16. Revisions of Financial Statements (unaudited)

In connection with the preparation of our financial statements, our management and the audit committee of our board of directors determined that our accounting treatment and valuations pertaining to the PATrOL™ technology license, as described in Note 4, should be modified. This change in accounting treatment resulted in an increase in total operating expenses of approximately $0.9 million on our Consolidated Statements of Operations and a decrease in intangible assets of approximately $1.5 million on our Consolidated Balance Sheet. In connection with the valuation adjustments to the PATrOL™ technology license, we also determined that valuations pertaining to certain share-based awards should also be adjusted. This change in valuation to share-based awards resulted in a decrease in total operating expenses of approximately $0.3 million on our Consolidated Statements of Operations.