AirTouch Communications, Inc.

CIK:0001403720|SEC Filings

Statements of Operations (Unaudited) (USD $)	3 Months Ended		9 Months Ended
Statements of Operations (Unaudited) (USD $)	Sep. 30, 2012	Sep. 30, 2011	Sep. 30, 2012	Sep. 30, 2011
Income Statement [Abstract]
Net revenue	$ 1,031,747		$ 1,805,414	$ 477,217
Cost of sales and expenses:
Cost of sales	1,362,077		2,014,714	354,399
Selling, general, and administrative	1,158,186	1,604,519	305,463	3,151,855
Research and development	279,283	639,050	1,650,772	1,679,259
Total operating expenses	2,799,546	2,243,569	8,509,337	5,185,513
Loss from operations	(1,767,799)	(243,569)	(6,703,923)	(708,296)
Other expenses
Interest expense	67,173	11,946	156,277	712,732
Adjustment in fair value of warrants issued				1,176,222
Other expense (income), net	16,450	(28,312)	69,615	(29,857)
Total other expenses (income), net	83,624	(16,366)	225,892	1,859,097
Loss before income tax benefit	(1,851,423)	(2,227,203)	(6,929,815)	(6,567,393)
Income tax benefit (expenses)	(61)	(1,600)	28,641	(2,400)
Net loss	(1,851,484)	(2,228,803)	(6,901,174)	(6,569,793)
Attributable to:
AirTouch Communications, Inc.	(1,852,399)	(2,328,426)	(6,950,050)	(6,649,342)
Non-controlling interest	915	99,623	48,874	79,549
Net loss:	(1,851,484)	(2,228,803)	(6,901,174)	(6,569,793)
Other comprehensive loss, before tax
Foreign currency translation adjustment	(3,925)		(7,177)
Other comprehensive loss, before tax	(3,925)		(7,177)
Income tax expense related to other comprehensive loss
Other comprehensive loss, net of tax	(3,925)		(7,177)
Comprehensive loss	(1,855,489)	(2,228,803)	(6,908,351)	(6,569,793)
Attributable to:
Non-controlling interest	915	99,623	48,874	79,549
AirTouch Communications, Inc.	$ (1,856,324)	$ (2,328,426)	$ (6,957,225)	$ (6,649,342)
Loss per share basic and diluted	$ (0.09)	$ (0.12)	$ (0.34)	$ (0.56)
Weighted average common shares outstanding	20,545,128	19,217,826	20,134,922	11,789,172

Statements of Cash Flows (Unaudited) (USD $)	9 Months Ended
Statements of Cash Flows (Unaudited) (USD $)	Sep. 30, 2012	Sep. 30, 2011
Operating Activities:
Net loss	$ (6,901,174)	$ (6,569,793)
Adjustments to reconcile net loss to net cash used in operating activities
Depreciation and amortization	116,365	40,695
Loss on investment in joint venture under equity method	69,595
Loss on disposal of fixed assets	1,039	0
Net loss attributable to non-controlling interest in subsidiary	48,874	0
Convertion of warrants into common stock	449	0
Stock based compensation	1,561,267	263,730
Change in fair value of derivative liability		1,814,493
Accounts receivable	(1,455,487)
Inventory	(166,777)	(381,344)
Prepaid expenses	(5,523)	(317,213)
Deferred financing costs	(6,000)	46,400
Deposits	5,387	4,410
Accounts payable	1,063,520	(305,302)
Accrued interest payable	56,438
Accrued expenses	65,294	(219,231)
Net cash used in operating activities	(5,649,608)	(5,623,155)
Changes in restricted certificate of deposit	(134)
Investment in certificates of deposit		(2,030,020)
Release of certificates of deposit	2,000,000
Investment in patents	(33,212)	(14,927)
Purchases of equipment	(41,394)	(110,634)
Net cash provided by (used in) investing activities	1,925,260	(2,155,581)
Financing Activities:
Proceeds from the sale of convertible notes		2,471,428
Proceeds from the sale of common stock, net of cost		11,018,081
Proceeds from the sale of common stock of variable interest entity		15,300
Proceeds from note payable	1,000,000	(94,500)
Repayment to note payable	(30,000)
Payments on capital lease obligation	(13,491)	(4,467)
Net cash provided by financing activities	956,509	13,491,817
Effect of foreign currency translation	(6,386)
Net decrease in cash	(2,774,226)	5,713,081
Cash at beginning of period	3,079,566	201,299
Cash at end of period	305,340
Supplemental disclosure of cash flow information
Cash paid for interest	156,277	56,594
Supplemental disclosure of non-cash investing and financing activities
Conversion of warrants into common stock	449	0
Property and equipment acquired under capital lease	17,399	0
Issuance of common stock for service	$ 1,245,636	$ 105,000

Balance Sheets (Unaudited) (USD $)	Sep. 30, 2012	Dec. 31, 2011
Current assets
Cash	$ 305,340	$ 3,079,566
Certificate of deposit		2,000,000
Restricted certificate of deposit	50,163	50,029
Accounts receivable, net	1,455,487
Inventories	933,270	766,493
Prepaid expenses	729,518	724,617
Deferred financing costs	60,000
Total current assets	3,533,778	6,620,705
Deposits	25,096	30,594
Investment in joint venture	70,103	139,697
Property and equipment, net	221,693	265,555
Intangible assets, net	206,949	188,486
Total assets	4,057,619	7,245,037
Current liabilities
Accounts payable	1,646,505	582,986
Accrued expenses	191,828	126,476
Note payables	970,000
Accrued interest payable	56,438
Current portion of capital lease obligation	6,919	8,298
Total current liabilities	2,871,690	717,760
Capital lease obligation, net of current portion	5,318	30
Total liabilities	2,877,008	717,790
Stockholders' equity
Preferred stock, 25,000,000 shares authorized, par value $0.001, none issued or outstanding
Common stock, 100,000,000 shares authorized, par value $0.001, 20,642,381 and 19,379,569 share issued and outstanding, respectively	20,642	19,380
Additional paid-in capital	24,153,361	22,592,907
Noncontrolling interest in variable interest entity	88,056	39,182
Accumulated deficit	(23,074,271)	(16,124,221)
Other comprehensive loss	(7,177)
Total stockholders' equity	1,180,611	6,527,247
Total liabilities and stockholders' equity	$ 4,057,619	$ 7,245,037