Quarterly report pursuant to sections 13 or 15(d)


6 Months Ended
Sep. 30, 2013


  2. Liquidity

The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America. The Company’s consolidated financial statements have been presented on the basis that it is a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business.

In the Form 10-K filing of our fiscal year ended March 31, 2013, our report of independent registered public accounting firm included an unqualified audit opinion with an emphasis of matter paragraph related to the going concern.

Our primary sources of liquidity have historically been issuance of common and preferred stock and borrowings under credit facilities. In fiscal years 2012 and 2013, the Company raised $9.7 and $2.6 million, respectively, through issuance of convertible debt and equity financings and an additional $3 million through restructuring of existing debt to convertible debt.

In the six months ended September 30, 2013, the Company has raised $14.9 million through the sale of its common stock. We anticipate that our primary sources of liquidity will be cash generated by our operating activities, and that the cash generated will be sufficient to meet our working capital needs.