ventory (in thousands)



	December 31,
	2016		2015
Raw materials	$	4,397	$	3,775
Work in process	2,650		8,255
	$	7,047	$	12,030

Property and Equipment, Net (in thousands)



	December 31,
	2016			2015
Machinery, equipment and tooling	$	11,011		$	12,859
Construction in progress	104			4,647
Computer equipment and software	78			579
Leasehold improvements	1,372			1,271
Furniture and fixtures	659			667
Property and equipment, at cost	13,224			20,023
Less accumulated depreciation	(11,514		)	(10,769		)
	$	1,710		$	9,254

Depreciation expense for 2016, 2015 and 2014 was $1.4 million, $1.6 million and $1.6 million, respectively.

The Company and Endo have recently entered into a letter agreement acknowledging Endo’s decision to have the Company discontinue the manufacturing and supply of the Sumavel DosePro product under the supply agreement while the parties finalize termination of the supply agreement. As a result, the Company performed an analysis to estimate cash flows from property and equipment used in the production of Sumavel DosePro. Based on this analysis, the Company determined its fair value exceeded the carrying value by $6.4 million and recognized an impairment charge for long-lived assets in the fourth quarter of 2016. See Note 6 for additional information.

The Company had net long-lived assets consisting of property and equipment in the following regions as of December 31, 2016 and 2015 (in thousands):



	December 31,
	2016		2015
United States	$	629	$	796
Europe	1,081		8,458
	$	1,710	$	9,254

Other Assets (in thousands)



	December 31,
	2016		2015
Prepaid royalty expense	$	—	$	2,000
Deposits	376		556
Prepaid clinical trial costs	771		775
	$	1,147	$	3,331

Accrued Expenses (in thousands)



	December 31,
	2016		2015
Accrued product returns	$	99	$	1,985
Accrued interest payable, current	121		178
Accrued clinical trial costs	3,657		1,162
Other accrued expenses	2,497		1,292
	$	6,374	$	4,617

Other Long-Term Liabilities (in thousands)



	December 31,
	2016		2015
Deferred rent	$	661	$	767
Accretion of terminal fee due at maturity on term loan	729		407
Asset retirement obligation	—		371
Other long-term liabilities	—		43
	$	1,390	$	1,588