Annual report pursuant to Section 13 and 15(d)

Restatement to Previously Issued 2016 Consolidated Balance sheet and Related Statements of Operations, Stockholders??? Equity and Cash Flows

v3.8.0.1
Restatement to Previously Issued 2016 Consolidated Balance sheet and Related Statements of Operations, Stockholders’ Equity and Cash Flows
 12 Months Ended
Dec. 31, 2017
Accounting Changes and Error Corrections [Abstract]  
Restatement to Previously Issued 2016 Consolidated Balance sheet and Related Statements of Operations, Stockholders’ Equity and Cash Flows

13. Restatement to Previously Issued 2016 Consolidated Balance sheet and Related Statements of Operations, Stockholders’ Equity and Cash Flows

 

The Company previously restated and re-issued (on December 26, 2017) the 2016 consolidated financial statements because of the failure to record a derivative liability from the issuance of 1,054,167 common stock warrants during July 2016 that were previously recorded as equity.  The impact of this change as of and for the year ended December 31, 2016, is as follows (in thousands, except share and per share data):

 

    Year ended December 31, 2016  
    As Previously Reported     Restatement - Warrant Liability     As Restated After Restatement  
Total other expense, net   $ (5,063 )   $ 1,835     $ (3,228 )
Total net loss/comprehensive loss     (16,598 )     1,835       (14,763 )
Deemed dividend related to beneficial conversion feature and accretion of a discount a Series A Preferred Stock     (6,278 )     -       (6,278 )
Net loss attributable to common stockholders   $ (22,876 )   $ 1,835     $ (21,041 )
Net loss per share attributable to common stockholders:                        
Basic and diluted   $ (14.82 )   $ 1.19     $ (13.63 )
Weighted average common shares outstanding:                        
Basic and diluted

     1,543,735       -       1,543,735  
                         
Common stock, $0.01 par value   $ 22             $ 22  
Additional paid-in capital     227,486       (4,973 )     222,513  
Accumulated deficit     (213,135 )     1,835       (211,300 )
Total stockholders' equity   $ 14,373     $ (3,138 )   $ 11,235  
                         
Derivative liabilities, current portion   $ -     $ 3,137     $ 3,137  

 

For the twelve months ended December 31, 2016, the consolidated statement of cash flows changed from that which was previously reported as follows: A $571,000 positive addback for offering costs was recorded to offset a $571,000 increase to net loss, with no net cash impact on cash flows from operating activities. In addition, the allocation of proceeds among common stock, preferred stock and derivative liability changed, with no net cash flow impact on cash flows from financing activities.