Document and Entity Information (USD $)	12 Months Ended
Document and Entity Information (USD $)	Dec. 31, 2012	Mar. 05, 2013	Jun. 29, 2012
Document and Entity Information
Entity Registrant Name	AASTROM BIOSCIENCES INC
Entity Central Index Key	0000887359
Document Type	10-K
Document Period End Date	Dec. 31, 2012
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Public Float			$ 91,121,948
Entity Common Stock, Shares Outstanding		45,664,079
Document Fiscal Year Focus	2012
Document Fiscal Period Focus	FY

CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
CURRENT ASSETS:
Cash and cash equivalents	$ 13,638	$ 5,530
Receivables	28	9
Other current assets	324	636
Total current assets	13,990	6,175
PROPERTY AND EQUIPMENT, NET	1,188	1,564
Total assets	15,178	7,739
CURRENT LIABILITIES:
Accounts payable and accrued expenses	3,247	2,963
Accrued employee benefits	383	1,042
Current portion of long-term debt	34	40
Warrant liabilities	1,995	16,625
Total current liabilities	5,659	20,670
LONG-TERM DEBT	6	40
Total liabilities	5,665	20,710
COMMITMENTS AND CONTINGENCIES (Notes 7 and 8)
Total convertible preferred stock	41,613
SHAREHOLDERS' DEFICIT:
Common Stock, no par value; shares authorized - 150,000; shares issued and outstanding - 38,635 and 43,784, respectively	243,215	228,877
Deficit accumulated during the development stage	(275,315)	(241,848)
Total shareholders' deficit	(32,100)	(12,971)
Total liabilities, convertible preferred stock and shareholders' deficit	15,178	7,739
Series B-1 non-voting convertible preferred stock
CURRENT LIABILITIES:
Total convertible preferred stock	3,923
Series B-2 voting convertible preferred stock
CURRENT LIABILITIES:
Total convertible preferred stock	$ 37,690

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Dec. 31, 2012	Dec. 31, 2011
Par value of common stock (in dollars per share)	$ 0	$ 0
Common Stock, shares authorized	150,000,000	150,000,000
Common Stock, shares issued	43,784,000	38,635,000
Common Stock, shares outstanding	43,784,000	38,635,000
Series B-1 non-voting convertible preferred stock
Par value of preferred stock (in dollars per share)	$ 0	$ 0
Convertible preferred stock, shares authorized	39,000	0
Convertible preferred stock, shares reserved	39,000	0
Convertible preferred stock, shares issued	0	0
Convertible preferred stock, shares outstanding	0	0
Series B-2 voting convertible preferred stock
Par value of preferred stock (in dollars per share)	$ 0	$ 0
Convertible preferred stock, shares authorized	39,000	0
Convertible preferred stock, shares reserved	39,000	0
Convertible preferred stock, shares issued	12,000	0
Convertible preferred stock, shares outstanding	12,000	0

Number of shares of common stock outstanding. Common stock represent the ownership interest in a corporation.

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- Definition

Face amount or stated value per share of nonredeemable preferred stock (or preferred stock redeemable solely at the option of the issuer); generally not indicative of the fair market value per share.

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- Definition

The maximum number of securities classified as temporary equity that are permitted to be issued by an entity's charter and bylaws. Temporary equity is a security with redemption features that are outside the control of the issuer, is not classified as an asset or liability in conformity with GAAP, and is not mandatorily redeemable. Includes any type of security that is redeemable at a fixed or determinable price or on a fixed or determinable date or dates, is redeemable at the option of the holder, or has conditions for redemption which are not solely within the control of the issuer. If convertible, the issuer does not control the actions or events necessary to issue the maximum number of shares that could be required to be delivered under the conversion option if the holder exercises the option to convert the stock to another class of equity. If the security is a warrant or a rights issue, the warrant or rights issue is considered to be temporary equity if the issuer cannot demonstrate that it would be able to deliver upon the exercise of the option by the holder in all cases. Includes stock with put option held by ESOP and stock redeemable by holder only in the event of a change in control of the issuer.

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- Definition

The number of securities classified as temporary equity that have been sold (or granted) to the entity's shareholders. Securities issued include securities outstanding and securities held in treasury. Temporary equity is a security with redemption features that are outside the control of the issuer, is not classified as an asset or liability in conformity with GAAP, and is not mandatorily redeemable. Includes any type of security that is redeemable at a fixed or determinable price or on a fixed or determinable date or dates, is redeemable at the option of the holder, or has conditions for redemption which are not solely within the control of the issuer. If convertible, the issuer does not control the actions or events necessary to issue the maximum number of shares that could be required to be delivered under the conversion option if the holder exercises the option to convert the stock to another class of equity. If the security is a warrant or a rights issue, the warrant or rights issue is considered to be temporary equity if the issuer cannot demonstrate that it would be able to deliver upon the exercise of the option by the holder in all cases. Includes stock with put option held by ESOP and stock redeemable by holder only in the event of a change in control of the issuer.

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- Definition

The number of securities classified as temporary equity that have been issued and are held by the entity's shareholders. Securities outstanding equals securities issued minus securities held in treasury. Temporary equity is a security with redemption features that are outside the control of the issuer, is not classified as an asset or liability in conformity with GAAP, and is not mandatorily redeemable. Includes any type of security that is redeemable at a fixed or determinable price or on a fixed or determinable date or dates, is redeemable at the option of the holder, or has conditions for redemption which are not solely within the control of the issuer. If convertible, the issuer does not control the actions or events necessary to issue the maximum number of shares that could be required to be delivered under the conversion option if the holder exercises the option to convert the stock to another class of equity. If the security is a warrant or a rights issue, the warrant or rights issue is considered to be temporary equity if the issuer cannot demonstrate that it would be able to deliver upon the exercise of the option by the holder in all cases. Includes stock with put option held by ESOP and stock redeemable by holder only in the event of a change in control of the issuer.

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CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) Share data in Thousands, except Per Share data, unless otherwise specified	6 Months Ended	12 Months Ended			285 Months Ended
	Dec. 31, 2010	Dec. 31, 2012	Dec. 31, 2011	Jun. 30, 2010	Dec. 31, 2012
REVENUES:
Product sales and rentals	$ 9,000	$ 21,000	$ 18,000	$ 89,000	$ 1,898,000
Research and development agreements					2,105,000
Grants	244,000				9,901,000
Total revenues	253,000	21,000	18,000	89,000	13,904,000
COSTS AND EXPENSES:
Cost of product sales and rentals	2,000	6,000	4,000	34,000	3,047,000
Research and development	8,609,000	26,025,000	21,330,000	12,658,000	216,730,000
Selling, general and administrative	3,265,000	7,750,000	7,724,000	5,201,000	92,598,000
Total costs and expenses	11,876,000	33,781,000	29,058,000	17,893,000	312,375,000
LOSS FROM OPERATIONS	(11,623,000)	(33,760,000)	(29,040,000)	(17,804,000)	(298,471,000)
OTHER INCOME (EXPENSE):
(Increase) decrease in fair value of warrants	(7,500,000)	4,248,000	9,329,000	3,171,000	16,537,000
Other income					1,249,000
Interest income	40,000	50,000	53,000	115,000	10,822,000
Interest expense	(5,000)	(12,000)	(10,000)	(40,000)	(491,000)
Total other income (expense)	(7,465,000)	4,286,000	9,372,000	3,246,000	28,117,000
NET LOSS	(19,088,000)	(29,474,000)	(19,668,000)	(14,558,000)	(270,354,000)
Accretion of convertible preferred stock		3,993,000			4,961,000
NET LOSS ATTRIBUTABLE TO COMMON SHAREHOLDERS	$ (19,088,000)	$ (33,467,000)	$ (19,668,000)	$ (14,558,000)	$ (275,315,000)
NET LOSS PER SHARE ATTRIBUTABLE TO COMMON SHAREHOLDERS (Basic and Diluted) (in dollars per share)	$ (0.65)	$ (0.81)	$ (0.51)	$ (0.59)
Weighted average number of common shares outstanding (Basic and Diluted)	29,186	41,199	38,627	24,729

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (DEFICIT) (USD $) In Thousands, except Share data, unless otherwise specified	Total	Preferred Stock	Common Stock	Deficit Accumulated During the Development Stage	1998 Series I Convertible Preferred Stock	1998 Series I Convertible Preferred Stock Preferred Stock	1998 Series I Convertible Preferred Stock Common Stock	1999 Series III Convertible Preferred Stock	1999 Series III Convertible Preferred Stock Preferred Stock	1999 Series III Convertible Preferred Stock Common Stock
BALANCE at Mar. 24, 1989
Increase (Decrease) in Shareholders' Equity
Net loss	$ (202,124)			$ (202,124)
Issuance of common stock for cash, services and license rights	2,336		2,336
Issuance of common stock for cash, services and license rights (in shares)			149,000
Issuance of Series A through Series E Preferred Stock for cash, net of issuance costs of $342	34,218	34,218
Issuance of Series A through Series E Preferred Stock for cash, net of issuance costs of $342 (in shares)		9,452,000
Issuance of Series E Preferred Stock at $17.00 per Share		3,500	(3,500)
Issuance of Series E Preferred Stock at $17.00 per Share (in shares)		206,000
Exercise of stock options and stock purchase warrants, and issuance of stock under Employee Stock Purchase Plan	7,293		7,293
Exercise of stock options and stock purchase warrants, and issuance of stock under Employee Stock Purchase Plan (in shares)			1,088,000
Issuance of Stock Purchase Rights for cash in September 1995 and March 1996	3,500		3,500
Principal payment received under shareholder note Receivable	31		31
Initial public offering of common stock at $56.00 per share, net of issuance costs of $2,865	19,885		19,885
Initial public offering of common stock at $56.00 per share, net of issuance costs of $2,865 (in shares)			406,000
Conversion of preferred stock		(55,374)	55,374
Conversion of preferred stock (in shares)		(11,866,000)	2,720,000
Compensation expense related to stock options and warrants granted	9,089		9,089
Preferred Stock	9,930	9,930			4,689	4,540	149	2,810	2,720	90
Preferred Stock (in shares)		2,200,000				5,000	5,000		3,000	6,000
Issuance of common stock, net of issuance costs of $147, $1,944, $11,480 during the period ended December 31, 2012, December 31, 2010 and June 30, 2010, respectively	122,254		122,254
Issuance of common stock, net of issuance costs of $147, $1,944, $11,480 during the period ended December 31, 2012, December 31, 2010 and June 30, 2010, respectively (in shares)			23,719,000
Issuance of restricted stock, net of cancellations (in shares)			54,000
Issuance of stock under Direct Stock Purchase Plan	943		943
Issuance of stock under Direct Stock Purchase Plan (in shares)			94,000
Dividends and yields on preferred stock		466	502	(968)
Dividends and yields on preferred stock (in shares)			19,000
Repurchase and retirement of common shares outstanding	(73)		(73)
Repurchase and retirement of common shares outstanding (in shares)			(4,000)
BALANCE at Jun. 30, 2010	14,781		217,873	(203,092)
BALANCE (in shares) at Jun. 30, 2010			28,256,000
Increase (Decrease) in Shareholders' Equity
Net loss	(19,088)			(19,088)
Exercise of stock options and stock purchase warrants, and issuance of stock under Employee Stock Purchase Plan	1,498		1,498
Exercise of stock options and stock purchase warrants, and issuance of stock under Employee Stock Purchase Plan (in shares)			360,000
Compensation expense related to stock options and warrants granted	1,043		1,043
Issuance of common stock, net of issuance costs of $147, $1,944, $11,480 during the period ended December 31, 2012, December 31, 2010 and June 30, 2010, respectively	4,688		4,688
Issuance of common stock, net of issuance costs of $147, $1,944, $11,480 during the period ended December 31, 2012, December 31, 2010 and June 30, 2010, respectively (in shares)			10,000,000
BALANCE at Dec. 31, 2010	2,922		225,102	(222,180)
BALANCE (in shares) at Dec. 31, 2010			38,616,000
Increase (Decrease) in Shareholders' Equity
Net loss	(19,668)			(19,668)
Exercise of stock options and stock purchase warrants, and issuance of stock under Employee Stock Purchase Plan	32		32
Exercise of stock options and stock purchase warrants, and issuance of stock under Employee Stock Purchase Plan (in shares)			19,000
Compensation expense related to stock options and warrants granted	3,743		3,743
BALANCE at Dec. 31, 2011	(12,971)		228,877	(241,848)
BALANCE (in shares) at Dec. 31, 2011			38,635,000
Increase (Decrease) in Shareholders' Equity
Net loss	(33,467)			(33,467)
Exercise of stock options and stock purchase warrants, and issuance of stock under Employee Stock Purchase Plan	214		214
Exercise of stock options and stock purchase warrants, and issuance of stock under Employee Stock Purchase Plan (in shares)			144,000
Compensation expense related to stock options and warrants granted	3,610		3,610
Issuance of common stock, net of issuance costs of $147, $1,944, $11,480 during the period ended December 31, 2012, December 31, 2010 and June 30, 2010, respectively	10,514		10,514
Issuance of common stock, net of issuance costs of $147, $1,944, $11,480 during the period ended December 31, 2012, December 31, 2010 and June 30, 2010, respectively (in shares)			5,005,000
BALANCE at Dec. 31, 2012	$ (32,100)		$ 243,215	$ (275,315)
BALANCE (in shares) at Dec. 31, 2012			43,784,000

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (DEFICIT) (Parenthetical) (USD $) In Thousands, except Per Share data, unless otherwise specified	6 Months Ended	12 Months Ended	255 Months Ended
	Dec. 31, 2010	Dec. 31, 2012	Jun. 30, 2010
Series A through E Preferred Stock, issuance costs			$ 342
Series E Preferred Stock, par value (in dollars per share)			$ 17.00
Initial public offering of common stock, par value (in dollars per share)		$ 0	$ 56.00
Initial public offering of common stock, issuance costs			2,865
Convertible Preferred Stock, rate of interest (as a percent)			5.50%
Convertible Preferred Stock, par value (in dollars per share)			$ 5.00
Convertible Preferred Stock, issuance costs			1,070
Common stock, issuance costs	1,944	147	11,480
1998 Series I Convertible Preferred Stock
Convertible Preferred Stock, par value (in dollars per share)			$ 1,000
Convertible Preferred Stock, issuance costs			460
1999 Series III Convertible Preferred Stock
Convertible Preferred Stock, par value (in dollars per share)			$ 1,000
Convertible Preferred Stock, issuance costs			$ 280

- Definition

Face amount or stated value per share of nonredeemable preferred stock (or preferred stock redeemable solely at the option of the issuer); generally not indicative of the fair market value per share.

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CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	6 Months Ended	12 Months Ended			285 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	Dec. 31, 2010	Dec. 31, 2012	Dec. 31, 2011	Jun. 30, 2010	Dec. 31, 2012
OPERATING ACTIVITIES:
Net loss	$ (19,088,000)	$ (29,474,000)	$ (19,668,000)	$ (14,558,000)	$ (270,354,000)
Adjustments to reconcile net loss to net cash used for operating activities:
Depreciation and amortization	259,000	649,000	647,000	592,000	8,147,000
Loss on property held for resale					110,000
Amortization of discounts and premiums on investments					(1,704,000)
Stock compensation expense	1,043,000	3,610,000	3,743,000	710,000	17,495,000
Increase (decrease) in fair value of warrant liabilities	7,500,000	(4,248,000)	(9,329,000)	(3,171,000)	(16,537,000)
Inventory write downs					2,240,000
Stock issued pursuant to license agreement					3,300,000
Provision for losses on accounts receivable					204,000
Changes in operating assets and liabilities:
Receivables	(9,000)	(19,000)	16,000	42,000	(277,000)
Inventories				1,000	(2,335,000)
Other current assets	(43,000)	312,000	(210,000)	72,000	(304,000)
Accounts payable and accrued expenses	976,000	284,000	63,000	896,000	3,015,000
Accrued employee benefits	110,000	(659,000)	246,000	331,000	383,000
Net cash used for operating activities	(9,252,000)	(29,545,000)	(24,492,000)	(15,085,000)	(256,617,000)
INVESTING ACTIVITIES:
Organizational costs					(73,000)
Purchase of short-term investments				(5,000,000)	(217,041,000)
Maturities of short-term investments	5,000,000				218,745,000
Property and equipment purchases	(305,000)	(273,000)	(1,031,000)	(120,000)	(7,490,000)
Proceeds from sale of property held for resale					400,000
Net cash provided by (used for) investing activities	4,695,000	(273,000)	(1,031,000)	(5,120,000)	(5,459,000)
FINANCING ACTIVITIES:
Net proceeds from issuance of preferred stock		37,620,000			89,267,000
Net proceeds from issuance of common stock and warrants	21,805,000	346,000	32,000	17,526,000	185,054,000
Payments received for stock purchase rights					3,500,000
Restricted cash used as compensating balance				277,000
Proceeds from long-term debt					751,000
Payments on long-term debt	(119,000)	(40,000)	(227,000)	(479,000)	(2,840,000)
Other, net					(18,000)
Net cash provided by (used for) financing activities	21,686,000	37,926,000	(195,000)	17,324,000	275,714,000
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	17,129,000	8,108,000	(25,718,000)	(2,881,000)	13,638,000
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	14,119,000	5,530,000	31,248,000	17,000,000
CASH AND CASH EQUIVALENTS AT END OF PERIOD	31,248,000	13,638,000	5,530,000	14,119,000	13,638,000
SUPPLEMENTAL CASH FLOW INFORMATION:
Interest paid	11,000	13,000	16,000	40,000	504,000
Equipment acquired under capital lease obligations	69,000		52,000		1,295,000
Accretion of convertible preferred stock		3,993,000			4,961,000
Warrants exchanged for common stock		$ 10,382,000			$ 10,382,000

Organization and Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2012
Organization and Summary of Significant Accounting Policies
Organization and Summary of Significant Accounting Policies	1. Organization and Summary of Significant Accounting Policies Aastrom Biosciences, Inc. was incorporated in March 1989 (Inception), began employee-based operations in 1991, and is in the development stage. The Company operates its business in one reportable segment — research and product development involving the development of patient specific cell products for use in regenerative medicine. Successful future operations are subject to several technical hurdles and risk factors, including satisfactory product development, timely initiation and completion of clinical trials, regulatory approval and market acceptance of the Company’s products and the Company’s continued ability to obtain future funding. The Company is subject to certain risks related to the operation of its business and development of its products and product candidates. As of December 31, 2012 the Company had $13,638,000 of cash and cash equivalents. This is not sufficient to sustain operations for one year. In light of our financial position, we are evaluating strategic and financial opportunities in the short-term in order to maintain adequate liquidity through December 31, 2013 and beyond. Additionally, the Company could sell shares through an At the Market Sales Agreement (ATM) in order to raise additional capital, though there are certain factors, such as volume of trading in the stock, the stock price and the ability to terminate the agreement with notice, which could limit the amount the Company could raise in a short period of time. On a longer-term basis, the Company will need to raise additional funds in order to complete product development programs and complete clinical trials needed to market and commercialize its products. The Company cannot be certain that such funding will be available on favorable terms, if at all. Some of the factors that will impact the Company’s ability to raise additional capital and our overall success include: the rate and degree of progress for product development, the rate of regulatory approval to proceed with clinical trial programs, the level of success achieved in clinical trials, the requirements for marketing authorization from regulatory bodies in the United States and other countries, the liquidity and market volatility of the Company’s equity securities, regulatory and manufacturing requirements and uncertainties, technological developments by competitors, and other factors. If the Company cannot raise such funds, the Company will not be able to develop or enhance products, take advantage of future opportunities, or respond to competitive pressures or unanticipated requirements, which would have a material adverse impact on the business, financial condition and results of operations. As a result of the need to raise additional capital and a net capital deficiency, there is uncertainty regarding the Company’s ability to maintain liquidity sufficient to operate our business effectively over at least the next twelve months, which raises substantial doubt as to our ability to continue as a going concern. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty. Principles of Consolidation — The consolidated financial statements include the accounts of Aastrom and its wholly-owned subsidiary, Aastrom Biosciences GmbH, located in Berlin, Germany and Aastrom Biosciences, SL, located in Barcelona, Spain (collectively, the Company). All inter-company transactions and accounts have been eliminated in consolidation. Fiscal Year Change — On November 11, 2010, the Board of Directors approved the change in the Company’s fiscal year end from June 30 to December 31. The change became effective at the end of the quarter ended December 31, 2010. All references to “years”, unless otherwise noted, refer to the 12-month fiscal year, which prior to July 1, 2010, ended on June 30, and beginning with January 1, 2011, ends on December 31, of each year. In addition, the Company presents the Consolidated Statement of Operations and Consolidated Statement of Cash Flows for the six month transition period ended December 31, 2010. Cash and Cash Equivalents — Cash and cash equivalents include cash and highly liquid short-term investments with original maturities of three months or less. Fair Value Measurements — Fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is determined based upon assumptions that market participants would use in pricing an asset or liability. Fair value measurements are rated on a three-tier hierarchy as follows: · Level 1 inputs: Quoted prices (unadjusted) for identical assets or liabilities in active markets; · Level 2 inputs: Inputs, other than quoted prices included in Level 1, that are observable either directly or indirectly; and · Level 3 inputs: Unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions. In many cases, a valuation technique used to measure fair value includes inputs from multiple levels of the fair value hierarchy described above. The lowest level of significant input determines the placement of the entire fair value measurement in the hierarchy. See Note 5 for disclosures related to the fair value of the Company’s warrants. The Company does not have any other assets or liabilities on the balance sheet as of December 31, 2012 that are measured at fair value. Diversity of Credit Risk — The Company has established guidelines relative to diversification and maturities of its investments in an effort to limit risk. These guidelines are periodically reviewed and modified to take advantage of trends in yields and interest rates. The Company has not experienced any losses on its cash equivalents. Property and Equipment — Property and equipment is recorded at cost and depreciated or amortized using the straight-line method over the estimated useful life of the asset (primarily three to five years) or the underlying lease term for leasehold improvements, whichever is shorter. When assets are disposed of, the cost and accumulated depreciation are removed from the accounts. Repairs and maintenance are charged to expense as incurred. Revenue Recognition — The Company’s revenue can be generated from grants and research agreements, collaborative agreements, licensing fees and product sales. Revenue from grants and research agreements is recognized on a cost reimbursement basis consistent with the performance requirements of the related agreement. Revenue from collaborative agreements is recognized when the scientific or clinical results stipulated in the agreement have been met and there are no ongoing obligations on the Company’s part. Revenue from product sales is recognized when title to the product transfers and there are no remaining obligations that will affect the customer’s final acceptance of the sale. Revenue from licensing fees under licensing agreements is recognized when there are no future performance obligations remaining with respect to such revenues. Payments received before all obligations are fulfilled are classified as deferred revenue. Research and Development Costs — Research and development costs are expensed as incurred. These costs include direct research and development costs such as salaries, clinical trial expenses, consulting fees and other expenses that are specific to the Company’s research and development programs, as well as an allocation of indirect costs such as facility expenses, human resources and information technology expenses. Stock-Based Compensation — Calculating stock-based compensation expense requires the input of highly subjective assumptions. We apply the Black-Scholes option-pricing model to determine the fair value of our stock options. Inherent in this model are assumptions related to expected stock-price volatility, option life, risk-free interest rate and dividend yield. We estimate the volatility of our common stock at the date of grant based on historical volatility. We estimate the expected life of options that vest solely on service using the “simplified method” provided for in the Securities and Exchange Commission Staff Accounting Bulletin No. 110. The “simplified method” is permitted for estimating the expected term of “plain-vanilla” stock options for which the historical stock option exercise experience is likely not indicative of future exercise patterns. The risk-free interest rate is based on the U.S. Treasury zero-coupon yield curve on the grant date for a maturity similar to the expected life of the options. The dividend rate is based on our historical rate, which we anticipate to remain at zero. The assumptions used in calculating the fair value of stock options represent our best estimates; however, these estimates involve inherent uncertainties and the application of management judgment. As a result, if factors change and different assumptions are used, the stock-based compensation expense could be materially different in the future. In addition, we are required to estimate the expected forfeiture rate and only recognize expense for those stock options expected to vest over the service period. We estimate the forfeiture rate considering the historical experience of our stock-based awards. If the actual forfeiture rate is different from the estimate, we adjust the expense accordingly. Income Taxes — Deferred tax assets are recognized for deductible temporary differences and tax credit carryforwards and deferred tax liabilities are recognized for taxable temporary differences. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Net Loss Per Share Attributable to Common Shareholders’— Basic earnings (loss) per share is calculated using the two-class method, which is an earnings allocation formula that determines earnings (loss) per share for the holders of the Company’s common shares and holders of the Series B Preferred Stock. The Series B Preferred Stock shares contain participation rights in undistributed earnings, but do not share in the losses of the Company. Therefore, in the event of a loss from continuing operations, the Series B Preferred Stock is not considered in the calculation of basic loss per share. Net loss per common share attributable to common shareholders’ is computed using the weighted-average number of common shares outstanding during the period. Common equivalent shares are not included in the diluted per share calculation where the effect of their inclusion would be anti-dilutive. The aggregate number of common equivalent shares (related to options, warrants and preferred stock) that have been excluded from the computations of diluted net loss per common share was 12,200,500 for the year ended June 30, 2010, 19,599,700 for the six month transition period ended December 31, 2010, 23,382,190 for the year ended December 31, 2011 and 29,076,811 for the year ended December 31, 2012. Use of Estimates — The preparation of financial statements in accordance 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 and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reported period. Actual results could differ from those estimates. Financial Instruments — The Company’s financial instruments include cash equivalents and receivables for which the current carrying amounts approximate market value based upon their short-term nature. Warrants — Warrants that could be cash settled or have anti-dilution price protection provisions are recorded as liabilities at their estimated fair value at the date of issuance, with subsequent changes in estimated fair value recorded in other income (expense) in our statement of operations in each subsequent period. In general, warrants with anti-dilution provisions are measured using the Monte Carlo valuation model, while the others are measured using the Black-Scholes valuation model. Both of the methodologies are based, in part, upon inputs for which there is little or no observable market data, requiring the Company to develop its own assumptions. The assumptions used in calculating the estimated fair value of the warrants represent our best estimates; however, these estimates involve inherent uncertainties and the application of management judgment. As a result, if factors change and different assumptions are used, the warrant liability and the change in estimated fair value could be materially different. Long-Lived Assets — The Company reviews its long-lived assets for impairment whenever an event or change in circumstances indicates that the carrying values of an asset may not be recoverable. If such an event or change in circumstances occurs and potential impairment is indicated because the carrying values exceed the estimated future undiscounted cash flows of the asset, the Company would measure the impairment loss as the amount by which the carrying value of the asset exceeds its fair value. No significant events or changes in circumstances were identified by the Company that would indicate that the carrying value of an asset was not recoverable for any of the periods presented in the accompanying consolidated financial statements.

Selected Balance Sheet Information

12 Months Ended

Dec. 31, 2012

Selected Balance Sheet Information

Selected Balance Sheet Information

2. Selected Balance Sheet Information

Property and Equipment (in thousands):

	December 31,			December 31,
	2011			2012
Machinery and equipment	$	3,041		$	2,507
Furniture and fixtures	678			706
Computer software	410			193
Computer equipment	467			307
Office equipment	105			55
Leasehold improvements	998			1,018
	5,699			4,786
Less accumulated depreciation	(4,135		)	(3,598		)
	$	1,564		$	1,188

Accounts Payable and Accrued Expenses (in thousands):

	December 31,		December 31,
	2011		2012
Accounts payable	$	2,239	$	2,843
Accrued expenses	724		404
	$	2,963	$	3,247

Accrued Employee Benefits (in thousands):

	December 31,		December 31,
	2011		2012
Vacation pay and other	$	398	$	383
Bonus	644		—
	$	1,042	$	383

Stock-Based Compensation

12 Months Ended

Dec. 31, 2012

Stock-Based Compensation

Stock-Based Compensation

3. Stock-Based Compensation

Stock Option and Equity Incentive Plans

The Company has historically had various stock incentive plans and agreements that provide for the issuance of nonqualified and incentive stock options as well as other equity awards. Such awards may be granted by the Company’s Board of Directors to certain of the Company’s employees, directors and consultants. Options granted under these plans expire no later than ten years from the date of grant, and other than those granted to non-employee directors, generally become exercisable over a four-year period, under a graded-vesting methodology, following the date of grant. The Company generally issues new shares upon the exercise of stock options.

In December 2009, the shareholders approved the 2009 Omnibus Incentive Plan (the 2009 Plan). The 2009 Plan provides incentives through the grant of stock options, stock appreciation rights, restricted stock awards and restricted stock units. The exercise price of stock options granted under the 2009 Plan shall not be less than the fair market value of the Company’s common stock on the date of grant. The 2009 Plan replaced the 1992 Stock Option Plan, the 2001 Stock Option Plan and the Amended and Restated 2004 Equity Incentive Plan (the Prior Plans), and no new awards will be granted under the Prior Plans. However, the expiration or forfeiture of options previously granted under the Prior Plans will increase the awards available for issuance under the 2009 Plan.

As of December 31, 2012, there were 3,356,559 shares available for future grant under the 2009 Plan.

Service-Based Stock Options

During the period ended December 31, 2012, the Company granted 5,467,445 service-based options to purchase common stock. These were granted with exercise prices equal to the fair value of the Company’s stock at the grant date, generally vest over four years (other than 370,000 non-employee options which generally vest over one year) and have a term of ten years. The weighted average grant-date fair value of service-based options granted during the year ended June 30, 2010 was $1.33, $0.99 for the six month transition period ended December 31, 2010, $1.54 for the year ended December 31, 2011 and $1.20 for the year ended December 31, 2012.

The net compensation costs recorded for the service-based stock options related to employees, consultants and directors (including the impact of the forfeitures) were $698,000 for the year ended June 30, 2010, $1,043,000 for the six month transition period ended December 31, 2010, $3,743,000 for the year ended December 31, 2011 and $3,610,000 for the year ended December 31, 2012.

The fair value of each service-based stock option grant for the reported periods is estimated on the date of the grant using the Black-Scholes option-pricing model using the weighted average assumptions noted in the following table.

	Year Ended June 30,	Six Month Period December 31,	Year Ended December 31,	Year Ended December 31
Service-Based Stock Options	2010	2010	2011	2012
Expected dividend rate	0%	0%	0%	0%
Expected stock price volatility	70.2% - 72.8%	70.6% - 77.4%	72.1% - 78.9%	73.9% - 79.1%
Risk-free interest rate	2.4% - 3.1%	1.5% - 2.1%	1.4% - 2.7%	0.9% - 1.5%
Expected life (years)	5.5 - 6.3	6.1 - 6.3	6.0 - 6.3	5.5 – 6.3

The following table summarizes the activity for service-based stock options for the indicated periods:

Service-Based Stock Options	Options		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term	Aggregate Intrinsic Value
Outstanding at June 30, 2009	1,365,382		$	7.76	7.9	$	114,000
Granted	2,508,525		$	2.02
Forfeited or expired	(590,727	)	$	7.63
Outstanding at June 30, 2010	3,283,180		$	3.40	8.6	$	2,750
Granted	1,700,000		$	1.54
Exercised	(7,500	)	$	1.80		$	3,000
Forfeited or expired	(678,471	)	$	4.85
Outstanding at December 31, 2010	4,297,209		$	2.43	8.9	$	3,159,000
Granted	4,310,550		$	2.31
Exercised	(19,688	)	$	1.64		$	21,000
Forfeited or expired	(508,404	)	$	2.33
Outstanding at December 31, 2011	8,079,667		$	2.38	8.4	$	674,000
Granted	5,467,445		$	2.21
Exercised	(144,167	)	$	1.48		$	52,000
Cancelled	(1,057,700	)	$	2.03
Forfeited or expired	(2,357,777	)	$	2.18
Outstanding at December 31, 2012	9,987,468		$	2.38	7.5	$	—
Exercisable at December 31, 2012	4,209,163		$	2.67	5.8	$	—

As of December 31, 2012, there was approximately $5,138,000, of total unrecognized compensation cost related to non-vested service-based stock options granted under the 2009 Plan and the Prior Plans. That cost is expected to be recognized over a weighted-average period of 2.9 years.

The total fair value of stock options vested during the year ended June 30, 2010 was $1,084,000, $622,000 for the six month transition period ended December 31, 2010, $2,182,000 for the year ended December 31, 2011 and $2,987,000 for the year ended December 31, 2012.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

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-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

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-Number 93-6

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+ Details

Shareholders' Equity	12 Months Ended
Shareholders' Equity	Dec. 31, 2012
Shareholders' Equity
Shareholders' Equity	4. Shareholders’ Equity In October 2008, the Company entered into a common stock purchase agreement with Fusion Capital Fund II, LLC (Fusion Capital) pursuant to which the Company was entitled to sell up to $15,000,000 of its common stock to Fusion Capital. In April 2009, the Company concluded the sales of the registered shares under this common stock purchase agreement. Under this purchase agreement the Company issued 2,836,583 shares of common stock for net proceeds of approximately $8,600,000. In connection with entering into this common stock purchase agreement, the Company issued to Fusion Capital 242,040 shares of its common stock as a commitment fee. The Company also issued to Fusion Capital an additional 139,229 shares as a pro rata commitment fee. In June 2009, the Company entered into a $30,000,000 common stock purchase agreement with Fusion Capital. Pursuant to the purchase agreement with Fusion Capital, the Company had the right to sell to Fusion Capital up to $30,000,000 of its common stock over a 25-month period, which began on July 1, 2009. Such sales were to be made from time to time in amounts between $100,000 and $4,000,000, depending on certain conditions as set forth in the agreement. In consideration for entering into the purchase agreement, the Company issued 181,530 shares of its common stock to Fusion Capital as an initial commitment fee. During fiscal 2010, 1,718,538 shares of the Company’s common stock (including 51,432 shares related to its commitment fee) were issued to Fusion Capital for net proceeds of approximately $5,100,000. The Company terminated the agreement with Fusion Capital in November 2010. On January 21, 2010, the Company completed the sale of 6,509,637 units (including 740,387 units sold to the underwriter pursuant to the exercise of its over-allotment option) at a public offering price of $2.08 per unit. Each unit consisted of (i) one share of the Company’s common stock, (ii) a Class A warrant to purchase 0.75 of a share of the Company’s common stock at an exercise price of $2.48 per share (as adjusted from $2.97 per share for the anti-dilution provision triggered through various financings) and (iii) a Class B warrant to purchase 0.50 of a share of the Company’s common stock at an exercise price of $2.08 per share. The Company received approximately $12,400,000 in net proceeds from the sale of the units (including the partially exercised option of the over-allotment), after underwriting discounts and commissions and other offering expenses. On December 15, 2010, the Company completed the sale of 10,000,000 units at a public offering price of $2.25 per unit. Each unit consisted of one share of the Company’s common stock and a warrant to purchase one share of the Company’s common stock at an exercise price of $1.75 per share (as adjusted from $3.22 per share for the anti-dilution provision triggered by usage of the Company’s ATM). The Company received approximately $20,600,000 in net proceeds from the sale of the units, after underwriting discounts and commissions and other offering expenses. The warrants to purchase 10,000,000 shares of the Company’s common stock are exercisable for a five year period commencing on December 15, 2010. On June 16, 2011, the Company entered into an At the Market Sales Agreement (ATM) with McNicoll, Lewis & Vlak LLC (MLV), pursuant to which the Company may sell shares of its common stock through MLV, as sales agent, in registered transactions from its shelf registration statement filed in November 2010, for aggregate proceeds of up to $20,300,000. Shares of common stock sold under the ATM are to be sold at market prices. The Company will pay up to 3% of the gross proceeds to MLV as a commission. As of December 31, 2012, the Company raised gross proceeds of $279,000. Subsequent to December 31, 2012, the Company has raised gross proceeds of $2,451,000 utilizing the ATM. *Dividends* No cash dividends have been declared or paid by the Company since its Inception.

- Definition

The entire disclosure for shareholders' equity, comprised of portions attributable to the parent entity and noncontrolling interest, if any, including other comprehensive income (as applicable). Including, but not limited to: (1) balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings; (2) accumulated balance for each classification of other comprehensive income and total amount of comprehensive income; (3) amount and nature of changes in separate accounts, including the number of shares authorized and outstanding, number of shares issued upon exercise and conversion, and for other comprehensive income, the adjustments for reclassifications to net income; (4) rights and privileges of each class of stock authorized; (5) basis of treasury stock, if other than cost, and amounts paid and accounting treatment for treasury stock purchased significantly in excess of market; (6) dividends paid or payable per share and in the aggregate for each class of stock for each period presented; (7) dividend restrictions and accumulated preferred dividends in arrears (in aggregate and per share amount); (8) retained earnings appropriations or restrictions, such as dividend restrictions; (9) impact of change in accounting principle, initial adoption of new accounting principle and correction of an error in previously issued financial statements; (10) shares held in trust for Employee Stock Ownership Plan (ESOP); (11) deferred compensation related to issuance of capital stock; (12) note received for issuance of stock; (13) unamortized discount on shares; (14) description, terms, and number of warrants or rights outstanding; (15) shares under subscription and subscription receivables, effective date of new retained earnings after quasi-reorganization and deficit eliminated by quasi-reorganization and, for a period of at least ten years after the effective date, the point in time from which the new retained dates; and (16) retroactive effective of subsequent change in capital structure.

+ References

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-Name Statement of Financial Accounting Standard (FAS)

-Number 5

-Paragraph 15

-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

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+ Details

Stock Purchase Warrants

12 Months Ended

Dec. 31, 2012

Stock Purchase Warrants

Stock Purchase Warrants

5. Stock Purchase Warrants

The Company has historically issued warrants to purchase shares of the Company’s common stock in connection with certain of its common stock offerings. The following warrants were outstanding during the year ended June 30, 2010, the six month transition period ended December 31, 2010, the years ended December 31, 2011 and 2012, and include provisions that could require cash settlement of the warrants or have anti-dilution price protection provisions requiring each to be recorded as liabilities of the Company at the estimated fair value at the date of issuance, with changes in estimated fair value recorded as non-cash income or expense in the Company’s statement of operations in each subsequent period:

(i) warrants to purchase an aggregate of 740,131 shares of the Company’s common stock, issued on October 17, 2007 in connection with the Company’s registered direct offering, exercisable from April 18, 2008 through April 17, 2013 at an exercise price of $12.72 per share, all of which remained outstanding as of December 31, 2012;

(ii) Class A warrants to purchase an aggregate of 4,882,228 shares of the Company’s common stock, issued on January 21, 2010 in connection with the Company’s registered public offering, exercisable for a five year period commencing on July 21, 2010 at an exercise price of $2.48 per share (as adjusted for the anti-dilution provision triggered by the close of the Company’s exchange program for the December 2010 warrants, as described below, and usage of the ATM during the third quarter), 4,525,978 of which remained outstanding as of December 31, 2012; and

(iii) warrants to purchase an aggregate of 10,000,000 shares of the Company’s common stock, issued on December 15, 2010 in connection with the Company’s registered public offering (December 2010 warrants), exercisable for a five year period commencing on December 15, 2010 at an exercise price of $1.75 per share (as adjusted from $3.22 per share for the anti-dilution provision triggered by usage of the Company’s ATM during the third quarter). On June 27, 2012, the Company announced the closing of a common stock exchange program for the remaining December 2010 warrants, which was completed on July 27, 2012, resulting in the issuance of 4,845,949 shares of common stock in exchange for 9,691,900 warrants. As of December 31, 2012, 308,100 December 2010 warrants remained outstanding.

All of the warrants listed above could require net cash settlement in the event that registered shares are not available at the time of exercise of such warrant. The Class A warrants and the December 2010 warrants also contain anti-dilution provisions that adjust the exercise price of the warrant if the Company issues or sells, or is deemed to have issued or sold, any shares of its common stock or securities exercisable or convertible into shares of common stock for no consideration or for a consideration per share less than the applicable exercise price in effect immediately prior to the time of such issue or sale. In the event of such a subsequent issuance of common stock of the Company, (i) the exercise price of the Class A warrants would be adjusted to a point between the current exercise price per share of such Class A warrant and the price per share at which the new shares of common stock of the Company are being issued based on a weighted average calculation as outlined in the Class A warrant agreement, and (ii) the exercise price of the December 2010 warrants would be adjusted to the price per share at which the new shares of common stock of the Company are being issued. Notwithstanding the foregoing, there are certain issuances of the Company that would not trigger the anti-dilution provisions of the Class A warrants or the December 2010 warrants, including but not limited to, issuances under any duly authorized Company stock option, restricted stock plan or stock purchase plan whether now existing or hereafter approved by the Company and its stockholders in the future, or as an inducement grant to employees, consultants, directors or officers. The December 2010 warrants also contain a feature that allows the warrant holder to put the warrants back to the Company and receive cash in the event of a fundamental transaction, such as a change in control of the Company or a sale of all or substantially all of its assets. The value received by the warrant holder upon exercise of the put right is based on a Black-Scholes model using a defined set of inputs outlined in the December 2010 warrant agreement.

The Class A warrants and the December 2010 warrants are measured using the Monte Carlo valuation model, while the other warrants listed above are measured using the Black-Scholes valuation model. Both of the methodologies are based, in part, upon inputs for which there is little or no observable market data, requiring the Company to develop its own assumptions. The assumptions used in calculating the estimated fair value of the warrants represent the Company’s best estimates; however, these estimates involve inherent uncertainties and the application of management judgment. As a result, if factors change and different assumptions are used, the warrant liabilities and the change in estimated fair value of the warrants could be materially different.

Inherent in both the Monte Carlo and Black-Scholes valuation models are assumptions related to expected stock-price volatility, expected life, risk-free interest rate and dividend yield. The Company estimates the volatility of its common stock based on historical volatility that matches the expected remaining life of the warrants. The risk-free interest rate is based on the U.S. Treasury zero-coupon yield curve on the grant date for a maturity similar to the expected remaining life of the warrants. The expected life of the warrants is assumed to be equivalent to their remaining contractual term. The dividend rate is based on the historical rate, which the Company anticipates to remain at zero.

The Monte Carlo model is used for the Class A warrants and the December 2010 warrants to appropriately value the potential future exercise price adjustments triggered by the anti-dilution provisions as well as the value of the put feature of the December 2010 warrants. These both require Level 3 inputs which are based on the Company’s estimates of the probability and timing of potential future financings and fundamental transactions. The other assumptions used by the Company are summarized in the following tables for warrants that were outstanding as of any of the balance sheet dates presented on our consolidated balance sheets:

October 2007 Warrants	December 31, 2011			December 31, 2012
Closing stock price	$	1.82		$	1.26
Expected dividend rate	0		%	0		%
Expected stock price volatility	93.6		%	44.0		%
Risk-free interest rate	0.1		%	0.1		%
Expected life (years)	1.25			0.25

January 2010 Class A Warrants	December 31, 2011			December 31, 2012
Closing stock price	$	1.82		$	1.26
Expected dividend rate	0		%	0		%
Expected stock price volatility	86.1		%	74.0		%
Risk-free interest rate	0.5		%	0.4		%
Expected life (years)	3.50			2.50

December 2010 Warrants	December 31, 2011			December 31, 2012
Closing stock price	$	1.82		$	1.26
Expected dividend rate	0		%	0		%
Expected stock price volatility	83.6		%	70.1		%
Risk-free interest rate	0.6		%	0.4		%
Expected life (years)	3.96			2.96

The following table summarizes the change in the estimated fair value of the Company’s warrant liabilities (in thousands):

Warrant Liabilities
Balance at December 31, 2010	$	25,954
Decrease in fair value	(9,329		)
Balance at December 31, 2011	16,625
Warrants exchanged for common stock	(10,382		)
Decrease in fair value	(4,248		)
Balance at December 31, 2012	$	1,995

Income Taxes

12 Months Ended

Dec. 31, 2012

Income Taxes

Income Taxes

6. Income Taxes

A reconciliation of income taxes computed using the federal statutory rate to the taxes reported in our consolidated statements of operations is as follows (in thousands):

	Year Ended June 30,			Six Months Ended December 31,			Year Ended December 31,			Year Ended December 31,
	2010			2010			2011			2012
Loss before income taxes	$	14,558		$	19,088		$	19,668		$	29,474
Federal statutory rate	34		%	34		%	34		%	34		%
Taxes computed at federal statutory rate	(4,950		)	(6,490		)	(6,687		)	(10,021		)
Loss attributable to foreign operations	116			—			—			—
Warrants	(1,076		)	2,550			(3,172		)	1,445
Nondeductible stock compensation	—			—			1,559			872
Michigan business tax repeal	—			—			1,214			—
Michigan NOL benefit	—			—			—			(1,334		)
Net operating loss expirations	—			—			—			612
Other	136			397			336			300
Change in valuation allowance	5,776			3,543			6,750			8,126
Reported income taxes	$	—		$	—		$	—		$	—

Deferred tax assets consist of the following (in thousands):

	Year Ended December 31,			Year Ended December 31,
	2011			2012
Net operating loss carryforwards	$	53,224		$	61,174
Research and development credit carryforwards	1,600			1,600
Employee benefits and stock compensation	1,167			1,314
Other, net	364			393
Total deferred tax assets	56,355			64,481
Valuation allowance	(56,355		)	(64,481		)
Net deferred tax assets	$	—		$	—

As of December 31, 2012, the Company’s U.S. federal and state tax net operating loss and tax credit carryforwards are $176,001,000, $22,229,000 and $1,600,000, respectively. These net operating loss carryforwards will expire between 2013 and 2032. The tax credit carryforwards will expire between 2022 and 2030. Effective January 1, 2012, the Michigan Business Tax (MBT) has been repealed. As a result of this repeal, the MBT net operating loss of $65,520,000 will not carry forward and has been derecognized in 2011.

The Company’s net operating losses are subject to the limitations imposed under section 382 of the Internal Revenue Code. These limits are triggered when a change in control occurs, and are computed based upon several variable factors including the share price of the Company’s common stock on the date of the change in control. A change in control is generally defined as a cumulative change of 50% or more in the ownership positions of certain stockholders during a rolling three year period. Based on common stock issuances over the Company’s history and the likelihood of additional issuances, it is possible that the use of the Company’s existing net operating losses will be limited. If a limitation occurs, it is likely that a significant portion of our net operating losses will expire unutilized regardless of the amount of future profitability.

Due to the historical losses incurred by the Company, a full valuation allowance for deferred tax assets, including the deferred tax assets for the aforementioned net operating losses and credits, has been provided since they are not more likely than not to be realized. If the Company achieves profitability, these deferred tax assets may be available to offset future income taxes. The increase in the valuation allowance was $6,750,000 and $8,126,000 for the years ended December 31, 2011 and 2012, respectively.

The Company assesses uncertain tax positions in accordance with the provisions of Financial Accounting Standards Board Accounting Standards Codification (ASC) 740-10-5, “Accounting for Uncertain Tax Positions.” This pronouncement prescribes a recognition threshold and measurement methodology for recording within the financial statements uncertain tax positions taken, or expected to be taken, in the Company’s income tax returns. As of December 31, 2011 and 2012, the Company had an unrecognized tax benefit of $2,100,000. There were no increases, decreases, or settlements related to uncertain tax positions in 2011 or 2012. Income tax expense would be reduced by zero if the gross unrecognized tax benefits were recognized due to the valuation allowance. It is not anticipated that the unrecognized tax benefits will significantly increase or decrease within the next twelve months.

The Company files U.S. federal and Michigan income tax returns. Due to the Company’s net operating loss carryforwards, Federal income tax returns from incorporation are still subject to examination. Michigan tax returns for the year ended December 31, 2011 and forward are subject to examination.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

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-Number 109

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+ Details

Licenses, Royalties and Collaborative Agreements and Commitments	12 Months Ended
	Dec. 31, 2012
Licenses, Royalties and Collaborative Agreements and Commitments
Licenses, Royalties and Collaborative Agreements and Commitments	7. Licenses, Royalties and Collaborative Agreements and Commitments University of Michigan — In August 1989, the Company entered into a research agreement with the University of Michigan (the University). In March 1992, and as provided for under the research agreement, the Company also entered into a license agreement for the technology developed under the research agreement. The license agreement, as amended, provides for a royalty to be paid to the University equal to 2% of net sales of products containing the licensed technology sold by the Company. Such royalties have been nominal since Inception. This license agreement will expire in 2014. Corning Incorporated — In December 2002, the Company entered into an agreement with Corning Incorporated (Corning) that granted Corning an exclusive sublicense relating to the Company’s cell transfection technology. Under the terms of the agreement, the Company retains exclusive rights to the applications of the technologies involving cells for therapeutic applications. In addition, the agreement provides for future royalty payments on net sales of licensed products sold under the sublicense amounting to 5% of such sales up to $50,000,000. However, the Company does not expect to receive material revenue from this source for several years, if ever. RealBio Technologies — In May 2009, the Company entered into an agreement with RealBio Technologies, Inc. (RealBio) that granted RealBio an exclusive license to utilize our technology outside of the Company’s core area of focus - human regenerative medicine. In return for this license, the Company received a minority equity interest in RealBio, which was not material as of December 31, 2012. Manufacture, Supply and Other Agreements — The Company has entered into various agreements relating to the manufacture of its products and the supply of certain components. If the manufacturing or supply agreements expire or are otherwise terminated, the Company may not be able to identify and obtain ancillary materials that are necessary to develop its product and such expiration and termination could have a material effect on the Company’s business.

Commitments, Contingencies and Debt

12 Months Ended

Dec. 31, 2012

Commitments, Contingencies and Debt

Commitments, Contingencies and Debt

8. Commitments, Contingencies and Debt

During 2007, the Company entered into an operating lease with Domino’s Farms Office Park, LLC, for approximately 30,000 square feet of office and lab space. This lease has a noncancelable term of six years, which began on May 14, 2007, and has two five-year market value renewals. The Company has elected to renew the lease at a reduced rate with a 5 year term commencing on May 14, 2013. The Company now has a right to terminate on the third anniversary of the renewal, and has two five-year market value renewal options. The Company’s leased facility includes a Class 100,000 modular manufacturing clean room, laboratories and office space. The lease also provides the Company the right of first refusal on certain additional space.

As of December 31, 2012, future minimum payments related to our operating and capital leases and long-term debt are as follows (in thousands):

			Payments Due by Period
Contractual Obligations	Total		2013		2014		2015		2016		More then 5 Years
Operating leases	$	3,450	$	1,055	$	992	$	992	$	359	$	52
Capital leases	40		34		6		—		—		—
Total	$	3,490	$	1,089	$	998	$	992	$	359	$	52

Rent expense for the year ended June 30, 2010, six month transition period ended December 31, 2010, years ended December 31, 2011 and 2012, and for the period from March 24, 1989 (Inception) to December 31, 2012, was $1,175,000, $548,000, $1,099,000, $1,127,000 and $13,219,000 respectively.

- Definition

The entire disclosure for commitments and contingencies.

+ References

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-Name FASB Interpretation (FIN)

-Number 14

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+ Details

Employee Savings Plan	12 Months Ended
Employee Savings Plan	Dec. 31, 2012
Employee Savings Plan
Employee Savings Plan	9. Employee Savings Plan The Company has a 401(k) savings plan that allows participating employees to contribute a portion of their salary, subject to annual limits and minimum qualifications. The Board may, at its sole discretion, approve Company matching contributions to the plan. The Company made contributions of $200,000 for the year ended June 30, 2010, $88,000 for the six month transition period ended December 31, 2010, $159,000 and $202,000 for the years ended December 31, 2011 and 2012, respectively, and $1,906,000 for the period from March 24, 1989 (Inception) to December 31, 2012.

- Definition

The entire disclosure for pension and other postretirement benefits.

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+ Details

Preferred Stock	12 Months Ended
Preferred Stock	Dec. 31, 2012
Preferred Stock
Preferred Stock	10. Preferred Stock *Shareholder Rights Plan - Series A Junior Participating Cumulative Preferred Stock* On August 11, 2011, the Board of Directors of the Company adopted a Shareholder Rights Plan, as set forth in the Shareholder Rights Agreement between the Company and the rights agent, the purpose of which is, among other things, to enhance the Board’s ability to protect shareholder interests and to ensure that shareholders receive fair treatment in the event any coercive takeover attempt of the Company is made in the future. The Shareholder Rights Plan could make it more difficult for a third party to acquire, or could discourage a third party from acquiring, the Company or a large block of the Company’s common stock. The following summary description of the Shareholder Rights Plan should be read in conjunction with the Company’s Shareholder Rights Plan, which was filed with the Securities and Exchange Commission as an exhibit to a Registration Statement on Form 8-A on August 12, 2011. In connection with the adoption of the Shareholder Rights Plan, the Board of Directors of the Company declared a dividend distribution of one preferred stock purchase right (a “Right”) for each outstanding share of common stock to stockholders of record as of the close of business on August 15, 2011. In addition, one Right will automatically attach to each share of common stock issued between August 15, 2011 and the distribution date. The Rights currently are not exercisable and are attached to and trade with the outstanding shares of common stock. Each Right entitles the registered holder of common stock to purchase from the Company a unit consisting of one ten-thousandth of a share (a “Unit”) of Series A Junior Participating Preferred Stock, no par value per share, at a cash exercise prices of $30.00 per Unit. There are currently 45,000 shares authorized and zero issued and outstanding. Under the Shareholder Rights Plan, the Rights become exercisable if a person or group becomes an “acquiring person” by acquiring 15% or more of the outstanding shares of common stock or if a person or group commences a tender offer that would result in that person owning 15% or more of the common stock. If a person or group becomes an “acquiring person,” each holder of a Right (other than the acquiring person and its affiliates, associates and transferees) would be entitled to purchase, at the then-current exercise price, such number of shares of the Company’s preferred stock which are equivalent to shares of common stock having a value of twice the exercise price of the Right. If the Company is acquired in a merger or other business combination transaction after any such event, each holder of a Right would then be entitled to purchase, at the then-current exercise price, shares of the acquiring company’s common stock having a value of twice the exercise price of the Right. The Rights may be redeemed in whole, but not in part, at a price of $0.001 per Right (payable in cash, common stock or other consideration deemed appropriate by the Board of Directors) by the Board of Directors only until the earlier of (i) the time at which any person becomes an “acquiring person” or (ii) the expiration date of the Rights Agreement. Immediately upon the action of the Board of Directors ordering redemption of the Rights, the Right will terminate and thereafter the only right of the holders of Rights will be to receive the redemption price. The Rights will expire at the close of business on August 15, 2021, unless previously redeemed or exchanged by the Company as described above. *Series B Convertible Preferred Stock* On March 9, 2012, the Company completed the sale of 12,308 shares of Series B-1 Non-Voting Convertible Preferred Stock (Series B-1 Preferred Stock) at an offering price of $3,250 per share. The Company received $37,620,000 in net proceeds from the sale of the shares of Series B-1 Preferred Stock, after offering expenses. In addition to the Series B-1 Preferred Stock, which was issued at the closing, the Company also authorized Series B-2 Voting Convertible Preferred Stock (Series B-2 Preferred Stock). The Series B-1 Preferred Stock and Series B-2 Preferred Stock collectively are referred to as the Series B Preferred Stock. The Series B-1 Preferred Stock is not entitled to vote on matters on which the common shareholders are generally entitled to vote. The Series B-2 Preferred Stock are entitled to vote with the holders of the common stock as a single class, with each share of Series B-2 Preferred Stock having the number of votes equal to the number of shares of common stock issuable upon conversion of such Series B-2 Preferred Stock. On May 3, 2012, shareholder approval was obtained in accordance with Nasdaq Marketplace Rule 5635(b), which allowed the holder of Series B-1 Preferred Stock to exchange all of the then outstanding shares for shares of Series B-2 Preferred Stock on a one-for-one basis. The Series B Preferred Stock will, with respect to dividend rights and rights on liquidation, winding-up and dissolution, rank on parity with any other class or series of the Company capital stock that the Company may issue in the future which is designated as being on parity with the Series B Preferred Stock, and rank senior to our common stock and Series A preferred stock. The Series B Preferred Stock is convertible, at the option of the holder thereof at any time after the five year anniversary of the closing of the offering, into shares of common stock at a conversion price of $3.25 per share of common stock. At any time after the five year anniversary of issuance, the Company may elect to convert any or all outstanding shares of Series B Preferred Stock into shares of our common stock, subject to certain limitations. Dividends on the Series B Preferred Stock will be cumulative and compound daily, at a rate of 11.5% per annum, payable upon conversion, liquidation, redemption or other similar events, and payable in cash or Series B-1 Preferred Stock until the five year anniversary of issuance. Following the five year anniversary of issuance and until the earlier of the tenth anniversary of the issuance and the date no Series B Preferred Stock remain outstanding, dividends will accrue at a rate of 8% per annum and will be payable in cash or Series B-1 Preferred Stock, at our option. Unless prohibited by Michigan law governing distributions to shareholders, the Series B-1 Preferred Stock shall be redeemable at the option of holder of the Series B-1 Preferred Stock commencing at any time after the five year anniversary of issuance, liquidation, winding up, dissolution or other similar events, subject to certain terms and limitations. The Series B Preferred Stock does not, in its entirety, require liability classification and has been evaluated for embedded features to determine if those features require bifurcation and separate classification as derivative liabilities. The Series B Preferred Stock host contract was evaluated for equity or mezzanine classification based upon the nature of the redemption and conversion features. Generally, any feature that could require cash redemption for matters not within the Company’s control, irrespective of probability of the event occurring, requires classification outside of shareholders’ equity. The Series B Preferred Stock has been recorded as mezzanine of the Condensed Consolidated Balance Sheets and will be accreted to its redemption value through charges to shareholders’ deficit using the effective interest method. The carrying value of the Series B-1 Preferred Stock presented as mezzanine in the consolidated financial statements is $3,923,000, as of December 31, 2012. As of December 31, 2012, there are no outstanding shares of Series B-1 Preferred Stock; however, as the Series B-1 Preferred Stock dividends can be redeemed for cash, the Company is required to accrete the carrying value of the Series B-1 Preferred Stock to its redemption value of $31,102,000 by charges to accumulated deficit using the effective interest method. Such accretion for the year ended December 31, 2012 amounted to $3,923,000. The redemption value is determined by the greater of the conversion price of the Series B-1 Preferred Stock or the common stock price, multiplied by the total accumulated dividends at the five year anniversary of issuance.

Quarterly Financial Data (Unaudited)

12 Months Ended

Dec. 31, 2012

Quarterly Financial Data (Unaudited)

Quarterly Financial Data (Unaudited)

11. Quarterly Financial Data (Unaudited)

The following is a summary of the Company’s quarterly consolidated results of operations (unaudited) for the year ended December 31, 2012 and 2011. The sum of quarterly net loss per share, basic and diluted, may not equal total net loss per share, basic and diluted, due to variation in shares outstanding (in thousands, except for per share data).

Year Ended December 31, 2012	First Quarter			Second Quarter			Third Quarter			Fourth Quarter			Fiscal Year
Revenues	$	2		$	—		$	—		$	19		$	21
Loss from operations	(8,558		)	(9,300		)	(8,285		)	(7,617		)	(33,760		)
Net loss attributable to common shareholders	(9,744		)	(8,566		)	(7,252		)	(7,905		)	(33,467		)
Net loss per common share attributable to common shareholders	$	(0.25	)	$	(0.22	)	$	(0.17	)	$	(0.18	)	$	(0.81	)

Net loss includes the (increase) / decrease in fair value of warrants of $(900,000), $1,948,000, $2,241,000, $959,000 and $4,248,000 for the first quarter, second quarter, third quarter, fourth quarter and fiscal year, respectively.

Year Ended December 31, 2011	First Quarter			Second Quarter			Third Quarter			Fourth Quarter			Fiscal Year
Revenues	$	9		$	—		$	9		$	—		$	18
Loss from operations	(6,260		)	(7,507		)	(7,439		)	(7,834		)	(29,040		)
Net loss attributable to common shareholders	(4,988		)	(9,957		)	(1,934		)	(2,789		)	(19,668		)
Net loss per common share attributable to common shareholders	$	(0.13	)	$	(0.26	)	$	(0.05	)	$	(0.07	)	$	(0.51	)

Net loss includes the (increase) / decrease in fair value of warrants of $1,254,000, ($2,465,000), $5,496,000, $5,044,000 and $9,329,000 for the first quarter, second quarter, third quarter, fourth quarter and fiscal year, respectively.

- Definition

The entire disclosure for the quarterly financial data in the annual financial statements. The disclosure may include a tabular presentation of financial information for each fiscal quarter for the current and previous year, including revenues, gross profit, income or loss before extraordinary items and earnings per share data. It also includes an indication if the information in the note is unaudited, comments on the aggregate effect of year-end adjustments, and an explanation of matters or transactions that affect comparability or are pertinent to an understanding of the information furnished.

+ References+ Details

Organization and Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2012
Organization and Summary of Significant Accounting Policies
Principles of Consolidation	Principles of Consolidation — The consolidated financial statements include the accounts of Aastrom and its wholly-owned subsidiary, Aastrom Biosciences GmbH, located in Berlin, Germany and Aastrom Biosciences, SL, located in Barcelona, Spain (collectively, the Company). All inter-company transactions and accounts have been eliminated in consolidation.
Fiscal Year Change	Fiscal Year Change — On November 11, 2010, the Board of Directors approved the change in the Company’s fiscal year end from June 30 to December 31. The change became effective at the end of the quarter ended December 31, 2010. All references to “years”, unless otherwise noted, refer to the 12-month fiscal year, which prior to July 1, 2010, ended on June 30, and beginning with January 1, 2011, ends on December 31, of each year. In addition, the Company presents the Consolidated Statement of Operations and Consolidated Statement of Cash Flows for the six month transition period ended December 31, 2010.
Cash and Cash Equivalents	Cash and Cash Equivalents — Cash and cash equivalents include cash and highly liquid short-term investments with original maturities of three months or less.
Fair Value Measurements	Fair Value Measurements — Fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is determined based upon assumptions that market participants would use in pricing an asset or liability. Fair value measurements are rated on a three-tier hierarchy as follows: · Level 1 inputs: Quoted prices (unadjusted) for identical assets or liabilities in active markets; · Level 2 inputs: Inputs, other than quoted prices included in Level 1, that are observable either directly or indirectly; and · Level 3 inputs: Unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions. In many cases, a valuation technique used to measure fair value includes inputs from multiple levels of the fair value hierarchy described above. The lowest level of significant input determines the placement of the entire fair value measurement in the hierarchy. See Note 5 for disclosures related to the fair value of the Company’s warrants. The Company does not have any other assets or liabilities on the balance sheet as of December 31, 2012 that are measured at fair value.
Diversity of Credit Risk	Diversity of Credit Risk — The Company has established guidelines relative to diversification and maturities of its investments in an effort to limit risk. These guidelines are periodically reviewed and modified to take advantage of trends in yields and interest rates. The Company has not experienced any losses on its cash equivalents.
Property and Equipment	Property and Equipment — Property and equipment is recorded at cost and depreciated or amortized using the straight-line method over the estimated useful life of the asset (primarily three to five years) or the underlying lease term for leasehold improvements, whichever is shorter. When assets are disposed of, the cost and accumulated depreciation are removed from the accounts. Repairs and maintenance are charged to expense as incurred.
Revenue Recognition	Revenue Recognition — The Company’s revenue can be generated from grants and research agreements, collaborative agreements, licensing fees and product sales. Revenue from grants and research agreements is recognized on a cost reimbursement basis consistent with the performance requirements of the related agreement. Revenue from collaborative agreements is recognized when the scientific or clinical results stipulated in the agreement have been met and there are no ongoing obligations on the Company’s part. Revenue from product sales is recognized when title to the product transfers and there are no remaining obligations that will affect the customer’s final acceptance of the sale. Revenue from licensing fees under licensing agreements is recognized when there are no future performance obligations remaining with respect to such revenues. Payments received before all obligations are fulfilled are classified as deferred revenue.
Research and Development Costs	Research and Development Costs — Research and development costs are expensed as incurred. These costs include direct research and development costs such as salaries, clinical trial expenses, consulting fees and other expenses that are specific to the Company’s research and development programs, as well as an allocation of indirect costs such as facility expenses, human resources and information technology expenses.
Stock-Based Compensation	Stock-Based Compensation — Calculating stock-based compensation expense requires the input of highly subjective assumptions. We apply the Black-Scholes option-pricing model to determine the fair value of our stock options. Inherent in this model are assumptions related to expected stock-price volatility, option life, risk-free interest rate and dividend yield. We estimate the volatility of our common stock at the date of grant based on historical volatility. We estimate the expected life of options that vest solely on service using the “simplified method” provided for in the Securities and Exchange Commission Staff Accounting Bulletin No. 110. The “simplified method” is permitted for estimating the expected term of “plain-vanilla” stock options for which the historical stock option exercise experience is likely not indicative of future exercise patterns. The risk-free interest rate is based on the U.S. Treasury zero-coupon yield curve on the grant date for a maturity similar to the expected life of the options. The dividend rate is based on our historical rate, which we anticipate to remain at zero. The assumptions used in calculating the fair value of stock options represent our best estimates; however, these estimates involve inherent uncertainties and the application of management judgment. As a result, if factors change and different assumptions are used, the stock-based compensation expense could be materially different in the future. In addition, we are required to estimate the expected forfeiture rate and only recognize expense for those stock options expected to vest over the service period. We estimate the forfeiture rate considering the historical experience of our stock-based awards. If the actual forfeiture rate is different from the estimate, we adjust the expense accordingly.
Income Taxes	Income Taxes — Deferred tax assets are recognized for deductible temporary differences and tax credit carryforwards and deferred tax liabilities are recognized for taxable temporary differences. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized.
Net Loss Per Share Attributable to Common Shareholders'	Net Loss Per Share Attributable to Common Shareholders’— Basic earnings (loss) per share is calculated using the two-class method, which is an earnings allocation formula that determines earnings (loss) per share for the holders of the Company’s common shares and holders of the Series B Preferred Stock. The Series B Preferred Stock shares contain participation rights in undistributed earnings, but do not share in the losses of the Company. Therefore, in the event of a loss from continuing operations, the Series B Preferred Stock is not considered in the calculation of basic loss per share. Net loss per common share attributable to common shareholders’ is computed using the weighted-average number of common shares outstanding during the period. Common equivalent shares are not included in the diluted per share calculation where the effect of their inclusion would be anti-dilutive. The aggregate number of common equivalent shares (related to options, warrants and preferred stock) that have been excluded from the computations of diluted net loss per common share was 12,200,500 for the year ended June 30, 2010, 19,599,700 for the six month transition period ended December 31, 2010, 23,382,190 for the year ended December 31, 2011 and 29,076,811 for the year ended December 31, 2012.
Use of Estimates	Use of Estimates — The preparation of financial statements in accordance 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 and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reported period. Actual results could differ from those estimates.
Financial Instruments	Financial Instruments — The Company’s financial instruments include cash equivalents and receivables for which the current carrying amounts approximate market value based upon their short-term nature.
Warrants	Warrants — Warrants that could be cash settled or have anti-dilution price protection provisions are recorded as liabilities at their estimated fair value at the date of issuance, with subsequent changes in estimated fair value recorded in other income (expense) in our statement of operations in each subsequent period. In general, warrants with anti-dilution provisions are measured using the Monte Carlo valuation model, while the others are measured using the Black-Scholes valuation model. Both of the methodologies are based, in part, upon inputs for which there is little or no observable market data, requiring the Company to develop its own assumptions. The assumptions used in calculating the estimated fair value of the warrants represent our best estimates; however, these estimates involve inherent uncertainties and the application of management judgment. As a result, if factors change and different assumptions are used, the warrant liability and the change in estimated fair value could be materially different.
Long-Lived Assets	Long-Lived Assets — The Company reviews its long-lived assets for impairment whenever an event or change in circumstances indicates that the carrying values of an asset may not be recoverable. If such an event or change in circumstances occurs and potential impairment is indicated because the carrying values exceed the estimated future undiscounted cash flows of the asset, the Company would measure the impairment loss as the amount by which the carrying value of the asset exceeds its fair value. No significant events or changes in circumstances were identified by the Company that would indicate that the carrying value of an asset was not recoverable for any of the periods presented in the accompanying consolidated financial statements.

Selected Balance Sheet Information (Tables)

12 Months Ended

Dec. 31, 2012

Selected Balance Sheet Information

Schedule of property and equipment

Property and Equipment (in thousands):

	December 31,			December 31,
	2011			2012
Machinery and equipment	$	3,041		$	2,507
Furniture and fixtures	678			706
Computer software	410			193
Computer equipment	467			307
Office equipment	105			55
Leasehold improvements	998			1,018
	5,699			4,786
Less accumulated depreciation	(4,135		)	(3,598		)
	$	1,564		$	1,188

Schedule of accounts payable and accrued expenses

Accounts Payable and Accrued Expenses (in thousands):

	December 31,		December 31,
	2011		2012
Accounts payable	$	2,239	$	2,843
Accrued expenses	724		404
	$	2,963	$	3,247

Schedule of accrued employee benefits

Accrued Employee Benefits (in thousands):

	December 31,		December 31,
	2011		2012
Vacation pay and other	$	398	$	383
Bonus	644		—
	$	1,042	$	383

- Definition

Tabular disclosure of the useful life and salvage value of long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale. Examples include land, buildings, machinery and equipment, and other types of furniture and equipment including, but not limited to, office equipment, furniture and fixtures, and computer equipment and software.

+ References+ Details

Stock-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2012

Stock-Based Compensation

Schedule of weighted average assumptions used to estimate fair value of each service-based stock option grant

	Year Ended June 30,	Six Month Period December 31,	Year Ended December 31,	Year Ended December 31
Service-Based Stock Options	2010	2010	2011	2012
Expected dividend rate	0%	0%	0%	0%
Expected stock price volatility	70.2% - 72.8%	70.6% - 77.4%	72.1% - 78.9%	73.9% - 79.1%
Risk-free interest rate	2.4% - 3.1%	1.5% - 2.1%	1.4% - 2.7%	0.9% - 1.5%
Expected life (years)	5.5 - 6.3	6.1 - 6.3	6.0 - 6.3	5.5 – 6.3

Summary of activity for service-based stock options

Service-Based Stock Options	Options		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term	Aggregate Intrinsic Value
Outstanding at June 30, 2009	1,365,382		$	7.76	7.9	$	114,000
Granted	2,508,525		$	2.02
Forfeited or expired	(590,727	)	$	7.63
Outstanding at June 30, 2010	3,283,180		$	3.40	8.6	$	2,750
Granted	1,700,000		$	1.54
Exercised	(7,500	)	$	1.80		$	3,000
Forfeited or expired	(678,471	)	$	4.85
Outstanding at December 31, 2010	4,297,209		$	2.43	8.9	$	3,159,000
Granted	4,310,550		$	2.31
Exercised	(19,688	)	$	1.64		$	21,000
Forfeited or expired	(508,404	)	$	2.33
Outstanding at December 31, 2011	8,079,667		$	2.38	8.4	$	674,000
Granted	5,467,445		$	2.21
Exercised	(144,167	)	$	1.48		$	52,000
Cancelled	(1,057,700	)	$	2.03
Forfeited or expired	(2,357,777	)	$	2.18
Outstanding at December 31, 2012	9,987,468		$	2.38	7.5	$	—
Exercisable at December 31, 2012	4,209,163		$	2.67	5.8	$	—

Stock Purchase Warrants (Tables)

12 Months Ended

Dec. 31, 2012

Stock Purchase Warrants

Schedule of assumptions used in calculating estimated fair value of warrants

October 2007 Warrants	December 31, 2011			December 31, 2012
Closing stock price	$	1.82		$	1.26
Expected dividend rate	0		%	0		%
Expected stock price volatility	93.6		%	44.0		%
Risk-free interest rate	0.1		%	0.1		%
Expected life (years)	1.25			0.25

January 2010 Class A Warrants	December 31, 2011			December 31, 2012
Closing stock price	$	1.82		$	1.26
Expected dividend rate	0		%	0		%
Expected stock price volatility	86.1		%	74.0		%
Risk-free interest rate	0.5		%	0.4		%
Expected life (years)	3.50			2.50

December 2010 Warrants	December 31, 2011			December 31, 2012
Closing stock price	$	1.82		$	1.26
Expected dividend rate	0		%	0		%
Expected stock price volatility	83.6		%	70.1		%
Risk-free interest rate	0.6		%	0.4		%
Expected life (years)	3.96			2.96

Summary of change in estimated fair value of warrant liabilities

The following table summarizes the change in the estimated fair value of the Company’s warrant liabilities (in thousands):

Warrant Liabilities
Balance at December 31, 2010	$	25,954
Decrease in fair value	(9,329		)
Balance at December 31, 2011	16,625
Warrants exchanged for common stock	(10,382		)
Decrease in fair value	(4,248		)
Balance at December 31, 2012	$	1,995

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

Income Taxes

Schedule of reconciliation of income taxes computed using the federal statutory rate to the taxes reported in consolidated statements of operations

A reconciliation of income taxes computed using the federal statutory rate to the taxes reported in our consolidated statements of operations is as follows (in thousands):

	Year Ended June 30,			Six Months Ended December 31,			Year Ended December 31,			Year Ended December 31,
	2010			2010			2011			2012
Loss before income taxes	$	14,558		$	19,088		$	19,668		$	29,474
Federal statutory rate	34		%	34		%	34		%	34		%
Taxes computed at federal statutory rate	(4,950		)	(6,490		)	(6,687		)	(10,021		)
Loss attributable to foreign operations	116			—			—			—
Warrants	(1,076		)	2,550			(3,172		)	1,445
Nondeductible stock compensation	—			—			1,559			872
Michigan business tax repeal	—			—			1,214			—
Michigan NOL benefit	—			—			—			(1,334		)
Net operating loss expirations	—			—			—			612
Other	136			397			336			300
Change in valuation allowance	5,776			3,543			6,750			8,126
Reported income taxes	$	—		$	—		$	—		$	—

Schedule of deferred tax assets

Deferred tax assets consist of the following (in thousands):

	Year Ended December 31,			Year Ended December 31,
	2011			2012
Net operating loss carryforwards	$	53,224		$	61,174
Research and development credit carryforwards	1,600			1,600
Employee benefits and stock compensation	1,167			1,314
Other, net	364			393
Total deferred tax assets	56,355			64,481
Valuation allowance	(56,355		)	(64,481		)
Net deferred tax assets	$	—		$	—

Commitments, Contingencies and Debt (Tables)

12 Months Ended

Dec. 31, 2012

Commitments, Contingencies and Debt

Schedule of future minimum payments related to operating and capital leases and long-term debt

As of December 31, 2012, future minimum payments related to our operating and capital leases and long-term debt are as follows (in thousands):

			Payments Due by Period
Contractual Obligations	Total		2013		2014		2015		2016		More then 5 Years
Operating leases	$	3,450	$	1,055	$	992	$	992	$	359	$	52
Capital leases	40		34		6		—		—		—
Total	$	3,490	$	1,089	$	998	$	992	$	359	$	52

Quarterly Financial Data (Unaudited) (Tables)

12 Months Ended

Dec. 31, 2012

Quarterly Financial Data (Unaudited)

Summary of the Company's quarterly consolidated results of operations

The sum of quarterly net loss per share, basic and diluted, may not equal total net loss per share, basic and diluted, due to variation in shares outstanding (in thousands, except for per share data).

Year Ended December 31, 2012	First Quarter			Second Quarter			Third Quarter			Fourth Quarter			Fiscal Year
Revenues	$	2		$	—		$	—		$	19		$	21
Loss from operations	(8,558		)	(9,300		)	(8,285		)	(7,617		)	(33,760		)
Net loss attributable to common shareholders	(9,744		)	(8,566		)	(7,252		)	(7,905		)	(33,467		)
Net loss per common share attributable to common shareholders	$	(0.25	)	$	(0.22	)	$	(0.17	)	$	(0.18	)	$	(0.81	)

Year Ended December 31, 2011	First Quarter			Second Quarter			Third Quarter			Fourth Quarter			Fiscal Year
Revenues	$	9		$	—		$	9		$	—		$	18
Loss from operations	(6,260		)	(7,507		)	(7,439		)	(7,834		)	(29,040		)
Net loss attributable to common shareholders	(4,988		)	(9,957		)	(1,934		)	(2,789		)	(19,668		)
Net loss per common share attributable to common shareholders	$	(0.13	)	$	(0.26	)	$	(0.05	)	$	(0.07	)	$	(0.51	)

Organization and Summary of Significant Accounting Policies (Details) (USD $) In Thousands, except Share data, unless otherwise specified	6 Months Ended	12 Months Ended
	Dec. 31, 2010	Dec. 31, 2012 item	Dec. 31, 2011	Jun. 30, 2010	Jun. 30, 2009
Organization and Summary of Significant Accounting Policies
Number of reportable segments		1
Cash and cash equivalents	$ 31,248	$ 13,638	$ 5,530	$ 14,119	$ 17,000
Period for which no sufficient cash was available to sustain operations		1 year
Minimum period of uncertainty regarding the entity's ability to maintain liquidity sufficient to operate business effectively		12 months
Fiscal Year Change
Period of fiscal year		12 months
Stock-Based Compensation
Anticipated dividend rate (as a percent)		0.00%
Net loss per share
Number of common equivalent shares (related to options, warrants and preferred stock) excluded from the computations of diluted net loss per common share	19,599,700	29,076,811	23,382,190	12,200,500
Minimum
Property and Equipment
Estimated useful life		3 years
Maximum
Property and Equipment
Estimated useful life		5 years

Selected Balance Sheet Information (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Property and Equipment
Property and equipment, gross	$ 4,786	$ 5,699
Less accumulated depreciation	(3,598)	(4,135)
Property and equipment, net	1,188	1,564
Accounts Payable and Accrued Expenses
Accounts payable	2,843	2,239
Accrued expenses	404	724
Accounts payable and accrued expenses	3,247	2,963
Accrued Employee Benefits
Vacation pay and other	383	398
Bonus		644
Accrued employee benefits	383	1,042
Machinery and equipment
Property and Equipment
Property and equipment, gross	2,507	3,041
Furniture and fixtures
Property and Equipment
Property and equipment, gross	706	678
Computer software
Property and Equipment
Property and equipment, gross	193	410
Computer equipment
Property and Equipment
Property and equipment, gross	307	467
Office equipment
Property and Equipment
Property and equipment, gross	55	105
Leasehold improvements
Property and Equipment
Property and equipment, gross	$ 1,018	$ 998

Stock-Based Compensation (Details) (USD $)	6 Months Ended	12 Months Ended
Stock-Based Compensation (Details) (USD $)	Dec. 31, 2010	Dec. 31, 2012	Dec. 31, 2011	Jun. 30, 2010	Jun. 30, 2009
Weighted average assumptions used to estimate fair value of each service-based stock option grant
Expected dividend rate (as a percent)		0.00%
2009 Plan
Stock-Based Compensation
Awards available for future grant under the Plan (in shares)		3,356,559
2004, 2001 and 1992 PLANS
Stock-Based Compensation
Awards available for future grant under the Plan (in shares)		0
Service-based stock options
Stock-Based Compensation
Weighted average grant-date fair value (in dollars per share)	$ 0.99	$ 1.20	$ 1.54	$ 1.33
Net compensation costs (including forfeitures)	$ 1,043,000	$ 3,610,000	$ 3,743,000	$ 698,000
Weighted average assumptions used to estimate fair value of each service-based stock option grant
Expected dividend rate (as a percent)	0.00%	0.00%	0.00%	0.00%
Expected stock price volatility, low end of range (as a percent)	70.60%	73.90%	72.10%	70.20%
Expected stock price volatility, high end of range (as a percent)	77.40%	79.10%	78.90%	72.80%
Risk-free interest rate, low end of range (as a percent)	1.50%	0.90%	1.40%	2.40%
Risk-free interest rate, high end of range (as a percent)	2.10%	1.50%	2.70%	3.10%
Options
Outstanding at the beginning of the period (in shares)	3,283,180	8,079,667	4,297,209	1,365,382
Granted (in shares)	1,700,000	5,467,445	4,310,550	2,508,525
Exercised (in shares)	(7,500)	(144,167)	(19,688)
Cancelled (in shares)		(1,057,700)
Forfeited or expired (in shares)	(678,471)	(2,357,777)	(508,404)	(590,727)
Outstanding at the end of the period (in shares)	4,297,209	9,987,468	8,079,667	3,283,180	1,365,382
Exercisable at the end of the period (in shares)		4,209,163
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$ 3.40	$ 2.38	$ 2.43	$ 7.76
Granted (in dollars per share)	$ 1.54	$ 2.21	$ 2.31	$ 2.02
Exercised (in dollars per share)	$ 1.80	$ 1.48	$ 1.64
Cancelled (in dollars per share)		$ 2.03
Forfeited or expired (in dollars per share)	$ 4.85	$ 2.18	$ 2.33	$ 7.63
Outstanding at the end of the period (in dollars per share)	$ 2.43	$ 2.38	$ 2.38	$ 3.40	$ 7.76
Exercisable at the end of the period (in dollars per share)		$ 2.67
Weighted Average Remaining Contractual Term
Outstanding at the beginning of the period	8 years 10 months 24 days	7 years 6 months	8 years 4 months 24 days	8 years 7 months 6 days	7 years 10 months 24 days
Outstanding at the end of the period	8 years 10 months 24 days	7 years 6 months	8 years 4 months 24 days	8 years 7 months 6 days	7 years 10 months 24 days
Exercisable at the end of the period		5 years 9 months 18 days
Aggregate Intrinsic Value
Outstanding at the beginning of the period	2,750	674,000	3,159,000	114,000
Exercised	3,000	52,000	21,000
Outstanding at the end of the period	3,159,000		674,000	2,750	114,000
Additional disclosures
Total unrecognized compensation cost		5,138,000
Weighted average period over which unrecognized compensation is expected to be recognized		2 years 10 months 24 days
Total fair value of options vested	$ 622,000	$ 2,987,000	$ 2,182,000	$ 1,084,000
Service-based stock options \| Minimum
Weighted average assumptions used to estimate fair value of each service-based stock option grant
Expected life	6 years 1 month 6 days	5 years 6 months	6 years	5 years 6 months
Service-based stock options \| Maximum
Weighted average assumptions used to estimate fair value of each service-based stock option grant
Expected life	6 years 3 months 18 days	6 years 3 months 18 days	6 years 3 months 18 days	6 years 3 months 18 days
Service-based stock options \| Non-employee director/consultant
Stock-Based Compensation
Vesting period		1 year
Options
Granted (in shares)		370,000
Service-based stock options \| 2009 Plan
Stock-Based Compensation
Expiration period		10 years
Vesting period		4 years

Shareholders' Equity (Details) (USD $)	0 Months Ended	6 Months Ended	12 Months Ended			285 Months Ended	1 Months Ended		12 Months Ended	1 Months Ended
Shareholders' Equity (Details) (USD $)	Jan. 21, 2010	Dec. 31, 2010	Dec. 31, 2012	Dec. 31, 2011	Jun. 30, 2010	Dec. 31, 2012	Jun. 30, 2009 Fusion Capital	Apr. 30, 2009 Fusion Capital	Dec. 31, 2010 Fusion Capital	Jun. 30, 2009 Fusion Capital Maximum	Oct. 31, 2008 Fusion Capital Maximum	Jun. 30, 2009 Fusion Capital Minimum
Shareholders' Equity
Common stock entitled to be sold										$ 30,000,000	$ 15,000,000
Issuance of common stock								2,836,583	1,718,538
Net proceeds from issuance of common stock	12,400,000	21,805,000	346,000	32,000	17,526,000	185,054,000		8,600,000	5,100,000
Shares issued as a commitment fee								242,040	51,432
Additional shares issued as a pro rata commitment fee								139,229
Period over which entity had right to sell shares of common stock							25 months
Common stock sale value from time to time										4,000,000		100,000
Shares issued as an initial commitment fee							181,530
Cash dividends declared and paid			$ 0.00	$ 0.00	$ 0.00	$ 0.00

Shareholders' Equity (Details 2) (USD $)	0 Months Ended		6 Months Ended	12 Months Ended		0 Months Ended				0 Months Ended
Shareholders' Equity (Details 2) (USD $)	Dec. 15, 2010	Jan. 21, 2010	Dec. 31, 2010	Dec. 31, 2011	Jun. 30, 2010	Jul. 21, 2010 Class A warrant	Jan. 21, 2010 Class A warrant	Dec. 31, 2012 Class A warrant	Dec. 31, 2010 Class A warrant	Jan. 21, 2010 Class B warrant	Dec. 15, 2010 December 2010 warrants	Dec. 31, 2012 December 2010 warrants
Sale of units
Number of units sold	10,000,000	6,509,637
Number of shares of common stock sold to the underwriter under an over-allotment option		740,387
Public offering price per unit (in dollars per unit)	$ 2.25	$ 2.08
Number of shares of common stock in each unit	1	1
Number of shares of common stock that can be purchased with each warrant							0.75			0.50	1
Exercise price (in dollars per share)						$ 2.97	$ 2.97	$ 2.48	$ 2.52	$ 2.08	$ 1.75	$ 1.75
Price prior to anti-dilution adjustment											$ 3.22
Net proceeds from the sale of units	$ 20,600,000	$ 12,400,000	$ 21,805,000	$ 32,000	$ 17,526,000
Number of shares of common stock that can be purchased by warrants							4,882,228	4,525,978			10,000,000
Exercisable period						5 years					5 years

Shareholders' Equity (Details 3) (USD $)	0 Months Ended	6 Months Ended	12 Months Ended			285 Months Ended	0 Months Ended	12 Months Ended		0 Months Ended
Shareholders' Equity (Details 3) (USD $)	Jan. 21, 2010	Dec. 31, 2010	Dec. 31, 2012	Dec. 31, 2011	Jun. 30, 2010	Dec. 31, 2012	Jun. 16, 2011 MLV	Dec. 31, 2012 MLV	Dec. 31, 2012 MLV Subsequent	Jun. 16, 2011 MLV Maximum
Shareholders' Equity
Expected proceeds from sale of common stock										$ 20,300,000
Percentage of gross proceeds payable as commission							3.00%
Proceeds from sale of common stock	$ 12,400,000	$ 21,805,000	$ 346,000	$ 32,000	$ 17,526,000	$ 185,054,000		$ 279,000	$ 2,451,000

- Definition

The cash inflow from the issuance of common stock, preferred stock, treasury stock, stock options, and other types of equity.

+ References+ Details

Stock Purchase Warrants (Details) (USD $)	3 Months Ended								6 Months Ended	12 Months Ended			285 Months Ended	12 Months Ended			0 Months Ended	12 Months Ended				0 Months Ended	12 Months Ended
Stock Purchase Warrants (Details) (USD $)	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2012	Dec. 31, 2011	Sep. 30, 2011	Jun. 30, 2011	Mar. 31, 2011	Dec. 31, 2010	Dec. 31, 2012	Dec. 31, 2011	Jun. 30, 2010	Dec. 31, 2012	Dec. 31, 2012 October 2007 Warrants	Dec. 31, 2011 October 2007 Warrants	Oct. 17, 2007 October 2007 Warrants	Jul. 21, 2010 January 2010 Class A Warrants	Dec. 31, 2012 January 2010 Class A Warrants	Dec. 31, 2011 January 2010 Class A Warrants	Dec. 31, 2010 January 2010 Class A Warrants	Jan. 21, 2010 January 2010 Class A Warrants	Dec. 15, 2010 December 2010 Warrants	Dec. 31, 2012 December 2010 Warrants	Dec. 31, 2011 December 2010 Warrants	Jul. 27, 2012 December 2010 Warrants Warrant exchange offer
Stock Purchase Warrants
Number of shares of common stock that can be purchased by warrants																740,131		4,525,978			4,882,228	10,000,000
Exercise price per share (in dollars per share)														$ 12.72			$ 2.97	$ 2.48		$ 2.52	$ 2.97	$ 1.75	$ 1.75
Exercisable period																	5 years					5 years
Warrants outstanding																							308,100
Common stock issued	43,784,000				38,635,000					43,784,000	38,635,000		43,784,000												4,845,949
Warrants exchanged for shares of common stock																									9,691,900
Consideration to be received on issuance of convertible securities or shares depending upon which warrants contain anti-dilution provisions										$ 0
Assumptions used in calculating the estimated fair value of the warrants
Closing stock price (in dollars per share)														$ 1.26	$ 1.82			$ 1.26	$ 1.82				$ 1.26	$ 1.82
Expected dividend rate (as a percent)														0.00%	0.00%			0.00%	0.00%				0.00%	0.00%
Expected stock price volatility (as a percent)														44.00%	93.60%			74.00%	86.10%				70.10%	83.60%
Risk-free interest rate (as a percent)														0.10%	0.10%			0.40%	0.50%				0.40%	0.60%
Expected life														3 months	1 year 3 months			2 years 6 months	3 years 6 months				2 years 11 months 16 days	3 years 11 months 16 days
Change in the estimated fair value of warrant liabilities
Balance at the beginning of the period				16,625,000				25,954,000		16,625,000	25,954,000
Warrants exchanged for common stock										(10,382,000)			(10,382,000)
Decrease in fair value of warrants	(959,000)	(2,241,000)	(1,948,000)	900,000	(5,044,000)	(5,496,000)	2,465,000	(1,254,000)	7,500,000	(4,248,000)	(9,329,000)	(3,171,000)	(16,537,000)
Balance at the end of the period	$ 1,995,000				$ 16,625,000				$ 25,954,000	$ 1,995,000	$ 16,625,000		$ 1,995,000
Anticipated dividend rate (as a percent)										0.00%

Income Taxes (Details) (USD $) In Thousands, unless otherwise specified	6 Months Ended	12 Months Ended
	Dec. 31, 2010	Dec. 31, 2012	Dec. 31, 2011	Jun. 30, 2010
Reconciliation of income taxes computed using the federal statutory rate to the taxes reported in consolidated statements of operations
Loss before income taxes	$ 19,088	$ 29,474	$ 19,668	$ 14,558
Federal statutory rate (as a percent)	34.00%	34.00%	34.00%	34.00%
Taxes computed at federal statutory rate	(6,490)	(10,021)	(6,687)	(4,950)
Loss attributable to foreign operations				116
Warrants	2,550	1,445	(3,172)	(1,076)
Nondeductible stock compensation		872	1,559
Michigan business tax repeal			1,214
Michigan NOL benefit		(1,334)
Net operating loss expirations		612
Other	397	300	336	136
Change in valuation allowance	3,543	8,126	6,750	5,776
Deferred tax assets
Net operating loss carryforwards		61,174	53,224
Research and development credit carryforwards		1,600	1,600
Employee benefits and stock compensation		1,314	1,167
Other, net		393	364
Total deferred tax assets		64,481	56,355
Valuation allowance		$ (64,481)	$ (56,355)

Income Taxes (Details 2) (USD $)	12 Months Ended
Income Taxes (Details 2) (USD $)	Dec. 31, 2012	Dec. 31, 2011
Net operating loss and tax credit carryforwards
Tax credit carryforwards	$ 1,600,000
MBT net operating loss has been derecognized as a result of repeal	65,520,000
Uncertain tax positions
Unrecognized tax benefit	2,100,000	2,100,000
Minimum cumulative percentage change of ownership over which change in control is considered	50.00%
Rolling period over which cumulative change of ownership is required for change in control	3 years
Reduction in income tax expense if gross unrecognized tax benefits have been recognized due to valuation allowance	0
Federal
Net operating loss and tax credit carryforwards
Net operating loss carryforwards	176,001,000
State
Net operating loss and tax credit carryforwards
Net operating loss carryforwards	$ 22,229,000

- Definition

The amount of the tax credit carryforward, before tax effects, available to reduce future taxable income under enacted tax laws.

+ References+ Details

Licenses, Royalties and Collaborative Agreements and Commitments (Details) (USD $)	1 Months Ended
	Mar. 31, 1992 License agreement The University	Dec. 31, 2002 Sublicense agreement Corning	Dec. 31, 2002 Sublicense agreement Corning Maximum
Licenses, Royalties and Collaborative Agreements and Commitments
Royalty revenue as a percentage of net sales of products	2.00%	5.00%
Future royalty revenue			$ 50,000,000

Commitments, Contingencies and Debt (Details) (USD $)	0 Months Ended	6 Months Ended	12 Months Ended				285 Months Ended
Commitments, Contingencies and Debt (Details) (USD $)	May 14, 2007	Dec. 31, 2010	Dec. 31, 2012 item	Dec. 31, 2011	Jun. 30, 2010	Dec. 31, 2007 item sqft	Dec. 31, 2012
Commitments, Contingencies and Debt
Area leased						30,000
Lease term	6 years		5 years
Number of five-year market value renewals			2
Period of market value renewals			5 years
Rating class of modular manufacturing clean room, laboratories and office space leased						100,000
Operating leases
Total			$ 3,450,000				$ 3,450,000
2013			1,055,000				1,055,000
2014			992,000				992,000
2015			992,000				992,000
2016			359,000				359,000
More than 5 Years			52,000				52,000
Capital leases
Total			40,000				40,000
2013			34,000				34,000
2014			6,000				6,000
Contractual Obligations
Total			3,490,000				3,490,000
2013			1,089,000				1,089,000
2014			998,000				998,000
2015			992,000				992,000
2016			359,000				359,000
More than 5 Years			52,000				52,000
Rent expense		$ 548,000	$ 1,127,000	$ 1,099,000	$ 1,175,000		$ 13,219,000

Preferred Stock (Details) (USD $)	0 Months Ended		12 Months Ended
Preferred Stock (Details) (USD $)	Aug. 15, 2011 Rights	Jun. 30, 2010	Dec. 31, 2012 Series A Junior Participating Cumulative Preferred Stock item	Dec. 31, 2012 Series A Junior Participating Cumulative Preferred Stock Minimum
Shareholder Rights Plan
Number of rights for each outstanding share of common stock	1
Additional number of rights per common share	1
Number of preferred share purchase rights for each outstanding share of the entity's common stock			0.0001
Par value per share (in dollars per share)		$ 5.00	$ 0
Cash exercise prices (in dollars per unit)			$ 30.00
Preferred stock, shares authorized			45,000
Preferred stock, shares issued			0
Preferred stock, shares outstanding			0
Percentage of common stock to be acquired for rights to be exercisable by an individual or group				15.00%
Percentage of common stock to be owned for rights to be exercisable by an individual or group commencing a tender offer				15.00%
Multiple of the value of common stock acquired (after conversion from preferred) to the exercise price of stock purchase right in the event of an acquiring person event			2
Multiple of the value of common stock acquired to the exercise price of stock purchase right in the event of a merger of the entity			2
Redemption price per right (in dollars per right)			0.001

Preferred Stock (Details 2) (USD $)	12 Months Ended	255 Months Ended	285 Months Ended	12 Months Ended			1 Months Ended	9 Months Ended	12 Months Ended
Preferred Stock (Details 2) (USD $)	Dec. 31, 2012	Jun. 30, 2010	Dec. 31, 2012	Dec. 31, 2012 Series B Preferred Stock	Dec. 31, 2012 Series B Preferred Stock Minimum	Dec. 31, 2012 Series B Preferred Stock Maximum	Mar. 31, 2012 Series B-1 Preferred Stock	Dec. 31, 2012 Series B-1 Preferred Stock	Dec. 31, 2012 Series B-1 Preferred Stock
Series B Convertible Preferred Stock
Number of shares sold							12,308
Offering price per share (in dollars per share)							$ 3,250
Net proceeds from the sale of preferred stock	$ 37,620,000		$ 89,267,000				$ 37,620,000
Ratio for conversion into Series B-2 Preferred Stock									1
Period of closing of offering after which shares are convertible				5 years
Conversion price per share (in dollars per share)				$ 3.25
Percentage of cumulative dividend rate				11.50%
Period for accrual of dividend					5 years	10 years
Preferred stock, shares outstanding				12,308				12,308	12,308
Percentage of accrued dividend rate		5.50%		8.00%
Carrying value of convertible preferred stock	41,613,000		41,613,000					3,923,000	3,923,000
Redemption value								31,102,000	31,102,000
Accretion of carrying value to redemption value								$ 3,923,000
Period to determine redemption value									5 years

Quarterly Financial Data (Unaudited) (Details) (USD $)	3 Months Ended								6 Months Ended	12 Months Ended			255 Months Ended	285 Months Ended
Quarterly Financial Data (Unaudited) (Details) (USD $)	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2012	Dec. 31, 2011	Sep. 30, 2011	Jun. 30, 2011	Mar. 31, 2011	Dec. 31, 2010	Dec. 31, 2012	Dec. 31, 2011	Jun. 30, 2010	Jun. 30, 2010	Dec. 31, 2012
Quarterly Financial Data (Unaudited)
Revenues	$ 19,000			$ 2,000		$ 9,000		$ 9,000	$ 253,000	$ 21,000	$ 18,000	$ 89,000		$ 13,904,000
Loss from operations	(7,617,000)	(8,285,000)	(9,300,000)	(8,558,000)	(7,834,000)	(7,439,000)	(7,507,000)	(6,260,000)	(11,623,000)	(33,760,000)	(29,040,000)	(17,804,000)		(298,471,000)
Net loss attributable to common shareholders	(7,905,000)	(7,252,000)	(8,566,000)	(9,744,000)	(2,789,000)	(1,934,000)	(9,957,000)	(4,988,000)	(19,088,000)	(33,467,000)	(19,668,000)	(14,558,000)	(202,124,000)	(275,315,000)
Net loss per common share attributable to common shareholders (in dollars per share)	$ (0.18)	$ (0.17)	$ (0.22)	$ (0.25)	$ (0.07)	$ (0.05)	$ (0.26)	$ (0.13)	$ (0.65)	$ (0.81)	$ (0.51)	$ (0.59)
(Increase) decrease in fair value of warrants	$ 959,000	$ 2,241,000	$ 1,948,000	$ (900,000)	$ 5,044,000	$ 5,496,000	$ (2,465,000)	$ 1,254,000	$ (7,500,000)	$ 4,248,000	$ 9,329,000	$ 3,171,000		$ 16,537,000

Employee Savings Plan (Details) (USD $)	6 Months Ended	12 Months Ended			285 Months Ended
Employee Savings Plan (Details) (USD $)	Dec. 31, 2010	Dec. 31, 2012	Dec. 31, 2011	Jun. 30, 2010	Dec. 31, 2012
Employee Savings Plan
Contributions made under 401(k) savings plan	$ 88,000	$ 202,000	$ 159,000	$ 200,000	$ 1,906,000