanding, end of year	$ 0.14
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Average Remaining Contractual Term [Roll Forward]
Outstanding, beginning of year	7 years 9 months 25 days
Outstanding, end of year	9 years 8 months 26 days
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Aggregate Intrinsic value [Roll Forward]
Outstanding, beginning of year
Granted
Vested
Forfeited
Outstanding, end of year

Equity-Based Compensation (De28

Equity-Based Compensation (Details 2) - USD ($)	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Granted	2,225,000	800,000
Non-Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Outstanding, beginning of year	3,303,000
Granted	550,000
Exercised
Forfeited	(380,000)
Outstanding, end of year	3,473,000
Vested and expected to vest	3,473,000
Exercisable at end of year	2,923,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward]
Outstanding, beginning of year	$ 1.29
Granted	0.13
Exercised
Forfeited	3.73
Outstanding, end of year	0.84
Vested and expected to vest	0.84
Exercisable at end of year	$ 0.97
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term [Roll Forward]
Outstanding, beginning of year	4 years 3 months 22 days
Outstanding, end of year	5 years 2 months 16 days
Vested and expected to vest	5 years 2 months 16 days
Exercisable at end of year	4 years 3 months 22 days
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Aggregate Intrinsic Value [Roll Forward]
Outstanding, beginning of year
Granted
Exercised
Forfeited
Outstanding, end of year
Vested and expected to vest
Exercisable at end of year

Equity-Based Compensation (De29

Equity-Based Compensation (Details 3) - USD ($)	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]
Granted	2,225,000	800,000
Non-Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]
Outstanding, beginning of year
Granted	550,000
Vested
Forfeited
Outstanding, end of year	550,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Exercise Price [Roll Forward]
Outstanding, beginning of year
Granted	0.13
Vested
Forfeited
Outstanding, end of year	$ 0.13
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Average Remaining Contractual Term [Roll Forward]
Outstanding, end of year	10 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Aggregate Intrinsic value [Roll Forward]
Outstanding, beginning of year
Granted
Vested
Forfeited
Outstanding, end of year

Equity-Based Compensation (De30

Equity-Based Compensation (Details Narrative) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items]
Stock-based compensation expense	$ 238,000	$ 111,000
Unrecognized stock-based compensation	$ 380,000	$ 269,000
Number of incentive shares granted	2,225,000	800,000
2016 Voluntary Incentive Stock Award Plan [Member]
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items]
Stock-based compensation expense	$ 192,000
Number of incentive shares granted	1,477,201

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands		6 Months Ended	12 Months Ended
		Jun. 30, 2016	Dec. 31, 2015
Inventory Disclosure [Abstract]
Inventory work-in-process, beginning		$ 1,326
Production	[1]		1,443
Spoilage			(117)
Inventory work-in-process, ending		$ 1,326	$ 1,326
[1]	Commercial sales of Alferon will not resume until new batches of commercial filled and finished product are produced and released by the FDA. The Company is continuing the validation of Alferon production and production of new Alferon API inventory commenced in February 2015. While the facility is approved by the FDA under the Biological License Application ("BLA") for Alferon, this status will need to be reaffirmed by an FDA pre-approval inspection. The Company will also need the FDA's approval to release commercial product once it has submitted satisfactory stability and quality release data.

Marketable Securities (Details)

Marketable Securities (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Schedule of Trading Securities and Other Trading Assets [Line Items]
Amortized Cost	$ 4,887	$ 6,892
Gross Unrealized Gains	87
Gross Unrealized Losses		(97)
Fair Value	4,974	6,795
Short-Term Investments	4,974	6,795
Long Term Investments
Mutual Funds [Member]
Schedule of Trading Securities and Other Trading Assets [Line Items]
Amortized Cost	4,887	6,892
Gross Unrealized Gains	87
Gross Unrealized Losses		(97)
Fair Value	4,974	6,795
Short-Term Investments	4,974	6,795
Long Term Investments

Marketable Securities (Details

Marketable Securities (Details 1) $ in Thousands	Dec. 31, 2015USD ($)Number
Schedule of Trading Securities and Other Trading Assets [Line Items]
Total number in loss position | Number	2
Fair Value [Abstract]
Less Than 12 Months	$ 2,834
12 Months or Greater	2,041
Unrealized Losses [Abstract]
Less Than 12 Months	(159)
12 Months or Greater	(21)
Totals [Abstract]
Total Fair Values	4,875
Total Unrealized Losses	$ (180)
Mutual Funds [Member]
Schedule of Trading Securities and Other Trading Assets [Line Items]
Total number in loss position | Number	2
Fair Value [Abstract]
Less Than 12 Months	$ 2,834
12 Months or Greater	2,041
Unrealized Losses [Abstract]
Less Than 12 Months	(159)
12 Months or Greater	(21)
Totals [Abstract]
Total Fair Values	4,875
Total Unrealized Losses	$ (180)

Accrued Expenses (Details)

Accrued Expenses (Details) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Payables and Accruals [Abstract]
Compensation, including severance	$ 558	$ 229
Professional fees	2,085	619
Clinical trial expenses	107	143
Other expenses	288	228
Accrued expenses	$ 3,038	$ 1,219

Property and Equipment (Details

Property and Equipment (Details) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Property, Plant and Equipment [Line Items]
Total property and equipment	$ 16,160	$ 17,178
Less: accumulated depreciation and amortization	(6,103)	(5,941)
Property and equipment, net	10,057	11,237
Land, Buildings And Improvements [Member]
Property, Plant and Equipment [Line Items]
Total property and equipment	10,530	11,603
Furniture, Fixtures And Equipment [Member]
Property, Plant and Equipment [Line Items]
Total property and equipment	5,630	5,490
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Total property and equipment		$ 85

Property and Equipment (Detai36

Property and Equipment (Details Narrative)	6 Months Ended
	Jun. 30, 2016
Minimum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	3 years
Maximum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	39 years

Stockholders' Equity (Details N

Stockholders' Equity (Details Narrative) - USD ($) $ in Thousands	1 Months Ended	6 Months Ended
	Sep. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 15, 2015	Jun. 24, 2009
Proceeds from sale of common stock, net of issuance costs		$ 163	$ 9,293
Number of shares granted		2,225,000	800,000
Equity Distribution Agreement (EDA) [Member] | Chardan Capital Markets, LLC [Member]
Percentage of fixed commissions aggregate gross proceeds				3.00%
Maximum number of shares issued upon transaction		1,270,233
Proceeds from sale of common stock, net of issuance costs		$ 163
Payments for commissions		$ 5
2009 Equity Incentive Plans [Member]
Number of authorized shares under plan	22,000,000				15,000,000
Expiration period	10 years
Vesting period	3 years
Termination period for few participant	2 years

Cash and Cash Equivalents (Deta

Cash and Cash Equivalents (Details Narrative) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Cash and Cash Equivalents [Abstract]
Escrow account for litigation settlement	$ 1,750

Funds Received from Sale of I39

Funds Received from Sale of Income Tax Net Operating Losses (Details Narrative) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Jan. 31, 2016	Dec. 31, 2014
Income Tax Contingency [Line Items]
Net operating loss carryforwards	$ 166,000
Description of operating loss carryforwards	Expiring in the years 2018 through 2035.
Pennsylvania Division of Tax [Member]
Income Tax Contingency [Line Items]
Net operating loss carryforwards	$ 36,000
Description of operating loss carryforwards	Expiring in the years 2018 through 2033.
New Jersey Division of Taxation [Member]
Income Tax Contingency [Line Items]
Net operating loss carryforwards	$ 29,000	$ 1,320	$ 16,000
Research and development credits	$ 241
Description of operating loss carryforwards	Expiring in the years 2034 and 2035.

Assets held for sale (Details N

Assets held for sale (Details Narrative) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Receivables [Abstract]
Assets held for sale	$ 764