Note 8 - Commitments and Contingencies

3 Months Ended

Sep. 30, 2018

Notes to Financial Statements

Commitments and Contingencies Disclosure [Text Block]

8. Commitments and Contingencies

Isotope Purchase Agreement

 

In 

December 2015, 

the Company completed negotiations with The Open Joint Stock Company (located in Russia) for the purchase of Cesium-

131

 manufactured by the Institute of Nuclear Materials. The purchase agreement provided the Company with 

one

 year’s supply of Cesium-

131.

 The original agreement was due to expire on 

March 31, 2017, 

but in 

December 2016 

an addendum was signed extending it until 

December 31, 2017.

On 

October 23, 2017, 

the Company, together with The Open Joint Stock Company signed an addendum to the contract to include Cesium-

131

 manufactured at the Research Institute of Atomic Reactors ("SSC RIAR") and extended it until 

December 31, 2018. 

On

March 19, 2018,

an addendum was signed increasing the amount of Cesium-

131

to be provided to the Company through

December 31, 2018.

Research and Development - Collaborative Arrangement

On

March 13, 2017,

IsoRay Medical, Inc., a wholly owned subsidiary of the Company (“Medical”), entered into a Collaborative Development Agreement (CDA) with GammaTile, LLC to further develop a brachytherapy medical device for the treatment of cancerous tumors in the brain and to seek regulatory approval for the new product. As the project manager, Medical incurs all costs in connection with the collaboration project which will be shared equally by both parties as of

November 8, 2016,

which is when they informally began the collaboration. The arrangement is accounted for as a collaborative arrangement and related costs are incurred, shared, and separately stated in connection with a collaborative research and development project. These costs are reported on the financial statements under “Research and development: Collaboration arrangements, net of reimbursement.”

During the

three

months ended

September 30, 2018

and

2017,

costs incurred in connection with the collaboration agreement were

$116,000

and

$147,000,

respectively.

As of

September 30, 2018

and

June 30, 2018,

the Company had outstanding receivables from GammaTile LLC of

$82,000

and

$22,000

respectively.