COLLABORATIVE RESEARCH AND DEVELOPMENT AGREEMENTS

3 Months Ended

Mar. 31, 2015

COLLABORATIVE RESEARCH AND DEVELOPMENT AGREEMENTS [Abstract]

COLLABORATIVE RESEARCH AND DEVELOPMENT AGREEMENTS

NOTE	3 — COLLABORATIVE RESEARCH AND DEVELOPMENT ARRANGEMENTS:

Battelle/CDC DPP® Influenza Immunity Test:

In November 2014, the Company entered into a follow-on, milestone-based development agreement of up to an additional $271,000, resulting in a total amount of $1,268,000, based on Chembio's previous successful initial development of a multiplex rapid point-of-care ("POC") influenza immunity test utilizing its patented Dual Path Platform (DPP®) technology. The agreement contemplates an additional period of approximately six months in which the follow-on development activity is to be completed. The Company earned $221,000 and $13,000 for the three-month periods ended March 31, 2015 and 2014, respectively from this agreement. The Company earned $1,257,000 from this grant from inception through March 31, 2015.

RVR DPP® technology transfer agreement:

In February 2014, the Company entered into a technology transfer agreement with RVR Diagnostics for $1,500,000. The agreement was modified in September 2014. The Company earned $0 and $750,000 for the three-month periods ended March 31, 2015 and 2014, respectively from this agreement. The Company earned $1,125,000 from this grant from inception through March 31, 2015.

Dengue agreement:

In October 2014, the Company entered into a technology development agreement with a diagnostics company for $300,000. The Company earned $90,000 and $- for the three-month periods ended March 31, 2015 and 2014, respectively from this agreement. The Company earned $150,000 from this grant from inception through March 31, 2015.

Brain Injury agreement:

In January 2015, the Company entered into a technology development agreement with Perseus Science Group LLC for $846,000. The Company earned $127,500 and $- for the three-month periods ended March 31, 2015 and 2014, respectively from this agreement. The Company earned $127,500 from this grant from inception through March 31, 2015.

Malaria agreement:

In January 2015, the Company was awarded a grant from the Bill & Melinda Gates Foundation for $307,000. The Company earned $133,900 and $- for the three-month periods ended March 31, 2015 and 2014, respectively from this agreement. The Company earned $133,900 from this grant from inception through March 31, 2015.

Cancer agreement:

In October 2014, the Company entered into a technology development agreement with an international diagnostics company for $320,000. The Company earned $75,000 and $- for the three-month periods ended March 31, 2015 and 2014, respectively from this agreement. The Company earned $75,000 from this grant from inception through March 31, 2015.

- Definition

The entire disclosure for research, development, and computer software activities, including contracts and arrangements to be performed for others and with federal government. Includes costs incurred (1) in a planned search or critical investigation aimed at discovery of new knowledge with the hope that such knowledge will be useful in developing a new product or service, a new process or technique, or in bringing about a significant improvement to an existing product or process; or (2) to translate research findings or other knowledge into a plan or design for a new product or process or for a significant improvement to an existing product or process whether intended for sale or the entity's use, during the reporting period charged to research and development projects, including the costs of developing computer software up to the point in time of achieving technological feasibility and in-process research and development acquired in a business combination consummated during the period.

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