BALANCE SHEET
Current assets show a significant reduction to US$2.7 million (2008: US$12.2 million). Cash and cash equivalents reduced to US$1.3 million (2008: US$9.2 million) from funding the operating loss for the year. Trade and other receivables remained level at US$0.6 million (2008: US$0.6 million) and inventories reduced to US$0.6 million (2008: US$1.7 million) largely from a write off of Sustainable Solutions inventory some of which we are seeking to recover in 2010. Prepayments and short-term deposits reduced to US$0.2 million (2008: US$0.8 million) due largely to prepayments in Sustainable Solutions for inventory in 2008 which was acquired in 2009.
Non-current assets reduced by US$0.4 million (2008: US$0.1 million). We acquired
a minimal amount of non-current assets of US$34 thousand (2008: US$405 thousand) which was largely made up of information technology infrastructure (2008: US$0.1 million); in 2008 we also spent US$0.3 million for completion of the fit-out of new offices and
laboratories to accommodate the expansion of our staff. These acquisitions were offset
by a depreciation charge of US$0.5 million (2008: US$0.5 million).
Total liabilities increased to US$3.5 million (2008: US$2.9 million). The accounts payable and accrued liabilities have increased to US$2.9 million (2008: US$1.7 million) with a provision for severance costs at the end of 2009 of US$0.5 million, amongst other items. The deferred revenue has reduced by over 50% to US$0.5 million (2008: US$1.2 million) largely due to changes in the Kraft contract, the timing and size of milestone payments and when they are recognized as revenue. The deferred revenue outstanding at the end of 2009 is expected to be recorded as revenue during 2010. The warrant liability relating to warrants issued to the underwriters of the IPO has continued to have a negligible value. A long-term liability has been recorded for our obligations to fund half of
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