v2.4.0.8

Consolidated Statements Of Operations (USD $) In Thousands, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Revenues:
Subscription	$ 6,709	$ 4,524	$ 2,407
License	3,011	8,770	20,002
Service and support	11,342	14,849	18,670
Total revenues	21,062	28,143	41,079
Cost of revenues:
Cost of subscription	1,247	1,110	613
Cost of license	258	974	1,412
Cost of service and support	3,404	5,704	8,663
Total cost of revenues	4,909	7,788	10,688
Gross profit	16,153	20,355	30,391
Operating expenses:
Sales and marketing	9,105	15,368	17,979
Research and development	3,778	6,998	10,324
General and administrative	5,277	7,549	8,413
Impairment of goodwill	4,568
Restructuring	219	1,462
Total operating expenses	22,947	31,377	36,716
Operating loss	(6,794)	(11,022)	(6,325)
Interest and other income (expense), net	(41)	1,560	13
Loss before provision for income taxes	(6,835)	(9,462)	(6,312)
Provision (benefit) for income taxes	(631)	188	164
Net loss	$ (6,204)	$ (9,650)	$ (6,476)
Net loss per share:
Basic and diluted net loss per share	$ (0.26)	$ (0.43)	$ (0.34)
Weighted average shares used in computation of per share data:
Basic and diluted weighted average shares outstanding	23,673	22,310	18,870

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SCIENTIFIC LEARNING CORP 10-K