Other Non-current assets

6 Months Ended

Jun. 30, 2023

Other Non-current assets

Other Non-current assets

10. Other Non-current assets

Other non-current assets consist of the following for the periods presented:

	June 30,		December 31,
	2023		2022
Prepaid licenses	$	2,424	$	2,490
Other		312		352
Total other non-current assets	$	2,736	$	2,842

In April 2021, the Company entered into a five-year agreement, as amended in December 2022, with Mellitus to exclusively market and distribute its product line in the United States, including Puerto Rico, except for selected accounts. Under this distribution agreement and its amendments, the Company agreed to purchase $2,500 of product licenses and prepaid $2,500 for the license purchases. This prepayment, which was reclassed to a long-term asset in 2022 due to the change in the estimation of the recoverability

period is expected to be more than one year. The long-term portion of the prepaid licenses are included in the Other non-current assets. Unless early terminated in accordance with its terms, the exclusive distribution agreement will remain in full force and effect until April 1, 2026, and for renewal periods of one year each upon its anniversary date, unless terminated by at least 60 days written notice prior to such an anniversary date. Either party may terminate the agreement by written notice to the other party upon or after the breach of any material provision of this agreement by the other party, if the other party has not cured such breach within 60 days after written notice thereof from the non-breaching party.

Revenue from these product licenses will be recognized in accordance with ASC 606, Revenue from Contracts with Customers. The Company did not generate significant revenue from these product licenses during the three and six months ended June 30, 2023 and 2022.

Other includes right-of-use asset (“ROU”) of $192, miscellaneous receivables of $100, and long-term deposits of $20 as of June 30, 2023. As of December 31, 2022, ROU was $233, miscellaneous receivable was $100, and long-term deposit was $19.