Quarterly report pursuant to Section 13 or 15(d)

Fair Value Hierarchy

v2.3.0.15
Fair Value Hierarchy
 9 Months Ended
Sep. 30, 2011
Fair Value Hierarchy
3.
Fair Value Hierarchy

The following tables set forth, by level, financial liabilities measured at fair value on a recurring basis:

Liabilities Measured at Fair Value on a Recurring Basis as of September 30, 2011

   
Quoted Prices
in Active
Markets for
Identical
Liabilities
    
Significant
Other
Observable
Inputs
    
Significant
Unobservable
Inputs
    
Balance as of
September 30,
  
Description
  
(Level 1)
    
(Level 2)
    
(Level 3)
    
2011
  
Liabilities:
                        
Derivative liabilities related to warrants
   $ —     $ 53,010     $ —     $ 53,010  

Liabilities Measured at Fair Value on a Recurring Basis as of December 31, 2010

   
Quoted Prices
in Active
Markets for
Identical
Assets and
Liabilities
    
Significant
Other
Observable
Inputs
    
Significant
Unobservable
Inputs
    
Balance as of
December 31,
  
Description
  
(Level 1)
    
(Level 2)
    
(Level 3)
    
2010
  
Liabilities:
                        
Derivative liabilities related to warrants, current portion
   $ —     $ 405,524     $ —     $ 405,524  
Derivative liabilities related to warrants, long-term portion
     —       2,077,799       —       2,077,799  
Total derivative liabilities
   $ —     $ 2,483,323     $ —     $ 2,483,323  
 
There were no Level 1 liabilities outstanding at any time during the three-month and nine-month periods ended September 30, 2011 and 2010.  A total of $1,978,818 of our Level 2 liabilities were reclassified to equity related to modifying certain outstanding warrants to remove the language that had previously required them to be classified as derivative liabilities during the nine-month period ended September 30, 2011.  (See Note 8.)  There were no transfers in or out of our Level 2 liabilities during the three-month or nine-month periods ended September 30, 2010.