COMMITMENTS AND CONTINGENCIES (Tables)

6 Months Ended

Jun. 30, 2024

COMMITMENTS AND CONTINGENCIES

Schedule of future commitments

			Future Commitments
Commitment	Counter Party	Commitment Type	2024		2025		2026		2027		2028 & After		Total
License Agreement	NCSU	Minimum annual royalty	$	100	$	100	$	100	$	100	$	3,575	$	3,975	(1)
License Agreement	NCSU	Contract fee		150		250		250		—		—		650	(2)
Consulting Agreements	Various	Contract fee		928		373		146		—		—		1,447	(3)
Growing Agreements	Various	Contract fee		149		—		—		—		—		149	(4)
			$	1,327	$	723	$	496	$	100	$	3,575	$	6,221

(1) The minimum annual royalty fee is credited against running royalties on sales of licensed products. The Company is also responsible for reimbursing NCSU for actual third-party patent costs incurred, including capitalized patent costs and patent maintenance costs. These costs vary from year to year and the Company has certain rights to direct the activities that result in these costs.

(2) On November 1, 2023, the Company entered into a license agreement with NCSU for an exclusive sublicensable right and license under specific patent rights and plant variety rights for the field of use in specific licensed territories. Additional milestone fees could be required pending achievement of events pursuant to the agreement.

(3) As a requirement for a modified risk tobacco product and condition of the marketing authorization by the FDA, the Company engaged various consulting firms to conduct post-market studies and research.

(4) Various R&D growing agreements for tobacco.