Tribute Pharmaceuticals Canada (SLRXF) 10-Q 12 May 15 2015 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 31, 2015
Document And Entity Information
Entity Registrant Name	Tribute Pharmaceuticals Canada Inc.
Entity Central Index Key	1159019
Document Type	10-Q
Document Period End Date	31-Mar-15
Amendment Flag	FALSE
Current Fiscal Year End Date	-19
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding	99,907,488
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2015

CONDENSED_INTERIM_BALANCE_SHEE

CONDENSED INTERIM BALANCE SHEETS (Unaudited) (CAD)	Mar. 31, 2015	Dec. 31, 2014
ASSETS
Cash and cash equivalents	5,550,766	3,505,791
Accounts receivable, net of allowance of $nil (December 31, 2014 - $nil) (Note 16 d)	3,124,207	2,145,319
Inventories (Note 2)	1,193,968	1,037,387
Taxes recoverable	119,062	130,623
Loan receivable	15,814	15,814
Prepaid expenses and other receivables (Note 3)	227,722	187,279
Current portion of debt issuance costs, net (Note 6)	139,758	128,134
Other current asset (Note 17)	43,400
Total current assets	10,414,697	7,150,347
Property, plant and equipment, net (Note 4)	978,956	1,012,285
Intangible assets, net (Note 5)	40,464,367	40,958,870
Goodwill	3,599,077	3,599,077
Debt issuance costs, net (Note 6)	366,404	359,161
Total assets	55,823,501	53,079,740
Current
Accounts payable and accrued liabilities	4,287,067	4,344,606
Current portion of long term debt (Note 6)	1,525,656	1,319,030
Warrant liability (Note 7 c)	5,359,374	3,107,880
Total current liabilities	11,172,097	8,771,516
Long term debt (Note 6)	15,260,858	13,967,493
Total liabilities	26,432,955	22,739,009
Contingencies and commitments (Notes 6 and 10)
SHAREHOLDERS' EQUITY
AUTHORIZED Unlimited Non-voting, convertible redeemable and retractable preferred shares with no par value Unlimited Common shares with no par value ISSUED (Note 7 a) Common shares 99,907,488 (December 31, 2014 – 94,476,238)	45,022,189	41,182,630
Additional paid-in capital options (Note 7 b)	3,061,924	2,713,605
Warrants (Note 7 c)	6,347,349	6,347,349
Accumulated other comprehensive income (Note 17)	43,400
Deficit	-25,084,316	-19,902,853
Total shareholders' equity	29,390,546	30,340,731
Total liabilities and shareholders' equity	55,823,501	53,079,740

CONDENSED_INTERIM_BALANCE_SHEE1

CONDENSED INTERIM BALANCE SHEETS (Parenthetical) (CAD)	Mar. 31, 2015		Dec. 31, 2014
Statement of Financial Position [Abstract]
Accounts receivable, net of allowance	0		0
Shareholders Equity
Common Shares Authorized		[1]		[1]
Common Shares Issued	99,907,488		94,476,238
[1]	Unlimited

CONDENSED_INTERIM_STATEMENTS_O

CONDENSED INTERIM STATEMENTS OF OPERATIONS, COMPREHENSIVE (LOSS) AND DEFICIT (Unaudited) (CAD)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Revenues
Licensed domestic product net sales	2,521,080	2,276,383
Other domestic product sales	2,601,622	734,779
International product sales	469,595	463,978
Royalty and licensing revenues		18,414
Total revenues (Notes 11 and 14)	5,592,297	3,493,554
Cost of Sales
Licensor sales and distribution fees	1,452,064	1,413,043
Cost of products sold	575,246	345,864
Total Cost of Sales	2,027,310	1,758,907
Gross profit	3,564,987	1,734,647
Expenses
Selling, general and administrative (Notes 7 b, 12 and 15)	3,325,922	3,222,661
Amortization of assets	621,623	290,352
Total operating expenses	3,947,545	3,513,013
Loss from operations	-382,558	-1,778,366
Non-operating income (expenses)
Gain on derivative instrument (Note 17)		200,000
Change in warrant liability (Notes 7 c and 16 b)	-2,695,600	-1,411,774
Unrealized foreign currency exchange on debt (Note 17)	-1,433,456
Accretion expense (Note 6)	-73,999	-31,118
Interest income	125	372
Interest expense	-595,975	-267,292
Net loss for the period	-5,181,463	-3,288,178
Unrealized gain loss on derivative instrument, net of tax (Note 17)	43,400	-103,488
Net loss and comprehensive (loss) for the period	-5,138,063	-3,391,666
Deficit, beginning of period	-19,902,853	-14,295,911
Deficit, end of period	-25,084,316	-17,584,089
Loss per share (Note 8) - Basic and diluted	-0.05	-0.06
Weighted Average Number of Common Shares - Basic	96,685,405	51,420,127
Weighted Average Number of Common Shares - Diluted	96,685,405	51,420,127

CONDENSED_INTERIM_STATEMENTS_O1

CONDENSED INTERIM STATEMENTS OF CASH FLOWS (Unaudited) (CAD)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Cash flows from (used in) operating activities
Net loss	-5,181,463	-3,288,178
Items not affecting cash:
Amortization	644,458	295,128
Changes in warrant liability (Note 7 c)	2,695,600	1,411,774
Stock-based compensation (Note 7 b)	348,320	117,133
Accretion expense	73,999	31,118
Paid-in common shares for services		211,812
Change in non-cash operating assets and liabilities (Note 9)	-1,221,890	-796,497
Cash flows (used in) operating activities	-2,640,976	-2,017,710
Cash flows from (used in) investing activities
Additions to property, plant and equipment	-4,972	-4,353
Increase in patents and licensing agreements	-85,210	-16,593
Cash flows (used in) investing activities	-90,182	-20,946
Cash flows from (used in) financing activities
Financing costs deferred		-128,181
Long term debt issued (Note 6)		2,211,000
Common shares issued (Note 7 a)	3,395,453
Cash flows from financing activities	3,395,453	2,082,819
Changes in cash and cash equivalents	664,295	44,163
Change in cash and cash equivalents due to changes in foreign exchange	1,380,680	215,706
Cash and cash equivalents, beginning of period	3,505,791	2,813,472
Cash and cash equivalents, end of period	5,550,766	3,073,341

1_Basis_of_Presentation

1. Basis of Presentation	3 Months Ended
	Mar. 31, 2015
Accounting Policies [Abstract]
1. Basis of Presentation	These unaudited condensed interim financial statements should be read in conjunction with the annual financial statements for Tribute Pharmaceuticals Canada Inc.’s ("Tribute" or the "Company") most recently completed fiscal year ended December 31, 2014.  These unaudited condensed interim financial statements do not include all disclosures required in annual financial statements, but rather are prepared in accordance with recommendations for interim financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”).  These unaudited condensed interim financial statements have been prepared using the same accounting policies and methods as those used by the Company in the annual audited financial statements for the year ended December 31, 2014, except when disclosed below.
	The unaudited condensed interim financial statements contain all adjustments (consisting of only normal recurring adjustments) which are necessary to present fairly the financial position of the Company as at March 31, 2015, and the results of its operations for the three month periods ended March 31, 2015 and 2014 and its cash flows for the three month periods ended March 31, 2015 and 2014.  Note disclosures have been presented for material updates to the information previously reported in the annual audited financial statements.
	a)	Estimates
	The preparation of these financial statements has required management to make estimates and assumptions that affect the amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of the revenues and expenses during the reporting period.  On an ongoing basis, the Company evaluates its estimates, including those related to provision for doubtful accounts, accrued liabilities, income taxes, stock based compensation, revenue recognition, intangible assets and derivative financial instruments.  The Company bases its estimates on historical experiences and on various other assumptions believed to be reasonable under the circumstances.  Actual results could differ from those estimates. As adjustments become necessary, they are reported in earnings in the period in which they become known.

2_Inventories

2. Inventories	3 Months Ended
	Mar. 31, 2015
Inventory Disclosure [Abstract]
2. Inventories		March 31,		December 31,
		2015		2014
	Raw materials	$	322,450	$	290,197
	Finished goods		450,736		399,830
	Packaging materials		74,557		70,870
	Work in process		346,225		276,490
		$	1,193,968	$	1,037,387

3_Prepaid_Expenses_and_Other_R

3. Prepaid Expenses and Other Receivables	3 Months Ended
	Mar. 31, 2015
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
3. Prepaid Expenses and Other Receivables		March 31,		December 31,
		2015		2014
	Prepaid operating expenses	$	220,747	$	180,304
	Interest receivable on loan receivables		6,975		6,975
		$	227,722	$	187,279

4_Property_Plant_and_Equipment

4. Property, Plant and Equipment	3 Months Ended
	Mar. 31, 2015
Property, Plant and Equipment [Abstract]
4. Property, Plant and Equipment		31-Mar-15
				Accumulated		Net Carrying
		Cost		Amortization		Amount
	Land	$	90,000	$	-	$	90,000
	Building		618,254		308,526		309,728
	Leasehold improvements		10,359		5,180		5,179
	Office equipment		61,308		53,024		8,284
	Manufacturing equipment		1,103,524		623,971		479,553
	Warehouse equipment		17,085		17,085		-
	Packaging equipment		111,270		66,319		44,951
	Computer equipment		147,844		106,583		41,261
		$	2,159,644	$	1,180,688	$	978,956
		31-Dec-14
				Accumulated		Net Carrying
		Cost		Amortization		Amount
	Land	$	90,000	$	-	$	90,000
	Building		618,254		300,798		317,456
	Leasehold improvements		10,359		4,662		5,697
	Office equipment		61,308		52,124		9,184
	Manufacturing equipment		1,103,525		602,667		500,858
	Warehouse equipment		17,085		17,085		-
	Packaging equipment		111,270		62,744		48,526
	Computer equipment		142,873		102,309		40,564
		$	2,154,674	$	1,142,389	$	1,012,285

5_Intangible_Assets

5. Intangible Assets	3 Months Ended
	Mar. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
5. Intangible Assets		31-Mar-15
				Accumulated		Net Carrying
		Cost		Amortization		Amount
	Patents	$	436,964	$	6,463	$	374,501
	Licensing asset		1,005,820		193,427		812,393
	Licensing agreements		10,377,325		2,575,022		7,802,303
	Product rights		32,117,521		642,351		31,475,170
		$	43,937,630	$	3,473,263	$	40,464,367
		31-Dec-14
				Accumulated		Net Carrying
		Cost		Amortization		Amount
	Patents	$	351,754	$	53,242	$	298,512
	Licensing asset		1,005,820		174,084		831,736
	Licensing agreements		10,377,325		2,345,049		8,032,276
	Product rights		32,117,521		321,175		31,796,346
		$	43,852,420	$	2,893,550	$	40,958,870
	Amortization expense of intangible assets for the three month period ended March 31, 2015 was $579,712 (2014 - $252,185).
	The Company has patents pending of $45,942 at March 31, 2015 (December 31, 2014 - $45,392) and licensing agreements of $373,325 (December 31, 2014 - $373,325) not currently being amortized.

6_Long_Term_Debt_and_Debt_Issu

6. Long Term Debt and Debt Issuance Costs	3 Months Ended
	Mar. 31, 2015
Debt Disclosure [Abstract]
6. Long Term Debt and Debt Issuance Costs	On August 8, 2013, SWK Funding LLC ("SWK"), a wholly-owned subsidiary of SWK Holdings Corporation, entered into a credit agreement (the "Credit Agreement") with the Company and SWK pursuant thereto, provided to the Company a term loan in the principal amount of US$6,000,000 ($6,381,600) which was increased, as per the terms of the Credit Agreement, by an additional US$2,000,000 ($2,211,000) at the Company's request on February 4, 2014.  SWK served as the agent under the Credit Agreement.
	On October 1, 2014 (the “Amendment Closing Date”), the Company entered into the First Amendment to the Credit Agreement and Guarantee (the “First Amendment,” and together with the Credit Agreement, the “Amended Credit Agreement”) with SWK. The Amended Credit Agreement provides for a multi-draw term loan to the Company for up to a maximum amount of US$17,000,000 ($21,561,100) (the “Loan Commitment Amount”). On the Amendment Closing Date, SWK advanced the Company an additional amount equal to US$6,000,000 ($6,724,800) pursuant to the terms of a promissory note executed on the Amendment Closing Date (the “October 2014 Note”). The October 2014 Note is for a total principal amount of US$14,000,000 ($17,756,200) (the "Loan") (comprised of US$8,000,000 ($8,592,600) advanced under the Credit Agreement and the additional US$6,000,000 ($6,724,800) advanced on October 1, 2014) due and payable on December 31, 2018 (the “Term Loan Maturity Date”).
	The Loan accrues interest at an annual rate of 11.5% plus the Libor Rate (as defined in the Amended Credit Agreement), with the Libor Rate being subject to a minimum floor of 2%, such that the minimum interest rate is 13.5%.  In the event of a change of control, a merger or a sale of all or substantially all of the Company’s assets, the Loan shall be due and payable.
	The discount to the carrying value of the Loan is being amortized as a non-cash interest expense over the term of the Loan using the effective interest rate method.
	During the three month period ended March 31, 2015, the Company accreted $73,999 (2014 - $31,118) in non-cash accretion expense in connection with the long term loans, which is included in accretion expense on the condensed interim statements of operations, comprehensive loss and deficit.
	Legal fees and costs associated with the Loan Commitment Amount were classified as debt issuance costs on the balance sheet.  These assets are being amortized as a non-cash interest expense over the term of the outstanding Loan using the effective interest rate method.  During the three month period ended March 31, 2015, the Company amortized $26,446 (2014 – $24,764) in non-cash interest expense, which is included in amortization expense on the condensed interim statements of operations, comprehensive loss and deficit.
	During the three month period ended March 31, 2015, the Company made no principal payments (year ended December 31, 2014 - $nil) and interest payments of US$477,750 ($606,474) (year ended December 31, 2014 – US$1,090,500 ($1,207,262)) under the Credit Agreement and Amended Credit Agreement.  The Company has estimated the following revenue-based principal and interest payments over the next four years ended December 31 based on the assumption that only the minimum revenue requirements will be met under the Amended Credit Agreement:
		Principal Payments		Interest Payments
	2015	US$1,136,997	($1,442,053)	US$1,390,095	($1,763,057)
	2016	US$1,454,476	($1,844,712)	US$1,704,169	($2,161,398)
	2017	US$1,666,664	($2,113,830)	US$1,489,600	($1,889,260)
	2018	US$9,741,863	($12,355,605)	US$1,428,903	($1,812,278)

7_Capital_Stock

7. Capital Stock	3 Months Ended
	Mar. 31, 2015
Equity [Abstract]
7. Capital Stock	(a)	Common Shares
	During the three month period ended March 31, 2015, the Company issued 5,431,250 common shares on the exercise of 5,431,250 common share purchase warrants exercised at an average exercise price of US$0.50 ($0.625) for gross proceeds of US$2,715,600 ($3,395,453).
	Common Shares		Number of Shares		Amount
	Balance, December 31, 2014			94,476,238	$	41,182,630
	Warrants exercised			5,431,250		3,395,453
	Fair value of warrants exercised			-		444,106
	Balance, March 31, 2015			99,907,488	$	45,022,189
		(b)	Stock Based Compensation
	The Company’s stock-based compensation program ("Plan") includes stock options in which some options vest based on continuous service, while others vest based on performance conditions such as profitability and sales goals. For those equity awards that vest based on continuous service, compensation expense is recorded over the service period from the date of grant. For performance-based awards, compensation expense is recorded over the remaining service period when the Company determines that achievement is probable.
	During the three month period ended March 31, 2015, there were 3,158,903 options, granted to officers, employees and consultants of the Company (2014 – 1,298,245). The exercise price of 2,908,903 of these options is $0.62, vesting quarterly one-eighth over two years on each of March 31, June 30, September 30 and December 31, in 2016 and 2017. Of these options 864,000 are time-based, while the remaining 2,044,903 are based upon achieving certain financial objectives. Since stock-based compensation is recognized only for those awards that are ultimately expected to vest, the Company has applied an estimated forfeiture rate (based on historical experience and projected employee turnover) to unvested awards for the purpose of calculating compensation expense. The grant date fair value of these options was estimated as $0.51 using the Black-Scholes option pricing model, based on the following assumptions: expected dividend yield of 0%; expected volatility of 121%; expected risk free interest rate of 0.61%; and expected term of 5 years.
	In addition, 200,000 options were granted with an exercise price of $0.62 and will fully vest on January 4, 2016 (Note 12). The grant date fair value of these options was estimated as $0.43 using the Black-Scholes option pricing model, based on the following assumptions: expected dividend yield of 0%; expected volatility of 121%; expected risk free interest rate of 0.87%; and expected term of 5 years.
	The remaining 50,000 options were granted with an exercise price of $0.62, with one quarter vesting over one year on each of April 29, July 29, October 29 in 2015 and January 29, 2016.  The grant date fair value of these options was estimated as $0.52 using the Black-Scholes option pricing model, based on the following assumptions: expected dividend yield of 0%; expected volatility of 122%; expected risk free interest rate of 0.87%; and expected term of 5 years.
	For the three month period ended March 31, 2015, the Company recorded $348,320 (2014 – $117,133) as additional paid in capital for options issued to directors, officers, employees and consultants based on continuous service.  Included in this amount is $171,759 for options issued to consultants for services (Note 12). This expense was recorded as selling, general and administrative expense on the condensed interim statements of operations, comprehensive loss and deficit.  Due to termination of employment and non-achievement of performance-based awards, 129,587 options were removed from the number of options issued during the three month period ended March 31, 2015 (year ended December 31, 2014 – 817,830).
	The activities in additional paid in-capital options are as follows:
			Amount
	Balance, December 31, 2014		$	2,713,605
	Expense recognized for options issued to employees			176,560
	Expense recognized for options issued to consultants			171,759
	Balance, March 31, 2015		$	3,061,924
	The total number of options outstanding as at March 31, 2015 was 7,864,307 (December 31, 2014 – 4,834,991).  The weighted average grant date fair value of the options granted during the three month period ended March 31, 2015, was $0.51 (2014 - $0.34).
	The maximum number of options that may be issued under the Plan is floating at an amount equivalent to 10% of the issued and outstanding common shares, or 9,990,749 as at March 31, 2015 (December 31, 2014 – 9,447,624).
	(c)	Warrants
	As at March 31, 2015, the following warrants were outstanding:
	Warrant Liability
	Expiration Date			Number of	Weighted Average			Fair Value at			Fair Value at
				Warrants	Exercise Price			31-Mar-15			31-Dec-14
	11-May-17			750,000	US$0.43	($0.55)	$	430,905		$	227,090
	27-Feb-15			-	US$0.50	($0.63)	$	-		$	184,999
	27-Feb-18			4,429,687	US$0.60	($0.76)	$	2,522,559		$	1,310,414
	5-Mar-15			-	US$0.50	($0.63)	$	-		$	56,691
	5-Mar-18			1,253,000	US$0.60	($0.76)	$	713,542		$	372,123
	11-Mar-15			-	US$0.50	($0.63)	$	-		$	17,547
	11-Mar-18			343,750	US$0.60	($0.76)	$	195,754		$	102,089
	8-Aug-18			755,794	US$0.5954	($0.76)	$	588,564		$	334,060
	20-Sep-18			108,696	US$0.55	($0.70)	$	67,275		$	36,442
	4-Feb-21			347,222	US$0.4320	($0.55)	$	281,404		$	160,319
	1-Oct-21			740,000	US$0.70	($0.89)	$	559,371		$	306,106
				8,728,149	US$0.59	($0.74)	$	5,359,374		$	3,107,880
	ASC 815 "Derivatives and Hedging" indicates that warrants with exercise prices denominated in a currency other than an entity’s functional currency should not be classified as equity.  As a result, these warrants have been treated as derivatives and recorded as liabilities carried at their fair value, with period-to-period changes in the fair value recorded as a gain or loss in the condensed interim statements of operations, comprehensive loss and deficit.  The Company treated the compensation warrants as a liability upon their issuance. The warrant liability is classified as Level 3 within the fair value hierarchy (see Note 16(b)).
	As at March 31, 2015, the fair value of the aggregate warrant liability of $5,359,374 (December 31, 2014 - $3,107,880) was estimated using the Black-Scholes option pricing model based on the following weighted average assumptions: expected dividend yield of 0% (December 31, 2014 – 0%) expected volatility of 100% (December 31, 2014 – 88%) risk-free interest rate of 0.78% (December 31, 2014 – 1.22%) and expected term of 3.32 years (December 31, 2014 – 2.18 years).
	Warrants – Equity
								Grant Date
			Number of		Weighted Average			Fair Value at
	Expiration Date		Warrants		Exercise Price			31-Mar-15
	15-Jul-16			21,447,500	$	0.9		$	5,169,881
	15-Jul-16			3,217,125	$	0.7		$	1,177,468
				24,664,625	$	0.9		$	6,347,349

8_Loss_Per_Share

8. Loss Per Share	3 Months Ended
	Mar. 31, 2015
Earnings Per Share [Abstract]
8. Loss Per Share	The treasury stock method assumes that proceeds received upon the exercise of all warrants and options outstanding in the period is used to repurchase the Company’s shares at the average share price during the period.  The diluted loss per share is not computed when the effect of such calculation is anti-dilutive.  In periods when losses are reported, the weighted-average number of common shares outstanding excludes common stock equivalents because their inclusion would be anti-dilutive.  Potentially dilutive securities, which were not included in diluted weighted average shares for the three month periods ended March 31, 2015 and 2014, consisted of outstanding stock options (7,864,307 and 5,109,330, respectively) and outstanding warrant grants (33,392,774 and 14,014,587, respectively).
	The following table sets forth the computation of loss per share:
		For the Three Month Period
		Ended March 31
	Numerator:	2015			2014
	Net loss available to common shareholders	$	(5,181,463	)	$	(3,288,178	)
	Denominator:
	Weighted average number of common shares		96,685,405			51,420,127
	Effect of dilutive common shares		-			-
	Diluted weighted average number of common shares outstanding		96,685,405			51,420,127
	Loss per share – basic and diluted	$	(0.05	)	$	(0.06	)

9_Statement_of_Cash_Flows

9. Statement of Cash Flows	3 Months Ended
	Mar. 31, 2015
Supplemental Cash Flow Elements [Abstract]
9. Statement of Cash Flows	Changes in non-cash balances related to operations are as follows:
		For the Three Months Ended
		31-Mar
		2015			2014
	Accounts receivable	$	(978,888	)	$	(1,065,085	)
	Inventories		(156,581	)		(59,101	)
	Prepaid expenses and other receivables		(40,443	)		(9,036	)
	Taxes recoverable		11,561			529,381
	Accounts payable and accrued liabilities		(57,539	)		(192,656	)
		$	(1,221,890	)	$	(796,497	)
	Included in accounts payable and accrued liabilities at March 31, 2015, is an amount related to patents and licenses of $2,605 (December 31, 2014 - $31,655).
	During the three month period ended March 31, 2015, there was $606,474 (2014 - $267,291) in interest paid and $nil in taxes paid (2014 – $nil).
	During the three month period ended March 31, 2015, there was $26,446 (2014 - $24,764) of non-cash debt issuance costs (see Note 6) expensed as amortization of assets.

10_Contingencies_and_Commitmen

10. Contingencies and Commitments	3 Months Ended
	Mar. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
10. Contingencies and Commitments	The Company has royalty, licensing and manufacturing agreements that have remained in effect for the Company during the quarter.  In addition, there were no material changes to the lease agreements during the period.
	(a)            License Agreements
	On December 1, 2011, the Company acquired 100% of the outstanding shares of Tribute Pharmaceuticals Canada Ltd. and Tribute Pharma Canada Inc.  Included in this transaction were the following license agreements:
	On June 30, 2008, Tribute signed a Sales, Marketing and Distribution Agreement with Actavis Group PTC ehf (“Actavis”) to perform certain sales, marketing, distribution, finance and other general management services in Canada in connection with the importation, marketing, sales and distribution of Bezalip® SR and Soriatane® (the “Actavis Products”). On January 1, 2010, a first amendment was signed with Actavis to grant the Company the right and obligation to more actively market and promote the Actavis Products in Canada. On March 31, 2011, a second amendment was signed with Actavis that extended the term of the agreement, modified the terms of the agreement and increased the Company’s responsibilities to include the day-to-day management of regulatory affairs, pharmacovigilance and medical information relating to the Actavis Products. The Company pays Actavis a sales and distribution fee up to an annual base-line net sales forecast plus an incremental fee for incremental net sales above the base-line. On May 4, 2011, the Company signed a Product Development and Profit Share Agreement with Actavis to develop, obtain regulatory approval of and market Bezalip SR in the U.S. The Company shall pay US$5,000,000 ($6,341,500) to Actavis within 30 days of receipt of the regulatory approval to market Bezalip SR in the U.S.
	On November 9, 2010, the Company signed a license agreement with Nautilus Neurosciences, Inc. (“Nautilus”) for the exclusive rights to develop, register, promote, manufacture, use, market, distribute and sell Cambia® in Canada. On August 11, 2011, the Company and Nautilus executed the first amendment to the license agreement and on September 30, 2012 executed the second amendment to the license agreement. Aggregate payments of US$1,000,000 ($1,005,820) were issued under this agreement, which included an upfront payment to Nautilus upon the execution of the agreement and an amount payable upon the first commercial sale of the product.  These payments have been included in intangible assets and will be amortized over the life of the license agreement, as amended.  Up to US$6,000,000 ($7,609,800) in additional one-time performance based sales milestones, based on a maximum of six different sales tiers, are payable over time, due upon achieving annual net sales ranging from US$2,500,000 ($3,170,750) to US$20,000,000 ($25,366,000) in the first year of the achievement of the applicable milestone.  Royalty rates are tiered and payable at rates ranging from 22.5% to 25.0% of net sales.
	On December 30, 2011, the Company signed a license agreement with Apricus Bioscience, Inc. to commercialize MycoVa in Canada. As of March 31, 2015, this product has not been filed with Health Canada and to-date no upfront payments have been paid. Within 10 days of execution of a manufacturing agreement, the Company shall pay an up-front license fee of $200,000. Upon Health Canada approval of MycoVa, the Company shall pay $400,000. Sales milestones payments of $250,000 each are based on the achievement of aggregate net sales in increments of $5,000,000. Royalties are payable at rates ranging from 20% to 25% of net sales.
	On May 13, 2014, the Company entered into an exclusive license and supply agreement with Faes Farma, S.A. (“Faes”), a Spanish pharmaceutical company, for the exclusive right to sell bilastine, a product for the treatment of allergic rhinitis and chronic idiopathic urticaria (hives) in Canada. The exclusive license is inclusive of prescription and non-prescription rights for bilastine, as well as adult and paediatric presentations in Canada. Sales of bilastine are subject to receiving regulatory approval from Health Canada. Payment for the licensing rights is based on an initial fee of €250,000 ($368,337), these payments have been included in intangible assets and will be amortized over the life of the license agreement.  Any remaining milestone payments based on the achievement of specific events, including regulatory and sales milestones of up to $3,497,949 (€1,466,600 ($1,997,949) and $1,500,000) are payable over time, beginning with an approval for bilastine from Health Canada. Thereafter, milestones are payable upon attainment of cumulative net sales targets, up to net sales of $60,000,000. The license agreement is also subject to certain minimum purchase obligations upon regulatory approval and commercial sale of product.
	(b)           Executive Termination Agreements
	The Company currently has employment agreements with the provision of termination and change of control benefits with officers and executives of the Company. The agreements for the officers and executives provide that in the event that any of their employment is terminated during the term (i) by the Company for any reason other than just cause or death; (ii) by the Company because of disability; (iii) by the officer or executive for good reason; or (iv) following a change of control, the officers and executives shall be entitled to an aggregate amount of $1,979,540 as of March 31, 2015 (December 31, 2014 - $247,200) or if a change of control occurs while the officers or executives are employed on an indefinite basis, a lump sum payment of up to an aggregate amount of $3,499,562 (based on current base salaries) (December 31, 2014 - $2,072,200).

11_Significant_Customers

11. Significant Customers	3 Months Ended
	Mar. 31, 2015
Risks and Uncertainties [Abstract]
11. Significant Customers	During the three month period ended March 31, 2015, the Company had three significant wholesale customers (2014 – three) that represented 69.8% (2014 – 65.6%) of product sales.
	The Company believes that its relationship with these customers is satisfactory.

12_Related_Party_Transactions

12. Related Party Transactions	3 Months Ended
	Mar. 31, 2015
Related Party Transactions [Abstract]
12. Related Party Transactions	During the three month period ended March 31, 2015 the Company granted 200,000 (2014 - 200,000) stock options  to LMT Financial Inc. ("LMT"), a company beneficially owned by a director and former interim officer of the Company, and his spouse for consulting services. For the three month period ended March 31, 2015, the Company recorded $49,147 (2014 - $16,222) as a non-cash expense.  These amounts have been recorded as selling, general and administrative expense in the condensed interim statements of operations, comprehensive loss and deficit.

13_Income_Taxes

13. Income Taxes	3 Months Ended
	Mar. 31, 2015
Income Tax Disclosure [Abstract]
13. Income Taxes	The Company has no taxable income under Canadian Federal and Provincial tax laws for the three month period ended March 31, 2015 and 2014. The Company has non-capital loss carry-forwards at March 31, 2015 totaling approximately $13,953,400, which may be offset against future taxable income.  If not utilized, the loss carry-forwards will expire between 2015 and 2034.  The cumulative carry-forward pool of SR&ED expenditures as at March 31, 2015, that may be offset against future taxable income, with no expiry date, is $1,798,300.
	The non-refundable portion of the tax credits as at March 31, 2015 was $341,300.

14_Segmented_Information

14. Segmented Information	3 Months Ended
	Mar. 31, 2015
Segment Reporting [Abstract]
14. Segmented Information	The Company is a specialty pharmaceutical company with a primary focus on the acquisition, licensing, development and promotion of healthcare products in Canada. The Company targets several therapeutic areas in Canada, but has a particular interest in products for the treatment of pain, dermatology and endocrinology/cardiology. The Company also sells Uracyst® and NeoVisc® internationally through a number of strategic partnerships. Currently, all of the Company’s manufacturing assets are located in Canada. All direct sales take place in Canada. Licensing arrangements have been obtained to distribute and sell the Company’s products in various countries around the world.
	Revenue for the three month periods ended March 31, 2015 and 2014 includes products sold in Canada and international sales of products through licensing agreements.  Revenue earned is as follows:
			For the Three Month Period
			Ended March 31
			2015		2014
	Product sales:
	Domestic sales	$	5,109,509	$	2,999,912
	International sales		469,595		463,978
	Other revenue		13,193		11,250
	Total	$	5,592,297	$	3,475,140
	Royalty  revenues	$	-	$	18,414
	Total revenues	$	5,592,297	$	3,493,554
	The Company currently sells its own products and is in-licensing other products in Canada.  In addition, revenues include products which the Company out-licenses throughout most countries in Europe, the Caribbean, Austria, Germany, Italy, Lebanon, Kuwait, Malaysia, Portugal, Romania, Spain, South Korea, Turkey, Egypt, Hong Kong and the United Arab Emirates. The operations reflected in the condensed interim statements of operations, comprehensive loss and deficit includes the Company’s activity in these markets.

15_Foreign_Currency_Gain_Loss

15. Foreign Currency Gain (Loss)	3 Months Ended
	Mar. 31, 2015
Foreign Currency [Abstract]
15. Foreign Currency Gain (Loss)	The Company enters into foreign currency transactions in the normal course of business. Expenses incurred in currencies other than Canadian dollars are therefore subject to gains or losses due to fluctuations in these currencies. As at March 31, 2015, the Company held cash of $5,326,943 (US$4,129,010 and €66,152) in denominations other than in Canadian dollars (December 31, 2014 - $1,319,013 (US$1,135,304 and €1,387)); had accounts receivables of $389,930 (US$101,157 and €192,052) denominated in foreign currencies (December 31, 2014 - $319,764 (US$67,125 and €172,313); had accounts payable and accrued liabilities of $230,109 (US$109,785 and €66,703) denominated in foreign currencies (December 31, 2014 – $32,857 (US$26,125 and €1,816)); warrant liability of $5,359,374 (US$4,225,636) (December 31, 2014 - $3,107,880 (US$2,682,994)); and long term debt of $17,756,200 (US$14,000,000) (December 31, 2014 - $16,241,400 (US$14,000,000)). For the three month period ended March 31, 2015, the Company had a foreign currency loss of $1,179,509 (2014 –$196,066). These amounts have been included in selling, general and administrative expenses in the condensed interim statements of operations, comprehensive loss and deficit.

16_Financial_Instruments

16. Financial Instruments

3 Months Ended

Mar. 31, 2015

Investments, All Other Investments [Abstract]

16. Financial Instruments

(a)

Financial assets and liabilities – fair values

The carrying amounts of cash and cash equivalents, accounts receivable, certain other current assets, accounts payables and accrued liabilities are a reasonable estimate of their fair values because of the short maturity of these instruments.

Warrant liability and other current asset/liabilities are financial assets/liabilities where fluctuations in market rates will affect the fair value of these financial instruments.  The Company uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation technique:

Level 1: quoted prices in active markets for identical assets or liabilities.

Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly.

Level 3: techniques which use inputs which have a significant effect on the recorded fair value that are not based on observable market data.

Cash equivalents and other current asset/liabilities are classified as Level 2 financial instruments within the fair value hierarchy.

(b)

Derivative liability – warrant liability

In connection with various financing arrangements, the Company has granted warrants to purchase up to 8,728,149 common shares of the Company as disclosed in Note 7c.  The warrants have a weighted average exercise price of US$0.59 ($0.74).  The warrants expire at dates ranging from May 11, 2017 to October 1, 2021.  The warrants are accounted for as derivative liabilities because the exercise price is denominated in a currency other than the Company’s functional currency.

The table below summarizes the fair value of the Company’s financial liabilities measured at fair value:

Fair Value at

Fair Value Measurement Using

31-Mar-15

Level 1

Level 2

Level 3

Derivative liability - Warrants

$

5,359,374

$

-

$

-

$

5,359,374

Fair Value at

Fair Value Measurement Using

31-Dec-14

Level 1

Level 2

Level 3

Derivative liability - Warrants

$

3,107,880

$

-

$

-

$

3,107,880

The table below sets forth a summary of changes in the fair value of the Company’s Level 3 financial liabilities (warrant derivative liability) for the periods ended March 31, 2015 and December 31, 2014:

Three months ended

Year ended

31-Mar-15

31-Dec-14

Balance at beginning of period

$

3,107,880

$

2,966,714

Additions (deletions) to derivative instruments

(444,106

)

424,471

Change in fair market value, recognized in earnings as

2,695,600

(283,305

)

Change in warrant liability

Balance end of period

$

5,359,374

$

3,107,880

The following is quantitative information about significant unobservable inputs (Level 3) for the Company as of March 31, 2015.

Valuation Technique

Unobservable Input

Input Value

Liability Category

Fair Value

Warrant Liability

$

5,359,374

Black-Scholes valuation model

Volatility

100

%

The following represents the impact on fair value measurements to changes in unobservable inputs:

Increase in Inputs Increase in Valuation

Decreases in Inputs Increase in Valuation

Unobservable Inputs

Volatility

Increase

Decrease

These instruments were valued using pricing models that incorporate the price of a common share (as quoted on the relevant over-the-counter trading market in the U.S.), volatility, risk free rate, dividend rate and estimated life. The Company computed the value of the warrants using the Black-Scholes model. There were no transfers of assets or liabilities between Level 1, Level 2, or Level 3 during the periods ended March 31, 2015 and December 31, 2014.

The following are the key weighted average assumptions used in connection with this computation:

Three Months Period

Year Ended

31-Mar-15

31-Dec-14

Number of shares underlying the warrants

8,728,149

14,754,587

Fair market value of the stock

US$0.48 ($0.61)

US$0.18 ($0.21)

Exercise price

US$0.59 ($0.75)

US$0.55 ($0.64)

Expected volatility

100%

88%

Risk-free interest rate

0.78%

1.22%

Expected dividend yield

0%

0%

Expected warrant life (years)

3.32

2.18

(c)

Liquidity risk

The Company generates sufficient cash from operating and financing activities to fund its operations and fulfill its obligations as they become due.  The Company has sufficient funds available through its cash, cash equivalents, and financing arrangements, should its cash requirements exceed cash generated from operations to cover financial liability obligations.  The Company’s investment policy is to invest excess cash resources into highly liquid short-term investments purchased with an original maturity of three months or less with tier one financial institutions.  As at March 31, 2015, there were no restrictions on the flow of these funds nor have any of these funds been committed in any way, except as outlined in the detailed notes.

In the normal course of business, management considers various alternatives to ensure that the Company can meet some of its operating cash flow requirements through financing activities, such as private placements of our common stock, preferred stock offerings and offerings of debt and convertible debt instruments as well as through merger or acquisition opportunities. Management may also consider strategic alternatives, including strategic investments and divestitures. As future operations may be financed out of funds generated from financing activities, the Company’s ability to do so is dependent on, among other factors, the overall state of capital markets and investor appetite for investments in the pharmaceutical industry and our securities in particular. Should the Company elect to satisfy its cash commitments through the issuance of securities, by way of either private placement or public offering or otherwise, there can be no assurance that its efforts to obtain such additional funding will be successful, or achieved on terms favorable to the Company or its existing shareholders. If adequate funds are not available on terms favorable to the Company, it may have to reduce substantially or eliminate expenditures such as promotion, marketing or production of its current or proposed products, or obtain funds through other sources such as divestiture or monetization of certain assets or sublicensing (where permitted) of certain rights to certain of its technologies or products.

(d)

Concentration of credit risk and major customers

The Company considers its maximum credit risk to be $3,140,021 (December 31, 2014 - $2,161,133). This amount is the total of the following financial assets: accounts receivable and loan receivable. The Company’s cash and cash equivalents are held through various high grade financial institutions.

The Company is exposed to credit risk from its customers and continually monitors its customers’ credit.  It establishes the provision for doubtful accounts based upon the credit risk applicable to each customer.  In line with other pharmaceutical companies, the Company sells its products through a small number of wholesalers and retail pharmacy chains in addition to hospitals, pharmacies, physicians and other groups. Note 11 discloses the significant customer details and the Company believes that the concentrations on the Company’s customers are considered normal for the Company and its industry.

As at March 31, 2015, the Company had three customers which made up 67.1% of the outstanding accounts receivable in comparison to two customers which made up 65.7% at December 31, 2014. As at March 31, 2015, 28.5% (December 31, 2014 – 12.2%) of the outstanding accounts receivable was related to product sales related to two wholesale accounts (December 31, 2014 – one wholesale account) and 38.6% (December 31, 2014 – 53.5%) was related to an amount owing related to the product sales.

(e)

Foreign exchange risk

The Company principally operates within Canada; however, a portion of the Company’s revenues, expenses, and current assets and liabilities, are denominated in United States dollars and the EURO. The Company’s long term debt is repayable in U.S. dollars, which exposes the Company to foreign exchange risk due to changes in the value of the Canadian dollar. As at March 31, 2015, a 5% change in the foreign exchange rate would increase/decrease the long term debt balance by $700,000 and would increase/decrease both interest expense and net loss by approximately $29,800 for the three month period ended March 31, 2015.  As at March 31, 2015, a 5% change in the foreign exchange rate would increase/decrease the warrant liability balance by $268,000 and would increase/decrease both changes in warrant liability and net loss by $268,000 for the three month period ended March 31, 2015.

(f)

Interest rate risk

The Company is exposed to interest rate fluctuations on its cash and cash equivalents as well as its long term debt. At March 31, 2015, the Company had an outstanding long term debt balance of US$14,000,000 ($17,756,200), which bears interest annually at a rate of 11.5% plus the Libor Rate with the Libor Rate being subject to a minimum floor of 2%, such that that minimum interest rate is 13.5%, which may expose the Company to market risk due to changes in interest rates. For the three month period ended March 31, 2015, a 1% increase in interest rates would increase interest expense and net loss by approximately $44,400. However, based on current LIBOR interest rates, which are currently under the minimum floor set at 2% and based on historical movements in LIBOR rates, the Company believes a near-term change in interest rates would not have a material adverse effect on the financial position or results of operations.

17_Derivative_Financial_Instru

17. Derivative Financial Instruments	3 Months Ended
	Mar. 31, 2015
Derivative Financial Instruments
17. Derivative Financial Instruments	The Company enters into foreign currency contracts with financial institutions to reduce the risk that its cash flows and earnings will be adversely affected by foreign currency exchange rate fluctuations.  In accordance with the Company’s current foreign exchange rate risk management policy, this program is not designated for trading or speculative purposes.
	The Company recognizes derivative instruments as either assets or liabilities in the accompanying balance sheets at fair value.
	During the three month period ended March 31, 2015, the Company entered into foreign currency call options designated as cash flow hedges to hedge certain forecasted expenses related to its loan obligation denominated in United States Dollars. The notional principal of the foreign currency call option to purchase US$3,500,000 was $4,397,400 at July 23, 2015.
	The Company initially reports any gain or loss on the effective portion of the cash flow hedge as a component of other comprehensive income and subsequently reclassifies to the statements of operations when the hedged transaction occurs.
	Valuation techniques used to measure fair value are intended to maximize the use of observable inputs and minimize the use of unobservable inputs.
	The Company has determined the foreign currency call option to be Level 2. The fair value of the foreign currency call option at March 31, 2015 was a gain of $43,400 (December 31, 2014 – $nil), and is reported in other current asset/liability in the accompanying balance sheets. During the three month period ended March 31, 2015, the Company had not settled any foreign exchange contracts (2014 - recognized a gain of $200,000).
	At March 31, 2015 and December 31, 2014, the notional principal and fair value of the Company’s outstanding foreign currency derivative financial instruments were as follows:
		31-Mar-15				31-Dec-14
		Notional Principal			Fair Value	Notional Principal			Fair Value
	Foreign currency sold – call options	USD$	3,500,000	$	43,400	USD$	-	$	-
	The notional principal amounts provide one measure of the transaction volume outstanding as of March 31, 2015 and December 31, 2014, and do not represent the amount of the Company’s exposure to market loss. The estimates of fair value are based on applicable and commonly used pricing models using prevailing financial market information as of March 31, 2015 and December 31, 2014. The amounts ultimately realized upon settlement of these financial instruments, together with the gains and losses on the underlying exposures, will depend on actual market conditions during the remaining life of the instruments.

18_Subsequent_Events

18. Subsequent Events	3 Months Ended
	Mar. 31, 2015
Subsequent Events [Abstract]
18. Subsequent Events	Subsequent to March 31, 2015, the Company issued 700,000 common shares in connection with the exercise of 620,000 common share purchase warrants and 80,000 compensation options exercised at a weighted average exercise price of $0.88 per common share, for aggregate proceeds of $614,000. In addition, the Company issued 40,000 common share purchase warrants on the exercise of 80,000 compensation options. Each such warrant has an exercise price of $0.90 and an expiry date of July 15, 2016 (Note 7c).

1_Basis_of_Presentation_Policy

1. Basis of Presentation (Policy)	3 Months Ended
	Mar. 31, 2015
Accounting Policies [Abstract]
Estimates	a)	Estimates
	The preparation of these financial statements has required management to make estimates and assumptions that affect the amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of the revenues and expenses during the reporting period.  On an ongoing basis, the Company evaluates its estimates, including those related to provision for doubtful accounts, accrued liabilities, income taxes, stock based compensation, revenue recognition, intangible assets and derivative financial instruments.  The Company bases its estimates on historical experiences and on various other assumptions believed to be reasonable under the circumstances.  Actual results could differ from those estimates. As adjustments become necessary, they are reported in earnings in the period in which they become known.

2_Inventories_Tables

2. Inventories (Tables)	3 Months Ended
	Mar. 31, 2015
Inventory Disclosure [Abstract]
Schedule of Inventory		March 31,		December 31,
		2015		2014
	Raw materials	$	322,450	$	290,197
	Finished goods		450,736		399,830
	Packaging materials		74,557		70,870
	Work in process		346,225		276,490
		$	1,193,968	$	1,037,387

3_Prepaid_Expenses_and_Other_R1

3. Prepaid Expenses and Other Receivables (Tables)	3 Months Ended
	Mar. 31, 2015
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of Prepaid Expenses and Other Receivables		March 31,		December 31,
		2015		2014
	Prepaid operating expenses	$	220,747	$	180,304
	Interest receivable on loan receivables		6,975		6,975
		$	227,722	$	187,279

4_Property_Plant_and_Equipment1

4. Property, Plant and Equipment (Tables)	3 Months Ended
	Mar. 31, 2015
Property, Plant and Equipment [Abstract]
Schedule of Property, Plant and Equipment		31-Mar-15
				Accumulated		Net Carrying
		Cost		Amortization		Amount
	Land	$	90,000	$	-	$	90,000
	Building		618,254		308,526		309,728
	Leasehold improvements		10,359		5,180		5,179
	Office equipment		61,308		53,024		8,284
	Manufacturing equipment		1,103,524		623,971		479,553
	Warehouse equipment		17,085		17,085		-
	Packaging equipment		111,270		66,319		44,951
	Computer equipment		147,844		106,583		41,261
		$	2,159,644	$	1,180,688	$	978,956
		31-Dec-14
				Accumulated		Net Carrying
		Cost		Amortization		Amount
	Land	$	90,000	$	-	$	90,000
	Building		618,254		300,798		317,456
	Leasehold improvements		10,359		4,662		5,697
	Office equipment		61,308		52,124		9,184
	Manufacturing equipment		1,103,525		602,667		500,858
	Warehouse equipment		17,085		17,085		-
	Packaging equipment		111,270		62,744		48,526
	Computer equipment		142,873		102,309		40,564
		$	2,154,674	$	1,142,389	$	1,012,285

5_Intangible_Assets_Tables

5. Intangible Assets (Tables)	3 Months Ended
	Mar. 31, 2015
Intangible Assets Tables
Schedule of Intangible Assets		31-Mar-15
				Accumulated		Net Carrying
		Cost		Amortization		Amount
	Patents	$	436,964	$	6,463	$	374,501
	Licensing asset		1,005,820		193,427		812,393
	Licensing agreements		10,377,325		2,575,022		7,802,303
	Product rights		32,117,521		642,351		31,475,170
		$	43,937,630	$	3,473,263	$	40,464,367
		31-Dec-14
				Accumulated		Net Carrying
		Cost		Amortization		Amount
	Patents	$	351,754	$	53,242	$	298,512
	Licensing asset		1,005,820		174,084		831,736
	Licensing agreements		10,377,325		2,345,049		8,032,276
	Product rights		32,117,521		321,175		31,796,346
		$	43,852,420	$	2,893,550	$	40,958,870

6_Long_Term_Debt_and_Debt_Issu1

6. Long Term Debt and Debt Issuance Costs (Tables)	3 Months Ended
	Mar. 31, 2015
Debt Disclosure [Abstract]
Schedule of payments for Long-term Debt		Principal Payments		Interest Payments
	2015	US$1,136,997	($1,442,053)	US$1,390,095	($1,763,057)
	2016	US$1,454,476	($1,844,712)	US$1,704,169	($2,161,398)
	2017	US$1,666,664	($2,113,830)	US$1,489,600	($1,889,260)
	2018	US$9,741,863	($12,355,605)	US$1,428,903	($1,812,278)

7_Capital_Stock_Tables

7. Capital Stock (Tables)	3 Months Ended
	Mar. 31, 2015
Equity [Abstract]
Schedule of Common Stock Outstanding	Common Shares	Number of Shares		Amount
	Balance, December 31, 2014		94,476,238	$	41,182,630
	Warrants exercised		5,431,250		3,395,453
	Fair value of warrants exercised		-		444,106
	Balance, March 31, 2015		99,907,488	$	45,022,189
Schedule of Paid-in Capital Options		Amount
	Balance, December 31, 2014	$	2,713,605
	Expense recognized for options issued to employees		176,560
	Expense recognized for options issued to consultants		171,759
	Balance, March 31, 2015	$	3,061,924
Schedule of Warrant Liability	Expiration Date		Number of	Weighted Average			Fair Value at			Fair Value at
			Warrants	Exercise Price			31-Mar-15			31-Dec-14
	11-May-17		750,000	US$0.43	($0.55)	$	430,905		$	227,090
	27-Feb-15		-	US$0.50	($0.63)	$	-		$	184,999
	27-Feb-18		4,429,687	US$0.60	($0.76)	$	2,522,559		$	1,310,414
	5-Mar-15		-	US$0.50	($0.63)	$	-		$	56,691
	5-Mar-18		1,253,000	US$0.60	($0.76)	$	713,542		$	372,123
	11-Mar-15		-	US$0.50	($0.63)	$	-		$	17,547
	11-Mar-18		343,750	US$0.60	($0.76)	$	195,754		$	102,089
	8-Aug-18		755,794	US$0.5954	($0.76)	$	588,564		$	334,060
	20-Sep-18		108,696	US$0.55	($0.70)	$	67,275		$	36,442
	4-Feb-21		347,222	US$0.4320	($0.55)	$	281,404		$	160,319
	1-Oct-21		740,000	US$0.70	($0.89)	$	559,371		$	306,106
			8,728,149	US$0.59	($0.74)	$	5,359,374		$	3,107,880
Schedule of Warrants - Equity							Grant Date
		Number of		Weighted Average			Fair Value at
	Expiration Date	Warrants		Exercise Price			31-Mar-15
	15-Jul-16		21,447,500	$	0.9		$	5,169,881
	15-Jul-16		3,217,125	$	0.7		$	1,177,468
			24,664,625	$	0.9		$	6,347,349

8_Loss_Per_Share_Tables

8. Loss Per Share (Tables)	3 Months Ended
	Mar. 31, 2015
Earnings Per Share [Abstract]
Schedule of Computation of Earnings Per Share		For the Three Month Period
		Ended March 31
	Numerator:	2015			2014
	Net loss available to common shareholders	$	(5,181,463	)	$	(3,288,178	)
	Denominator:
	Weighted average number of common shares		96,685,405			51,420,127
	Effect of dilutive common shares		-			-
	Diluted weighted average number of common shares outstanding		96,685,405			51,420,127
	Loss per share – basic and diluted	$	(0.05	)	$	(0.06	)

9_Statement_of_Cash_Flows_Tabl

9. Statement of Cash Flows (Tables)	3 Months Ended
	Mar. 31, 2015
Supplemental Cash Flow Elements [Abstract]
Changes in non-cash balances related to operations		For the Three Months Ended
		31-Mar
		2015			2014
	Accounts receivable	$	(978,888	)	$	(1,065,085	)
	Inventories		(156,581	)		(59,101	)
	Prepaid expenses and other receivables		(40,443	)		(9,036	)
	Taxes recoverable		11,561			529,381
	Accounts payable and accrued liabilities		(57,539	)		(192,656	)
		$	(1,221,890	)	$	(796,497	)

14_Segmented_Information_Table

14. Segmented Information (Tables)	3 Months Ended
	Mar. 31, 2015
Segment Reporting [Abstract]
Schedule of Segment Reporting			For the Three Month Period
			Ended March 31
			2015		2014
	Product sales:
	Domestic sales	$	5,109,509	$	2,999,912
	International sales		469,595		463,978
	Other revenue		13,193		11,250
	Total	$	5,592,297	$	3,475,140
	Royalty  revenues	$	-	$	18,414
	Total revenues	$	5,592,297	$	3,493,554

16_Financial_Instruments_Table

16. Financial Instruments (Tables)	3 Months Ended
	Mar. 31, 2015
Derivative Financial Instruments
Company's financial liabilities measured at fair value			Fair Value at				Fair Value Measurement Using
			31-Mar-15				Level 1				Level 2		Level 3
	Derivative liability - Warrants		$	5,359,374			$	-			$	-	$	5,359,374
			Fair Value at				Fair Value Measurement Using
			31-Dec-14				Level 1				Level 2		Level 3
	Derivative liability - Warrants		$	3,107,880			$	-			$	-	$	3,107,880
Company's Level 3 financial liabilities			Three months ended				Year ended
			31-Mar-15				31-Dec-14
	Balance at beginning of period		$	3,107,880			$	2,966,714
	Additions (deletions) to derivative instruments			(444,106	)			424,471
	Change in fair market value, recognized in earnings as			2,695,600				(283,305	)
	Change in warrant liability
	Balance end of period		$	5,359,374			$	3,107,880
	The following is quantitative information about significant unobservable inputs (Level 3) for the Company as of March 31, 2015.
						Valuation Technique	Unobservable Input		Input Value
	Liability Category		Fair Value
	Warrant Liability		$	5,359,374		Black-Scholes valuation model	Volatility			100	%
	The following represents the impact on fair value measurements to changes in unobservable inputs:
		Increase in Inputs Increase in Valuation	Decreases in Inputs Increase in Valuation
	Unobservable Inputs
	Volatility	Increase	Decrease
Assumptions used in valuation of warrants			Three Months Period		Year Ended
			31-Mar-15		31-Dec-14
	Number of shares underlying the warrants		8,728,149		14,754,587
	Fair market value of the stock		US$0.48 ($0.61)		US$0.18 ($0.21)
	Exercise price		US$0.59 ($0.75)		US$0.55 ($0.64)
	Expected volatility		100%		88%
	Risk-free interest rate		0.78%		1.22%
	Expected dividend yield		0%		0%
	Expected warrant life (years)		3.32		2.18

17_Derivative_Financial_Instru1

17. Derivative Financial Instruments (Tables)	3 Months Ended
	Mar. 31, 2015
Derivative Financial Instruments Tables
Notional principal and fair value of the Company's outstanding foreign currency derivative financial instruments		31-Mar-15				31-Dec-14
		Notional Principal			Fair Value	Notional Principal			Fair Value
	Foreign currency sold – call options	USD$	3,500,000	$	43,400	USD$	-	$	-

2_Inventories_Details

2. Inventories (Details) (CAD)	Mar. 31, 2015	Dec. 31, 2014
Inventories Details
Raw materials	322,450	290,197
Finished goods	450,736	399,830
Packaging materials	74,557	70,870
Work in process	346,225	276,490
Inventories	1,193,968	1,037,387

3_Prepaid_Expenses_and_Other_R2

3. Prepaid Expenses and Other Receivables (Details) (CAD)	Mar. 31, 2015	Dec. 31, 2014
Prepaid Expenses And Other Receivables Details
Prepaid operating expenses	220,747	180,304
Interest receivable on loan receivables	6,975	6,975
Prepaid expenses and other receivables	227,722	187,279

4_Property_Plant_and_Equipment2

4. Property, Plant and Equipment (Details) (CAD)	Mar. 31, 2015	Dec. 31, 2014
Cost	2,159,644	2,154,674
Accumulated Amortization	1,180,688	1,142,389
Net Carrying Amount	978,956	1,012,285
Land
Cost	90,000	90,000
Accumulated Amortization
Net Carrying Amount	90,000	90,000
Building
Cost	618,254	618,254
Accumulated Amortization	308,526	300,798
Net Carrying Amount	309,728	317,456
Leasehold Improvements
Cost	10,359	10,359
Accumulated Amortization	5,180	4,662
Net Carrying Amount	5,179	5,697
Office Equipment
Cost	61,308	61,308
Accumulated Amortization	53,024	52,124
Net Carrying Amount	8,284	9,184
Manufacturing equipment
Cost	1,103,524	1,103,525
Accumulated Amortization	623,971	602,667
Net Carrying Amount	479,553	500,858
Warehouse equipment
Cost	17,085	17,085
Accumulated Amortization	17,085	17,085
Net Carrying Amount
Packaging equipment
Cost	111,270	111,270
Accumulated Amortization	66,319	62,744
Net Carrying Amount	44,951	48,526
Computer equipment
Cost	147,844	142,873
Accumulated Amortization	106,583	102,309
Net Carrying Amount	41,261	40,564

5_Intangible_Assets_Details

5. Intangible Assets (Details) (CAD)	Mar. 31, 2015	Dec. 31, 2014
Cost	43,937,630	43,852,420
Accumulated Amortization	3,473,263	2,893,550
Net Carrying Amount	40,464,367	40,958,870
Patents
Cost	436,964	351,754
Accumulated Amortization	6,463	53,242
Net Carrying Amount	374,501	298,512
Licensing asset
Cost	1,005,820	1,005,820
Accumulated Amortization	193,427	174,084
Net Carrying Amount	812,393	831,736
Licensing agreements
Cost	10,377,325	10,377,325
Accumulated Amortization	2,575,022	2,345,049
Net Carrying Amount	7,802,303	8,032,276
Product rights
Cost	32,117,521	32,117,521
Accumulated Amortization	642,351	321,175
Net Carrying Amount	31,475,170	31,796,346

5_Intangible_Assets_Details_Na

5. Intangible Assets (Details Narrative) (CAD)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014	Dec. 31, 2014
Amortization expense of intangible assets	579,712	252,185
Patents
Intangible assets pending not amortized	45,942		45,392
Licensing agreements
Intangible assets pending not amortized	373,325		373,325

6_Long_Term_Debt_and_Debt_Issu2

6. Long Term Debt and Debt Issuance Costs (Details) (CAD)	Mar. 31, 2015
Debt Disclosure [Abstract]
Principle Payments - 2015	1,442,053
Principle Payments - 2016	1,844,712
Principle Payments - 2017	2,113,830
Principle Payments - 2018	12,355,605
Interest Payments - 2015	1,763,057
Interest Payments - 2016	2,161,398
Interest Payments - 2017	1,889,260
Interest Payments - 2018	1,812,278

6_Long_Term_Debt_and_Debt_Issu3

6. Long Term Debt and Debt Issuance Costs (Details Narrative) (CAD)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014	Dec. 31, 2014
Debt Disclosure [Abstract]
Non-cash accretion expense	73,999	31,118
Non-cash interest expense	26,446	24,764
Principal payments
Interest payments	606,474		1,207,262

7_Capital_Stock_Details

7. Capital Stock (Details) (CAD)	3 Months Ended
	Mar. 31, 2015
Equity [Abstract]
Begining balance, number of shares	94,476,238
Begining balance, amount	41,182,630
Warrants exercised, number of shares	5,431,250
Warrants exercised, amount	3,395,453
Fair value of warrants exercised, amount	444,106
Ending balance, number of shares	99,907,488
Ending balance, amount	45,022,189

7_Capital_Stock_Details_1

7. Capital Stock (Details 1) (CAD)	3 Months Ended
	Mar. 31, 2015
Equity [Abstract]
Paid-in Capital Options, Beginning	2,713,605
Expense recognized for options issued to employees	176,560
Expense recognized for options issued to consultants	171,759
Paid-in Capital Options, Ending	3,061,924

7_Capital_Stock_Details_2

7. Capital Stock (Details 2) (CAD)	3 Months Ended
	Mar. 31, 2015	Dec. 31, 2014
Number of Warrants	8,728,149
Weighted Average Exercise Price	0.74
Fair Value	5,359,374	3,107,880
Warrant 1
Expiration Date	11-May-17
Number of Warrants	750,000
Weighted Average Exercise Price	0.55
Fair Value	430,905	227,090
Warrant 2
Expiration Date	27-Feb-15
Number of Warrants
Weighted Average Exercise Price	0.63
Fair Value		184,999
Warrant 3
Expiration Date	27-Feb-18
Number of Warrants	4,429,687
Weighted Average Exercise Price	0.76
Fair Value	2,522,559	1,310,414
Warrant 4
Expiration Date	5-Mar-15
Number of Warrants
Weighted Average Exercise Price	0.63
Fair Value		56,691
Warrant 5
Expiration Date	5-Mar-18
Number of Warrants	1,253,000
Weighted Average Exercise Price	0.76
Fair Value	713,542	372,123
Warrant 6
Expiration Date	11-Mar-15
Number of Warrants
Weighted Average Exercise Price	0.63
Fair Value		17,547
Warrant 7
Expiration Date	11-Mar-18
Number of Warrants	343,750
Weighted Average Exercise Price	0.76
Fair Value	195,754	102,089
Warrant 8
Expiration Date	8-Aug-18
Number of Warrants	755,794
Weighted Average Exercise Price	0.7551
Fair Value	588,564	334,060
Warrant 9
Expiration Date	20-Sep-18
Number of Warrants	108,696
Weighted Average Exercise Price	0.7
Fair Value	67,275	36,442
Warrant 10
Expiration Date	4-Feb-21
Number of Warrants	347,222
Weighted Average Exercise Price	0.5479
Fair Value	281,404	160,319
Warrant 11
Expiration Date	1-Oct-21
Number of Warrants	740,000
Weighted Average Exercise Price	0.89
Fair Value	559,371	306,106
Warrant Equity 1
Expiration Date	15-Jul-16
Number of Warrants	21,447,500
Weighted Average Exercise Price	0.9
Fair Value	5,169,881
Warrant Equity 2
Expiration Date	15-Jul-16
Number of Warrants	3,217,125
Weighted Average Exercise Price	0.7
Fair Value	1,177,468
Warrant Equity
Number of Warrants	24,664,625
Weighted Average Exercise Price	0.9
Fair Value	6,347,349

7_Capital_Stock_Details_Narrat

7. Capital Stock (Details Narrative) (CAD)	3 Months Ended	12 Months Ended
	Mar. 31, 2015	Dec. 31, 2014
Common shares issued for services to consultants	171,759
Options granted to officers and employees and consultants	3,158,903	1,298,245
Options issued	2,908,903
Exercise price of options	0.62
Fair value of options	0.51
Expected dividend yield	0.00%
Expected volatility	121.00%
Risk free interest rate	0.61%
Expected term	5 years
Number of options outstanding	7,864,307	4,834,991
Weighted average grant date fair value	0.51	0.34
Common shares outstanding	9,990,749	9,447,624
Compensation expense for options issued	348,320	117,133
Number of options issued terminated	129,587	817,830
Warrant [Member]
Expected dividend yield	0.00%	0.00%
Expected volatility	100.00%	88.00%
Risk free interest rate	0.78%	1.22%
Expected term	3 years 3 months 26 days	2 years 2 months 5 days
Fair value of the warrant liability	5,359,374	3,107,880
200,000 Options
Options issued	200,000
Exercise price of options	0.62
Fair value of options	0.43
Expected dividend yield	0.00%
Expected volatility	1.21%
Risk free interest rate	0.87%
Expected term	5 years
50,000 Options
Options issued	50,000
Exercise price of options	0.62
Fair value of options	0.52
Expected dividend yield	0.00%
Expected volatility	1.22%
Risk free interest rate	0.87%
Expected term	5 years

8_Loss_Per_Share_Details

8. Loss Per Share (Details) (CAD)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Numerator:
Net loss available to common shareholders	-5,181,463	-3,288,178
Denominator:
Weighted average number of common shares	96,685,405	51,420,127
Effect of dilutive common shares
Diluted weighted average number of common shares outstanding	96,685,405	51,420,127
Loss per share - basic and diluted	-0.05	-0.06

8_Loss_Per_Share_Details_Narra

8. Loss Per Share (Details Narrative)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Options
Antidilutive securities excluded from earnings	7,864,307	5,109,330
Warrant [Member]
Antidilutive securities excluded from earnings	33,392,774	14,014,587

9_Statement_of_Cash_Flows_Deta

9. Statement of Cash Flows (Details) (CAD)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Notes to Financial Statements
Accounts receivable	-978,888	-1,065,085
Inventories	-156,581	-59,101
Prepaid expenses and other receivables	-40,443	-9,036
Taxes recoverable	11,561	529,381
Accounts payable and accrued liabilities	-57,539	-192,656
Changes in non-cash balances related to operations	-1,221,890	-796,497

9_Statement_of_Cash_Flows_Deta1

9. Statement of Cash Flows (Details Narrative) (CAD)	3 Months Ended		12 Months Ended
	Mar. 31, 2015	Mar. 31, 2014	Dec. 31, 2014
Accounts payable and accrued liabilities	-57,539	-192,656
Interest paid	606,474	267,291
Taxes paid	0	0
Non-cash debt issuance costs	26,446	24,764
Patents and licenses
Accounts payable and accrued liabilities	2,605		31,655

10_Contingencies_and_Commitmen1

10. Contingencies and Commitments (Details Narrative) (CAD)	Mar. 31, 2015	Dec. 31, 2014
Contingencies And Commitments Details Narrative
Executive termination under initial agreement	1,979,540	247,200
Remuneration to executive	3,499,562	2,072,200

11_Significant_Customers_Detai

11. Significant Customers (Details Narrative)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Risk percentage	69.80%	65.60%
Major customer
Concentration Risk, Customer	3	3

12_Related_Party_Transactions_

12. Related Party Transactions (Details Narrative) (CAD)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Notes to Financial Statements
Stock options granted to LMT	200,000	200,000
Non-cash expense	49,147	16,222

13_Income_Taxes_Details_Narrat

13. Income Taxes (Details Narrative) (CAD)	3 Months Ended
	Mar. 31, 2015
Non-capital loss carry-forwards	13,953,400
Carry-forward expenditures offset against future taxable income	1,798,300
Tax credits, non-refundable	341,300
Minimum [Member]
Loss Carryforwards Expiration Dates	31-Dec-15
Maximum [Member]
Loss Carryforwards Expiration Dates	31-Dec-34

14_Segmented_Information_Detai

14. Segmented Information (Details) (CAD)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Product sales:
Domestic sales	5,109,509	2,999,912
International sales	469,595	463,978
Other revenue	13,193	11,250
Total	5,592,297	3,475,140
Royalty revenues		18,414
Total revenues	5,592,297	3,493,554

15_Foreign_Currency_Gain_Loss_

15. Foreign Currency Gain (Loss) (Details Narrative) (CAD)	3 Months Ended	12 Months Ended
	Mar. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Notes to Financial Statements
Cash in hand	5,326,943	1,319,013
Accounts receivables	389,930	319,764
Accounts payable and accrued liabilities	230,109	32,857
Warrant liability	5,359,374	3,107,880	3,107,880	2,966,714
Long term debt	17,756,200	16,241,400
Foreign currency gain /loss	1,179,509	196,066

16_Financial_Instruments_Detai

16. Financial Instruments (Details) (CAD)	Mar. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Derivative liability - Warrants (Fair Value)	5,359,374	3,107,880	3,107,880	2,966,714
Level 1
Derivative liability - Warrants (Fair Value)
Level 2
Derivative liability - Warrants (Fair Value)
Level 3
Derivative liability - Warrants (Fair Value)	5,359,374	3,107,880

16_Financial_Instruments_Detai1

16. Financial Instruments (Details 1) (CAD)	3 Months Ended	12 Months Ended
	Mar. 31, 2015	Dec. 31, 2013
Financial Instruments Details 1
Derivative liability - Warrants, beginning	3,107,880	2,966,714
Additions (deletions) to derivative instruments	-444,106	424,471
Change in fair market value, recognized in earnings as Change in warrant liability	2,695,600	-283,305
Derivative liability - Warrants, ending	5,359,374	3,107,880

16_Financial_Instruments_Detai2

16. Financial Instruments (Details 2) (CAD)	3 Months Ended
	Mar. 31, 2015
Financial Instruments Details - Warrant Liability Valuation
Warrant Liability, Fair Value	5,359,374
Valuation Technique	Black-Scholes valuation model
Volatility	100.00%

16_Financial_Instruments_Detai3

16. Financial Instruments (Details 3) (CAD)	3 Months Ended	12 Months Ended
	Mar. 31, 2015	Dec. 31, 2014
Expected volatility	100.00%
Expected dividend yield	0.00%
Expected warrant life (years)	5 years
US
Fair market value of the stock	0.48	0.18
Exercise price	0.59	0.55
Warrant [Member]
Number of shares underlying the warrants	8,728,149	14,754,587
Fair market value of the stock	0.61	0.21
Exercise price	0.75	0.64
Expected volatility	100.00%	88.00%
Risk-free interest rate	0.78%	1.22%
Expected dividend yield	0.00%	0.00%
Expected warrant life (years)	3 years 3 months 26 days	2 years 2 months 5 days

16_Financial_Instruments_Detai4

16. Financial Instruments (Details Narrative) (CAD)	3 Months Ended	12 Months Ended
	Mar. 31, 2015	Dec. 31, 2014
Notes to Financial Statements
Concentration of credit risk and major customers	3,140,021	2,161,133
Outstanding long term debt	17,756,200

17_Derivative_Financial_Instru2

17. Derivative Financial Instruments (Details) (CAD)	Mar. 31, 2015	Dec. 31, 2014
Notional Principal
Foreign currency sold - call options	3,500,000
Fair Value
Foreign currency sold - call options	43,400