Annual report pursuant to Section 13 and 15(d)


12 Months Ended
Dec. 31, 2015
Inventory Disclosure [Abstract]  



Inventory consists of the following as of:


    December 31, 2015     December 31, 2014  
Processed materials   $ -     $ 958,575  
Total inventories   $ -     $ 958,575  


On January 5, 2016, the Company was informed by one of its production partners that there were certain technical issues which, together with other business and regulatory issues, materially impede the formulation of one of its potential products as a commercially viable product for the consumer health market. The Company, therefore, decided to suspend development of this product line. In evaluating this triggering event and the diminished utility of the materials used in the production of this potential commercial product, the Company considered the impact of FASB ASC No. 330, Accounting for Inventory, and recognized a loss on impairment of $958,575 as of December 31, 2015.


At December 31, 2014, inventory in the amount of $924,452 was stored at one of the Company’s suppliers located in Germany, with the balance of the inventory maintained in the United States. During the year ended December 31, 2014, the Company utilized $28,099 in Astaxanthin as part of commercial product research and development.