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Accounts Receivable (Tables)
 12 Months Ended
Dec. 31, 2014
Receivables [Abstract]  
Schedule of Accounts Receivable
The following tables summarize the impact of accounts receivable reserves and allowance for doubtful accounts on the gross trade accounts receivable balances at each balance sheet date ($ amounts in thousands):
 
December 31, 2014
 
December 31, 2013
 
(Successor)
 
(Successor)
 
 
 
 
Gross trade accounts receivable

$565,694

 

$383,347

Chargebacks
(96,492
)
 
(48,766
)
Rebates and incentive programs
(138,989
)
 
(75,321
)
Returns
(84,330
)
 
(78,181
)
Cash discounts and other
(86,797
)
 
(37,793
)
Allowance for doubtful accounts
(354
)
 
(7
)
Accounts receivable, net

$158,732

 

$143,279
Schedule of Allowance for Doubtful Accounts Roll Forward
Allowance for doubtful accounts
 
For the Year Ended
 
For the Year Ended
 
For the period
 
December 31, 2014
 
December 31, 2013
 
September 29, 2012 to December 31, 2012
January 1, 2012 to September 28, 2012
 
(Successor)
 
(Successor)
 
(Successor)
(Predecessor)
Balance at beginning of period

($7
)
 

$—

 

($100
)

($1
)
Par Sterile opening balance
(278
)
 
—

 
—

—

Anchen opening balance
—

 
—

 
—

(100
)
Additions – charge to expense
(597
)
 
(2
)
 
—

—

Adjustments and/or deductions
528

 
(5
)
 
100

1

Balance at end of period
$
(354
)
 
$
(7
)
 
$
—

$
(100
)
Schedule of Accounts Affected by the Estimated Provisions
The following tables summarize the activity for the years ended December 31, 2014, 2013 and 2012 in the accounts affected by the estimated provisions described below ($ amounts in thousands):
 
For the Year Ended December 31, 2014
 
(Successor)
Accounts receivable reserves
Beginning balance
 
Par Sterile beginning balance
 
Provision recorded for current period sales
 
(Provision) reversal recorded for prior period sales
 
Credits processed
 
Ending balance
Chargebacks
$
(48,766
)
 
$
(6,296
)
 
$
(871,139
)
 
$
2,628

(1)
$
827,081

 
$
(96,492
)
Rebates and incentive programs
(75,321
)
 
(5,489
)
 
(480,949
)
 
—

 
422,770

 
(138,989
)
Returns
(78,181
)
 
(4,820
)
 
(31,361
)
 
—

 
30,032

 
(84,330
)
Cash discounts and other
(37,793
)
 
(1,792
)
 
(291,153
)
 
(1,449
)
(3)
245,390

 
(86,797
)
Total
$
(240,061
)
 
$
(18,397
)
 
$
(1,674,602
)
 
$
1,179

 
$
1,525,273

 
$
(406,608
)
 
 
 
 
 
 
 
 
 
 
 
 
Accrued liabilities (2)
$
(35,829
)
 
$
(382
)
 
$
(84,840
)
 
$
2,805

(4)
$
75,599

 
$
(42,647
)

 
For the Year Ended December 31, 2013
 
(Successor)
Accounts receivable reserves
Beginning balance
 
Provision recorded for current period sales
 
(Provision) reversal recorded for prior period sales
 
Credits processed
 
Ending balance
Chargebacks
$
(41,670
)
 
$
(630,097
)
 
$
—

(1)
$
623,001

 
$
(48,766
)
Rebates and incentive programs
(59,426
)
 
(290,934
)
 
659

 
274,380

 
(75,321
)
Returns
(68,062
)
 
(37,956
)
 
—

 
27,837

 
(78,181
)
Cash discounts and other
(26,544
)
 
(195,632
)
 
1,564

 
182,819

 
(37,793
)
Total
$
(195,702
)
 
$
(1,154,619
)
 
$
2,223

 
$
1,108,037

 
$
(240,061
)
 
 
 
 
 
 
 
 
 
 
Accrued liabilities (2)
$
(42,162
)
 
$
(80,726
)
 
$
3,566

(5)
$
83,493

 
$
(35,829
)

 
For the period September 29, 2012 to December 31, 2012
 
(Successor)
Accounts receivable reserves
Beginning balance
 
Provision recorded for current period sales
 
(Provision) reversal recorded for prior period sales
 
Credits processed
 
Ending balance
Chargebacks
$
(24,223
)
 
$
(132,834
)
 
$
—

(1)
$
115,387

 
$
(41,670
)
Rebates and incentive programs
(43,866
)
 
(69,749
)
 
—

 
54,189

 
(59,426
)
Returns
(64,119
)
 
(8,522
)
 
—


4,579

 
(68,062
)
Cash discounts and other
(30,817
)
 
(46,053
)
 
—

 
50,326

 
(26,544
)
Total
$
(163,025
)
 
$
(257,158
)
 
$
—

 
$
224,481

 
$
(195,702
)
 
 
 
 
 
 
 
 
 
 
Accrued liabilities (2)
$
(42,455
)
 
$
(24,437
)
 
$
—

 
$
24,730

 
$
(42,162
)

 
For the period January 1, 2012 to September 28, 2012
 
(Predecessor)
Accounts receivable reserves
Beginning balance
 
Provision recorded for current period sales
 
(Provision) reversal recorded for prior period sales
 
Credits processed
 
Ending balance
Chargebacks
$
(20,688
)
 
$
(309,411
)
 
$
—

(1)
$
305,876

 
$
(24,223
)
Rebates and incentive programs
(35,132
)
 
(147,112
)
 
(59
)
 
138,437

 
(43,866
)
Returns
(58,672
)
 
(24,793
)
 
1,602

(6)
17,744

 
(64,119
)
Cash discounts and other
(28,672
)
 
(102,718
)
 
(809
)
 
101,382

 
(30,817
)
Total
$
(143,164
)
 
$
(584,034
)
 
$
734

 
$
563,439

 
$
(163,025
)
 
 
 
 
 
 
 
 
 
 
Accrued liabilities (2)
$
(39,614
)
 
$
(49,536
)
 
$
—

 
$
46,695

 
$
(42,455
)

(1)
Unless specific in nature, the amount of provision or reversal of reserves related to prior periods for chargebacks is not determinable on a product or customer specific basis; however, based upon historical analysis and analysis of activity in subsequent periods, we believe that our chargeback estimates remain reasonable. During the year ended December 31, 2014, the Company settled a dispute with a customer resulting in a recovery payment of $3.6 million of which $2.6 million pertained to prior year transactions.
(2)
Includes amounts due to indirect customers for which no underlying accounts receivable exists and is principally comprised of Medicaid rebates and rebates due under other U.S. Government pricing programs, such as TriCare and the Department of Veterans Affairs.
(3)
During the year ended December 31, 2014, the Company recorded expense of approximately $1.0 million related to a re-procurement claim from one customer for the period September 2012 through October 2012.  In addition, we settled post audit claims from customers for the period January 2009 through December 2012 that resulted in net expense of approximately $0.5 million.
(4)
During 2014, we received further additional information related to Managed Medicaid utilization in California and performed a recalculation of average manufacturer’s price.  As a result we reduced our 2014 Medicaid accruals by approximately $3.6 million related to the periods March 2010 through December 2013. This activity was partially offset by the expense of $0.8 million related to disputed TriCare claims for the period from January 2009 through December 2013. Our Medicaid and TriCare accruals represent our best estimate at this time.
(5)
During 2013, we received additional information related to Managed Medicaid utilization in California and performed a recalculation of average manufacturer’s price. As a result we reduced our 2013 Medicaid accruals by approximately $3.6 million related to the periods January 2010 through December 2012. Our Medicaid accrual represents our best estimate at this time.
(6)
The amount principally represents the resolution of a customer dispute in the first quarter of 2012 regarding invalid deductions taken in prior years of approximately $1.6 million.