Basis of Presentation and Summary of Significant Accounting Policies (Tables)
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9 Months Ended |
Sep. 30, 2013
|
Basis of Presentation and Summary of Significant Accounting Policies |
|
Schedule of assets and liabilities measured at fair value on a recurring basis |
The following tables represent the fair value hierarchy as of September 30, 2013 and December 31, 2012 for those assets and liabilities that we measure at fair value on a recurring basis (in thousands):
|
|
Fair Value Measurements at September 30, 2013 Using: |
|
|
|
|
|
Quoted Prices in Active
Markets for Identical
Assets |
|
Significant Other
Observable Inputs |
|
Significant
Unobservable Inputs |
|
|
|
Total |
|
(Level 1) |
|
(Level 2) |
|
(Level 3) |
|
Assets: |
|
|
|
|
|
|
|
|
|
Money market funds |
|
$ |
22,736 |
|
$ |
22,736 |
|
$ |
— |
|
$ |
— |
|
Corporate debt securities |
|
129,664 |
|
— |
|
129,664 |
|
— |
|
U.S. treasury and government agency securities |
|
52,931 |
|
— |
|
52,931 |
|
— |
|
Total Assets |
|
$ |
205,331 |
|
$ |
22,736 |
|
$ |
182,595 |
|
$ |
— |
|
Liabilities: |
|
|
|
|
|
|
|
|
|
Acquisition-related contingent consideration |
|
$ |
13,975 |
|
$ |
— |
|
$ |
— |
|
$ |
13,975 |
|
Total Liabilities |
|
$ |
13,975 |
|
$ |
— |
|
$ |
— |
|
$ |
13,975 |
|
|
|
Fair Value Measurements at December 31, 2012 Using: |
|
|
|
|
|
Quoted Prices in Active
Markets for Identical
Assets |
|
Significant Other
Observable Inputs |
|
Significant
Unobservable Inputs |
|
|
|
Total |
|
(Level 1) |
|
(Level 2) |
|
(Level 3) |
|
Money market funds |
|
$ |
24,058 |
|
$ |
24,058 |
|
$ |
— |
|
$ |
— |
|
Corporate debt securities |
|
111,690 |
|
— |
|
111,690 |
|
— |
|
U.S. treasury and government agency securities |
|
59,569 |
|
— |
|
59,569 |
|
— |
|
Commercial paper |
|
9,491 |
|
— |
|
9,491 |
|
— |
|
|
|
$ |
204,808 |
|
$ |
24,058 |
|
$ |
180,750 |
|
$ |
— |
|
|
Schedule of reconciliation of contingent consideration obligations related to acquisition of MuGard rights measured on recurring basis using Level 3 inputs |
The following table presents a reconciliation of contingent consideration obligations related to our acquisition of the MuGard Rights measured on a recurring basis using Level 3 inputs as of September 30, 2013 (in thousands):
Balance as of June 6, 2013 |
|
$ |
— |
|
Acquisition date fair value of contingent consideration |
|
13,700 |
|
Balance as of June 30, 2013 |
|
$ |
13,700 |
|
Payments made |
|
(4 |
) |
Adjustments to fair value of contingent consideration |
|
279 |
|
Balance as of September 30, 2013 |
|
$ |
13,975 |
|
|
Analysis of product sales allowances and accruals |
An analysis of our product sales allowances and accruals for the three and nine months ended September 30, 2013 and 2012 is as follows (in thousands):
|
|
Three Months Ended September 30, |
|
|
|
2013 |
|
2012 |
|
Provision for U.S. Feraheme sales allowances and accruals |
|
|
|
|
|
Discounts and chargebacks |
|
$ |
10,205 |
|
$ |
6,644 |
|
Government and other rebates |
|
3,044 |
|
1,595 |
|
Medicaid rebate reserve adjustment |
|
(625 |
) |
(861 |
) |
Returns |
|
265 |
|
(1,122 |
) |
Total provision for U.S. Feraheme sales allowances and accruals |
|
$ |
12,889 |
|
$ |
6,256 |
|
|
|
|
|
|
|
Total gross U.S. Feraheme sales |
|
$ |
32,236 |
|
$ |
22,442 |
|
|
|
|
|
|
|
Total provision for U.S. Feraheme sales allowances and accruals as a percent of total gross U.S. Feraheme sales |
|
40 |
% |
28 |
% |
|
|
Nine Months Ended September 30, |
|
|
|
2013 |
|
2012 |
|
Provision for U.S. Feraheme sales allowances and accruals |
|
|
|
|
|
Discounts and chargebacks |
|
$ |
26,925 |
|
$ |
19,382 |
|
Government and other rebates |
|
8,106 |
|
4,487 |
|
Medicaid rebate reserve adjustment |
|
(568 |
) |
(621 |
) |
Returns |
|
697 |
|
(1,680 |
) |
Total provision for U.S. Feraheme sales allowances and accruals |
|
$ |
35,160 |
|
$ |
21,568 |
|
|
|
|
|
|
|
Total gross U.S. Feraheme sales |
|
$ |
87,541 |
|
$ |
65,474 |
|
|
|
|
|
|
|
Total provision for U.S. Feraheme sales allowances and accruals as a percent of total gross U.S. Feraheme sales |
|
40 |
% |
33 |
% |
|
Schedule of customers representing 10% or more of revenues |
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|
Nine Months Ended September 30, |
|
|
|
2013 |
|
2012 |
|
AmerisourceBergen Drug Corporation |
|
43 |
% |
34 |
% |
McKesson Corporation |
|
23 |
% |
17 |
% |
Cardinal Health, Inc. |
|
16 |
% |
11 |
% |
Takeda Pharmaceuticals Company Limited |
|
11 |
% |
31 |
% |
|