Nuvasive (NUVA) 10-Q 28 Jul 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Jul. 24, 2015
Document And Entity Information [Abstract]
Entity Registrant Name	NUVASIVE INC
Entity Central Index Key	1,142,596
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Trading Symbol	NUVA
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		48,938,984

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 78,637	$ 142,387
Short-term marketable securities	200,052	220,329
Restricted cash and investments	32,755
Accounts receivable, net of allowances of $6,251 and $5,844, respectively	116,835	118,959
Inventory, net	163,651	154,638
Deferred and prepaid taxes	83,978	59,233
Prepaid expenses and other current assets	8,423	10,325
Total current assets	684,331	705,871
Property and equipment, net	142,076	128,565
Long-term marketable securities	27,921	43,042
Intangible assets, net	89,978	96,555
Goodwill	154,305	154,443
Deferred tax assets, non-current	42,035	65,330
Restricted cash and investments	119,731	123,233
Other assets	25,388	26,420
Total assets	1,285,765	1,343,459
Current liabilities:
Accounts payable and accrued liabilities	61,099	133,324
Accrued payroll and related expenses	29,490	38,032
Litigation liabilities	41,065	30,000
Deferred and income tax liabilities	785	13,543
Total current liabilities	132,439	214,899
Senior Convertible Notes	368,501	360,746
Deferred and income tax liabilities, non-current	9,289	12,526
Non-current litigation liabilities	87,495	93,700
Other long-term liabilities	$ 12,679	$ 13,230
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.001 par value; 5,000,000 shares authorized, none outstanding
Common stock, $0.001 par value; 120,000,000 shares authorized at June 30, 2015 and December 31, 2014, 51,299,463 and 47,691,744 issued and outstanding at June 30, 2015 and December 31, 2014, respectively	$ 51	$ 48
Additional paid-in capital	940,765	847,145
Accumulated other comprehensive loss	(10,970)	(9,670)
Accumulated deficit	(145,110)	(186,938)
Treasury stock at cost; 2,468,592 shares and 233,369 shares at June 30, 2015 and December 31, 2014, respectively	(117,293)	(10,537)
Total NuVasive, Inc. stockholders’ equity	667,443	640,048
Non-controlling interests	7,919	8,310
Total equity	675,362	648,358
Total liabilities and equity	$ 1,285,765	$ 1,343,459

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Statement Of Financial Position [Abstract]
Accounts receivable, allowances	$ 6,251	$ 5,844
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	120,000,000	120,000,000
Common stock, shares issued	51,299,463	47,691,744
Common stock, shares outstanding	51,299,463	47,691,744
Treasury stock at cost, shares	2,468,592	233,369

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Statement [Abstract]
Revenue	$ 202,910	$ 190,677	$ 395,293	$ 368,172
Cost of goods sold (excluding below amortization of intangible assets)	48,415	44,836	94,079	88,130
Gross profit	154,495	145,841	301,214	280,042
Operating expenses:
Sales, marketing and administrative	115,317	116,970	231,413	235,074
Research and development	8,782	10,067	18,046	19,522
Amortization of intangible assets	2,974	3,473	5,970	7,470
Impairment of intangible assets		10,708		10,708
Litigation liability (gain) loss	568		(42,007)	30,000
Business transition costs	991		6,364
Total operating expenses	128,632	141,218	219,786	302,774
Interest and other expense, net:
Interest income	344	233	763	450
Interest expense	(7,242)	(6,979)	(14,368)	(13,844)
Other income (expense), net	(281)	(205)	143	171
Total interest and other expense, net	(7,179)	(6,951)	(13,462)	(13,223)
Income (loss) before income taxes	18,684	(2,328)	67,966	(35,955)
Income tax (expense) benefit	(8,644)	(1,942)	(26,529)	13,153
Consolidated net income (loss)	10,040	(4,270)	41,437	(22,802)
Add back net loss attributable to non-controlling interests	(228)	(182)	(391)	(438)
Net income (loss) attributable to NuVasive, Inc.	$ 10,268	$ (4,088)	$ 41,828	$ (22,364)
Net income (loss) per share attributable to NuVasive, Inc.:
Basic	$ 0.21	$ (0.09)	$ 0.87	$ (0.48)
Diluted	$ 0.20	$ (0.09)	$ 0.81	$ (0.48)
Weighted average shares outstanding:
Basic	48,545	46,832	48,269	46,320
Diluted	51,681	46,832	51,700	46,320

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Statement Of Income And Comprehensive Income [Abstract]
Consolidated net income (loss)	$ 10,040	$ (4,270)	$ 41,437	$ (22,802)
Other comprehensive income (loss):
Unrealized gain (loss) on marketable securities, net of tax	11	(62)	144	(74)
Translation adjustments, net of tax	741	942	(1,444)	2,013
Other comprehensive (loss) income:	752	880	(1,300)	1,939
Total consolidated comprehensive income (loss)	10,792	(3,390)	40,137	(20,863)
Net loss attributable to non-controlling interests	228	182	391	438
Comprehensive income (loss) attributable to NuVasive, Inc.	$ 11,020	$ (3,208)	$ 40,528	$ (20,425)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Operating activities:
Consolidated net income (loss)	$ 41,437	$ (22,802)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	32,630	31,043
Amortization of non-cash interest	8,749	8,081
Stock-based compensation	13,493	16,549
Impairment of intangible assets		10,708
Deferred income taxes	19,996
Reserves on current assets	4,083	2,383
Other non-cash adjustments	10,669	4,114
Changes in operating assets and liabilities, net of effects from acquisitions:
Accounts receivable	637	(8,603)
Inventory	(15,181)	(20,930)
Prepaid expenses and other current assets	1,182	(2,839)
Accounts payable and accrued liabilities	6,841	12,999
Income taxes	(38,666)	(15,111)
Accrued royalties	(47,112)	7,192
Litigation liability	4,795	30,000
Accrued payroll and related expenses	(8,370)	(4,473)
Net cash provided by operating activities	35,183	48,311
Investing activities:
Cash paid for acquisitions and investments	(1,357)	(59)
Purchase of intangible assets	(28,589)
Purchases of property and equipment	(47,976)	(32,560)
Purchases of marketable securities	(129,549)	(129,080)
Sales of marketable securities	164,147	103,650
Purchases of restricted investments	(62,625)
Sales of restricted investments	33,809
Net cash used in investing activities	(72,140)	(58,049)
Financing activities:
Incremental tax benefits related to stock-based compensation awards	9,928
Proceeds from the issuance of common stock	8,360	14,193
Payment of contingent consideration	(514)	(498)
Purchase of treasury stock	(43,937)	(44)
Other financing activities	(87)	(644)
Net cash (used in) provided by financing activities	(26,250)	13,007
Effect of exchange rate changes on cash	(543)	367
(Decrease) increase in cash and cash equivalents	(63,750)	3,636
Cash and cash equivalents at beginning of period	142,387	102,825
Cash and cash equivalents at end of period	$ 78,637	$ 106,461

Description of Business and Bas

Description of Business and Basis of Presentation	6 Months Ended
	Jun. 30, 2015
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Description of Business and Basis of Presentation	1. Description of Business and Basis of Presentation Description of Business NuVasive, Inc. (the “Company” or “NuVasive”) was incorporated in Delaware on July 21, 1997, and began commercializing its products in 2001. The Company is focused on developing minimally-disruptive surgical products and procedurally-integrated solutions for the spine. NuVasive’s principal product offering includes a minimally-disruptive surgical platform called Maximum Access Surgery, or MAS ® ® ® ® The Company’s spine surgery product line offerings The Company also recently launched integrated global alignment (“iGA™”), in which products and computer assisted technology help achieve more precise spinal alignment. The Company’s biologic product line offerings used to aid the spinal fusion process or bone healing process include Osteocel ® ® , a collagen synthetic product, and AttraX ® The Company has dedicated and continues to dedicate significant resources toward training spine surgeons around the world; both those who are new to its MAS product platform as well as previously MAS-trained surgeons attending advanced courses. The Company’s primary business model is to loan its MAS systems to surgeons and hospitals who use such systems to perform individual procedures, with the hospitals purchasing implants, biologics and disposables in each such case. In addition, for larger customers, the Company’s proprietary nerve monitoring systems, MaXcess and surgical instrument sets are placed with hospitals for an extended period at no up-front cost to them, facilitating the hospital’s purchase of disposables for such machines from the Company. The Company also offers a range of bone allograft in patented saline packaging, disposables and spine implants, which include its branded CoRoent ® The Company’s implants, biologics and disposables are currently sold and shipped from its primary distribution and warehousing operations facility located in Memphis, Tennessee. The Company sells MAS instrument sets, MaXcess devices and its proprietary software-driven nerve monitoring systems, however this does not make up a material part of its business. Basis of Presentation and Principles of Consolidation The accompanying Unaudited Consolidated Financial Statements include the accounts of the Company and its majority-owned or controlled subsidiaries, collectively referred to as either NuVasive or the Company. The Company translates the financial statements of its foreign subsidiaries using end-of-period exchange rates for assets and liabilities and average exchange rates during each reporting period for results of operations. When there is a portion of equity in an acquired subsidiary not attributable, directly or indirectly, to the respective parent entity, the Company records the fair value of the non-controlling interests at the acquisition date and classifies the amounts attributable to non-controlling interests separately in equity in the Company’s Consolidated Financial Statements. Any subsequent changes in a parent’s ownership interest while the parent retains its controlling financial interest in its subsidiary are accounted for as equity transactions. All significant intercompany balances and transactions have been eliminated in consolidation. The accompanying Unaudited Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Pursuant to these rules and regulations, the Company has condensed or omitted certain information and footnote disclosures it normally includes in its annual Consolidated Financial Statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). Operating results for the three and six months ended June 30, 2015 are not necessarily indicative of the results that may be expected for any other interim period or for the full year. These Unaudited Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and notes thereto for the year ended December 31, 2014 included in the Company’s Annual Report on Form 10-K filed with the SEC. In the opinion of management, the Unaudited Consolidated Financial Statements include all adjustments that are of a normal and recurring nature that are necessary for the fair presentation of the Company’s financial position and of the results of operations and cash flows for the periods presented. The Company has reclassified historically presented product offerings revenue to conform to the current year presentation. The reclassification had no impact on previously reported results of operations or financial position. Change in Accounting Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Recently Adopted Accounting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update No. 2014-09, Revenue from Contracts with Customers Business Transition Costs The Company incurs costs related to integration and business transition activities which include severance, relocation, consulting, and other costs directly associated to such activities. The nature of these costs is that of personnel costs that the Company believes arise and warrant specific disclosure. During the six months ended June 30, 2015, the Company incurred $6.4 million of such costs, which included a $3.4 million charge associated with the resignation of the Company’s former Chief Executive Officer and Chairman of the Board, which occurred in the first quarter 2015. The $3.4 million charge includes certain severance and compensation-related charges, net of certain forfeitures of previously recognized equity compensation. Restructuring Charges The Company exited its New Jersey location and terminated the respective lease to reduce its footprint on the east coast of the United States as part of a company-wide efficiency effort in order to match its business needs without adversely impacting its ability to deliver surgeon education and local customer fulfillment. As a result of this undertaking, the Company recognized restructuring and associated impairment charges of $2.3 million during the six months ended June 30, 2015 in addition to the $6.4 million recognized during 2014. The restructuring and impairment charges mainly consist of the future rental payments through 2017, net of estimated future sublease income, and elimination of related leasehold improvements and deferred rent liabilities. These charges are recorded As of June 30, 2015, the total recorded liability associated with this early lease termination was $4.4 million and consists of future rental payments net of estimated sublease income through 2017. The current portion of the liability is recorded within accounts payable and accrued liabilities and the long-term portion is recorded within other long-term liabilities in the Consolidated Balance Sheets at June 30, 2015. Litigation Liability Gain (Loss) During the three months ended June 30, 2015, the Company received an unfavorable jury verdict in a general litigation matter, and recorded a $3.3 million litigation charge, including fees and costs. Settlement of the liability was funded out of restricted cash on June 30, 2015. This amount was offset by a gain of $2.8 million in litigation accrual change related to the settlement of the NeuroVision trademark litigation. The Company had accrued $30.0 million related to a previous jury verdict in the litigation, and the Company settled the outstanding obligation subsequent to June 30, 2015. During the six months ended June 30, 2015, in addition to the aforementioned litigation matters, the Company recognized a $56.4 million gain stemming from a favorable appeal in Phase 1 of the Medtronic litigation, offset by a litigation loss of $13.8 million. See Note 11 and Note 12 to the Unaudited Consolidated Financial Statements for further discussion. Comprehensive Income (Loss) Comprehensive income (loss) is defined as the change in equity during a period from transactions and other events and circumstances from non-owner sources. Comprehensive income (loss) includes unrealized gains or losses on the Company’s marketable securities and foreign currency translation adjustments. The cumulative translation adjustments included in accumulated other comprehensive income (loss) were a net cumulative loss of $11.0 million and $9.5 million at June 30, 2015 and December 31, 2014, respectively. Long-Lived Assets Long-lived assets include surgical instruments, which are loaned to surgeons and hospitals who purchase implants, biologics and disposables for use in individual procedures, leasehold improvements, software, and intangible assets. The Company periodically re-evaluates the original assumptions and rationale utilized in the establishment of the carrying value and estimated lives of its long-lived assets. The criteria used for these evaluations include management’s estimate of the asset’s continuing ability to generate income from operations and positive cash flow in future periods as well as the strategic significance of the asset to the Company’s business objectives. If assets are considered to be impaired, the impairment recognized is the amount by which the carrying value of the assets exceeds the fair value of the assets, which is determined by applicable market prices when available or other methods by utilizing unobservable inputs including discounted cash flow models. See Note 3 to the Unaudited Consolidated Financial Statements for further discussion. Inventories The Company’s inventory consists primarily of purchased finished goods which includes specialized implants and disposables, and is stated at the lower of cost or market determined by utilizing a standard cost method which approximates the weighted average cost. The Company reviews the components of its inventory on a periodic basis for excess, obsolete or impaired inventory, and records a reserve for such identified items. The inventory reserve was $26.4 million and $22.7 million at June 30, 2015 and December 31, 2014, respectively.

Net Income (Loss) Per Share

Net Income (Loss) Per Share	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Net Income (Loss) Per Share	2. Net Income (Loss) Per Share The Company computes basic net income (loss) per share using the weighted-average number of shares of common stock outstanding during the period. Diluted net income (loss) per share assumes the conversion, exercise or issuance of all potential common stock equivalents, unless the effect of inclusion would be anti-dilutive. Common stock equivalents include the Company’s stock options, employee stock purchase plan (“ESPP”), restricted stock units (“RSUs”), including those with performance conditions, warrants, and the shares to be issued upon the conversion of the Senior Convertible Notes (see Note 6 to the Unaudited Consolidated Financial Statements). The following table sets forth the computation of basic and diluted earnings or (loss) per share attributable to the Company: Three Months Ended June 30, Six Months Ended June 30, ( in thousands, except per share data 2015 2014 2015 2014 Numerator: Net income (loss) available to the Company $ 10,268 $ (4,088 ) $ 41,828 $ (22,364 ) Denominator for basic and diluted net (loss) income per share: Weighted average common shares outstanding for basic 48,545 46,832 48,269 46,320 Dilutive potential common stock outstanding: Stock options and ESPP 1,250 — 1,389 — Restricted stock units 945 — 1,126 — Senior Convertible Notes 941 — 916 — Weighted average common shares outstanding for diluted 51,681 46,832 51,700 46,320 Basic net income (loss) per share attributable to the Company $ 0.21 $ (0.09 ) $ 0.87 $ (0.48 ) Diluted net income (loss) per share attributable to the Company $ 0.20 $ (0.09 ) $ 0.81 $ (0.48 ) The following weighted outstanding common stock equivalents were not included in the calculation of net income (loss) per diluted share because their effects were anti-dilutive: Three Months Ended June 30, Six Months Ended June 30, ( in thousands 2015 2014 2015 2014 Stock options, ESPP, and RSUs 126 8,949 74 8,409 Warrants 9,553 9,553 9,553 9,553 Senior Convertible Notes — 9,553 — 9,553 Total 9,679 28,055 9,627 27,515

Financial Instruments and Fair

Financial Instruments and Fair Value Measurements	6 Months Ended
	Jun. 30, 2015
Investments Debt And Equity Securities [Abstract]
Financial Instruments and Fair Value Measurements	3. Financial Instruments and Fair Value Measurements The Company invests its excess cash in certificates of deposit, corporate notes, commercial paper, U.S. government treasury securities and securities of government-sponsored entities. The Company classifies all such securities as available-for-sale as the sale of such securities may be required prior to maturity to implement management strategies. These securities are carried at fair value with the unrealized gains and losses reported as a component of other comprehensive income in equity until realized. Realized gains and losses and declines in value judged to be other-than-temporary, if any, on available-for-sale securities are included in other income or expense on the Consolidated Statements of Operations and a new accounting cost basis for the security is established. The Company reviews its investments if there is an indicator of possible other-than-temporary impairment. Factors considered in determining whether a loss is other-than-temporary include the length of time and extent to which fair value has been less than the cost basis, the financial condition and near-term prospects of the investee, and the Company’s intent and ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in market value. As of June 30, 2015, the Company had no investments that were in a significant unrealized loss position and no impairment charges were recorded during the periods presented. Interest and dividends on securities classified as available-for-sale are also included in interest income on the Consolidated Statements of Operations. Realized gains and losses and interest income related to marketable securities were immaterial during all periods presented. According to the Company’s investment policy, the Company maintains a diversified investment portfolio in terms of types, maturities, and credit exposure, and invests with institutions that have high credit quality. The Company does not currently hold financial instruments for speculative purposes. The composition of marketable securities is as follows: ( in thousands, except years Contractual Maturity (in years) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value June 30, 2015: Classified as current assets Corporate notes Less than 1 $ 118,409 $ 7 $ (40 ) $ 118,376 Securities of government-sponsored entities Less than 1 63,185 12 (4 ) 63,193 Commercial paper Less than 1 18,483 — — 18,483 Short-term marketable securities 200,077 19 (44 ) 200,052 Classified as non-current assets Corporate notes 1 to 2 27,948 5 (32 ) 27,921 Long-term marketable securities 27,948 5 (32 ) 27,921 Classified as restricted investments Securities of government-sponsored entities Less than 2 70,527 10 (19 ) 70,518 U.S. government treasury securities Less than 2 52,709 51 (8 ) 52,752 Restricted investments 123,236 61 (27 ) 123,270 Total marketable securities at June 30, 2015 $ 351,261 $ 85 $ (103 ) $ 351,243 December 31, 2014: Classified as current assets Certificates of deposit Less than 1 $ 282 $ — $ — $ 282 Corporate notes Less than 1 129,037 8 (105 ) 128,940 Commercial paper Less than 1 11,290 — — 11,290 U.S. government treasury securities Less than 1 1,500 1 — 1,501 Securities of government-sponsored entities Less than 1 78,333 12 (29 ) 78,316 Short-term marketable securities 220,442 21 (134 ) 220,329 Classified as non-current assets Corporate notes 1 to 2 14,082 — (13 ) 14,069 Securities of government-sponsored entities 1 to 2 28,996 — (23 ) 28,973 Long-term marketable securities 43,078 — (36 ) 43,042 Classified as restricted investments U.S. government treasury securities Less than 2 51,331 13 (13 ) 51,331 Securities of government-sponsored entities Less than 2 42,862 2 (54 ) 42,810 Restricted investments 94,193 15 (67 ) 94,141 Total marketable securities at December 31, 2014 $ 357,713 $ 36 $ (237 ) $ 357,512 Foreign Currency and Derivative Financial Instruments The Company translates the financial statements of its foreign subsidiaries using end-of-period exchange rates for assets and liabilities and average exchange rates during each reporting period for results of operations. Some of the Company’s reporting entities conduct a portion of their business in currencies other than the entity’s functional currency. These transactions give rise to receivables and payables that are denominated in currencies other than the entity’s functional currency. The value of these receivables and payables is subject to changes in currency exchange rates from the point at which the transactions are originated until the settlement in cash. Both realized and unrealized gains and losses in the value of these receivables and payables are included in the determination of net income (loss). Net foreign currency exchange gains (losses), which includes gains and losses from derivative instruments, were $(0.3) million and $0.1 million, for the three and six months ended June 30, 2015, respectively, and $(0.2) million and $0.1 million for the three and six months ended June 30, 2014, respectively, and are included in other income (expense) in the Consolidated Statements of Operations. The Company maintains a foreign currency risk management strategy that uses derivative instruments to protect against fluctuations in earnings and cash flows that may rise from volatility in currency exchange rates. The Company uses foreign currency forward exchange contracts to hedge the currency exchange rate exposure from short-term intercompany receivables and payables denominated in a currency other than the reporting entity’s functional currency. Realized and unrealized gains or losses forward contracts are included in the determination of net income as the forward contracts are not designated for hedge accounting under ASC Topic 815, Derivatives and Hedging. A . The Company did not have notional principle amounts outstanding as of June 30, 2014. The Company’s currency exposures vary, but are primarily concentrated in the pound sterling the Australian dollar, the Singapore dollar, and the yen The Company does not use derivative financial instruments for speculation or trading purposes or for activities other than risk management. The Company does not require and is not required to pledge collateral for these financial instruments and does not carry any master netting arrangements to mitigate the credit risk. The following table summarizes the fair values of derivative instruments at June 30, 2015 and December 31, 2014: Asset Derivatives Liability Derivatives Fair Value Fair Value Balance Sheet June 30, December 31, Balance Sheet June 30, December 31, ( in thousands Location 2015 2014 Location 2015 2014 Derivative instruments not designated as cash flow hedges Forward exchange contracts Other current assets $ — $ — Other current liabilities * * Total derivatives $ — $ — * * *De minimus amount recognized in the hedge relationship. The following table summarizes the effect of derivative instruments on the Consolidated Statements of Operations for the three and six months ended June 30, 2015 and June 30, 2014: Three Months Ended Three Months Ended June 30, 2015 June 30, 2014 Location of Amount of Location of Amount of (Gain)/Loss (Gain)/Loss (Gain)/Loss (Gain)/Loss Recognized in Recognized in Recognized in Recognized in ( in thousands Income Income Income Income Derivative instruments not designated as cash flow hedges Forward exchange contracts Other (income) expense $ 502 Other (income) expense $ — Total derivatives $ 502 $ — Six Months Ended Six Months Ended June 30, 2015 June 30, 2014 Location of Amount of Location of Amount of (Gain)/Loss (Gain)/Loss (Gain)/Loss (Gain)/Loss Recognized in Recognized in Recognized in Recognized in ( in thousands Income Income Income Income Derivative instruments not designated as cash flow hedges Forward exchange contracts Other (income) expense $ (1,664 ) Other (income) expense $ — Total derivatives $ (1,664 ) $ — Fair value measurements The Company measures certain assets and liabilities in accordance with authoritative guidance which requires fair value measurements be classified and disclosed in one of the following three categories: Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. Level 2: Observable prices that are based on inputs not quoted on active markets, but corroborated by market data. Level 3: Unobservable inputs are used when little or no market data is available. Assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurements. The Company reviews the fair value hierarchy classification on a quarterly basis. Changes in the ability to observe valuation inputs may result in a reclassification of levels for certain assets or liabilities within the fair value hierarchy. The Company did not have any transfers of assets and liabilities between the Levels of the fair value measurement hierarchy during the three and six months ended June 30, 2015 or June 30, 2014, respectively. The carrying amounts of certain financial instruments such as cash equivalents, accounts receivable, prepaid expenses, other current assets, accounts payable, accrued expenses, and other current liabilities as of June 30, 2015 and December 31, 2014 approximate their related fair values due to the short-term maturities of these instruments. The carrying values of the Company’s capital lease obligations approximate their related fair values as of June 30, 2015 and December 31, 2014. The fair value, based on a quoted market price (Level 1), of the Company’s outstanding Senior Convertible Notes due 2017 at June 30, 2015 and December 31, 2014 was approximately $511.1 million and $516.1 million, respectively. The carrying value of the Company’s Senior Convertible Notes is discussed in Note 6 to the Unaudited Consolidated Financial Statements. The fair values of the Company’s assets and liabilities, including cash equivalents, marketable securities, restricted investments, derivatives, and contingent considerations are measured at fair value on a recurring basis, and are determined using the following inputs: Quoted Price in Significant Other Significant Active Market Observable Inputs Unobservable ( in thousands Total (Level 1) (Level 2) Inputs (Level 3) June 30, 2015: Money market funds $ 28,716 $ 28,716 $ — $ — Corporate notes 146,297 — 146,297 — Commercial paper 18,483 — 18,483 — U.S. government treasury securities 52,752 52,752 — — Securities of government-sponsored entities 133,711 — 133,711 — Total assets $ 379,959 $ 81,468 $ 298,491 $ — December 31, 2014: Money market funds $ 39,963 $ 39,963 $ — $ — Certificates of deposit 282 282 — — Corporate notes 143,009 — 143,009 — Commercial paper 11,290 — 11,290 — U.S. government treasury securities 52,831 52,831 — — Securities of government-sponsored entities 150,101 — 150,101 — Total assets $ 397,476 $ 93,076 $ 304,400 $ — Acquisition-related liabilities, current $ (644 ) $ — $ — $ (644 ) Total liabilities $ (644 ) $ — $ — $ (644 ) Contingent Consideration Liability The fair value of contingent consideration liabilities assumed by a business combination is determined using a discounted cash flow model, the significant inputs of which are not observable in the market. The fair value of such contingent considerations is recorded as part of the purchase consideration of the acquisition. The key assumptions in applying this approach are the revenue projections, the interest rate and the probabilities assigned to the milestones being achieved. Contingent consideration arrangements assumed by an asset purchase will be measured and accrued when contingency is resolved. The following table sets forth the changes in the estimated fair value of the Company’s liabilities measured on a recurring basis using significant unobservable inputs (Level 3): Six Months Ended June 30, ( in thousands 2015 2014 Fair value measurement at beginning of period $ 644 $ 1,212 Change in fair value measurement included in operating expenses (36 ) 44 Contingent consideration paid or settled (608 ) (608 ) Fair value measurement at end of period $ — $ 648 Non-financial assets and liabilities measured on a nonrecurring basis Certain non-financial assets and liabilities are measured at fair value, usually with Level 3 inputs including discounted cash flow method or cost method, on a nonrecurring basis in accordance with authoritative guidance. In general, non-financial assets, including intangible assets and property and equipment, are measured at fair value when there is an indication of impairment and are recorded at fair value only when any impairment is recognized. During the first quarter of 2014, the Company exited a portion of its New Jersey property and subsequently, in the first quarter of 2015, made a decision to terminate the respective lease. Based on management’s assessment, during the six months ended June 30, 2015 and June 30, 2014, the Company recognized impairment charges of $0.9 million and $2.2 million, respectively, in leasehold improvement write-offs associated with the lease termination. See Note 1 to the Unaudited Consolidated Financial Statements for further discussion on impairment analysis and leasehold related charges.

Goodwill and Intangible Assets

Goodwill and Intangible Assets	6 Months Ended
	Jun. 30, 2015
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	4. Goodwill and Intangible Assets Goodwill and intangible assets consisted of the following: Weighted- Average Amortization ( in thousands, except years Period Gross Accumulated Intangible June 30, 2015: (in years) Amount Amortization Assets, net Intangible assets subject to amortization: Developed technology 9 $ 79,008 $ (32,281 ) $ 46,727 Manufacturing know-how and trade secrets 12 21,801 (12,475 ) 9,326 Trade name and trademarks 11 9,500 (4,669 ) 4,831 Customer relationships 8 44,326 (25,872 ) 18,454 Total intangible assets subject to amortization 10 $ 154,635 $ (75,297 ) $ 79,338 Intangible assets not subject to amortization: In-process research and development $ 10,640 Goodwill $ 154,305 Weighted- Average Amortization Period Gross Accumulated Intangible December 31, 2014: (in years) Amount Amortization Assets, net Intangible assets subject to amortization: Developed technology 9 $ 79,008 $ (27,760 ) $ 51,248 Manufacturing know-how and trade secrets 12 21,879 (11,640 ) 10,239 Trade name and trademarks 11 9,500 (4,264 ) 5,236 Customer relationships 8 43,153 (23,961 ) 19,192 Total intangible assets subject to amortization 10 $ 153,540 $ (67,625 ) $ 85,915 Intangible assets not subject to amortization: In-process research and development $ 10,640 Goodwill $ 154,443 Total expense related to the amortization of intangible assets was $3.9 million and $3.5 million for the three months ended June 30, 2015 and June 30, 2014, respectively, and $7.7 million and $7.5 million for the six months ended June 30, 2015 and June 30, 2014, respectively. Intangible assets acquired in a business combination that are used for in-process research and development activities are considered indefinite lived until the completion or abandonment of the associated research and development efforts. Upon reaching the end of the relevant research and development project, the Company will amortize the acquired in-process research and development over its estimated useful life or expense the acquired in-process research and development should the research and development project be unsuccessful with no future alternative use . Intangible assets acquired in an asset purchase that are used for in-process research and development are expensed as incurred. The Company made a payment of $27.4 million during the six months ended June 30, 2015 associated with the intangible assets which were accrued for as of December 31, 2014 in accounts payable and accrued liabilities. Total future amortization expense related to intangible assets subject to amortization at June 30, 2015 is set forth in the table below: ( in thousands Remaining 2015 $ 7,640 2016 15,015 2017 12,668 2018 11,644 2019 10,289 2020 9,878 Thereafter through 2027 12,204 Total future amortization expense $ 79,338

Business Combinations

Business Combinations	6 Months Ended
	Jun. 30, 2015
Business Combination Description [Abstract]
Business Combinations	5. Business Combinations The Company has completed acquisitions that were not considered individually or collectively material to the overall Consolidated Financial Statements and/or the results of the Company’s operations. These acquisitions have been included in the Consolidated Financial Statements from the respective dates of the acquisitions. The Company recognizes the assets acquired, liabilities assumed, and any non-controlling interest at fair value at the date of acquisition. Certain acquisitions contained contingent consideration arrangements that required the Company to assess the acquisition date fair value of the contingent consideration liabilities, which was recorded as part of the purchase consideration of the acquisition with subsequent fair value adjustments to the contingent consideration reflected in the line items of the Consolidated Statements of Operations commensurate with the nature of the contingent consideration. Investment in Progentix Orthobiology B.V. In 2009, the Company completed the purchase of 40% of the capital stock of Progentix Concurrently with the Preferred Stock Purchase Agreement, NuVasive, Progentix and the Progentix Shareholders entered into an Option Purchase Agreement (as amended the “Option Agreement”), whereby NuVasive was obligated under certain circumstances, and had the option under other circumstances, to purchase the remaining 60% of capital stock of Progentix (the “Remaining Shares”) from its shareholders for an amount up to $35.0 million, subject to certain reductions. The Option Agreement expired unexercised in 2013. Also, concurrently with the Preferred Stock Purchase Agreement, NuVasive and Progentix entered into a Distribution Agreement, as amended, whereby Progentix appointed NuVasive as its exclusive distributor for certain Progentix products. The Distribution Agreement is in effect for a term of ten years unless terminated earlier in accordance with its terms. In accordance with authoritative guidance, the Company has determined that Progentix is a variable interest entity (“VIE”), as it does not have the ability to finance its activities without additional subordinated financial support and its equity investors will not absorb their proportionate share of expected losses and will be limited in the receipt of the potential residual returns of Progentix. Additionally, pursuant to this guidance, NuVasive is considered a primary beneficiary as NuVasive has both the power to direct the economically significant activities of Progentix and the obligation to absorb losses of, or the right to receive benefits from, Progentix. Accordingly, the financial position and results of operations of Progentix have been included in the Company’s consolidated financial statements from the date of the Initial Investment. The liabilities recognized as a result of consolidating Progentix do not represent additional claims on the Company’s general assets. The creditors of Progentix have claims only on the assets of Progentix, which are not material, and the assets of Progentix are not available to NuVasive. The equity interests in Progentix not owned by the Company, which includes shares of both common and preferred stock, are reported as non-controlling interests on the consolidated balance sheet of the Company. The preferred stock represents 18% of the non-controlling equity interests and provides for a cumulative 8% dividend, if and when declared by Progentix’s Board of Directors. As the rights of the preferred stock are substantially the same as those of the common stock, the preferred stock is classified as non-controlling interest and shares in the allocation of the losses incurred by Progentix. Losses incurred by Progentix are charged to the Company and to the non-controlling interest holders based on their ownership percentage. Total assets and liabilities of Progentix included in the accompanying Consolidated Balance Sheets are as follows: ( in thousands June 30, 2015 December 31, 2014 Total current assets $ 518 $ 839 Identifiable intangible assets, net 13,702 13,935 Goodwill 12,654 12,654 Other long-term assets 1 1 Accounts payable and accrued expenses 515 542 Deferred tax liabilities, net 2,770 2,770 Non-controlling interests 7,919 8,310 The following is a reconciliation of equity (net assets) attributable to the non-controlling interests: Six Months Ended June 30, ( in thousands 2015 2014 Non-controlling interests at beginning of period $ 8,310 $ 9,086 Less: Net loss attributable to the non-controlling interests 391 438 Non-controlling interests at end of period $ 7,919 $ 8,648 Impulse Monitoring Inc. and Physician Practices The Company maintains contractual relationships with several physician practices (“PCs”) which were inherited through the 2011 acquisition of Impulse Monitoring Inc. Under the respective contracts’ terms, respective PCs provide physician oversight services associated with the IOM service offerings. The Company provides management services to these PCs including all non-medical services, management reporting, billing and collections of all charges for medical services provided as well as administrative support. In turn, the PCs pay the Company a monthly management fee for these services. In accordance with authoritative guidance, the Company has determined that the PCs are VIEs and the Company has controlling financial interests in the PCs as it has both the power to direct the economically significant activities of the PCs, and the obligation to absorb losses of, or the right to receive benefits from, the PCs. Therefore, the accompanying Consolidated Financial Statements include the accounts of the PCs from the date of acquisition. During the periods presented, the result of PCs was immaterial to our financials. The creditors of the PCs have claims only on the assets of the PCs, which are not material, and the assets of the PCs are not available to the Company.

Senior Convertible Notes

Senior Convertible Notes	6 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Senior Convertible Notes	6. Senior Convertible Notes The carrying values of the Company’s Senior Convertible Notes are as follows: ( in thousands June 30, 2015 December 31, 2014 2.75% Senior Convertible Notes due 2017: Principal amount $ 402,500 $ 402,500 Unamortized debt discount (33,999 ) (41,754 ) Total Senior Convertible Notes $ 368,501 $ 360,746 2.75% Senior Convertible Notes due 2017 In June 2011, the Company issued $402.5 million 2.75% July 1, 2017 $359.2 million 23.7344 $1,000 $42.13 The cash conversion feature of the 2017 Notes (the “Embedded Conversion Derivative”) required bifurcation from the 2017 Notes and was initially accounted for as a derivative liability and debt discount of $88.9 million upon issuance of the 2017 Notes without authorization of issuing additional common stock for the conversion. Upon obtaining stockholder approval for the additional authorized shares of the Company’s common stock, the derivative liability was reclassified to stockholders’ equity, which resulted in recognizing cumulatively $39.5 million in other income for change in fair value measurement and $49.4 million in additional paid-in-capital $2.8 million $3.9 million Prior to January 1, 2017, holders may convert their 2017 Notes only under the following conditions: (a) during any calendar quarter beginning October 1, 2011, if the reported sale price of the Company’s common stock for at least 20 30 130% five 98% 2017 Hedge In connection with the offering of the 2017 Notes, the Company entered into the 2017 Hedge with the initial purchasers and/or their affiliates (the “2017 Counterparties”) entitling the Company to purchase up to 9,553,096 $42.13 $80.1 million and accounted for as derivative assets upon issuance of the 2017 Notes additional paid-in-capital effect of inclusion would always be anti-dilutive with respect to the calculation of diluted earnings per share. 2017 Warrants The Company sold warrants to the 2017 Counterparties to acquire up to 477,654 $988.51 20 $47.9 million additional paid-in-capital

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2015
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stock-Based Compensation	7. Stock-Based Compensation The Company estimates the fair value of stock options issued under its equity incentive plans and shares issued to shareowners under its employee stock purchase plan using a Black-Scholes option-pricing model on the date of grant. The Black-Scholes option-pricing model incorporates various and highly sensitive assumptions including expected volatility, expected term and risk-free interest rates. The expected volatility is based on the historical volatility of the Company’s common stock over the most recent period commensurate with the estimated expected term of the Company’s stock options and ESPP which is derived from historical experience. The risk-free interest rate for periods within the contractual life of the option is based on the U.S. Treasury yield in effect at the time of grant. The Company has never declared or paid dividends and has no plans to do so in the foreseeable future. The fair value of restricted stock units (“RSUs”) including performance RSU (“PRSUs”) with pre-defined performance criteria pre-defined performance criteria is adjusted with probability of achievements at each period end The Company is required to estimate at the grant date the value of awards that are anticipated to be forfeited prior to their vesting, and thereafter, adjusts the forfeiture rate estimates as necessary through the vesting date so that full compensation cost is recognized only for awards that vest. The Company assesses the reasonableness of the estimated forfeiture rate at least annually, with any change to be made on a cumulative basis in the period the estimated forfeiture rates change. The Company considered its historical experience of pre-vesting forfeitures on awards by each homogenous group of shareowners as the basis to arrive at its estimated annual pre-vesting forfeiture rates for RSUs. The compensation cost that has been included in the Consolidated Statements of Operations for all stock-based compensation arrangements was as follows: Three Months Ended June 30, Six Months Ended June 30, ( in thousands 2015 2014 2015 2014 Sales, marketing and administrative expense $ 5,446 $ 8,251 $ 12,723 $ 15,437 Research and development expense 373 483 632 947 Cost of goods sold 63 51 138 165 Stock-based compensation expense before taxes 5,882 8,785 13,493 16,549 Related income tax benefits (2,353 ) (3,514 ) (5,397 ) (6,620 ) Stock-based compensation expense, net of taxes $ 3,529 $ 5,271 $ 8,096 $ 9,929 At June 30, 2015, there was $46.9 million of unamortized compensation expense for stock options, restricted stock units and performance-based restricted stock units to be recognized over a weighted average period of 2.7 years. Stock Options and Purchase Rights The weighted average assumptions used to estimate the fair value of stock purchase rights under the ESPP are as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 ESPP Volatility 42 % 44 % 43 % 46 % Expected term (years) 1.3 1.2 1.3 1.2 Risk free interest rate 0.2 % 0.2 % 0.2 % 0.2 % Expected dividend yield — % — % — % — % Under the terms of the ESPP, employees can elect to have up to 15% of their annual compensation, up to a maximum of $21,250 per year, withheld to purchase shares of NuVasive’s common stock for a purchase price equal to 85% of the lower of the fair market value per share (at closing) of NuVasive common stock on (i) the commencement date of the two-year or six-month offering period (depending on the purchase period enrolled), or (ii) the respective purchase date. The Company has not granted any options since 2011. The Company issued approximately 1.5 million and 2.2 million shares of common stock, before net share settlement, upon the exercise of outstanding stock options during the three and six months ended June 30, 2015, respectively, and issued approximately 1.0 million shares of common stock upon the exercise of outstanding stock options during the year ended December 31, 2014. Restricted Stock Units RSUs represent a right to receive shares of common stock at a future date determined in accordance with the terms and conditions of a participant’s award agreement (issued under either our 2004 Amended and Restated Equity Incentive Plan (as previously amended, the “2004 EIP”) or the 2014 Equity Incentive Plan of NuVasive, Inc. (the “2014 EIP”)). No exercise price or other monetary payment is required for receipt of RSUs or the shares issued in settlement of the respective award; instead, consideration is furnished in the form of the participant’s service to the Company. The Company has granted time-based RSUs with graded vesting terms of up to four years. The Company has also granted PRSUs with up to five year graded or cliff vesting terms (in each case, with service through the date of vesting being required) and for which the ultimate issuance amount is determined by the Company’s Compensation Committee upon its certification of Company performance against a pre-determined matrix, including revenue targets, total shareholder return, or earnings per share over pre-determined periods of time. Share payout levels range from 0 to 250% depending on the respective terms of an award. The Company issued an immaterial amount of shares and approximately 1.3 million shares of common stock, before net share settlement, upon vesting of RSUs (including PRSUs) during the three and six months ended June 30, 2015, respectively, and issued approximately 1.4 million shares of common stock in settlement of RSUs (including PRSUs) upon their vesting during the year ended December 31, 2014.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	8. Income Taxes Income taxes are determined using an estimated annual effective tax rate applied against income, and then adjusted for the tax impacts of certain significant and discrete items. For the six months ended June 30, 2015, the Company treated the tax impact related to the following as discrete events for which the tax effect was recognized separately from the application of the estimated annual effective tax rate: losses associated with our global initiative, nondeductible compensation, return to provision adjustments, period interest on uncertain tax benefits and disqualifying dispositions of qualified stock grants. The Company’s effective tax rate recorded for the six months ended June 30, 2015 was 39%. In accordance with the disclosure requirements as described in ASC Topic 740, Income Taxes, the Company has classified unrecognized tax benefits as non-current income tax liabilities, or a reduction in non-current deferred tax assets, unless expected to be paid within one year. The Company’s continuing practice is to recognize interest and/or penalties related to income tax matters in income tax expense. There were no material changes to the Company’s unrecognized tax benefits during the six months ended June 30, 2015. The Company does not anticipate there will be a significant change in unrecognized tax benefits within the next 12 months. The Company completed its audit with the state of Minnesota during the quarter with no material adjustments. The only active income tax audit being conducted as of June 30, 2015 is by the state of New York. With few exceptions, the Company is subject to tax examinations by U.S. federal, state and non-U.S. taxing authorities for all years due to loss and tax credit carryforwards. The Company believes that adequate provisions have been recorded for adjustments that may result from tax examinations. The outcome of tax audits cannot be predicted with certainty. If any issues addressed in the Company’s tax audits are resolved in a manner not consistent with its expectations, the Company could be required to adjust its provision for income taxes in the period such resolution occurs, though the potential impact on the Consolidated Statements of Operations would not be expected to be material.

Business Segment, Product, and

Business Segment, Product, and Geographic Information	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Business Segment, Product and Geographic Information	9. Business Segment, Product and Geographic Information The Company operates in one segment based upon the Company’s organizational structure, the way in which the operations are managed and evaluated by the chief operating decision maker (“CODM”) and the lack of availability of discrete financial information. The Company’s CODM reviews revenue at the product line offering level, and manufacturing, operating income and expenses, and net income at the Company wide level to allocate resources and assess the Company’s overall performance. The Company shares common, centralized support functions, including finance, human resources, legal, information technology, and corporate marketing, all of which report directly to the CODM. Accordingly, decisions regarding the Company’s overall operating performance and allocation of Company resources are assessed on a consolidated basis. The Company believes it is appropriate to operate as one reporting segment. The Company has disclosed the revenues for each of its product line offerings to allow the reader of the financial statements the ability to gain some transparency into the operations of the Company. The Company operates under two distinct product line offerings for revenue: spine surgery products, and biologics. The Company’s spine surgery product line offerings, which include thoracolumbar product offerings, cervical product offerings, IOM services, and disposables, are primarily used to enable access to the spine and to perform restorative and fusion procedures in a minimally-disruptive fashion. The Company’s biologics product line offerings includes allograft (donated human tissue), FormaGraft (a collagen synthetic product), Osteocel Plus and Osteocel Pro (each an allograft cellular matrix containing viable mesenchymal stem cells, or MSCs), and AttraX (a synthetic bone graft material), all of which are used to aid the spinal fusion or bone healing process. Revenue by product line offerings was as follows: Three Months Ended June 30, Six Months Ended June 30, ( in thousands 2015 2014 2015 2014 Spine surgery products $ 169,972 $ 157,840 $ 329,026 $ 305,845 Biologics 32,938 32,837 66,267 62,327 Total Revenue $ 202,910 $ 190,677 $ 395,293 $ 368,172 Revenue and property and equipment, net, by geographic area were as follows: Revenue Property and Equipment, Net Three Months Ended June 30, Six Months Ended June 30, June 30, December 31, ( in thousands 2015 2014 2015 2014 2015 2014 United States $ 178,023 $ 167,077 $ 347,949 $ 325,470 $ 115,272 $ 105,022 International (excludes Puerto Rico) 24,887 23,600 47,344 42,702 26,804 23,543 Total $ 202,910 $ 190,677 $ 395,293 $ 368,172 $ 142,076 $ 128,565

Commitments

Commitments	6 Months Ended
	Jun. 30, 2015
Commitments And Contingencies Disclosure [Abstract]
Commitments	10. Commitments Licensing and Purchasing Agreements As of June 30, 2015, the Company has obligations under certain consultancy arrangements to pay up to approximately $23.1 million in the aggregate in the event that specified revenue-based milestones are achieved prior to 2024. Any such payment will be made in a combination of cash and the Company’s common shares as provided in the agreements. Any payments in satisfaction of theses contingent obligations are considered a cost of goods sold and are recognized as and if milestones are achieved. In early 2014, the Company paid $6.2 million in aggregate – $3.0 million in cash and $3.2 million in common shares – in connection with these agreements. There were no accrued liabilities recognized as of June 30, 2015 and December 31, 2014 related to these payments. Executive Severance Plans The Company is party to certain agreements with its key executives that provide for certain payments if an executive is terminated for reasons other than cause, as defined in those agreements. At June 30, 2015, the maximum future contractual commitments for such key executives were approximately $22.2 million, excluding the acceleration of equity vesting, which is called for in certain circumstances by the applicable agreements.

Contingencies

Contingencies	6 Months Ended
	Jun. 30, 2015
Contingencies [Abstract]
Contingencies	11. Contingencies The Company is subject to potential liabilities under government regulations and various claims and legal actions that are pending or may be asserted from time-to-time. These matters arise in the ordinary course and conduct of the Company’s business and include, for example, commercial, intellectual property, environmental, securities and employment matters. The Company intends to continue to defend itself vigorously in such matters. Furthermore, the Company regularly assesses contingencies to determine the degree of probability and range of possible loss for potential accrual in its financial statements. In the first quarter of 2015 and during the six months ended June 30, 2015, the Company had a gain of $56.4 million related to a litigation accrual change resulting from the legal proceedings in Phase 1 of the Medtronic litigation whereby the damages award by the jury was overturned, and a gain of $2.8 million in litigation accrual change related to settlement of the NeuroVision trademark litigation. These amounts were offset by a litigation charge of $13.8 million related to the OIG investigation and a $3.3 million litigation charge in a general litigation matter. Refer to the subsequent section herein titled “Legal Proceedings” for further information. An estimated loss contingency is accrued in the Company’s financial statements if it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Based on the Company’s assessment, it has adequately accrued an amount for contingent liabilities currently in existence. The Company does not accrue amounts for liabilities that it does not believe are probable or that it considers immaterial to its overall financial position. Litigation is inherently unpredictable, and unfavorable resolutions could occur. As a result, assessing contingencies is highly subjective and requires judgment about future events. The amount of ultimate loss may exceed the Company’s current accruals, and it is possible that its cash flows or results of operations could be materially affected in any particular period by the unfavorable resolution of one or more of these contingencies. Legal Proceedings Medtronic Sofamor Danek USA, Inc. Litigation In August 2008, Warsaw Orthopedic, Inc., Medtronic Sofamor Danek USA, Inc. and other Medtronic related entities (collectively, “Medtronic”) filed a patent infringement lawsuit against the Company in the United States District Court for the Southern District of California (the “Medtronic Litigation”), alleging that certain of the Company’s products or methods, including the XLIF ® twelve Three nine The case has been administratively broken into several phases. The first phase of the case included three one three one $101.2 million Both parties filed appeals to the U.S. Court of Appeals for the Federal Circuit. On March 2, 2015, the Court of Appeals issued a decision upholding the jury’s findings of liability as to all patents, but overturning the damage award against the Company as improper (“March 2 nd On March 19, 2012, in connection with these proceedings, the Company entered into an escrow arrangement and transferred $113.3 million nd In accordance with the authoritative guidance on the evaluation of loss contingencies, during the year ended December 31, 2011, the Company recorded an accrual of $101.2 million $7.9 million nd With respect to the favorable verdict delivered regarding the one Company patent litigated to verdict, the jury awarded the Company monetary damages of approximately $0.7 million $0.7 million The second phase of the case involved one Medtronic cervical plate patent. On April 25, 2013, the Company and Medtronic entered into a settlement agreement fully resolving the second phase of the case. The settlement also removed from the case the cervical plate patent that was part of the first phase. As part of the settlement, the Company received a broad license to practice (i) the Medtronic patent that was the sole subject of the second phase of the litigation, (ii) the Medtronic cervical plate patent that was part of the first phase of the litigation, and (iii) each of the Medtronic patent families that collectively represent the vast majority of Medtronic’s patent rights related to cervical plate technology. In exchange for these license rights, the Company made a one-time payment to Medtronic of $7.5 million ® ® In August 2012, Medtronic filed additional patent claims in the U.S. District Court for the Northern District of Indiana alleging that various Company spinal implants (including its CoRoent ® Trademark Infringement Litigation On September 25, 2009, Neurovision Medical Products, Inc. (NMP) filed suit against the Company in the U.S. District Court for the Central District of California (Case No. 2:09-cv-06988-R-JEM) alleging trademark infringement and unfair competition. NMP sought cancellation of NuVasive’s “NeuroVision” trademark registrations, injunctive relief and damages based on NMP’s common law use of the “NeuroVision” mark. The matter was tried in October 2010 and an unfavorable jury verdict was delivered against the Company. The verdict awarded damages to NMP of $60.0 million. $62.5 million is recorded in short-term liabilities commensurate with the restricted assets. The $2.8 million gain resulting from the litigation accrual adjustment was recorded in the Statement of Operations during the three months ended June 30, 2015. The Company previously escrowed funds totaling $32.5 million to secure the amount of judgment, and cover potential attorney’s fees and costs. Those funds accrue interest and are included in short-term restricted cash and investments in the Consolidated Balance Sheets until funding of the settlement subsequent to June 30, 2015. Securities Litigation On August 28, 2013, a purported securities class action lawsuit was filed in the U.S. District Court for the Southern District of California naming the Company and certain of its current and former executive officers for allegedly making false and materially misleading statements regarding the Company’s business and financial results, specifically relating to the purported improper submission of false claims to Medicare and Medicaid. The complaint asserts a putative class period stemming from October 22, 2008 to July 30, 2013. The complaint alleges violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 promulgated thereunder and seeks unspecified monetary relief, interest, and attorneys’ fees. On February 13, 2014, the lead plaintiff (“Plaintiff”) filed an Amended Class Action Complaint for Violations of the Federal Securities Laws. The District Court granted the Company’s motion to dismiss the Amended Complaint and ordered Plaintiff to amend its complaint. Plaintiff filed a Second Amended Complaint on September 8, 2014, and the District Court once again granted the Company’s motion to dismiss the complaint with leave to amend. On December 23, 2014 Plaintiff filed a Third Amended Complaint. The Company filed a motion to dismiss, and while the Company’s motion was pending, Plaintiff sought leave to file a Fourth Amended Complaint. The Company moved to dismiss the Fourth Amended Complaint and the motion is pending. At June 30, 2015, the probable outcome of this litigation cannot be determined, nor can the Company estimate a range of potential loss. In accordance with authoritative guidance on the evaluation of loss contingencies, the Company has not recorded an accrual related to this litigation.

Regulatory Matter

Regulatory Matter	6 Months Ended
	Jun. 30, 2015
Regulatory Matter [Abstract]
Regulatory Matter	12. Regulatory Matter In 2013, the Company received a federal administrative subpoena from the Office of the Inspector General of the U.S. Department of Health and Human Services (OIG) in connection with an investigation into possible false or otherwise improper claims submitted to Medicare and Medicaid. The subpoena sought discovery of documents for the period January 2007 through April 2013. The Company has reached an agreement in principle with the U.S. Department of Justice (“DOJ”). Subject to execution of a final written settlement agreement, the Company has agreed to pay $13.8 million to resolve this matter. The Company does not currently anticipate entering into a corporate integrity agreement with the OIG as part of the settlement. In accordance with the authoritative guidance on the evaluation of loss contingencies, the Company recorded a $13.8 million liability related to this matter, which is included in the Consolidated Statements of Operations during the six months ended June 30, 2015.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2015
Subsequent Events [Abstract]
Subsequent Events	13. Subsequent Events Medtronic Litigation As a result of the March 2, 2015 Court of Appeals decision upholding the jury’s findings of liability as to all patents, but overturning the damage award against the Company as improper, the Company was no longer required to escrow funds related to Phase 1 of the ongoing litigation with Medtronic. Subsequent to June 30, 2015, the funds in escrow, approximately $114.1 million, were transferred to the Company’s unrestricted investment accounts from the Company’s long-term restricted cash and investments.

Description of Business and B20

Description of Business and Basis of Presentation (Policies)	6 Months Ended
	Jun. 30, 2015
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Description of Business	Description of Business NuVasive, Inc. (the “Company” or “NuVasive”) was incorporated in Delaware on July 21, 1997, and began commercializing its products in 2001. The Company is focused on developing minimally-disruptive surgical products and procedurally-integrated solutions for the spine. NuVasive’s principal product offering includes a minimally-disruptive surgical platform called Maximum Access Surgery, or MAS ® ® ® ® The Company’s spine surgery product line offerings The Company also recently launched integrated global alignment (“iGA™”), in which products and computer assisted technology help achieve more precise spinal alignment. The Company’s biologic product line offerings used to aid the spinal fusion process or bone healing process include Osteocel ® ® , a collagen synthetic product, and AttraX ® The Company has dedicated and continues to dedicate significant resources toward training spine surgeons around the world; both those who are new to its MAS product platform as well as previously MAS-trained surgeons attending advanced courses. The Company’s primary business model is to loan its MAS systems to surgeons and hospitals who use such systems to perform individual procedures, with the hospitals purchasing implants, biologics and disposables in each such case. In addition, for larger customers, the Company’s proprietary nerve monitoring systems, MaXcess and surgical instrument sets are placed with hospitals for an extended period at no up-front cost to them, facilitating the hospital’s purchase of disposables for such machines from the Company. The Company also offers a range of bone allograft in patented saline packaging, disposables and spine implants, which include its branded CoRoent ® The Company’s implants, biologics and disposables are currently sold and shipped from its primary distribution and warehousing operations facility located in Memphis, Tennessee. The Company sells MAS instrument sets, MaXcess devices and its proprietary software-driven nerve monitoring systems, however this does not make up a material part of its business.
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation The accompanying Unaudited Consolidated Financial Statements include the accounts of the Company and its majority-owned or controlled subsidiaries, collectively referred to as either NuVasive or the Company. The Company translates the financial statements of its foreign subsidiaries using end-of-period exchange rates for assets and liabilities and average exchange rates during each reporting period for results of operations. When there is a portion of equity in an acquired subsidiary not attributable, directly or indirectly, to the respective parent entity, the Company records the fair value of the non-controlling interests at the acquisition date and classifies the amounts attributable to non-controlling interests separately in equity in the Company’s Consolidated Financial Statements. Any subsequent changes in a parent’s ownership interest while the parent retains its controlling financial interest in its subsidiary are accounted for as equity transactions. All significant intercompany balances and transactions have been eliminated in consolidation. The accompanying Unaudited Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Pursuant to these rules and regulations, the Company has condensed or omitted certain information and footnote disclosures it normally includes in its annual Consolidated Financial Statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). Operating results for the three and six months ended June 30, 2015 are not necessarily indicative of the results that may be expected for any other interim period or for the full year. These Unaudited Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and notes thereto for the year ended December 31, 2014 included in the Company’s Annual Report on Form 10-K filed with the SEC. In the opinion of management, the Unaudited Consolidated Financial Statements include all adjustments that are of a normal and recurring nature that are necessary for the fair presentation of the Company’s financial position and of the results of operations and cash flows for the periods presented. The Company has reclassified historically presented product offerings revenue to conform to the current year presentation. The reclassification had no impact on previously reported results of operations or financial position.
Change in Accounting Estimates	Change in Accounting Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Recently Adopted Accounting Standards	Recently Adopted Accounting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update No. 2014-09, Revenue from Contracts with Customers
Business Transition Costs	The Company incurs costs related to integration and business transition activities which include severance, relocation, consulting, and other costs directly associated to such activities. The nature of these costs is that of personnel costs that the Company believes arise and warrant specific disclosure. During the six months ended June 30, 2015, the Company incurred $6.4 million of such costs, which included a $3.4 million charge associated with the resignation of the Company’s former Chief Executive Officer and Chairman of the Board, which occurred in the first quarter 2015. The $3.4 million charge includes certain severance and compensation-related charges, net of certain forfeitures of previously recognized equity compensation.
Restructuring Charges	Restructuring Charges The Company exited its New Jersey location and terminated the respective lease to reduce its footprint on the east coast of the United States as part of a company-wide efficiency effort in order to match its business needs without adversely impacting its ability to deliver surgeon education and local customer fulfillment. As a result of this undertaking, the Company recognized restructuring and associated impairment charges of $2.3 million during the six months ended June 30, 2015 in addition to the $6.4 million recognized during 2014. The restructuring and impairment charges mainly consist of the future rental payments through 2017, net of estimated future sublease income, and elimination of related leasehold improvements and deferred rent liabilities. These charges are recorded As of June 30, 2015, the total recorded liability associated with this early lease termination was $4.4 million and consists of future rental payments net of estimated sublease income through 2017. The current portion of the liability is recorded within accounts payable and accrued liabilities and the long-term portion is recorded within other long-term liabilities in the Consolidated Balance Sheets at June 30, 2015.
Litigation Liability Gain (Loss)	Litigation Liability Gain (Loss) During the three months ended June 30, 2015, the Company received an unfavorable jury verdict in a general litigation matter, and recorded a $3.3 million litigation charge, including fees and costs. Settlement of the liability was funded out of restricted cash on June 30, 2015. This amount was offset by a gain of $2.8 million in litigation accrual change related to the settlement of the NeuroVision trademark litigation. The Company had accrued $30.0 million related to a previous jury verdict in the litigation, and the Company settled the outstanding obligation subsequent to June 30, 2015. During the six months ended June 30, 2015, in addition to the aforementioned litigation matters, the Company recognized a $56.4 million gain stemming from a favorable appeal in Phase 1 of the Medtronic litigation, offset by a litigation loss of $13.8 million. See Note 11 and Note 12 to the Unaudited Consolidated Financial Statements for further discussion.
Comprehensive Income (Loss)	Comprehensive Income (Loss) Comprehensive income (loss) is defined as the change in equity during a period from transactions and other events and circumstances from non-owner sources. Comprehensive income (loss) includes unrealized gains or losses on the Company’s marketable securities and foreign currency translation adjustments. The cumulative translation adjustments included in accumulated other comprehensive income (loss) were a net cumulative loss of $11.0 million and $9.5 million at June 30, 2015 and December 31, 2014, respectively.
Long-Lived Assets	Long-Lived Assets Long-lived assets include surgical instruments, which are loaned to surgeons and hospitals who purchase implants, biologics and disposables for use in individual procedures, leasehold improvements, software, and intangible assets. The Company periodically re-evaluates the original assumptions and rationale utilized in the establishment of the carrying value and estimated lives of its long-lived assets. The criteria used for these evaluations include management’s estimate of the asset’s continuing ability to generate income from operations and positive cash flow in future periods as well as the strategic significance of the asset to the Company’s business objectives. If assets are considered to be impaired, the impairment recognized is the amount by which the carrying value of the assets exceeds the fair value of the assets, which is determined by applicable market prices when available or other methods by utilizing unobservable inputs including discounted cash flow models. See Note 3 to the Unaudited Consolidated Financial Statements for further discussion.
Inventories	Inventories The Company’s inventory consists primarily of purchased finished goods which includes specialized implants and disposables, and is stated at the lower of cost or market determined by utilizing a standard cost method which approximates the weighted average cost. The Company reviews the components of its inventory on a periodic basis for excess, obsolete or impaired inventory, and records a reserve for such identified items. The inventory reserve was $26.4 million and $22.7 million at June 30, 2015 and December 31, 2014, respectively.

Net Income (Loss) Per Share (Ta

Net Income (Loss) Per Share (Tables)	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Computation of basic and diluted earnings per share	The following table sets forth the computation of basic and diluted earnings or (loss) per share attributable to the Company: Three Months Ended June 30, Six Months Ended June 30, ( in thousands, except per share data 2015 2014 2015 2014 Numerator: Net income (loss) available to the Company $ 10,268 $ (4,088 ) $ 41,828 $ (22,364 ) Denominator for basic and diluted net (loss) income per share: Weighted average common shares outstanding for basic 48,545 46,832 48,269 46,320 Dilutive potential common stock outstanding: Stock options and ESPP 1,250 — 1,389 — Restricted stock units 945 — 1,126 — Senior Convertible Notes 941 — 916 — Weighted average common shares outstanding for diluted 51,681 46,832 51,700 46,320 Basic net income (loss) per share attributable to the Company $ 0.21 $ (0.09 ) $ 0.87 $ (0.48 ) Diluted net income (loss) per share attributable to the Company $ 0.20 $ (0.09 ) $ 0.81 $ (0.48 )
Anti-dilutive common stock equivalents not included in calculation of net income per diluted share	The following weighted outstanding common stock equivalents were not included in the calculation of net income (loss) per diluted share because their effects were anti-dilutive: Three Months Ended June 30, Six Months Ended June 30, ( in thousands 2015 2014 2015 2014 Stock options, ESPP, and RSUs 126 8,949 74 8,409 Warrants 9,553 9,553 9,553 9,553 Senior Convertible Notes — 9,553 — 9,553 Total 9,679 28,055 9,627 27,515

Financial Instruments and Fai22

Financial Instruments and Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2015
Fair Value Table [Abstract]
Composition of Marketable Securities	The composition of marketable securities is as follows: ( in thousands, except years Contractual Maturity (in years) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value June 30, 2015: Classified as current assets Corporate notes Less than 1 $ 118,409 $ 7 $ (40 ) $ 118,376 Securities of government-sponsored entities Less than 1 63,185 12 (4 ) 63,193 Commercial paper Less than 1 18,483 — — 18,483 Short-term marketable securities 200,077 19 (44 ) 200,052 Classified as non-current assets Corporate notes 1 to 2 27,948 5 (32 ) 27,921 Long-term marketable securities 27,948 5 (32 ) 27,921 Classified as restricted investments Securities of government-sponsored entities Less than 2 70,527 10 (19 ) 70,518 U.S. government treasury securities Less than 2 52,709 51 (8 ) 52,752 Restricted investments 123,236 61 (27 ) 123,270 Total marketable securities at June 30, 2015 $ 351,261 $ 85 $ (103 ) $ 351,243 December 31, 2014: Classified as current assets Certificates of deposit Less than 1 $ 282 $ — $ — $ 282 Corporate notes Less than 1 129,037 8 (105 ) 128,940 Commercial paper Less than 1 11,290 — — 11,290 U.S. government treasury securities Less than 1 1,500 1 — 1,501 Securities of government-sponsored entities Less than 1 78,333 12 (29 ) 78,316 Short-term marketable securities 220,442 21 (134 ) 220,329 Classified as non-current assets Corporate notes 1 to 2 14,082 — (13 ) 14,069 Securities of government-sponsored entities 1 to 2 28,996 — (23 ) 28,973 Long-term marketable securities 43,078 — (36 ) 43,042 Classified as restricted investments U.S. government treasury securities Less than 2 51,331 13 (13 ) 51,331 Securities of government-sponsored entities Less than 2 42,862 2 (54 ) 42,810 Restricted investments 94,193 15 (67 ) 94,141 Total marketable securities at December 31, 2014 $ 357,713 $ 36 $ (237 ) $ 357,512
Schedule of Derivatives Not Designated as Cash Flow Hedges	The following table summarizes the fair values of derivative instruments at June 30, 2015 and December 31, 2014: Asset Derivatives Liability Derivatives Fair Value Fair Value Balance Sheet June 30, December 31, Balance Sheet June 30, December 31, ( in thousands Location 2015 2014 Location 2015 2014 Derivative instruments not designated as cash flow hedges Forward exchange contracts Other current assets $ — $ — Other current liabilities * * Total derivatives $ — $ — * * *De minimus amount recognized in the hedge relationship.
Schedule of Derivative Instruments Effect on Statements of Operations	The following table summarizes the effect of derivative instruments on the Consolidated Statements of Operations for the three and six months ended June 30, 2015 and June 30, 2014: Three Months Ended Three Months Ended June 30, 2015 June 30, 2014 Location of Amount of Location of Amount of (Gain)/Loss (Gain)/Loss (Gain)/Loss (Gain)/Loss Recognized in Recognized in Recognized in Recognized in ( in thousands Income Income Income Income Derivative instruments not designated as cash flow hedges Forward exchange contracts Other (income) expense $ 502 Other (income) expense $ — Total derivatives $ 502 $ — Six Months Ended Six Months Ended June 30, 2015 June 30, 2014 Location of Amount of Location of Amount of (Gain)/Loss (Gain)/Loss (Gain)/Loss (Gain)/Loss Recognized in Recognized in Recognized in Recognized in ( in thousands Income Income Income Income Derivative instruments not designated as cash flow hedges Forward exchange contracts Other (income) expense $ (1,664 ) Other (income) expense $ — Total derivatives $ (1,664 ) $ —
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis	The fair values of the Company’s assets and liabilities, including cash equivalents, marketable securities, restricted investments, derivatives, and contingent considerations are measured at fair value on a recurring basis, and are determined using the following inputs: Quoted Price in Significant Other Significant Active Market Observable Inputs Unobservable ( in thousands Total (Level 1) (Level 2) Inputs (Level 3) June 30, 2015: Money market funds $ 28,716 $ 28,716 $ — $ — Corporate notes 146,297 — 146,297 — Commercial paper 18,483 — 18,483 — U.S. government treasury securities 52,752 52,752 — — Securities of government-sponsored entities 133,711 — 133,711 — Total assets $ 379,959 $ 81,468 $ 298,491 $ — December 31, 2014: Money market funds $ 39,963 $ 39,963 $ — $ — Certificates of deposit 282 282 — — Corporate notes 143,009 — 143,009 — Commercial paper 11,290 — 11,290 — U.S. government treasury securities 52,831 52,831 — — Securities of government-sponsored entities 150,101 — 150,101 — Total assets $ 397,476 $ 93,076 $ 304,400 $ — Acquisition-related liabilities, current $ (644 ) $ — $ — $ (644 ) Total liabilities $ (644 ) $ — $ — $ (644 )
Fair Value Liabilities Measured on Recurring Basis Unobservable Input Reconciliation	The following table sets forth the changes in the estimated fair value of the Company’s liabilities measured on a recurring basis using significant unobservable inputs (Level 3): Six Months Ended June 30, ( in thousands 2015 2014 Fair value measurement at beginning of period $ 644 $ 1,212 Change in fair value measurement included in operating expenses (36 ) 44 Contingent consideration paid or settled (608 ) (608 ) Fair value measurement at end of period $ — $ 648

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	6 Months Ended
	Jun. 30, 2015
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill and intangible assets	Goodwill and intangible assets consisted of the following: Weighted- Average Amortization ( in thousands, except years Period Gross Accumulated Intangible June 30, 2015: (in years) Amount Amortization Assets, net Intangible assets subject to amortization: Developed technology 9 $ 79,008 $ (32,281 ) $ 46,727 Manufacturing know-how and trade secrets 12 21,801 (12,475 ) 9,326 Trade name and trademarks 11 9,500 (4,669 ) 4,831 Customer relationships 8 44,326 (25,872 ) 18,454 Total intangible assets subject to amortization 10 $ 154,635 $ (75,297 ) $ 79,338 Intangible assets not subject to amortization: In-process research and development $ 10,640 Goodwill $ 154,305 Weighted- Average Amortization Period Gross Accumulated Intangible December 31, 2014: (in years) Amount Amortization Assets, net Intangible assets subject to amortization: Developed technology 9 $ 79,008 $ (27,760 ) $ 51,248 Manufacturing know-how and trade secrets 12 21,879 (11,640 ) 10,239 Trade name and trademarks 11 9,500 (4,264 ) 5,236 Customer relationships 8 43,153 (23,961 ) 19,192 Total intangible assets subject to amortization 10 $ 153,540 $ (67,625 ) $ 85,915 Intangible assets not subject to amortization: In-process research and development $ 10,640 Goodwill $ 154,443
Future amortization expense related to intangible assets	Total future amortization expense related to intangible assets subject to amortization at June 30, 2015 is set forth in the table below: ( in thousands Remaining 2015 $ 7,640 2016 15,015 2017 12,668 2018 11,644 2019 10,289 2020 9,878 Thereafter through 2027 12,204 Total future amortization expense $ 79,338

Business Combinations (Tables)

Business Combinations (Tables)	6 Months Ended
	Jun. 30, 2015
Business Combination Description [Abstract]
Summary of assets and liabilities included in the accompanying consolidated balance sheets	Total assets and liabilities of Progentix included in the accompanying Consolidated Balance Sheets are as follows: ( in thousands June 30, 2015 December 31, 2014 Total current assets $ 518 $ 839 Identifiable intangible assets, net 13,702 13,935 Goodwill 12,654 12,654 Other long-term assets 1 1 Accounts payable and accrued expenses 515 542 Deferred tax liabilities, net 2,770 2,770 Non-controlling interests 7,919 8,310
Reconciliation of equity (net assets) attributable to the non-controlling interests	The following is a reconciliation of equity (net assets) attributable to the non-controlling interests: Six Months Ended June 30, ( in thousands 2015 2014 Non-controlling interests at beginning of period $ 8,310 $ 9,086 Less: Net loss attributable to the non-controlling interests 391 438 Non-controlling interests at end of period $ 7,919 $ 8,648

Senior Convertible Notes (Table

Senior Convertible Notes (Tables)	6 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Net carrying amount of the debt component	The carrying values of the Company’s Senior Convertible Notes are as follows: ( in thousands June 30, 2015 December 31, 2014 2.75% Senior Convertible Notes due 2017: Principal amount $ 402,500 $ 402,500 Unamortized debt discount (33,999 ) (41,754 ) Total Senior Convertible Notes $ 368,501 $ 360,746

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2015
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Compensation costs included in statement of income for all stock-based compensation arrangements	The compensation cost that has been included in the Consolidated Statements of Operations for all stock-based compensation arrangements was as follows: Three Months Ended June 30, Six Months Ended June 30, ( in thousands 2015 2014 2015 2014 Sales, marketing and administrative expense $ 5,446 $ 8,251 $ 12,723 $ 15,437 Research and development expense 373 483 632 947 Cost of goods sold 63 51 138 165 Stock-based compensation expense before taxes 5,882 8,785 13,493 16,549 Related income tax benefits (2,353 ) (3,514 ) (5,397 ) (6,620 ) Stock-based compensation expense, net of taxes $ 3,529 $ 5,271 $ 8,096 $ 9,929
Weighted average assumptions used to estimate fair value of stock options granted and stock purchase rights under ESPP	The weighted average assumptions used to estimate the fair value of stock purchase rights under the ESPP are as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 ESPP Volatility 42 % 44 % 43 % 46 % Expected term (years) 1.3 1.2 1.3 1.2 Risk free interest rate 0.2 % 0.2 % 0.2 % 0.2 % Expected dividend yield — % — % — % — %

Business Segment, Product and G

Business Segment, Product and Geographical Information (Tables)	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Revenue from External Customers by Products and Services	Revenue by product line offerings was as follows: Three Months Ended June 30, Six Months Ended June 30, ( in thousands 2015 2014 2015 2014 Spine surgery products $ 169,972 $ 157,840 $ 329,026 $ 305,845 Biologics 32,938 32,837 66,267 62,327 Total Revenue $ 202,910 $ 190,677 $ 395,293 $ 368,172
Schedule of Revenue from Net Property and Equipment by Geographical Areas	Revenue and property and equipment, net, by geographic area were as follows: Revenue Property and Equipment, Net Three Months Ended June 30, Six Months Ended June 30, June 30, December 31, ( in thousands 2015 2014 2015 2014 2015 2014 United States $ 178,023 $ 167,077 $ 347,949 $ 325,470 $ 115,272 $ 105,022 International (excludes Puerto Rico) 24,887 23,600 47,344 42,702 26,804 23,543 Total $ 202,910 $ 190,677 $ 395,293 $ 368,172 $ 142,076 $ 128,565

Description of Business and B28

Description of Business and Basis of Presentation (Details Textual) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Schedule Of Description Of Business And Basis Of Presentation [Line Items]
Relocation, consulting, and other costs		$ 6,400
Severance Costs		3,400
Total recorded liability associated with early lease termination	$ 4,400	4,400
Litigation charge	3,300	3,300
Litigation accrual adjustment	(568)	42,007	$ (30,000)
Litigation liability	30,000	30,000
Litigation loss offset		13,800
Translation Adjustment Functional to Reporting Currency, Net of Tax	(11,000)	(11,000)		$ (9,500)
Inventory Valuation Reserves	26,400	26,400		22,700
Trademark Infringement [Member]
Schedule Of Description Of Business And Basis Of Presentation [Line Items]
Litigation accrual adjustment	2,800	2,800
Litigation liability	$ 30,000	30,000
Medtronic Litigation [Member]
Schedule Of Description Of Business And Basis Of Presentation [Line Items]
Litigation accrual adjustment		56,400
Sales, Marketing and Administrative Expense [Member]
Schedule Of Description Of Business And Basis Of Presentation [Line Items]
Restructuring and associated impairment charges		2,300		$ 6,400
Chief Executive Officer and Chairman of the Board [Member]
Schedule Of Description Of Business And Basis Of Presentation [Line Items]
Severance Costs		$ 3,400

Net Income (Loss) Per Share - C

Net Income (Loss) Per Share - Computation of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Numerator:
Net income (loss) available to the Company	$ 10,268	$ (4,088)	$ 41,828	$ (22,364)
Denominator for basic and diluted net (loss) income per share:
Weighted average common shares outstanding for basic	48,545	46,832	48,269	46,320
Dilutive potential common stock outstanding:
Weighted average common shares outstanding for diluted	51,681	46,832	51,700	46,320
Basic net income (loss) per share attributable to the Company	$ 0.21	$ (0.09)	$ 0.87	$ (0.48)
Diluted net income (loss) per share attributable to the Company	$ 0.20	$ (0.09)	$ 0.81	$ (0.48)
Senior Convertible Notes [Member]
Dilutive potential common stock outstanding:
Incremental common shares attributable to dilutive effect of share-based payment arrangements	941		916
Stock Options and ESPP [Member]
Dilutive potential common stock outstanding:
Incremental common shares attributable to dilutive effect of share-based payment arrangements	1,250		1,389
Restricted Stock Units (RSUs) [Member]
Dilutive potential common stock outstanding:
Incremental common shares attributable to dilutive effect of share-based payment arrangements	945		1,126

Net Income (Loss) Per Share - A

Net Income (Loss) Per Share - Anti-dilutive Common Stock Equivalents Not Included in Calculation of Net Income Per Diluted Share (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share	9,679	28,055	9,627	27,515
Stock options, ESPP, and RSUs [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share	126	8,949	74	8,409
Warrants [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share	9,553	9,553	9,553	9,553
Senior Convertible Notes [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share		9,553		9,553

Financial Instruments and Fai31

Financial Instruments and Fair Value Measurements (Details Textual)	3 Months Ended		6 Months Ended
	Jun. 30, 2015USD ($)investment	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)investment	Jun. 30, 2014USD ($)	Dec. 31, 2014USD ($)
Business Acquisition [Line Items]
Impairment charges recorded for earnings			$ 0
Unrealized loss position investment | investment	0		0
Net foreign currency exchange gains (losses), includes gains and losses from derivatives instruments	$ (300,000)	$ (200,000)	$ 1,000,000	$ 100,000
Leasehold improvement impairment			900,000	2,200,000
Quoted price in active market (Level 1) [Member]
Business Acquisition [Line Items]
Debt instrument, fair value disclosure	511,100,000		511,100,000		$ 516,100,000
Foreign Exchange Forward [Member]
Business Acquisition [Line Items]
Notional principal amount	$ 22,000,000	$ 0	$ 22,000,000	$ 0

Financial Instruments and Fai32

Financial Instruments and Fair Value Measurements - Composition of Marketable Securities (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost	$ 351,261	$ 357,713
Available-for-sale Securities, Gross Unrealized Gains, Before Tax	85	36
Available-for-sale Securities, Gross Unrealized Losses, Before Tax	(103)	(237)
Available-for-sale Securities, Fair Value	351,243	357,512
Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost	200,077	220,442
Available-for-sale Securities, Gross Unrealized Gains, Before Tax	19	21
Available-for-sale Securities, Gross Unrealized Losses, Before Tax	(44)	(134)
Available-for-sale Securities, Fair Value	200,052	220,329
Long-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost	27,948	43,078
Available-for-sale Securities, Gross Unrealized Gains, Before Tax	5
Available-for-sale Securities, Gross Unrealized Losses, Before Tax	(32)	(36)
Available-for-sale Securities, Fair Value	27,921	43,042
Commercial paper [Member] | Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost	18,483	11,290
Available-for-sale Securities, Fair Value	$ 18,483	$ 11,290
Commercial paper [Member] | Maximum [Member] | Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity	1 year	1 year
Restricted Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost	$ 123,236	$ 94,193
Available-for-sale Securities, Gross Unrealized Gains, Before Tax	61	15
Available-for-sale Securities, Gross Unrealized Losses, Before Tax	(27)	(67)
Available-for-sale Securities, Fair Value	123,270	94,141
Certificates of deposit [Member] | Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost		282
Available-for-sale Securities, Fair Value		$ 282
Certificates of deposit [Member] | Maximum [Member] | Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity		1 year
Corporate notes [Member] | Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost	118,409	$ 129,037
Available-for-sale Securities, Gross Unrealized Gains, Before Tax	7	8
Available-for-sale Securities, Gross Unrealized Losses, Before Tax	(40)	(105)
Available-for-sale Securities, Fair Value	118,376	128,940
Corporate notes [Member] | Long-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost	27,948	14,082
Available-for-sale Securities, Gross Unrealized Gains, Before Tax	5
Available-for-sale Securities, Gross Unrealized Losses, Before Tax	(32)	(13)
Available-for-sale Securities, Fair Value	$ 27,921	$ 14,069
Corporate notes [Member] | Maximum [Member] | Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity	1 year	1 year
Corporate notes [Member] | Maximum [Member] | Long-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity	2 years	2 years
Corporate notes [Member] | Minimum [Member] | Long-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity	1 year	1 year
Securities of government-sponsored entities [Member] | Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost	$ 63,185	$ 78,333
Available-for-sale Securities, Gross Unrealized Gains, Before Tax	12	12
Available-for-sale Securities, Gross Unrealized Losses, Before Tax	(4)	(29)
Available-for-sale Securities, Fair Value	$ 63,193	78,316
Securities of government-sponsored entities [Member] | Long-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost		28,996
Available-for-sale Securities, Gross Unrealized Losses, Before Tax		(23)
Available-for-sale Securities, Fair Value		$ 28,973
Securities of government-sponsored entities [Member] | Maximum [Member] | Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity	1 year	1 year
Securities of government-sponsored entities [Member] | Maximum [Member] | Long-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity	2 years	2 years
Securities of government-sponsored entities [Member] | Minimum [Member] | Long-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity		1 year
Securities of government-sponsored entities [Member] | Restricted Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost	$ 70,527	$ 42,862
Available-for-sale Securities, Gross Unrealized Gains, Before Tax	10	2
Available-for-sale Securities, Gross Unrealized Losses, Before Tax	(19)	(54)
Available-for-sale Securities, Fair Value	$ 70,518	$ 42,810
Securities of government-sponsored entities [Member] | Restricted Investments [Member] | Maximum [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity	2 years	2 years
U.S. government treasury securities [Member] | Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost		$ 1,500
Available-for-sale Securities, Gross Unrealized Gains, Before Tax		1
Available-for-sale Securities, Fair Value		$ 1,501
U.S. government treasury securities [Member] | Maximum [Member] | Short-term Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity		1 year
U.S. government treasury securities [Member] | Restricted Investments [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities, Cost	$ 52,709	$ 51,331
Available-for-sale Securities, Gross Unrealized Gains, Before Tax	51	13
Available-for-sale Securities, Gross Unrealized Losses, Before Tax	(8)	(13)
Available-for-sale Securities, Fair Value	$ 52,752	$ 51,331
U.S. government treasury securities [Member] | Restricted Investments [Member] | Maximum [Member]
Schedule Of Available For Sale Securities [Line Items]
Available-for-sale Securities Contractual Maturity	2 years	2 years

Financial Instruments and Fai33

Financial Instruments and Fair Value Measurements - Schedule of Derivative Instruments Effect on Statements of Operations (Details) - Jun. 30, 2015 - Cash Flow Hedges [Member] - Not Designated As Hedging Instrument [Member] - USD ($) $ in Thousands	Total	Total
Derivative Instruments Gain Loss [Line Items]
Amount of (Gain)/Loss Recognized in Income	$ 502	$ (1,664)
Foreign Exchange Forward [Member] | Other (Income) Expense [Member]
Derivative Instruments Gain Loss [Line Items]
Amount of (Gain)/Loss Recognized in Income	$ 502	$ (1,664)

Financial Instruments and Fai34

Financial Instruments and Fair Value Measurements - Fair Value of Assets and Liabilities (Details) - Fair value measurements on recurring basis [Member] - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	$ 379,959	$ 397,476
Contingent Consideration:
Acquisition-related liabilities, current		(644)
Acquisition-related liabilities		(644)
Money Market Funds [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	28,716	39,963
Certificates of deposit [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments		282
Corporate notes [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	146,297	143,009
Commercial paper [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	18,483	11,290
U.S. government treasury securities [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	52,752	52,831
Securities of government-sponsored entities [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	133,711	150,101
Quoted price in active market (Level 1) [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	81,468	93,076
Quoted price in active market (Level 1) [Member] | Money Market Funds [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	28,716	39,963
Quoted price in active market (Level 1) [Member] | Certificates of deposit [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments		282
Quoted price in active market (Level 1) [Member] | U.S. government treasury securities [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	52,752	52,831
Significant other observable inputs (Level 2) [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	298,491	304,400
Significant other observable inputs (Level 2) [Member] | Corporate notes [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	146,297	143,009
Significant other observable inputs (Level 2) [Member] | Commercial paper [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	18,483	11,290
Significant other observable inputs (Level 2) [Member] | Securities of government-sponsored entities [Member]
Marketable Securities and Restricted Investments
Total marketable securities and restricted investments	$ 133,711	150,101
Significant unobservable inputs (Level 3) [Member]
Contingent Consideration:
Acquisition-related liabilities, current		(644)
Acquisition-related liabilities		$ (644)

Financial Instruments and Fai35

Financial Instruments and Fair Value Measurements - Estimated Fair Value of Liabilities Measured on a Recurring Basis Using Significant Unobservable Inputs (Level 3) (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Fair Value Disclosures [Abstract]
Fair value measurement at beginning of period	$ 644	$ 1,212
Change in fair value measurement included in operating expenses	(36)	44
Contingent consideration paid or settled	$ (608)	(608)
Fair value measurement at end of period		$ 648

Goodwill and Intangible Asset36

Goodwill and Intangible Assets (Details 1) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Intangible assets subject to amortization:
Weighted Average Amortization Period	10 years	10 years
Gross Amount	$ 154,635	$ 153,540
Accumulated Amortization	(75,297)	(67,625)
Intangible Assets, net	79,338	85,915
Intangible assets not subject to amortization:
In-process research and development	10,640	10,640
Goodwill	$ 154,305	$ 154,443
Developed technology [Member]
Intangible assets subject to amortization:
Weighted Average Amortization Period	9 years	9 years
Gross Amount	$ 79,008	$ 79,008
Accumulated Amortization	(32,281)	(27,760)
Intangible Assets, net	$ 46,727	$ 51,248
Manufacturing know-how and trade secrets [Member]
Intangible assets subject to amortization:
Weighted Average Amortization Period	12 years	12 years
Gross Amount	$ 21,801	$ 21,879
Accumulated Amortization	(12,475)	(11,640)
Intangible Assets, net	$ 9,326	$ 10,239
Trade name and trademarks [Member]
Intangible assets subject to amortization:
Weighted Average Amortization Period	11 years	11 years
Gross Amount	$ 9,500	$ 9,500
Accumulated Amortization	(4,669)	(4,264)
Intangible Assets, net	$ 4,831	$ 5,236
Customer relationships [Member]
Intangible assets subject to amortization:
Weighted Average Amortization Period	8 years	8 years
Gross Amount	$ 44,326	$ 43,153
Accumulated Amortization	(25,872)	(23,961)
Intangible Assets, net	$ 18,454	$ 19,192

Goodwill and Intangible Asset37

Goodwill and Intangible Assets (Details Textual) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Finite Lived Intangible Assets [Line Items]
Amortization expense related to intangible assets	$ 3,900	$ 3,500	$ 7,700	$ 7,500
Purchase of intangible assets			28,589
Accrued for As of December 31, 2014 [Member]
Finite Lived Intangible Assets [Line Items]
Purchase of intangible assets			$ 27,400

Goodwill and Intangible Asset38

Goodwill and Intangible Assets (Details 2) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Future amortization expense related to intangible assets
Remaining 2,015	$ 7,640
2,016	15,015
2,017	12,668
2,018	11,644
2,019	10,289
2,020	9,878
Thereafter through 2027	12,204
Intangible Assets, net	$ 79,338	$ 85,915

Business Combinations (Details

Business Combinations (Details Textual) - Progentix Orthobiology [Member] - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2009
Senior Secured Facility [Member]
Business Acquisition [Line Items]
Advanced loan accordance to loan agreement	$ 5,300,000
Accrued interest rate of loan	6.00%
Preferred Stock Purchase Agreement [Member]
Business Acquisition [Line Items]
Percentage of ownership Interests acquired		40.00%
Cash payment on purchase of outstanding shares		$ 10,000,000
Percentage of cumulative dividend, description	cumulative 8% dividend
Preferred Stock Purchase Agreement [Member] | Cumulative Preferred Stock [Member]
Business Acquisition [Line Items]
Percentage of minority interest represented by preferred stock		18.00%
Percentage of cumulative dividend		8.00%
Option Purchase Agreement
Business Acquisition [Line Items]
Call option remaining variable interest entity ownership percentage		60.00%
Amount of remaining shares		$ 35,000,000
Term of distribution agreement years		10 years

Business Combinations (Details)

Business Combinations (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014
Business Acquisition [Line Items]
Total current assets	$ 684,331	$ 705,871
Identifiable intangible assets, net	89,978	96,555
Goodwill	154,305	154,443
Other long-term assets	25,388	26,420
Non-controlling interests	7,919	8,310
Variable Interest Entity [Member]
Business Acquisition [Line Items]
Non-controlling interests	7,919		$ 8,648
Variable Interest Entity [Member] | Progentix Orthobiology [Member]
Business Acquisition [Line Items]
Total current assets	518	839
Identifiable intangible assets, net	13,702	13,935
Goodwill	12,654	12,654
Other long-term assets	1	1
Accounts payable and accrued expenses	515	542
Deferred tax liabilities, net	2,770	2,770
Non-controlling interests	$ 7,919	$ 8,310

Reconciliation of Equity (Net A

Reconciliation of Equity (Net Assets) Attributable to the Non-controlling Interests (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Reconciliation of equity (net assets) attributable to the non-controlling interests
Less: Net loss attributable to the non-controlling interests	$ 228	$ 182	$ 391	$ 438
Non-controlling interests at end of period	7,919		7,919
Variable Interest Entity [Member]
Reconciliation of equity (net assets) attributable to the non-controlling interests
Non-controlling interests at beginning of period			8,310	9,086
Less: Net loss attributable to the non-controlling interests			391	438
Non-controlling interests at end of period	$ 7,919	$ 8,648	$ 7,919	$ 8,648

Senior Convertible Notes (Detai

Senior Convertible Notes (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Dec. 31, 2011	Jun. 30, 2011
Debt Instrument [Line Items]
Total Senior Convertible Notes	$ 368,501	$ 360,746
2.75% Senior Convertible Notes due 2017 [Member]
Debt Instrument [Line Items]
Principal amount	402,500	402,500		$ 402,500
Unamortized debt discount	(33,999)	(41,754)	$ (88,900)
Total Senior Convertible Notes	$ 368,501	$ 360,746

Senior Convertible Notes (Paren

Senior Convertible Notes (Parenthetical) (Details)	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2011
2.75% Senior Convertible Notes due 2017 [Member]
Debt Instrument [Line Items]
Interest rate on convertible notes	2.75%	2.75%	2.75%

Senior Convertible Notes (Det44

Senior Convertible Notes (Details Textual)	1 Months Ended	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2011USD ($)$ / shares	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Dec. 31, 2011USD ($)$ / sharesshares	Dec. 31, 2014USD ($)
Debt Instrument [Line Items]
Contractual coupon interest expense		$ 2,800,000	$ 2,800,000	$ 5,500,000	$ 5,500,000
Amortization of debt discount (premium)		3,900,000	$ 3,600,000	7,800,000	$ 7,200,000
Derivative, maturity date						Jul. 1, 2017
Initial strike price at which warrants to be acquired | $ / shares						$ 988.51
Number of common stock shares preferred stock convertible into | shares						20
Cash proceeds from the sale of warrants						$ 47,900,000
2017 Hedge [Member]
Debt Instrument [Line Items]
Number of common stock to be purchased | shares						9,553,096
Cost of hedge transaction						$ 80,100,000
Minimum [Member]
Debt Instrument [Line Items]
Class of warrant or rights expiry month and year						2017-09
Maximum [Member]
Debt Instrument [Line Items]
Class of warrant or rights expiry month and year						2018-01
Maximum [Member] | Series A Convertible Participating Preferred Stock [Member]
Debt Instrument [Line Items]
Number of preferred or common stock into which the warrants is converted | shares						477,654
Maximum [Member] | Common Shares [Member]
Debt Instrument [Line Items]
Number of preferred or common stock into which the warrants is converted | shares						9,553,080
Other Expense [Member] | 2017 Hedge [Member]
Debt Instrument [Line Items]
Embedded derivative, gain (loss) reclassified to earnings						$ 37,100,000
Additional Paid-in Capital [Member] | 2017 Hedge [Member]
Debt Instrument [Line Items]
Embedded derivative, amount reclassified to stockholders' equity						43,000,000
2.75% Senior Convertible Notes due 2017 [Member]
Debt Instrument [Line Items]
Principal amount	$ 402,500,000	$ 402,500,000		$ 402,500,000			$ 402,500,000
Net proceeds of unsecured senior convertible notes	$ 359,200,000
Interest rate on convertible notes	2.75%	2.75%		2.75%			2.75%
Debt instrument, maturity date	Jul. 1, 2017
Initial conversion rate adjustment, shares	23.7344
Principal amount of debt considered for conversion rate	$ 1,000
Initial conversion price of convertible notes | $ / shares	$ 42.13
Fair value of debt conversion cost		$ 33,999,000		$ 33,999,000		$ 88,900,000	$ 41,754,000
Effective interest rate						8.00%
2.75% Senior Convertible Notes due 2017 [Member] | Scenario Two [Member]
Debt Instrument [Line Items]
Consecutive trading days considered for debt conversion						5 days
2.75% Senior Convertible Notes due 2017 [Member] | Minimum [Member]
Debt Instrument [Line Items]
Percentage of conversion price						130.00%
2.75% Senior Convertible Notes due 2017 [Member] | Minimum [Member] | Scenario One [Member]
Debt Instrument [Line Items]
Consecutive trading days considered for debt conversion						20 days
2.75% Senior Convertible Notes due 2017 [Member] | Maximum [Member]
Debt Instrument [Line Items]
Percentage of conversion price						98.00%
2.75% Senior Convertible Notes due 2017 [Member] | Maximum [Member] | Scenario One [Member]
Debt Instrument [Line Items]
Consecutive trading days considered for debt conversion						30 days
2.75% Senior Convertible Notes due 2017 [Member] | Other Income [Member]
Debt Instrument [Line Items]
Embedded derivative, gain (loss) reclassified to earnings						$ 39,500,000
2.75% Senior Convertible Notes due 2017 [Member] | Additional Paid-in Capital [Member]
Debt Instrument [Line Items]
Embedded derivative, amount reclassified to stockholders' equity						$ 49,400,000

Stock-Based Compensation, Stock

Stock-Based Compensation, Stock Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense before taxes	$ 5,882	$ 8,785	$ 13,493	$ 16,549
Related income tax benefits	(2,353)	(3,514)	(5,397)	(6,620)
Stock-based compensation expense, net of taxes	3,529	5,271	8,096	9,929
Sales, Marketing and Administrative Expense [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense before taxes	5,446	8,251	12,723	15,437
Research and development expense [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense before taxes	373	483	632	947
Cost of goods sold [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense before taxes	$ 63	$ 51	$ 138	$ 165

Stock-Based Compensation (Detai

Stock-Based Compensation (Details Textual) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Unamortized cost related to share-based compensation	$ 46,900,000		$ 46,900,000
Weighted average contractual term			2 years 8 months 12 days
Stock options granted	0	0	0	0
Number of common stock issued to exercise stock options	1,500,000		2,200,000		1,000,000
Restricted Stock Units (RSUs) [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period for the award			4 years
Number of shares of common stock issued upon vesting of RSUs	1,300,000		1,300,000		1,400,000
Restricted Stock Units (RSUs) [Member] | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share payout levels	0.00%		0.00%
Restricted Stock Units (RSUs) [Member] | Maximum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share payout levels	250.00%		250.00%
Performance Based Restricted Stock Units (PRSUs) [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period for the award			5 years
ESPP [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Percentage of issuance price of stock under the stock issuance program			85.00%
Maximum percentage of annual compensation	15.00%		15.00%
Maximum amount withheld to purchase shares of the company			$ 21,250
Employee Stock Purchase Plan Offering Period			2 years

Stock-Based Compensation, Assum

Stock-Based Compensation, Assumptions Table (Details) - ESPP [Member]	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Weighted average assumptions used to estimate fair value of stock options granted and stock purchase rights under ESPP
Volatility	42.00%	44.00%	43.00%	46.00%
Expected term (years)	1 year 3 months 18 days	1 year 2 months 12 days	1 year 3 months 18 days	1 year 2 months 12 days
Risk free interest rate	0.20%	0.20%	0.20%	0.20%

Income Taxes (Details Textual)

Income Taxes (Details Textual) - Jun. 30, 2015 - USD ($)	Total
Income Tax Disclosure [Abstract]
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Percent	39.00%
Unrecognized tax benefit	$ 0

Business Segment, Product and49

Business Segment, Product and Geographic Information (Details Textual)	6 Months Ended
	Jun. 30, 2015segment
Segment Reporting [Abstract]
Number of reportable segments	1

Business Segment, Product and50

Business Segment, Product and Geographic Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Entity Wide Information Revenue From External Customer [Line Items]
Total Revenue	$ 202,910	$ 190,677	$ 395,293	$ 368,172
Spine surgery products [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Total Revenue	169,972	157,840	329,026	305,845
Biologics [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Total Revenue	$ 32,938	$ 32,837	$ 66,267	$ 62,327

Business Segment, Product and51

Business Segment, Product and Geographic Information (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Revenues and Net Property and Equipment by Geographical Areas [Line Items]
Revenue	$ 202,910	$ 190,677	$ 395,293	$ 368,172
Property and equipment, net	142,076		142,076		$ 128,565
UNITED STATES
Revenues and Net Property and Equipment by Geographical Areas [Line Items]
Revenue	178,023	167,077	347,949	325,470
Property and equipment, net	115,272		115,272		105,022
International [Member]
Revenues and Net Property and Equipment by Geographical Areas [Line Items]
Revenue	24,887	$ 23,600	47,344	$ 42,702
Property and equipment, net	$ 26,804		$ 26,804		$ 23,543

Commitments (Details Textual)

Commitments (Details Textual) - USD ($)	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Licensing and Purchasing Agreements [Member]
Business Acquisition [Line Items]
Obligation under consultancy arrangements	$ 23,100,000
Revenue based milestone period	achieved prior to 2024
Total payment for arrangements	$ 6,200,000
Cash payment on purchase of outstanding shares	3,000,000
Payment in shares	3,200,000
Accrued liabilities recognized	0	$ 0
Executive Severance Plans [Member]
Business Acquisition [Line Items]
Commitments future maximum payments, remainder of fiscal year	$ 22,200,000

Contingencies (Details)

Contingencies (Details)

Jul. 20, 2015USD ($)

Dec. 02, 2014USD ($)

Apr. 25, 2013USD ($)

Sep. 20, 2011USD ($)patent

Oct. 31, 2010USD ($)

Aug. 31, 2008patent

Jun. 30, 2015USD ($)

Jun. 30, 2015USD ($)patent

Jun. 30, 2014USD ($)

Dec. 31, 2014USD ($)

Dec. 31, 2011USD ($)

Jul. 28, 2015USD ($)

Mar. 02, 2015USD ($)

Sep. 30, 2012USD ($)

Loss Contingencies [Line Items]

Litigation accrual adjustment

$ (568,000)

$ 42,007,000

$ (30,000,000)

Litigation loss offset

13,800,000

Litigation charge

3,300,000

3,300,000

Loss contingency, estimate of possible loss

$ 87,400,000

Legal Proceedings (Textual) [Abstract]

Unrecorded royalty damages

0

0

Litigation liability

30,000,000

30,000,000

OIG [Member]

Loss Contingencies [Line Items]

Litigation accrual adjustment

13,800,000

Litigation loss offset

13,800,000

Medtronic Litigation [Member]

Loss Contingencies [Line Items]

Litigation accrual adjustment

$ 56,400,000

Number of patents assigned or licensed | patent

12

9

Number of patents withdrawn | patent

3

Number of patents selected for litigation | patent

3

Company's patents in initial phase of litigation | patent

1

Litigation liability

$ 101,200,000

$ 101,200,000

Loss contingency, settlement agreement, court

on June 11, 2013, the District Court granted the parties ongoing royalties with respect to the two Medtronic patents and the one Company patent remaining in the first phase of the case (the “June 2013 ruling”).

Company's cash and investment in escrow

$ 113,300,000

Royalty accrual charge

7,900,000

Legal Proceedings (Textual) [Abstract]

Unrecorded royalty damages

700,000

700,000

Loss contingency, settlement agreement, consideration

$ 7,500,000

Medtronic Litigation [Member] | Subsequent Event

Loss Contingencies [Line Items]

Release of funds from escrow

$ 114,100,000

Trademark Infringement [Member]

Loss Contingencies [Line Items]

Litigation accrual adjustment

2,800,000

2,800,000

Company's cash and investment in escrow

$ 32,500,000

$ 62,500,000

Release of funds from escrow

$ 62,500,000

Legal Proceedings (Textual) [Abstract]

Jury award

$ 60,000,000

Litigation liability

$ 30,000,000

$ 30,000,000

Trademark Infringement [Member] | Subsequent Event

Legal Proceedings (Textual) [Abstract]

Loss contingency, settlement agreement, consideration

$ 27,200,000

Regulatory Matter (Details Text

Regulatory Matter (Details Textual) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2015	Jun. 30, 2014
Regulatory Asset [Line Items]
Liability related to settlement with OIG	$ (568)	$ 42,007	$ (30,000)
OIG [Member]
Regulatory Asset [Line Items]
Liability related to settlement with OIG		$ 13,800

Subsequent Events (Details)

Subsequent Events (Details) $ in Millions	Jul. 28, 2015USD ($)
Medtronic Litigation [Member] | Subsequent Event
Subsequent Event [Line Items]
Release of funds from escrow	$ 114.1