v3.2.0.727

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net loss	$ (929)	$ (1,062)
Adjustment to reconcile net loss to net cash used in operating activities
Increase in allowance for doubtful accounts	0	30
Depreciation and amortization	66	74
Gain on sale of property and equipment	(22)	0
Stock based compensation	159	0
Derivative gain	(55)	(738)
Common stock issued for services	29	35
Accretion of debt discount	230	1,098
Changes in operating assets and liabilities:
Accounts receivable	5	3
Inventories	9	12
Prepaid expenses and other assets	4	62
Accounts payable, trade and accrued liabilities	7	(215)
Customer deposits	0	(658)
Unearned revenue	0	(21)
Net cash used in operating activities	(497)	(1,380)
Cash flows from investing activities:
Proceeds from sale of property and equipment	45	0
Purchase of property and equipment	0	(8)
Net cash provided by (used in) investing activities	45	(8)
Cash flows from financing activities:
Borrowings under note payable	20	0
Payments on note payable	(7)	(45)
Noninterest bearing advances	135	0
Payment of noninterest bearing advances	(65)	(370)
Proceeds from convertible debt	0	433
Proceeds from issuance of common stock	250	0
Net cash provided by financing activities	333	18
Net decrease in cash and cash equivalents	(119)	(1,370)
Cash and cash equivalents, beginning of period	208	1,744
Cash and cash equivalents, end of period	89	374
Supplemental cash flow information:
Interest paid	14	0
Income taxes paid	0	0
Non-cash disclosures:
Conversion of convertible debentures, accrued interest and derivative liability to common stock	0	7,920
Debt discount / increase in derivative liability	0	433
Disposal of obsolete inventory offset against reserve	175	0
Series B Preferred Stock
Non-cash disclosures:
Conversion of preferred stock to common stock	13	20
Series S Preferred Stock
Non-cash disclosures:
Conversion of preferred stock to common stock	0	25
Series H Preferred Stock
Non-cash disclosures:
Conversion of preferred stock to common stock	$ 0	$ 125

Conversation of convertible debenture, accrued interest and derivative liability to Common stock payable.

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POSITRON CORP 10-Q