INTANGIBLE ASSETS

12 Months Ended

Dec. 31, 2015

NOTE 6. INTANGIBLE ASSETS

The gross carrying amounts and net book values of our intangible assets were as follows (in thousands):

	December 31, 2015									December 31, 2014
Amounts in thousands	Remaining Useful Life (In years)		Gross Carrying Amount		Accumulated Amortization			Net Book Value		Gross Carrying Amount		Accumulated Amortization			Net Book Value
NUCYNTA product rights		9.5	$	1,019,977	$	(74,080	)	$	945,897	$	—	$	—		$	—
CAMBIA product rights		8.0		51,360		(10,483	)		40,877		51,360		(5,347	)		46,013
Lazanda product rights		6.6		10,480		(2,814	)		7,666		10,480		(1,650	)		8,830
Zipsor product rights		6.3		27,250		(12,696	)		14,554		27,250		(9,732	)		17,518

			$	1,109,067	$	(100,073	)	$	1,008,994	$	89,090	$	(16,729	)	$	72,361

In June 2015, the Company entered into a settlement agreement in its ongoing patent litigation related to an Abbreviated New Drug Application (ANDA) seeking approval to market a generic version of Zipsor® (diclofenac liquid filled capsules) 25mg tablets. The settlement permits defendant Watson Laboratories Inc. to begin selling generic Zipsor on March 24, 2022, or earlier under certain circumstances. The settlement concluded all ongoing ANDA litigation related to Zipsor. In light of this settlement agreement, the Company reviewed the useful life of the Zipsor product rights and, as of June 2015, extended that from the previous estimate of July 2019 to March 2022. The change in the useful life reduced the amortization charge for 2015 by $0.9 million.

Based on finite-lived intangible assets recorded as of December 31, 2015, and assuming the underlying assets will not be impaired and that we will not change the expected lives of the assets, future amortization expenses were estimated as follows (in thousands):

Year Ending December 31,	Estimated Amortization Expense
2016	$	108,147
2017		108,147
2018		108,147
2019		108,147
2020		108,147
Thereafter		468,259

Total	$	1,008,994