|
Consolidated Statements of Cash Flows (USD $)
|
6 Months Ended |
12 Months Ended |
|
Jun. 30, 2013
|
Jun. 30, 2012
|
Dec. 31, 2012
|
Dec. 31, 2011
|
| Cash Flows From Operating Activities: |
|
|
|
|
| Net loss |
$ (9,783,789) |
$ (9,853,389) |
$ (18,952,795) |
$ (23,280,950) |
| Adjustments to reconcile net loss to net cash (used in) provided by operating activities: |
|
|
|
|
| Depreciation |
333,383 |
199,750 |
475,320 |
171,587 |
| Bad debt |
105,271 |
9,490 |
9,490 |
120,477 |
| Warrants issued for services - third parties |
|
|
0 |
1,989,982 |
| Amortization of prepaid stock compensation and athlete endorsement stock payments |
3,419,698 |
456,903 |
715,661 |
1,745,705 |
| Amortization of debt discount |
0 |
3,083,437 |
6,122,006 |
3,237,219 |
| Amortization of debt issue costs |
335,433 |
184,031 |
394,964 |
229,499 |
| Amortization of deferred compensation |
|
|
149,966 |
0 |
| (Gain) loss on settlement of accounts payable |
|
|
0 |
2,123,129 |
| Additional consideration given for early debt retirement |
|
|
779,500 |
0 |
| Loss on conversion of debt |
|
|
351,021 |
1,739,329 |
| Loss on conversion of preferred shares |
|
|
614,984 |
0 |
| Loss on conversion of warrants |
|
|
315,364 |
0 |
| Loss on repayment of debt |
|
|
1,196,321 |
0 |
| Derivative expense |
96,913 |
2,486,451 |
4,409,214 |
4,777,654 |
| Executive compensation |
|
|
231,833 |
0 |
| Change in fair value of derivative liabilities |
5,771,963 |
(1,496,874) |
(5,899,968) |
(5,162,100) |
| Changes in operating assets and liabilities: |
|
|
|
|
| Restricted cash balance |
9,148 |
(52,744) |
(9,148) |
0 |
| Accounts receivable |
(5,713,366) |
502,193 |
(742,742) |
(2,262,808) |
| Prepaid and other |
(1,242,246) |
186,725 |
(16,098) |
(203,333) |
| Deferred equity costs |
|
|
(698,500) |
0 |
| Inventory and prepaid giveaways |
86,866 |
(219,276) |
(616,775) |
0 |
| Other |
|
|
0 |
7,877 |
| Increase (decrease) in: |
|
|
|
|
| Accounts payable and accrued liabilities |
2,052,010 |
867,058 |
10,144,621 |
7,581,564 |
| Customer deposits |
(311,438) |
1,142,426 |
328,164 |
(67,686) |
| Net Cash (Used In) Provided by Operating Activities |
(5,164,810) |
438,007 |
(697,597) |
(5,801,761) |
| Cash Flows From Investing Activities: |
|
|
|
|
| Purchase of property and equipment |
(307,760) |
(544,859) |
(924,162) |
(831,511) |
| Purchase of other assets |
|
|
(41,165) |
0 |
| Proceeds from disposal of property and equipment |
1,694 |
0 |
|
|
| Purchase of trademark |
(47,500) |
(35,000) |
|
|
| Net Cash Used In Investing Activities |
(353,566) |
(579,859) |
(965,327) |
(831,511) |
| Cash Flows From Financing Activities: |
|
|
|
|
| Proceeds from issuance of debt |
0 |
4,073,950 |
5,823,950 |
6,612,900 |
| Debt issue costs |
0 |
(106,950) |
(234,450) |
(263,283) |
| Repayment of debt |
(4,393,234) |
(4,058,442) |
(5,847,575) |
(75,285) |
| Repurchase of common stock (treasury stock) |
(103,537) |
(460,978) |
(460,978) |
0 |
| Proceeds from issuance of preferred stock |
12,000,000 |
0 |
0 |
100,000 |
| Proceeds from issuance of common stock and warrants - net of recapitalization payment |
8,327,499 |
285,760 |
1,660,760 |
875,000 |
| Stock issuance costs |
(1,662,667) |
0 |
|
|
| Cash overdraft |
|
|
69,370 |
0 |
| Net Cash Provided by (Used In) Financing Activities |
14,168,061 |
(266,660) |
1,011,077 |
7,249,332 |
| Effects of foreign currency translation: |
|
|
|
|
| Foreign currency translation loss |
6,076 |
40,719 |
(7,917) |
0 |
| Net Cash Provided by Equity Activities |
6,076 |
40,719 |
|
|
| Net increase (decrease) in cash |
8,655,761 |
(367,793) |
(659,764) |
616,060 |
| Cash at beginning of period |
0 |
659,764 |
659,764 |
43,704 |
| Cash at end of period |
8,655,761 |
291,971 |
0 |
659,764 |
| Supplemental disclosures of cash flow information: |
|
|
|
|
| Cash paid for interest |
410,502 |
265,078 |
501,165 |
28,806 |
| Cash paid for taxes |
0 |
0 |
|
|
| Supplemental disclosure of non-cash investing and financing activities: |
|
|
|
|
| Stock issued for future services - third parties |
4,409,897 |
200,000 |
1,107,719 |
214,250 |
| Non cash increase in accounts payable related to future services to be paid for with common stock |
|
|
0 |
100,000 |
| Warrants issued in conjunction with debt issue costs |
8,175,459 |
427,759 |
427,759 |
0 |
| Debt discount recorded on convertible and unsecured debt accounted for as a derivative liability |
0 |
3,554,672 |
3,554,672 |
5,473,291 |
| Stock issued to settle accounts payable and accrued expenses - third parties |
5,484,947 |
4,667,764 |
1,392,143 |
1,440,779 |
| Conversion of convertible debt and accrued interest for common stock |
0 |
1,069,402 |
1,069,402 |
3,387,480 |
| Stock issued for interest |
|
|
334,099 |
0 |
| Stock issued to settle accrued executive compensation |
|
|
4,667,764 |
0 |
| Stock issued for board member compensation |
|
|
18,750 |
0 |
| Stock issued for executive and board compensation |
114,912 |
0 |
|
|
| Reclassification of derivative liability to additional paid in capital and warrant settlements (2012 only) |
0 |
4,124,387 |
9,784,748 |
640,826 |
| Stock issued to acquire equipment |
|
|
0 |
82,811 |
| Auto acquired through financing |
|
|
0 |
26,236 |
| Dividends on Series C Preferred Stock - related parties |
|
|
0 |
293 |
| Stock issued to settle contracts |
0 |
3,932 |
3,932 |
0 |
| Stock issued to settle accrued liabilities |
0 |
135,000 |
384,500 |
0 |
|
Conversion Of Series C Preferred Stock [Member]
|
|
|
|
|
| Adjustments to reconcile net loss to net cash (used in) provided by operating activities: |
|
|
|
|
| (Gain) loss on settlement of accounts payable |
(324,656) |
2,941,826 |
|
|
|
Services [Member] | Third parties [Member]
|
|
|
|
|
| Adjustments to reconcile net loss to net cash (used in) provided by operating activities: |
|
|
|
|
| Stock Issued For Services Third Parties |
|
|
0 |
1,289,844 |
|
Extension Of Debt Maturity [Member]
|
|
|
|
|
| Adjustments to reconcile net loss to net cash (used in) provided by operating activities: |
|
|
|
|
| Stock Issued For Services Third Parties |
|
|
$ 0 |
$ 161,250 |