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Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2014	Nov. 07, 2014
Document And Entity Information
Entity Registrant Name	Lion Biotechnologies, Inc.
Entity Central Index Key	0001425205
Document Type	10-Q
Document Period End Date	Sep. 30, 2014
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		27,639,688
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2014

Condensed Balance Sheets - USD ($)	Sep. 30, 2014	Dec. 31, 2013
Current Assets
Cash and cash equivalents	$ 17,189,671	$ 19,672,177
Prepaid expenses	41,141	173,716
Total current assets	17,230,812	19,845,893
Property and equipment, net of accumulated depreciation of $38,782 and $16,002	170,990	27,756
Deposits	15,074	0
Total assets	17,416,876	19,873,649
Current Liabilities
Accounts payable	573,801	412,976
Accrued expenses	476,566	1,518,225
Accrued payable to officers and former directors	208,322	338,731
Total Current Liabilities	1,258,689	2,269,932
Commitments and contingencies	0	0
Stockholders' Equity
Preferred stock, $0.001 par value; 50,000,000 shares authorized, 5,694 shares and 17,000 shares issued and outstanding, respectively	6	17
Common stock, $0.000041666 par value; 150,000,000 shares authorized, 27,639,688 and 20,023,958 shares issued and outstanding, respectively	1,152	835
Common shares to be issued, 303,125 shares	245,153	245,153
Additional paid-in capital	87,607,055	81,884,897
Accumulated deficit	(71,695,179)	(64,527,185)
Total Stockholders' Equity	16,158,187	17,603,717
Total Liabilities and Stockholders' Equity	$ 17,416,876	$ 19,873,649

Condensed Balance Sheets (Parenthetical) - USD ($)	Sep. 30, 2014	Dec. 31, 2013
Current assets
Property and equipment, accumulated depreciation	$ 38,782	$ 16,002
Stockholder's equity
Preferred Stock Par Value	$ 0.001	$ 0.001
Preferred Stock Authorized	50,000,000	50,000,000
Preferred Stock Issued	5,694	17,000
Preferred Stock Outstanding	5,694	17,000
Common Stock Par Value	$ 0.000041666	$ 0.000041666
Common Stock Shares Authorized	150,000,000	150,000,000
Common Stock Shares Issued	27,639,688	20,023,958
Common Stock Shares Outstanding	27,639,688	20,023,958

Condensed Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Income Statement [Abstract]
Revenues	$ 0	$ 0	$ 0	$ 0
Costs and expenses
Operating expenses (including $939,283, $2,139,927, $2,720,639 and $2,360,345 in share based compensation costs)	2,448,621	2,459,063	6,154,416	3,673,236
Cost of Lion transaction - related party	0	6,700,000	0	6,700,000
Research and development	353,879	250,000	1,017,768	770,000
Total costs and expenses	2,802,500	9,409,063	7,172,184	11,143,236
Loss from operations	(2,802,500)	(9,409,063)	(7,172,184)	(11,143,236)
Other income
Interest (expense) income	4,190	0	4,190	(445,743)
Cost to induce exchange transaction	0	0	0	(2,295,868)
Total other (expense) income	4,190	0	4,190	(2,741,611)
Net Loss	$ (2,798,310)	$ (9,409,063)	$ (7,167,994)	$ (13,884,847)
Net Loss Per Share, Basic and Diluted	$ (0.11)	$ (0.66)	$ (0.30)	$ (1.97)
Weighted-Average Common Shares Outstanding, Basic and Diluted	26,632,908	14,152,052	24,107,787	7,037,510

Condensed Statements of Stockholders' Equity - 9 months ended Sep. 30, 2014 - USD ($)	Preferred Stock	Common Stock	Common Stock To Be Issued	Additional Paid-In Capital	Accumulated Deficit	Total
Beginning Balance, Shares at Dec. 31, 2013	17,000	20,023,958
Beginning Balance, Amount at Dec. 31, 2013	$ 17	$ 835	$ 245,153	$ 81,884,897	$ (64,527,185)	$ 17,603,717
Fair value of stock options				1,895,704		1,895,704
Common stock issued upon exercise of warrants, Shares		1,200,730
Common stock issued upon exercise of warrants, Amount		$ 50		3,001,775		3,001,825
Common stock issued upon conversion of preferred shares, Shares	(11,306)	5,653,000
Common stock issued upon conversion of preferred shares, Amount	$ (11)	$ 235		(224)
Common stock issued for services, Shares		762,000
Common stock issued for services, Amount		$ 32		824,903		824,935
Net loss					(7,167,994)	(7,167,994)
Ending Balance, Shares at Sep. 30, 2014	5,694	27,639,688
Ending Balance, Amount at Sep. 30, 2014	$ 6	$ 1,152	$ 245,153	$ 87,607,055	$ (71,695,179)	$ 16,158,187

Condensed Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
Cash Flows From Operating Activities
Net loss	$ (7,167,994)	$ (13,884,847)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	22,780	4,899
Fair value of vested stock options	1,895,704	357,362
Amortization of discount on convertible notes	0	445,743
Common stock issued for services	824,935	0
Common stock issued to induce exchange transaction	0	2,295,868
Common stock issued for Lion transaction	0	6,700,000
Common stock issued to directors	0	2,002,983
Changes in assets and liabilities:
Prepaid expenses and other current assets	132,575	(1,603)
Deposits	(15,074)	0
Accounts payable and accrued expenses	(1,011,243)	670,593
Net Cash Used In Operating Activities	(5,318,317)	(1,409,002)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of computer equipment and furniture	(166,014)	(12,704)
Net Cash Used In Investing Activities	(166,014)	(12,704)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of common stock upon exercise of warrants	3,001,825	0
Proceeds from the issuance of convertible notes, net	0	311,500
Proceeds from the issuance of common stock, net	0	1,240,010
Net Cash Provided By Financing Activities	3,001,825	1,551,510
Net Increase (Decrease) In Cash And Cash Equivalents	(2,482,506)	129,804
Cash and Cash Equivalents, Beginning of Period	19,672,177	0
Cash and Cash Equivalents, End of Period	17,189,671	129,804
Supplemental Disclosures of Cash Flow Information:
Common stock issued upon conversion of preferred stock	235	0
Common stock issued upon conversion of accrued interest and penalty	$ 0	$ 9,267,641

1. GENERAL ORGANIZATION AND BUSINESS

9 Months Ended

Sep. 30, 2014

Accounting Policies [Abstract]

1. GENERAL ORGANIZATION AND BUSINESS

Lion Biotechnologies, Inc. (the “Company,” “we,” “us” or “our”) was originally incorporated under the laws of the state of Nevada on September 17, 2007. Until March 2010, we were an inactive company known as Freight Management Corp. On March 15, 2010, we changed our name to Genesis Biopharma, Inc., and in 2011 we commenced our current business. On September 26, 2013, we amended and restated our Articles of Incorporation to, among other things, change our name to Lion Biotechnologies, Inc., effect a 1-for-100 reverse stock split (pro-rata reduction of outstanding shares) of our common stock, increase (after the reverse stock split) the number of our authorized number of shares of common stock to 150,000,000 shares, and authorize the issuance of 50,000,000 shares of “blank check” preferred stock, $0.001 par value per share.

Common stock share and per share information contained in these financial statements has been adjusted to reflect the foregoing stock split as if it occurred at the earliest period presented.

Lion Biotechnologies, Inc. is an emerging biotechnology company focused on developing and commercializing adoptive cell therapy (ACT) using autologous tumor infiltrating lymphocytes (TILs) for the treatment of metastatic melanoma and other solid cancers. ACT utilizes T-cells harvested from a patient to treat cancer in that patient. TILs, a kind of anti-tumor T-cells that are naturally present in a patient’s tumors, are collected from individual patient tumor samples. The TILs are then activated and expanded ex vivo and then infused back into the patient to fight their tumor cells.

Basis of Presentation of Unaudited Condensed Financial Information

The unaudited condensed financial statements of the Company for the three and nine months ended September 30, 2014 and 2013 have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and pursuant to the requirements for reporting on Form 10-Q and Regulation S-K. Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. However, such information reflects all adjustments (consisting solely of normal recurring adjustments), which are, in the opinion of management, necessary for the fair presentation of the financial position and the results of operations. Results shown for interim periods are not necessarily indicative of the results to be obtained for a full fiscal year. The balance sheet information as of December 31, 2013 was derived from the audited financial statements included in the Company's financial statements as of and for the year ended December 31, 2013 included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) on March 28, 2014. These financial statements should be read in conjunction with that report.

As the Company has not yet commenced any revenue-generating operations, does not have any cash flows from operations, and is dependent on debt and equity funding to finance its operations, the Company was considered a development stage company through September 30, 2014.

In June 2014, as discussed in Note, 2, the Financial Accounting Standards Board issued new guidance that removed all incremental financial reporting requirements from generally accepted accounting principles in the United States for development stage entities. The Company adopted early this new guidance effective June 30, 2014, as a result of which all inception-to-date financial information and disclosures have been omitted from this report.

Liquidity

We are currently engaged in the development of therapeutics to fight cancer, we do not have any commercial products and have not yet generated any revenues from our biopharmaceutical business. We currently do not anticipate that we will generate any revenues during 2014 from the sale or licensing of any products. In addition, we have not generated any revenues from our prior business plans.

We have not had any revenues and are still in the development stage. As shown in the accompanying condensed financial statements, we have incurred a net loss of $7,167,994 for the nine months ended September 30, 2014 and used $5,318,317 of cash in our operating activities during the nine months ended September 30, 2014. As of September 30, 2014, we had $17,189,671 of cash or cash equivalents on hand, stockholders’ equity of $16,158,187 and had working capital of $15,972,123.

During 2014, we expect to further ramp up our operations, which will increase the amount of cash we will use in our operations. Our budget for 2014 includes increased spending on research and development activities, higher payroll expenses as we increase our professional staff, the costs associated with establishing and operating our new Tampa, Florida, research facility, as well as ongoing payments under the Cooperative Research and Development Agreement (CRADA) we have entered into with the National Cancer Institute (NCI). Based on the funds we had available on September 30, 2014, we believe that we have sufficient capital to fund our anticipated operating expenses for at least twelve months.

On November 5, 2013, we completed a $23.3 million private placement of our securities to various institutional and individual accredited investors (the “Private Placement”). Despite the amount of funds that we raised in the Private Placement, the estimated cost of completing the development of our TIL-based therapy, and of obtaining all required regulatory approvals to market those product candidates, is substantially greater than the amount of funds we had available on September 30, 2014. Therefore, while we believe that our existing cash balances will be sufficient to fund our currently planned level of operations for at least twelve months, we will have to obtain additional funds in the future to complete our development plans. We intend to seek this additional funding through various financing sources, including possible sales of our securities, and in the longer term through strategic alliances with other pharmaceutical or biopharmaceutical companies.

2. SUMMARY OF SIGNIFICANT ACCOUNTING PRACTICES

9 Months Ended

Sep. 30, 2014

Notes to Financial Statements

2. SUMMARY OF SIGNIFICANT ACCOUNTING PRACTICES

Loss per Share

Basic earnings (loss) per share is computed by dividing the net income (loss) applicable to common stockholders by the weighted average number of shares of common stock outstanding during the period. The Company excludes shares issued but unvested from the calculation of basic loss per share and weighted average shares outstanding. Diluted earnings (loss) per share is computed by dividing the net income (loss) applicable to common stockholders by the weighted average number of common shares outstanding plus the number of additional common shares that would have been outstanding if all dilutive potential common shares had been issued. For the three and nine months ended September 30, 2014 and 2013, the calculations of basic and diluted loss per share are the same because inclusion of potential dilutive securities in the computation would have an anti-dilutive effect due to the net losses.

The potentially dilutive securities at September 30, 2014 consist of options to acquire 1,098,750 shares of the Company’s common stock, warrants to acquire 11,172,426 shares of common stock, and preferred stock that can convert into 2,847,000 shares of common stock. The potentially dilutive securities at September 30, 2013 consisted of options to acquire 63,750 shares of the Company’s common stock and warrants to acquire 1,000 shares of common stock.

Fair Value Measurements

The Company uses various inputs in determining the fair value of certain assets and liabilities and measures these on a recurring basis. Financial assets and liabilities recorded at fair value in the balance sheets are categorized by the level of objectivity associated with the inputs used to measure their fair value. Authoritative guidance provided by the Financial Accounting Standards Board (the “FASB”) defines the following levels directly related to the amount of subjectivity associated with the inputs to fair valuation of these financial assets and liabilities:

Level 1—Quoted prices in active markets for identical assets or liabilities.

Level 2—Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly.

Level 3—Unobservable inputs based on the Company's assumptions.

We are required to use observable market data if such data is available, without undue cost and effort. At September 30, 2014 and December 31, 2013, the fair value of cash and cash equivalents and accounts payable approximate their carrying values based on their short term nature.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include accounting for potential liabilities and the assumptions made in valuing stock instruments issued for services.

Stock-Based Compensation

The Company periodically grants stock options and warrants to employees and non-employees in non-capital raising transactions for as compensation for services rendered. The Company accounts for stock option grants to employees based on the authoritative guidance provided by the Financial Accounting Standards Board where the value of the award is measured on the date of grant and recognized over the vesting period. The Company accounts for stock option grants to non-employees in accordance with the authoritative guidance of the Financial Accounting Standards Board where the value of the stock compensation is determined based upon the measurement date as at either a) the date at which a performance commitment is reached, or b) at the date at which the necessary performance to earn the equity instruments is complete. Non-employee stock-based compensation charges generally are amortized over the vesting period on a straight-line basis. In certain circumstances where there are no future performance requirements by the non-employee, option grants are immediately vested and the total stock-based compensation charge is recorded in the period of the measurement date.

The fair value of the Company's common stock option grants are estimated using a Black-Scholes option pricing model, which uses certain assumptions related to risk-free interest rates, expected volatility, expected life of the common stock options, and future dividends. Compensation expense is recorded based upon the value derived from the Black-Scholes option pricing model, and based on actual experience. The assumptions used in the Black-Scholes option pricing model could materially affect compensation expense recorded in future periods.

Recent Accounting Pronouncements

On June 10, 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2014-10 (ASU 2014-10), Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation. ASU 2014-10 eliminates the requirement to present inception-to-date information about income statement line items, cash flows, and equity transactions, and clarifies how entities should disclose the risks and uncertainties related to their activities. ASU 2014-10 also eliminates an exception provided to development stage entities in Consolidations (ASC Topic 810) for determining whether an entity is a variable interest entity on the basis of the amount of investment equity that is at risk. The presentation and disclosure requirements in Topic 915 are no longer required for interim and annual reporting periods beginning after December 15, 2014. The revised consolidation standards will take effect in annual periods beginning after December 15, 2015, however, early adoption is permitted. The Company adopted the provisions of ASU 2014-10 starting with its quarterly report on Form 10-Q for the six months ended June 30, 2014.

On May 28, 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2014-09 (ASU 2014-09), Revenue from Contracts with Customers. ASU 2014-09 will eliminate transaction- and industry-specific revenue recognition guidance under current U.S. GAAP and replace it with a principle based approach for determining revenue recognition. ASU 2014-09 will require that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. The ASU also will require additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. ASU 2014-09 is effective for reporting periods beginning after December 15, 2016, and early adoption is not permitted. Entities can transition to the standard either retrospectively or as a cumulative-effect adjustment as of the date of adoption. Management has not determined the effect of adopting ASU 2014-09 on our ongoing financial reporting.

In April 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-08, "Presentation of Financial Statements (Topic 205) and Property, Plant and Equipment (Topic 360)." ASU 2014-08 amends the requirements for reporting discontinued operations and requires additional disclosures about discontinued operations. Under the new guidance, only disposals representing a strategic shift in operations or that have a major effect on the Company's operations and financial results should be presented as discontinued operations. This new accounting guidance is effective for annual periods beginning after December 15, 2014. The Company is currently evaluating the impact of adopting ASU 2014-08 on the Company's results of operations or financial condition.

In August 2014, the FASB issued Accounting Standards Update No. 2014-15 (ASU 2014-15), Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern, which provides guidance on determining when and how to disclose going-concern uncertainties in the financial statements. The new standard requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued. An entity must provide certain disclosures if conditions or events raise substantial doubt about the entity’s ability to continue as a going conern. The ASU applies to all entities and is effective for annual periods ending after December 15, 2016, and interim periods thereafter, with early adoption permitted.

Other recent accounting pronouncements issued by the FASB, including its Emerging Issues Task Force, the American Institute of Certified Public Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company's present or future financial statements.

3. STOCKHOLDERS' EQUITY

9 Months Ended

Sep. 30, 2014

Equity [Abstract]

3. STOCKHOLDERS' EQUITY

Issuance of common stock for services

In January 2014, the Company issued 2,000 shares of common stock with a fair value of $17,700 for services. The shares of common stock issued were valued at the market price on the date of issuance.

Issuance of common stock for services with vesting terms

During the nine month period ended September 30, 2014, the Company granted 760,000 shares of its restricted common stock to nine of its employees in accordance with the terms of their employment agreements. The 760,000 shares vest over a period of three years. As these shares were granted to employees, the Company calculated the aggregate fair value of these 760,000 shares based on the trading prices of the Company’s stock at their grant dates and determined it to be $4,378,240. The allocable portion of the fair value of the stock that vested during the current period ended September 30, 2014 amounted to $807,235 and was recognized as expense during the current period then ended.

Shares of restricted stock granted above are subject to forfeiture to the Company or other restrictions that will lapse in accordance with a vesting schedule determined by our Board. In the event a recipient’s employment or service with the Company terminates, any or all of the shares of common stock held by such recipient that have not vested as of the date of termination under the terms of the restricted stock agreement are forfeited to the Company in accordance with such restricted grant agreement.

Rights to acquire shares of common stock under the restricted stock purchase or grant agreement shall be transferable by the recipient only upon such terms and conditions as are set forth in the restricted stock agreement, as the Board shall determine in its discretion, so long as shares of common stock awarded under the restricted stock agreement remains subject to the terms of the such agreement.

Issuance of common stock upon conversion of preferred stock

During the nine month period ended June 30, 2014, the Company issued 5,653,000 shares of common stock upon the conversion of 11,306 shares of Series A Convertible Preferred Stock. The conversion shares issued was determined on a formula basis of 500 common shares for each Series A Convertible Preferred Stock held.

Cost of Lion Transaction

In July 2013, we acquired Lion Biotechnologies, Inc., a privately held Delaware corporation, in the Lion Merger. In the Lion Merger, the stockholders of Lion Biotechnologies, Inc. received an aggregate of 1,340,000 shares of our common stock with a fair value of $6,700,000. The value of the shares issued in the Lion Merger was recognized and recorded as an expense in the three- and nine-month periods ended September 30, 2013. No such expense was incurred in 2014.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
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-Publisher FASB
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Reference 15: http://www.xbrl.org/2003/role/presentationRef
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Reference 17: http://www.xbrl.org/2003/role/presentationRef
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+ Details

4. STOCK OPTIONS AND WARRANTS

9 Months Ended

Sep. 30, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

4. STOCK OPTIONS AND WARRANTS

Stock Options

As of October 14, 2011, the Company’s Board of Directors, based upon the approval and recommendation of the Compensation Committee, approved by unanimous written consent the Company’s 2011 Equity Incentive Plan (the “2011 Plan”) and form of option agreements for grants under the 2011 Plan. Employees, directors, consultants and advisors of the Company are eligible to participate in the 2011 Plan. The 2011 Plan will be administered by the Board of Directors or the Company’s Compensation Committee and has 1,900,000 shares of common stock reserved for issuance in the form of non-qualified options, restricted stock and the grant appreciation rights. No person eligible to participate in the 2011 Plan shall be granted options or other awards during a twelve month period that exceeds 300,000 shares. No options, restricted stock or stock appreciation rights may be granted after ten years of the adoption of the 2011 Plan by the Board of Directors, nor may any option have a term of more than ten years from the date of grant. The exercise price of non qualified options and the base value of a stock appreciation right shall not be less than the fair market value of the common stock on the date of grant. The Company’s stockholders did not approve the 2011 Plan within the required one-year period. Accordingly, the Company cannot grant incentive stock options under the 2011 Plan.

A summary of the status of stock options at September 30, 2014, and the changes during the nine months then ended, is presented in the following table:


				Weighted			Weighted Average
	Shares			Average			Remaining	Aggregate
	Under			Exercise			Contractual	Intrinsic
	Option			Price			Life	Value

Outstanding at December 31, 2013		278,750			$	23.10	9.1 years		$	1,176,063
Granted		845,000				6.83	7.1 years
Exercised		-
Expired/Forfeited/Cancelled		(25,000	)			125.00	7.0 years
Outstanding at September 30, 2014		1,098,750			$	8.44	7.5 years		$	1,036,038
Exercisable at September 30, 2014		238,500			$	13.84	7.3 years		$	224,887

During the nine months ended September 30, 2014, the Company granted employees options to purchase an aggregate of 785,000 shares of the Company’s common stock that expire ten years from date of grant, with vesting periods of 36 months. The fair value of each option award was estimated on the date of grant using the Black-Scholes option pricing model based on the following assumptions: (i) volatility rate of 228 %, (ii) discount rate of 2.0%, (iii) zero expected dividend yield, and (iv) expected life of 5 years, which is the average of the term of the option and the vesting period. The total fair value of the current option grants to employees at grant dates was approximately $5,400,000.

During the nine months ended September 30, 2014, the Company also granted to consultants options to purchase 60,000 shares of the Company’s common stock that expire five years from date of grant, with vesting periods ranging from 0 to 36 months. The fair value of these options granted to consultants was estimated, as the options vest, using the Black-Scholes option pricing model based on the following assumptions: (i) volatility rate of 228%, (ii) discount rate of 2.00 %, (iii) zero expected dividend yield, and (iv) expected life of 5 years. The total fair value of the current option grant to consultant at current valuation date was approximately $323,000.

During the three and nine months ended September 30, 2014, the Company recorded compensation costs of $555,102 and $1,895,704, respectively, relating to the vesting of the stock options. During the three and nine months ended September 30, 2013, the Company recorded compensation costs of $136,944 and $357,362, respectively, relating to the vesting of the stock options. As of September 30, 2014, the aggregate value of unvested options was $5,452,610, which will continue to be amortized as compensation cost as the options vest over terms ranging from three months to three years, as applicable.

Warrants

A summary of the status of stock warrants at September 30, 2014, and the changes during the nine months then ended, is presented in the following table:

Weighted

Average

Shares

Average

Remaining

Aggregate

Under

Exercise

Contractual

Intrinsic

Warrants

Price

Life

Value

Outstanding at December 31, 2013

12,373,156

2.51

4.11 years

31,056,390

Issued

Exercised

(1,200,730)

2.50

Expired

Outstanding and exercisable at September 30, 2014

11,172,426

2.51

4.10 years

11,192,426

The warrants outstanding at the beginning of the year were granted in the November 2013 Private Placement and have an exercise price of $2.50 per share. In the nine months ended September 30, 3014, the Company received $3,001,825 in cash from the exercise of warrants for the purchase of 1,200,730 shares of its common stock.

5. LICENSES AND COMMITMENTS

9 Months Ended

Sep. 30, 2014

Notes to Financial Statements

5. LICENSES AND COMMITMENTS

National Institutes of Health and the National Cancer Institute

Effective August 5, 2011, the Company signed a Cooperative Research and Development Agreement (CRADA) with the National Institutes of Health and the National Cancer Institute (NCI). Under the terms of the five-year cooperative research and development agreement, the Company will work with Steven A. Rosenberg, M.D., Ph.D., chief of NCI’s Surgery Branch, to develop adoptive cell immunotherapies that are designed to destroy metastatic melanoma cells using a patient’s tumor infiltrating lymphocytes.

The Company will pay the NCI $250,000 per quarter ($1,000,000 per year) under the CRADA for Dr. Rosenberg to use for technical, statistical, and administrative support, and research activities, as well as to pay for supplies and travel expenses. Although the CRADA has a five year term, either party to the CRADA has the right to terminate the CRADA upon 60 days’ notice to the other party.

During the nine months ended September 30, 2014 and 2013, the Company recognized $750,000 and $750,000, respectively, of CRADA expenses, which were recorded as part of research and development expenses in the condensed statement of operations. As of September 30, 2014, $250,000 of these CRADA expenses were outstanding and included in the balance of accrued expenses on the accompanying condensed balance sheet.

National Institutes of Health

Effective October 5, 2011, the Company entered into a Patent License Agreement (the “License Agreement”) with the National Institutes of Health, an agency of the United States Public Health Service within the Department of Health and Human Services (“NIH”). Pursuant to the License Agreement, NIH granted to the Company a non-exclusive worldwide right and license to develop and manufacture certain proprietary autologous tumor infiltrating lymphocyte adoptive cell therapy products for the treatment of metastatic melanoma, ovarian cancer, breast cancer, and colorectal cancer. The License Agreement required the Company to pay the NIH approximately $723,000 of upfront licensing fees and expense reimbursements in 2011, which amounts were included in Research and Development expenses in fiscal 2011. In addition, the Company will have to pay royalties of six percent (6%) of net sales (subject to certain annual minimum royalty payments), a percentage of revenues from sublicensing arrangements, and lump sum benchmark royalty payments on the achievement of certain clinical and regulatory milestones for each of the various indications and other direct cost incurred by NIH pursuant to the agreement. The Company initially intends to focus on the development of licensed products in the metastatic melanoma field of use. If the Company achieves all benchmarks for metastatic melanoma, up to and including the product’s first commercial sale in the United States, the total amount of such benchmark payments will be $6,050,000. The benchmark payments for the other three indications, if all benchmarks are achieved, will be $6,050,000 for ovarian cancer, $12,100,000 for breast cancer, and $12,100,000 for colorectal cancer. Accordingly, if the Company achieves all benchmarks for all four licensed indications, the aggregate amount of benchmark royalty payments that the Company will have to make to NIH will be $36,300,000.

During the nine months ended September 30, 2014 and 2013, there were no net sales subject to certain annual minimum royalty payments or sales that would require us to pay a percentage of revenues from sublicensing arrangements. In addition there were no benchmarks or milestones achieved that would require payment under the lump sum benchmark royalty payments on the achievement of certain clinical and regulatory milestones for each of the various indications.

As of December 31, 2013, $941,659 was due under the License Agreement with NIH. On January 17, 2014, the Company paid the NIH the entire past due amount of $941,659 payable to the NIH under the License Agreement. As of September 30, 2014, the Company is current with all of its payment obligations under the License Agreement.

The Company has entered into a Manufacturing Services Agreement with Lonza Walkersville, Inc. (Lonza) to develop and operate a commercial-scale manufacturing process for the TIL therapy. In June 2014 we commenced transferring our TIL manufacturing protocols from the NCI to Lonza, and we engaged Lonza to commence setting up a centralized TIL manufacturing center for our planned multicenter, pivotal clinical trials.

Tampa Lease

On July 18, 2014, the Company entered into a five -year lease with the University of South Florida Research Foundation for an approximately 5,200 square foot facility located at 3802 Spectrum Boulevard Tampa, Florida 33612. The new facility is part of the University of South Florida research park and will be used as the Company’s research and development facilities. The new space currently is being developed and furbished for the Company’s research needs and is expected to be available for use by the end of December 2014. The term of the lease shall commence on the earlier of the date when the Company takes possession of the premises or the date that the tenant improvements are substantially completed. The monthly base rent for this facility during the first year of the lease is $10,443, which amount will increase by 3% annually. The Company has the option to extend the lease term of this facility for an additional five-year period on the same terms and conditions, except that the base rent for the renewal term will be increased in accordance with the applicable consumer price index.

In order to conduct its research and development activities while the research and development facilities are being developed and furbished, the Company has entered into two month-to-month subleases at the same location. The first sublease, effective Aug 19, 2014, has a one-month term with two-month automatic extensions at a base rent of $2,900. The second sublease, effective October 13, 2014, also has a one-month term with two-month automatic extensions at a base rent of $1,650.

Exclusive License Agreement

On July 21, 2014, the Company entered into an Exclusive License Agreement (the “Moffitt License Agreement”), effective as of June 28, 2014, with the H. Lee Moffitt Cancer Center and Research Institute, Inc. (“Moffitt”) under which the Company received an exclusive, world-wide license to Moffitt’s rights in and to two patent-pending technologies related to methods for improving tumor-infiltrating lymphocytes for adoptive cell therapy. Unless earlier terminated, the term of the license extends until the earlier of the expiration of the last patent related to the licensed technology or 20 years after the effective date of the license agreement.

Pursuant to the Moffitt License Agreement, the Company paid an upfront licensing fee of $25,000 within 30 days of the effective date of the Moffitt License Agreement, which was recognized as research and development expense during the current period ended September 30, 2014. A patent issuance fee will also be payable under the Moffitt License Agreement, upon the issuance of the first U.S. patent covering the subject technology. In addition, the Company agreed to pay milestone license fees upon completion of specified milestones, customary royalties based on a specified percentage of net sales (which percentage is in the low single digits) and sublicensing payments, as applicable, and annual minimum royalties beginning with the first sale of products based on the licensed technologies, which minimum royalties will be credited against the percentage royalty payments otherwise payable in that year. The Company will also be responsible for all costs associated with the preparation, filing, maintenance and prosecution of the patent applications and patents covered by the Moffitt License Agreement related to the treatment of any cancers in the United States, Europe and Japan and in other countries selected that the Company and Moffitt agreed to.

Manufacturing Service Agreement

In December 2011, the Company entered into a Manufacturing Services Agreement with Lonza Walkersville, Inc. (Lonza) pursuant to which Lonza has agreed to manufacture, package, ship and handle quality assurance and quality control of our TIL therapy. This agreement was amended on March 13, 2014. Lonza has commenced developing a commercial-scale manufacturing process for the TIL therapy. The goal is to develop and establish a manufacturing process for the large-scale production of TILs that is in accord with current Good Manufacturing Practices (cGMP).

On June 1, 2014 we issued a new statement of work to Lonza under the Manufacturing Services Agreement. The statement of work required us to pay $100,000 in upfront costs, which was recognized as research and development expense during the current period ended September 30, 2014. The total cost for services to be provided under the statement of work is approximately $738,000.

1. SUMMARY OF SIGNIFICANT ACCOUNTING PRACTICES (Policies)	9 Months Ended
	Sep. 30, 2014
Summary Of Significant Accounting Practices Policies
Loss per Share	Basic earnings (loss) per share is computed by dividing the net income (loss) applicable to common stockholders by the weighted average number of shares of common stock outstanding during the period. The Company excludes shares issued but unvested from the calculation of basic loss per share and weighted average shares outstanding. Diluted earnings (loss) per share is computed by dividing the net income (loss) applicable to common stockholders by the weighted average number of common shares outstanding plus the number of additional common shares that would have been outstanding if all dilutive potential common shares had been issued. For the three and nine months ended September 30, 2014 and 2013, the calculations of basic and diluted loss per share are the same because inclusion of potential dilutive securities in the computation would have an anti-dilutive effect due to the net losses. The potentially dilutive securities at September 30, 2014 consist of options to acquire 1,098,750 shares of the Company’s common stock, warrants to acquire 11,172,426 shares of common stock, and preferred stock that can convert into 2,847,000 shares of common stock. The potentially dilutive securities at September 30, 2013 consisted of options to acquire 63,750 shares of the Company’s common stock and warrants to acquire 1,000 shares of common stock.
Fair Value Measurements	The Company uses various inputs in determining the fair value of certain assets and liabilities and measures these on a recurring basis. Financial assets and liabilities recorded at fair value in the balance sheets are categorized by the level of objectivity associated with the inputs used to measure their fair value. Authoritative guidance provided by the Financial Accounting Standards Board (the “FASB”) defines the following levels directly related to the amount of subjectivity associated with the inputs to fair valuation of these financial assets and liabilities: Level 1—Quoted prices in active markets for identical assets or liabilities. Level 2—Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly. Level 3—Unobservable inputs based on the Company's assumptions. We are required to use observable market data if such data is available, without undue cost and effort. At September 30, 2014 and December 31, 2013, the fair value of cash and cash equivalents and accounts payable approximate their carrying values based on their short term nature
Use of Estimates	The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include accounting for potential liabilities and the assumptions made in valuing stock instruments issued for services.
Stock-Based Compensation	The Company periodically grants stock options and warrants to employees and non-employees in non-capital raising transactions for as compensation for services rendered. The Company accounts for stock option grants to employees based on the authoritative guidance provided by the Financial Accounting Standards Board where the value of the award is measured on the date of grant and recognized over the vesting period. The Company accounts for stock option grants to non-employees in accordance with the authoritative guidance of the Financial Accounting Standards Board where the value of the stock compensation is determined based upon the measurement date as at either a) the date at which a performance commitment is reached, or b) at the date at which the necessary performance to earn the equity instruments is complete. Non-employee stock-based compensation charges generally are amortized over the vesting period on a straight-line basis. In certain circumstances where there are no future performance requirements by the non-employee, option grants are immediately vested and the total stock-based compensation charge is recorded in the period of the measurement date. The fair value of the Company's common stock option grants are estimated using a Black-Scholes option pricing model, which uses certain assumptions related to risk-free interest rates, expected volatility, expected life of the common stock options, and future dividends. Compensation expense is recorded based upon the value derived from the Black-Scholes option pricing model, and based on actual experience. The assumptions used in the Black-Scholes option pricing model could materially affect compensation expense recorded in future periods.
Recent Accounting Pronouncements	On June 10, 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2014-10 (ASU 2014-10), Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation. ASU 2014-10 eliminates the requirement to present inception-to-date information about income statement line items, cash flows, and equity transactions, and clarifies how entities should disclose the risks and uncertainties related to their activities. ASU 2014-10 also eliminates an exception provided to development stage entities in Consolidations (ASC Topic 810) for determining whether an entity is a variable interest entity on the basis of the amount of investment equity that is at risk. The presentation and disclosure requirements in Topic 915 are no longer required for interim and annual reporting periods beginning after December 15, 2014. The revised consolidation standards will take effect in annual periods beginning after December 15, 2015, however, early adoption is permitted. The Company adopted the provisions of ASU 2014-10 starting with its quarterly report on Form 10-Q for the six months ended June 30, 2014. On May 28, 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2014-09 (ASU 2014-09), Revenue from Contracts with Customers. ASU 2014-09 will eliminate transaction- and industry-specific revenue recognition guidance under current U.S. GAAP and replace it with a principle based approach for determining revenue recognition. ASU 2014-09 will require that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. The ASU also will require additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. ASU 2014-09 is effective for reporting periods beginning after December 15, 2016, and early adoption is not permitted. Entities can transition to the standard either retrospectively or as a cumulative-effect adjustment as of the date of adoption. Management has not determined the effect of adopting ASU 2014-09 on our ongoing financial reporting. In April 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-08, "Presentation of Financial Statements (Topic 205) and Property, Plant and Equipment (Topic 360)." ASU 2014-08 amends the requirements for reporting discontinued operations and requires additional disclosures about discontinued operations. Under the new guidance, only disposals representing a strategic shift in operations or that have a major effect on the Company's operations and financial results should be presented as discontinued operations. This new accounting guidance is effective for annual periods beginning after December 15, 2014. The Company is currently evaluating the impact of adopting ASU 2014-08 on the Company's results of operations or financial condition. In August 2014, the FASB issued Accounting Standards Update No. 2014-15 (ASU 2014-15), Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern, which provides guidance on determining when and how to disclose going-concern uncertainties in the financial statements. The new standard requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued. An entity must provide certain disclosures if conditions or events raise substantial doubt about the entity’s ability to continue as a going conern. The ASU applies to all entities and is effective for annual periods ending after December 15, 2016, and interim periods thereafter, with early adoption permitted. Other recent accounting pronouncements issued by the FASB, including its Emerging Issues Task Force, the American Institute of Certified Public Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company's present or future financial statements.

4. STOCK OPTIONS AND WARRANTS (Details) - Option [Member]	9 Months Ended
	Sep. 30, 2014 USD ($) $ / shares shares
Shares Under Option
Outstanding beginning balance	278,750
Granted	845,000
Exercised	0
Expired/Forfeited	(25,000)
Outstanding ending balance	1,098,750
Exercisable ending balance	238,500
Weighted Average Exercise Price
Outstanding beginning balance \| $ / shares	$ 23.10
Granted \| $ / shares	6.83
Expired \| $ / shares	125.00
Outstanding ending balance \| $ / shares	8.44
Exercisable ending balance \| $ / shares	$ 13.84
Weighted Average Remaining Contractual Life
Outstanding beginning balance	9 years 1 month 6 days
Granted	6 years 9 months 29 days
Expired/Forfeited	7 years
Outstanding ending balance	7 years 5 months
Exercisable ending balance	7 years 3 months 18 days
Aggregate Intrinsic Value
Outstanding beginning balance \| $	$ 1,176,063
Outstanding ending balance \| $	1,036,038
Exercisable ending balance \| $	$ 224,887

4. STOCK OPTIONS AND WARRANTS (Details 1) - Warrant [Member]	9 Months Ended
	Sep. 30, 2014 USD ($) $ / shares shares
Shares Under Warrants
Outstanding beginning balance	12,373,156
Issued	0
Exercised	(1,200,730)
Expired	0
Outstanding ending balance	11,172,426
Exercisable ending balance	11,172,426
Weighted Average Exercise Price
Outstanding beginning balance \| $ / shares	$ 2.51
Exercised \| $ / shares	2.50
Outstanding ending balance \| $ / shares	2.51
Exercisable ending balance \| $ / shares	$ 2.51
Weighted Average Remaining Contractual Life
Outstanding beginning balance	4 years 1 month 10 days
Outstanding ending balance	4 years 1 month 6 days
Aggregate Intrinsic Value
Outstanding beginning balance \| $	$ 31,056,390
Outstanding ending balance \| $	11,192,426
Exercisable ending balance \| $	$ 11,192,426

6. RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	Sep. 30, 2014	Dec. 31, 2013
Related Party Transactions Details Narrative
Due to related parties	$ 208,322	$ 338,731