Recent Updates
Recently added Catalysts
ATNM

Audited Consolidated Financial Statements Actinium Pharmaceuticals, Inc. (A Development Stage Company) Consolidated Financial Statements As of

Wednesday, January 2, 2013 9 min read
Key Takeaway: Actinium Pharmaceuticals, Inc. (A Development Stage Company) Consolidated Financial Statements As of December 31, 2011 and 2010 and for the years ended December 31, 2011 and 2010 and for the period from June 13, 2000 (inception) to December 31, 2011 REPORT OF INDEPENDENT RE

Full Press Release Details

Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Financial Statements
As of December 31, 2011 and 2010 and
for the years ended December 31, 2011 and 2010 and
for the period from June 13, 2000 (inception) to December 31, 2011
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Board of Directors
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
We have audited the accompanying consolidated balance sheets of Actinium Pharmaceuticals, Inc. (a Development Stage Company) (the Company ) as of December 31, 2011 and 2010, and the related consolidated statements of operations, changes in stockholders equity and cash flows for the years then ended and for the period from June 13, 2000 (Inception) to December 31, 2011. These consolidated financial statements are the responsibility of the Company s management. Our responsibility is to express an opinion on these consolidated financial statements based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control over financial reporting. Accordingly, we express no such opinion. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the consolidated financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial position of Actinium Pharmaceuticals, Inc. as of December 31, 2011 and 2010 and the results of their operations and their cash flows for the years then ended and for the period from June 13, 2000 (Inception) to December 31, 2011, in conformity with accounting principles generally accepted in the United States of America.
The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 2 to the consolidated financial statements, the Company has not generated any revenue since its inception, has a history of operating losses, and has an accumulated deficit since its inception. Those conditions raise substantial doubt about the Company s ability to continue as a going concern. Management s plans in regard to those matters are also described in Note 2. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Balance Sheets
December 31, 2011 December 31, 2010
ASSETS
Current assets:
Cash $ 5,703,798 $ 196,135
R&D reimbursement receivable 237,834 279,401
Prepaid expenses and other current assets 5,384 10,151
Deferred financing costs 252,248 -
Total current assets 6,199,264 485,687
Property and equipment, net 1,233 1,866
TOTAL ASSETS $ 6,200,497 $ 487,553
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable and accrued expenses $ 644,511 $ 88,492
Convertible notes payable, net 124,363 -
Derivative liabilities 4,439,613 -
Total current liabilities 5,208,487 88,492
Commitments and contingencies
Stockholders equity:
Preferred stock-Series A, $0.01 par value; 1,000,000 shares authorized;
1,000,000 shares issued and outstanding 10,000 10,000
Preferred stock-Series B, $0.01 par value; 4,711,247 shares authorized;
4,711,247 shares issued and outstanding 47,112 47,112
Preferred stock-Series C-1, $0.01 par value; 800,000 shares authorized;
800,000 shares issued and outstanding 8,000 8,000
Preferred stock-Series C-2, $0.01 par value; 666,667 shares authorized;
666,667 shares issued and outstanding 6,667 6,667
Preferred stock-Series C-3, $0.01 par value; 502,604 shares authorized;
502,604 shares issued and outstanding 5,026 5,026
Preferred stock-Series C-4, $0.01 par value; 4,250,000 shares authorized;
4,250,000 shares issued and outstanding 42,500 42,500
Preferred stock-Series D, $0.01 par value; 3,000,000 shares authorized;
3,000,000 shares issued and outstanding 30,000 30,000
Preferred stock-Series E, $0.01 par value; 30,000,000 shares authorized;
23,697,119 shares issued and outstanding 236,971 -
Common stock, $0.01 par value, 80,000,000 shares authorized;
2,407,805 shares issued and outstanding 24,078 24,078
Additional paid in capital 47,963,914 44,163,141
Deficit accumulated during development stage (47,382,258) (43,937,463)
Total stockholders' equity 992,010 399,061
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 6,200,497 $ 487,553
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statements of Operations
For the Period
For the Year Ended from June 13,
December 31, 2000 (Inception) to
2011 2010 December 31, 2011
Revenues $ - $ - $ -
Operating expenses:
Research and development, net 323,788 93,117 22,980,034
General and administrative 2,959,246 561,970 19,998,743
Depreciation and amortization 633 72,101 3,261,881
Loss on disposition of equipment - - 550,186
Total operating expenses 3,283,667 727,188 46,790,844
Loss from operations (3,283,667) (727,188) (46,790,844)
Other (income) expense:
Interest expense 175,094 78 865,380
Gain on extinguishment of liability - (260,000) (260,000)
Gain on change in fair value of derivative liabilities (13,966) - (13,966)
Total other (income) expense 161,128 (259,922) 591,414
Net loss $ (3,444,795) $ (467,266) $ (47,382,258)
Net loss per common share - basic and diluted
$ (1.43) $ (0.19)
Weighted average number of common shares
outstanding - basic and diluted 2,407,805 2,407,805
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statement of Changes in Stockholders Equity
For the Period From June 13, 2000 (Inception) to December 31, 2011
Series A Preferred Stock Series B Preferred Stock Series C-1 Preferred Stock Series C-2 Preferred Stock
Shares Amount Shares Amount Shares Amount Shares Amount
Issuance of founder shares - $ - - $ - - $ - - $ -
Proceeds from issuance of Series A preferred 437,500 4,375 - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2000 437,500 4,375 - - - - - -
Proceeds from issuance of Series A preferred 562,500 5,625 - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2001 1,000,000 10,000 - - - - - -
Proceeds from issuance of common stock - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2002 1,000,000 10,000 - - - - - -
Proceeds from issuance of common stock - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2003 1,000,000 10,000 - - - - - -
Proceeds from issuance of common stock - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2004 1,000,000 10,000 - - - - - -
Proceeds from issuance of common stock - - - - - - - -
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2005 1,000,000 10,000 - - - - - -
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statement of Changes in Stockholders Equity
For the Period From June 13, 2000 (Inception) to December 31, 2011
(Continued)
Series A Preferred Stock Series B Preferred Stock Series C-1 Preferred Stock Series C-2 Preferred Stock
Shares Amount Shares Amount Shares Amount Shares Amount
Balances, December 31, 2005 1,000,000 $ 10,000 - $ - - $ - - $ -
Conversion of common stock to preferred stock - - - - 800,000 8,000 666,667 6,667
Proceeds from issuance of Series B preferred - - 2,511,247 25,112 - - - -
Proceeds from issuance of common stock - - - - - - - -
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2006 1,000,000 10,000 2,511,247 25,112 800,000 8,000 666,667 6,667
Proceeds from issuance of Series B preferred - - 2,200,000 22,000 - - - -
Common stock issued for services - - - - - - - -
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2007 1,000,000 10,000 4,711,247 47,112 800,000 8,000 666,667 6,667
Proceeds from issuance of Series D preferred - - - - - - - -
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2008 1,000,000 10,000 4,711,247 47,112 800,000 8,000 666,667 6,667
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2009 1,000,000 10,000 4,711,247 47,112 800,000 8,000 666,667 6,667
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2010 1,000,000 10,000 4,711,247 47,112 800,000 8,000 666,667 6,667
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statement of Changes in Stockholders Equity
For the Period From June 13, 2000 (Inception) to December 31, 2011
(Continued)
Series A Preferred Stock Series B Preferred Stock Series C-1 Preferred Stock Series C-2 Preferred Stock
Shares Amount Shares Amount Shares Amount Shares Amount
Balances, December 31, 2010 1,000,000 $ 10,000 4,711,247 $ 47,112 800,000 $ 8,000 666,667 $ 6,667
Proceeds from issuance of Series E preferred - - - - - - - -
Option expense - - - - - - - -
Warrant expense - - - - - - - -
Fair value of derivative warrants - - - - - - - -
Beneficial conversion feature discount - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2011 1,000,000 $ 10,000 4,711,247 $ 47,112 800,000 $ 8,000 666,667 $ 6,667
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statement of Changes in Stockholders Equity
For the Period From June 13, 2000 (Inception) to December 31, 2011
(Continued)
Series C-3 Preferred Stock Series C-4 Preferred Stock Series D Preferred Stock Series E Preferred Stock
Shares Amount Shares Amount Shares Amount Shares Amount
Issuance of founder shares - $ - - $ - - $ - - $ -
Proceeds from issuance of Series A preferred - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2000 - - - - - - - -
Proceeds from issuance of Series A preferred - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2001 - - - - - - - -
Proceeds from issuance of common stock - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2002 - - - - - - - -
Proceeds from issuance of common stock - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2003 - - - - - - - -
Proceeds from issuance of common stock - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2004 - - - - - - - -
Proceeds from issuance of common stock - - - - - - - -
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2005 - - - - - - - -
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statement of Changes in Stockholders Equity
For the Period From June 13, 2000 (Inception) to December 31, 2011
(Continued)
Series C-3 Preferred Stock Series C-4 Preferred Stock Series D referred Stock Series E Preferred Stock
Shares Amount Shares Amount Shares Amount Shares Amount
Balances, December 31, 2005 - $ - - $ - - $ - - $ -
Conversion of common stock to preferred stock 502,604 5,026 4,250,000 42,500 - - - -
Proceeds from issuance of Series B preferred - - - - - - - -
Proceeds from issuance of common stock - - - - - - - -
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2006 502,604 5,026 4,250,000 42,500 - - - -
Proceeds from issuance of Series B preferred - - - - - - - -
Common stock issued for services - - - - - - - -
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2007 502,604 5,026 4,250,000 42,500 - - - -
Proceeds from issuance of Series D preferred - - - - 3,000,000 30,000 - -
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2008 502,604 5,026 4,250,000 42,500 3,000,000 30,000 - -
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2009 502,604 5,026 4,250,000 42,500 3,000,000 30,000 - -
Option expense - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2010 502,604 5,026 4,250,000 42,500 3,000,000 30,000 - -
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statement of Changes in Stockholders Equity
For the Period From June 13, 2000 (Inception) to December 31, 2011
(Continued)
Series C-3 Preferred Stock Series C-4 Preferred Stock Series D Preferred Stock Series E Preferred Stock
Shares Amount Shares Amount Shares Amount Shares Amount
Balances, December 31, 2010 502,604 $ 5,026 4,250,000 $ 42,500 3,000,000 $ 30,000 - $ -
Proceeds from issuance of Series E preferred - - - - - - 23,697,119 236,971
Option expense - - - - - - - -
Warrant expense - - - - - - - -
Fair value of derivative warrants - - - - - - - -
Beneficial conversion feature discount - - - - - - - -
Net loss - - - - - - - -
Balances, December 31, 2011 502,604 $ 5,026 4,250,000 $ 42,500 3,000,000 $ 30,000 23,697,119 $ 236,971
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statement of Changes in Stockholders Equity
For the Period From June 13, 2000 (Inception) to December 31, 2011
(Continued) Deficit
Accumulated
Additional During Total
Common Stock Paid-in Development Stockholders'
Shares Amount Capital Stage Equity (Deficit)
Issuance of founder shares 3,000,000 $ 30,000 $ - $ - $ 30,000
Proceeds from issuance of Series A preferred - - 1,745,625 - 1,750,000
Net loss - - - (672,286) (672,286)
Balances, December 31, 2000 3,000,000 30,000 1,745,625 (672,286) 1,107,714
Proceeds from issuance of Series A preferred - - 2,244,375 - 2,250,000
Net loss - - - (5,090,621) (5,090,621)
Balances, December 31, 2001 3,000,000 30,000 3,990,000 (5,762,907) (1,732,907)
Proceeds from issuance of common stock 541,667 5,417 3,244,583 - 3,250,000
Net loss - - - (3,192,384) (3,192,384)
Balances, December 31, 2002 3,541,667 35,417 7,234,583 (8,955,291) (1,675,291)
Proceeds from issuance of common stock 627,604 6,276 6,774,974 - 6,781,250
Net loss - - - (3,532,044) (3,532,044)
Balances, December 31, 2003 4,169,271 41,693 14,009,557 (12,487,335) 1,573,915
Proceeds from issuance of common stock 2,300,000 23,000 4,577,000 - 4,600,000
Net loss - - - (5,734,791) (5,734,791)
Balances, December 31, 2004 6,469,271 64,693 18,586,557 (18,222,126) 439,124
Proceeds from issuance of common stock 1,950,000 19,500 3,880,500 - 3,900,000
Option expense - - 315,388 - 315,388
Net loss - - - (4,580,237) (4,580,237)
Balances, December 31, 2005 8,419,271 84,193 22,782,445 (22,802,363) 74,275
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statement of Changes in Stockholders Equity
For the Period From June 13, 2000 (Inception) to December 31, 2011
(Continued) Deficit
Accumulated
Additional During Total
Common Stock Paid-in Development Stockholders'
Shares Amount Capital Stage Equity (Deficit)
Balances, December 31, 2005 8,419,271 $ 84,193 $ 22,782,445 $ (22,802,363) $ 74,275
Conversion of common stock to preferred stock (6,219,271) (62,193) - - -
Proceeds from issuance of Series B preferred - - 7,508,629 - 7,533,741
Proceeds from issuance of common stock 8,400 84 16,716 - 16,800
Option expense - - 252,308 - 252,308
Net loss - - - (6,053,362) (6,053,362)
Balances, December 31, 2006 2,208,400 22,084 30,560,098 (28,855,725) 1,823,762
Proceeds from issuance of Series B preferred - - 6,578,000 - 6,600,000
Common stock issued for services 199,405 1,994 396,816 - 398,810
Option expense - - 255,061 - 255,061
Net loss - - - (5,617,581) (5,617,581)
Balances, December 31, 2007 2,407,805 24,078 37,789,975 (34,473,306) 3,460,052
Proceeds from issuance of Series D preferred - - 5,970,000 - 6,000,000
Option expense - - 269,618 - 269,618
Net loss - - - (5,570,905) (5,570,905)
Balances, December 31, 2008 2,407,805 24,078 44,029,593 (40,044,211) 4,158,765
Option expense - - 112,382 - 112,382
Net loss - - - (3,425,986) (3,425,986)
Balances, December 31, 2009 2,407,805 24,078 44,141,975 (43,470,197) 845,161
Option expense - - 21,166 - 21,166
Net loss - - - (467,266) (467,266)
Balances, December 31, 2010 2,407,805 24,078 44,163,141 (43,937,463) 399,061
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statement of Changes in Stockholders Equity
For the Period From June 13, 2000 (Inception) to December 31, 2011
(Continued) Deficit
Accumulated
Additional During Total
Common Stock Paid-in Development Stockholders'
Shares Amount Capital Stage Equity (Deficit)
Balances, December 31, 2010 2,407,805 $ 24,078 $ 44,163,141 $ (43,937,463) $ 399,061
Proceeds from issuance of Series E preferred - - 5,142,396 - 5,379,367
Option expense - - 19,935 - 19,935
Warrant expense - - 2,153,442 - 2,153,442
Fair value of derivative warrants - - (3,887,850) - (3,887,850)
Beneficial conversion feature discount - - 372,850 - 372,850
Net loss - - - (3,444,795) (3,444,795)
Balances, December 31, 2011 2,407,805 $ 24,078 $ 47,963,914 $ (47,382,258) $ 992,010
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Consolidated Statements of Cash Flows
For the Period
For the Year Ended from June 13,
December 31, 2000 (Inception) to
2011 2010 December 31, 2011
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss $ (3,444,795) $ (467,266) $ (47,382,258)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation expense 2,173,377 21,166 3,828,110
Depreciation and amortization 633 72,101 3,261,881
Loss on disposition of equipment - - 550,186
Amortization of debt discount 124,363 - 124,363
Amortization of deferred financing costs 40,444 - 40,444
Gain on extinguishment of liability - (260,000) (260,000)
Gain on change in fair value of the derivatives (13,966) - (13,966)
Changes in operating assets and liabilities:
R&D reimbursement receivable 41,567 52,461 (237,834)
Prepaid expenses and other current assets 4,766 (1,838) (5,384)
Accounts payable and accrued expenses 556,019 (26,364) 904,510
Net cash used in operating activities (517,592) (609,740) (39,189,948)
CASH FLOWS FROM INVESTING ACTIVITIES:
Payment made for patent rights - - (3,000,000)
Purchases of property and equipment - - (813,300)
Net cash used in investing activities - - (3,813,300)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings on convertible debt, net 645,888 - 645,888
Sales of common stock, net of offering costs - - 18,548,050
Sales of preferred stock, net of offering costs 5,379,367 - 29,513,108
Net cash provided by financing activities 6,025,255 - 48,707,046
Net increase (decrease) in cash 5,507,663 (609,740) 5,703,798
Cash at beginning of period 196,135 805,875 -
Cash at end of period $ 5,703,798 $ 196,135 $ 5,703,798
SUPPLEMENTAL CASH FLOWS INFORMATION:
Cash paid for:
Income tax $ - $ - $ -
Interest - 78 682
NONCASH INVESTING AND FINANCING ACTIVITIES:
Beneficial conversion feature discount $ 372,850 $ - $ 372,850
Conversion of common stock to preferred stock - - 62,193
Fair value of warrants issued with debt 377,150 - 377,150
Fair value of warrants issued with Series E preferred 3,887,850 - 3,887,850
Fair value of warrants issued to the placement agent 188,579 - 188,549
See accompanying summary of accounting policies and notes to consolidated financial statements.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Notes to the Consolidated Financial Statements
Note 1 Description of Business and Summary of Significant Accounting Policies
Nature of Business Actinium Pharmaceuticals, Inc. (API), incorporated on June 13, 2000, is a biotechnology company committed to developing breakthrough therapies for life threatening diseases using its alpha particle immunotherapy (APIT) platform and other related and similar technologies. API, together with its wholly owned subsidiary, MedActinium, Inc. (MAI), (hereinafter referred to collectively as API or the Company ) has initiated collaborative efforts with large institutions to establish the proof of concept of alpha particle immunotherapy and has supported one Phase I/Il clinical trial and one Phase I clinical trial at Memorial Sloan-Kettering Cancer Center (MSKCC) under an MSKCC Physician Investigational New Drug Application. In 2012, the Company launched a multi-center corporate sponsored trial in acute myeloid leukemia (AML) patients. The Company s objective, through research and development, is to produce reliable cancer fighting products which utilize monoclonal antibodies linked with alpha particle emitters or other appropriate payloads to provide very potent targeted therapies. The initial clinical trials of the Company s compounds have been with patients having acute myeloid leukemia and it is believed that the Company s APIT platform will have wider applicability for different types of cancer where suitable monoclonal antibodies can be found.
Development Stage Company API is considered a development stage company and has had no commercial revenue to date.
Principles of Consolidation The consolidated financial statements include the Company s accounts and those of the Company s wholly owned subsidiary. All significant intercompany accounts and transactions have been eliminated.
Use of Estimates in Financial Statement Presentation The preparation of these consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Cash and Cash Equivalents The Company considers all highly liquid accounts with original maturities of three months or less to be cash equivalents. Such balances are usually in excess of FDIC insured limits.
Property and Equipment Machinery and equipment are recorded at cost and depreciated on a straight-line basis over estimated useful lives of five years. Furniture and fixtures are recorded at cost and depreciated on a straight-line basis over estimated useful lives of seven years. When assets are retired or sold, the cost and related accumulated depreciation are removed from the accounts, and any related gain or loss is reflected in operations. Repairs and maintenance expenditures are charged to operations.
Intangible Assets The Company entered into a Product Development and Patent License Agreement with Abbott Biotherapeutics Corp. (formerly Facet Biotech, formerly known as Protein Design Labs) to secure exclusive rights to a specific antibody when conjugated with alpha emitting radioisotopes. Terms included a license fee payment, milestone payments, and royalty payments on future sales. The agreement ends at the later of (1) 12.5 years after the first sale or (2) when the patent expires. The patent rights are being amortized on the straight-line method over seven years. As of December 31, 2011 and 2010, the patent rights have been fully amortized.
Amortization expense for the years ended December 31, 2011 and 2010 was $0 and $71,429, respectively.
Impairment of Long-Lived Assets Management reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount may not be realizable or at a minimum annually during the fourth quarter of the year. If an evaluation is required, the estimated future undiscounted cash flows associated with the asset are compared to the asset s carrying value to determine if an impairment of such asset is necessary. The effect of any impairment would be to expense the difference between the fair value of such asset and its carrying value.
Derivatives All derivatives are recorded at fair value and recorded on the balance sheet. Fair values for securities traded in the open market and derivatives are based on quoted market prices. Where market prices are not readily available, fair values are determined using market based pricing models incorporating readily observable market data and requiring judgment and estimates.
Actinium Pharmaceuticals, Inc.
(A Development Stage Company)
Notes to the Consolidated Financial Statements
Tags: ATNM Viatris Investor Conferences Healthcare investor conferences healthcare conferences UBS Global Healthcare
Last updated: Jan 2, 2013