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Integration and acquisition costs
6 Months Ended
Jun. 30, 2013
IntegrationAndAcquisitionCosts[Abstract]  
Integration and acquisition costs

5.       Integration and acquisition costs

 

For the three months to June 30, 2014 Shire recorded integration and acquisition costs of $112.1 million (2013: $17.4 million), which included a net charge of $80.6 million relating to changes in the fair values of contingent consideration liabilities. The change in fair value of contingent consideration liabilities in the second quarter of 2014 principally relates to the acquisition of SARcode Biosciences Inc. (“SARcode”), reflecting Shire's increased confidence in the lifitegrast program and the intention to submit the NDA for lifitegrast in the first quarter of 2015. Integration and acquisition costs also included costs of $31.5 million primarily related to the acquisition and integration of ViroPharma in the three months to June 30, 2014.

 

For the six months to June 30, 2014 Shire recorded integration and acquisition costs of $118.7 million (2013: $21.5 million), comprising costs of $97.3 million primarily related to the acquisition and integration of ViroPharma and a net charge of $21.4 million relating to the change in fair values of contingent consideration liabilities. The change in fair value of contingent consideration liabilities in the first half of 2014 principally relates to the acquisition of SARcode (as described above) and the acquisition of FerroKin, reflecting the decision to place the ongoing Phase 2 clinical trial for SHP 602 on clinical hold.

 

In the three and six months to June 30, 2013 integration and acquisition costs primarily related to the acquisition of SARcode and Lotus Tissue Repair Inc. (“Lotus Tissue Repair”) in addition to net charges related to the change in fair values of contingent consideration liabilities.