Collaboration Agreements (Tables)

6 Months Ended

Jun. 30, 2013

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Substantive Development Milestone Payments Eligible to Receive under Astellas Collaboration Agreement

The remaining $257.0 million in development milestone payments the Company is eligible to receive under the Astellas Collaboration Agreement are as follows:

Milestone Event	4th line prostate  cancer patients (1)			3rd line prostate  cancer patients (2)		2nd line prostate  cancer patients (3) (4)
First acceptance for filing of a marketing application in:
The U.S.			(5)	$	10 million	$	15 million
The first major country in Europe			(5)	$	5 million	$	10 million
Japan			(5)	$	5 million	$	10 million
First approval of a marketing application in:
The U.S.			(5)	$	30 million	$	60 million
The first major country in Europe			(5)	$	15 million	$	30 million
Japan	$	15 million		$	15 million	$	30 million

⁽¹⁾  Defined as prostate cancer patients who meet each of the following three criteria: (a) prior treatment failure on either (i) one or more luteinizing hormone-releasing hormone, or LHRH, analog drugs or (ii) surgical castration; (b) prior treatment failure on one or more androgen receptor antagonist drugs; and (c) prior treatment failure on chemotherapy.

⁽²⁾  Defined as prostate cancer patients who meet each of the following three criteria: (a) prior treatment failure on either (i) one or more LHRH analog drugs or (ii) surgical castration; (b) prior treatment failure on one or more androgen receptor antagonist drugs; and (c) no prior exposure to chemotherapy for prostate cancer.

⁽³⁾  Defined as prostate cancer patients who meet each of the following two criteria: (a) prior treatment failure on either (i) one or more LHRH analog drugs or (ii) surgical castration; and (b) no prior treatment failure on one or more androgen receptor antagonist drugs.

⁽⁴⁾  An additional milestone payment of $7.0 million is payable upon the first to occur of: (a) first approval of a marketing application in the United States with a label encompassing 2nd line prostate cancer patients; (b) first approval of a marketing application in the first major country in Europe with a label encompassing 2nd line prostate cancer patients; (c) first approval of a marketing application in Japan with a label encompassing 2nd line prostate cancer patients; or (d) first patient dosed in a Phase 3 clinical trial other than the PREVAIL trial that is designed specifically to support receipt of marketing approval in 2nd line patients.

⁽⁵⁾  These milestone payments totaling $78.0 million have been previously earned and payments totaling $63.0 million had been received as of June 30, 2013. A $15.0 million milestone payment, which was included in “receivable from collaboration partner” on the accompanying unaudited consolidated balance sheet at June 30, 2013, was received during the third quarter of 2013.

Schedule of Collaboration Revenue

Collaboration revenue was as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2013		2012		2013		2012
Collaboration revenue:
Attributable to U.S. XTANDI sales	$	41,201	$	—	$	78,890	$	—
Attributable to ex-U.S. XTANDI sales		482		—		482		—
Attributable to up-front and milestone payments		28,466		42,912		36,931		79,737
Total	$	70,149	$	42,912	$	116,303	$	79,737

Schedule of Collaboration Revenue Attributable to Sales

Collaboration revenue attributable to U.S. XTANDI sales was as follows:

	Three Months Ended June  30, 2013			Six Months Ended June 30, 2013
Net U.S. sales (as reported by Astellas)	$	82,402		$	157,780
Shared U.S. development and commercialization costs		(61,431	)		(119,101	)
Pre-tax U.S. profit	$	20,971		$	38,679
Medivation’s share of pre-tax U.S. profit	$	10,486		$	19,340
Reimbursement of Medivation’s share of shared U.S. costs		30,715			59,550
Collaboration revenue attributable to U.S. XTANDI sales	$	41,201		$	78,890

Schedule of Collaboration Revenue Attributable to Up-Front and Milestone Payments

Collaboration revenue attributable to up-front and milestone payments was as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2013		2012		2013		2012
Collaboration revenue attributable to up-front and milestone payments:
From Astellas	$	28,466	$	7,256	$	36,931	$	13,193
From Pfizer		—		35,656		—		66,544
Total	$	28,466	$	42,912	$	36,931	$	79,737

Deferred Revenue

Deferred revenue under the Astellas Collaboration Agreement consisted of the following:

	June 30, 2013		December 31, 2012
Current	$	25,396	$	33,862
Long-term		—		8,465
Total	$	25,396	$	42,327

Development and Commercialization Cost-Sharing Payments

The following table summarizes the reductions in R&D expenses related to development cost-sharing payments:

	Three Months Ended June 30,				Six Months Ended June 30,
	2013		2012		2013		2012
Development cost-sharing payments from Astellas	$	11,309	$	14,013	$	18,547	$	28,128
Development cost-sharing payments from Pfizer		—		362		—		1,689
Total	$	11,309	$	14,375	$	18,547	$	29,817

The following table summarizes the (increases) reductions in SG&A expenses related to commercialization cost-sharing payments:

	Three Months Ended June 30,					Six Months Ended June 30,
	2013			2012		2013			2012
Commercialization cost-sharing payments (to) from Astellas	$	(3,791	)	$	146	$	(8,576	)	$	(670	)
Commercialization cost-sharing payments from Pfizer		—			5		—			9
Total	$	(3,791	)	$	151	$	(8,576	)	$	(661	)