Annual report pursuant to Section 13 and 15(d)

Equity Method Investments

Equity Method Investments

12 Months Ended

Dec. 31, 2013

Equity Method Investments and Joint Ventures [Abstract]

Our significant unconsolidated subsidiary that is accounted for using the equity method of accounting is our investment in BetaZone Laboratories LLC. In June 2013, the members of BetaZone, by unanimous written consent, adopted a plan of liquidation of BetaZone pursuant to which BetaZone’s assets were transferred to its members. BetaZone was liquidated in August 2013.

Summarized financial information for our investment in BetaZone Laboratories, LLC assuming 100% ownership interest is as follows:

	Year Ended December 31, 2013			Year Ended December 31, 2012
Balance Sheet
Current Assets		0		$	3,825
Current Liabilities		0		$	301,864

Statement of Operations
Revenues	$	47,893		$	40,002
Net Loss	$	(19,075	)	$	(272,935	)

In 2011, when the Company’s share of losses equaled the carrying value of its investment, the equity method of accounting was suspended, and no additional losses were charged to operations. The Company’s unrecorded share of losses for 2013 totaled $8,584.

- Definition

The entire disclosure for equity method investments and joint ventures. Equity method investments are investments that give the investor the ability to exercise significant influence over the operating and financial policies of an investee. Joint ventures are entities owned and operated by a small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group.

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