0000749647
2019-01-01
2019-06-30
0000749647
2018-12-31
0000749647
2019-06-30
0000749647
2017-01-01
2017-12-31
0000749647
us-gaap:CorporateDebtSecuritiesMember
2018-12-31
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel1Member
2018-12-31
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel2Member
2018-12-31
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel3Member
2018-12-31
0000749647
us-gaap:FairValueMeasurementsRecurringMember
2018-12-31
0000749647
CLSN:EGENIncMember
CLSN:PurchaseAgreementMember
2019-01-01
2019-06-30
0000749647
CLSN:EGENIncMember
CLSN:OvarianCancerMember
2018-12-31
0000749647
CLSN:EGENIncMember
srt:MaximumMember
2014-06-20
0000749647
CLSN:EGENIncMember
CLSN:PurchaseAgreementMember
2018-01-01
2018-06-30
0000749647
us-gaap:EmployeeStockOptionMember
2018-12-31
0000749647
us-gaap:RestrictedStockMember
2018-12-31
0000749647
CLSN:EGENIncMember
2014-06-20
0000749647
CLSN:EGENIncMember
2014-06-19
2014-06-20
0000749647
CLSN:EGENIncMember
srt:MinimumMember
2014-06-20
0000749647
CLSN:EGENIncMember
2017-01-01
2017-12-31
0000749647
CLSN:EGENIncMember
srt:MinimumMember
2014-06-19
2014-06-20
0000749647
CLSN:EGENIncMember
srt:MaximumMember
2014-06-18
2014-06-20
0000749647
srt:MinimumMember
2017-01-01
2017-12-31
0000749647
srt:MaximumMember
2017-01-01
2017-12-31
0000749647
CLSN:HisunMember
2013-01-17
2013-01-18
0000749647
CLSN:LoanAgreementMember
CLSN:HorizonTechnologyFinanceCorporationMember
2018-06-27
0000749647
CLSN:HorizonCreditAgreementMember
2018-06-26
2018-06-27
0000749647
CLSN:HorizonCreditAgreementMember
2019-01-01
2019-06-30
0000749647
CLSN:HorizonWarrantMember
CLSN:HorizonCreditAgreementMember
2018-06-27
0000749647
2013-03-31
0000749647
2013-01-01
2013-03-31
0000749647
CLSN:HorizonCreditAgreementMember
us-gaap:LondonInterbankOfferedRateLIBORMember
2018-06-27
0000749647
CLSN:IPRAndDDrugTechnologyPlatformsMember
2016-12-30
2016-12-31
0000749647
2018-04-01
2018-06-30
0000749647
CLSN:InducementOptionGrantsMember
CLSN:FiveNewEmployeesMember
us-gaap:CommonStockMember
2018-09-28
0000749647
CLSN:InducementOptionGrantsMember
CLSN:FiveNewEmployeesMember
2018-09-27
2018-09-28
0000749647
CLSN:InducementOptionGrantsMember
CLSN:FiveNewEmployeesMember
us-gaap:RestrictedStockMember
2018-09-28
0000749647
us-gaap:CommonStockMember
2017-12-31
0000749647
us-gaap:CommonStockMember
2018-12-31
0000749647
us-gaap:AdditionalPaidInCapitalMember
2017-12-31
0000749647
us-gaap:AdditionalPaidInCapitalMember
2018-12-31
0000749647
us-gaap:TreasuryStockMember
2017-12-31
0000749647
us-gaap:TreasuryStockMember
2018-12-31
0000749647
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2017-12-31
0000749647
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2018-12-31
0000749647
us-gaap:RetainedEarningsMember
2017-12-31
0000749647
us-gaap:RetainedEarningsMember
2018-12-31
0000749647
2018-06-30
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:CorporateDebtSecuritiesMember
2018-12-31
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel1Member
us-gaap:CorporateDebtSecuritiesMember
2018-12-31
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel2Member
us-gaap:CorporateDebtSecuritiesMember
2018-12-31
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel3Member
us-gaap:CorporateDebtSecuritiesMember
2018-12-31
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel1Member
us-gaap:CorporateDebtSecuritiesMember
2019-06-30
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel2Member
us-gaap:CorporateDebtSecuritiesMember
2019-06-30
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel3Member
us-gaap:CorporateDebtSecuritiesMember
2019-06-30
0000749647
CLSN:HorizonCreditAgreementMember
2018-06-27
0000749647
2018-09-01
2018-09-30
0000749647
CLSN:AspirePurchaseAgreementMember
2018-08-29
2018-08-31
0000749647
CLSN:AspirePurchaseAgreementMember
2018-09-01
2018-09-30
0000749647
CLSN:AspirePurchaseAgreementMember
2018-01-01
2018-12-31
0000749647
CLSN:CapitalOnDemandTMSalesAgreementMember
2018-12-02
2018-12-04
0000749647
2011-07-01
2011-07-31
0000749647
2011-07-31
0000749647
stpr:NJ
2019-01-02
0000749647
us-gaap:GoodwillMember
2019-01-01
2019-06-30
0000749647
CLSN:IPRAndDMember
2019-01-01
2019-06-30
0000749647
CLSN:IPRAndDMember
2018-12-31
0000749647
us-gaap:GoodwillMember
2018-12-31
0000749647
CLSN:AspirePurchaseAgreementMember
2019-01-01
2019-06-30
0000749647
CLSN:CapitalOnDemandAgreementMember
2019-01-01
2019-06-30
0000749647
2019-08-13
0000749647
2018-01-01
2018-06-30
0000749647
2017-12-31
0000749647
stpr:NJ
srt:MaximumMember
2019-01-01
2019-06-30
0000749647
2018-01-01
2018-12-31
0000749647
us-gaap:CorporateDebtSecuritiesMember
2019-06-30
0000749647
2018-03-31
0000749647
us-gaap:FairValueMeasurementsRecurringMember
2019-06-30
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel1Member
2019-06-30
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel2Member
2019-06-30
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:FairValueInputsLevel3Member
2019-06-30
0000749647
us-gaap:NoncompeteAgreementsMember
2019-06-30
0000749647
CLSN:TwoThousandAndEighteenStockIncentivePlanMember
2019-06-30
0000749647
CLSN:TwoThousandAndSevenStockIncentivePlanMember
2019-06-30
0000749647
CLSN:TwoThousandAndEighteenStockIncentivePlanMember
srt:MinimumMember
2019-06-30
0000749647
us-gaap:EmployeeStockOptionMember
2019-01-01
2019-06-30
0000749647
us-gaap:RestrictedStockMember
2019-01-01
2019-06-30
0000749647
srt:MinimumMember
2019-01-01
2019-06-30
0000749647
srt:MaximumMember
2019-01-01
2019-06-30
0000749647
srt:MinimumMember
2018-01-01
2018-06-30
0000749647
us-gaap:CommonStockMember
2019-01-01
2019-06-30
0000749647
us-gaap:CommonStockMember
2018-01-01
2018-06-30
0000749647
us-gaap:CommonStockMember
2019-06-30
0000749647
us-gaap:CommonStockMember
2018-06-30
0000749647
us-gaap:AdditionalPaidInCapitalMember
2019-01-01
2019-06-30
0000749647
us-gaap:AdditionalPaidInCapitalMember
2018-01-01
2018-06-30
0000749647
us-gaap:AdditionalPaidInCapitalMember
2019-06-30
0000749647
us-gaap:AdditionalPaidInCapitalMember
2018-06-30
0000749647
us-gaap:TreasuryStockMember
2019-01-01
2019-06-30
0000749647
us-gaap:TreasuryStockMember
2018-01-01
2018-06-30
0000749647
us-gaap:TreasuryStockMember
2019-06-30
0000749647
us-gaap:TreasuryStockMember
2018-06-30
0000749647
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2019-01-01
2019-06-30
0000749647
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2018-01-01
2018-06-30
0000749647
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2019-06-30
0000749647
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2018-06-30
0000749647
us-gaap:RetainedEarningsMember
2019-01-01
2019-06-30
0000749647
us-gaap:RetainedEarningsMember
2018-01-01
2018-06-30
0000749647
us-gaap:RetainedEarningsMember
2019-06-30
0000749647
us-gaap:RetainedEarningsMember
2018-06-30
0000749647
stpr:NJ
2019-06-30
0000749647
us-gaap:AccountingStandardsUpdate201602Member
2019-01-02
0000749647
us-gaap:FairValueMeasurementsRecurringMember
us-gaap:CorporateDebtSecuritiesMember
2019-06-30
0000749647
CLSN:IPRAndDMember
2019-06-30
0000749647
us-gaap:GoodwillMember
2019-06-30
0000749647
CLSN:EGENIncMember
CLSN:GlioblastomaMultiformeBrainCancerMember
2017-09-29
2017-09-30
0000749647
CLSN:EGENIncMember
CLSN:GlioblastomaMultiformeBrainCancerMember
2018-09-29
2018-09-30
0000749647
CLSN:EGENIncMember
CLSN:OvarianCancerMember
2019-06-30
0000749647
CLSN:AspirePurchaseAgreementMember
2019-06-30
0000749647
CLSN:HorizonCreditAgreementMember
2018-12-31
0000749647
CLSN:AspirePurchaseAgreementMember
us-gaap:SubsequentEventMember
2019-07-01
2019-08-13
0000749647
CLSN:CapitalOnDemandAgreementMember
2019-06-30
0000749647
CLSN:CapitalOnDemandAgreementMember
us-gaap:SubsequentEventMember
2019-07-01
2019-08-13
0000749647
CLSN:InducementOptionGrantsMember
CLSN:FiveNewEmployeesMember
us-gaap:CommonStockMember
2019-02-19
0000749647
CLSN:InducementOptionGrantsMember
CLSN:FiveNewEmployeesMember
us-gaap:RestrictedStockMember
2019-02-19
0000749647
CLSN:InducementOptionGrantsMember
CLSN:FiveNewEmployeesMember
2019-02-18
2019-02-19
0000749647
CLSN:EquityStockAwardsMember
2019-06-30
0000749647
CLSN:InducementAwardsMember
2019-06-30
0000749647
us-gaap:RestrictedStockMember
2018-01-01
2018-06-30
0000749647
us-gaap:EmployeeStockOptionMember
2018-01-01
2018-06-30
0000749647
us-gaap:ResearchAndDevelopmentExpenseMember
2019-01-01
2019-06-30
0000749647
us-gaap:ResearchAndDevelopmentExpenseMember
2018-01-01
2018-06-30
0000749647
us-gaap:GeneralAndAdministrativeExpenseMember
2019-01-01
2019-06-30
0000749647
us-gaap:GeneralAndAdministrativeExpenseMember
2018-01-01
2018-06-30
0000749647
us-gaap:EmployeeStockOptionMember
2019-06-30
0000749647
us-gaap:RestrictedStockMember
2019-06-30
0000749647
CLSN:EGENIncMember
CLSN:AmendedAssetPurchaseAgreementMember
CLSN:CertainBusinessDaysOfAchievingMilestoneMember
2019-03-28
0000749647
CLSN:EGENIncMember
CLSN:AmendedAssetPurchaseAgreementMember
2019-03-28
0000749647
CLSN:EGENIncMember
CLSN:AmendedAssetPurchaseAgreementMember
CLSN:AchievingMilestoneWithInOneYearMember
2019-03-28
0000749647
CLSN:EGENIncMember
2018-06-30
0000749647
CLSN:EGENIncMember
CLSN:FairValueEarnoutMilestoneLiabilityMember
2019-01-01
2019-06-30
0000749647
CLSN:EGENIncMember
CLSN:AmendedAssetPurchaseAgreementOptionPaymentOneMember
2019-03-31
0000749647
CLSN:EGENIncMember
CLSN:AmendedAssetPurchaseAgreementOptionPaymentTwoMember
2019-06-30
0000749647
CLSN:EGENIncMember
CLSN:AmendedAssetPurchaseAgreementOptionPaymentOneMember
2019-01-01
2019-03-31
0000749647
CLSN:EGENIncMember
CLSN:AmendedAssetPurchaseAgreementOptionPaymentTwoMember
2019-01-01
2019-03-03
0000749647
CLSN:EGENIncMember
2018-01-01
2018-06-30
0000749647
CLSN:EGENIncMember
CLSN:RecognizedNonCashChargeMember
2018-01-01
2018-06-30
0000749647
srt:MaximumMember
2018-06-30
0000749647
srt:MaximumMember
2017-12-31
0000749647
srt:MinimumMember
2018-06-30
0000749647
srt:MinimumMember
2017-12-31
0000749647
CLSN:EGWUIncMember
2019-01-01
2019-06-30
0000749647
CLSN:FirstLeaseAmendmentMember
CLSN:FirstYearMember
2019-01-01
2019-06-30
0000749647
CLSN:SecondLeaseAmendmentMember
CLSN:FirstYearMember
2019-01-01
2019-06-30
0000749647
CLSN:EGENAssetPurchaseAgreementMember
2018-01-01
2018-01-31
0000749647
us-gaap:AccountingStandardsUpdate201602Member
2019-06-30
0000749647
CLSN:RevenueRatablyThroughTwentyTwentyTwoMember
2019-06-30
0000749647
srt:MaximumMember
2018-01-01
2018-06-30
0000749647
CLSN:EGENIncMember
CLSN:IPRAndDDrugTechnologyPlatformsMember
2019-01-01
2019-06-30
0000749647
CLSN:EGENIncMember
2019-01-01
2019-06-30
0000749647
CLSN:FirstLeaseAmendmentMember
CLSN:FinalYearMember
2019-01-01
2019-06-30
0000749647
CLSN:SecondLeaseAmendmentMember
CLSN:FinalYearMember
2019-01-01
2019-06-30
0000749647
CLSN:AllOtherWarrantsMember
2019-01-01
2019-06-30
0000749647
CLSN:AllOtherWarrantsMember
2019-06-30
0000749647
2019-01-02
0000749647
2018-12-30
2019-01-02
0000749647
2019-04-01
2019-06-30
0000749647
us-gaap:CommonStockMember
2018-04-01
2018-06-30
0000749647
us-gaap:CommonStockMember
2018-03-31
0000749647
us-gaap:AdditionalPaidInCapitalMember
2018-04-01
2018-06-30
0000749647
us-gaap:AdditionalPaidInCapitalMember
2018-03-31
0000749647
us-gaap:TreasuryStockMember
2018-03-31
0000749647
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2018-04-01
2018-06-30
0000749647
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2018-03-31
0000749647
us-gaap:RetainedEarningsMember
2018-04-01
2018-06-30
0000749647
us-gaap:RetainedEarningsMember
2018-03-31
0000749647
us-gaap:CommonStockMember
2019-04-01
2019-06-30
0000749647
us-gaap:CommonStockMember
2019-03-31
0000749647
us-gaap:AdditionalPaidInCapitalMember
2019-04-01
2019-06-30
0000749647
us-gaap:AdditionalPaidInCapitalMember
2019-03-31
0000749647
us-gaap:TreasuryStockMember
2019-03-31
0000749647
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2019-04-01
2019-06-30
0000749647
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2019-03-31
0000749647
us-gaap:RetainedEarningsMember
2019-04-01
2019-06-30
0000749647
us-gaap:RetainedEarningsMember
2019-03-31
0000749647
2019-03-31
0000749647
stpr:NJ
2018-09-01
2018-09-30
0000749647
stpr:NJ
2018-12-01
2018-12-31
0000749647
CLSN:EGENIncMember
2014-06-18
2014-06-20
0000749647
CLSN:EGENIncMember
CLSN:PurchaseAgreementMember
2019-04-01
2019-06-30
0000749647
CLSN:EGENIncMember
CLSN:PurchaseAgreementMember
2018-04-01
2018-06-30
0000749647
CLSN:HorizonCreditAgreementMember
2019-04-01
2019-06-30
0000749647
CLSN:HorizonCreditAgreementMember
2018-04-01
2018-06-30
0000749647
CLSN:HorizonCreditAgreementMember
2018-01-01
2018-06-30
0000749647
CLSN:ATMAgreementMember
srt:MaximumMember
2013-01-30
2013-02-01
0000749647
CLSN:ATMAgreementMember
2013-02-02
2018-10-31
0000749647
CLSN:ATMAgreementMember
2018-04-01
2018-06-30
0000749647
CLSN:TwoThousandAndEighteenStockIncentivePlanMember
srt:MaximumMember
2019-06-30
0000749647
us-gaap:EmployeeStockOptionMember
2019-04-01
2019-06-30
0000749647
us-gaap:EmployeeStockOptionMember
2018-04-01
2018-06-30
0000749647
us-gaap:RestrictedStockMember
2019-04-01
2019-06-30
0000749647
us-gaap:RestrictedStockMember
2018-04-01
2018-06-30
0000749647
us-gaap:ResearchAndDevelopmentExpenseMember
2019-04-01
2019-06-30
0000749647
us-gaap:ResearchAndDevelopmentExpenseMember
2018-04-01
2018-06-30
0000749647
CLSN:GeneralAndAdministrativeExpensesMember
2019-04-01
2019-06-30
0000749647
CLSN:GeneralAndAdministrativeExpensesMember
2018-04-01
2018-06-30
0000749647
CLSN:EGENIncMember
CLSN:FairValueEarnoutMilestoneLiabilityMember
2018-01-01
2018-12-31
0000749647
CLSN:EGENIncMember
CLSN:FairValueEarnoutMilestoneLiabilityMember
2019-01-01
2019-03-31
0000749647
CLSN:EGENIncMember
2018-01-01
2018-03-31
0000749647
CLSN:EGENIncMember
CLSN:RecognizedNonCashChargeMember
2018-04-01
2018-06-30
0000749647
srt:MinimumMember
2019-01-01
2019-03-31
0000749647
srt:MaximumMember
2019-01-01
2019-03-31
0000749647
srt:MinimumMember
2018-03-31
0000749647
srt:MaximumMember
2018-03-31
0000749647
srt:MinimumMember
2018-01-01
2018-03-31
0000749647
srt:MaximumMember
2018-01-01
2018-03-31
0000749647
CLSN:AspirePurchaseAgreementMember
2018-12-31
iso4217:USD
xbrli:shares
iso4217:USD
xbrli:shares
xbrli:pure
Celsion CORP
0000749647
10-Q
2019-06-30
false
--12-31
Non-accelerated Filer
Q2
14257998
15702388
14257998
14257998
14257998
15702388
15702388
15702388
568292
454634
13300000
15736491
1976101
454634
15736491
1976101
13300000
454634
568929
8907664
5904725
8907664
8907664
5904725
5904725
20861072
18831711
172772
188322
288408976
294393313
-85188
-85188
-10164
29872
-261781888
-273665247
19147716
26704508
23610355
210026
177466
300549511
293549124
-85188
-85188
94576
-4247
-281937214
-274489439
177403
289810437
-85188
-33414
-266258883
196624
297231041
-85188
86824
-276032699
21396602
0.01
0.01
100000
100000
0.01
0.01
112500000
112500000
18832168
21002629
18831834
21002295
334
334
700195
175000
15031
15031
349448
-8271967
-8230556
-12707551
-8271967
-12707551
-5904515
-8230556
-5904515
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
6. Fair Value of Financial Instruments</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Short-term
investments available for sale were approximately $15.7 million and $14.3 million as of June 30, 2019 and December 31, 2018, respectively,
and consist of corporate debt securities. These investments are valued at estimated fair value, with unrealized gains and losses
reported as a separate component of stockholders’ equity in accumulated other comprehensive loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Securities
available for sale are evaluated periodically to determine whether a decline in their value is other than temporary. The term
“other than temporary” is not intended to indicate a permanent decline in value. Rather, it means that the prospects
for near term recovery of value are not necessarily favorable, or that there is a lack of evidence to support fair values equal
to, or greater than, the carrying value of the security. Management reviews criteria such as the magnitude and duration of the
decline, as well as the reasons for the decline, to predict whether the loss in value is other than temporary. Once a decline
in value is determined to be other than temporary, the value of the security is reduced and a corresponding charge to earnings
is recognized.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
summary of the cost, fair value and maturities of the Company’s short-term investments is as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">June
30, 2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">December
31, 2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Cost</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Cost</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Short-term investments</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="width: 40%; text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Corporate
debt securities</font></td><td style="width: 2%; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,607,812</font></td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,702,388</font></td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,228,126</font></td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,257,998</font></td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,607,812</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,702,388</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,228,126</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,257,998</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">June
30, 2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">December
31, 2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Cost</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Cost</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Short-term investment
maturities</font></td><td style="font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="width: 40%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Within 3 months</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">9,821,406</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">9,897,504</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">5,383,488</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">5,393,743</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Between 3-12 months</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">5,786,406</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">5,804,884</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">8,844,638</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">8,864,255</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,607,812</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,702,388</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,228,126</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,257,998</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
following table shows the Company’s investment securities gross unrealized gains (losses) and fair value by investment category
and length of time that individual securities have been in a continuous unrealized loss position at June 30, 2019 and December
31, 2018. The Company has reviewed individual securities to determine whether a decline in fair value below the amortizable cost
basis is other than temporary.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">June
30, 2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">December
31, 2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"><b>Available
for sale securities</b> (all unrealized holding gains and losses are less than 12 months at date of measurement)</font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Unrealized</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Holding</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Gains</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>(Losses)</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Unrealized</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Holding</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Gains</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>(Losses)</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 40%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Investments with unrealized
gains</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,395,809</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">95,013</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">7,515,676</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">38,068</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Investments with
unrealized losses</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,306,579</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(437</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">6,742,322</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(8,196</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; padding-bottom: 2.5pt; padding-left: 10pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,702,388</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">94,576</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,257,998</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">29,872</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Investment
income, which includes net realized losses on sales of available for sale securities and investment income interest and dividends,
is summarized as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Three
Months Ended</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>June
30,</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 60%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Interest and dividends accrued
and paid</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">143,633</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">69,559</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Realized gains</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">969</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">3,902</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Investment income,
net</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">144,602</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">73,461</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Six
Months Ended</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>June
30,</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 60%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Interest and dividends accrued
and paid</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">248,043</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">138,848</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Realized gains</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">10,350</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">8,337</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Investment income,
net</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">258,393</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">147,185</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
8. Acquisition of EGEN Assets</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
June 20, 2014, we completed the acquisition of substantially all of the assets of EGEN, which has changed its company name to
EGWU, Inc. after the closing of the acquisition (“EGEN”), pursuant to an Asset Purchase Agreement dated as of June
6, 2014, by and between EGEN and Celsion (the “Asset Purchase Agreement”). We acquired all EGEN’s right, title
and interest in and to substantially all of the assets of EGEN, including cash and cash equivalents, patents, trademarks and other
intellectual property rights, clinical data, certain contracts, licenses and permits, equipment, furniture, office equipment,
furnishings, supplies and other tangible personal property. In addition, CLSN Laboratories assumed certain specified liabilities
of EGEN, including the liabilities arising out of the acquired contracts and other assets relating to periods after the closing
date.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">At
the time of the acquisition, the total purchase price for the asset acquisition was up to $44.4 million, including potential future
earnout payments of up to $30.4 million contingent upon achievement of certain earnout milestones set forth in the Asset Purchase
Agreement. We paid approximately $3.0 million in cash after the expense adjustment and issued 241,590 shares of our common stock
to EGEN. The shares of common stock were issued in a private transaction exempt from registration under the Securities Act, pursuant
to Section 4 (2) thereof.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><i>Acquired
In-process Research and Development</i></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Acquired
in-process research and development (IPR&D) consists of EGEN’s drug technology platforms: TheraPlas and TheraSilence.
The fair value of the IPR&D drug technology platforms was estimated to be $24.2 million as of the acquisition date. As of
the closing of the acquisition, the IPR&D was considered indefinite lived intangible assets and will not be amortized. IPR&D
is reviewed for impairment at least annually as of our third quarter ended September 30, and whenever events or changes in circumstances
indicate that the carrying value of the assets might not be recoverable. On December 31, 2016, the Company determined one of its
IPR&D assets related to its RNA delivery system was impaired and wrote off its fair value, incurring a non-cash charge of
$1.4 million during 2016. During its annual assessments on September 30, 2017 and 2018, the Company determined its IPR&D asset
related to its glioblastoma multiforme cancer (GBM) product candidate, originally fair valued at $9.4 million on the date of acquisition,
was impaired and wrote this asset’s carrying value down to $2.4 million collectively after those two assessments, incurring
non-cash charges of $2.5 million and $4.5 million during 2017 and 2018, respectively. On September 30, 2018 and 2017, the Company
evaluated its IPR&D of the ovarian cancer indication and concluded that it is not more likely than not that the asset is impaired.
As no other indicators of impairment existed during the fourth quarter of 2018 and thus far in 2019, the Company concluded none
of the other IPR&D assets were impaired at December 31, 2018 and June 30, 2019. The carrying amount of the ovarian cancer
indication was $13.3 million at June 30, 2019 and December 31, 2018.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><i>Covenants
Not To Compete</i></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Pursuant
to the EGEN Purchase Agreement, EGEN provided certain covenants (“Covenant Not To Compete”) to the Company whereby
EGEN agreed, during the period ending on the seventh anniversary of the closing date of the acquisition on June 20, 2014, not
to enter into any business, directly or indirectly, which competes with the business of the Company nor will it contact, solicit
or approach any of the employees of the Company for purposes of offering employment. The Covenant Not to Compete, which was valued
at approximately $1.6 million at the date of the EGEN asset acquisition, has a definitive life and is amortized on a straight-line
basis over its life of 7 years. The Company recognized amortization expense of $56,829 in each of the three-month periods ended
June 30, 2019 and 2018. The Company recognized amortization expense of $113,658 in each of the six-month periods ended June 30,
2019 and 2018. The carrying value of the Covenant Not to Compete was $454,634, net of $1,136,580 in accumulated amortization expense,
as of June 30, 2019. The carrying value of the Covenant Not to Compete was $568,929, net of $1,022,922 in accumulated amortization
expense, as of December 31, 2018.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Following
is a schedule of future amortization amounts during the remaining life of the Covenant Not to Compete.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Year
Ended</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>June
30,</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 78%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2020</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 18%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">227,316</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2021</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">227,318</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2022 and thereafter</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 2.5pt; padding-left: 10pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">454,634</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><i>Goodwill</i></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
purchase price exceeded the estimated fair value of the net assets acquired by approximately $2.0 million which was recorded as
Goodwill. Goodwill represents the difference between the total purchase price for the net assets purchased from EGEN and the aggregate
fair values of tangible and intangible assets acquired, less liabilities assumed. Goodwill is reviewed for impairment at least
annually as of our third quarter ended September 30 or sooner if we believe indicators of impairment exist. As of September 30,
2018, we concluded that the Company’s fair value exceeded its carrying value therefore “it is not more likely than
not” that the Goodwill was impaired. As no other indicators of impairment existed during the fourth quarter of 2018 and
thus far in 2019, the Company concluded it is “not more likely than not” Goodwill was impaired.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Following
is a summary of the net fair value of the assets acquired in the EGEN asset acquisition for the six-month period ended June 30,
2019:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font: 12pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">IPR&D</font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Goodwill</font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Covenant
Not To Compete</font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">For the six-months ended June 30, 2019</font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="width: 52%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Balance at January 1, 2019,
net</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 12%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,736,491</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 12%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,976,101</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 12%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">568,292</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Amortization</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(113,658</font></td><td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Balance at June
30, 2019, net</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,736,491</font></td><td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,976,101</font></td><td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">454,634</font></td><td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
10. Note Payable</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><i>Horizon
Credit Agreement</i></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
June 27, 2018, the Company entered into a loan agreement with Horizon Technology Finance Corporation (“Horizon”) that
provided $10 million in new capital (the “Horizon Credit Agreement”). The Company drew down $10 million upon closing
of the Horizon Credit Agreement on June 27, 2018. The Company will use the funding provided under the Horizon Credit Agreement
for working capital and advancement of its product pipeline.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
obligations under the Horizon Credit Agreement are secured by a first-priority security interest in substantially all assets of
Celsion other than intellectual property assets. The obligations will bear interest at a rate calculated based on one-month LIBOR
plus 7.625%. The effective interest rate at December 31, 2018 was 9.98%. Payments under the loan agreement are interest only for
the first twenty-four (24) months after loan closing, followed by a 24-month amortization period of principal and interest through
the scheduled maturity date. At its option, the Company can prepay all the outstanding principal balance by prepaying the outstanding
principal balance and an amount equal to 1-3% of the outstanding principal balance at that time, based on the amount of time prior
to the maturity date of the notes.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Horizon Credit Agreement contains customary representations, warranties and affirmative and negative covenants including, among
other things, covenants that limit or restrict Celsion’s ability to grant liens, incur indebtedness, make certain restricted
payments, merge or consolidate and make dispositions of assets. Upon the occurrence of an event of default under the Horizon Credit
Agreement, the lenders may cease making loans, terminate the Horizon Credit Agreement, declare all amounts outstanding to be immediately
due and payable and foreclose on or liquidate Celsion’s assets that comprise the lenders’ collateral. The Horizon
Credit Agreement specifies a number of events of default (some of which are subject to applicable grace or cure periods), including,
among other things, non-payment defaults, covenant defaults, a material adverse effect on Celsion or its assets, cross-defaults
to other material indebtedness, bankruptcy and insolvency defaults and material judgment defaults.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">As
a fee in connection with the Horizon Credit Agreement, Celsion issued Horizon warrants exercisable for a total of 190,114 shares
of Celsion’s common stock (the “Horizon Warrants”) at a per share exercise price of $2.63. The Horizon Warrants
are immediately exercisable for cash or by net exercise from the date of grant and will expire after ten years from the date of
grant. Celsion registered the Horizon Warrants on Form S-3 (File No. 333 - 227236) filed with the Securities and Exchange Commission
on September 7, 2018 and declared effective on October 10, 2018. The Company valued the Horizon Warrants issued using the Black-Scholes
option pricing model and recorded a total of $507,116 as a direct deduction from the debt liability consistent with the presentation
of a debt discount and are being amortized as interest expense using the effective interest method over the life of the loan.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
connection with the Horizon Credit Agreement, the Company incurred financing fees and expenses totaling $175,000 which are recorded
and classified as debt discount. In addition, the Company paid loan origination fees of $100,000 which has been recorded and classified
as debt discount. These debt discount amounts totaling $782,116 are being amortized as interest expense using the effective interest
method over the life of the loan. Also, in connection with each of the Horizon Credit Agreements, the Company is required to pay
an end of term charge equal to 4.0% of the original loan amount at time of maturity. Therefore, these amounts totaling $400,000
are being amortized as interest expense using the effective interest method over the life of the loan.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">During
the three-month period ending June 30, 2019, the Company incurred $255,182 in interest expense and amortized $94,266 as interest
expense for debt discounts and end of term charges in connection with the Horizon Credit Agreement. During the six-month period
ending June 30, 2019, the Company incurred $508,471 in interest expense and amortized $191,724 as interest expense for debt discounts
and end of term charges in connection with the Horizon Credit Agreement. The Company incurred $10,794 in interest expense and
amortized $4,237 as interest expense for debt discounts and end of term charges in connection with the Horizon Credit Agreement.
during each of the three-month and six-month periods ending June 30, 2019,</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Following
is a schedule of future principal payments, net of unamortized debt discounts and amortized end of term charges, due on the Horizon
Credit Agreement:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" align="center" style="border-collapse: collapse; width: 90%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">As
of June 30,</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2020</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="width: 78%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2021</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 18%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">4,583,333</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2022</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">5,000,000</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2023</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">416,667</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2024 and thereafter</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Subtotal of future principal payments</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">10,000,000</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Unamortized debt
issuance costs, net</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(391,239</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">9,608,761</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
11. Stockholders’ Equity</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
September 2018, the Company filed with the SEC a new $75 million shelf registration statement on Form S-3 (the “2018 Shelf
Registration Statement”) (File No. 333-227236) that allows the Company to issue any combination of common stock, preferred
stock or warrants to purchase common stock or preferred stock. This shelf registration was declared effective on October 12, 2018
and will expire three years from that date.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><i><u>Aspire
Purchase Agreement</u></i></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
August 31, 2018, we entered into a common stock purchase agreement (the “Aspire Purchase Agreement”) with Aspire Capital
Fund, LLC (“Aspire Capital”) which provides that, upon the terms and subject to the conditions and limitations set
forth therein, Aspire Capital is committed to purchase up to an aggregate of $15.0 million of shares of the Company’s common
stock over the 24-month term of the Aspire Purchase Agreement. On October 12, 2018, the Company filed with the SEC a prospectus
supplement to the 2018 Shelf Registration Statement registering all the shares of common stock that may be offered to Aspire Capital
from time to time.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Under
the Aspire Purchase Agreement, on any trading day selected by the Company, the Company has the right, in its sole discretion,
to present Aspire Capital with a purchase notice (each, a “Purchase Notice”), directing Aspire Capital (as principal)
to purchase up to 100,000 shares of the Company’s common stock per business day, up to $15.0 million of the Company’s
common stock in the aggregate at a per share price (the “Purchase Price”) equal to the lesser of:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="width: 0.25in; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 0.25in; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
lowest sale price of the Company’s common stock on the purchase date; or</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
arithmetic average of the three (3) lowest closing sale prices for the Company’s common stock during the ten (10) consecutive
trading days ending on the trading day immediately preceding the purchase date.</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company and Aspire Capital also may mutually agree to increase the number of shares that may be sold to as much as an additional
2,000,000 shares per business day.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
addition, on any date on which the Company submits a Purchase Notice to Aspire Capital in an amount equal to at least 100,000
shares, the Company also has the right, in its sole discretion, to present Aspire Capital with a volume-weighted average price
purchase notice (each, a “VWAP Purchase Notice”) directing Aspire Capital to purchase an amount of stock equal to
up to 30% of the aggregate shares of the Company’s common stock traded on its principal market on the next trading day (the
“VWAP Purchase Date”), subject to a maximum number of shares the Company may determine. The purchase price per share
pursuant to such VWAP Purchase Notice is generally 97% of the volume-weighted average price for the Company’s common stock
traded on its principal market on the VWAP Purchase Date.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Purchase Price will be adjusted for any reorganization, recapitalization, non-cash dividend, stock split, or other similar transaction
occurring during the period(s) used to compute the Purchase Price. The Company may deliver multiple Purchase Notices and VWAP
Purchase Notices to Aspire Capital from time to time during the term of the Purchase Agreement, so long as the most recent purchase
has been completed.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">There
are no trading volume requirements or restrictions under the Aspire Purchase Agreement, and the Company will control the timing
and amount of sales of the Company’s common stock to Aspire Capital. Aspire Capital has no right to require any sales by
the Company but is obligated to make purchases from the Company as directed by the Company in accordance with the Aspire Purchase
Agreement. There are no limitations on use of proceeds, financial or business covenants, restrictions on future funding, rights
of first refusal, participation rights, penalties or liquidated damages in the Aspire Purchase Agreement. In consideration for
entering into the Aspire Purchase Agreement, concurrently with the execution of the Aspire Purchase Agreement, the Company issued
to Aspire Capital 164,835 shares of the Company’s common stock (the “Commitment Shares”). The Company’s
policy is to record specific incremental costs directly attributable to an offering as a charge against the gross proceeds, if
any, when the offering becomes effective. These Commitment Shares valued at $450,000 were recorded in September 2018 as costs
of equity financing and charged against additional paid-in capital. The Aspire Purchase Agreement may be terminated by the Company
at any time, at its discretion, without any cost to the Company. Aspire Capital has agreed that neither it nor any of its agents,
representatives and affiliates shall engage in any direct or indirect short-selling or hedging of the Company’s common stock
during any time prior to the termination of the Aspire Purchase Agreement. Any proceeds from the Company receives under the Aspire
Purchase Agreement are expected to be used for working capital and general corporate purposes. During 2018, the Company sold and
issued an aggregate of 100,000 shares under the Aspire Purchase Agreement, receiving approximately $0.2 million. The Company sold
and issued an aggregate of 1.9 million shares under the Aspire Purchase Agreement, receiving approximately $3.9 million during
the first six months of 2019. Subsequent to June 30, 2019 and through August 13, 2019, the Company sold 300,000 shares under the
Aspire Purchase Agreement, receiving approximately $0.5 million in additional gross proceeds. As of June 30, 2019, the Company
has $10.5 million remaining under the Aspire Purchase Agreement.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><i><u>Capital
on Demand<sup>TM</sup> Sales Agreement</u></i></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
December 4, 2018, the Company entered into a Capital on Demand<sup>TM</sup> Sales Agreement (the “Capital on Demand Agreement”)
with JonesTrading Institutional Services LLC, as sales agent (“JonesTrading”), pursuant to which the Company may offer
and sell, from time to time, through JonesTrading shares of common stock having an aggregate offering price of up to $16.0 million.
The Company intends to use the net proceeds from the offering, if any, for general corporate purposes, including research and
development activities, capital expenditures and working capital.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company is not obligated to sell any common stock under the Capital on Demand Agreement and, subject to the terms and conditions
of the Capital on Demand Agreement, JonesTrading will use commercially reasonable efforts, consistent with its normal trading
and sales practices and applicable state and federal law, rules and regulations and the rules of The Nasdaq Capital Market, to
sell common stock from time to time based upon the Company’s instructions, including any price, time or size limits or other
customary parameters or conditions the Company may impose. Under the Capital on Demand Agreement, JonesTrading may sell common
stock by any method deemed to be an “at the market offering” as defined in Rule 415 promulgated under the Securities
Act of 1933, as amended.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Capital on Demand Agreement will terminate upon the earlier of (i) the sale of all shares of our common stock subject to the Sales
Agreement, and (ii) the termination of the Capital on Demand Agreement by JonesTrading or Celsion. The Capital on Demand Agreement
may be terminated by JonesTrading or the Company at any time upon 10 days’ notice to the other party, or by JonesTrading
at any time in certain circumstances, including the occurrence of a material adverse change in the Company.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company will pay JonesTrading a commission of 3.0% of the aggregate gross proceeds from each sale of Common Stock and has agreed
to provide JonesTrading with customary indemnification and contribution rights.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Shares will be issued pursuant to the Company’s previously filed and effective Registration Statement on Form S-3 (File
No. 333-227236), the base prospectus dated October 12, 2018, filed as part of such Registration Statement, and the prospectus
supplement dated December 4, 2018, filed by Celsion with the Securities and Exchange Commission. The Company did not sell any
shares under the Capital on Demand Agreement as of December 31, 2018. During the first six months of 2019, the Company sold and
issued an aggregate of 259,961 shares under the Capital on Demand Agreement, receiving approximately $0.6 million in net proceeds.
Subsequent to June 30, 2019 and through August 13, 2019, the Company sold approximately 85,000 shares under the Capital on Demand
Agreement, receiving approximately $154,000 in additional net proceeds. As of June 30, 2019, the Company has $15.4 million remaining
under the Capital on Demand Agreement.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><i><u>Controlled
Equity Offering</u></i></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
February 1, 2013, the Company entered into a Controlled Equity Offering SM Sales Agreement (the “ATM Agreement”) with
Cantor Fitzgerald & Co., as sales agent (“Cantor”), pursuant to which the Company could offer and sell, from time
to time, through Cantor, shares of its common stock having an aggregate offering price of up to $25.0 million (the “ATM
Shares”) pursuant to the registration statement on Form S-3 (File No. 333-183286). Under the ATM Agreement, Cantor may sell
ATM Shares by any method deemed to be an “at-the-market” offering as defined in Rule 415 promulgated under the Securities
Act of 1933, as amended, including sales made directly on The Nasdaq Capital Market, on any other existing trading market for
the Company’s common stock or to or through a market maker. On October 10, 2018, the Company delivered notice to Cantor
terminating the ATM effective as of October 20, 2018. The Company has no further obligations under the ATM Agreement. From February
1, 2013 through the date of the termination of the ATM Agreement, the Company sold and issued an aggregate of 1,784,396 shares
of common stock under the ATM Agreement, receiving approximately $12.8 million in gross proceeds. During 2018 through the date
of its termination in October 2018, the Company received approximately $1.2 million in proceeds from the sale of 457,070 shares
of common stock under the ATM Agreement.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
12.	Stock-Based Compensation</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has long-term compensation plans that permit the granting of equity based-awards in the form of stock options, restricted
stock, restricted stock units, stock appreciation rights, other stock awards, and performance awards.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">At
the 2018 Annual Stockholders Meeting of the Company held on May 15, 2018, stockholders approved the Celsion Corporation 2018 Stock
Incentive Plan (the “2018 Plan”). The 2018 Plan, as adopted, permits the granting of 2,700,000 shares of Celsion common
stock as equity awards in the form of incentive stock options, nonqualified stock options, restricted stock, restricted stock
units, stock appreciation rights, other stock awards, performance awards, or in any combination of the foregoing. At the 2019
Annual Stockholders Meeting of the Company held on May 14, 2019, stockholders approved an amendment to the 2018 Plan whereby the
Company increased the number of common stock shares available by 1,200,000 to a total of 3,900,000 under the 2018 Plan, as amended.
Prior to the adoption of the 2018 Plan, the Company had maintained the Celsion Corporation 2007 Stock Incentive Plan (the “2007
Plan”).</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
2007 Plan permitted the granting of 688,531 shares of Celsion common stock as equity awards in the form of incentive stock options,
nonqualified stock options, restricted stock, restricted stock units, stock appreciation rights, phantom stock, performance awards,
or in any combination of the foregoing. The 2018 Plan replaced the 2007 Plan although the 2007 Plan remains in effect for awards
previously granted under the 2007 Plan. Under the terms of the 2018 Plan, any shares subject to an award under the 2007 Plan which
are not delivered because of the expiration, forfeiture, termination or cash settlement of the award will become available for
grant under the 2018 Plan.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has issued stock awards to employees and directors in the form of stock options and restricted stock. Options are generally
granted with strike prices equal to the fair market value of a share of Celsion common stock on the date of grant. Incentive stock
options may be granted to purchase shares of common stock at a price not less than 100% of the fair market value of the underlying
shares on the date of grant, provided that the exercise price of any incentive stock option granted to an eligible employee owning
more than 10% of the outstanding stock of Celsion must be at least 110% of such fair market value on the date of grant. Only officers
and key employees may receive incentive stock options.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Option
and restricted stock awards vest upon terms determined by the Compensation Committee of the Board of Directors and are subject
to accelerated vesting in the event of a change of control or certain terminations of employment. The Company issues new shares
to satisfy its obligations from the exercise of options or the grant of restricted stock awards.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">On
September 28, 2018, and again on February 19, 2019, the Compensation Committee of the Board of Directors approved the grant of
(i) inducement stock options (the “Inducement Option Grants”) to purchase a total of 164,004 and 140,004 shares of
Celsion common stock, respectively and (ii) inducement restricted stock awards (the “Inducement Stock Grants”) totaling
19,000 and 13,000 shares of Celsion common stock to five new employees collectively. Each award has a grant date of the date of
grant. Each Inducement Option Grant has an exercise price per share equal to 2.77 and $2.18 which represents the closing price
of Celsion’s common stock as reported by Nasdaq on September 28, 2018 and February 19, 2019, respectively. Each Inducement
Option Grant will vest over three years, with one-third vesting on the one-year anniversary of the employee’s first day
of employment with the Company and one-third vesting on the second and third anniversaries thereafter, subject to the new employee’s
continued service relationship with the Company on each such date. Each Inducement Option Grant has a ten-year term and is subject
to the terms and conditions of the applicable stock option agreement. Each of Inducement Stock Grant will vest on the one-year
anniversary of the employee’s first day of employment with the Company and are subject to the new employee’s continued
service relationship with the Company through such date and is subject to the terms and conditions of the applicable restricted
stock agreement.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">As
of June 30, 2019, there was a total of 4,582,893 shares of Celsion common stock reserved for issuance under the 2018 Plan which
were comprised of 3,710,386 shares of Celsion common stock subject to equity awards previously granted under the 2018 Plan and
2007 Plan and 872,507 shares of Celsion common stock available for future issuance under the 2018 Plan. As of June 30, 2019, there
was a total of 259,506 of Celsion common stock subject to outstanding inducement awards.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Total
compensation cost related to stock options and restricted stock awards amounted to $622,697 and $3,217,633 for the three-month
periods ended June 30, 2019, and 2018, respectively. Of these amounts, $239,407 and $1,056,866 was charged to research and development
during the three-month periods ended June 30, 2019 and 2018, respectively, and $383,290 and $2,160,767 was charged to general
and administrative expenses during the three-month periods ended June 30, 2019 and 2018, respectively. Total compensation cost
related to stock options and restricted stock awards amounted to $1,313,842 and $3,387,141 for the six-month periods ended June
30, 2019, and 2018, respectively. Of these amounts, $479,794 and $1,109,188 was charged to research and development during the
six-month periods ended June 30, 2019 and 2018, respectively, and $834,048 and $2,277,953 was charged to general and administrative
expenses during the six-month periods ended June 30, 2019 and 2018, respectively.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">As
of June 30, 2019, there was $2.3 million of total unrecognized compensation cost related to non-vested stock-based compensation
arrangements. That cost is expected to be recognized over a weighted-average period of 1.5 years. The weighted average grant date
fair values of the stock options granted during the six-month periods ended June 30, 2019 and 2018 was $1.88 and $2.23, respectively.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
summary of stock option awards and restricted stock grants for the six-months ended June 30, 2019 is presented below:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Stock
Options</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Restricted
Stock Awards</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Weighted<br />
Average</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Options<br />
Outstanding</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Weighted</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Average</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Exercise</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Price</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Non-vested<br />
Restricted<br /> Stock<br /> Outstanding</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Weighted</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Average</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Grant</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Date</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Fair
Value</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Contractual<br />
Terms of<br /> Equity<br /> Awards<br /> (in years)</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 34%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Equity awards outstanding
at January 1, 2019</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 10%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">3,148,743</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 8%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.67</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 10%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">22,500</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 8%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.72</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 10%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Equity awards granted</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">805,004</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.16</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,500</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.17</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Vested and issued</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(10,500</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.49</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Equity awards
forfeited, cancelled or expired</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(11,355</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="padding-bottom: 1.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.37</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="padding-bottom: 1.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Equity awards
outstanding at June 30, 2019</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">3,942,392</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.56</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">27,500</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.30</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">8.9</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Aggregate intrinsic
value of outstanding equity awards at June 30, 2019</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">27,500</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Equity awards
exercisable at June 30, 2019</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2,420,261</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.77</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">8.7</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Aggregate intrinsic
value of equity awards exercisable at June 30, 2019</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">50,050</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
fair values of stock options granted were estimated at the date of grant using the Black-Scholes option pricing model. The Black-Scholes
model was originally developed for use in estimating the fair value of traded options, which have different characteristics from
Celsion’s stock options. The model is also sensitive to changes in assumptions, which can materially affect the fair value
estimate. The Company used the following assumptions for determining the fair value of options granted under the Black-Scholes
option pricing model:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Six
Months Ended</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>June
30,</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 60%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Risk-free interest rate</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">2.42%
- 2.65</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">3.08</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Expected volatility</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">101.3
-106.2</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">99.9
-</font><font style="font-family: Times New Roman, Times, Serif"> 100.0</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Expected life (in years)</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">7.5
- 9.3</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9.5-10.0</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Expected dividend yield</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Expected
volatilities utilized in the model are based on historical volatility of the Company’s stock price. The risk-free interest
rate is derived from values assigned to U.S. Treasury bonds with terms that approximate the expected option lives in effect at
the time of grant. Starting in 2017, the Company elected to account for any forfeitures when they occur.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
16. Technology Development and Licensing Agreements</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
May 7, 2012, the Company entered into a long-term commercial supply agreement with Zhejiang Hisun Pharmaceutical Co. Ltd. (Hisun)
for the production of ThermoDox<sup>®</sup> in the China territory. In accordance with the terms of the agreement, Hisun will
be responsible for providing all of the technical and regulatory support services, including the costs of all technical transfer,
registration and bioequivalence studies, technical transfer costs, Celsion consultative support costs and the purchase of any
necessary equipment and additional facility costs necessary to support capacity requirements for the manufacture of ThermoDox<sup>®</sup>.
Celsion will repay Hisun for the aggregate amount of these development costs and fees commencing on the successful completion
of three registration batches of ThermoDox<sup>®</sup>. Hisun is also obligated to certain performance requirements under
the agreement. The agreement will initially be limited to a percentage of the production requirements of ThermoDox<sup>®</sup>
in the China territory with Hisun retaining an option for additional global supply after local regulatory approval in the China
territory. In addition, Hisun will collaborate with Celsion around the regulatory approval activities for ThermoDox<sup>®
</sup>with the China State Food and Drug Administration (CHINA FDA). During the first quarter of 2015, Hisun completed the successful
manufacture of three registration batches of ThermoDox<sup>®</sup>.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
January 18, 2013, we entered into a technology development contract with Hisun, pursuant to which Hisun paid us a non-refundable
research and development fee of $5 million to support our development of ThermoDox<sup>®</sup> in mainland China, Hong Kong
and Macau (the China territory). Following our announcement on January 31, 2013 that the HEAT study failed to meet its primary
endpoint, Celsion and Hisun have agreed that the Technology Development Contract entered into on January 18, 2013 will remain
in effect while the parties continue to collaborate and are evaluating the next steps in relation to ThermoDox<sup>®</sup>
, which include the sub-group analysis of patients in the Phase III HEAT Study for the hepatocellular carcinoma clinical indication
and other activities to further the development of ThermoDox<sup>®</sup> for the Greater China market. The $5.0 million received
as a non-refundable payment from Hisun in the first quarter 2013 has been recorded to deferred revenue and will continue to be
amortized over the 10 -year term of the agreement, until such time as the parties find a mutually acceptable path forward on the
development of ThermoDox<sup>®</sup> based on findings of the ongoing post-study analysis of the HEAT Study data.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 7.7pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
July 19, 2013, the Company and Hisun entered into a Memorandum of Understanding to pursue ongoing cooperation for the continued
clinical development of ThermoDox<sup>®</sup> as well as the technology transfer relating to the commercial manufacture of
ThermoDox<sup>®</sup> for the China territory. This expanded level of cooperation includes development of the next generation
liposomal formulation with the goal of creating safer, more efficacious versions of marketed cancer chemotherapeutics.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Among
the key provisions of the Celsion-Hisun Memorandum of Understanding are:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="width: 0.25in; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 0.5in; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b>●</b></font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Hisun
will provide the Company with internal resources necessary to complete the technology transfer of the Company’s proprietary
manufacturing process and the production of registration batches for the China territory;</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b>●</b></font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Hisun
will coordinate with the Company around the clinical and regulatory approval activities for ThermoDox<sup>®</sup> as well
as other liposomal formations with the CHINA FDA; and</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b>●</b></font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Hisun
will be granted a right of <i>first</i> offer for a commercial license to ThermoDox<sup>®</sup> for the sale and distribution
of ThermoDox<sup>®</sup> in the China territory.</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
August 8, 2016, we signed a Technology Transfer, Manufacturing and Commercial Supply Agreement (“GEN-1 Agreement”)
with Hisun to pursue an expanded partnership for the technology transfer relating to the clinical and commercial manufacture and
supply of GEN- 1, Celsion’s proprietary gene mediated, IL- 12 immunotherapy, for the greater China territory, with the option
to expand into other countries in the rest of the world after all necessary regulatory approvals are in effect. The GEN- 1 Agreement
will help to support supply for both ongoing and planned clinical studies in the U.S., and for potential future studies of GEN-
1 in China. GEN- 1 is currently being evaluated by Celsion in first line ovarian cancer patients.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Key
provisions of the GEN-1 Agreement are as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 9.9pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="width: 0.25in; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; width: 0.5in; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b>●</b></font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
GEN-1 Agreement has targeted unit costs for clinical supplies of GEN-1 that are substantially competitive with the Company’s
current suppliers;</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b>●</b></font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">once
approved, the cost structure for GEN-1 will support rapid market adoption and significant gross margins across global markets;</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b>●</b></font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Celsion
will provide Hisun a certain percentage of China’s commercial unit demand, and separately of global commercial unit
demand, subject to regulatory approval;</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b>●</b></font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Hisun
and Celsion will commence technology transfer activities relating to the manufacture of GEN-1, including all studies required
by CHINA FDA for site approval; and</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b>●</b></font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Hisun
will collaborate with Celsion around the regulatory approval activities for GEN-1 with the CHINA FDA. A local China partner
affords Celsion access to accelerated CHINA FDA review and potential regulatory exclusivity for the approved indication.</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company evaluated the Hisun arrangement in accordance with ASC 606 and determined that its performance obligations under the agreement
include the non-exclusive, royalty-free license, research and development services to be provided by the Company, and its obligation
to serve on a joint committee. The Company concluded that the license was not distinct since its value is closely tied to the
ongoing research and development activities. As such, the license and the research and development services are be bundled as
a single performance obligation. Since the provision of the license and research and development services are considered a single
performance obligation, the $5,000,000 upfront payment is being recognized as revenue ratably through 2022.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Other
accrued liabilities at June 30, 2019 and December 31, 2018 include the following:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>June
30, 2019</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">December
31, 2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b>(Unaudited)</b></font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 60%; text-align: justify; font-family: Times New Roman, Times, Serif"><p style="margin-top: 0; margin-bottom: 0"><font style="font-family: Times New Roman, Times, Serif">Amounts due to contract research organizations</font></p>
<p style="margin-top: 0; margin-bottom: 0; text-indent: 10pt"><font style="font-family: Times New Roman, Times, Serif">and other contractual agreements</font></p></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,061,448</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">749,369</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Accrued payroll and related benefits</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,004,120</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,592,590</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Accrued professional fees</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">304,504</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">198,654</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Other</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">19,410</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">45,285</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2,389,482</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2,585,898</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The Company used the following assumptions for determining the fair value of options granted under the Black-Scholes
option pricing model:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Six
Months Ended</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>June
30,</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 60%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Risk-free interest rate</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">2.42%
- 2.65</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">3.08</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Expected volatility</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">101.3
-106.2</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">99.9
-</font><font style="font-family: Times New Roman, Times, Serif"> 100.0</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Expected life (in years)</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">7.5
- 9.3</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9.5-10.0</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Expected dividend yield</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">%</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
following is a summary of the changes in the earn-out milestone liability for 2019:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 78%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Balance at January 1, 2019</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 18%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(8,907,664</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Non-cash gain
from the adjustment for the change in fair value</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">3,002,939</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Balance at June 30, 2019</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(5,904,725</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr></table>
21800000
21800000
4595990
6255757
6255757
248043
69559
138848
143633
5383488
9821406
5393743
9897504
8844638
5786406
8864255
5804884
14257998
15702388
29872
94576
-38068
-95013
30400000
30400000
3000000
241590
2400000
1400000
9400000
9400000
P7Y
1600000
1136580
1022922
749369
1061448
1592590
1004120
198654
304504
45285
19410
10000000
507116
782116
200000
0.01
2.63
2.00
400000
508471
255182
10794
10794
191724
94266
4237
4237
113658
113658
56829
56829
10000000
6742322
1306579
2700000
688531
1.00
1.10
1313842
3387141
3387141
1313842
479794
1109188
834048
2277953
622697
622697
3217633
3217633
239407
1056866
383290
2160767
P1Y6M
1.88
2.23
2.17
3148743
3710386
872507
4582893
3942392
1200000
259506
3900000
805004
11355
2420261
50050
2.67
2.56
2.77
2.16
2.18
2.49
2.37
2.77
27500
P8Y10M25D
P8Y8M12D
P7Y6M
P9Y3M19D
P9Y6M
P10Y
0.00
0.00
2500000
13900000
12500000
4500000
5900000
13100000
547324
8900000
5800000
12800000
270195
0.67
0.10
0.80
0.20
P1Y6M
P2Y6M
-8907664
-5904725
3002939
7000000
12400000
P66M
18900
25035
18100
20500
27088
5000000
P10Y
75000000
164835
100000
1900000
259961
300000
85000
1784396
457070
200000
4464060
200000
3900000
600000
1236584
500000
154000
12800000
1200000
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
14. Warrants</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b>Common
Stock Warrants</b></font></p>
<p style="font: 12pt Times New Roman, Times, Serif; margin: 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Following
is a summary of all warrant activity for the six months ended June 30, 2019:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: left; border-bottom: Black 1.5pt solid">Warrants</td><td style="text-align: right; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="text-align: right; border-bottom: Black 1.5pt solid"><p style="margin-top: 0; margin-bottom: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Number of Warrants</b></font></p>
<p style="margin-top: 0; margin-bottom: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Issued</b></font></p></td><td style="text-align: right; padding-bottom: 1.5pt"> </td><td style="font-weight: bold; text-align: right; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid"><p style="margin-top: 0; margin-bottom: 0">Weighted</p>
<p style="margin-top: 0; margin-bottom: 0">Average</p>
<p style="margin-top: 0; margin-bottom: 0">Exercise Price</p></td><td style="font-weight: bold; text-align: right; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%">Warrants outstanding at December 31, 2018</td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">1,593,162</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 14%; text-align: right">5.36</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Warrants issued during the six months ended June 30, 2019 (see Note 13)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">200,000</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">0.01</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt">Warrants expired during the six months ended June 30, 2019</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; border-bottom: Black 1.5pt solid"> </td><td style="text-align: right; border-bottom: Black 1.5pt solid">(1,167,064</td><td style="text-align: left; padding-bottom: 1.5pt">)</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; padding-bottom: 1.5pt">$</td><td style="text-align: right; padding-bottom: 1.5pt">6.32</td><td style="text-align: left; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 2.5pt">Warrants outstanding at June 30, 2019</td><td style="padding-bottom: 2.5pt"> </td>
<td style="text-align: left; border-bottom: Black 2.5pt double"> </td><td style="text-align: right; border-bottom: Black 2.5pt double">626,098</td><td style="text-align: left; padding-bottom: 2.5pt"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="text-align: left; padding-bottom: 2.5pt">$</td><td style="text-align: right; padding-bottom: 2.5pt">1.87</td><td style="text-align: left; padding-bottom: 2.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 2.5pt">Aggregate intrinsic value of outstanding warrants at June 30, 2019</td><td style="padding-bottom: 2.5pt"> </td>
<td style="text-align: left; border-bottom: Black 2.5pt double">$</td><td style="text-align: right; border-bottom: Black 2.5pt double">362,000</td><td style="text-align: left; padding-bottom: 2.5pt"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="text-align: left; padding-bottom: 2.5pt"> </td><td style="text-align: right; padding-bottom: 2.5pt"> </td><td style="text-align: left; padding-bottom: 2.5pt"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="border-bottom: Black 1.5pt solid">Schedule of weighted average remaining contractual terms at June 30, 2019</td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Number of Warrants</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Issued</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b></b></font></p></td><td style="padding-bottom: 1.5pt"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid"><p style="margin-top: 0; margin-bottom: 0">Weighted</p>
<p style="margin-top: 0; margin-bottom: 0">Average</p>
<p style="margin-top: 0; margin-bottom: 0">Exercise Price</p></td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid">Weighted Average Contractual Terms Remaining</td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 47%; text-align: left">Warrants provided to EGWU, Inc (Note 13)</td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">200,000</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 14%; text-align: right">0.01</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td>
<td style="width: 14%; text-align: right">No expiration</td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">All other warrants outstanding</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">426,098</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">2.74</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: right">5.8 years</td>
<td> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Following
is a schedule of future principal payments, net of unamortized debt discounts and amortized end of term charges, due on the Horizon
Credit Agreement:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" align="center" style="border-collapse: collapse; width: 90%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">As
of June 30,</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2020</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="width: 78%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2021</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 18%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">4,583,333</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2022</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">5,000,000</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2023</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">416,667</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2024 and thereafter</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Subtotal of future principal payments</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">10,000,000</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Unamortized debt
issuance costs, net</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(391,239</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">9,608,761</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr></table>
10000000
391239
9608761
5000000
8196
437
14228126
15607812
14228126
15607812
14228126
15607812
true
false
false
450000
15000000
16000000
25000000
100000
2000000
In addition, on any date on which the Company submits a Purchase Notice to Aspire Capital in an amount equal to at least 100,000 shares, the Company also has the right, in its sole discretion, to present Aspire Capital with a volume-weighted average price purchase notice (each, a "VWAP Purchase Notice") directing Aspire Capital to purchase an amount of stock equal to up to 30% of the aggregate shares of the Company's common stock traded on its principal market on the next trading day (the "VWAP Purchase Date"), subject to a maximum number of shares the Company may determine. The purchase price per share pursuant to such VWAP Purchase Notice is generally 97% of the volume-weighted average price for the Company's common stock traded on its principal market on the VWAP Purchase Date.
164004
19000
140004
13000
0.040
2019
13353543
6013318
12753694
11444055
64704
29167
5917
64704
5917
7752
29167
7752
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The table below summarizes assets and liabilities
measured at fair value. This table only includes those assets and liabilities with fair values that have changed since December
31, 2018:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif">
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Total
Fair Value</b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Quoted
Prices in Active Markets for Identical Assets/Liabilities<br />
(Level 1)</b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Significant
Other Observable Inputs<br />
(Level 2)</b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Significant
Unobservable Inputs <br />
(Level 3)</b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Assets:</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">          <font style="font-size: 10pt"> </font></font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Recurring
items as of June 30, 2019</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="width: 40%; padding-left: 10pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Corporate
debt securities, available for sale</font></td>
<td style="width: 2%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 11%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">15,702,388</font></td>
<td style="width: 1%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 11%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="width: 1%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 11%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">15,702,388</font></td>
<td style="width: 1%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 11%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="width: 1%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Recurring
items as of December 31, 2018</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="padding-left: 10pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Corporate
debt securities, available for sale</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">14,257,998</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">14,257,998</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Liabilities:</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Recurring
items as of June 30, 2019</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="padding-left: 10pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Earn-out
milestone liability (Note 13)</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,904,725</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,904,725</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Recurring
items as of December 31, 2018</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="padding-left: 10pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Earn-out
milestone liability (Note 13)</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">8,907,664</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">8,907,664</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Following
is a schedule of future amortization amounts during the remaining life of the Covenant Not to Compete.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Year
Ended</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>June
30,</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 78%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2020</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 18%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">227,316</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2021</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">227,318</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2022 and thereafter</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 2.5pt; padding-left: 10pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">454,634</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr></table>
1609882
1400000
1400000
400000
1709766
1500000
1500000
1900000
An amount equal to 1-3%
100000
15000000
P24M
The lowest sale price of the Company's common stock on the purchase date; or the arithmetic average of the three (3) lowest closing sale prices for the Company's common stock during the ten (10) consecutive trading days ending on the trading day immediately preceding the purchase date.
(i) the sale of all shares of our common stock subject to the Sales Agreement, and (ii) the termination of the Capital on Demand Agreement by JonesTrading or Celsion. The Capital on Demand Agreement may be terminated by JonesTrading or the Company at any time upon 10 days' notice to the other party, or by JonesTrading at any time in certain circumstances, including the occurrence of a material adverse change in the Company.
P10Y
P10Y
22500
27500
15500
2.72
2.30
In July 2011, the Company executed a lease (the "Lease") with Brandywine Operating Partnership, L.P. (Brandywine), a Delaware limited partnership for a 10,870 square foot premises located in Lawrenceville, New Jersey. In October 2011, the Company relocated its offices to Lawrenceville, New Jersey from Columbia, Maryland.
In connection with the EGEN Asset Purchase Agreement in June 2014, the Company assumed the existing lease with another landlord for an 11,500 square foot premises located in Huntsville Alabama. In January 2018, the Company and the Huntsville landlord entered into a new 60-month lease which reduced the premises to 9,049 square feet with rent payments of approximately $18,100 per month.
224585
111662
118415
200000
0.01
2.74
P0Y
P5Y9M18D
10500
-12500000
11100000
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
13.	Earn-out Milestone Liability</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
total aggregate purchase price for the EGEN asset acquisition included potential future Earn-out Payments contingent upon achievement
of certain milestones. The difference between the aggregate $30.4 million in future Earn-out Payments and the $13.9 million included
in the fair value of the acquisition consideration at June 20, 2014 was based on the Company’s risk-adjusted assessment
of each milestone (10% to 67%) and utilizing a discount rate based on the estimated time to achieve the milestone (1.5 to 2.5
years). The earn-out milestone liability will be fair valued at the end of each quarter and any change in their value will be
recognized in the financial statements.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
March 28, 2019, the Company and EGWU, Inc, entered into the Amended Asset Purchase Agreement. Pursuant to the Amended Asset Purchase
Agreement, payment of the earnout milestone liability related to the Ovarian Cancer Indication of $12.4 million has been modified.
The Company has the option to make the payment as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif; width: 0.25in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif; width: 0.1in"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td>
<td style="padding-left: 2.15pt; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$7.0
million in cash within 10 business days of achieving the milestone; or </font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-left: 2.15pt; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td>
<td style="padding-left: 2.15pt; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$12.4
million in cash, common stock of the Company, or a combination of either, within one year of achieving the milestone.</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company provided EGWU, Inc. 200,000 warrants to purchase common stock at a strike price of $0.01 per warrant share as consideration
for entering into this amended agreement. The warrant shares have no expiration and were fair valued at $2.00 using the closing
price of a share of Celsion stock on the date of issuance offset by the exercise price and recorded as a non-cash expense in the
income statement and were classified as equity on the balance sheet.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">As
of June 30, 2019, March 31, 2019 and December 31, 2018, the Company fair valued the earn-out milestone liability at $5.9 million,
$5.8 million and $8.9 million, respectively and recognized a non-cash charge for the three month period ended June 30, 2019 and
a non-cash benefit of $3.0 million for the six month period ended June 30, 2019. In assessing the earnout milestone liability
at March 31, 2019 and June 30, 2019, the Company the fair valued each of the two payment options per the Amended Asset Purchase
Agreement and weighted them at 80% and 20% probability for the $7.0 million and the $12.4 million payments, respectively.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">As
of June 30, 2018, March 31, 2018, and December 31, 2017, the Company fair valued these milestones at $13.1 million, $12.8 million
and $12.5 million, respectively, and recognized a non-cash charge of $270,195 and 547,324 during the three and six-month periods
ended June 30, 2018, respectively, as a result of the change in the fair value of these milestones from December 31, 2017.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
following is a summary of the changes in the earn-out milestone liability for 2019:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 78%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Balance at January 1, 2019</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 18%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(8,907,664</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Non-cash gain
from the adjustment for the change in fair value</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">3,002,939</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Balance at June 30, 2019</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(5,904,725</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
following is a schedule of the Company’s risk-adjustment assessment of each milestone:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif">
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">Date</font></td>
<td style="padding-bottom: 1.5pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Risk-adjustment
Assessment</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>of
achieving each Milestone</b></font></p></td>
<td style="padding-bottom: 1.5pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 1.5pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">Discount
Rate</font></td>
<td style="padding-bottom: 1.5pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 1.5pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Estimated
Time</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>to
Achieve</b></font></p></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif; width: 18%"><font style="font: 10pt Times New Roman, Times, Serif">June
30, 2019</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 2%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif; width: 28%"><font style="font: 10pt Times New Roman, Times, Serif">80%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 2%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif; width: 16%"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 2%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif; width: 28%"><font style="font: 10pt Times New Roman, Times, Serif">0.75
to 1.75 years</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">March
31, 2019</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">80%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">1.00
to 2.00 years</font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">December
31, 2018</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">80%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">1.25
years</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">June
30, 2019</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">35%
to 80%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">0.83
to 1.00 years</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">March
31, 2018</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">35%
to 80%</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">1.08
to 1.25 years</font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">December
31, 2017</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">35%
to 80%</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">1.33
to 1.50 years</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Following
is a summary of the net fair value of the assets acquired in the EGEN asset acquisition for the six-month period ended June 30,
2019:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font: 12pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">IPR&D</font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Goodwill</font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Covenant
Not To Compete</font></td><td style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">For the six-months ended June 30, 2019</font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font: 12pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="width: 52%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Balance at January 1, 2019,
net</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 12%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,736,491</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 12%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,976,101</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 12%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">568,292</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Amortization</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(113,658</font></td><td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Balance at June
30, 2019, net</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,736,491</font></td><td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,976,101</font></td><td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; border-bottom: Black 2.5pt double; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">454,634</font></td><td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr></table>
113658
21387418
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
summary of the cost, fair value and maturities of the Company’s short-term investments is as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">June
30, 2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">December
31, 2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Cost</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Cost</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Short-term investments</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="width: 40%; text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Corporate
debt securities</font></td><td style="width: 2%; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,607,812</font></td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,702,388</font></td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,228,126</font></td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,257,998</font></td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,607,812</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,702,388</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,228,126</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,257,998</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">June
30, 2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">December
31, 2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Cost</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Cost</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Short-term investment
maturities</font></td><td style="font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="width: 40%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Within 3 months</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">9,821,406</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">9,897,504</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">5,383,488</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">5,393,743</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Between 3-12 months</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">5,786,406</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">5,804,884</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">8,844,638</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">8,864,255</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,607,812</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,702,388</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,228,126</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,257,998</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr></table>
0.10
17276965
18831834
334
334
21002295
17746285
334
334
17740035
334
19662020
334
1308492
3217633
3371301
1308492
3371301
617347
3217633
617347
5350
14001
29841
105
123
5245
29718
5349
63
13938
24
5325
10500
12250
6250
2500
400000
400000
1236584
4571
1232013
457070
2159961
1337775
4464060
21599
4442461
2709176
13378
2695798
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
1. Business Description</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Celsion
Corporation (“Celsion” and the “Company”) is a fully-integrated development stage oncology drug company
focused on advancing a portfolio of innovative cancer treatments, including directed chemotherapies, DNA-mediated immunotherapy
and RNA based therapies. Our lead product candidate is ThermoDox<sup>®</sup>, a proprietary heat-activated liposomal encapsulation
of doxorubicin, currently in a Phase III clinical trial for the treatment of primary liver cancer (the “OPTIMA Study”).
Second in our pipeline is GEN-1, a DNA-mediated immunotherapy for the localized treatment of ovarian cancer. These investigational
products are based on our two platform technologies which, in addition, provide the basis for the future development of a range
of therapeutics for difficult-to-treat forms of cancers. Our first platform is Lysolipid Thermally Sensitive Liposomes, a heat
sensitive liposomal based dosage form that targets disease with known therapeutics in the presence of mild heat. Our second is
TheraPlas, a novel nucleic acid-based treatment for local transfection of therapeutic plasmids. With these technologies we are
working to develop and commercialize more efficient, effective and targeted oncology therapies that maximize efficacy while minimizing
side-effects common to cancer treatments.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
2. Basis of Presentation</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
accompanying unaudited condensed consolidated financial statements, which include the accounts of the Company and its wholly owned
subsidiary, CLSN Laboratories, Inc, have been prepared in accordance with generally accepted accounting principles in the United
States (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. All intercompany
balances and transactions have been eliminated in consolidation. Certain information and disclosures normally included in financial
statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
the opinion of management, all adjustments, consisting only of normal recurring accruals considered necessary for a fair presentation,
have been included in the accompanying unaudited condensed consolidated financial statements. Operating results for the three
and six-month periods ended June 30, 2019 are not necessarily indicative of the results that may be expected for any other interim
period(s) or for any full year. For further information, refer to the financial statements and notes thereto included in the Company’s
Annual Report on Form 10-K for the fiscal year ended December 31, 2018 filed with the Securities and Exchange Commission (SEC)
on March 29, 2019.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
preparation of financial statements in conformity with GAAP requires management to make judgments, estimates, and assumptions
that affect the amount reported in the Company’s financial statements and accompanying notes. Actual results could differ
materially from those estimates. Events and conditions arising subsequent to the most recent balance sheet date have been evaluated
for their possible impact on the financial statements and accompanying notes. No events and conditions would give rise to any
information that required accounting recognition or disclosure in the financial statements other than those arising in the ordinary
course of business.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Certain
reclassifications have been made to the prior year financial statements to conform to classifications used in the current year.
There classifications had no impact on net loss, stockholder’s equity or cashflows as previously reported.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
4. New Accounting Pronouncements</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">From
time to time, new accounting pronouncements are issued by Financial Accounting Standards Board (FASB) and are adopted by us as
of the specified effective date. Unless otherwise discussed, we believe that the impact of recently issued accounting pronouncements
will not have a material impact on the Company’s consolidated financial position, results of operations, and cash flows,
or do not apply to our operations.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
February 2016, the FASB issued Accounting Standards Update No. 2016-02, “Leases” - Topic 842 (ASC Topic 842), which
requires that lessees recognize assets and liabilities for leases with lease terms greater than twelve months in the statement
of financial position. Leases will be classified as either finance or operating, with classification affecting the pattern of
expense recognition in the income statement. This update also requires improved disclosures to help users of financial statements
better understand the amount, timing and uncertainty of cash flows arising from leases. The update became effective for fiscal
years beginning after December 15, 2018, including interim reporting periods within that reporting period. The FASB subsequently
issued the following amendments to ASC Topic 842, which have the same effective date and transition date of January 1, 2019:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="width: 0.25in; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; width: 0.25in; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">ASU
No. 2018-10, <i>Codification Improvements to Topic 842, Leases</i>, which amends certain narrow aspects of the guidance issued
in ASU 2016-02; and</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="vertical-align: top; text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">ASU
No. 2018-11, <i>Leases (Topic 842): Targeted Improvements</i>, which allows for a transition approach to initially apply ASU
2016-02 at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the
period of adoption as well as an additional practical expedient for lessors to not separate non-lease components from the
associated lease component.</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">We
adopted Topic ASC 842 effective January 1, 2019 and elected to apply the available practical expedients and implement internal
controls to enable the preparation of financial information on adoption. We identified two of our leases consisting of the New
Jersey corporate office lease and the Alabama lab facility lease as being subject to Topic ASC 842. The adoption of this standard
resulted in the recognition of right-of-use assets of approximately $1.4 million, related operating lease liabilities of $1.5
million and reduced other liabilities by approximately $0.1 million on the consolidated balance sheets as of January 1, 2019 with
no material impact to the opening balance of retained earnings. See Note 15 for further discussions regarding the adoption of
ASC Topic 842.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif; background-color: white">In
August 2018, the SEC issued a final rule to simplify certain disclosure requirements. In addition, the amendments expanded the
disclosure requirements on the analysis of stockholders’ equity for interim financial statements. In August and September
2018, further amendments were issued to provide implementation guidance on adoption of the SEC rule and transition guidance for
the new interim stockholders’ equity disclosure. We adopted this amended guidance in the first quarter of 2019. The adoption
of this amended guidance resulted in us disclosing the Condensed Consolidated Statements of Changes in Stockholders’ Equity
for the three-month and six-month periods ending June 30, 2019 and 2018.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
January 2017, the FASB issued Accounting Standard Update No. 2017-01, “Business Combinations (Topic 805): Clarifying the
Definition of a Business,” which clarifies the definition of a business with the objective of adding guidance to assist
entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses.
This guidance is effective for annual reporting periods beginning after December 15, 2018, and interim periods within those years,
with early adoption permitted. The adoption of ASU 2017-01 did not have an impact on our financial statement or disclosures.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
January 2017, the FASB issued Accounting Standard Update No. 2017-04, “Intangibles-Goodwill and Other, Simplifying the Test
for Goodwill Impairment,” which eliminated Step <i>2</i> from the goodwill impairment test. Under the revised test, an entity
should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying
amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s
fair value; however, the loss recognized should <i>not</i> exceed the total amount of goodwill allocated to that reporting unit.
This ASU is effective for any interim or annual impairment tests for fiscal years beginning after December 15, 2019, with early
adoption permitted. The Company adopted this method for its impairment testing of goodwill during 2017 and 2018. Based on the
Company’s evaluation, the adoption of the ASU 2017-04 did not have any material impact on its consolidated financial statements
or its disclosures.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
5. Net Loss per Common Share</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Basic
loss per share is calculated based upon the net loss available to common shareholders divided by the weighted average number of
common shares outstanding during the period. Diluted loss per share is calculated after adjusting the denominator of the basic
earnings per share computation for the effects of all dilutive potential common shares outstanding during the period. The dilutive
effects of preferred stock, options and warrants and their equivalents are computed using the treasury stock method.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
total number of shares of common stock issuable upon exercise of warrants, stock option grants and equity awards were 4,595,990
shares for the six-month period ended June 30, 2019. Warrants with an exercise price of $0.01 (as more fully described in Note
13 of these financial statements) exercisable for 200,000 shares of common stock was considered issued in calculating basic loss
per share. For the three and six-month periods ended June 30, 2019, diluted loss per common share was the same as basic loss per
common share as the other 4,395,990 warrants and equity awards that were convertible into shares of the Company’s common
stock were excluded from the calculation of diluted loss per common share as their effect would have been anti-dilutive.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
total number of shares of common stock issuable upon exercise of warrants and equity awards was 6,255,757 shares for the three-month
and six-month periods ended June 30, 2018. For the three and six-month periods ended June 30, 2018, diluted loss per common share
was the same as basic loss per common share as all options and all warrants that were exercisable into shares of the Company’s
common stock were excluded from the calculation of diluted earnings attributable to common shareholders per common share as their
effect would have been anti-dilutive.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company did not pay any dividends during the six-month periods ended June 30, 2019 and 2018.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
7. Fair Value Measurements</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">FASB
Accounting Standards Codification (ASC) Section 820 “Fair Value Measurements and Disclosures,” establishes a three-level
hierarchy for fair value measurements which requires an entity to maximize the use of observable inputs and minimize the use of
unobservable inputs when measuring fair value. The three levels of inputs that may be used to measure fair value are as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 27.5pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 27.5pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Level
1: Quoted prices (unadjusted) or identical assets or liabilities in active markets that the entity has the ability to access as
of the measurement date;</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 27.5pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 27.5pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Level
2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted
prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data; and</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 27.5pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 27.5pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Level
3: Significant unobservable inputs that reflect a reporting entity’s own assumptions that market participants would use
in pricing an asset or liability.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Cash
and cash equivalents, other current assets, accounts payable and other accrued liabilities are reflected in the condensed consolidated
balance sheet at their approximate estimated fair values primarily due to their short-term nature. The fair values of securities
available for sale is determined by relying on the securities’ relationship to other benchmark quoted securities and classified
its investments as Level 2 items in both 2019 and 2018. There were no transfers of assets or liabilities between Level 1 and Level
2 and no transfers in or out of Level 3 thus far in 2019 and during the year ended December 31, 2018. The changes in Level 3 liabilities
were the result of changes in the fair value of the earn-out milestone liability included in earnings and in-process R&D.
The earnout milestone liability is valued using a risk-adjusted assessment of the probability of payment of each milestone, discounted
to present value using an estimated time to achieve the milestone (see Note 13 for significant unobservable inputs). The in-process
R&D – GBM is valued using a multi-period excess earnings method (see Note 8 for significant unobservable inputs).</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The table below summarizes assets and liabilities
measured at fair value. This table only includes those assets and liabilities with fair values that have changed since December
31, 2018:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif">
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Total
Fair Value</b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Quoted
Prices in Active Markets for Identical Assets/Liabilities<br />
(Level 1)</b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Significant
Other Observable Inputs<br />
(Level 2)</b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Significant
Unobservable Inputs <br />
(Level 3)</b></font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Assets:</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">          <font style="font-size: 10pt"> </font></font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Recurring
items as of June 30, 2019</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="width: 40%; padding-left: 10pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Corporate
debt securities, available for sale</font></td>
<td style="width: 2%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 11%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">15,702,388</font></td>
<td style="width: 1%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 11%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="width: 1%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 11%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">15,702,388</font></td>
<td style="width: 1%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 11%; border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="width: 1%; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Recurring
items as of December 31, 2018</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="padding-left: 10pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Corporate
debt securities, available for sale</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">14,257,998</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">14,257,998</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Liabilities:</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Recurring
items as of June 30, 2019</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="padding-left: 10pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Earn-out
milestone liability (Note 13)</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,904,725</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,904,725</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Recurring
items as of December 31, 2018</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: right; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="padding-left: 10pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Earn-out
milestone liability (Note 13)</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">8,907,664</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">─</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; font: 10pt Times New Roman, Times, Serif; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">8,907,664</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
15. Leases </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
July 2011, the Company executed a lease (the “Lease”) with Brandywine Operating Partnership, L.P. (Brandywine), a
Delaware limited partnership for a 10,870 square foot premises located in Lawrenceville, New Jersey. In October 2011, the Company
relocated its offices to Lawrenceville, New Jersey from Columbia, Maryland. The Lease had an initial term of 66 months. In late
2015, Lenox Drive Office Park LLC, purchased the real estate and office building and assumed the Lease. This Lease was set to
expire on April 30, 2017. In April 2017, the Company and the landlord amended the Lease effective May 1, 2017. The 1<sup>st</sup>
Lease Amendment extended the term of the agreement for an additional 64 months, reduced the premises to 7,565 square feet, reduced
the monthly rent and provided four months free rent. The monthly rent ranged from approximately $18,900 in the first year to approximately
$20,500 in the final year of the 1<sup>st</sup> Lease Amendment. The Company also had a one-time option to cancel the lease as
of the 40th month after the commencement date of the 1<sup>st</sup> Lease Amendment and must provide the landlord notice by the
28<sup>th</sup> month of the lease. Effective January 9, 2019, the Company amended the current terms of the 1<sup>st</sup> Lease
Amendment to increase the size of the premises by 2,285 square feet to 9,850 square feet and also extended the lease term by one
year to September 1, 2023. In conjunction with this 2nd Lease Amendment, we agreed to modify our one-time option to cancel the
lease as of the end of August 2021 and we must provide notice to the landlord by the end of August 2020. The monthly rent will
range from approximately $25,035 in the first year to approximately $27,088 in the final year of the 2<sup>nd</sup> Lease Amendment.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
connection with the EGEN Asset Purchase Agreement in June 2014, the Company assumed the existing lease with another landlord for
an 11,500 square foot premises located in Huntsville Alabama. In January 2018, the Company and the Huntsville landlord entered
into a new 60-month lease which reduced the premises to 9,049 square feet with rent payments of approximately $18,100 per month.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">As
previously mentioned in Note 4, we adopted ASC Topic 842 on January 1, 2019 using the modified retrospective transition method
for all lease arrangements at the beginning of the period of adoption. Results for reporting periods beginning January 1, 2019
are presented under ASC 842, while prior period amounts were not adjusted and continue to be reported in accordance with our historic
accounting under Topic 840, Leases. The standard had a material impact on our Consolidated Condensed Balance Sheet but had no
impact on our consolidated net earnings and cash flows. The most significant impact of adopting ASC Topic 842 was the recognition
of the right-of-use (ROU) asset and lease liabilities for operating leases, which are presented in the following three-line items
on the Consolidated Condensed Balance Sheet: (i) operating lease right-of-use asset; (ii) current operating lease liabilities;
and (iii) operating lease liabilities. Therefore, on date of adoption of ASC Topic 842, the Company recognized a ROU asset of
$1.4 million, operating lease liabilities, current and non-current collectively, of $1.5 million and reduced other liabilities
by approximately $0.1 million. We elected the package of practical expedients for leases that commenced before the effective date
of ASC Topic 842 whereby we elected to not reassess the following: (i) whether any expired or existing contracts contain leases;
(ii) the lease classification for any expired or existing leases; and (iii) initial direct costs for any existing leases. In addition,
we have lease agreements with lease and non-lease components, and we have elected the practical expedient for all underlying asset
classes and account for them as a single lease component. We have no finance leases. We determine if an arrangement is a lease
at inception. We have operating leases for office space and research and development facilities. Neither of our leases include
options to renew, however, one contains an option for early termination. We considered the option of early termination in measurement
of right-of-use assets and lease liabilities and we determined it is not reasonably certain to be terminated. In connection with
the 2<sup>nd</sup> Lease Amendment for the New Jersey office lease in January 2019, the Company considered this as one modified
lease and not as two separate leases. Therefore, in January 2019, the Company determined this lease was an operating lease and
remeasured the ROU asset and lease liability. Therefore, the Company increased the ROU asset and operating lease liabilities by
$0.4 million to $1.8 million and $1.9 million, respectively.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Following
is a table of the lease payments and maturity of our operating lease liabilities as of June 30, 2019:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" align="center" style="border-collapse: collapse; width: 90%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1.5pt"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid">For the year ending December 31,</td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 78%; text-align: left">Remainder of 2019</td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 18%; text-align: right">261,263</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">2020</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">525,809</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">2021</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">530,734</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">2022</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">535,579</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">2023</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">233,117</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">2024 and thereafter</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; border-bottom: Black 1.5pt solid"> </td><td style="text-align: right; border-bottom: Black 1.5pt solid">-</td><td style="text-align: left; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Subtotal future lease payments</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">2,086,502</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt; padding-left: 10pt">Less imputed interest</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; border-bottom: Black 1.5pt solid"> </td><td style="text-align: right; border-bottom: Black 1.5pt solid">(376,736</td><td style="text-align: left; padding-bottom: 1.5pt">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Total lease liabilities</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; border-bottom: Black 1.5pt solid">$</td><td style="text-align: right; border-bottom: Black 1.5pt solid">1,709,766</td><td style="text-align: left; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Weighted average remaining life</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; border-bottom: Black 1.5pt solid"> </td><td style="text-align: right; border-bottom: Black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">3.95 years</font></td><td style="text-align: left; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 2.5pt">Weighted average discount rate</td><td style="padding-bottom: 2.5pt"> </td>
<td style="text-align: left; border-bottom: Black 2.5pt double"> </td><td style="text-align: right; border-bottom: Black 2.5pt double">9.98</td><td style="text-align: left; padding-bottom: 2.5pt">%</td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">For
the three-month and six-month periods ended June 30, 2019, operating lease cost was $130,595 and $261,190, respectively. During
the three-month and six-month periods ended June 30, 2019, cash paid for operating leases included in operating cash flows was
$118,415 and 224,585, respectively. For the three-month and six-month periods ended June 30, 2018, operating lease cost was $109,554
and 224,553 respectively. During the three-month and six-month periods ended June 30, 2018, cash paid for operating leases included
in operating cash flows was $111,662 and $228,138, respectively.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
following table shows the Company’s investment securities gross unrealized gains (losses) and fair value by investment category
and length of time that individual securities have been in a continuous unrealized loss position at June 30, 2019 and December
31, 2018. The Company has reviewed individual securities to determine whether a decline in fair value below the amortizable cost
basis is other than temporary.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">June
30, 2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">December
31, 2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"><b>Available
for sale securities</b> (all unrealized holding gains and losses are less than 12 months at date of measurement)</font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Unrealized</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Holding</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Gains</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>(Losses)</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Fair
Value</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Unrealized</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Holding</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Gains</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>(Losses)</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 40%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Investments with unrealized
gains</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,395,809</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">95,013</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">7,515,676</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 11%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">38,068</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Investments with
unrealized losses</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,306,579</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(437</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">6,742,322</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(8,196</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; padding-bottom: 2.5pt; padding-left: 10pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,702,388</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">94,576</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">14,257,998</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">29,872</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Investment
income, which includes net realized losses on sales of available for sale securities and investment income interest and dividends,
is summarized as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Three
Months Ended</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>June
30,</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 60%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Interest and dividends accrued
and paid</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">143,633</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">69,559</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Realized gains</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">969</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">3,902</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Investment income,
net</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">144,602</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">73,461</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-weight: bold; text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Six
Months Ended</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>June
30,</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 60%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Interest and dividends accrued
and paid</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">248,043</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">138,848</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Realized gains</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">10,350</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">8,337</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Investment income,
net</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">258,393</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">147,185</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
summary of stock option awards and restricted stock grants for the six-months ended June 30, 2019 is presented below:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Stock
Options</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Restricted
Stock Awards</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Weighted<br />
Average</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Options<br />
Outstanding</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Weighted</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Average</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Exercise</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Price</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Non-vested<br />
Restricted<br /> Stock<br /> Outstanding</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Weighted</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Average</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Grant</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Date</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Fair
Value</b></font></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Contractual<br />
Terms of<br /> Equity<br /> Awards<br /> (in years)</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 34%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Equity awards outstanding
at January 1, 2019</font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 10%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">3,148,743</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 8%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.67</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 10%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">22,500</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 8%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.72</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 10%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Equity awards granted</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">805,004</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.16</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">15,500</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.17</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Vested and issued</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(10,500</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.49</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Equity awards
forfeited, cancelled or expired</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">(11,355</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="padding-bottom: 1.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.37</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="padding-bottom: 1.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Equity awards
outstanding at June 30, 2019</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">3,942,392</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.56</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">27,500</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.30</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">8.9</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Aggregate intrinsic
value of outstanding equity awards at June 30, 2019</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">27,500</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Equity awards
exercisable at June 30, 2019</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2,420,261</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2.77</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">8.7</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Aggregate intrinsic
value of equity awards exercisable at June 30, 2019</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">50,050</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
following is a schedule of the Company’s risk-adjustment assessment of each milestone:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif">
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">Date</font></td>
<td style="padding-bottom: 1.5pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Risk-adjustment
Assessment</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>of
achieving each Milestone</b></font></p></td>
<td style="padding-bottom: 1.5pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 1.5pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">Discount
Rate</font></td>
<td style="padding-bottom: 1.5pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 1.5pt; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Estimated
Time</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>to
Achieve</b></font></p></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif; width: 18%"><font style="font: 10pt Times New Roman, Times, Serif">June
30, 2019</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 2%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif; width: 28%"><font style="font: 10pt Times New Roman, Times, Serif">80%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 2%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif; width: 16%"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 2%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif; width: 28%"><font style="font: 10pt Times New Roman, Times, Serif">0.75
to 1.75 years</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">March
31, 2019</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">80%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">1.00
to 2.00 years</font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">December
31, 2018</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">80%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">1.25
years</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">June
30, 2019</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">35%
to 80%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">0.83
to 1.00 years</font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font: 10pt Times New Roman, Times, Serif">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">March
31, 2018</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">35%
to 80%</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">1.08
to 1.25 years</font></td></tr>
<tr style="vertical-align: bottom; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">December
31, 2017</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">35%
to 80%</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">9%</font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: center; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">1.33
to 1.50 years</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"><tr style="vertical-align: bottom"><td style="border-bottom: Black 1.5pt solid">Schedule of weighted average remaining contractual terms at June 30, 2019</td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Number of Warrants</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Issued</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b></b></font></p></td><td style="padding-bottom: 1.5pt"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid"><p style="margin-top: 0; margin-bottom: 0">Weighted</p>
<p style="margin-top: 0; margin-bottom: 0">Average</p>
<p style="margin-top: 0; margin-bottom: 0">Exercise Price</p></td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid">Weighted Average Contractual Terms Remaining</td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 47%; text-align: left">Warrants provided to EGWU, Inc (Note 13)</td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">200,000</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 14%; text-align: right">0.01</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td>
<td style="width: 14%; text-align: right">No expiration</td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">All other warrants outstanding</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">426,098</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">2.74</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: right">5.8 years</td>
<td> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Following
is a table of the lease payments and maturity of our operating lease liabilities as of June 30, 2019:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" align="center" style="border-collapse: collapse; width: 90%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1.5pt"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid">For the year ending December 31,</td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 78%; text-align: left">Remainder of 2019</td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 18%; text-align: right">261,263</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">2020</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">525,809</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">2021</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">530,734</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">2022</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">535,579</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">2023</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">233,117</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">2024 and thereafter</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; border-bottom: Black 1.5pt solid"> </td><td style="text-align: right; border-bottom: Black 1.5pt solid">-</td><td style="text-align: left; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Subtotal future lease payments</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">2,086,502</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt; padding-left: 10pt">Less imputed interest</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; border-bottom: Black 1.5pt solid"> </td><td style="text-align: right; border-bottom: Black 1.5pt solid">(376,736</td><td style="text-align: left; padding-bottom: 1.5pt">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Total lease liabilities</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; border-bottom: Black 1.5pt solid">$</td><td style="text-align: right; border-bottom: Black 1.5pt solid">1,709,766</td><td style="text-align: left; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Weighted average remaining life</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; border-bottom: Black 1.5pt solid"> </td><td style="text-align: right; border-bottom: Black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">3.95 years</font></td><td style="text-align: left; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 2.5pt">Weighted average discount rate</td><td style="padding-bottom: 2.5pt"> </td>
<td style="text-align: left; border-bottom: Black 2.5pt double"> </td><td style="text-align: right; border-bottom: Black 2.5pt double">9.98</td><td style="text-align: left; padding-bottom: 2.5pt">%</td></tr></table>
10400000
3900000
200000
100000
100000
4395990
4395990
10350
3902
8337
969
0.0998
10500000
15400000
2300000
7000000
12400000
12400000
0.80
0.80
0.80
0.80
0.35
0.35
0.80
0.35
0.80
0.09
0.09
0.09
0.09
0.09
0.09
2017-04-30
P64M
The 1st Lease Amendment extended the term of the agreement for an additional 64 months, reduced the premises to 7,565 square feet, reduced the monthly rent and provided four months free rent. The monthly rent ranged from approximately $18,900 in the first year to approximately $20,500 in the final year of the 1st Lease Amendment. The Company also had a one-time option to cancel the lease as of the 40th month after the commencement date of the 1st Lease Amendment and must provide the landlord notice by the 28th month of the lease. Effective January 9, 2019, we amended the current terms of the 1st Lease Amendment to increase the size of the premises by 2,285 square feet to 9,850 square feet and also extended the lease term by one year to September 1, 2023. In conjunction with this 2nd Lease Amendment, we agreed to modify our one-time option to cancel the lease as of the end of August 2021 and we must provide notice to the landlord by the end of August 2020. The monthly rent will range from approximately $25,035 in the first year to approximately $27,088 in the final year of the 2nd Lease Amendment.
1797561
1800000
261190
109554
224553
130595
376736
2086502
233117
535579
530734
525809
261263
P3Y11M12D
0.0998
5000000
P1Y3M29D
P1Y6M
P1Y2M30D
P9M
P1Y9M
P9M29D
P1Y
P1Y
P2Y
P1Y29D
P1Y2M30D
2968259
2627919
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
9. Accrued Liabilities</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Other
accrued liabilities at June 30, 2019 and December 31, 2018 include the following:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>June
30, 2019</b></font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></p></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">December
31, 2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
<td style="text-align: center; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"><b>(Unaudited)</b></font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="font-weight: bold; text-align: center; padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-weight: bold; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="width: 60%; text-align: justify; font-family: Times New Roman, Times, Serif"><p style="margin-top: 0; margin-bottom: 0"><font style="font-family: Times New Roman, Times, Serif">Amounts due to contract research organizations</font></p>
<p style="margin-top: 0; margin-bottom: 0; text-indent: 10pt"><font style="font-family: Times New Roman, Times, Serif">and other contractual agreements</font></p></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,061,448</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 2%; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 16%; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">749,369</font></td><td style="width: 1%; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Accrued payroll and related benefits</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,004,120</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">1,592,590</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Accrued professional fees</font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">304,504</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">198,654</font></td><td style="text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Other</font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">19,410</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">45,285</font></td><td style="padding-bottom: 1.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
<td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2,389,482</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif">2,585,898</font></td><td style="padding-bottom: 2.5pt; text-align: left; font-family: Times New Roman, Times, Serif"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Following
is a summary of all warrant activity for the six months ended June 30, 2019:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: left; border-bottom: Black 1.5pt solid">Warrants</td><td style="text-align: right; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="text-align: right; border-bottom: Black 1.5pt solid"><p style="margin-top: 0; margin-bottom: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Number of Warrants</b></font></p>
<p style="margin-top: 0; margin-bottom: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Issued</b></font></p></td><td style="text-align: right; padding-bottom: 1.5pt"> </td><td style="font-weight: bold; text-align: right; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid"><p style="margin-top: 0; margin-bottom: 0">Weighted</p>
<p style="margin-top: 0; margin-bottom: 0">Average</p>
<p style="margin-top: 0; margin-bottom: 0">Exercise Price</p></td><td style="font-weight: bold; text-align: right; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%">Warrants outstanding at December 31, 2018</td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">1,593,162</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 14%; text-align: right">5.36</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Warrants issued during the six months ended June 30, 2019 (see Note 13)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">200,000</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">0.01</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt">Warrants expired during the six months ended June 30, 2019</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; border-bottom: Black 1.5pt solid"> </td><td style="text-align: right; border-bottom: Black 1.5pt solid">(1,167,064</td><td style="text-align: left; padding-bottom: 1.5pt">)</td><td style="padding-bottom: 1.5pt"> </td>
<td style="text-align: left; padding-bottom: 1.5pt">$</td><td style="text-align: right; padding-bottom: 1.5pt">6.32</td><td style="text-align: left; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 2.5pt">Warrants outstanding at June 30, 2019</td><td style="padding-bottom: 2.5pt"> </td>
<td style="text-align: left; border-bottom: Black 2.5pt double"> </td><td style="text-align: right; border-bottom: Black 2.5pt double">626,098</td><td style="text-align: left; padding-bottom: 2.5pt"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="text-align: left; padding-bottom: 2.5pt">$</td><td style="text-align: right; padding-bottom: 2.5pt">1.87</td><td style="text-align: left; padding-bottom: 2.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 2.5pt">Aggregate intrinsic value of outstanding warrants at June 30, 2019</td><td style="padding-bottom: 2.5pt"> </td>
<td style="text-align: left; border-bottom: Black 2.5pt double">$</td><td style="text-align: right; border-bottom: Black 2.5pt double">362,000</td><td style="text-align: left; padding-bottom: 2.5pt"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="text-align: left; padding-bottom: 2.5pt"> </td><td style="text-align: right; padding-bottom: 2.5pt"> </td><td style="text-align: left; padding-bottom: 2.5pt"> </td></tr></table>
24200000
2000000
0.030
426098
Yes
Yes
false
13353543
6013318
68309
65673
451293
1271670
28131143
23053049
184627
386671
15736491
15736491
1976101
1976101
258933
370210
18539817
20147318
46855587
43587038
3020638
3392593
2585898
2389482
366541
500000
500000
6106536
6648616
9417037
9608761
1343225
1500000
1250000
63278
25994515
24755327
188322
210026
294393313
300549511
29872
94576
-273665247
-281937214
20946260
18916899
85188
85188
46855587
43587038
250000
125000
250000
125000
6325733
4593544
7334620
3558074
4354548
3542809
5207837
2136684
10680281
8136353
12542457
5694758
-10430281
-8011353
-12292457
-5569758
3002939
-277129
-547324
-127061
-400000
258393
73461
147185
144602
-2823
-504
76
-2850
2158314
-219203
-415094
-334757
-0.42
-0.46
-0.73
-0.29
19713449
17743229
17503796
20605762
75054
31406
12584
8721
64704
27497
4247
7752
-8207263
-8203059
-12703304
-5896763
362027
174342
3002939
-547324
250000
250000
1308492
3371301
5350
29841
191724
4237
-2955
24460
35776
-10161871
-8862077
13279686
5712170
11900000
5000000
262728
77698
-1642414
-789868
4464060
10961584
508471
10794
400000
9725000
507116
507116
507116
507116
10350
3909
8337
969
-7340225
1309639
44400000
3000000
1593162
626098
200000
362000
5.36
1.87
0.01
1167064
6.32
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><b>Note
3. Financial Condition and Business Plan</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Since
inception, the Company has incurred substantial operating losses, principally from expenses associated with the Company’s
research and development programs, clinical trials conducted in connection with the Company’s product candidates, and applications
and submissions to the U.S. Food and Drug Administration. The Company has not generated significant revenue and have incurred
significant net losses in each year since our inception. As of June 30, 2019, the Company has incurred approximately $282 million
of cumulative net losses and we had approximately $21.8 million in cash, investment securities and interest receivable. We have
substantial future capital requirements to continue our research and development activities and advance our product candidates
through various development stages. The Company believes these expenditures are essential for the commercialization of its technologies.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company expects its operating losses to continue for the foreseeable future as it continues its product development efforts, and
when it undertakes marketing and sales activities. The Company’s ability to achieve profitability is dependent upon its
ability to obtain governmental approvals, manufacture, and market and sell its new product candidates. There can be no assurance
that the Company will be able to commercialize its technology successfully or that profitability will ever be achieved. The operating
results of the Company have fluctuated significantly in the past. We have substantial future capital requirements associated with
our continued research and development activities and to advance our product candidates through various stages of development.
The Company believes these expenditures are essential for the commercialization of its technologies.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
actual amount of funds the Company will need to operate is subject to many factors, some of which are beyond the Company’s
control. These factors include the following:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="width: 0.1in; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 0.5in; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
progress of research activities;</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
number and scope of research programs;</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
progress of preclinical and clinical development activities;</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
progress of the development efforts of parties with whom the Company has entered into research and development agreements;</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
costs associated with additional clinical trials of product candidates;</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
ability to maintain current research and development licensing arrangements and to establish new research and development
and licensing arrangements;</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
ability to achieve milestones under licensing arrangements;</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
costs involved in prosecuting and enforcing patent claims and other intellectual property rights; and</font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">●</font></td>
<td style="text-align: justify; font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">the
costs and timing of regulatory approvals.</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has based its estimate on assumptions that may prove to be wrong. The Company may need to obtain additional funds sooner
or in greater amounts than it currently anticipates. Potential sources of financing include strategic relationships, public or
private sales of the Company’s shares or debt, the sale of the Company’s State of New Jersey net operating losses
and other sources. If the Company raises funds by selling additional shares of common stock or other securities convertible into
common stock, the ownership interest of existing stockholders may be diluted.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Annually,
the State of New Jersey enables approved technology and biotechnology businesses with New Jersey net operating tax losses the
opportunity to sell these losses through the Technology Business Tax Certificate Program (the “NOL Program”), thereby
providing cash to companies to help fund their operations. The Company determined it met the eligibility requirements of the NOL
Program and filed its application with the New Jersey Economic Development Authority (NJEDA) in June 2018. In this application,
the Company requested authorization of up to $12.5 million in tax benefits from its cumulative New Jersey net operating losses
to be eligible for sale. In September 2018, the NJEDA notified the Company that its application received approval to transfer
$11.1 million of tax benefits. In December 2018, the Company successfully transferred these approved tax benefits which resulted
in the receipt of $10.4 million in net cash proceeds to the Company at the end of 2018. The Company has approximately $3.9 million
in future tax benefits remaining under the NOL Program for future years subsequent to 2018. In June 2019, the Company filed an
application under the NOL Program to transfer an additional $2.0 million of tax benefits.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">With
$21.8 million in cash, investment securities and interest receivable at June 30, 2019 coupled with potential future sales of the
Company’s New Jersey NOL’s and, as more fully described in Note 11, the remaining availability under the Capitol on
Demand™ with JonesTrading Institutional Services LLC and the common stock purchase agreement with Aspire Capital Fund LLC,
the Company believes it has sufficient capital resources to fund its operations into the first quarter of 2021. The Company will
be required to obtain additional funding to continue development of its current product candidates within the anticipated time
periods, if at all, and to continue to fund operations.</font></p>
227316
227318
0.07625
190114
4583333
5000000
416667
507116
P3Y
P3Y
0.0242
3.085
0.0265
1.013
0.999
1.062
1.000
0.01
-2636
2392
931654
62000
-7515676
-14395809