Inventories

6 Months Ended

Jun. 30, 2011

Inventories

Inventories

H. Inventories

        All of the Company's inventories relate to INCIVEK. The following table sets forth the Company's inventories as of June 30, 2011 and December 31, 2010:

		June 30, 2011		December 31, 2010
		(in thousands)
Raw materials		$	21,774	$	—
Work in process			29,265		—
Finished goods			1,583		—
	Total	$	52,622	$	—

        On January 1, 2011, the Company began capitalizing inventory costs for INCIVEK manufactured in preparation for the product launch in the United States based on its evaluation of, among other factors, information regarding INCIVEK's safety and efficacy and the status of the INCIVEK NDA. The FDA completed its review and approved INCIVEK on May 23, 2011. In periods prior to January 1, 2011, the Company expensed costs associated with INCIVEK raw materials, work in process and finished goods as development expenses. As of June 30, 2011, the Company has not capitalized inventory costs related to its other drug development programs.